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Using ONE change model, explain how change can be managed effectively in business - HSC - SSCE Business Studies - Question 21 - 2011 - Paper 1
Question 21
Using ONE change model, explain how change can be managed effectively in business. Using an example, explain how a manager can reconcile a conflict that has arisen ... show full transcript
Worked Solution & Example Answer:Using ONE change model, explain how change can be managed effectively in business - HSC - SSCE Business Studies - Question 21 - 2011 - Paper 1
Step 1
Using ONE change model, explain how change can be managed effectively in business.
Answer
To manage change effectively in a business, one effective model to consider is Kurt Lewin's Change Management Model, which consists of three stages: Unfreeze, Change, and Refreeze.
Unfreeze
In this initial stage, the organization prepares for the upcoming change. This involves creating awareness about the necessity for change, addressing any resistance from employees, and reducing the status quo. Effective communication is critical in this stage to ensure all stakeholders understand the reasons for the change and its anticipated benefits.
Change
Once the organization is unfrozen, the actual change can occur. This stage involves implementing the new processes, systems, or structures. It is essential to provide support and training to employees to help them adapt to the changes. Successful execution in this stage often relies on effective leadership and consistent feedback from teams.
Refreeze
The final stage of Lewin's model is to refreeze the organization after the change has been implemented. This involves solidifying the new changes by embedding them into the company culture and practices. It’s important to ensure that the changes are accepted as the new norm, which can be achieved through recognition, reinforcement, and constant evaluation of the changes. By following these three stages, businesses can effectively manage change and minimize disruption.
Step 2
Using an example, explain how a manager can reconcile a conflict that has arisen between two stakeholders as a result of change.
Answer
To reconcile a conflict between two stakeholders, such as a project manager and the finance department, it’s essential to employ active listening and mediation techniques.
Example Scenario
Suppose a project manager wants to expand a project scope, which incurs additional costs, causing a disagreement with the finance team who prefers sticking to the budget.
Steps to Reconcile
- Active Listening: The manager should meet with both parties separately to understand their perspectives. This helps in acknowledging each stakeholder's concerns.
- Identify Common Goals: Together, they should explore shared objectives, such as the overall success of the project and how meeting budget constraints can lead to future opportunities.
- Facilitate a Joint Meeting: Arrange a meeting where both parties can discuss their concerns openly. This encourages transparency and collaboration.
- Explore Solutions: Brainstorm potential compromises, such as adjusting other budget areas or phasing the expansion to manage costs better.
- Agreement and Follow-Up: Once a solution has been agreed upon, document it and ensure follow-up meetings are scheduled to review progress and address any arising issues.
By following these steps, a manager can effectively mediate conflicts created by change, leading to a more harmonious work environment and continuous progress.