IBM’s Change Management: Report Analasys

This essay is meant to critically understand the changes that prevail in the current era and are evolving in a rapid pace. In today’s generation, implementing change is a prominent aspect for acquiring sustainability. However, the chance of achieving success or failure through change greatly depends on the managing the change. Therefore, an effective management of change can lead to sustainability and if the change is not managed well then difficulties will arise in the long-term as change is continuous rather than a single event.

The essay comprises of the uses and key elements of effective change management. The essay has been formulated to illustrate the implementation and management of the processes of the change with the example of the case study if International Business Machines (IBM). In the process of critically reviewing the implementation process of IBM, different change theories and concepts such as Hope Hailey & Balogun (2002) change kaleidoscope model, Lewin change management model (1940), kotter’s change management theory (1995), Beckhard and Harris’s change equation theory has been taken into consideration and base for the essay.

Get quality help now

Marrie pro writer

Verified writer

Proficient in: Company

5 (204)

“ She followed all my directions. It was really easy to contact her and respond very fast as well. ”

+84 relevant experts are online

Hire writer

From the contextual analysis, it has been pursued that during the hour of 1992-1993, IBM confronted significant cash-based downturn. Thus, they confronted a loss of US$4 billion dollar. For diminishing the measure of misfortune, IBM procured Gestner as their chairperson. Following Gestner’s joining in the IBM, Gestner took various designs to arriving at objectives, for example, significant decrease of the staff, improvement of the client relationship, decentralized the structure without having one focal territory of direction and characterized the center capacity to do things in an expert level of the IBM.

For the activity of achieving or finishing something like this, Gestner has placed into utilization of immense change in the association. He cut the work force of the organization, however made a move to give more grant to employees as indicated by their exhibition with the goal that they can feel more want to accomplish something at their work environment and gain motivation (Petrou et al. 2016). Alongside change putting into utilization, Gestner made diverse viable move to decrease the resistance that are against the change. There are more than two, however not many the model and theories to manage change that can depict the means that Gestner has taken to beat the actions taken to resist change at IBM.

According to lewin’s change management model, there are three process that are described in the concept. For acquiring change, these three distinct procedures which are unfreeze, transit and refreeze are required to be carried out. Lewin depicts that vast number of employees work and try to find and settle at a safe side during change so that the can be motivated before the change is imposed. For beating the resistance for change Gestner has given award to the presentation so representatives can be motivated, and he can confront insignificant degree of obstruction while actualizing the change. As indicated by the Lewin's model, the initial step of the change is unfreezing that for the most part includes the progression for setting up the laborers for placing into change application (Andrade, 2016).

Furthermore, Gestner intended to cut enormous workforce with the goal that it can without much of a stretch de-motivate the current staff. Consequently, so as to decrease the degree of staff de-motivation and make them more concentrate towards their work, Gestner furnished execution-based prize and alongside that he isolated the entire remuneration structure into many legitimacy budget plans. This goal achievement plan is successful for him to keep their capable staff. The subsequent stage of the unfreeze step is the change execution stage. In this stage, changes are utilized yet this placing into utilization may take some time since individuals by and large take a few times to embrace the changes.

This progression must include the reassurance just as great leadership achievement plan since it not just encourages the administration to place into utilization and alter it into the correct direction, however it additionally causes the laborers to execute change that are associated with the change executing process. Be that as it may, powerful time or communication is significant for placing change into execution yet here Gestner didn't adequately convey to execute the change.

The subsequent stage of the change placing into utilization step is the refreeze step. This progression for the most part required to tether the change progressions with the association's culture so that the changes are anchored for long term (Heckmann et al. 2016). This progression likewise includes a few different ways for sustainability of change. From the case analysis, it very well may be said that IBM is having difficulties so that they may require continuous cut in workforce size. In this way, for sustainable change they didn't demand laborers to give all their determination to their organisation. They have guided them to remain in their association yet instructed them to be prepared to leave the association.

The Kurt Lewin developed force field analysis theory, which is effective to help any individual to make effective decision-making. This theory states, there are always two types of forces that are driving forces and restraining forces that makes any organization operating (Schein, 2012). For the effective maintenance of the operation, it is mandatory to maintain an equilibrium condition between these two forces. From the case study, it is observed that here the restraining forces are the employee resistance after the change that creates low level of the organizational productivity. On the other hand, the driving forces of the changes that help Gestner to achieve the change objective are the implementation of the effective reward management strategy, performance per pay remuneration strategy and implementation of the effective stress management strategy for employees.