4 - Change

Question 1

what does change cause people to feel?

Answer 1

anxious due to uncertainty

Question 2

internal causes of change

Answer 2

objectives 
personnel 
skill level 
finances 
innovation

Question 3

external cases of change

Answer 3

globalisation
environment 
technology 
economy 
customer base 
competition 
government

Question 4

catastrophic/unanticipated/crisis change?

Answer 4

change that a business has no control over and requires contingency plans for the worse case scenarios

Question 5

anticipated change?

Answer 5

change which can be predicted/ is expected which means a business can respond in order to minimise effects

Question 6

strategic/tactical/operational change?

Answer 6

change that occurs as a natural part of the operation of the business. this could be because of strategic review, to improve and sustain performance. results of this will require operational changes in the day to day running of the business

Question 7

what may be included in a contingency plan?

Answer 7

• safety for customers/staff
• back up finances
• emergency call outs
• insurance
• contacts for rebuilds

Question 8

what are drivers for change?

drivers for change..

Answer 8

factors which support a smooth change

• strong leadership
• clear visions
• good communication
• strong advertising
• financial resources
• employee input

Question 9

what is meant by change management?

Answer 9

refers to an approach to transitioning individuals, teams, and organizations using methods intended to re-direct the use of resources, business process, budget allocations, or other modes of operation that significantly reshape a business

Question 10

techniques to help management of change

Answer 10

• employee relations
• teamwork
• cooperation
• organisational culture
• no strike deals
• new working practices
• arbitration
• individual relations
• collective relations
• ACAS

Question 11

Lewin’s 3 step change model

Answer 11

1. unfreeze - removing forces which are creating problems by putting forward new ideas and persuading
2. change - management will develop new ideas either in the production process or organisation of the business. this stage causes uncertainty
3. freeze - the business needs to ensure that the new processes are reinforced; otherwise there will be a tendency to revert to your ‘old ways’

Question 12

McKinsey’s 7-S model

Answer 12

7 elements (hard and soft)
hard; strategy, structure and systems
soft; skills, style, staff, shared values
these elements must be aligned in order for the business to run smoothly

Question 13

Kotter’s 8 step change model
what does it do?
what does it involve?

Answer 13

helps managers to understand and manage change in a business. shows the process from seeing the need for change to actually implementing it

1. increase urgency for change
2. build the team for change
3. have a vision of what is to be achieved
4. communicate
5. empower action (removing anything hindering change)
6. create short term wins
7. dont let up
8. make changes stick

Question 14

what are drivers against change?

the drivers against change

Answer 14

factors causing problems and resistance

• customer boycott
• employee resistance
• unions
• media coverage
• government interventions

Question 15

the link between strong leadership and managing change well?

Answer 15

• gets people on board with change
• align organisation to achieve objectives
• creates a clearer vision
• ensures resources are in place
• anticipates and responds to problems

Question 16

advantages of using an external company to manage change?

Answer 16

• less resistance directed at managers
• specialist knowledge and skill
• get trade unions on board
• provides unbias opinion
• fresh look at the business
• saves time for the business
• negative publicity reduced

Question 17

disadvantages of using an external company to manage change?

Answer 17

• higher costs
• don’t know the employees
• may not fully understand the businesses culture

Question 18

problem with Lewins change model?

Answer 18

• in current business climate you need to be flexible. change is a continuous process and therefore there seems little point in freezing these states of change which are likely to change again
• some stakeholders may not resist to change

Question 19

briefly how is McKinseys model useful?

Answer 19

shows which parts of the model are affected when change is implemented and allows you to analyse the current situation, a proposed situation and identify the gap between - this allows changes to be made effectively

Question 20

what are some problems with McKinseys model?

Answer 20

• when you change one aspect of the model this creates problems elsewhere; long process
• soft S’s are hard to define (intangible elements) as they are often opinion based

Question 21

limitations of Kotters model?

Answer 21

• needs to be flexible as change is continuous
• some stakeholders may not resist change at all, waste of time
• doesn’t take into account external factors
• could overcomplicate the change process