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Organizational change management: people-focused management

Posted: Sun Dec 22, 2024 9:12 am
by ayeshshiddika11
What drives change in companies? Some external factors can be: the political, social, economic, legal context, changes in consumer behavior, new market trends, among others.

It can also occur due to internal situations within the company, such as the implementation of new technology, a change in organizational strategy, a new business model, mergers or the purchase of other companies.

As it is an alteration of current conditions, change gives rise to diverse reactions, such as non-acceptance, difference of opinion or understanding, lack of certain skills; among other situations that affect productivity and costs in a company. That is why organizational and strategic change management , as a tool and methodology to manage this type of transition, is becoming increasingly relevant in the business world.

According to KPMG's 2020 Senior japan telegram Management Outlook study, the adoption of disruptive change and innovation is one of the 4 crucial aspects for successful business management .

“In a changing environment, every day is different; therefore, you are required to be constantly innovating and adapting to change .” This is what Sabas Leal, Regional Director of the Bajío Division, Vector Casa de Bolsa for the firm KPMG , says .

In this post we explain how organizational change management works and show you 7 strategic steps to implement changes in organizations .

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What is organizational change management?
Organizational change management is the process carried out in a company – integrating the necessary tools and techniques – to manage the effects that a major change may cause.

In this process, human resource management is essential. One of the main objectives is to ensure that all people make a successful transition and are able to adopt the changes in the best possible conditions.

According to the 2020 Senior Management Outlook study , actively embracing innovation allows for building a sustainable business strategy that adapts to and incorporates the best management models.

Origin of organizational change management
Organizational change management is born as a consequence of the changes in management in the 21st century. This marks the end of scientific management , represented by authors such as Frederick Winslow Taylor and Henri Fayol ; a task-based management with a focus on the efficiency of industrial production, using scientific methods such as observation and measurement.