Human Resource (HR) It is true that the organization is facing challenges in its business operation process due to inadequate implementationof change management process. Therefore, it is important for the organization to implement change management strategies for both short-term and long-term time period. This research paper has discussed how Kotter Six Approach Model and long-term change management strategy to set objectives can help the organization to improve issues like, employee turnover and high workplace stress for employees. Discussion Every organization has to maintain its sustainable competitive advantage over rivals by implementation of effective strategies and change management due to financial crisis.
Recent financial crisis slowed down the development of organization and created negative impact on the corporate environment. Financial crisis in recent 18 months has created many challenges for company. Some of the major challenges faced by company are outdated software application, high employee turnover, increase of stress among employees and low morale. These challenges forced remaining executives to bring change management by re-organization of the responsibilities and jobs. But the implementation of change management does not helped for the cause of company as many employees resigned.
Short-Term Strategy First of all it is important for the organization to adopt and implement change management process within the short term. The application of change management in company is pivotal due to the gigantic rise in competition. One of the short term change management strategy that can be implemented by executives in Kotter Six Approach Model. Communication and education is the first step to deal with the resistance to the change. The involvement and participation can help to lower the resistance (Ristow, 2009).
The adjustment problems due to change management can lead to resistance. Facilitation and support during the time of transition period is pivotal for company. Negotiation and agreement with the employees can benefit company to reduce resistance of change. Employees must be offered incentives during the time of change management. Manipulation and co-option is another step to reduce resisters. Final step is implicit and explicit coercion is to force employees to accept the change and consequences of not accepting the order can lead to transferring, firing or losing jobs. A system must be designed to control the internal financial factors.
The designed system can also offer adequate protection during the time of uncontrollable financial issues. Job retention strategies that can be implemented by company during financial crisis are praise, recognition and special incentives. Research states that, by lifting the levels of motivation can help to reduce employee turnover by 53%. The turnover of employee can be costly for many organizations as it can create negative effect on the productivity and quality of service (Sims, 2007). The automating routine task by upgrading software can help to cut costs.
During the time of crisis, company can be affected by the downfall of high employee turnover and reduction of employee satisfaction. Employers must be satisfied with their work and upgrade of software can help to keep employee more satisfied and work more efficiently. The financial crisis has created uncertain climate in the workplace among employees. This can lead to increase in fear and higher level of stress which can heavily affect the productivity and create more challenges for company to overcome. Long-Term Strategy In the current time, companies generally compensate employee based on their performance not for sales.
Long term change management strategy is to establish goals for allocated year and notify the changes required during the process. Long term strategy is to achieve the objective set during the process of short term planning. These following steps implemented during the process of change management and financial crisis can help to reduce high turnover, reduce stress, and increase morale of employees. Primary step for reducing high employee turnover is creating ethical workplace which encourages employees. Reduction of number of meetings, promoting integrity, clarifying mission and cultivating atmosphere are a family.
Providing new challenges, avoiding micro-management, keeping the promises made, rewarding innovative ideas and finally encourage people to take initiative during the time of crisis. Designing rewards systems that can motivate employees to feel part of the organization. Other effective strategies to reduce high turnover are providing assistance program and flexible benefit during the time of change in workforce due to financial crisis. The retention of employees during the time of crisis is incorporating compensation plan which is appreciated by employees.
The outdated software application can hamper the work of employees. This can eventually increase the time of work for employees. There are many positive aspects of upgrading software which are increase in productivity, increase security, employee morale and lower costs. The upgraded software can resemble the outcome of employee morale (Armstrong, 2006). The work can be taken much longer if software is not upgraded and can eventually create huge impact on the costs of revenue generated. The cost of work can be reduced by the application of upgraded application.
It is pivotal for company to upgrade their software which can help employees to complete the work more efficiently and quickly. It can also improve the customer service and communicate effectively with the partners or suppliers of a company. The stress of the employees can be reduced by helping them to manage their work and personal lives. Some effective ways to reduce the stress is by implementation of 24 hours home assistance services for employees, assisting employees about the financial related problems during the time of crisis and providing soft benefits such as meditation session and subsidy vouchers.
Mentoring sessions, regular presentation for employees to showcase their innovative ideas and making daily success of company as their part of pattern. Low morale in organization can to increase in employee turnover, low productivity and deprived cooperation between employees and other company hierarchy (Taylor, 2008). There are few ways that can ensure to increase employee morale to bring sustainable impact on the company success. The result of the handwork done by employees must be presented and shown in the workplace to employees and company hierarchy.
This can tremendously increase the confidence and morale of employees and add entire different level of satisfaction towards the job. Employees must be provided with responsibilities which can provide employees an extra motivation on the job and feel part of the organization. This can eventually help to increase the productivity and reduce rate of employee turnover. Employees must be treated like people and a pivotal part of company. Top management and hierarchy of the company must be regularly engaging and available to listen to the opinions and work of the employees.
The appreciation of the work done by employees to hierarchy and higher level of management can boost the confidence and reduce stress of employees. Workplace must be transparent and full of fun. References Armstrong, M. (2006). A handbook of Human Resource Management Practice. New York: Springer. Ristow, A. (2009). Human Resource management. New York: McGraw-Hill. Sims, R. (2007). Human Resource Management. London: Routledge. Taylor, S. (2008). Human Resource management. Stamford: Cengage Learning.