In
order to offer and explained the current situation evaluation of any firms or
case is necessary to know about the major points and concerns of any activity and
points. In this document, the major concern is related to the change in management
or management changes in the various firms. This cases study particularly
discusses the management change in the small firm.
The
management change is one of the most important and effective elements for the performance
of any organization. It can be the cause to enhance the productivity of any
organization. The management change is considered as one of the most important
t and a positive sign for the productivity of the organization as well. This
case is related to the management change in small firms. The management change
is related to the value of these small businesses. It also includes the role
that they are playing in the economy.
The case of alpha has been evaluated or
analyzed in order to discuss the management change in good ways. The current situation
of the Alpha is really to crucial it needs an effective system to perform the
roles of this in good ways. As it has been discussing earlier that Alpha is the
small firm that is contained on the total of ten employees are who performing
its functions and operations. They commit meetings to solve the problems of the
company. They also discuss problems related to change in management. It has been observed that there is a lack of
proper management change in the Alpha, but meanwhile, the management of the
Alpha is striving to perform its functions. They are conducting a causal
meeting to share their ideas.
The
operations of the Alpha are related to offering the consultancy services of
health related issues within the firm or outside an organization. Alpha is performing its functions under the
hierarchy of the full time ten employees. There is no strict hierarchy other
than that the managers are equally in charge. The management has weekly
meetings to discuss the day-to-day business activities and has no special
meetings for discussing organizational changes. All of these employees are
performing their effective role to perform the functions and operation of the
Alpha. But they are feeling numerous issues as challenges on this organization.
The first most important issue that is related
to the communication gap due to the various senses of the urgency among the
employees and employers. Another one is related to the change leadership that
includes regular conflicts among the owners and employers. The most important issue that is occurring in
the Alpha is related to the competitive edge and change pressure. They have the
highest competitive demands that are engaged in offering more quickie efficient
function with the lower prices. If these
situations will occur large firms than the ratio of the loss can be unbearable
and the environment of the organization can be destroyed.
If
you were a Business Consultant what your suggestions would be for implementing
changes in this small firm. (6 points)
The small firms are the organization that works with
a maximum of 10 employees (usually less than this) to produce something or
provide services directly to the customers. In these small firm management and
leadership is usually under the control of entrepreneurs therefore while
implementing change entrepreneurs take decisions. In small firms, change can be
implemented in a successful way by considering some important factors such as
cost of change plan implementation, possible outcomes of a change plan,
profitability, competitive advantages, quality, and diversity.
Additionally, entrepreneurs in the small firms can
also use Kotter Model for the development and implementation of a successful
change plan. The Kotter Model includes eight stages of change starting from
establishing a sense of urgency and then creating the guiding coalition. Using
this Kotter model, small firms can develop the vision and strategy of the
change plan. Moreover, after this, they can communicate this change plan with
board members to empower them. In my opinion, small firms should not directly
leap on the opportunity of implementing a change plan without critically analyzing
the possible monetary and nonmonetary outcomes of the change plan.
As a business consultant, I would suggest that small
firms need to understand the key requirements of change in the production
process or service delivery process. Then they need to collect information
about the urgency of change. If change is highly important and necessary for
the improvement of a default process only then small firms should implement
change. Otherwise, implementing change can disturb their business operations
and might result in system failure or business loss. Therefore, my
recommendation is to critically evaluate the urgency and requirement of change
in the systems and only implement a change when it brings competitive advantage
or improvement in the organizational process.
According to the case study, Alpha is a small firm
which needs change in its business operations to have betterment and
improvement in its competitive position and leadership. The regular conflicts
can be controlled by making changes in the leadership which is a long process
as it requires new hiring and training process. Therefore, a better suggestion
is to make recruitment from the internal workforce to reduce such issues or
instead make changes in the HR policies rather than changing leaders. Employees
are not ready for the change plan implementation in the production sector which
can cause challenges. Regarding this, I would suggest involving employees in
the change plan by having a meeting and discussion with them.
The small firm should share information about the
need for this change and its possible benefits in the employee's life to make
them eager for this change plan implementation. Moreover, involving them in the
decision-making process will also reduce the key issue of lacking in employees
empowerment at the workplace. By involving these employees in the decision of
change plan can also provide more realistic suggestions and ideas for
betterment that will benefit the whole firm. Furthermore, employees
participation will create change in the workplace culture as well.
How
cultural factors affect the readiness for Change and Resistance to Change in
Small Firms? Please explain using your experience and literature (at least two
citations (6 points)
The cultural factors affect the readiness for change
and resistance to change in the small firms. According to literature, organizational
culture draws impact on the organizational change plan. Similar to large size
organizations, small firms also get influence from the cultural factors while implementing
a change plan in the production, leadership, or service areas. The key cultural
factors are adaptability, consistency, mission, involvement and employee
satisfaction. Following research studies, firms should have a culture of
adaptability to easily adopt and implement a change in the firm's operations.
Lack of adaptability will cause challenging situations for small firms as
employees will have difficulty to get an adjustment in the new working
environment. While on the other hand, sometimes organizational mission also
cause issues for the change plan implementation in the small firm.
In accordance with the research studies, consistency
should not be affected by the change plan. In my opinion, these cultural
factors are required to be considered while implementing change in small firms
such as Alpha. In the case of Alpha, adaptability, consistency, involvement and
employee satisfaction have drawn impact on the organizational change plan. However,
another important factor providing support against change is employees
resistance to the change. For instance, in the case of Alpha small firm
employees were not ready to adopt change because of their personal insecurities
and issues.
Following research studies, a common reason behind
employee’s resistance to change is their insecurity towards the job. In most of
cases, change implementation also bring changes in the employment status of the
existing workforce. As a result of the change, many employees face job loss. Following
my experience and knowledge, such issues can be easily handled in small firms
by ensuring that changes would not directly harm anyone at the workplace. For
example, entrepreneurs or leaders of Alpha can have an official meeting with
their employees to ensure them that changes would not have an influence on
their job status or firm will not fire any employee (Skvarciany, Iljins,
& Gaile-Sarkane, 2015).
According to the research, an important reason
behind resistance to change can be a possible change in the working process and
daily activities of the employees. An employee can be used to and satisfied
with their daily routines at the workplace. Change in their working patterns as
a result of change can cause challenging situations for them. For instance, if
an organization change the software or update new machinery at the workplace.
In such a situation, dealing with new equipment, software, machinery, or
process can be troublesome for employees therefore employees resist against
change (Yılmaz & Kılıçoğlu, 2013).
However, in my opinion, such issues can be easily
tackled in small firms like Alpha. Leaders and entrepreneurs can organize
training sessions or provide special incentive packages which will support to
make employees familiar with change. Thus, resistance can be reduced for
change. Conclusively, cultural factors and resistance to change create
challenges that can be easily tackled in the small firms by the adoption of
right strategies and policies.