This factsheet was last updated in July 2016.
Why organisations need to change
Many things cause organisational change. These include:
- challenges of growth, especially global markets
- economic downturns and tougher trading conditions
- changes in strategy
- technological changes
- competitive pressures, including mergers and acquisitions
- customer pressure, particularly shifting markets
- learning new organisation behaviours and skills
- government legislation/initiatives.
All organisations are in flux: changing their focus, expanding or contracting their activities and rethinking their products and services. Most organisations more than ten years old look nothing like they did even five years ago. And it's likely that in the next year or two organisations will not look as they do today. This is particularly true during times of significant economic uncertainty; for example following the vote by the UK to leave the EU in June 2016. Organisations will be under pressure from the internal and external environment to change
In this context, managers have to be able to introduce and manage change to ensure the organisational objectives of change are met, and that they gain the commitment of their people, both during and after implementation. Often, at the same time, they also have to ensure that business continues as usual.
For these reasons, it's important that the way change is managed is considered carefully. Whilst each change situation will be unique, there are still a number of common themes that will help ensure that the change process stands the greatest chance of success.
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- Why organisations need to change
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