Change Reorganization

Change reorganization in business context refers to an overhaul of a firm’s internal structure. Majority of company’s implement change reorganization as a means to correct a financially troubled or bankrupt firm. However, other companies reorganize their institutions for the purpose of enhancing efficiency, cutting cost, re-positioning in the market and adopting to corporate change upon a merger and acquisition process. Usually, restructuring involves changing departments, business entities, roles of employees and laying off other employees. Reorganization is often conducted to restructure the business core competencies and mitigate resources. Besides, reorganization is characterized by selling of unprofitable units and outsourcing various tasks to firms that offer competitive prices. In this regard, there are several steps that are often followed during and change reorganization process.

Running head: CHANGE REORGANIZATION 1
Change Reorganization
Name
Institution

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Change reorganization in business context refers to an overhaul of a firm’s internal
structure. Majority of company’s implement change reorganization as a means to correct a
financially troubled or bankrupt firm. However, other companies reorganize their institutions for
the purpose of enhancing efficiency, cutting cost, re-positioning in the market and adopting to
corporate change upon a merger and acquisition process (Bartlett, 2017). Usually, restructuring
involves changing departments, business entities, roles of employees and laying off other
employees. Reorganization is often conducted to restructure the business core competencies and
mitigate resources. Besides, reorganization is characterized by selling of unprofitable units and
outsourcing various tasks to firms that offer competitive prices. In this regard, there are several
steps that are often followed during and change reorganization process.
Problem identification
The first step in a change reorganization process is understanding the issue at hand. This
is significant to assist the decision makers to structure a different and better approach.
Essentially, defining the problem involves an evaluation on whether the existing business
structure is aimed at realizing the objectives of the firm. Project managers are the once who are
tasked with the responsibility of monitoring and regulating the project to completion (Baca,
2013). Moreover, a firm is required to evaluate significant areas of a firm that contributes to
effectiveness of the overall objective (Lynch & Mors, 2018). In order to realize these goals, an
institution uses various methods to collect data from the employees. Among the common ways to
collect data from the staff members include interviews, focus groups, and human resource
department output.
Framing new structure

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The second step involves the assigning of new tasks across an institution by defining the
duties to be performed, framework to be followed and links between the function to achieve a
common goal. Besides, an organization should determine relationships among all stakeholders
with respect to effectiveness (Keil & Ndou, 2016). During this process, a firm tries to determine
whether there are duplication of activities that need to be corrected. Nonetheless, it is in this step
that the process of decision making is evaluated. An institution needs to know people who are
responsible for decision making and how the communication is be structured. Furthermore,
internal departmental policies with respect to decision rules, personnel, purchasing and research
and development should be carried out. The human resource departments is expected to evaluate
departmental employees concerning their expertise and experience to structure a culture for a
firm.
Develop a new proposal
Once the issues in steps one and two are evaluated, it is crucial for a firm to develop a
reorganization proposal. The proposal should contain specific details such as timelines that the
change is likely to take, clear and concise reason as to why the change needs to be conducted,
what to expect once the change has been implemented and duties description for the changed
position. Besides, the proposal should contain personal details of the employees impacted by the
change, new channel for reporting, employees’ residence and salary implication (Dhir, 2019).
Other issues that are relevant for the proposal include gender implications, evaluating the
candidates for various positions, comparison between current skills and needed skills, evaluation
of training needs and resources as well as clarification of objectives goals and standards for
accomplishing the objectives.
Developing a communication plan

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Communication plan plays a significant role with respect to change reorganization. How
well the communication is effected will influence the adoption of the new structure and enhance
the change to achieve desired goals. Therefore, a firm will need to work closely with different
groups that will require such information (Ten Have et al, 2016). Also, a firm will evaluate a
suitable method for review with stakeholders as well as schedule of information with staff
members. Moreover, a firm is expected to plan communication with external users for purposes
of announcing the new structure, arrange meetings with employees that have been impacted
through the new framework and evaluate and gather information as change is being
implemented. Among other things that a firm will require during the communication phase is
facilitating communication by remaining open minded to new ideas from employees, schedule
frequent meetings with staff members, encourage staff to brainstorm and structuring of systems
that will provide regular feedback from management, staff and focus groups.
The five intervention that are recommended for the Pegasus department heads are based
on the steps involved in planning for change reorganization. Therefore, the five intervention
include communication plan, sponsorship plan, coaching plan, training plan and resistance
management plan.
Communication plan
Communication plays a significant role in implementing change. It is often considered to
be the main requirement for a successful change management. However, it is often confused with
newsletters or constant messages to the employees (Hayes, 2018). Effective communication is
targeted to specific audiences that are influenced by the change process. Therefore, a well-
articulated communication plan presents the correct messages in a timely manner as well as
format. The rationale behind this intervention is that communication is a significant tool that is

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used to enhance awareness and sufficient reasons Pegasus requires change and the need for other
players to participate in the change process. Thus, communication is the most effective and
provides information in the clear and concise manner to assist the employees understand and
comprehend the need for change.
Sponsorship plan
For a successful change-management reorganization to take place, sponsorship is cited as
a key contributor. This is because the sponsors are tasked with key roles which include actively
and visibly participating in change, building relationship with senior leaders and managers and
communicating to employees with respect to change. However, leaders in various organization
fail to demonstrate effective sponsorship. This is because some may have competing priorities
that may differ from the change required. According to Reiß, the process of change in an
institution is always characterized by complexity Reiß, 2012). Therefore, the sponsorship plan
offers a framework that bypasses challenges by laying out what is required by the team project,
senior managers and lead employees. The rationale behind this phase is that senior employees at
Pegasus are required to demonstrate their organization commitment to change. They are required
to act as the sender of communication to employees concerning reasons for change
reorganization. Besides, sponsors at Pegasus need to understand their role in the need to
participate and support the change process.
Coaching Plan
This intervention involves the employees and their immediate supervisors. It therefore
implies that the manager and supervisors play a crucial role in this phase to implement successful
change process. As a result, their duties involve communicating to employees about and how it is

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likely to affect them. Coaching manages the attitudes of the employees to determine how their
employees perceive change, identifying and managing resistance to change reorganization and
offering recognition and support during implementation. Furthermore, the coaching plan is
meant to outline the specific steps that are going to be carried out by managers. To begin with, it
specifies the roles of change management team and the resources they will need to effectively
carry out a change management process.
After which, the managers and supervisors are provided with training on how to
communicate and involve the employees in the change process. This phase is crucial in order to
ensure that change is implemented effectively. The coaching process is built upon relationships
by investing more time, resources and motivation on the managers and their supervisors
(Vukotich, 2011). The rationale behind this intervention is that Pegasus department heads need
to ensure that the employees understand and comprehend the need for change from the people
they report to. This is because the employees look up to their authorities and are likely to follow
what they are told based on the working culture of the organization. Besides, coaching helps to
get everyone on board with respect to building knowledge and abilities as well as expressing
support and commitment for all stakeholders in the change reorganization.
Training plan
Training is an intervention that aims to enhance skills and capabilities. In many cases,
most organizations lack a holistic approach and training remains to be a key tool in managing the
change process. Training does not imply sending employees to training with an aim of
effectively managing the change process. The role of the manager during training is centered on
identifying the skills and capabilities of the employees in order to have standardization (Goksoy,
2016). This is significant to determine the gaps that exist in the new framework of change. An

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effective change management encourages partnership between the change management team and
training groups. The rationale behind this intervention is that training is focused on building
knowledge. It is significant for Pegasus and the employees to have the experience of change
through training since a financial project will require a person who is skilled in financial matters
(Downing, 2016). To Pegasus, training is significant for creating successful change that has to
come once stakeholders are made aware.
Resistance management plan
Resistance to change is the most challenging aspect in change management
reorganization process. As a result, managers are required to be proactive and develop ways to
prevent and minimize resistance. Managing resistance requires identifying the nature of
resistance and be able to develop steps that will handle resistance before they manifest. The
rationale behind this intervention is pegged on the success of the change process (Downing,
2016). Without an elaborate framework for managing resistance the likelihood of failure of the
change process is high and would impact Pegasus more than the position the company was
before the need for change-management reorganization (Sauer, 2015).

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References
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Bartlett, C. A. (2017). Multinational structural change: evolution versus reorganization.
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Organizational Behavior, Innovation, Change Management, Human Resources, VUCA.
Downing, J. (2016). Achieving Success in a Culture of Change: Reorganization and the Prospect
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Hayes, J. (2018). The theory and practice of change management. Palgrave.
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Sauer, J. J. (2015). Resilience Theory and Inevitable Change: Che Agency, Identity, and
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Ten Have, S., ten Have, W., Huijsmans, A. B., & Otto, M. (2016). Reconsidering change
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