Forecasting the Need for Change

Forecasting the Need for Change

It is noteworthy to recognize the mature stage of James’s leadership. It would seem obvious that a manager should be aware of economic and industry changes comparable to efforts of the executive officers of the organization. However, it has been my experience that most managers focus on the people within their department and develop blinders toward anything externally—as if to hope higher leadership will become aware of potential problematic issues.

GlaxoSmithKline (GSK) is a case example of not identifying an economic or industry change that portended a need to meet the financial needs of their consumers until it was far too late. The results of neglecting initial indications of the financial concerns of AIDS victims, led to a the development of several interest groups who formed similar alliances to campaign against GSK; with the mission to obliterate the unethical prices weighing on the people of South Africa and other developing countries. If GSK had made it a priority to evaluate and discuss potential threats to their organizational success, relationships of trust and profit margins could have been maintained. Instead, neglect of the arduous costs upon consumers necessitated the rise of interest groups whose goal was to “hit where it would hurt the most—GSK’s share price.” Their campaign was so effective that most of the profits within South Africa and other nations in similar circumstances were reduced to almost nothing.

Why Change Now

Given the perspective James has gained in terms of economic and industry changes, it is important to enact change now. It is important for James to realize that change will happen by degrees, but must be initiated as soon as possible in order to prevent potential turbulence that may surface in the near future, as it did for GSK.  In addition, change must begin now—due to the amount of time and resources that may be needed. In Implementing Change, Jick says that “No matter how much effort companies invest in preparation and workshops—not to mention pep rallies, banners, and pin—organizations are invariably insufficiently prepared for the difficulties of implementing change.” Once again, James must begin the change process now in order to gather sufficient organizational necessities to hedge against any unforeseen forces both inside and outside the organization.

In Common Pitfalls of Implementation, survey results of 93 medium and large-sized firms uncovered a trend of seven major problematic issues that developed with at least 60 percent of the organizations. The study revealed that in most cases implementation: 1) takes more time than originally allocated, 2) major unforeseen issues surfaced during the process of change, 3) implementation activities were not effective enough, 4) competing activities and crises detracted from implementing the change, 5) employees involved with change implementation were not sufficient, 6) training was not adequate for lower-level employees, 7) and there were uncontrollable factors in the external environment. Having previously met with his superiors to help them become aware of his concerns, James must consider how these seven points relate to changes that will need to be made in his department.

How to Initiate Change

Having already met with upper management to emphasize the economic and industry alarms, regardless of what is said for or against James’s argument to implement change; he must consider the leaders degree of support based on the information delivered and begin analyzing the seven points as a guide in developing a strategic plan of action. These efforts will assist in implementation of change in his department and will further illustrate James’s desire to improve the organizations growth.

If James’s direct leadership did not agree with his argument what-so-ever, then James must request an additional meeting with the higher authority. Being that the manager is resistant to what the information that surfaced in the previous meeting, this meeting will serve to remind the leader of the respect he has toward this person; and to help the leader understand how important their role would be in making necessary changes now to prevent any future harm to the organization.

 In the meeting, James should simply ask him/her what their perspective is of the current economic and industry status; thereby, applying the principle of “Seek First to Understand, then to be Understood” in Stephen Covey’s book titled The 7 Habits of Highly Effective People. When applied effectively, this habit promotes an empathetic and trusting environment that should then allow James to effectively deliver the primary issues of concern as he perceives them, to layout the seven principles of implementing change as James thinks they apply to his department, and to receive input. The ultimate objective of this meeting is to have two way communications and to dialogue about the potential risks of waiting to make changes.

Why People Resist Change

According to Jick, the initial resistant reactions to the need to make changes to prepare for external forces are a direct result of human behavior. People are prone to perceiving change as a threat to their position, and become immobilized and defensive. James must realize that now that he has stated his opinion of what could be severely detrimental to the organization; that rather than resist those resisting change, it will be critical to create an environment capable of receiving change.  The best managerial example of creating an environment of great camaraderie among her team given the uncertain horizon is Ofra Sherman (Sherman) of Wellcome Israel. Sherman was placed in a position of complete isolation, having identified several discouraging issues with upper management. However, instead of allowing her department to become shaken she too recognized the need to “start developing a strategy” and maintained leading her team forward.

Being a Change Implementor

James’s strategy should be similar to Sherman’s in how he fulfills his duties to his department. Also, Sherman was faced with the question of how to approach upper management regarding several issues as they related to the future. Because her company was transitioning into an acquisition with GSK with no real notice, she was uncertain on which leader to communicate to and support. James is fortunate in that, even if an acquisition occurred, he has time to communicate and support his leaders.

Jick would recommend James to generate a sense of urgency “without appearing to be fabricating an emergency, or crying wolf.” After creating urgency and a shared vision in the second meeting with upper management, James’s intent should be to gain an alliance with this leader as a change advocate. In addition to creating a culture that can adapt to change, the most effective thing James can do as a change implentor is to recognize that any large-scale change must be undertaken with an authoritative leader who can command a greater margin of support. James can seek to understand what the leader would want James to do within his department and begin identifying what Jick calls the enabling structures.

Preparing Change Recipients

Whether or not James gains the support of leadership to support a strong leader role, it is strongly advised that James begin preparing change recipients within his department. He should begin establishing enabling structures to mitigate uncertainty given the economy and the industry conditions. The most relevant issues within the seven points mentioned by Jick relate to training lower level employees and identifying current processes that could be done more effectively in order to reduce the amount of time and focus given an unforeseen even. These two points should be introduced and discussed within James’s department to understand how his team thinks they should be handled. Then as a team, they should schedule measures of implementation in front of the group on a calendar so as to improve focus and accountability. Enacting these enabling structures will further prepare the department for future change and also help to stimulate the urgency for others within the organization to give adequate consideration to preparing for what could be developing economy and industry-wide forces of change.