AC 2.2 How organizations are whole systems and are interrelated structures, systems, cultures, and how people practice work impacts elsewhere in the organization.
An organizational structure refers to the structures of how a company is set up, including its division’s hierarchies, allocation of authority, and roles. The organizational structure impacts how roles and responsibilities in the organization are allocated and enhance the decision-making process. Similarly, organizational structures define interdependence between different departments as they work towards achieving common organizational objectives. For instance, in a functional organizational structure, different functional units in sales, finance, human resource, and product development work together toward improving the efficiency of the entire supply chain. A poor organizational structure brings disorder and can cause organizational dysfunction and failure.
Organizations are also comprised of open and closed systems comprising numerous subsystems that do not work in isolation (Gordon, 2022). These systems have to work in synergy and comprise inputs, feedback, internal and external factors, transformational activities such as employee work and operations, and outputs, which encompass products and services and human and financial results.
Similarly, culture impacts how organizational processes are carried out by employees, including their attitudes, motivation, and how they attend to customers. I also impact how employees receive rewards, training and development, and benefits.
It should be mentioned that the actions of people professionals impact various aspects of the organization. For instance, people professionals are responsible for recruiting and retaining employees. Without sufficient and well-skilled talent, organizational processes would stall. Similarly, by implementing effective recruitment and retention measures, people professionals ensure that organizations have the right workforce at the right time, which enhances efficiency.
Besides, people professionals ensure that employees work in a safe and healthy environment. This ensures compliance with laws such as the HASAWA Act of 1974 and improves employee morale and productivity.
Poor people’s practices, such as compliance with health and safety laws, risk employees’ health and the organization’s reputation in the event the employees make claims with the employment tribunal.
AC 3.1 Why organizational change must be planned and managed effectively
Change is inevitable in the organization since the business environment is also evolving. In addition, change helps organizations to succeed and grow. Organizational change encompasses business structures, culture, technology, infrastructures, or internal procedures (Stobierski, 2020). Planning and managing change led by people professionals is important for the organization. In particular, it helps ensure that change is sustained in the long run.
Kurt Lewin’s change management model posits that people professionals can manage the plan and manage change in their broad process (Hussain et al., 2018). Unfreezing, implementing change, and refreezing. Throughout the three stages, people professionals should support employees by raising awareness of the need for change, explaining the change process, the scope of change, and its impact. Similarly, professionals should support employees through training and the provision of rewards to refer to the change process at the desired levels.
Managing change is important for various reasons. For instance, it helps reduce resistance to change among individuals in the organization. Similarly, it helps identify barriers and risks, which informs the development of approaches to address them promptly. Furthermore, change management helps organizations identify those responsible for implementing and leading the change process to ensure it progresses according to plan.
AC 3.2 The nature and different roles played by people professionals in relation to change agendas
Change champion
People professionals may play the role of a change champion during the change management process. The role of change champions is to act as the contact between stakeholders and project teams. They advocate for openness, facilitate communication, lead in shaping positive opinions, and receive and provide feedback.
Gatekeepers
People professionals may also play the role of gatekeepers. These refer to individuals with the power to determine whether or not specific projects should be implemented. This often follows objective and fact-based decision-making.
Facilitator
People professionals could also play the role of facilitators. These refer to individuals who support the organization in identifying opportunities for enhancing and fostering collective strategies to ensure a successful change process. Facilitators contribute to the change management process by providing team members with responsibilities and autonomy, offering leadership, collaborating, listening actively, being enthusiastic, and being flexible.
AC 3.3 How organizational change impacts people, their status or financial situation, and how people respond to change.
Organizational change has a significant impact on employees. For instance, it can contribute to change-related stress. This arises when employees are uncertain about their job security. For example, implementing new automation software in the organization may cause undue work-related stress to employees handling repetitive tasks. This is because they feel they are at risk of being made redundant. Similarly, the change process may have financial implications on employees’ finances, especially when they are made redundant or their salaries are reduced during restructuring and other cost-cutting measures. This may make it challenging for them to fulfill their financial responsibilities.
The Kubler-Ross change curve defines the different ways people experience a change in organizations (Aktas, 2021). The change curve is modeled after Elisabeth Kubler ross’s five stages of grief. The theory argues that individuals experience changes in five stages, including denial, bargaining, depression, and acceptance. In the first stage of the change curve, individuals deflect the actual occurrence of change and may experience a decline in productivity. In the second anger stage, individuals begin conceptualizing the change and develop anger and resentment towards the change and the change agents. Employees may also experience burnout and attrition
