Table of Contents
This review aims to develop an understanding of leadership principles and organizational change management. This will help in understanding organizational dynamics and its impact on employee support and working. The keywords used for this research were: organizational change, leadership change management process to get the results on the search panel for articles and other resources. The purpose is to identify a leadership role in developing organizational vision and change management facilitated by management.
The significance of leadership in an organizational process is critical. Leaders have to act with transparency and inspire trust among employees. According to Bligh (2018), the focus of leadership is to motivate staff through persuasion, modelling vision, and gaining participation through employee support. Leadership attributes and style creates a large scale vision and guide staff. A leader's commitment towards the change process is a motivator with deep commitment and advocacy for intense focus for the other employees. After receiving a 360-degree feedback and understanding the sentimental analysis of the resources, leaders can develop actionable programs that will enable them to lead organizational change (Forbes, 2018). Open communication will build trust and reliability in employee willingness towards any resistance to change. Change is defined as a process of growth, decline and transformation in a group or an organization developed as a proactive response to the crisis in the external factors (Hao, 2015). Organizational change is the process through which develops the optimizing standard of the organization (Bligh, 2018). Peus (2009) observed that inattentive leaders are destructive for the work and hinder the organizational change process. Organizational development is necessary to change the subordinate's mentalities and increase flexibility in the adaptation of change for resources in an efficient manner. Transformational leadership increases employee's work engagement and perception and subsequently supports employee behaviour.
Transformational leadership creates influence through inspiration, intellectual stimulation, and individualized consideration (Yasir, 2016). Idealized power is called a charm that drives followers by actions to support and value leaders as a role model. Leaders change-related communication and aligned in the organizational change process. Aligned processes are changing drivers throughout the process.
External factors are majorly technological, political, and commutative that are in force with the application of the change in the organization. The forms of resistant change are acceptance and embracing (Kotter, 2012). Acceptance is changing reluctantly and submitting oneself considering that the change is inevitable in the organization. Embracing/Adoption is the voluntary experience for accepting the change.
Change management is the process that involves moving organizations to a desirable situation during the transition from its present situation. Change is an attribute of transformational leadership, resistance to change is one of the reasons for the failure of organizational change. According to Faupel (2018), the effectiveness of management tactics in influencing resistance to change was directly dependent on superior - employee relationships. Stronger relationships, sanctions, and legitimization is associated with less resistance. Leaders through effective leadership can give clear direction for employees to work such as goals and objectives. The effective change is maintained through monitoring of insights, wisdom. Charismatic leadership and trust in the top management are important. Successful leaders establish change by creating an atmosphere of motivation through effective communication, direct personnel practice (Faupel, 2018). Leaders through creating urgency reflect the creation of practice in exhibiting consciousness in organizations. In the cycle of change management, leadership is key. Transactional members share in employers' compensation and penalties. The top-level executive can support change and minimize the risk of resistance in the change process to build a relationship for creating influence among followers. The management uses a formal system and creates a social network (Hussein, 2018). Leaders act in a function that displays confidence among followers, employee shows a high degree of trust for organizational change.
Employees may be unsure particularly when they are faced with the process of changes and the anticipated result of the change. Lack of employee commitment and engagement lead to the erudition of the competitive advantage. Quality change communication by senior management demonstrate perceived timelines and address employee uncertainty on the job-related issue. The core competencies of leaders are to provide support to employees to reach goals. Managing reality, shared vision by creating a new social structure in organizations. It is important to include organizational members in decision making from early-stage to raise identification and participation. Jones (2005) suggested a cascading approach in communication changes such as monologist communication by top management and dialogue communication by supervisor clarify duties and responsibilities. A combination of leadership style, self-efficacy influences employees towards organizational change are accurate (Jones, 2005). Developing resources and systems will help in shaping organizational culture and effectively achieve the intended change in an organizational culture driven in change by competitive forces. Senior management to provide information on strategic issues will supervisor communicate practical information. Perceived timelines, accuracy demonstrate a positive attitude towards change.
The increased competition in the organization creates challenges and industry has to change reorganization with restructuring and customer needs. The customer needs are also one of the drivers to change with keeping pace with innovative product as the organizational change becomes mandatory. The internal forces of change are change in the technology due to the degree of automation, work sequence and the technological up-gradation in the organization drives the change (Yasir, 2016). People-oriented changes relate to resource planning strategy. The shift in the work area and skill-based evaluation also leads to a change. Inadequate administration and profitability decline shows poor management. The administrative inadequacy results in organizational efficiency.
The management's role is to communicate the vision to the employees. Leaders can engage staff in expressing their views and imparting knowledge and training to develop new organizational capabilities. For an organizational change, senior management has to address stakeholders and allocate resources for change plan implementation. The common cause of resistance to change is the lack of trust and fear of unknown related to the resistance as an emotional response for not accepting change in the organization (Dennis, 2010). Active resistance to change focus on undermining personality, role, and confidence to negatively influence others too overtly against the change and influencing decision (Dennis, 2010). Loss of status and job security are major reasons for resistance among peers. The leader's lack of two-way communication and reinforcing structure makes employees resistant to change. Organization support structure through Lewin Model of change in unfreezing, change and refreezing (Kotter, 2012).
The key steps that organizations should undertake are: providing support structure by emotionally and practically building the behaviour and skills for restructuring, developing a mentorship program which can help the employees to adjust to change (Hao, 2018). Measuring the change process reinforces the opportunities, measures the business impact and documents the lessons. Conducting a critical review will lead to the development of objectives aligned with the values of the change.
Communication strategy and medium to be used as a platform are detrimental for key messages, change plans, and timelines of the process (Hussein, 2018). The organization has to assess change and evaluate the outcomes with progress to check the performance. Developing strategy consistent with vison helps in creating change enabled organization that develops management competencies for employees.
Enabling change capable culture requires leadership to develop a business stagey as well as focus on building an internal operating system to enable transformation. Developing a plan for a dynamic training and development of members. Leader's role in communication is very important in managing change. Transformational leadership is effective in motivating employees for the change process by overcoming resistance due to uncertainty by developing the organization’s vision for the change process. Implementing support structure and creating sense awareness and urgency of change develops organization towards change model. Leadership efficacy is vital in the successful implementation of the organizational change.
Bligh, M.C. ., Kohles, J. C., & Yan, Q. (2018). Leading and Learning to Change: The Role of Leadership Style and Mindset in Error Learning and Organizational Change. Journal of Change Management, 18(2), 116–141. DOI:10.1080/14697017.2018.1446693
Dennis G. Erwin Andrew N. Garman, (2010), "Resistance to organizational change: linking research and practice", Leadership & Organization Development Journal, Vol. 31(1). 39 - 56. http://dx.doi.org/10.1108/01437731011010371
Faupel, S., & Sub, S. (2018). The Effect of Transformational Leadership on Employees during Organizational Change – An Empirical Analysis. Journal of Change Management, 19(3), 1–22. DOI:10.1080/14697017.2018.1447006
Forbes. (2018). Leadership development and role in a successful organization. Retrieved from https://www.forbes.com/sites/brentgleeson/2018/06/04/leadership-developments-role-in-successful-organizational-change/#77e980e4fdd6
Hao, J.H. & Yazdanifard, R. (2015). How Effective Leadership Can Facilitate Change in Organizations through Improvement and Innovation. Global Journal of Management and Business Research: an Administration and Management. 9(1). 1-8
Hussain, S. T., Lei, S., Akram, T., Haider, M. J., Hussain, S. H., & Ali, M. (2018). Kurt Lewin’s change model: A critical review of the role of leadership and employee involvement in organizational change. Journal of Innovation & Knowledge, 3(3), 123–127. DOI:10.1016/j.jik.2016.07.002
Jones, A.R., Jimmieson, L.N., Griffiths, A. (2005). The Impact of Organizational Culture and Reshaping Capabilities on Change Implementation Success: The Mediating Role of Readiness for change. Journal of Management Studies, 42(2). 361-386. https://doi.org/10.1111/j.1467-6486.2005.00500.x
Karen S. Whelan-Berry & Karen A. Somerville (2010) Linking Change Drivers and the Organizational Change Process: A Review and Synthesis, Journal of Change Management, 10:2, 175-193, DOI: 10.1080/14697011003795651
Kotter, P.J. (2012). Leading change. Harvard business review
Peus, C., Frey, D., Gerkhardt, M., Fischer, P., & Traut-Mattausch, E. (2009). Leading and Managing Organizational Change Initiatives. Management Revue,20(2), 158-175. Retrieved August 16, 2020, from www.jstor.org/stable/41783612
Yasir, M., Imran, R., Irshad, M. K., Mohamad, N. A., & Khan, M. M. (2016). Leadership Styles in Relation to Employees’ Trust and Organizational Change Capacity: Evidence from Non-Profit Organizations. SAGE Open. 4 (6).1-12. https://doi.org/10.1177/2158244016675396
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