Premium Essay

Mgt86500

In: Business and Management

Submitted By amesarah
Words 254
Pages 2
Creativity and problem solving can be exciting, but change and uncertainty also evoke anxiety. Unfortunately, with the new economy, people have to deal with changes within the companies they work for, because that is the only way to be successful.
External factors that force changes within a company can be: * Competition: competitors do things in a better way and steal market shares. * Globalization, that connect different markets, also involving cultural exchange. It also increases competition. * Technology innovation, an ever-changing process in the world today
Internal factors can be: * Having to deal with diversity and minorities. A challenge for any company, especially the ones with a global presence * Ethics, values and mission. * Reorganization due to workload and change in resources (like budget)
Employees resist change for various reasons: * The fear of failing, which commonly happens in top-down changes, due to poor implementation. People do not feel like they are part of the program and they are not committed to implement plans. The fear of the unknown, that could threat something seen as a value. And then the fear of having to change old habits, which brings the feeling of losing control. * Employees might not be ready for the change, the system might not be prepared and people are not open to doing things differently, unless they recognize a problem and a sense of urgency. * Managers do not always listen to their subordinates and theirs issues with changes. This increases resistance because people feel like they have to defend something important to

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