Benefits of change management

by Dr. Ranjan Saheed

Over 2,600 years ago the Buddha preached on change management. The management of change is a key skill and is so fundamental to the successful growth of a company that it deserves mention in its own right. The reason for this is that the development of a company from inception through its growth stages to maturity is in fact an exercise in change management.

The management of change is a major stumbling block for many companies with growth potential. Unlike lack of management resources, lack of financial resource or inadequacy of systems, change management is not tangible but rather it is a management skill which must be developed.

The management of change is important for two reasons:

* Flexible and the ability to respond quickly to changing conditions are, as has already been stated, key areas of advantage for the smaller company to be able to move quickly a company must be comfortable with change and not perceive it as threatening.

* Today's business world is rapidly changing and uncertain, it is against this background that a small company must 'grow’ in such an environment. A knowledge of how and when to change is a key management skill.

It is worthwhile examining the nature of change and where it is likely to come from in the context of a small growing company’ in an organisation change can be split into two:

Management responsibility also extends to identifying external change factors and how they are likely to influence the organisation and its people.

The first barrier to change is the attitude of management. People feel comfortable doing things the way they have always done them and the management of small companies is no different. Companies which have been reasonably successful will take the view “We have always done it this way”. Why should we change?”

This attitude has dogged many companies and is one of the main reasons why organisations fail to fulfill their potential. Before change can take place, there must be management recognition of the benefits which change will bring to be organisation. This will ensure willingness to instigate change within the company. It is a major function of the management of a growing company to strive for more efficient ways of operating and search for new opportunities for the company. Thus good management should always be aware of change and its potential benefits. The second major barrier to change that management is the reaction of staff. Change is disruptive and it is nature to want to retain the status quo. People can be apprehensive about change and see even minor change as a threat.

This apprehension can lead to a knee jerk reaction against change of any sort. Managing change involves an understanding of people's attitude to change their fear of the unknown, their fear of a perceived reduction in status the feeling being pressurised or their reluctance to change from the “comfort” of existing procedures. By understanding people's fears, management can minimise resistance of their staff to change.

Changes are occurring all the time and in every organisation there is a great deal of unplanned change. If however, unplanned change takes place in the key areas of the business, it is because of the absence of change management.

This can lead to problems. Managing change is about controlling the change and directing it in the key business areas as opposed to passively reacting to change or worse still, trying to discourage and resist change.

A business environment in which an organisation operates is constantly changing and business must effectively respond if they are to survive and prosper. The change can be in the form of internal or and external and the impact could be direct or indirect.

The manager has two possibly conflicting responsibilities during the process of change.

* To look after the interests and welfare of the team.

* To ensure change is carried through efficiently.

How to market the change

* Providing people with initial motivation to change, preferably back by a rosy future.