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Change management can be either reactive, in which case management is responding to changes in the macroenvironment (that is, the source of the change is external), or proactive, in which case management is initiating the change in order to achieve a desired goal (that is, the source of the change is internal). Change management can be conducted on a continuous basis, on a regular schedule (such as an annual review), or when deemed necessary on a program-by-program basis.
Change management can be approached from a number of angles and applied to numerous organizational processes. Its most common uses are in organizational development, information technology management, strategic management, and process management. To be effective, change management should be multi-disciplinary, touching all aspects of the organization. However, at its core, change management is primarily a human resource management issue. This is because implementing new procedures, technologies, and overcoming resistance to change are fundamentally "people issues".
Attitudes towards change result from a complex interplay of emotions and cognitive processes. Because of this complexity everyone reacts to change differently. On the positive side, change is seen as akin to opportunity, rejuvenation, progress, innovation, and growth. But just as legitimately, change can also be seen as akin to instability, upheaval, unpredictability, threat, and disorientation. Whether employees perceive change with fear anxiety and demoralization, or with excitement and confidence, or somewhere in between, depends partially on the individuals psychological makeup, partially on managements actions, and partially on the specific nature of the change.
An early model of change developed by Kurt Lewin (1951) described change as a three stage process. The first stage he called "unfreeezing". It involved overcoming inertia and dismantling the existing "mind set". Defense mechanisms have to be bypassed. In the second stage the change occurs. This is typically a period of confusion. We are aware that the old ways are being challenged but we do not have a clear picture to replace them with yet. The third and final stage he called "refreezing". The new mind set is crystallizing and one's comfort level is returning back to previous levels.
An individual's attitude toward a change tends to evolve as they become more familiar with it. The stages a person goes through can consist of: apprehension, denial, anger, resentment, depression, cognitive dissonance, compliance, acceptance, and internalization. It is management's job to create an environment in which people can go through these stages as quickly as possible, and even skip some of them. Effective change management programs are frequently sequential, with early measures directed at overcoming the initial apprehension, denial, anger, and resentment, but gradually evolving into a program that supports compliance, acceptance, and internalization.
Management's first responsibility is to detect trends in the macroenvironment so as to be able to identify changes and initiate programs. It is also important to estimate what impact a change will likely have on employee behaviour patterns, work processes, technological requirements, and motivation. Management must assess what employee reactions will be and craft a change program that will provide support as workers go through the process of accepting change. The program must then be implemented, disseminated throughout the organization, monitored for effectiveness, and adjusted where necessary.
In general terms, a change program should: