IBM Change Management Strategies: A Comprehensive Report

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IBM
HARSIMRAN GROUP ASSIGNMENT

Table of Contents
INTRODUCTION............................................................................................................................. 3
DISCUSSION................................................................................................................................... 4
METAPHORS IN CHANGE MANAGEMENT..................................................................................4
KOTTER’S THEORY OF CHANGE MANAGEMENT........................................................................5
FORCE-FIELD ANALYSIS..............................................................................................................8
CHANGE IN ORGANISATIONAL CULTURE IS A NECESSARY PART OF CHANGE MANAGEMENT 11
IBM CASE STUDY: NEED FOR CHANGE MANAGEMENT............................................................13
CONCLUSION............................................................................................................................... 16
REFERENCES.................................................................................................................................17
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List of Figure
Figure 1: Lewin Force-Field Analysis Model...................................................................................8
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INTRODUCTION
Change management is a systematic procedure which helps an organisation to effectively deal
with the transition from one procedure to another so as to apply the change in the functioning
of their business in an effective manner. The main objective of change management is to
implement those strategies which would be capable enough to help people working in an
organisation to accept change in a significant manner (Hayes, 2018).
The given study has been based on discussing the change management framework via
metaphors. Furthermore, Kotter’s theory of change management would be discussed in an
effective manner. Besides, the Force-Field analysis theory would be discussed with some
examples. In addition to this, the study would also discuss how the change occurring in the
organization's culture would be an important part of change management. At last, the study
would take into consideration the case study of IBM and how it change management helped in
improving the organizational culture of IBM in a significant manner.
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DISCUSSION
METAPHORS IN CHANGE MANAGEMENT
Change as stated by Bygdas et al. (2019) is an important part of any organisation because
without accepting changes, it could not progress in their respective industry. In change
management is thus could simply be explained as a process which allows the organisation to
accept and adjust to the changes in a significant and appropriate manner. In order to effectively
explain the change management process, two important metaphors are effectively utilized.
First is the "calm waters" metaphor which images an organisation as a large ship which has
been crossing across the calm sea and facing the occasional storm. This metaphor is best
explained using Kurt Lewis theory of change process (Khudoliy, 2018).
According to the given process, it is mandatory for each changes occurring in the given
organisation to undergo unfreezing their status quo, change to a new state and then again
refreeze themselves so as to make the new change a permanent one. This study indicates that
the status quo of the organisation is distributed so that they could sail like a ship in turbulent
times and thus help in establishing a state of equilibrium. However, in recent times, this
metaphor has been termed as obsolete as it does not demonstrate the role played by the
organisation during danger times just like the occurrence of the storm in the sea (Champion,
2018).
The second metaphor is “white-water rapids” where the organisation is presumed as a small
raft which has been navigating in a furious river flow with uninterrupted white-water rapids.
This metaphor implies that change is a continuous changing process which would occur at a
natural state. According to it, the given environment is dynamic and uncertain in nature which
would result in a continuous disruption in the status quo in a permanent manner rather than
temporary and occasional in nature which makes the organisation difficult to return to the calm
waters. Thus in a given peaceful business world, most of the organisations restrain from change
and terming it as occasional change which might put them in a grave risk (Bristow and Jenkins,
2018).
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KOTTER’S THEORY OF CHANGE MANAGEMENT
This theory was formulated by John Kotter which would help an organisation to overcome all
the resistance which it faces during the implementation of change in the given organisation. It
helps the management in identifying a number of characteristics which stand in accepting
changes in the organisation so that it might remain healthy in this competitive environment
(Wentworth, et al. 2018). This model of change management is an eight-step process and could
be understood through:
STEP 1: CREATION OF URGENCY
It implies that the change would occur in the company only when there is really a requirement
in the company. In order to get an initial motivation in moving the things in the right direction,
it is required to develop a sense of urgency so as to initiate the change process. It could be
done by identification and highlighting of the potential threats which might reoccur so as to
damage the future. Second thing is to observe opportunities which could be acquired via
effective interventions. The third is the starting of honest dialogue with people on various
issues in the organisation and convince them by giving relevant reasons. At last, request the key
stakeholders, customers and people from the given industry get involved in the change in a
significant manner (Eriksson and Fundin, 2018).
STEP 2: FORMING OF A POWERFUL COALITION
In order to make people in the organisation to accept changes in an effective manner, there
should be the formation of a powerful coalition. This could be achieved by identification of
those leaders who are ready to accept changes and also request the stakeholders to provide
their commitment towards the entire change process. This could be done by forming a coalition
team where its weak areas could be assessed and people from the different department could
be grouped together so as to bring significant changes in the working of the company.
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STEP 3: DEVELOPING AN STRATEGIC VISION AND A STRATEGY
In order to include change, it is important to first identify some great ideas via devising a
strategic vision and it should be connected with all the crucial aspects of the given organisation
such as training and performance reviews. Furthermore, a device the strategy which would
effectively handle all the issues and concern related to the people involved in the given
organisation in an honest manner.
STEP 4: COMMUNICATING THE VISION
In order to make the vision successful, it is first required to communicate the vision among the
customers, stakeholders and employees in an effective manner. This could be done by talking
with them about the vision which would bring significant changes and also create a platform
where the people associated with the organisation would be able to communicate their
concerns in an open and honest manner in front of the management. Furthermore, apply the
vision in all the aspects associated with the given organisation such as performance review,
training and so on (Wentworth, et al. 2018).
STEP 5: REMOVAL OF OBSTACLES
It is an important step as it helps the working of the organisation to get free from unnecessary
processes and hierarchies which would help the organisation to accept the changes in a
significant manner. This could be done by aligning of the organizational processes and structure
with that of its vision. Second is identifying those people who are resisting the changes so that
it would be easy to take proactive actions so as to remove those barriers. Third is providing
rewards to those people who accept the changes and supported it well (Levy, 2018).
STEP 6: CREATION OF SHORT-TERM WINS
The results are better if they help the organisation to win. In order to achieve this, short-term
wins are important as they help in providing a sense of victory at the early stage of the change
process. They are inexpensive and achievable in nature and thus have less possibility of failure
for any organisation.
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STEP 7: CONSOLIDATING GAINS
The gains achieved after implementation of changes should be consolidated. This would help in
bringing continuous improvement in the given organisation and thus improve with the
availability of individual experiences.
STEP 8: ANCHORING CHANGES IN THE CORPORATE CULTURE
In order to make change a permanent one, it should be an integral part of the core of the given
organizational culture and should be visible at every aspect of the given organisation.
Furthermore, it should also provide widespread support to the existing as well as new leaders
so as the support towards change should be continued in an effective manner (Levy, 2018).
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FORCE-FIELD ANALYSIS
It is one of the theories of the change management and is also known by Lewin’s Force Field
Model. It is the part of strategic management whose objective is to help the business in
significantly respond to the changes occurring in the given organisation. Nowadays, this model
is mostly used in decision-making and communication and thus is able to bring significant
changes in the given organisation (Xu, 2018). There are many factors which drive change in an
organization in this model which has been described in the form of four forces:
Figure 1: Lewin Force-Field Analysis Model
Source: [Smartt, et al. 2018]
According to this model, there are various forces which drive the changes and also there are
various forces which restrain the changes. When equilibrium is set up between the two forces,
there would not be a requirement of any change. So from this, it could be concluded that in
order to bring changes in the business of any organisation, it is required that the driving force
must be greater than restraining force. The major objective of this analysis is to help an
organisation to identify its allies and opponents, key stakeholders, target groups and
investigation of the balance of power (Hinshelwood, 2018).
In the words of Mak and Chang (2019), there are two forces of change namely internal and
external forces of change. First is an internal force for change which happens from within the
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business of the given organisation. The reason behind this changes is that there a general belief
that it would help the business to conduct in a better way. Moreover, it would result in an
increase in performance as well as the profitability of the given business. Another reason for
the change is to reduce conflicts between various departments and to change the products and
machinery which are in a declining phase. Furthermore, it would also help in improving the
efficiency and competitiveness and would also enhance the flexibility in the given
organizational structure.
Second, as defined by Hassan (2018) is an external force of change which is controlled from the
outside of the given organisation. The reason for the requirement of changes due to this force
is due to enhanced demand for a higher quality of customer services, increased competition,
change in the economy of a given country, higher cost of inputs, changes in the technology,
decrease in the availability of the social resources, strict legislation and taxes and globalization.
These all factors have a significant impact on the working of the business of the given
organisation which compels it to change its working to suit any of these given external factors
and thus save themselves from getting into the losses.
Muldoon (2018) in their studies identified that the main reason for the change in any
organisation is due to external factors and the businesses must prepare themselves to meet the
demand as per the changing external environment. However, any changes in the organisation
are met with stiff resistance. The reason behind such resistance is due to the fact that changes
are always stressful and disruptive in nature. There are various factors due to which there is
significant resistance to changes which has been described by Mak and Chang (2019). These
factors are the self-interest of the individuals, well-established habits which are difficult to
change, sense of insecurity, disagreement for the requirement for change and so on. Besides,
communication problems, inadequate information and some economic implications also pose a
threat to the occurrence of a change in a given organisation.
In addition to this, there are various organizational barriers which resist changes and include
existing power structure, resistance from work groups, structural inertia and so on. In addition
to this, management is also responsible for not implementing the changes in an effective
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manner. The failure of the management to implement the changes includes the provision of the
information, lack of consulting with the employees, lack of building trust and sense of security,
low employee-management relationship and no involvement of the employees in the decision
making process AlManei, et al. (2018). Due to all such circumstances, the employees belonging
to the industries such as IT companies are unable to understand the purpose of the change and
with lack of planning and proper communication; they are unable to handle the pressure
exerted on them due to the implementation of the changes. Generally, the changes occur in
this company is based on the implementation of the new technologies and if there is no proper
medium of change, the whole process would turn into a disastrous one.
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CHANGE IN ORGANISATIONAL CULTURE IS A NECESSARY PART OF CHANGE
MANAGEMENT
In the views of Rick (2011), organizational culture could be defined as a pattern of beliefs,
values, norms and attitudes which may not be spoken, but might shape the way the people are
behaving in the organisation to accomplish the work in a significant manner. Furthermore, it
could be said that the most challenging aspect of bringing changes in the organisation is
changing its culture because due to some following reasons. First is that it is a soft concept
which is difficult to change and second is that it represents collective norms and behaviours of
the individual which is again difficult to change.
It is difficult to change the working pattern of people working in an organisation. It is only when
people realize and recognize the urgent need to bring changes in the culture of the
organisation, they would come forward and support the change in their working environment.
There are four major steps which are involved in changing the culture of the organisation. First
is to understand the current culture and then bring significant changes. Second is to define its
strategic direction after assessing its present culture via devising an organizational vision. Third
step is to make sure to bring the desired organizational culture into reality and finally, the
management must persuade the employees to bring changes in their behaviour to accept the
changes in a significant manner (Denning, 2011).
So, it could be said that changing the organizational culture is a large-scale procedure and it is
up to the managers to bring significant changes in the culture for the benefit of the given
organisation. There are various components which could be utilized by the managers to initiate
changes in the organisation. First is that the managers should create a value and belief
statement in the form of mission and vision of the organisation and entrust the employees with
confidence so that they would be able to perform their job based on these aspects. Secondly,
the managers should have an effective communication medium so that all the employees are
kept informed about changes occurring in the organisation so that there would not be any
compromise with the commitment and success of the employees (Obholzer, 2018).
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