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Internal and external forces for change regarding downsizing an organization

Managing Change

Organization can prevent resistance to change through various ways.  First, managers should communicate about change. There should be effective communication and regular updates about the new initiative.  Through communication, managers will view their feelings about change and they will be able to convince them about the importance of change in organization (Harvey & Broyles, 2010).  Second, organization should set up incentives. This means that managers should have plan bonuses and other prizes so that employees can feel motivated with the new guidelines.  Third, manager can prevent resistance to change by creating an open door policy. Employees will express their opinion about the change employers can support employees deal with change (Harvey & Broyles, 2010).  Other important point is that in order to ensure that employees accept change, organization must develop resistance managers. Senior leaders and frontline supervisors should   show commitment and be supportive so that employees can feel motivated and accept change (Harvey & Broyles, 2010).

 

Internal and external forces for change regarding downsizing an organization

External forces

Globalization:  Organizations are being involved in global changes and many of them are practicing joint ventures with foreign firms. In global venture, organizations are reducing products and services and concentrates on outsourcing activities which will bring a comparative advantage (Baumol, 2003). This forces the organizations to reduce number of employees in order to improve efficiency and competitiveness.

Work force diversity:  In modern world, there is a need to include female and diverse cultures in the workforce. For this reason, organization downsizes particular workers so as to incorporate the new workforce. 

Technological change:  new technology is changing the way people perform tasks as well as the organization structure.  For example, technology such as communication technology requires virtual teams who will perform tasks effective (Baumol, 2003). Organization will downsize employees in order to achieve the efficiency and productivity.

Managing ethical behavior: In internal and external environment, origination should behave ethically. Failure to follow the culture of ethics forces the firm to downsize workers so that it can act ethically and avoid legal issues.

Internal forces

 Change in work climate: The work climate may change and organization may require fresh start. This means that it will downsize workers so that it can restructure the business.  Work climate may also be affected by economic recession and organization needs to change so that it can adapt to the new climate (Baumol, 2003).

 

Organization instability:  issues such as strike make employees to leave the work until management reorganizes the business.  Frustration and inefficiencies    disconnects organization with employees.

Change in employees’ expectation:  Organization may fail to meet the employees’ expectation and experience lack of demand. Poor performance and production of low quality goods may force the organization to reduce workers and operate with high skilled workers for the purpose of   improving productivity (Baumol, 2003).

 

 

 

 

 

 

 

 

 

 

 

 

Reference

Harvey, T. R., & Broyles, E. A. (2010). Resistance to change: A guide to harnessing its positive power.

Lanham, Md: Rowman & Littlefield Education.

 

Baumol, W. J., Wolff, E. N., & Blinder, A. S. (2003). Downsizing. New York: Russell Sage.

508 Words  1 Pages
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