1.0 Introduction
The essay discusses organizational change management using the case study of A2B Cabs. Problems are highlighted, and different models are suggested to help the organization move from the current centralized directing and allocation of taxis to a self-managed system. Lewin and ADKAR models are used to discuss this process and the limitations of the ADKAR model.
2.0 Nature of change
Change that is required in this case is transitional, which is needed in cases where different episodes are changing in succession as opposed to introducing a new state of affairs or operations in an organization. Ramanathan (Ramanathan, 2007) quoted Ackerman’s (1997) definition of this change as one “that seeks to achieve a known desired change that is different from an existing one”. This type of change can be episodic, radical, or planned. The radical change that is described in this case is different from transformational change which processes, often require complete cessation or death of the past state in favor of a new one. This also means there are new assumptions made in the new change. It is different from development change where the focus is on improving skills to help an organization manage new requirements or technology change. In this case, the change needed takes care of moving to a new system where rather than depending on the central manager does not have to allocate passengers to different destinations that customers wish to travel. All changes involve a move from the current operation to a different one often for a known reason. The reason for this was said as one that involves improving the efficiency and motivation of the employees. It will be more efficient as employees will take customers whenever they need, possibly combine rides on the same route, and increase financial returns as opposed to delaying routes allocated by the central office. The reason this type is preferred is because it can be managed under a tight budget and timeline. It is demanding as the transformational or radical change where many training sessions will need to be carried out and possibly new skills that may be more involved.
3.0 Change model
An appropriate model is needed for an organization to achieve its goals. The change model should enable an organization to move to a new state while ensuring employees support it willingly for the process to be successful. Models are useful because change is often uncalled for when people are not prepared for them. Models help organizations to find a framework to implement their change process. The change process is not always easy nor welcome by the rest of the members in an organization and as a result, the models are used to guide an organization to adapt and implement a given format and process. Ovadje (2014) advised that in times of change, the situation is sometimes turbulent and what people need is an opportunity to choose an alternative course of action and not necessarily what to do.
3.1 Lewin’s model
This is one of the oldest model of change that was introduced in the 1950s at the time when the need was to mass produce goods to meet population needs. The model, also called the three-stage model involves three main stages unfreezing, change, and freezing. Though simplistic, the model is believed to be the foundation of all modern models of change management. It was appropriate for the needs of that time and to some extent in the current business environment.
Unfreezing is the first stage of change management where the people need to understand and appreciate the problem and need for change. The problem is stated and explained for people to understand. It is to make people know there is a problem that needs a solution. Such a case of A2B would explain to drivers that revenue generated from the current system is low, the process is long, and hence inefficient. But the main problem that the drivers should be informed about is that their salaries have never changed. It is also an assessment of whether beliefs and attitudes need to be addressed to ensure the employees adopt the change message that might be presented to them. Unfreezing is meant to make people uncomfortable in the current situation and be ready for change. Communication is necessary at this stage and how it is done will determine whether people accept or reject it.
Change is the next step in Lewin’s model where people move to the new system that is proposed. This is a long process of change as people do not immediately accept and adapt to the changes to be implemented. There is a need for the management to support and explain to people what needs to be done. Laggards and fast adopters all need to be accommodated by the system. The change process also involves the collection and analysis of data to better understand the problem and install change processes. A new change should then be implemented and followed as a control mechanism to ensure the right measures are adopted. There is bound to be some inertia at this stage with support, Lewin noted that most people in an organization will adopt it. People are likely to adopt it fast if they understand how they are going to benefit from the change that is implemented. Communication and leadership skills are needed here to guide people on what they need to do and a vision to be realized.
Refreeze is the last process that works where members of an organization get used to the new paradigm and people have adopted new processes, and structures among others, depending on the change that was to be implemented. The stage is set for a new paradigm, consequences will be assessed and the ongoing process monitored. People will be learning from the progress and making their adjustments to fit in the new system.
3.2 ADKAR Model
The mode was postulated by Prosci 1998 in 1998. It is an acronym for Awareness, Desire, Knowledge, Ability, and Reinforcement. The model is suggested because it is appropriate in cases where people rather than organizations need to change. However, it is more useful in cases where members of an organization can transition successfully. A2B Cabs drivers will need to be prepared mentally to see the need for change as they have been resisting previous attempts. The model is implemented in the five stages mentioned above as per the order of acronyms in the name.
Awareness
There is a need for members of A2B to be sensitized and educated on the need for change.
In this step, the management of A2B will need to explain to all drivers the pros and cons of the present system. The drivers will need to be motivated at this stage on how they will be working to ensure they reach their monthly targets. The very first step that the employees will need to be educated on is why this change is necessary. Issues of inefficiency inconvenience and low salaries should be mentioned. The problem should be repeated severally until the people see the need, especially given that money is an extrinsic motivation. Hiatt (2006) argued that at this stage the employees need to ask questions about why the change is necessary and especially how will benefit the process. At this stage, all internal and external drivers need to be mentioned and while doing this, they need to ask questions and get clarified. People are willing to accept change they appreciate the need. Besides, the management should focus on individual members and especially address the question of “what is in for me” kind of questions. This is necessary to convince them to accept the suggested change.
Desire
The management should create the need for change for employees. The employees should be explained and let them now appreciate the need for new alternatives to solve the stated problem above. At this stage, the employees should be motivated to see what they stand to gain if this is implemented. Higher salaries and the possibility of increasing them depending on their effort should also be mentioned. Being an individual engagement, effective communication should enable users to feel the need to want to proceed and accept the new system.
Knowledge
Employees need to be trained on how the new arrangement will work, the terms and conditions that apply, and what the drivers need to maintain their targets. Where necessary, a trainer may be employed to guide the drivers on how the new systems work. They should be allowed to interact and ask questions until they are satisfied with how everything works. No change can be effected unless they know what needs to be done and do it themselves. Several trainings that are appropriate for users such as videos and manuals can be used in this step. Training should not be standard for all but for each employee to be considered as an individual. Some may take more time than others while others may appreciate different training formats.
Ability
Trained employees should be allowed to put into practice what they have learned in a new way that should be different from the old way of doing things. To help reacclimatize faster and get quicker results, hands-on can be done. It may not be possible to get all of them trained by a person. Doing demonstrations may help them get along faster. This is the practical step that employees need to do and trainers assess where more help is needed. Trainers need to see knowledge gaps and address them immediately for the rest of the team to be successful. Adapting to the case of A2B Cabs, trainers will need to allow drivers to work under the new system and remind them of what is needed or support them until they get it right. This may take time but is necessary that all people know what needs to be done.
Reinforcement
It is necessary that what has been learned is not forgotten or employees do not slip back into old practices. What the employees have learned needs to be kept until it becomes a habit and finally, a new way of working. They may need to be reminded often to sustain the change that was intended. To ensure this is sustained, employees will be congratulated on where they have done well and corrected in case something fails to measure up. Thus, rewarding is a way to keep employees motivated and ensure they do even better while implementing the new system. Thus, the new management will need to develop a way of talking to employees and rewarding them. The performance management system should also be developed and explained to members on how it would be used to assess their contribution and how awards would be recognized.
4.0 Limitations
While the system that was developed by Procsi resulted from research in more than 900 organizations, some weaknesses are associated with it. Although the transition nature of change was needed, the model does not state whether a change to be implemented will be either incremental transitional, or episodic. The model is suited for developmental but. It is not suited where several episodes are needed. Besides, the model does not distinguish management from leadership. The difference is needed as the two accomplish different goals and influence an organization differently. Leadership is especially needed to inspire and direct people to new directions. A leader is needed to assess the emotional needs of employees and respond immediately (Strategies for Management, 2015).
5.0 Conclusion
Organizational change is an important process for an organization to adopt new structures, processes, or skills to reflect its goals. In planned chaos in the case of A2B, change is necessitated, and being a delicate process, models would be applied to ease understanding and implementation of the desired changes discussed in the case that is needed, and how change is needed to make it more efficient and effective. Lewin and ADKAR models were discussed and recommendations were needed for the business to succeed.
6.0 References
Hiatt, J., 2006. ADKAR: A Model for Change in Business, Government, and Our Community. Loveland: Prosci.
Ovadje, F., 2014. Change Leadership in Developing Countries. New York: Routledge.
Ramanathan, T. R., 2007. The Role of Organisational Change Management in Offshore Outsourcing of. New Delhi: Universal Publishers.
Strategies for Management, 2015. ADKAR Change Model.
