MGHB02H3 Chapter 16: Chapter 16 - Organizational Change, Development and Innovation

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11 Dec 2011
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Chapter 16 organizational change, development, and innovation. Two basic sources of pressure to change, external and internal sources. Environmental changes must be matched by organizational changes if the organization is to remain effective. Firms unable to anticipate or cope with new trends will cease to exit. External environment increased competitiveness result of global economy, deregulation. Internal environment low productivity, conflict, strike, sabotage, high absenteeism and turnover. Internal forces for change occur in response to organizational changes that are designed to deal with the external environment i. e. merger culture clash. Organizations can exhibit too much change as well as too little. Change always entails some investment of resources, money/management time, always requires some modification of routine and processes. Organizations in dynamic environment must show more change to be effective than those operating in a more stable environment. Goals and strategies i. e. expansion, introduction of new products, pursuit of new markets.