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IOP Conference Series: Materials Science and Engineering
PAPER • OPEN ACCESS
A Case Study on Change Management Readiness for an Oil & Gas SME
Company in Malaysia
To cite this article: I. S. Baharudin et al 2020 IOP Conf. Ser.: Mater. Sci. Eng. 834 012048
View the article online for updates and enhancements.
This content was downloaded from IP address 216.74.77.223 on 23/06/2020 at 18:21
PAPER • OPEN ACCESS
A Case Study on Change Management Readiness for an Oil & Gas SME
Company in Malaysia
To cite this article: I. S. Baharudin et al 2020 IOP Conf. Ser.: Mater. Sci. Eng. 834 012048
View the article online for updates and enhancements.
This content was downloaded from IP address 216.74.77.223 on 23/06/2020 at 18:21
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Content from this work may be used under the terms of the Creative Commons Attribution 3.0 licence. Any further distribution
of this work must maintain attribution to the author(s) and the title of the work, journal citation and DOI.
Published under licence by IOP Publishing Ltd
ICAME 2019
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
1
A Case Study on Change Management Readiness for an Oil &
Gas SME Company in Malaysia
I. S. Baharudin*1, B. Abdullah1, N. A. Mohd Salleh1 and P. Shariffudin2
1Faculty of Mechanical Engineering, Universiti Teknologi MARA (UiTM), Shah
Alam 40450 Selangor, Malaysia.
2Faculty of Business Management, Universiti Teknologi MARA (UiTM), Shah Alam
40450 Selangor, Malaysia.
*inderashaiful@gmail.com
Abstract. Change management is vital in sustaining and remain competitive in a volatile
environment. A well-planned change management effort has been craved by organizations in
need as being more profitable, reputable and sustainable is the ultimate achievement. These
changes to the pillars of the organization normally are more transformative than incremental in
nature. All arrows pointing to the single biggest step an organization is to embark if they choose
to ride the path of a successful change management execution – the change management
readiness. This paper discusses the aspects of change management readiness which entails the
need for readiness, the activities within readiness, the factors of leadership, communication and
awareness that embodies the readiness as a whole. A case study of an actual organization
participated in the study using leadership profiling assessment, organizational communication
survey, change management awareness survey and maturity assessment. The results from this
study is realistic and impactful to its readers. This paper validates the underlying theory of the
three factors in a real industry environment and how successful change management readiness
can be obtained with diligent planning and execution.
1. Introduction
The sixth Prime Minister of Malaysia initiated the Economic Transformation Plan, which place high
priority to the Oil and Gas industry, as it has been the most potential and lucrative industry at the
moment. The concentration encourages new companies to join the industry, while the current businesses
grow within rapidly. Many incentives are being given to support this effort but the biggest question
remains whether these “Small Medium Enterprises” (SME) companies are ready for expansion,
globalization or survival. Are they ready to compete on the international playing field in terms of
deliverability, quality and price competitiveness? These are the biggest questions asked of a company
in these situations. While they try to pursue change through generative learning, they see things and
begin transforming its structures when waves of alarming needs corner them for change in process,
people, structure and strategy [1] in order to survive.
This is the current problem and scenario that most companies in Malaysia are facing, as majority are
still operating on local standards and deliverables. When Malaysia eventually opens up its market in
complying to the Asian Free Trade Agreement (AFTA), many will feel the pinch and loss of business
opportunity. Only sustainable model implementation and adaptation to the current market demand will
enable them to survive this phenomenon.
of this work must maintain attribution to the author(s) and the title of the work, journal citation and DOI.
Published under licence by IOP Publishing Ltd
ICAME 2019
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
1
A Case Study on Change Management Readiness for an Oil &
Gas SME Company in Malaysia
I. S. Baharudin*1, B. Abdullah1, N. A. Mohd Salleh1 and P. Shariffudin2
1Faculty of Mechanical Engineering, Universiti Teknologi MARA (UiTM), Shah
Alam 40450 Selangor, Malaysia.
2Faculty of Business Management, Universiti Teknologi MARA (UiTM), Shah Alam
40450 Selangor, Malaysia.
*inderashaiful@gmail.com
Abstract. Change management is vital in sustaining and remain competitive in a volatile
environment. A well-planned change management effort has been craved by organizations in
need as being more profitable, reputable and sustainable is the ultimate achievement. These
changes to the pillars of the organization normally are more transformative than incremental in
nature. All arrows pointing to the single biggest step an organization is to embark if they choose
to ride the path of a successful change management execution – the change management
readiness. This paper discusses the aspects of change management readiness which entails the
need for readiness, the activities within readiness, the factors of leadership, communication and
awareness that embodies the readiness as a whole. A case study of an actual organization
participated in the study using leadership profiling assessment, organizational communication
survey, change management awareness survey and maturity assessment. The results from this
study is realistic and impactful to its readers. This paper validates the underlying theory of the
three factors in a real industry environment and how successful change management readiness
can be obtained with diligent planning and execution.
1. Introduction
The sixth Prime Minister of Malaysia initiated the Economic Transformation Plan, which place high
priority to the Oil and Gas industry, as it has been the most potential and lucrative industry at the
moment. The concentration encourages new companies to join the industry, while the current businesses
grow within rapidly. Many incentives are being given to support this effort but the biggest question
remains whether these “Small Medium Enterprises” (SME) companies are ready for expansion,
globalization or survival. Are they ready to compete on the international playing field in terms of
deliverability, quality and price competitiveness? These are the biggest questions asked of a company
in these situations. While they try to pursue change through generative learning, they see things and
begin transforming its structures when waves of alarming needs corner them for change in process,
people, structure and strategy [1] in order to survive.
This is the current problem and scenario that most companies in Malaysia are facing, as majority are
still operating on local standards and deliverables. When Malaysia eventually opens up its market in
complying to the Asian Free Trade Agreement (AFTA), many will feel the pinch and loss of business
opportunity. Only sustainable model implementation and adaptation to the current market demand will
enable them to survive this phenomenon.
ICAME 2019
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
2
Since companies need to change in meeting the demands of the market, this study explores an
element in change management for this concentrated industry in Malaysia – the readiness for change
management in an organization. For the SME Construction companies within the Oil and Gas industry,
they must be able to act fast and prevent the collapse of market competitiveness. Globalization will take
its toll whether we like it or not, it's how these companies adapt and transform towards the external
imposition that makes survival and growth possible.
This study has an objective of evaluating a company's readiness in executing change management
through the factors of leadership, communication, and awareness. These three factors are essential in
the completeness of change management readiness and have been proposed by previous research within
the same field to study on the role of organizational communication processes, as well as the importance
of information on levels of change readiness [2]. The discussion will be led on what change management
is all about, its implementation, preparation for change management, leadership, communication,
awareness, assessments, surveys and recommendation for the further impact the knowledge and industry
stakeholders in the future.
2. Literature review
2.1 Change Management
Change Management was defined by Prosci as a process and set of tools to assist people/organization
in achieving its desired outcome [3]. Change management in an organization relies heavily on human
factor with leadership and communication prowess underlining its helm. Change Management is to be
considered successful when the objective of the company is being met through people collaboration and
successful execution of the program itself. It is glaring that change management is inevitable for
companies in Malaysia as they need to respond to the volatile market. Many claim Malaysia [4] as one
of the most open economies in the world [5], which makes change management and its readiness vital
in any organization.
2.2 Organizational Readiness in Change Management
An organization's decision to embark in change management is as important as its decision to ensure the
organization is ready for the change itself. Many top management fails to understand that the barriers to
change are the employee themselves. There is a limit in imposing instruction on subordinates, therefore
it is crucial to get the employee's willingness to improve, work better and embrace the changes within
the organization.
While the majority of the change management effort failed due to the sponsor or the highest rank
person with executive power in an organization didn't 100% on board with the change management
program, the next contributing factor is the inability to remove or overcome the barrier of change itself.
These barriers come in multiple forms from people resisting change, communication breakdown,
insufficient time for training, and staff turnover during change [6]. These barriers boil down to three
factors of leadership, communication, and awareness in change management respectively.
2.2.1 Leadership in Change Management.
Implementing change management is an easy feat with the right managerial leadership within the
organization. Being exemplary and communicating strategies, information, updates, and instruction
constantly towards people around you are the leaders of change management that have helped companies
transformed successfully [7]. In a modern organization, the top-down approach is no longer valid as 360
relations, communications, interaction, evaluations come into the fray. This factor demands more from
the manager to be more sociable, open and transparent with his/her subordinates. Studies have shown
that two out of three transformation initiatives fail due to incompetent managers. We have seen many
of these instances in companies struggling to compete and maintaining the high quality of services where
lack of "movement" towards organizational needs.
This research emphasizes leadership role before, during and after the change management process.
It is imperative to have the support, concern and committed managers to employee’s welfare during the
times of change [8]. Managers become leaders, acting as change drivers and change agents during these
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
2
Since companies need to change in meeting the demands of the market, this study explores an
element in change management for this concentrated industry in Malaysia – the readiness for change
management in an organization. For the SME Construction companies within the Oil and Gas industry,
they must be able to act fast and prevent the collapse of market competitiveness. Globalization will take
its toll whether we like it or not, it's how these companies adapt and transform towards the external
imposition that makes survival and growth possible.
This study has an objective of evaluating a company's readiness in executing change management
through the factors of leadership, communication, and awareness. These three factors are essential in
the completeness of change management readiness and have been proposed by previous research within
the same field to study on the role of organizational communication processes, as well as the importance
of information on levels of change readiness [2]. The discussion will be led on what change management
is all about, its implementation, preparation for change management, leadership, communication,
awareness, assessments, surveys and recommendation for the further impact the knowledge and industry
stakeholders in the future.
2. Literature review
2.1 Change Management
Change Management was defined by Prosci as a process and set of tools to assist people/organization
in achieving its desired outcome [3]. Change management in an organization relies heavily on human
factor with leadership and communication prowess underlining its helm. Change Management is to be
considered successful when the objective of the company is being met through people collaboration and
successful execution of the program itself. It is glaring that change management is inevitable for
companies in Malaysia as they need to respond to the volatile market. Many claim Malaysia [4] as one
of the most open economies in the world [5], which makes change management and its readiness vital
in any organization.
2.2 Organizational Readiness in Change Management
An organization's decision to embark in change management is as important as its decision to ensure the
organization is ready for the change itself. Many top management fails to understand that the barriers to
change are the employee themselves. There is a limit in imposing instruction on subordinates, therefore
it is crucial to get the employee's willingness to improve, work better and embrace the changes within
the organization.
While the majority of the change management effort failed due to the sponsor or the highest rank
person with executive power in an organization didn't 100% on board with the change management
program, the next contributing factor is the inability to remove or overcome the barrier of change itself.
These barriers come in multiple forms from people resisting change, communication breakdown,
insufficient time for training, and staff turnover during change [6]. These barriers boil down to three
factors of leadership, communication, and awareness in change management respectively.
2.2.1 Leadership in Change Management.
Implementing change management is an easy feat with the right managerial leadership within the
organization. Being exemplary and communicating strategies, information, updates, and instruction
constantly towards people around you are the leaders of change management that have helped companies
transformed successfully [7]. In a modern organization, the top-down approach is no longer valid as 360
relations, communications, interaction, evaluations come into the fray. This factor demands more from
the manager to be more sociable, open and transparent with his/her subordinates. Studies have shown
that two out of three transformation initiatives fail due to incompetent managers. We have seen many
of these instances in companies struggling to compete and maintaining the high quality of services where
lack of "movement" towards organizational needs.
This research emphasizes leadership role before, during and after the change management process.
It is imperative to have the support, concern and committed managers to employee’s welfare during the
times of change [8]. Managers become leaders, acting as change drivers and change agents during these
ICAME 2019
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
3
processes. They need to drive and gain the trust of their subordinates on why change is needed in the
organization. Poor managers cum leaders will lead to a disastrous change climate within the organization
and make it difficult to cope with the ever-increasing frequency of organizational change with it is
already set in motion [9]. Developing managers with analytical, influential, emotional, political,
interpersonal and technical attributes is essential, especially in contributing to the probability of change
readiness success [10].
2.2.2 Communication in Change Management.
The purpose of employing communication as one of the key areas of change management is to
disseminate information to the intended group of people. There are many forms of communication
channels available within an organization including employee portals, newsletters, emails, static and
non-static media as well as face to face communications. Many organization misunderstood the change
communication as a process of mediating instead of intermediating [11]. To have effective
communication, information needs to be interpreted and reinterpret them into ideas and processes that
are easy to understand, thus applying the mediating technique. While using the communication channels,
its best to incorporate latest technologies albeit social network and video conferencing to enhance
outreach to employees. However, although it is the management's decision to establish any means of
communication channels deemed effective, one must avoid a typical top-down and one way conduits
approach while using these communication facilities to avoid a breakdown in communication [12].
2.2.3 Awareness in Change Management.
The first building block of one of the most popular change management model, Prosci’s ADKAR, is
awareness. [13]. An employee needs to know why change is needed, how it is affecting them and what
are their roles in participating in this change. This is where awareness is crucial in getting their
willingness and buy-in towards implementing change. Another factor of awareness is the believability
of the information they receive. This relates much to the manager's role in relaying accurate information
to build trust and enable the communicated messages being interpreted in the right manner. It is
advisable to have constant top management engagement with employees, regular communication
between managers and subordinates and continuous monitor of awareness level about the change
management situation within the organization.
2.3 Situation of SME Oil & Gas Companies in Malaysia
Through the economic transformation plan launched by the government, oil and gas and renewable
energy contribute a major portion of Malaysian economy with the increasing growth of 5% per year up
to the year 2020 [14]. The concentration on oil and gas industry has grown over the years and more
opportunities and potential are available in the market. This makes the growth of companies inevitable
as when there's a pull factor strong enough to attract local SME companies, the same pull factor
influences international companies in protruding the local construction scene. With the development
and launching of Rapid Project, increasing construction and revamping works by big players like
Petronas, Shell, ExxonMobil, and Petron [15] for their current and upcoming facilities, increase in
competitiveness is the need for all companies battling to survive.
The largest contributor to our national income/business participation is through SME companies.
These companies are companies within the range of 75-200 people [16]. The challenge of SME to react
towards an open market and globalization is to meet the standards expected by all the current big players
and new players in the Malaysian market through the influx of investment through the market.
Companies like Tokuyama Corp., LION Group, Assar are all newly invested companies in Malaysia
which can be considered as Foreign Direct Investment (FDI) [17]. The SMEs are facing an obstacle in
the areas of manpower competency, infrastructure, business competition, technological and innovation
infrastructure and government policies [18], [19]. It was identified that the key success factor for SMEs
with more than 10 years in the business are including but not limited to the items mentioned below,
which happens to be the biggest challenge for SME to compete and grow into an internationally
competitive company [20]. The items are:
i. Sound management capability and integrity
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
3
processes. They need to drive and gain the trust of their subordinates on why change is needed in the
organization. Poor managers cum leaders will lead to a disastrous change climate within the organization
and make it difficult to cope with the ever-increasing frequency of organizational change with it is
already set in motion [9]. Developing managers with analytical, influential, emotional, political,
interpersonal and technical attributes is essential, especially in contributing to the probability of change
readiness success [10].
2.2.2 Communication in Change Management.
The purpose of employing communication as one of the key areas of change management is to
disseminate information to the intended group of people. There are many forms of communication
channels available within an organization including employee portals, newsletters, emails, static and
non-static media as well as face to face communications. Many organization misunderstood the change
communication as a process of mediating instead of intermediating [11]. To have effective
communication, information needs to be interpreted and reinterpret them into ideas and processes that
are easy to understand, thus applying the mediating technique. While using the communication channels,
its best to incorporate latest technologies albeit social network and video conferencing to enhance
outreach to employees. However, although it is the management's decision to establish any means of
communication channels deemed effective, one must avoid a typical top-down and one way conduits
approach while using these communication facilities to avoid a breakdown in communication [12].
2.2.3 Awareness in Change Management.
The first building block of one of the most popular change management model, Prosci’s ADKAR, is
awareness. [13]. An employee needs to know why change is needed, how it is affecting them and what
are their roles in participating in this change. This is where awareness is crucial in getting their
willingness and buy-in towards implementing change. Another factor of awareness is the believability
of the information they receive. This relates much to the manager's role in relaying accurate information
to build trust and enable the communicated messages being interpreted in the right manner. It is
advisable to have constant top management engagement with employees, regular communication
between managers and subordinates and continuous monitor of awareness level about the change
management situation within the organization.
2.3 Situation of SME Oil & Gas Companies in Malaysia
Through the economic transformation plan launched by the government, oil and gas and renewable
energy contribute a major portion of Malaysian economy with the increasing growth of 5% per year up
to the year 2020 [14]. The concentration on oil and gas industry has grown over the years and more
opportunities and potential are available in the market. This makes the growth of companies inevitable
as when there's a pull factor strong enough to attract local SME companies, the same pull factor
influences international companies in protruding the local construction scene. With the development
and launching of Rapid Project, increasing construction and revamping works by big players like
Petronas, Shell, ExxonMobil, and Petron [15] for their current and upcoming facilities, increase in
competitiveness is the need for all companies battling to survive.
The largest contributor to our national income/business participation is through SME companies.
These companies are companies within the range of 75-200 people [16]. The challenge of SME to react
towards an open market and globalization is to meet the standards expected by all the current big players
and new players in the Malaysian market through the influx of investment through the market.
Companies like Tokuyama Corp., LION Group, Assar are all newly invested companies in Malaysia
which can be considered as Foreign Direct Investment (FDI) [17]. The SMEs are facing an obstacle in
the areas of manpower competency, infrastructure, business competition, technological and innovation
infrastructure and government policies [18], [19]. It was identified that the key success factor for SMEs
with more than 10 years in the business are including but not limited to the items mentioned below,
which happens to be the biggest challenge for SME to compete and grow into an internationally
competitive company [20]. The items are:
i. Sound management capability and integrity
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ICAME 2019
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
4
ii. Sound business cultures and entrepreneurial spirit
iii. Prudent financial management
iv. High-quality products and services
v. An effective program for human resource development
vi. Strong support from financial institution
vii. Strong marketing strategies
viii. Continuously looking for opportunities to expand.
Most of the local SME are struggling with these key success factors and in order to overcome these
challenges, especially in oil and gas, must undergo change management to be competitive, maintain
quality, meeting on-time delivery while gaining significant profit at the same time. An SME company
in Malaysia will need to transform by redirecting its strategies, internal competencies, structure, process,
culture, and people in order to succeed [21].
3. Case study description, instruments, and method
3.1 Case organization
3.1.1 Background.
The case study for change management readiness is a medium sized oil & gas engineering construction
company based in Kuala Lumpur. The company has been operating in Malaysia for more than 50 years
with employee’s headcount of 100 people at the point of the study (22 managerial level, 72 non-
managerial level and 6 non-managerial/non-executive directors). Steadily growing since its
establishment, the company's revenue for 2013 was RM153 million. Their previous clients are from
international and local based company such as Petron, Petronas, ExxonMobil, and Tokuyama. The
company specializes in "Engineering, Procurement, Construction and Commissioning” (EPCC)
operations and provides its services with exceptional quality and standards. Company objective is to
satisfy client through quality, safety and completion timeliness, maximizing profit for the shareholders
as well as providing a rewarding career to all its employees.
3.1.2 Organizational issues and problems.
Change management was mooted by the managing director of the organization after a decline in client
satisfaction in the “Customer Satisfaction Feedback (CSF)” for 4 of the last 7 projects, where they
achieved below 2.5 of 5, completed by the company. The main reason for the decline in results was due
to lack of manpower support, substandard engineering drawings quality and technical ability of the
employees executing the projects.
3.1.3 The change management program.
In order to turnaround the company’s performance, the company underwent organizational assessment
and detailed analysis of every segment of the organization using 6-pillar model, introduced by Indera
Shaiful and Bulan Abdullah [22]. The change management program was introduced based on these
results and was carried out with the full support of board directors and company owners. The change
management masterplan has 7 programs as follows:
i. Preparation for change programme
ii. Total organizational improvement programme
iii. Employees performance management system programme
iv. KPI tailoring programme
v. Organizational performance monitoring programme
vi. Compliance programme
vii. Work approach programme
The first change management program is to be conducted within the first three months and the next
six programs to be completed within a year after the first program is completed. The preparation for
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
4
ii. Sound business cultures and entrepreneurial spirit
iii. Prudent financial management
iv. High-quality products and services
v. An effective program for human resource development
vi. Strong support from financial institution
vii. Strong marketing strategies
viii. Continuously looking for opportunities to expand.
Most of the local SME are struggling with these key success factors and in order to overcome these
challenges, especially in oil and gas, must undergo change management to be competitive, maintain
quality, meeting on-time delivery while gaining significant profit at the same time. An SME company
in Malaysia will need to transform by redirecting its strategies, internal competencies, structure, process,
culture, and people in order to succeed [21].
3. Case study description, instruments, and method
3.1 Case organization
3.1.1 Background.
The case study for change management readiness is a medium sized oil & gas engineering construction
company based in Kuala Lumpur. The company has been operating in Malaysia for more than 50 years
with employee’s headcount of 100 people at the point of the study (22 managerial level, 72 non-
managerial level and 6 non-managerial/non-executive directors). Steadily growing since its
establishment, the company's revenue for 2013 was RM153 million. Their previous clients are from
international and local based company such as Petron, Petronas, ExxonMobil, and Tokuyama. The
company specializes in "Engineering, Procurement, Construction and Commissioning” (EPCC)
operations and provides its services with exceptional quality and standards. Company objective is to
satisfy client through quality, safety and completion timeliness, maximizing profit for the shareholders
as well as providing a rewarding career to all its employees.
3.1.2 Organizational issues and problems.
Change management was mooted by the managing director of the organization after a decline in client
satisfaction in the “Customer Satisfaction Feedback (CSF)” for 4 of the last 7 projects, where they
achieved below 2.5 of 5, completed by the company. The main reason for the decline in results was due
to lack of manpower support, substandard engineering drawings quality and technical ability of the
employees executing the projects.
3.1.3 The change management program.
In order to turnaround the company’s performance, the company underwent organizational assessment
and detailed analysis of every segment of the organization using 6-pillar model, introduced by Indera
Shaiful and Bulan Abdullah [22]. The change management program was introduced based on these
results and was carried out with the full support of board directors and company owners. The change
management masterplan has 7 programs as follows:
i. Preparation for change programme
ii. Total organizational improvement programme
iii. Employees performance management system programme
iv. KPI tailoring programme
v. Organizational performance monitoring programme
vi. Compliance programme
vii. Work approach programme
The first change management program is to be conducted within the first three months and the next
six programs to be completed within a year after the first program is completed. The preparation for
ICAME 2019
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
5
change program was designed to minimize implementation risk and ensure success for the whole change
management masterplan. This preparation is also called change readiness[23], where in order to
overcome the barrier of change within the organization, the company has focused on leadership,
communication, and awareness as the key towards achieving organizational change goals set by the
management. Detail activities obtained from the company's masterplan are as follows:
i. Managerial training
ii. Readiness of communication channels
iii. Improvisation of communication channels and distribution of knowledge
iv. Leadership program
v. Communicating organizational strategies
vi. Change awareness initiatives
3.2 Instruments
There were 4 instruments/tools used to conduct the study by the researcher. These instruments/tools
were carefully adopted and created in order to reflect the true nature of the organization through these
assessments and surveys. The first instrument is the leadership profiling assessment, which identifies
the managers in the organization on their sociability, dominance, and openness. This assessment was
adopted from a book titled "Managers As Mentors: Building Partnerships for Learning" published in
2013 [24]. The second instrument is the organizational communication survey, which is a survey
emphasizing to the communication condition within the organization through channels available
internally. This survey was generated and distributed by Qualtrics, an online survey tool [25].
The third instrument was is the change management awareness survey, intended to gauge the
awareness level of all employees on the objective, execution detail, roles and relationships and timeline
of the change management plan the company intends to implement. This instrument was developed
within the organization itself. The fourth instrument is the maturity assessment (overall change readiness
assessment) which highlights the readiness of the organization and risk level in implementing change
management as a whole. This instrument was adapted from November ag, a renowned consultant based
in Switzerland [26].
4. Results and discussions
After the execution of the activities in preparation for change programme, the results of leadership,
communication, and awareness was observed using the tools and measurement techniques in the
previous section. It can be observed since total preparation and readiness of the organization is
dependent on these 3 factors, these results determine whether there is more time required for change
management preparation activities or it can be done immediately.
The results of the factors of leadership, communication awareness within the organization influence
the outcome of the maturity assessment, which entails whether the organization is ready for change
management implementation. All factors must comply with the readiness minimum requirement to
reduce the risk of change management activities to be affected during execution.
4.1 Leadership
For the leadership factor, the assessment was done using the leadership profiling matrix as explained in
section 3. The assessment was done successfully with 100% participation within the population of the
managers in the organization. As explained in section 3 above, the 22 managers involved were subjected
to 3 leadership factors of sociability, dominance, and openness. The Table 1 show the manager profile
matrix.
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
5
change program was designed to minimize implementation risk and ensure success for the whole change
management masterplan. This preparation is also called change readiness[23], where in order to
overcome the barrier of change within the organization, the company has focused on leadership,
communication, and awareness as the key towards achieving organizational change goals set by the
management. Detail activities obtained from the company's masterplan are as follows:
i. Managerial training
ii. Readiness of communication channels
iii. Improvisation of communication channels and distribution of knowledge
iv. Leadership program
v. Communicating organizational strategies
vi. Change awareness initiatives
3.2 Instruments
There were 4 instruments/tools used to conduct the study by the researcher. These instruments/tools
were carefully adopted and created in order to reflect the true nature of the organization through these
assessments and surveys. The first instrument is the leadership profiling assessment, which identifies
the managers in the organization on their sociability, dominance, and openness. This assessment was
adopted from a book titled "Managers As Mentors: Building Partnerships for Learning" published in
2013 [24]. The second instrument is the organizational communication survey, which is a survey
emphasizing to the communication condition within the organization through channels available
internally. This survey was generated and distributed by Qualtrics, an online survey tool [25].
The third instrument was is the change management awareness survey, intended to gauge the
awareness level of all employees on the objective, execution detail, roles and relationships and timeline
of the change management plan the company intends to implement. This instrument was developed
within the organization itself. The fourth instrument is the maturity assessment (overall change readiness
assessment) which highlights the readiness of the organization and risk level in implementing change
management as a whole. This instrument was adapted from November ag, a renowned consultant based
in Switzerland [26].
4. Results and discussions
After the execution of the activities in preparation for change programme, the results of leadership,
communication, and awareness was observed using the tools and measurement techniques in the
previous section. It can be observed since total preparation and readiness of the organization is
dependent on these 3 factors, these results determine whether there is more time required for change
management preparation activities or it can be done immediately.
The results of the factors of leadership, communication awareness within the organization influence
the outcome of the maturity assessment, which entails whether the organization is ready for change
management implementation. All factors must comply with the readiness minimum requirement to
reduce the risk of change management activities to be affected during execution.
4.1 Leadership
For the leadership factor, the assessment was done using the leadership profiling matrix as explained in
section 3. The assessment was done successfully with 100% participation within the population of the
managers in the organization. As explained in section 3 above, the 22 managers involved were subjected
to 3 leadership factors of sociability, dominance, and openness. The Table 1 show the manager profile
matrix.
ICAME 2019
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
6
Table 1. Manager profile matrix
Factors Category No. of Managers Percentage
Sociability
Reserved 5 22.73%
Outgoing 11 50.00%
Moderate 6 27.27%
Dominance
Follower 4 18.18%
Leader 8 36.36%
Moderate 10 45.45%
Openness
Guarded 8 36.36%
Expressive 12 54.55%
Moderate 2 9.09%
In the sociability traits, 77.27% (17 of 22) of the managers are moderate and outgoing. At this stage,
this is a positive indicator as the organization requires significantly “outgoing and sociable” managers
to have higher chances of persuasive prowess over his/her subordinates in achieving the desired goal. A
study on leadership attributes indicates that this influence the outcome of cohesiveness of a
unit/department to have a leader who knows how to socialize within boundaries with its compatriots
[27].
In the dominance traits, 8 person shows strong instructive influence while another 10 persons are
acting based on situation and responses. This accumulated to 81.81% of desired traits as the
communication although is more top-down but resulting in positive results in ensuring change happens
within stipulated time [28].
However, in the openness traits, there is only a slight majority of 63.64% of managers who are
moderate and expressive in nature. While this is not an alarming rate, there are risks of the fluency of
change management activities to be embraced by the managers themselves where being guarded and not
open to new ideas are one of the major barriers in the success of change management implementation
[29].
4.2 Communication
Communication Survey was done with participation from all level of employees of 100 personnel within
the organization. Figure 1 show the results for the communication survey held within the organization.
This result shows that 88% of the respondents are happy with the existing communication channel and
infrastructure available in the organization which allows smooth communication being done through all
level of employment. This results also interpret that the use of these channels is well implemented and
easy to use for employees to receive and transmit necessary information.
Figure 1. Results for question 1 in the communication survey
0%
47% 41%
12%
0%
0%
20%
40%
60%
Satisfied Very Satisfied Neutral Dissatisfied Very Dissatisfied
Q1. Overall, how satisfied are you with the communications (Lotus
Notes, E-mails, Notice Boards, News by Management, News by
Superior) in your organization?
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
6
Table 1. Manager profile matrix
Factors Category No. of Managers Percentage
Sociability
Reserved 5 22.73%
Outgoing 11 50.00%
Moderate 6 27.27%
Dominance
Follower 4 18.18%
Leader 8 36.36%
Moderate 10 45.45%
Openness
Guarded 8 36.36%
Expressive 12 54.55%
Moderate 2 9.09%
In the sociability traits, 77.27% (17 of 22) of the managers are moderate and outgoing. At this stage,
this is a positive indicator as the organization requires significantly “outgoing and sociable” managers
to have higher chances of persuasive prowess over his/her subordinates in achieving the desired goal. A
study on leadership attributes indicates that this influence the outcome of cohesiveness of a
unit/department to have a leader who knows how to socialize within boundaries with its compatriots
[27].
In the dominance traits, 8 person shows strong instructive influence while another 10 persons are
acting based on situation and responses. This accumulated to 81.81% of desired traits as the
communication although is more top-down but resulting in positive results in ensuring change happens
within stipulated time [28].
However, in the openness traits, there is only a slight majority of 63.64% of managers who are
moderate and expressive in nature. While this is not an alarming rate, there are risks of the fluency of
change management activities to be embraced by the managers themselves where being guarded and not
open to new ideas are one of the major barriers in the success of change management implementation
[29].
4.2 Communication
Communication Survey was done with participation from all level of employees of 100 personnel within
the organization. Figure 1 show the results for the communication survey held within the organization.
This result shows that 88% of the respondents are happy with the existing communication channel and
infrastructure available in the organization which allows smooth communication being done through all
level of employment. This results also interpret that the use of these channels is well implemented and
easy to use for employees to receive and transmit necessary information.
Figure 1. Results for question 1 in the communication survey
0%
47% 41%
12%
0%
0%
20%
40%
60%
Satisfied Very Satisfied Neutral Dissatisfied Very Dissatisfied
Q1. Overall, how satisfied are you with the communications (Lotus
Notes, E-mails, Notice Boards, News by Management, News by
Superior) in your organization?
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ICAME 2019
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
7
Figure 2 shows that 13% of the respondents are very satisfied and fully informed on all
communications within the organization. It also highlights the regular communication that has been
conveyed to the staff, underlining a further 60% satisfaction from the respondents. On another side of
the spectrum, there are pockets of improvements needed, as 27% still feel isolated and uninvolved within
the communication circle. This may due to the direct supervisor/manager handling them are having
guarded behaviour and release information on a need to know basis.
Figure 2. Results for question 2 in communication survey
Figure 3 shows the trust of information which has been circulated to employees, with an overall
percentage of only 12% have trust issues on the information they received. It is important to highlight
that 66% of the respondents have high confidence in the information they receive and this may point to
the positive transparency of information between staff, management, and interdepartmental relations.
Figure 3. Results for question 3 in communication survey
The documentation, oral presentation, and direct supervisor's explanation have contributed to the
69% of employee knowing a fair amount and knowing very well about the organization as shown in
Figure 4. Although this may be due to the longevity of employment in the organization, it doesn't dismiss
the fact that information about the company has been flowing smoothly and reaching its intended targets.
Figure 4. Results for question 4 in communication survey
13% 19%
41%
16% 11%
0%
20%
40%
60%
Keeps us fully
informed
Keeps us fairly well
informed
Keeps us adequately
informed
Gives us only a
limited amount of
information
Doesn't tell us much
at all about what's
going on
Q2. Which best describes your impression of communications
within your organization?
16%
50%
22%
12%
0%
0%
20%
40%
60%
I can almost always
believe it
I can usually believe
it
I can believe it about
half the time
I usually can't believe
it
I can almost never
believe it
Q3. How do you feel about information you receive?
28%
41%
28%
3% 0%
0%
20%
40%
60%
I know the company
very well
I know a fair amount
about the company
I know just a little
about the company
I know almost
nothing about the
company
Knowing about the
company is not
important to me
Q4. How well do you feel you know your organization?
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
7
Figure 2 shows that 13% of the respondents are very satisfied and fully informed on all
communications within the organization. It also highlights the regular communication that has been
conveyed to the staff, underlining a further 60% satisfaction from the respondents. On another side of
the spectrum, there are pockets of improvements needed, as 27% still feel isolated and uninvolved within
the communication circle. This may due to the direct supervisor/manager handling them are having
guarded behaviour and release information on a need to know basis.
Figure 2. Results for question 2 in communication survey
Figure 3 shows the trust of information which has been circulated to employees, with an overall
percentage of only 12% have trust issues on the information they received. It is important to highlight
that 66% of the respondents have high confidence in the information they receive and this may point to
the positive transparency of information between staff, management, and interdepartmental relations.
Figure 3. Results for question 3 in communication survey
The documentation, oral presentation, and direct supervisor's explanation have contributed to the
69% of employee knowing a fair amount and knowing very well about the organization as shown in
Figure 4. Although this may be due to the longevity of employment in the organization, it doesn't dismiss
the fact that information about the company has been flowing smoothly and reaching its intended targets.
Figure 4. Results for question 4 in communication survey
13% 19%
41%
16% 11%
0%
20%
40%
60%
Keeps us fully
informed
Keeps us fairly well
informed
Keeps us adequately
informed
Gives us only a
limited amount of
information
Doesn't tell us much
at all about what's
going on
Q2. Which best describes your impression of communications
within your organization?
16%
50%
22%
12%
0%
0%
20%
40%
60%
I can almost always
believe it
I can usually believe
it
I can believe it about
half the time
I usually can't believe
it
I can almost never
believe it
Q3. How do you feel about information you receive?
28%
41%
28%
3% 0%
0%
20%
40%
60%
I know the company
very well
I know a fair amount
about the company
I know just a little
about the company
I know almost
nothing about the
company
Knowing about the
company is not
important to me
Q4. How well do you feel you know your organization?
ICAME 2019
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
8
While 81% of the employees expressing sufficient increase/retention of knowledge about the
organization's strategies and accomplishments, 19% is still somewhat less knowledgeable as shown in
Figure 5. This again points to the known issue but has to be addressed accordingly soonest to get total
involvement from everyone in the organization. This results also in-line with the leadership profiling
matrix results. The implication of this question is to increase the level of awareness of employees
towards the company’s objectives and strategies.
Figure 5. Results for question 5 in communication survey
These questions No 6 and 7 are referencing to how employee perceive their immediate superiors in
day-to-day communication and while the results for their communication effectiveness is fairly balanced
between excellent and poor, many find it is still easy to express their opinion to the manager. This trend
indicates there are two-way communication between managers and subordinates on a positive level and
a need for further training and improvement from management staffs in communicating effectively and
in a timely manner as shown in Figure 6-7.
Figure 6. Results for question 6 in communication survey
Figure 7. Results for question 7 in communication survey
From the data obtained from the seven (7) questions above, the general statistics is being calculated
and shown in Table 2 below. The questionnaire scoring is based on 5 level of ratings, where rating 1 is
13%
26%
42%
19%
0%
0%
20%
40%
60%
Much more
knowledgeable
Somewhat more
knowledgeable
Same level of
knowledge
Somewhat less
knowledgable
Much less
knowledgeable
Q5. Compared with a year ago, how would you rate your
knowledge of the organization; its strategies and its ongoing
accomplishments?
7%
27% 33% 27%
7%
0%
20%
40%
Excellent Very Good Good Fair Poor
Q6. How would you rate your manager's communications
effectiveness?
7% 10%
47%
33%
3%
0%
10%
20%
30%
40%
50%
Very Difficult Difficult Moderate Easy Very Easy
Q7. How difficult it is to express your opinion to your boss?
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
8
While 81% of the employees expressing sufficient increase/retention of knowledge about the
organization's strategies and accomplishments, 19% is still somewhat less knowledgeable as shown in
Figure 5. This again points to the known issue but has to be addressed accordingly soonest to get total
involvement from everyone in the organization. This results also in-line with the leadership profiling
matrix results. The implication of this question is to increase the level of awareness of employees
towards the company’s objectives and strategies.
Figure 5. Results for question 5 in communication survey
These questions No 6 and 7 are referencing to how employee perceive their immediate superiors in
day-to-day communication and while the results for their communication effectiveness is fairly balanced
between excellent and poor, many find it is still easy to express their opinion to the manager. This trend
indicates there are two-way communication between managers and subordinates on a positive level and
a need for further training and improvement from management staffs in communicating effectively and
in a timely manner as shown in Figure 6-7.
Figure 6. Results for question 6 in communication survey
Figure 7. Results for question 7 in communication survey
From the data obtained from the seven (7) questions above, the general statistics is being calculated
and shown in Table 2 below. The questionnaire scoring is based on 5 level of ratings, where rating 1 is
13%
26%
42%
19%
0%
0%
20%
40%
60%
Much more
knowledgeable
Somewhat more
knowledgeable
Same level of
knowledge
Somewhat less
knowledgable
Much less
knowledgeable
Q5. Compared with a year ago, how would you rate your
knowledge of the organization; its strategies and its ongoing
accomplishments?
7%
27% 33% 27%
7%
0%
20%
40%
Excellent Very Good Good Fair Poor
Q6. How would you rate your manager's communications
effectiveness?
7% 10%
47%
33%
3%
0%
10%
20%
30%
40%
50%
Very Difficult Difficult Moderate Easy Very Easy
Q7. How difficult it is to express your opinion to your boss?
ICAME 2019
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
9
the best and 5 is the worst. The statistic shows that all questions have mean rating of 2.00 and below.
This concludes that the level of communication for change management in this organization is good and
rated positively. The best response was answers to question 4, where the majority of the employees
know and well informed of the organization. This means that the dissemination of information in a
timely manner has been done properly and in an orderly fashion. However, there are mix responses for
question 6 on the manager's communication skills. This is consistent with the results of leadership
profiling matrix in section 5.1 above, concerning some managers not being sociable and lack of openness
while interacting with their subordinates.
Table 2. Communication survey overall statistics
Mean Min Max
Question 1 1.66 1 3
Question 2 1.97 0 4
Question 3 1.31 0 3
Question 4 1.06 0 3
Question 5 1.68 0 4
Question 6 2.00 0 4
Question 7 1.83 0 3
4.3 Awareness
Through all the activities done for the readiness of change management, employees below “managerial
level” of 72 personnel took the survey on the awareness of change management activities to be done
within the organization for the next year. Managerial level and above personnel were excluded because
they are the change drivers and change agents respectively. Results are shown in Table 3 below:
Table 3. Change management awareness survey results
N
o Questions
Response
Total1
(Poor)
2
(Below
Average
)
3
(Average
)
4
(Good)
5
(Excellent
)
1 How do you feel about
the change management
awareness activities?
0 0 5 50 17 72
2 How do you rate the
content of the activities
informatively?
0 0 7 45 20 72
3 The content of the
awareness activities was
well organized.
0 0 7 49 16 72
4 I know more about
organizational change in
my organization after
experiencing these
activities.
0 0 17 41 14 72
5 The change management
awareness activities
answered all my
questions.
1 2 18 42 9 72
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
9
the best and 5 is the worst. The statistic shows that all questions have mean rating of 2.00 and below.
This concludes that the level of communication for change management in this organization is good and
rated positively. The best response was answers to question 4, where the majority of the employees
know and well informed of the organization. This means that the dissemination of information in a
timely manner has been done properly and in an orderly fashion. However, there are mix responses for
question 6 on the manager's communication skills. This is consistent with the results of leadership
profiling matrix in section 5.1 above, concerning some managers not being sociable and lack of openness
while interacting with their subordinates.
Table 2. Communication survey overall statistics
Mean Min Max
Question 1 1.66 1 3
Question 2 1.97 0 4
Question 3 1.31 0 3
Question 4 1.06 0 3
Question 5 1.68 0 4
Question 6 2.00 0 4
Question 7 1.83 0 3
4.3 Awareness
Through all the activities done for the readiness of change management, employees below “managerial
level” of 72 personnel took the survey on the awareness of change management activities to be done
within the organization for the next year. Managerial level and above personnel were excluded because
they are the change drivers and change agents respectively. Results are shown in Table 3 below:
Table 3. Change management awareness survey results
N
o Questions
Response
Total1
(Poor)
2
(Below
Average
)
3
(Average
)
4
(Good)
5
(Excellent
)
1 How do you feel about
the change management
awareness activities?
0 0 5 50 17 72
2 How do you rate the
content of the activities
informatively?
0 0 7 45 20 72
3 The content of the
awareness activities was
well organized.
0 0 7 49 16 72
4 I know more about
organizational change in
my organization after
experiencing these
activities.
0 0 17 41 14 72
5 The change management
awareness activities
answered all my
questions.
1 2 18 42 9 72
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ICAME 2019
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
10
From the awareness activities using promotion, presentations, forum, and other communication methods
for the 3 months of change readiness activities, employees within the organization are rating high level
of awareness and responding well to the change effort. Almost 99.99% commented average or better in
all 5 questions combined and only three-person rates below average on question number 5. It can be said
that the employees are well informed, satisfied and feel important being included in the change
management effort from the early stage of implementation.
4.4 Maturity assessment (overall change readiness assessment)
Maturity assessment was conducted with the participation of 72% population of the organization and
the results are shown in Table 4. With all the measurement tools, methods, activities, and surveys being
done during the readiness towards change management in the organization, the ultimate test which
reflects the overall outcome comes with the 31 questions of maturity assessment. It gives a clearer
picture of change management implementation. Table 4 shows the results of the assessment based on
the areas mentioned in the previous section. It can be seen that the mean for all areas was scoring a
minimum of 7 out of 10. This indicates that the organization is ready for change and have a high success
probability in ensuring change is being done with minimal risk.
Table 4. Maturity assessment survey results
No Area Topic Mean
1 Develop
Leadership
Leaders share a common vision of this change 9.24
2 Leaders are demonstrating their personal resolve for change
through their actions
8.16
3 Leaders are creating a sense of urgency to change in the
organization
8.35
4 Leaders understand trust and respect each other 8.27
5 Create Change
Vision
There is a clear and compelling need for this change 9.13
6 It is clear what this change will mean in practice 8.28
7 Define
Change
Strategy
The approach taken to implement this change will work well in this
organization
8.19
8 Change will happen fast enough to sustain interest 7.23
9 Authority and responsibility to achieve this change is clear 7.41
10 Project structures e.g. task forces, steering groups are keeping
change on track
8.38
11 Decision making is not slowing this project down 8.11
12 Problems emerging in change are being solved quickly 7.05
13 Sufficient time to implement change is being allowed 8.13
14 Build
Commitment
People expect this change to succeed 9.14
15 People will learn and apply the new skills and behaviour required
for this change
7.98
16 People are being encouraged to be constructively critical of this
change
7.35
17 Managers have the change skills necessary for this change 7.29
18 Change can be achieved without a significant shift in attitude and
behaviours
8.42
19 There will be no losers (groups/individuals) through this change
e.g. loss of job or status
8.21
20 There are rewards for participating in this change and punishments
for failing to participate
7.27
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
10
From the awareness activities using promotion, presentations, forum, and other communication methods
for the 3 months of change readiness activities, employees within the organization are rating high level
of awareness and responding well to the change effort. Almost 99.99% commented average or better in
all 5 questions combined and only three-person rates below average on question number 5. It can be said
that the employees are well informed, satisfied and feel important being included in the change
management effort from the early stage of implementation.
4.4 Maturity assessment (overall change readiness assessment)
Maturity assessment was conducted with the participation of 72% population of the organization and
the results are shown in Table 4. With all the measurement tools, methods, activities, and surveys being
done during the readiness towards change management in the organization, the ultimate test which
reflects the overall outcome comes with the 31 questions of maturity assessment. It gives a clearer
picture of change management implementation. Table 4 shows the results of the assessment based on
the areas mentioned in the previous section. It can be seen that the mean for all areas was scoring a
minimum of 7 out of 10. This indicates that the organization is ready for change and have a high success
probability in ensuring change is being done with minimal risk.
Table 4. Maturity assessment survey results
No Area Topic Mean
1 Develop
Leadership
Leaders share a common vision of this change 9.24
2 Leaders are demonstrating their personal resolve for change
through their actions
8.16
3 Leaders are creating a sense of urgency to change in the
organization
8.35
4 Leaders understand trust and respect each other 8.27
5 Create Change
Vision
There is a clear and compelling need for this change 9.13
6 It is clear what this change will mean in practice 8.28
7 Define
Change
Strategy
The approach taken to implement this change will work well in this
organization
8.19
8 Change will happen fast enough to sustain interest 7.23
9 Authority and responsibility to achieve this change is clear 7.41
10 Project structures e.g. task forces, steering groups are keeping
change on track
8.38
11 Decision making is not slowing this project down 8.11
12 Problems emerging in change are being solved quickly 7.05
13 Sufficient time to implement change is being allowed 8.13
14 Build
Commitment
People expect this change to succeed 9.14
15 People will learn and apply the new skills and behaviour required
for this change
7.98
16 People are being encouraged to be constructively critical of this
change
7.35
17 Managers have the change skills necessary for this change 7.29
18 Change can be achieved without a significant shift in attitude and
behaviours
8.42
19 There will be no losers (groups/individuals) through this change
e.g. loss of job or status
8.21
20 There are rewards for participating in this change and punishments
for failing to participate
7.27
ICAME 2019
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
11
21 Everyone involved is being well informed and kept up to date in
this change
7.09
22 Those impacted by the change are clear about how change affects
them and what to do differently
8.06
23 People’s commitment is being built rather than change forced 7.37
24 The commitment of middle managers is being won before they are
expected to lead change
8.06
25 Manage
People
Performance
Manages are being disciplined in this change. They are getting
things done
8.33
26 This change will not be blocked by established organizational
processes such as reward and performance management
7.25
27 Processes, policies, and rules are being changed where necessary
to support this change
7.95
28 There is sufficient cross-functional co-operation for this change to
succeed
7.14
29 Develop
Culture
This change will be supported by the current management style and
behaviour
8.00
30 Design
Organization
This change will be supported by the current organization structure 8.26
31 This change will be supported by current the way jobs are
structured
7.31
The risk chart in Figure 8 shows the level of risk the company will undertake in implementing the
change management program in the organization. It can be seen that only 11 of the 31 points touches
the border between medium and low risk, which can be mitigated and included within the revised change
management program. All other points are well on the low-risk section and is a good indicator
supporting the high probability of change management implementation success in this organization.
Figure 8. Risk chart of maturity assessment
5. Conclusion
The study on change management readiness efforts and assessment has demonstrated success in meeting
its objective. The four objectives of determining leadership readiness, communication readiness,
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
11
21 Everyone involved is being well informed and kept up to date in
this change
7.09
22 Those impacted by the change are clear about how change affects
them and what to do differently
8.06
23 People’s commitment is being built rather than change forced 7.37
24 The commitment of middle managers is being won before they are
expected to lead change
8.06
25 Manage
People
Performance
Manages are being disciplined in this change. They are getting
things done
8.33
26 This change will not be blocked by established organizational
processes such as reward and performance management
7.25
27 Processes, policies, and rules are being changed where necessary
to support this change
7.95
28 There is sufficient cross-functional co-operation for this change to
succeed
7.14
29 Develop
Culture
This change will be supported by the current management style and
behaviour
8.00
30 Design
Organization
This change will be supported by the current organization structure 8.26
31 This change will be supported by current the way jobs are
structured
7.31
The risk chart in Figure 8 shows the level of risk the company will undertake in implementing the
change management program in the organization. It can be seen that only 11 of the 31 points touches
the border between medium and low risk, which can be mitigated and included within the revised change
management program. All other points are well on the low-risk section and is a good indicator
supporting the high probability of change management implementation success in this organization.
Figure 8. Risk chart of maturity assessment
5. Conclusion
The study on change management readiness efforts and assessment has demonstrated success in meeting
its objective. The four objectives of determining leadership readiness, communication readiness,
ICAME 2019
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
12
awareness, and overall change management readiness in the organization has been discovered. All 4
determinants are positive in nature as the leadership profile shows more than 60% have the desired
leadership traits, organizational communication shows all feedback are good or better, awareness survey
shows more than 99% are aware of the change management activities and maturity assessment shows
minimum rating of 7/10. This shows that the organization is ready to embark in the change management
journey with high success probability. Even with the limitation of willingness, cooperation, and time
availability, the true and existing condition of the organization was assessed accurately and benefited
the stakeholders involved.
From the finding, it can be clearly understood that it is important to have leaders in the organization
who understands and execute the role in being a leader instead of just a mere manager who lack
mentorship qualities. It can also be underlined that only with good communication flow, transparency
and timeliness of information dissemination that you will get the involvement, satisfaction, and
commitment for the population at large, in this case, the employees of the organization.
In future research, it is recommended to benchmark the outcome of an actual change management
program implementation barrier results to the probability findings of this study, which will continuously
improve the matrix of readiness within change management implemented organization in waiting.
Acknowledgement
First of all, I would like to thank the management of the organization involved in this case study for
their willingness to disclose information and participate in this study. Next, highest gratitude to
University Teknologi MARA (UiTM) and my supervisor for providing the platform for me to complete
this study and contribute back to knowledge and society.
References
[1] G. Susman, K. Jansen, and J. Michael, “Innovation and Change Management in Small and
Medium-Sized Manufacturing Companies,” p. 55, 2006.
[2] T. Hallgrimsson, “Organizational change and change readiness: Employees’ attitudes during
times of proposed merger,” pp. 1–98, 2008.
[3] Prosci, “The ADKAR Model for Change Management,” Chang. Manag. Tutor. Ser., 2002.
[4] M. Hashim, “Change Management,” Int. J. Acad. Res. Bus. Soc. Sci., vol. 3, no. 7, pp. 685–694,
2013.
[5] M. Zulkifli, A. K. Char, M. R. Yasoa’, and Z. Hassan, “Small and Medium Enterprises ( SMEs )
Competing in the Global Business Environment : A Case of Malaysia,” Challenges, vol. 3,
no.1, pp. 66–75, 2010.
[6] J. Gigante, “Breaking Down the Barriers to Feedback,” Pediatr. Ther., vol. 02, no. 03, 2012.
[7] H. L. Sirkin, P. Keenan, and A. Jackson, “The Hard Side of Change Management,” Proj.
Manag.J., vol. 45, no. 3, pp. 98–111, 2014.
[8] J. Kotter, “THE 8-STEP PROCESS FOR LEADING CHANGE Dr. Kotter’s methodology of
change leadership,” 2012.
[9] R. R. Rehman, A. Khalid, and M. Khan, “Impact of employee decision making styles on
organizational performance: In the moderating role of emotional intelligence,” World Appl.
Sci. J., vol. 17, no. 10, pp. 1308–1315, 2012.
[10] C. Bond and M. Seneque, “Conceptualizing coaching as an approach to management and
organizational development,” J. Manag. Dev., vol. 32, no. 1, pp. 57–72, 2013.
[11] A. Whittle, O. Suhomlinova, and F. Mueller, “Funnel of Interests: The Discursive Translation of
Organizational Change,” J. Appl. Behav. Sci., vol. 46, no. 1, pp. 16–37, Mar. 2010.
[12] R. S. Bisel and J. K. Barge, “Discursive positioning and planned change in organizations,” Hum.
Relations, vol. 64, no. 2, pp. 257–283, 2011.
[13] A. M. Calder, “Organizational Change: Models for Successfully Implementing Change,”
Undergrad. Honor. Thesis, pp. 1–20, 2013.
[14] P. Chin and F. Kui, “Oil , Gas and Energy,” 2011.
[15] P. Performance Management and Delivery Unit, “Oil , Gas and Energy NKEA Fact Sheet,” 2011.
[16] S. C. Malaysia, “New Definition of SMEs - An additional 8,120 establishments set to be classified
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
12
awareness, and overall change management readiness in the organization has been discovered. All 4
determinants are positive in nature as the leadership profile shows more than 60% have the desired
leadership traits, organizational communication shows all feedback are good or better, awareness survey
shows more than 99% are aware of the change management activities and maturity assessment shows
minimum rating of 7/10. This shows that the organization is ready to embark in the change management
journey with high success probability. Even with the limitation of willingness, cooperation, and time
availability, the true and existing condition of the organization was assessed accurately and benefited
the stakeholders involved.
From the finding, it can be clearly understood that it is important to have leaders in the organization
who understands and execute the role in being a leader instead of just a mere manager who lack
mentorship qualities. It can also be underlined that only with good communication flow, transparency
and timeliness of information dissemination that you will get the involvement, satisfaction, and
commitment for the population at large, in this case, the employees of the organization.
In future research, it is recommended to benchmark the outcome of an actual change management
program implementation barrier results to the probability findings of this study, which will continuously
improve the matrix of readiness within change management implemented organization in waiting.
Acknowledgement
First of all, I would like to thank the management of the organization involved in this case study for
their willingness to disclose information and participate in this study. Next, highest gratitude to
University Teknologi MARA (UiTM) and my supervisor for providing the platform for me to complete
this study and contribute back to knowledge and society.
References
[1] G. Susman, K. Jansen, and J. Michael, “Innovation and Change Management in Small and
Medium-Sized Manufacturing Companies,” p. 55, 2006.
[2] T. Hallgrimsson, “Organizational change and change readiness: Employees’ attitudes during
times of proposed merger,” pp. 1–98, 2008.
[3] Prosci, “The ADKAR Model for Change Management,” Chang. Manag. Tutor. Ser., 2002.
[4] M. Hashim, “Change Management,” Int. J. Acad. Res. Bus. Soc. Sci., vol. 3, no. 7, pp. 685–694,
2013.
[5] M. Zulkifli, A. K. Char, M. R. Yasoa’, and Z. Hassan, “Small and Medium Enterprises ( SMEs )
Competing in the Global Business Environment : A Case of Malaysia,” Challenges, vol. 3,
no.1, pp. 66–75, 2010.
[6] J. Gigante, “Breaking Down the Barriers to Feedback,” Pediatr. Ther., vol. 02, no. 03, 2012.
[7] H. L. Sirkin, P. Keenan, and A. Jackson, “The Hard Side of Change Management,” Proj.
Manag.J., vol. 45, no. 3, pp. 98–111, 2014.
[8] J. Kotter, “THE 8-STEP PROCESS FOR LEADING CHANGE Dr. Kotter’s methodology of
change leadership,” 2012.
[9] R. R. Rehman, A. Khalid, and M. Khan, “Impact of employee decision making styles on
organizational performance: In the moderating role of emotional intelligence,” World Appl.
Sci. J., vol. 17, no. 10, pp. 1308–1315, 2012.
[10] C. Bond and M. Seneque, “Conceptualizing coaching as an approach to management and
organizational development,” J. Manag. Dev., vol. 32, no. 1, pp. 57–72, 2013.
[11] A. Whittle, O. Suhomlinova, and F. Mueller, “Funnel of Interests: The Discursive Translation of
Organizational Change,” J. Appl. Behav. Sci., vol. 46, no. 1, pp. 16–37, Mar. 2010.
[12] R. S. Bisel and J. K. Barge, “Discursive positioning and planned change in organizations,” Hum.
Relations, vol. 64, no. 2, pp. 257–283, 2011.
[13] A. M. Calder, “Organizational Change: Models for Successfully Implementing Change,”
Undergrad. Honor. Thesis, pp. 1–20, 2013.
[14] P. Chin and F. Kui, “Oil , Gas and Energy,” 2011.
[15] P. Performance Management and Delivery Unit, “Oil , Gas and Energy NKEA Fact Sheet,” 2011.
[16] S. C. Malaysia, “New Definition of SMEs - An additional 8,120 establishments set to be classified
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ICAME 2019
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
13
as SMEs, bringing the share of SMEs to total establishments from 97,” 2014. .
[17] M. B. I. Photovoltaic, “Tokuyama Corp to invest a further RM3 . 72bil in Sarawak,” 2008. .
[18] F. Hashim, “JIBE,” vol. 13, pp. 97–122, 2012.
[19] A. S. Saleh, P. Caputi, and C. Harvie, “Perceptions of business challenges facing Malaysian
SMEs : some preliminary results Perceptions of business challenges facing Malaysian SMEs :
some,” vol. 2008, pp. 79–106, 2008.
[20] M. Zulkifli-Muhammad, “Small and medium enterprises (SMEs) competing in the global
business environment: A case of Malaysia,” Int. Bus. …, vol. 3, no. 1, pp. 66–75, 2009.
[21] L. L. Tan, “The internationalisation of Malaysian manufacturing small and medium enterprises,”
2008.
[22] I. S. Baharudin and B. Abdullah, “A critical analysis on organizational diagnostic models and
new diagnostic model proposition for construction companies .,” in Mechanical Engineering
and Sciences Postgraduate International Conference (MESPIC) 2018, 2018, pp. 1–8.
[23] R. V. Riddell and M. Tofte, “Change Readiness,” 2017.
[24] C. R. Bell and M. Goldsmith, Managers As Mentors: Building Partnerships for Learning, 3rd ed.
Berrett-Koehler Publishers, 2013, 2013.
[25] “Qualtrics Experience Management Solutions.” [Online]. Available: http://www.qualtrics.com.
[26] “Change Readiness Assessment.” [Online]. Available: https://november.ch/resources/867/.
[27] D. T. Holt, a. a. Armenakis, H. S. Feild, and S. G. Harris, “Readiness for Organizational Change:
The Systematic Development of a Scale,” J. Appl. Behav. Sci., vol. 43, no. 2, pp. 232–255,
Jun. 2007.
[28] E. J. Nordin, “Communicating Organizational Change : Strategies For Communicating Change,”
pp. 135–145, 2014.
[29] J. Balogun, “From Intended Strategies to Unintended Outcomes: The Impact of Change Recipient
Sensemaking,” Organ. Stud., vol. 26, no. 11, pp. 1573–1601, Nov. 2005.
IOP Conf. Series: Materials Science and Engineering 834 (2020) 012048
IOP Publishing
doi:10.1088/1757-899X/834/1/012048
13
as SMEs, bringing the share of SMEs to total establishments from 97,” 2014. .
[17] M. B. I. Photovoltaic, “Tokuyama Corp to invest a further RM3 . 72bil in Sarawak,” 2008. .
[18] F. Hashim, “JIBE,” vol. 13, pp. 97–122, 2012.
[19] A. S. Saleh, P. Caputi, and C. Harvie, “Perceptions of business challenges facing Malaysian
SMEs : some preliminary results Perceptions of business challenges facing Malaysian SMEs :
some,” vol. 2008, pp. 79–106, 2008.
[20] M. Zulkifli-Muhammad, “Small and medium enterprises (SMEs) competing in the global
business environment: A case of Malaysia,” Int. Bus. …, vol. 3, no. 1, pp. 66–75, 2009.
[21] L. L. Tan, “The internationalisation of Malaysian manufacturing small and medium enterprises,”
2008.
[22] I. S. Baharudin and B. Abdullah, “A critical analysis on organizational diagnostic models and
new diagnostic model proposition for construction companies .,” in Mechanical Engineering
and Sciences Postgraduate International Conference (MESPIC) 2018, 2018, pp. 1–8.
[23] R. V. Riddell and M. Tofte, “Change Readiness,” 2017.
[24] C. R. Bell and M. Goldsmith, Managers As Mentors: Building Partnerships for Learning, 3rd ed.
Berrett-Koehler Publishers, 2013, 2013.
[25] “Qualtrics Experience Management Solutions.” [Online]. Available: http://www.qualtrics.com.
[26] “Change Readiness Assessment.” [Online]. Available: https://november.ch/resources/867/.
[27] D. T. Holt, a. a. Armenakis, H. S. Feild, and S. G. Harris, “Readiness for Organizational Change:
The Systematic Development of a Scale,” J. Appl. Behav. Sci., vol. 43, no. 2, pp. 232–255,
Jun. 2007.
[28] E. J. Nordin, “Communicating Organizational Change : Strategies For Communicating Change,”
pp. 135–145, 2014.
[29] J. Balogun, “From Intended Strategies to Unintended Outcomes: The Impact of Change Recipient
Sensemaking,” Organ. Stud., vol. 26, no. 11, pp. 1573–1601, Nov. 2005.
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