Human resource being a significant factor of the organization, therefore, utmost care should be taken while effecting changes in the organization. Change as a recurring factor of any organization should be adequately managed to avoid disruptions and slacking in overall performance of individuals and the organization. Where change is necessitated by the organizations internal factors, the management should consider including the employees in facilitating the change to ensure effective and efficient transition.
Internal factors influencing change are significantly attributable to management style and reconstruction of the organizations structures. External factors affecting changes can be directly or indirectly attributable to the organization. These can be changes in the market or developments in consumer preferences.
When change is characterized by internal factors, it is essential for the change to be adequately communicated to the employees. Care should be taken to prevent feelings of alienation or being threatened by the change. The impact of this would be resistance to the change or realigning of the employees in an effort to undermine the change or to protect them. Change management should be inclusive, pro active and motivating in order to succeed.
External factors which are beyond the organizations control can sufficiently affect change processes. However, communication plays a significant aspect of change in these circumstances. The reasons and realities of the change should be made clear and understood by all stakeholders. Essentially it should be noted that the rationale behind the change is for the benefit of each individual and the organization as well. For instance, conforming and adapting to changes and advances in technology is beneficial to the organizations stakeholders.
In the apparel industry; Nike, a leading performer in the industry has significantly embraced change in its marketing and sales functions. Nike has invested in a marketing development program where its managerial staff are exposed and trained on the dynamics of the marketing function. This exposes and involves the employees in the changing dynamics of customer preferences and new methods of satisfying their needs.
On the other hand, Adidas a rival company has a weaker performance given its approach to change and the market dynamics. Given its previous successes, Adidas was not quick to conform and adjust to change as it occurs. Employees kept on conforming to traditional habits which have left them stagnating. Change when managed effectively can be significantly productive and on the other hand if not carefully managed can be derailing to an organizations performance.
If change resulting from internal factors is not managed carefully to be informative and inclusive then it is most likely to be faced with resistance and may cause derailment or sabotage of an organizations operations. Change influenced by external factors is critical in any organizations growth and overall achievement of its objectives. Therefore, changes in relation to the market, consumer demands and expectations are defining to a company’s overall performance.