In a world of rising customer expectations and diminishing resources, many organizations are finding ways to do more with less by consolidating and integrating departments, functions, business processes, IT infrastructure, and entire organizations. But 75 years of research on organizations have shown that more than 85% of all organizational performance problems are in the structures, systems and culture in which people work: if you put the good people in the bad systems, you will get poor performance. Therefore, try to address changes in the business environment through reorganization, change of leadership, consolidation and integration of IT infrastructure and business processes, reduction or implementation of new cost management and reduction programs. . create changeBut when done without an understanding of the overall “system” within which managers and staff members work, this strategy tends to solve one problem and inadvertently create others. What today’s senior managers need to address the frenetic pace of change in the business environment is a well-defined approach to organizational transformation.
As defined in business literature, organizational transformation refers to deep, fundamental, often radical changes in an organization’s mission, strategy, structures, systems, and culture, rather than incremental changes and improvements. Organizational transformation initiatives are often used to respond to the forces and demands of the business environment that require a company to change the way it does business in order to survive in its industry. Over the past 25 years, organizational transformation has been referred to by a number of different names; for example, business process reengineering, downsizing, resizing and, more recently, organizational culture change. But the general purpose and fundamental objectives of all these approaches have been similar; for example, making deep and fundamental changes in the way an organization structures, organizes and uses its human, material and financial resources to act (and react to) the changing forces and demands of the business environment.
Organizational transformation has both an element of change and a transition. Tea exchange required to align an organization’s structures, systems, and resources around a new mission and strategy that increases the value delivered to customers is situational and tends to happen quickly. In other words, functional “silos” are consolidated with new leadership, reconfigured organizational charts, and geared toward achieving larger goals with fewer human, financial, and material resources. Tea transition The element of organizational transformation is a prolonged cultural and psychological process that managers and staff members go through to leave behind the old reality and organizational identity they had before the change occurred and learn new ways of working. Managers and staff members must learn to embrace (and accept) their new role in the reconfigured organization. The most important lesson to be learned from hundreds of documented transformation initiatives is the need to manage both change and transition throughout the entire process of organizational transformation.
So what criteria should leaders and managers use to decide whether or not to initiate an organizational transformation process? Deep organizational change almost always requires a running platform, and there are two types: reactive and proactive. Tea reagent type is when managers wait until the situation becomes critical and then respond reactively by reorganizing, changing leadership, reducing staff, consolidating functions and systems, or implementing aggressive cost reduction programs without understanding the “end effects” of these decisions. Most managers do not directly experience the long term impact of their decisions because they have a system-wide effect that spans multiple departments and can affect the day-to-day operations of an organization (positively or negatively) for years to come. The inability of most people to directly experience the long-term systemic consequences of their decisions is the main reason why most people do not learn from experience, especially when the consequences of a decision are separated from the cause. for more than 1 or 2 years. . reactive changes It is not lead to organizational transformation.
Tea proactive The type of platform on fire is when managers realize that while the forces and demands of the business environment may not be critical right now, they will be if a sense of urgency is not developed to transform the way the business is run. organization does business. Proactive managers define a new direction, turn on the platform, and reconfigure the organization through: a) exchange that realigns structures, systems and resources around a new mission and strategy that increases the value delivered to customers, and by managing b) the transition associated with the cultural and psychological process that people go through to learn new ways of working, let go of the old reality and organizational identity, and appropriate their new role in the reconfigured organization.
Bottom line: Leaders and managers must develop a compelling, credible, and easy-to-understand business case that describes what transformation would actually be achieved, what would be gained, and what transformation would actually be achieved in terms of the return on investment of time and resources required. to see the process through. The business case and vision for the transformation should inspired managers and key personnel to actively recruit and support the transformation initiative with their hearts and minds. The business case and vision should also answer questions like “Why are we doing East instead of maintaining the status quo or other alternatives? What will be gained for me and the organization in the long run and will it be worth the time, energy, disruption, and organizational “pain” we will have to endure to get there? What new challenges are we facing, and why is it important to address them now?” In the absence of a compelling, credible, and easy-to-understand answer to these types of questions, an organization should not embark on a transformation process.
