Why do organizations change?

Why do organizations change? With time goes by, rapid development of science and technology had led us to a world full of competitions. Change and stay alert to keep up with the current trend is essential asset to survive in this aggressive global economy. As the framework indicated by Pettigrew, there are two key context factors makes a great deal of effects on the reason for companies to change. Those are outer context and Inner context. Outer context could refer to the surrounding environment around the firm and the global economics status, etc. Inner context could be downsizing, restructuring the Gestalt, or the problem with coherent design archetype. Under the stress of the outer and inner context, forces or triggers will bring out the revolution. Change can be seen in a short term way and also in a long term way. Short term change could be a sudden, discontinuous and frame-breaking rupture which has an impact on the whole organisation, or new forms of management ad structure of the firm itself, or the breakthrough created by the major innovations or even can refers to the impact of new product and new market opportunities. Normally, financial crisis will be an initiative as a trigger to revolution. At first of the revolution, there would probably already has small changes in normal management and structure. As a long term way to apply the change, change agents are needed to do an ongoing, continuous and gradual progression or give some simpler initiatives such as improvements to existing products and product range.

Van de Ven, A.H. and Poole, M.S. (1995) defined “Change” as a type of event, which is an empirical observation of difference in form, quality, or stat over time in an organisational entity. The entity may be an ...

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...n many discrepancies and imbalances. Thus, a major stimulus is required to prompt a revolution and an important note of caution in interpreting the findings is focus has been on significant general tendencies and not a condition that holds for all historical sequences. The findings represent significant tendencies in the sample and the study has given a small insight into the dynamics of adjustment among the organisations.

Bibliography

Hedberg, B., Nystrom, P., & Starbuck, W. Camping on seesaws: Prescriptions for a self-designing organisation. Administrative Science Quarterly, 1976, 21, 41-65.

Miller, D and Friesen, P (1980) ‘Momentum and revolution in organisational adaptation’, Academy of Management Journal, 23/4: 591-614

Van de Ven, A.H. and Poole, M.S. (1995) ‘Explaining development and change in organizations’ Academy of Management Review, 20/3, 510-40