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Thursday, November 6, 2008

Fundamental Company Changes – Understanding the Manager’s Role

Hi,

Although this post is not exactly on a specific idea or concept, it still deals with a certain aspect of managing a new venture.

Organizations are going through many procedures that might oblige the management of the company to strive for performing material changes in the organizational operation and manpower. Sometimes, these changes are preformed due to intrinsic motivation of the company current management as a result from the influence of external factors, such as: change in the competitive environment and regulation that force changes in operation for to improving the current efficiency level and in order to retain the competitive position in the market.
In contrast, re-organization in many situations is being compelled by the owners as a result from different matters, such as: changes in high rank officers and management by the controlling shareholders and changes in ownership.
Execution of drastic changes is a problematic in every organization because it is engaged with a sense of uncertainty in the operation level and personal level of each one of the employees. This sense is normal in the present of instability in working environment as a result of lay-offs, entry of new employees, changes in organization structure and efficiency lower than normal during the transition period.The managing task during the re- organization period is immensely complex for in most cases there is strong resistance among the workers and especially when the feeling surrounding is that the shock is not essential and it might not bring the results which will grow benefit to the organization directly and to the workers indirectly.
The main driver of success is the workers, from minors to seniors, therefore the main target of the managers is to harness them in favor of executing the process. This kind of vigorous cooperation is not a trivial matter, therefore the manager must aspire to assimilate the goals and forecasted effects among others.
The manager should try to make his workers acknowledge the necessity of these changes by defining accurately, as much as possible, the efforts needed, the goals and future projections. This will demonstrate the fact the cost spent in the long term will be significantly lower from the growing utility for the company and employees.It is important to point out that there is a high risk embedded in executing this material changes in the company. In spite of that the success will refresh the work force and increase operating efficiency and by that creating new opportunities for obtaining new goals.

For exploring more about how to persuade your workers and to negotiate inside executive boardrooms, I encourage you to read 'The Art of Woo: Using Strategic Persuasion to Sell Your Ideas' by G. Richard Shell and Mario Moussa.

Gadi

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