Page 25 - DMGT520_ORGANIZATION_CHANGE_AND_DEVELOPMENT

Organization Change and Development

Notes authority of managers. Then behavior has also become very complex and leading them
towards organisational goals is a challenge for the managers. The employee turnover is
also very high which again puts strain on the management. The workforce is changing,
with a rapid increase, in the percentage of women employees, which in turn means, more
dual career couples.

Did u know? Organisations have to modify transfer and promotion policies as well as
make child care and elder care available, in order to respond to the needs of two career
couple.
2. Change in Managerial Personnel: Change in managerial personnel is another force which
brings about change in organisation. Old managers are replaced by new managers which
are necessitated because of promotion, retirement, transfer or dismissal. Each manager
brings his own ideas and way of working in the organisation. The informal relationships
change because of changes in managerial personnel. Sometimes, even though there is no
change in personnel, but their attitudes change. As a result, the organisation has to change
in accordingly.
Changes in the organisation are more fast when top executives change. Change in top
executives will lead to important changes in the organisation in terms of organisation
design, allocation of work to individuals, delegation of authority, installation of controls,
etc. All these changes will be necessitated because every top executive will have his own
style and he will like to use his own ideas and philosophies.
3. Deficiencies in Existing Management Structure: Sometimes changes are necessary because
of some deficiencies in the existing organisational structure, arrangement and processes.
These deficiencies may be in the form of unmanageable span of management, larger
number of managerial levels, lack of coordination among various departments, obstacles
in communication, multiplicity of committees, lack of uniformity in policy decisions, lack
of cooperation between line and staff and so on. However, the need for change in cases
goes unrecognized until some major crisis occurs.
4. To Avoid Developing Inertia: In many cases, organisational changes take place just to
avoid developing inertia or inflexibility. Conscious managers take into account this view
that organisation should be dynamic because any single method is not the best tool of
management every time. Thus, changes are incorporated so that the personnel develop
liking for change and there is no necessary resistance when major changes in the
organisation are brought about.

Task Discuss the concept of planned change by providing example.

Self Assessment

State whether the following statements are true or false:
1. The term change refers to any alternation which occurs in the overall work environment
of an organisation.
2. Change will affect the various parts of the organisation in varying rates of speed and
degrees of significance.
3. Changes may affect people, structure, technology and other elements of the organisation.

20 LOVELY PROFESSIONAL UNIVERSITY