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dineshbabu
Student (MBA)
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Why do Organizations Change?
We all know that organizations change. They have to. But exactly why do organizations change? In other words, what are the causes or reasons for change to occur in organizations?
How can these reasons be categorized in a logical way? Is there some kind of model of causes for organizational change?
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Jaap de Jonge
Editor, Netherlands
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Why do Organizations Change? Causes
Thanks for your excellent question... A first breakdown of such reasons or causes for companies or public organizations to change could be:
| WHY DO ORGANIZATIONS CHANGE?
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A. Factors in the external environment
Factors outside the firm, generally beyond its control |
B. Internal factors in the organization
Factors inside the firm, generally under its control |
| A1. Political |
B1. Leadership |
| A2. Economic |
B2. Vision |
| A3. Social |
B3. Mission (statement), purpose |
| A4. Technological |
B4. Strategy |
| A5. Competition |
B5. Culture, values |
| A6. Customer demands |
B6. Policies, procedures, systems |
| A7. Environment, climate, pollution |
B7. Merger |
A useful model for external factors: PEST Analysis.
A useful model of internal factors: McKinsey's 7S Framework.
Any of the 14 main causes could be further split up into a large number of sub-factors. For example A2. Economic could be further split up into: economic growth, recession, interst rates, government spending, unemployment rates, taxation, infaltion, consumer confidence, globalization, etc.
Note that some of these main causes can be viewed as external or internal. And also that certain sub-factors can be viewed as being part of multiple main causes. As usual, the reality is always more complex than the management model. But how could we manage :-) without them?
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Emilio Ferrero
Management Consultant, Curacao
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Triggers for Organizational Change
Mr. de Jonge's list is quite thorough and is usual (...)
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Dilip Khanal
CEO, Nepal
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Change Factors in Small Organizations
Further to Mr de Jonge's list, I would like to add (...)
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Robert Gerth
Project Manager, Sweden
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Change Factors and the Resistance to Change
This is an interesting question but I think it cou (...)
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Jaap de Jonge
Editor, Netherlands
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What are Causes for Organizations NOT to Change?
@Robert: Thanks for your excellent contribution. I (...)
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Dilip Khanal
CEO, Nepal
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Organizations Keep on Changing, But we don't Notice it
@Dilip Khanal, Editor: I am talking of small chang (...)
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FREDDY VILLAVICENCIO
Business Consultant, Venezuela
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Why Organizations Change? It is Just a Reaction to Survive
The theory of a change can illustrate why some org (...)
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Jaap de Jonge
Editor, Netherlands
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What are the Causes of Organizational Change?
@FREDDY VILLAVICENCIO: Thanks for your excellent b (...)
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Francis
Manager, Thailand
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What are the Cause of Organizational Change?
I think the main causes of the organizational chan (...)
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Jaap de Jonge
Editor, Netherlands
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7 Levels of Organizational Consciousness (Barrett)
@Francis: I think you are referring to Barrett’s 7 (...)
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Frik Reynecke
Management Consultant, Saudi Arabia
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7 Levels of Consciousness - Building a Change Agility Capability
Agile organizations will preempt change and keep w (...)
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Graham Williams
Management Consultant, South Africa
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Why do Organizations Change? Causes
Lovely, informative discussion so far. Frik - nice (...)
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Miguel Sacramento
Business Consultant, Brazil
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Organizations Must Change
Richard Daft, in his book "Organizations", says th (...)
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Gandhi Heryanto
Management Consultant, Indonesia
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Causes of Change in Organizations
Many factors cause change in an organization. Glee (...)
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Charles Tombazian
Management Consultant, United States
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The 3 C's of Change
I see many good thoughts in the stream-- I'd synth (...)
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Muhammad Moeen
HR Consultant, Pakistan
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Internal versus External Factors
Respected Sir, I think the external factors trigge (...)
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Moses Osofero
Student (Other), Finland
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Why Organizations Need To Change? To Survive!
Yes, organizations do change and must change; any (...)
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Ramon Perley M.Pandaan
Professor, Philippines
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Why Organizational Changes Occur in Practice
In my experience, organizational changes commonly (...)
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Maurice Hogarth
Consultant, United Kingdom
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PEST Factors can be External and Internal
@Jaap de Jonge: Indeed Political, Economic, Social (...)
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Graham Williams
Management Consultant, South Africa
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Why Organizations Change? Evolutionary Dynamics
To understand WHY organisations change, another in (...)
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Sridhar Gopal
Management Consultant, India
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Triggers of Organizational Change I have Seen
Going over the responses here has been a good lear (...)
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Maurice Hogarth
Consultant, United Kingdom
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Organizational Well-being Health Check
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Charles Tombazian
Management Consultant, United States
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People are Often at the Basis of Org Change
I'd like to play a bit off Graham's, Emilio's and (...)
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FREDDY VILLAVICENCIO
Business Consultant, Venezuela
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The World is Constantly Changing
There is not an specific answer to the original qu (...)
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