The modern environment is an ever-changing environment posing constant competition. To sustain all sorts of environmental competition, a true business leader looks for change, puts in the best efforts to identify the right changes and tries to make them effective both inside and outside the organization in order to maximize all gains for placing business at a more than optimal level.
In business parlance, organizational change is implementation of new procedures or technologies intended to realign an organization with the changing demands of its business environment, or to capitalize on business opportunities. Change is a process of transformation from one situation to another. Organizational change can be best discussed in the limelight of two basic kinds of changestructural and cyclical.
The telegraph and telephone have changed the speed of communication dramatically. Today, we can communicate instantly to any corner of the world. This is an example of structural change, which is permanent and radical in nature making the old system obsolete. So, if an organization is not ready to adjust with this kind of change, it will surely fall behind and be swept under by its competitors. On the other hand, cyclical changes are those, which need a temporary adjustment with a limited scope of operation.
Transformational or Radical Change: It is a really traumatic type of change and takes place either in times of severe crisis or for a fundamental change in strategy. Such a transformation can take as many as three to seven years. These changes are so profound that after the event, the organization is scarcely recognizable compared with its previous condition. But when this kind of change is complete, the incremental change can start operating again or the organization can sink into a period of stagnation, which in turn, may necessitate a further change.
|
