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UNIVERSITY OF WALES INSTITUTE CARDIFF
What strategies can be undertaken to handle resistance to change by the employees in
the fast food industry in UK. And how human resource strategies can help to reduce
the employee’s resistance? (Case study of Mcdonald’s)
*
A Dissertation
Submitted to the Cardiff School of Management
of
UNIVERSITY OF WALES INSTITUTE CARDIFF
in partial fulfillment of
the requirements for the
degree of
MASTERS OF BUSINESS ADMINISTRATION
By
Roohi Ahsan
*
London
May 2009
ABSTRACTS
This dissertation explains and investigates change in the organization and its impact
(resistance). Change is a constant phenomenon. In the current world of business change is
what is happening every day due to external and internal forces and demand. Human nature
has the built in instinct to resist any change in their life and work place. Resistance could
be physiological or active. In the process of change in any organization, it is the managers
and employees who play the role of driving force and restraining force. Therefore to bring
change successfully, human resource strategies of the organization have the duty to prepare
people for any upcoming change with the aid of development and training. Where
managers define as the change agent HR strategies are the use tools for successful change
management. This dissertation evaluates change and change management with the aid of
literature. It also explains nature and sources of resistance and strategies, to overcome
resistance. Research also explores the role of HR strategies for effective management
which contribute to successful change management. Primary data for the research was
collected from McDonald’s managers and employees, which enable the researcher to
come to the finding s and conclusion. As the research area is also related with other field of
business there is a high scope for further research
2
Acknowledgement:
First of all I would like to specially thank to my Allah who give me the patience to do this
research. Secondly, I would like to thank my family and my parents. Also I would like to
say that I am very grateful to my respectable and dearest supervisor, and my course leader,
DR. Rajendra Kumar for his valuable advice, spending a generous time and excellent
moral support. Without his support I may not be thinking to do this dissertation.
3
TABLE OF CONTENTS
CHAPTER 1: Introduction ...................................................................07
1.1 An over view of change.......................................................................07
1.2 Research Background …………. .......................................................08
1.3 Rationale for the chosen topic…………………….............................08
1.4 Research Questions ....................................................... ....................09
1.5 Research Objectives…………………………………........................09
1.6 Structure of the Research………………………………..…………..10
CHAPTER 2: Literature review……………………………….……..11
2.1. Literature review: an overview………………………….…………11
2.2. Defining change ………………….………………………………..11
2.2.1. Forces of change ………………………………………....12
2.3. Theories of change management ………………….…………….....14
2.3.1.Force Field Theory …………………………………….....17
2.3.2.The modern version of Lewin’s theory…………………...19
2.3.3. Kotter’s integrative model of organisational dynamics….20
2.3.4. A congruence model of organisations…………………….22
2.4. Defining resistance………………………………………………….25
2.4.1. Sources of resistance in the implementation stage ………25
2.4.2. Sources of resistance in the formulation stage of change... 26
2.5. Kotter and Schlesinger’s Choosing Strategies………………………27
2.5.1. Kotter and Schlesinger‘s Overcoming Resistance………...27
2.6. HR action to reduce resistance……………………………………..29
4
CHAPTER 3: Research methodology…………………………………34
3.1. Research methodology ………………………………….………..…34
3.2. Research philosophy ……………………………………………..…34
3.3. Research classification …………………………………………...…35
3.4. The nature of the data collection…………………………………….37
3.5. Significance of Research…………………………………………….38
3.6. Research process …………………………………………………….39
CHAPTER 4: Data presentation and analysis………………………...41
CHAPTER 5: Findings and recommendation…………………..…….55
5.1 Conclusion………………………………...……………....................55
5.2 Recommendations ……………………………………………………58
5.3. Scope for further research……………………………………………60
References ……………………………………………………...………61
Appendix…………………………………………………………….……67
List of Figures & Tables
List of Figures
2.1 Figure…………………………………………………………………13
2.2 Figure…………………………………………………………………16
2.3 Figure………………………………………………………………….18
2.4 Figure…………………………………………………………………..21
2.5 Figure…………………………………………………………………...23
2.6 Figure…………………………………………………………………...31
2.7 Figure……………………………………………………………………33
3.1 Figure……………………………………………………………………36
3.2 Figure……………………………………………………………………38
3.3 Figure…………………………………………………………………….39
4.1 Figure………………………………………………………………….....41
4.2 Figure……………………………………………………………………..42
5
4.3 Figure……………………………………………………………………43
4.4 Figure…………………………………………………………………….44
4.5 Figure…………………………………………………………………….45
4.6 Figure……………………………………………………………………..46
4.7 Figure………………………………………………………………….......46
Table
3.1 Table……………………………………………………………………….35
6
Chapter 1
Introduction
Change and change management they work side by side in the modern world. Change in
management brings the change in organization, which is called organization development.
Manager plays leading role in any organization. In change, management change and
resistance are the enemies of each other; change in management means the ways of doing
things are going to be change in the organization. In any organization, when change comes,
management face so many problems. Change in the organization could be economical,
political, cultural, technological, environmental and Competition. Employees can bring the
change. When change comes it brings the resistance with it. Resistance means the negative
sign in the employees in any organization. Change in management brings the change in the
organization.
To bring any kind of change in the organization HR professional or manager’s plays the
most important role. Human resource professionals help to identify and implement
processes for change. Ulrich (1997) defines the metaphor for work in this role as “change
agent.
As change agents, HR professionals have to be prepared for any organizational change.
Often, change must be a processed in the past. For the HR professional as change agent,
honouring the past means appreciating and respecting the tradition and history of a business
while acting for the future.Change agents is clearly part of the value-added role of HR
professionals as business partners.
According to Ulrich (1997) one of the key roles of a human resource (HR) professional in
an organization is to “manage transformation and change”. He describes the overall
transformation as entailing fundamental and cultural change within the firm and that human
resource professionals managing transformation become both cultural guardians and
cultural catalysts. Ulrich defines the purpose of change in a business as “the ability of an
organization to improve the design and implementation of initiatives and to reduce cycle
time in all organizational activities”.HR professionals duties include understanding critical
processes for change, make change happen, build commitment to those processes, and
ensure that change occurs as intended.
7
Transforming an organization is the ultimate test of leadership, and understanding the
change process is essential to many aspects of a leader’s job. The concept of the
requirement for change has taken a convincing hold in organizational systems.
Furthermore, it is a fact that attacks all aspects of the human survival and stands as a
substance that must be contained and understood.
1.2 Research Background
The research background of this dissertation is change management in the organization.
Change in management brings handling resistance to change in organization, which is
called organization development. Manager play leading role in any organization. Change in
management means the ways of doing things going to be change in the organization.
In any organization, when change comes management face so many problems. Change in
the organization could be economical, political, cultural, technological, environmental and
Competition. Employees can bring the change.
Background of this research carries one more important element which is Human resource
strategies, how to help to resolve this problem. This research will explain all those
problems, when management bring the change its must, employees will resist that’s the
reality, which strategies Mcdonald’s human resource consultant will use to cope with this
situation.
1.3 Rationale for the chosen topic
Rationale for the chosen topic is researcher wants to become the change management
advisor. From researcher point of view, ‘Change’ is the backbone of the organization.
When change comes in organization, to reduce the employee resistance, management need
to consult with Human resource department of the organisation, here researcher got one
more advantage; researcher will more know about the human resource strategies
Change is interesting topic, in 21st century all over the world getting development in every
field of life. In 19th and 20th century, where the labour was working, now days latest
technology take their place it’s not like that labour been finished but the ratio is going to
reduced, then insecurity comes in the workers in any field. When change comes, than it
8
bring resistance in the employees, researcher wants to find out management and human
resource strategies how to cope with this situation.
1.4 Research Questions
Researcher will examine the few questions in this research.
Q#1:
Examine what changes manager can bring in the organization. Is it true that managers are
the change agent?
Q#2:
Examine when change comes why do employees resist the change?
Q#3:
Can human resource strategies can help to reduce the management and employees
resistance and if so what human resource strategies can be undertaken?
1.5 Research Objectives
For researcher the objectives of this research are:
(a) Evaluate management roles and attitudes toward implementing change.
(b) Identify resistance from the employees to change in the fast food. (Mcdonald’s)
(c) Examine dynamic efforts of human resource strategies to reduce resistance in change
management.
To meet the objectives of this research, researcher will examine relevant organization and
the literature available in the field of change management. The objective of this research,
researcher wants to bring the change advisor in the future, because in the global world,
every thing is changing, when change comes than it bring the challenges.
9
1.6 Structure of the Research
Structure of this study based on five chapters:
Chapter 1 will describe the research background, why researcher chose this topic. What
motives and objectives was behind to choose the topic? Chapter 2 of this study based on
the literature, which will be based on theories of change management and secondary data,
that will make the right direction, of this study. In this chapter researcher will take the
literature from books, articles, and journals, official websites. This chapter will present the
literature and analyze . Chapter 3 will represent the research methodology; researcher will
use books for considering nature of research method. In this chapter, researcher will
explain which method would be appropriate to collect the data for research. With the help
of the primary data and literature review researcher will develop a questionnaire. This
questionnaire will use in the McDonald’s. This chapter represent analysis of data collected
and findings of the research.
After analyzing the data, researcher will make the summary of this research; afterwards
with the help of this research, researcher will develop the conclusion of this summary. With
the help of the conclusion, research will make recommendations of this study.
10
Chapter 2
Literature Review
This chapter will provide a detailed literature review. The literature review helped frame
the initial focus of this study, as well as focus the data analysis Swanson & Holton, (1997).
Literature reviews help researchers limit the scope of their inquiry as well as act as a
benchmark for comparison purposes. According to Creswell (2003) literature reviews
provide a framework for establishing the importance of the study.
According to Swanson and Holton (1997), “Research is a process having a specific type of
outcome. Outcomes of research are new knowledge, obtained through an orderly,
investigative process”. Typically the research process begins with attempting to solve a
problem, which is done by asking a question and identifying a solution or, in essence,
drawing a conclusion.
2.1 An overview of change
The focus of the research is to reveal the elements of resistance in the current change
management system both in practice and theory. This chapter is organized according to the
various components of resistance to change and reducing resistance with the help of human
resource strategies of the organization.
2.2.Defining change
Change is the metaphysics of our age . Organizational theorists like Drucker (1995) stated,
change is a constant in all contexts. Change can be defined from an organizational
development perspective.
Pendlebury,j et al (1998) demonstrate change as “change is troublesome to organizations,
and it is quite disruptive to the individual. The effect of change on individuals is
significant. In many respects, it is the emotional dimension of resistance that must be
managed throughout the life of the change event”. Vigorous emotions can be removed
11
through the process of change within organizations . In fact, scholars argue that every act or
event of change will draw some type of resistance -- resistance that will clear itself in
emotions such as fear and anger, denial, avoidance, and resistance. Change can be so
disturbing that even individuals directly unaffected by a change initiative can be affected
through survivor guilt. according to Noer (1997) survivor guilt or sickness may be
experienced by individuals indirectly affected by change and may serve as a significant
source of resistance for individuals .
2.2.1.Forces of change
Change depends on two forces, which could be external and internal forces. If managers,
employees or we can say organisations think about about these forces, than they can
implement on change successfully. The forces for change are :
External Forces
Technological change (Manufacturing Automation, Office Automation).
Demographic change (Immigration,Age, Education, Gender, Skills) Organisations need to
manage the diversity effectively if they are to receive maximum contribution and
commitment from employees.
Social and political pressure(War, Values, Leadership).
Internal Forces
Human resource prospects(Unmet needs, Job dissatisfaction, Absenteeism and staff
turnover Productivity Participation) Managerial decisions.
Human resource prospects (Unmet needs, Job dissatisfaction, Absenteeism and staff
turnover Productivity Participation
Managerial decisions
(Conflict, Leadership, Reward system, Structural reorganisation) the needs for the change.
Bullens, et al (2006)
12
Figure 2.1 : Triggers to change
Source: Corlett,Forster, (2004), analysing self and Organisation Part 2: Analysing
Organisation, pp-654, 1st edition by Pearson Education Limited.
Technological Change
Technological change in the organisation is critical, for thee primary reasons.
1- Competitors use technology as part of major success strategies.
2- Technology driven is everywhere and always present.
The Wider EnvironmentSocial Values
Demographics
Task Environment Customers and markets
Economy
Technology
Suppliers of Inputs
Competitors For markets For resources
Regulatory groups The Firm
Process FactorWhat is done (task)How things are done (technology)
People factorsWorkforce diversityWorkforce Behaviour
13
3- Value capture from new technology is challenging and never guaranteed.
According to Ettlie,J (2000)
Most of the time, we hold technology as a constant, because it’s convenient. The more
change in technology of products, services, and operations, the more change in
administrative procedures, new strategies, new organisational structures, and new operating
procedures will be required to successfully capture the potential benefits of the venture.
The failure of technological change typically occurs when either too much technology is
adopted too quickly or not enough technology is adopted to stay ahead of competitors.
Cultural Change
Culture examines society’s values, norms, believes, symbols. Organisational culture, is the
concept to analyse that the organisation can be very useful for focusing on the more
behavioural and attitudinal aspects of the organisational life. Organisational culture is the
social aspects of our employing organisations. Schein’s (1985) state the typology in the
Steve ellis& Penny Dick book.
Schein’s developed the following typology for cultural analysis
The organisation’s relationship to its environment (belief that relate to the broader
environment)
The nature of the human activity (beliefs about what the core activity of the
business should be)
The nature of the reality and truth
The nature of human nature (beliefs about what people are like)
The nature of human relationships (beliefs are about how people should relate to
one another both hierarchically and horizontally)
Homogeneity versus diversity (beliefs about similar or diverse the workforce should
be) Ellis,& Dick ( 2003)
2.3.Theories of change management
There are many change models that are used to aid experts in implementing change. These
models can be broken down into two types of change theories that organizations can use:
radical and incremental. Within each of these approaches there are various models and
processes.
14
Radical change approaches include, but are not limited to, six sigma, quality function
deployment, and re-engineering. Radical change models are used to jump-start an
organization and are also used when a culture change is required. Dyer (1994) explain
radical change , In a conventionally Midwestern family business atmosphere, change is
likely to be more heavily resisted than in other organizations because the feelings adjacent
to the change tend to be deeper and more intense, and previous research shows that family
values, goals, and relations deeply influence strategic change in family-oriented firms .
Incremental change approaches include, but are not limited to, Kurt Lewin’s model,
Beckhard’s change model, Kotter’s transformation model, and the Bridges transition model
.
Incremental change models are related with improving the existing system and operate
within the current business model. All these models have a stage of unfreezing of the
current behavior, a change being introduced, and a stage of refreezing the new behavior, or
else they begin with the identification of the current state, the desired state, and the blocks
and barriers that exist between the two.
According to Kotter (1996) certain conditions need to be met in order to bring about
effective change. These conditions on what is known to contribute to the failure of change
efforts. Kotter also states that producing change is about 80% leadership (establishing
direction, aligning, and motivating and inspiring people) and about 20% management
(planning, budgeting, organizing, and problem-solving). In most change efforts he has
studied, the percentages have been reversed. While there are some examples of successful
change efforts, so leadership or management works as a change agent within the
organization.
Vago (1999)In a planned change effort, change agents are professionals who influence and
implement the change; they are critical to the success of a change effort .
Recent studies indicate that static change models are being replaced with dynamic change
models that reflect the discontinuous nature of organizational change. In other words,
change does not occur at a steady rate even though in the past organizational theory has
written about steady or static models. A review of the literature Senge, (1990) reflects the
need for organizations to be able to continuously adjust as well as to allow for learning to
take place. According to Schein, (2004) “Culture change inevitably involves unlearning as
well as relearning and is therefore, by definition, transformative” thus:
15
Schein (2004) also suggested learning leaders must be well connected to those parts of the
organization that are themselves well connected to the environment—the sales
organization, purchasing, marketing, public relations, legal, finance, and R&D .must be
able to listen to disconfirming information coming from these sources and to assess the
implications for the future of the organization.
Cummings &Worley, (2001) state that Kurt Lewin’s three-stage change model is the root
of change management. Lewin’s change model consisting of the following steps: 1)
unfreezing the old behaviour (or situation), 2) moving to a new level of behaviour, and 3)
refreezing, the behaviour at the new level. Lewin viewed the change process as a
fundamental alteration or change in the forces that kept a system in stasis .According to
Lewin, an organization will go through the process of making preparations for change,
developing the force for change, implementing change, and then will strive to re-establish
stability or reach stasis. Recent theorists have considered change according to
developmental change, transitional change, and transformational change (Anderson
&Ackerman-Anderson, 2001).
Figure 2.2
Kurt Lewin’s three-stage change model of change.
Unfreeze
Change
Refreeze
16
According to Van de Ven and Poole (1995) Organizational change is an empirical
observation in an organizational entity of variations in shape, quality or state over time.
Kaestle (1990) states in A New Rationale for Organizational Structure, that there are
fundamentally two drivers for organizational change: 1) a dynamic marketplace and, 2)
information technology.
Nadler (1997) argue strongly for the case of new technologies and new markets. Jick
(1995) identifies competition and the aspirations to gain and maintain competitive
advantage a key Impetus for change . Change is initiated via external sources such as
cultural and political factors. In short, additional external factors like globalizing markets,
technology, politics, and communications are all sources of change (Nadler, 1997).
2.3.1.Force Field Theory
Force Field Theory is the pioneer theory of change management, the theory was developed
by Kurt Lewin. Schein (2002) explain Kurt Lewin theory, how change is influenced by
two opposing factors driving and restraining forces that work against each other to sustain
a state of stability .At the same time as driving forces uphold change, restraining forces
resist the driving forces and thus hold back change. When these forces are balanced, a state
of quasi-stationary equilibrium is achieved (Figure).
17
Figure2.3 : Lewin’s Force Field Theory
The term ‘quasi-stationary equilibrium’ was used to describe the stable routine of day-to-
day activity, rather than just ‘equilibrium’ which implies a state of rest (Perseus Publishing
Staff, 2002). According to Schein (2002), “Any living system is always in a state of some
change (growth, metamorphosis, or decline), but all systems are homeostatic in that they
always tend toward some kind of equilibrium” (p. 35). To explain the quasi-stationary
state, Lewin used the analogy of a river flowing at the same velocity and direction over
time. Although the river is not at rest, it flows consistently at the same rate and thus is
stable. A shift in velocity or direction, however, would constitute a change.
To bring about change, either driving forces need to be added or restraining forces must be
diminished. Adding more driving forces “is likely to be paralleled by higher
aggressiveness, higher emotionality, and lower constructiveness” than if restraining forces
were reduced; therefore, the latter is a more desirable course of action . In addition, adding
driving forces is likely to result in new restraining forces as people try to maintain a state of
Equilibrium
Driving forces
(
Restraining forces
18
quasi-stationary equilibrium (Perseus Publishing Staff, 2002). In this study, force field
theory provided the theoretical framework for the variable of resistance to change in that it
posited the tendency for groups to maintain a state of stability with restraining forces (i.e.
resistance) resulting when driving forces that promote change are introduced.
2.3.2.The modern version of Lewin’s theory
Neito,(2006) described the graceful of Lewin’s theory is the critical analysis if it is to be
helpful to HR professionals. To start by means of, it is affective and how easy to get the
agreement of employees regarding a change process. Even though if the change is
important, but people will not accept the change easily, that’s way the first stage
‘Unfreezing’ takes more time rather than other stages. Next process is ‘Change’, this
process will be by itself, but this process should be managed properly. If this process is
managed properly there are incentives and benefits (easy wins) during the change process,
end of the day this process will give the positive support.
Finally, the last stage is ‘Refreezing’ which should be critically evaluated in 21 st century.
Mid of the twentieth century WeberIan bureaucracies may have been ‘refreeze’ after
change, the modern similarity force be more likely ‘slush’. Changes in employees, task,
technology and structure the sociotechnical theory are more common, the concept of
‘refreezing’ may not be a suitable image for recent change succession.
Neito,M. describes in his book, Human resource strategies are influenced by external and
internal factors. Change successful depends on the concern and growth on the employee
relations and interpersonal relationships. Human resource professionals should consider the
change processes are likely to meet resistance and that is more efficient to consult with
staff and expand teamwork than to oblige changes. Present workers should therefore invest
in special development to enhance their long term employability. Neito,M (2006)
To understand the process and the nature of change in the organization, it is important to
understand how organization works in the complex environment of external and internal
forces.
According to Hayes. J(2007) Open structure theory predicts that changes to any one of the
internal and external elements of an organisation’s will source changes to other
19
fundamentals. Hayes. J(2007) adopt from kotter (1980) the integrative model of
organisational dynamics.
2.3.3 Kotter’s integrative model of organisational dynamics
The six main elements in Kotter’s model are:
External environment, based on the direct task related environment and the wider
environment (which includes the political system, economical system etc).
Employees and other tangible assets, as well as building cash and all other stuff and
inventories.
Formal organisational arrangements – which system is operating and job design
Social system, which is based on organisation’s culture and social structure.
Technology is the main product of the organisation.
Dominant coalition – Goals, strategies of those who control to make the plane.
According to Hayes.J (2007) adaptability is very important because it determines whether
the organisation will be able or not to maintain the require degree of alignment over the
long period. For the long period, the main purpose of change management needs to be
ensuring, that the structural basics of the organisation are as adaptable.
20
Source of potential behaviour and constraint
Impact on
Figure: 2.4
Source: Hayes,J.(2007) The theory and Practice of Change Management (2nd edition), pp-
47, by palgrave Macmillan.
Key organisational processesInformation gatheringCommunicationDecision makingMatter energy transportationMatter energy conversion
Formal organisational
Dominant coalition
External environment,
Technology, methods
Social system culture
Employees and tangibleaaaa assets
21
2.3.4. A congruence model of organisations
A substitute open system model, planned by Nadler and Tushman (1982) states in John
Hayes book, also point out the effect of the congruency of the elements of the organisation,
and shows the effectiveness on the organisation. Additionally, it puts more pressure, on the
role of strategy, because any organisation based on the strategy as well. Congruence model
depends on the four classes of input:
Environment :
Environment as well as based on wider culture, within which the organisation operates,
that’s the backbone of the organisation. Environment is a part of financial institutions,
supplies, markets. Its overall the system of the organisation, which is based on the external
and internal environment of the organisation. Environment provides the strength and
opportunities that the organisation has to compete with.
Resources :
Resources like as raw material, liquid capital, labour, technologies.
History:
History is very important for the organisation, because past strategic decisions and
development of central part values and patterns of leadership can affect the present model
of organisation.
Strategy:
This input gives the direction how the organisation’s resources can be used to be the
advantage in relation to the opportunities, and demands of the environment. Successful
organisations are those that are able to support themselves with the help of external
environment and move themselves to take advantage of any environmental changes.
Nadler and Tushman (1982) argue that strategy defines the task of the organisation.
Strategy is effective to the organisation’s behavioural system. They recommend that the
goals of strategy measure the organisation’s performance.
Nadler and Tushman define the major components of the transformation process as:
a- Task, can be viewed in terms of obstacle, predictability, interdependence a skill
demands.
22
b- Individuals, those are the members of the organisation and their reaction capabilities,
intelligence, experience, training, skills, attitudes, expectations etc.
c- Formal organisational performance that include all the mechanisms used by the
organisation to direct, control behaviour or formation.
d- Informal organisation, as well as informal group structures, the quality of inter-group
relations, political processes, etc.
Transformation process
Feedback
Figure:2.5
Source: Hayes,J.(2007) The theory and Practice of Change Management (2nd edition), pp-
52,by palgrave Macmillan.
Informal organisation
Individual
Task Formal organisation
OrganisationGroup, Individual
Environment Resources,History
Inputs Outputs
Strategy
23
x
Like Kotter, Nadler and Tushman argue that any useful model of organisations must go
beyond only providing a simple sketch of the tools of the organisation and consider the
dynamic relationships that exist between the various tools. They define ‘congruence’ as the
degree to those the needs, goals, objectives and structures of any one tool of the
organisation are reliable with the needs. Their general theory is that, other things equal, the
greater the total degree of congruence between the different tools the more efficient will be
the organisation’s behaviour. Figure summarises the congruence model and the bold double
headed arrows specify the six ‘fits’ between the components of the transformation process
(the internal organisation)
These are:
(a) Individual - Formal organisations for example to what extents are individual needs met
by the formal organisational arrangements?
(b) Individual – Task for example, to what extent do individuals have the skills required to
meet task demands and to what extent do the tasks satisfy individual needs?
(c) Individual – informal organisation for example, to what extent does the informal
organisation satisfy the needs of individuals or make best use of their talents?
(d) Task – formal organisation for example, to what level are the formal organisational
arrangements enough to meet the demands of the task?
(e) Task – informal organisation for example, to what point does the informal organisation
make sure to task performance?
(f) Formal – informal organisation for example, to what level are the goals, rewards and
structures of the informal organisation reliable with those of the formal organisation?
Mostly tools that Nadler and Tushman desire to focus on are different to those that figure in
kotter’s model. All models are overview of the real world, and the usefulness of the
particular model, in the context of the change management. Schneider state in the book of
john hayes, Internal and external alignment promotes organisational effectiveness because
the various elements of the system strengthen rather than upset each other, thereby
minimising the loss of system energy and resources.
24
2.4. Defining resistance
Resistance to change is not rigorously related to organizations’ management and
leadership. It is a problem embedded in the very nature of its organizational members. In
any case, resistance to change is a significant factor that must be understood in the
organizational context. Individuals can arrive at a psychological state where major change
can no longer be absorbed. According to psychologists, change can trigger emotional
experiences such as depression, mania, irritability, anger, disturbing or obsessive thoughts.
According to Conner (1995) the main sources of individual resistance to change are: lack
of trust, commitment to the status quo, belief that the change is not feasible, economic
threats, relative high costs, loss of status and power, and threats to values and ideals .
Tushman and O’Reilly (1997) state that despite the inevitability of change and its necessity
for survival, it presents serious dilemmas to anyone serious about the notion of change.
Change is disruptive to organizations .That is undeniable. Change is not helpful to an
environment of stability; it precipitates more and more disruption wooing business leaders
to a critical deadlock. One cannot have both stability and change; they are conflicting
forces.
Pascal,R et el (1997), state, “surveys confirm that executives have begun to give
revitalization a high priority….however, most of their efforts to achieve it have met with
frustration – partly because large organizations have such a remarkable capacity to resist
change of all kinds”.
2.4.1. Sources of resistance in the implementation stage
According to Klein and Sorra (1996) implementation of any change in the organization is
the significant step between the decision to change and the regular use of it at the
organization. In implementation stage more resistance groups can be found. The main
resistance is with political and cultural locks to change. It consists of:
Implementation climate and relation between change values and organizational values,
considering that a strong implementation climate when the values’ relation is negative will
result in resistance and opposition to change and forgetfulness of the social dimension of
changes ( Schalk et al., 1998).
25
Last but not least, a set of five sources of resistance with different characteristics are
According to Rumelt, (1995)
leadership inaction, sometimes because leaders are afraid of uncertainty, sometimes for fear
of changing the status quo ;embedded routines ;collective action problems, specially
dealing with the difficulty to decide who is going to move first or how to deal with free-
xxriders ,ack of the necessary capabilities to implement change – capabilities gap
and ,cynicism (Reichers et al., 1997).
2.4.2.Sources of resistance in the formulation stage of change
To understand resistance in the prosess of change in any organisation, we need to focuse on
the very fast formulation stage of change.
It includes: inability of the company to look into the future with clarity . According to
Morrison and Milliken, (2000) organizational silence, which limits the information flow
with individuals who do not express their thoughts, meaning that decisions are made
without all the necessary information . denial or refusal to accept any information that is
not expected or desired ( Rumelt, 1995).
Low motivation for change, sources are:
Direct costs of change , is the cost of change that brings success to a product but at the
same time brings losses to others, so it requires some sort of sacrifice. According to Rumelt
(1995) the need for a change is compensated through the high rents obtained without
change with another different factor, so that there is no real motivation for change.
According to Lorenzo (2000) past failures, leave a pessimistic image for future changes.
Waddell and Sohal (1998) identified different interests among employees and management,
or lack of motivation of employees who value change results less than managers value
them).
26
2.5. Kotter and Schlesinger’s Choosing Strategies
“Choosing Strategies for Change” an article of Kotter and Schlesinger’s (1979) explain
causes for resistance to change. Organizations frequently experience employee’s resistance
when change is introduced. A lot of time fear and an unwillingness to take risks delay
potential development, progress and success. Kotter and Schlesinger suggested four
reasons employee’s resist change: “parochial self-interest, misunderstanding and lack of
trust, differing assessment and low tolerance for change”. According to Bolognese (2002).
close-minded self-interest describes employee’s that recognize personally loosing
something of value .Lack of trust and misunderstanding are also causes of resistance to
change (Kotter & Schlesinger, 1979).
Most of time employee’s are unable to understand the plan and believe they are giving
more and receiving less. Another cause of resistance to change differing assessment is. This
happens when members evaluate the circumstances differently from leaders and then
determine costs exceed the potential positive outcomes from the change. Kotter and
Schlesing’s last suggestion for member resistance is low tolerance for change. Members are
afraid of their inability to acquire different skills and behaviors needed in the new setting,
and this creates resistance in performing .
2.5.1. Kotter and Schlesinger‘s Overcoming Resistance
Kotter and Schlesinger (1979) branded the following six approaches which address how to
handle resistant members:
(a) Education and communication (b) Participation and involvement
(c) facilitation and support (d) negotiation and agreement
(e) manipulation and co-optation and (f) explicit and implicit.
The first approach, education and communication, involves teaching members in advance
of a potential change. It is the simplest way to overcoming resistance to change.
27
Communicating a different perspective allows members to understand the need and reason
for change (Bolognese, 2002). Kotter and Schlesinger (1979) suggested when educating
members use face-to-face discussions, group presentations and reports. Participation and
involvement includes placing potential resistors in the implementation process .
About the leader in the organization Thalheimer (2005) suggested when resistance
members become participants in the change, the leader should listen to the individuals
involved in the change and apply their recommendations.
When managers realize that they lack knowledge in specific areas to plan and implement a
change or committed members are needed, involving others is good judgment. However,
involving members in every change effort or never allowing participant involvement is
unrealistic. However, often, this procedure prevents any resistance.
Kotter & Schlesinger (1979) suggested another approach to overcoming resistance is
facilitation and support. Leaders should provide support for members when needed.
Supportive procedures include offering new skills training, providing time off following
stressful periods, listening and offering emotional support.
Bolognese (2002) explain that when fear and anxiety is the root cause of resistance
facilitation and support is very helpful. However, hard leaders often disregard this type of
resistance. The facilitation and support approach is time consuming and requires to fiance
training programs. This approach does not always prevent resistance.
Next, the process of negotiation and agreement involves providing incentives to current and
perceived resistance members (Kotter & Schlesinger, 1979). Negotiation is suitable when,
with certainty, an individual will suffer loss due to the change (Bolognese, 2002).
Manipulation and co-optation are also strategies for overcoming resistance to change
(Kotter and Schlesinger, 1979). This procedure involves leaders privately attempting to
influence members. Manipulation, in this sense usually suggests choosing selective
information for a specific use, and intentionally planning events (Robbins, 2003). Co-
optation is a form of strategy. Co-optation is not participation because the leaders do not
want suggestions from members. Instead leaders seek endorsement from members. It
normally involves appointing an individual to an important position in the planning or
execution of the change.
Finally, explicit and implicit coercion deals with leaders intimidating resistant members.
Often leaders must manage resistance coercion. Members are forced to comply with the
28
change by direct and implied force, such as, losing a position, forfeiting a promotion or
termination (Kotter & Schlesinger, 1979). Similar to the manipulation approach, putting
demands on members can become a dangerous process due to members developing
resentment. However, when change is crucial and unpopular, coercion may be the only
option available to leaders.
2.6. HR action to reduce resistance
Human resource management strategies can play an important part to reduce resistance
among the management and employees. According to Schein (1999) the organizations who
will be successful in the future will be the ones that continuously adapt to change. And
human resource is the department that deal with it. Schein (1999) added that forces for
change in the competitive environment are diverse and increasing. Managing change
should be viewed as a continuous activity and not a series of events. Organizations should
assume organizational change will and should be continuous within its environment.
According to the Harvard Business Review on Change (1998), “Despite the very best effort
of senior executives, major change initiatives often fail. Those failures have common root:
Executives and employees see change differently. Form the senior manager’s point of view
change means opportunity—both for the business and for themselves. On the other hand
for many employees, change is seen as disruptive and intrusive .
Managing Uncertainty
Organisations have struggled to cope with uncertainty due to the apparent inability of
human resource planning to cope. New form of employment flexibility have been utilised
in addition to traditional method s in order to manage the size, costs and skills components
of the labour force.Conceptualisations of flexibility have been provided through an
examination of the ambiguity of the term. .Leopold,j et al, (2005)
29
Training and learning
Training and learning is the main tools for HR to prepear management for any upcoming
change in the organization. According to Beardwell and Claydon (2007) the role of formal
training in organisation today appears to have declined significantly. Firstly, the speed with
which skills requirements change in some sectors means the formal time consuming, to
deliver efficiently as required. Secondly, the growing recognition of Human resource
development as a tool to achieve competitive advantage has raised awareness of the need of
the embrace learning as a central strategic concern and to be part of the culture of the
organisation. Employees, employers, managers, leaders, government, European and
international bodies, customers and Human resource development specialist consultants all
of them needs more training for the future.
Equal opportunity
Equal opportunity, means changing workplace behaviour in the areas of discrimination,
sexual harassment and affirmative action to ensure that all employees have equal access to
fulfilling and productive working lives. Wright,N (2003)
30
The three key concerns of equal opportunity
Figure : 2.6
Source :Dessler et al,(1999), pp-80,Human Resource Management by Prentice Hall
Australia.
Managers are traditionally not open to change and often fight to maintain the status quo
Hambrick, et al (1993). Further complicating the disparity between middle and senior
Equal OpportunityChanging workplace behaviour and culture to ensure that all employees have equal access to fulfilling and productive working lives
Workplace DiscriminationWorkplace decision about people made on criteria irrelevant to the reasonable performance of their wor work work
Sexual Harassment Unwelcome sexual behaviours in the workplace
Affirmative Active
Strategic Human resource planning and action to ensure gender balance in the work place
31
management, Tichy and Sherman (1994) note that executives perceive middle management
as a locus of formidable resistance within organizations.
Reina and Reina (1999), highlight the organizational consequences of ignoring the impact
of change on employees. The authors foreshadow the potential and detrimental
consequences of any unwary change leader who implements a change within an
organization without considering the employees affected by the change. Moreover, they
argue ignoring the impact on the employee is the perceived equivalent to betrayal to both
the leader and the employees. It should be noted that Reina and Reina (1999) contend the
act of betrayal is not necessarily the experience or the result of change itself, but a result of
how the change was managed. In summary, the authors assert that employees must be
given sufficient time to adjust to organizational changes. In order for this to occur, the
impact to the employee population must be considered and given its proper attention.
It is not uncommon for the justification or rationale for change to be misinterpreted or
misunderstood by the employee population. This is not surprising since employees are
typically not intimately involved in developing the business case for change or are
responsible for implementing solutions to problems that plague the organization. However,
the means by which change is managed can either exacerbate or alleviate the problem of
employee resistance.
32
Effective change management
Figure: 2.7
Source: Cumming & Worley (2005), Organisational development and change, 8th edition,
pp-156, by south western Part of the Thomson Corporation.
Developing Political Support Assessing Change Agent PowerIdentifying key stakeholdersInfluencing stakeholders
Effective Change Management
Managing the TransitionActivity PlanningCommitment Planning Management Structure
Sustaining Momentum Providing Resources for ChangeBuilding a support system for change AgentsDeveloping New Competencies and skillsReinforcing New behavioursStaying the course
33
Motivating ChangeCreating readiness for Change Overcoming Resistance to Change
Creating a VisionDescribing the Core IdeologyConstructing the Environmental Future
Chapter 3
Methodology
3. 1 Research Methodology
Pure research is concerned with the expansion, examination proof and improvement of the
research methods and techniques and tools that from the body of research methodology.
Examples of clean research include just beginning a sampling method which can be applied
to a specific situation; developing a methodology to access the force of the procedures.
Normally research in the social sciences is applied. In other words the experiments,
methods, and research tools which is called the research methodology. Research
methodology is useful to collect the information in the different aspects of an issue,
problems and situations.
Research will carry out mainly, using the qualitative method of research methodology, as
the nature of research is based on primary data which will be collected by doing personal
interview questionnaires.
3.2.Research Philosophy
According to Saunders (2000) the research philosophy depends on the way we think about
the development of knowledge and this thinking affects the way we do search. Whilst
undertaking the research, a clear understanding of research philosophy is essential since it
helps the researcher to refine and specify the research methods to be used in a study, that is,
to clarify the overall research strategy to be used (Easterby-Smith et al., 1997)
Saunders (2000) provides two views about the research process dominate the literature
namely positivism and phenomenology which have an important part to play in business
and management research. Positivism is founded on the belief that study of human
behaviour should be conducted in the same way that as studies conducted in the natural
sciences. On the other hand phenomenology is concerned with the understanding human
behaviour from the participant’s own frame of reference (Hussey and Collis, 2003).
34
Features of the two main paradigms:
Positivistic paradigm Phenomenological paradigm
Tends to produce quantitative data Tends to produce qualitative data
Uses large samples Uses small samples
Concerned with hypothesis testing Concerned with generating theories
Data is highly specific and precise Data is rich and subjective
The location is artificial The location is natural
Reliability is high Reliability is low
Validity is low Validity is high
Generalises from sample to population Generalises from one setting to another
Source: Adopted from Collis and Hussey` (2003, pp. 184-193) framework.
Table : 3.1
3.3. Research classification
Descriptive research
Study which is called descriptive research, it explain critically a situation, programme
phenomenon or provides information about, say, explain the livelihood or attitudes towards
an issue.
Correlational research
The main importance in a correlational research study is to establish the continuation of a
relationship, association, interdependence between two or more aspects of the
situation.These studies observe there is a relationship between two or more aspects of a
situation or phenomenon and, therefore are called correlational research.
35
Explanatory Research
On the way to clarify when and how there is a relationship between two aspects of a
situation. This type of research attempts to clarify. Fourth type of research, from the point
of view of the objectives of a study is called exploratory research. This is when a study
undertaken with the objective moreover to discover an area or to examine the possibilities
of undertaking with a specific research study. Kumar.R. (2005).
Quantitative vs. Qualitative
Quantitative research is based on the measurement of the quantity. It is applicable to
phenomena that can be expressed in term of quantity.
The importance of the primary narrative and theoretical conjecture
Figure : 3.1
Source: Remenyi, D et al (1998), Doing Research in Business Management
An introduction to Process & Method pp-125, by Sage Publication.
Qualitative evidence
Quantitative evidence
Phenomenological approach
Positive approach
Primary narrative
Theoretical conjecture
Test
Not test
36
Qualitative research, on the other hand, is based on the qualitative phenomenon, i.e. the
phenomena relating to or involving quality. For example, when we are interested in
investing the reasons for human behaviour, we rarely talk of ‘Motivation research’, an
essential type of qualitative research. Qualitative research plays leading role in the
behavioural sciences when the aim is to find out the causal motives of human behaviour.
With the help of the research, we can find out the various factors which motivate people to
behave in specific manner. It may be stated however, that to apply qualitative research in
practice is quite a difficult job and therefore, while doing a research, one should get
guidance from experimental psychologists.
Conceptual vs. Empirical
Conceptual research is associated to some theory; it’s usually used by philosophers and
thinkers to create new concepts. Empirical research based on experience or examining
alone, without due consider for system and theory. It is data-based research, coming up
with the conclusion which is able of being verified by examination and experimentation,
which is called experimental research. In experimental research it is urgent to get the reality
at the firsthand, at their basis, and actively to go about doing assured things to encourage
the creation of required information. In such a research, the researcher first must give
himself with a working hypothesis or guess as to the possible results. Research is thus
characterised by the experimenters control over the variables under study and his planned
of direction of one of them to study its effects. Empirical research is suitable when proof is
required that certain variables affect other variables in some way. Verification collected
during experiments, empirical studies is today considered to the most commanding support
for a given hypothesis.
3.4. The nature of the data collection
Secondary data sources have been searched not enough for the information needs; effort
must turn to the collection of primary data.
37
Primary Data
For a specific reason definition is collected from genuine source. Data does not survive
now in a compiled form; it is the duty of the researcher to gather it in skilful and productive
format for decision making. Primary data collection consists of selecting the methods of
obtaining the information needed. As expressing during the text, this choice is main part of
the research process. The decisions are solid with the other steps in the research process
and finally with the quality of the information which is gather from any study. Davis,D.
(2000) pp, 264-265
Primary Data Collection Decision Framework
Figure : 3.2
Source: Davis,D. (2000), pg 264-265, Business Research for Decision Making, 5th edition by Thompson.
3.5. Significance of Research
Every development is born of enquiry. Uncertainty is even better than overconfidence, for
it leads to enquiry, and enquiry leads to innovation, is a popular Hudson Maxim in context
of which impact of research can well be understood. Extra amount of research make sure
the evolution is possible. According to Kothari (2005) Research inculcates scientific and
inductive thinking and it promotes the development of logical habits of thinking and
organisation. The role of research in several fields of applied economics.
Recognition of need to collect to primary data
Determination of methods of collecting data
Delineation of types of data to be collected
Quantitative -research -Survey InstrumentGenerallyNeeded
Focus groups-otherQualitative techniques
Qualitative Research -observation:
38
3.6. Research process
Researcher will follow the following process to complete the research.
F
igure: 3.3
Source: Saunders et al 2003, research Methods for Business Students, Prentice Hall, pg 77
According to Saunders (2000) there are three types of interview; structured, semi-
structured and unstructured interviews. An interview is a focused discussion between two
or more people. It enables you to gather valid and reliable data that are relevant to your
Choosing the Topic
Analysis and interpreting data
Review the related literature critically
Collecting Data for the research
Choosing the appropriate research approach
Writing the final project
39
research question and objectives. Interviews are suitable when in-depth information is
desired and this type of information is required in order to fulfil the purpose of this
research. Interviews also allow flexibility and closeness to the respondents; this is another
significant consideration for qualitative studies. Furthermore interviewing allows the
researcher to focus directly on the case study topic Yin, (1994) he stated in the Piekkari,R
and Welch,C(2004) book.
Data collection undertaken for this research, with the help of primary data, interviews and
questionnaire.
40
Chapter 4
Data Presentation and Analysis
For collecting primary data researcher interviewed employees and managers of
McDonald’s. Researcher presents the data with the aid of graphs and analyse the data
collected for employees and managers accordingly.
Data collected from employees
Q#1: Do you think employees play a great role for the growth of the organization?
Agree
Disagree
Others
Figure: 4.1
Findings:
According to the survey 80% employees participate great role in the growth of the
organisation, 15% employees are disagree, because they said that, it depend on the
managers, growth of the company in the managers hand, 5% employees they are neutral.
41
Summary Answer:
Employees are important for the growth of the organization. But it also depends on how
organizations give importance to their employees. Employees are the backbone of the
organisation. If the top management they want to bring the change in the organisation, no
doubt management team and team help to implement the change. Employees deliver the
change to the customer in our organization. Our store manager, he says without the
employees, shift managers and salary managers, he can’t run the store by himself, it’s like
chain of success. If the managers are the change agent in the organisation, we employees
that’s our responsibility to help them to implement the change.
Q#2: When technology comes are employees scared to loose the job?
Agree
Disagree
Others
Figure: 4.2
Findings:
In this research, researcher find out 70%, of employees are agree, when the technology
comes, employees are scared to loose the job, 25% employees are disagree with this
statement and 5% they are neutral.
42
Summary answer
Technology, helps to resolve the problems, it brings the more awareness in the
organisation.
When company introduce the new technology, on the other hand, managers they start
doing the downsizing, or cutdown the labour, that’s way we do hesitate when company
introduce the new technology. Technology is playing a major part in the change to the
work environment on a number of levels. For example, in Mcdonald’s everything is on line
from last year, like recruitment, selection, ordering the deliveries, management surveys,
staff give the annual report about the management team, everything is on line, which save
the time and money, its because of the technology.
Q#3: When change comes, do they feel competition will be high?
Agree
Disagree
Others
Figure :4.3
Findings
In this report , researcher find out (80%) employees are agree, when change comes
competition will be high, 15 %, they said that when change comes it does not affect us, 5%
are neutral.
43
Summary answer
When change comes competition will be high automatically, like social, economical,
political, technological, cultuaral, leagally, structural, people change, all these changes
affect to the business, everybody has to work like as a role model in the organisation. On
the other hand managers they start thinking about the downsizing, because managers put
the more pressure on the employees, because they want to save their labour actually its
good for the management perspective, they are getting profit maximization. In Mcdonald’s
managers all the time they want to reduce the labour, which is the dark side of the
downsizing. We enjoy competition, but we don’t like downsizing.
Q#4: Does the culture affect to adapt the change?
Agree
Disagree
Others
Figure : 4.4
Findings
With the help of the research, researcher find out (65%) employees are agree culture affect
to adapt the change, (30%) employees are disagree, in the global world culture does not
affect, (5%) are neutral.
44
Summary answer
Culture affects because every culture has its own tradition norms and values, so culture
oppose ethically religiously traditionally and most important socially. For example, in
muslim countries Mcdonld’s can not sell the pork, bacon, that is the religious difference, it
does affect to the business. In India, Mcdonlad’s can not sell chicken or beaf as well. But if
we talk about the globalizaion, culture does not affect to adapt the change. Culture
examines organisation’s values, norms, believes, symbols. Culture help to implement on
the strategies in the organisation. Culture gives the direcrion to the change consultant how
they should set up the policies. The organisations fulfill their goals with the help of the
culture.
Q#5: Can human resource strategies reduce the resistance to change in the organization. ?
Agree
Disagree
Others
Figure : 4.5
Findings
45
90% employees are agree, human resource strategies help to reduce resistance in the
organisation. 5% employees are disagree, 5% they do not want to give any opinion .
Summary Answer
Communication, motivation are the main sources to reduce the resistance in the change.
Human resource strategies, if the managers they communicate with the employees
properly, or employees got the proper knowledge, resistance does not exist. Employees
want the feed back from the management, it gives the strength to the employees. Job
designing, is another strategy, job needs to be design. Right person on the right job.
Training and development programmes reduce the resistance. When change comes,
employees need more training to accept the change. Most of the time managers do
favouritism, which create the tension in the organisation. They do not care about the equal
employment opportunity, which brings the resistance in the employees.
Q#6: Does economical conditions affect employee resistance?
Agree
Disagree
Others
Figure: 4.6
Findings
90% employees believe that the economical conditions affects on the employees, 5% they
do not believe, 5% they are neutral.
46
Summary answer
Economical conditions affecting to the business all over the world, because of the financial
crises in whole economy facing the crises. Most of the people surveyed believe that sudden
economic down turn can cost closer of less profitable branches and employee will loss their
jobs. As big industries collapsed due to economic down turn in recent years, it is very
common to fear to loss jobs any time.
Q#7: Do you think when managers bring the change in the organization, employees should
help them rather than going to against them. Make their and your job easier, end of the day
employees and managers will be benefited?
Agree
Disagree
Others
Figure: 4.7
Findings
Employees are agreed, with that employees and managers should work together.50% is
agreed, 40% employees are disagreeing and 10% got the neutral opinion.
Summary answer
If manager has good managerial ability than he is also able to manage such kind of
situation. He should must motivate the employees than take the feedback. If managers have
excellent managerial skills, than this sort of ptoblems. If managers have good leadership,
than it will not be o problem.
47
Questionnaire For
Manager
Data collected from the managers
Q#1: What are the types of changes that can be brought about by managers in
organisations?
A: Managers can bring so many types of change, like change in employees, change in the
employees behaviour, means helpful and cooperative with their staff and management
team, its not like that they are just only working for the money, change in technology, and
change in culture, do not look like raises. Change in the quality management, no
compromise for the quality, bring the change in the strategies, those give the profit to the
company. XYZ being a business manager, it’s my responsibility to bring the change
towards for the improvement of the company, in my store. Being a business manager, it’s
my responsibility when change in organisation that focus on people, organizational
structures, and human resource management policies, which is very helpful for the
organisation, everything will be in the control.
Q#2: Is it true managers are change agent in the organization?
A: Yes, managers are the change agent in the organisation, top management like CEO,
Area managers; they make the strategies, and store manager or business manager that’s
their responsibility to implement on them. Mangers have to develop the vision, and
mission both, upto the implementing stage. XYZ business manager, manager is responsible
for all sort of changes. He is responsible in the organisation to making the profit. Introduce
new ways, suggestive selling, bring the awareness about the new strategies, new
promotions, develop leadership skills.
Q#3: Do employees resist change. Why?
48
A: Mostly when management change than the strategies will change as well. Employees
they do not like to adapt the change. XYZ business manager, there are several reasons for
employees to do resist the change, when change comes; employees feel insecurity of losing
the job, miscommunication between managers and employees, cultural change, which
really affects to the organisation, they require time to adapt the change. XYZ business
manager express his ideas according to company’s rules and regulations about the change,
there could be less effective programme reward employees, lack of project management
and management disciplines leads to get the change Insufficient relevant training, for
example in project management, change management skills and leadership skills can
impact negatively on the effectiveness of any change initiative. Poor communication has
been linked to issues surrounding the effectiveness of change management in achieving
effective change in various ways. For example, imposed change can lead to greater
employee resistance . Finally, lack of effective leadership has been identified the main
reason of effective change.
Q# 4: Employees do resist change, what are the remedies?
A: Management team needs to communicate with them, motivate them, educate them, give
them more training. XYZ manager he suggested the tactics such as, assessing the
employees, get them ready before the change, give them more training and more
awareness about the cultural changes, organizational structures, or redesigning job
introduce or connect the employees with the management team as their part, or as a team,
take their suggestions, in otherwords involve the employees in the planningof the change
to the implementing the change. One more reason according to him, which is technology,
alters the problems of organisation, employees, stakeholders. Individual change initiatives
are not always undertaken as part of a wider organized change plan, for example through
considering linkages between strategy, structure and systems issues. Therefore a change
that considers a new structure but fails to establish the need to introduce new systems to
support such a structure is less likely to succeed.
Q#5: When resistance comes that, is the negative sign in the organization, does it effect on
the organisation, explain please?
A: Yes, resistance is the negative sign in the organisation, negative sign means in the
organisation. It means employer and employees they do not have the good coordination
49
with each other, for example: it affects the business, it affects on the profit. Being a being
manager I cannot afford it, because end of the day, employees and managers are my power.
Without them I can not do anything. One person, even store manager can not run his store
by himself. A large number of issues have been identified as having negative impact on
effective change management. Some of the key themes are identifiy below, covering
organisational issues and individual resistance to change.
Q#6: Does culture play a role in resisting change?
A:Secondary research is to reveal the elements of resistance in the current change
management system both in practice and theory. XYZ manager culture resists change,
culture consists on the wider environment in the organisation. Nationally, culture does not
resist, but internationally culture resist. According to me, organisational culture that
motivates employees provides competitive advantage and positively impacts on the bottom
line and negative culture has the opposite effect. For maintaing the high performing in the
organisation, change developers must understand the culture and its strengths and values
and how to use these to develop a spirit of organisational excellence. Being a store manager
its my responsibility, with the help of the human resource strategies create and shape a
successful organisational culture. Culture explain the norms, values attitudes, it gives the
direction in any organisation, some how it’s the key of success.
Q#7: Do you think Human resource strategies can help to reduce the employee resistance
in the organization? If yes what HR strategies. Can you please explain?
A: XYZ business manager said, yeah human resource strategies help to reduce the
resistance in the employees; they need more training and development, Performance
appraisal, motivation, treating employees properly. For me, being a manager i always
preffer to do some changes with the help of the human resource strategies which are they:
If my area manager will allow me, I would like to preffer to choose my team, its more easy
to communicate with them, its beneficial to expand the business, honestly its really work.
In this modern world, I always believe in change, with the help of the organisation’s human
resource strategies. Human resource strategies are really effective to coping with the
change.
50
According to the XYZ business manager, human resource profeesionals have recognise this
as well, development professionals and employees, play significant role in any
organisation. In my organisation, human resource strategies gives us instructions, get the
involvement from the employees and managers, motivate and help them to cope with
change, from the initial stage, advising project managers in skills available within the
organisation identifying any training needs, skills gaps, new posts, new working practices.
Finally, with the help of the human resource strategies i always narrow the short term
goals, and give the more strength to the long term goals, which is more profitable and
helpful for the organisation and employees.
51
Analysis of the data
According to the literature, managers lead to the organisation, that’s their responsibility to
bring the change in the organisation. Manager’s can bring the economical, social,
technological, cultural changes. Managers give the strength to the organisation. They can
bring the change in the financial resources of the organisation or image of the organisation.
Managers, they need to deal with the weakness of the organisation as well, examples of the
weakness could be high level of customer complaints, shortage of managerial staff.
Managers need to provide the potential for the organisation. Managers, they bring the
planned and unplanned change.
Managers are the change agent in the organisation. According to the literature, managers
bring the change in the reward system, structural reorganisation, resolve the conflicts
between managers and employees and try to get the effective leadership. For bringing the
effective leadership in the system, managers develop the managerial skills, develop the self
awareness, and develop the knowledge. Managers need to fulfill the requirements of the
organisation.
Managers plan the transactional and transformational decision in the organisation. They
plan the budget for the organisation and develop a plan how to achieve the results, and give
the vision to the organisation, and which strategy is useful for the organisation for the long
run. Managers organise the staff, right person on right place. Everybody can not do every
thing. These sort of changes except managers nobody can’t do that in the organisation.
According to the literature review, when change comes it always bring the resistance, even
the change for the betterment, but it will take time. There are some sources that bring the
resistance, which are they, lack of trust and misunderstanding, low motivation for change,
direct costs of change. Past failures, which leave the bad effect for future changes and
different interests among employees and management.
According to the literature review, there are some methods for dealing with the resistance
to change. Communication and education, which is the main cause for the resistance, when
the employees have lack of communication and education, than they can’t implement on
the change, there are some disadvantages as well, its really time consuming and number of
people involve. Training is another method to deal with resistance, the role of training in
the organisation is appearing as the backbone of the change. In the global world,
52
employees, employers, managers, leaders, government, human resource development
consultant all of them more training for go-ahead. Employment involvement is another
reason to reduce the reduce the resistance, for implement on change involvement is really
necessary, negotiation easy way to reduce the resistance., stress management reduce about
the change, in the employees, they attend the session to reduce the worries about the
change, the last method is to reduce the resistance which is coercion when other methods
are not fail they need to change quickly. When change comes, that’s the negative sign in
the organisation. It brings so much difficulty in the organisation. According to the literature
review, and findings managers they do not want to bring the resistance in the organisation.
According to the findings and literature review, culture gives the direction to the
organisation. Secondary research tells the elements of resistance in the current change
management system both in practice and theory. Culture examines society’s values, norms,
believes, symbols. Organisational culture, is the concept to analyse that the organisation
can be very useful for focusing on the more behavioural and attitudinal aspects of the
organisational life. Organisational culture is the social aspects of our employing
organisations.
According to the literature and findings, employees are asset for the organisation. Because
employees play the great role in the development of the organisation, when change comes
employees do resist, they need some time to accept the change. According to change
consultants, even change is for betterment or necessary they will resist. Technological
change is the necessity of the global world. Competitors use the technology for the success.
Technological change mostly operating the new organisational structural, change in
administration process. Failure of technological change happens when too much
technology adopted very quickly, or not too much technology to compete with the
competitors.
When change comes it bring the competition in the organisation, than managers they start
thinking about the downsizing, large organisations faced with this possibility, to improve
profitability because of recession. Organisations cut back number of employees, generally
in order to create leaner but healthier entities. It brings the competition in the employees,
even the middle managers they have the competition with each other as well, organisation
will be benefitted, they will do their job properly. Organisation can utilise their ability.
Organisations can achieve their goals, than they can get competitive advantage. Over all if
53
the managers and employees together implement on change propely,than it will be
successful.
According to literature and findings human resource strategies help to reduce the resistance
in the employees in the organisation, which are motivation, equal employment opportunity,
training, performance appraisal, managing uncertainties and job need to be design,
Organisations have struggled to cope with uncertainty with the help of human resource
strategies. With the help of these strategies in order to manage the size, costs and skills
components of the labour force. Several theoretical frameworks have also been outlined
that may be used to clarify the issues. Therefore non standard employment is increasing
internationally, human resource strategies, reduce the uncertainty.
Accoding to the literature review, and findings job needs to be design, right person should
be on the right job, every body can’t do everything. Job design gives the higher level of job
satisfaction, higher level of motivation, great job involvement, high job performance,
decrease the training time, less mental stress, lower absenteeism, these all characteristics
help to reduce the resistance in the employees, if employees satisfied from their job, no
point to get the resistance about the change. According to the literature review and findings
reward and performance management its kind of motivation. Reward system it motivate to
the employees. Managers need to change work patterns, to maintain a healthy atmosphere
and loyal commitment in the organisations.
Human resource strategies mention one element which is equal opportunity employment in
the organization. If the management wants to get rid of the resistance in the employees they
should maintain the equal employment opportunity in the organisation, specially sexually
and affirmative, make sure that all employees have equal access to fulfil their working
lives.
54
Chapter 5
Conclusion and recommendation
5.1.Conclusion
The aim of this chapter is to conclude researcher reflects in the lights of research findings
discussed in the previous chapters. Researcher discussions will be suggestive and tentative
in nature. Therefore we will be able reach our final objective stated as “to bring a
“suggestive” approach to the existing literature based on the empirical findings”. This
chapter will also present the limitations of the research but also achievements and what can
be suggested for a further research.
Organizational change is no more a theory based practice it is more practical and dynamic,
ever growing increasing demand of business competition and for the sack of survival of
business has shaping the model of change constantly. On the other hand resistance is some
thing metaphoric, and where change there is resistance more or less. Human resource
management strategies and HR professionals can be the main elements to reduce resistance
and make the path of change smooth, yet the high levels of failure indicate that effective
management of these changes is still lacking. This indicates there is much to learn about
how to manage change more effectively. As HR professionals are recognizing that there is
no single model of change and no single solution to effective management, they need to
ensure managing change is a core part of their role.
The first research questions and objective of this research is, what changes
managers can bring change in the organization and managers role toward
implementing change in Mcdonald’s.
Researcher find out, in the secondary data managers lead the organizations, organizations
depends on the managers. Managers bring all sort of changes, its their responsibility to
bring the change and implement on change successfully. And primary research find out
McDonald’s managers has a very positive attitude to any change. It may introduce in the
55
organization with some concern of major shake into the organization due to economic
down turn. A good amount of mangers of McDonald’s recruit form initial position of crew
member of the organization. It is found that over 40% of McDonald’s managers started as
hourly-paid staff members in the restaurants.
Further over half of the company’s middle and senior managers have moved up from
restaurant-based positions. From last year, Mcdonld’s introduce the on line recruitment and
selection, that’s the good change, because of this change they can save lots of time,
Mcdonld’s introduce the transaction method by card, reason behind to introduce the new
method of payment, it’s save the time and less chances to steal the money. In the financial
crises, Mcdonald’s still making the profit, because of maintaining the high standard of
quality and coping the modern needs of these days because of their efficient management
system. Finally, in the first question, researcher find out with the help of primary and
secondary data, managers are the change agent in the organization. Managers give the
strength to the organization, they deal with all the weaknesses in the organization, in other
words manager act like as a father in the organization.
Second question and objective of this research, is why do employee resist the
change, in the fast food industry. (Mcdonald’s)
According to the literature review, employees always do resist the change. Eventhough
change is necessary or leading to the success of the employees or organization. Researcher
conclude that the there are some main basic reasons behind to resist the change, its because
of the miscommunication, wider social environment, culture, demographic, technology,
economy, failure in the past, it leave the bad influence on the employees and organization
to resist the change. And further more lack of communication and mismanagement, it
brings the resistance in the employees.
Researcher find out in the primary data, employees are the asset for the organization
without the employees management cabn not implement on the change by themselves.
Mostly employees do resist because of the management. If they don’t communicate and
educate them propeply. It’s impossible to implement on change without communication
and education. When technology comes management team start doing the downsizing,
which bring the frustration in the employees that’s the another reason for the resistance.
56
Third and final research question of this research is, can human resource
management strategies can help to reduce the management and employees
resistance, and if the so what human resource strategies can be undertaken?
So the HR strategies of McDonald’s for manager is to introduce them with the various
roles of the organization and prepare them for any change through on job training.
Therefore McDonald’s gives emphasis on the training and development of its employees.
HR aim to provide career opportunities for people to achieve their potential, grow their
dynamic ability to face change with a positive attitude. To reduce resistance and reduce
conflict between managers and employees systematic job progression is used to encourage
employees who got their first job in the company to progress to management positions.
Promotions to manager are based on the performance of the crew member.
On the other hand, in Mcdonld’s managers always try to reduce the resistance in the
employees, they always create the friendly atmosphere during the work to follow the
human resource strategies. They do the crew development programme, which brings the
awareness and more knowledge in the organization. In our store they give the rewards to
the employees and managers both, which is the sign of motivation, that is effective for the
long term employability as well. If they don’t receive the feed back from the managers,
they will just do their job, they will not be friendly, which is not suitable for this job,
actually that’s not their fault. The way they been trained up, they are delivering to the
customers. That’s not fair enough for this job, the basic requirement for this job is
friendliness.After getting the answers of these questions, researcher conclude that the if the
employees and managers, do their job properly, than organizations get the long path of the
development.
57
5.2.Recommendations
Researcher felt for some recommendations for the HR strategies in light of the case of
McDonalds.
Effective leadership
Effective leadership is a key tool as it provides the vision and the rationale for change.
Leadership styles could be different with the demand of the organization for example
coercive, directive, consultative and collaborative. Which style would be appropriate, it
depends on the type and scale of change being undertaken. For McDonald’s a large-scale
organization-wide change a directive style has been identified as most effective. Selecting a
manager at McDonald’s should be more competitive base and open to reduce the
physiological resistance between managers and crew members. HR of McDonald’s should
set specific criteria to meet to become a manager form a crew member which will be
monitor periodically.
Communication
Both way communication with employees and their active involvement in implementation
has also been identified as a key tool of effective change management. Active participation
of employees is important for overcoming resistance to change. However, researcher find
out that part of the communication issue might arise from a potential mismatch between
what the employer and employee opinions are regarding levels of communication. At
McDonald’s employers believed they were involving and communicating with employees
at a considerably higher level than was reported by employees.
Crew member at McDonald’s should have systematic opportunity to express their views
directly to line managers. There should be a good method of two-way feedback, but
managers need to understand the importance of upward transmission, and success may
depend on how consistently they behave in this respect.
58
Training
For effective change management appropriate and timely training is the key. Training
requirements might include: project and programmer management skills to make certain
change initiatives are accomplished both on time and to budget ,change management skills,
including communication and facilitation ,leadership coaching. HR professionals are seen
to have lack of appropriate skills to lead on change management initiatives, and are
therefore not actively included within the change process. However, many of the issues that
are recognized concern the 'people aspects' of change. Therefore McDonald’s HR need to
ensure it has the skills and credibility within the organization to act as the champion of
change in the future
Motivation
Motivation is the main pillar to reduce the resistance in the employees. With the help of the
motivation, organizations can achieve higer level of job satisfaction, they can maximise the
profit through higher performance. Mcdonald’s HR need to do the more practice about the
motivation in the organisation.
Job Design
For the effective change management , Job needs to be design, than they can maximise the
profit and job satisfaction in the organisation.Mcdonald’s HR needs to set up more job
design activities. If job will be design, they can save lots of time, and money.
59
5.3. Scope for further research
During the research, researcher could not cover few more areas about this research because
of the lackage of the time. Researcher thinks if the managers cover more areas in the
organizations, if they will implement on them, than they can get the continuous
development path of success.
Team building
Researcher need to talk about the team building, managers and employees, if they work
properly than it builds the proper team. If the organizations have the proper team than they
can face all sorts of challenges, they can achieve the competitive advantage, and
organizations can maximize their profit.
Sustainable growth
Further more scope of this research, researcher did not talk about the sustainable growth in
the research, managers and employees need to more consider about the sustainable growth.
It’s possible when the managers implement on change properly with the help of the
employees. This researcher did not talk about the sustainable growth in the research.
Total quality management
Further more researchers did not cover the total quality management. That’s the key of the
success in the development path. If everything is done by as they planned, than they will
the quality in every field of the organisation.
The reason behind is, why researcher is emphasizing on these studies, because after
covering these factors managers, employees and organisations will get the continuous
development path.
60
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Appendix
Questionnaire for Manager
Q#1: What are the types of changes that can be brought about by managers in
organisations?
Q#2: Is it true managers are change agent in the organization?
Q#3: Do employees resist change?
Q 4 What are the reasons why employees resist change?
Q#5: Does culture play a role in resisting change?
Q#6: Do you think Human resource strategies can help to reduce the employee resistance
in the organization? If yes what HR strategies. Can you please explain?
Q#7: When resistance comes that, is the negative sign in the organization?
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Questionnaire for Employees
Q#1: Employees play a great role for the growth of the organization. Why employees resist
for change?
Q#2: When technology comes are you employees are scared to loose the job?
Q#3: When change comes do you feel competition will be high?
Q#4: Does the culture affect to adopt the change?
Q#5: Does human resource strategies reduce the resistance in your organization. How?
Q#6: Does economical conditions affect on the employee resistance?
Q#7: Do you think when managers bring the change in the organization, employees should
help them rather than going to against them. Make their and your job easier, end of the day
employees and managers will be benefited?
68
