Strategic Change Management

Strategic Change Management

Unit code: J/602/2062QCF Level 7: BTEC Professional Credit value: 10

Unit aim

This unit provides the learner with the understanding and skills to support active engagement in the process of strategic change management.

Unit introduction
Alvin Toffler’s famous comment ‘There is only one constant today and that is change’ was made some decades ago, but now change itself is changing at a fast rate. The phenomenal pace of change in countries such as China and India is impacting on older, established economies in the western world. With such change comes uncertainty and insecurity. Organisations, even those in the public sector where ‘steady state’ was ever the watchword, can no longer sit back. All organisations are being increasingly challenged by change. Consequently, they need to understand the issues that drive the need for change in their own organisations. This means that organisations need to have a proactive approach to strategic change management.HND Assignment Help

Strategic change management is most effective when an organisation actively seeks the participation of all relevant stakeholders. A change management strategy will be effective only if it has the support of all stakeholders. If they are to have a sense of ownership, stakeholders need to have the opportunity to contribute to the development of the change strategy.

Strategic change impacts on the human resources structure of the organisation and this often means a restructuring of the workforce or changes in working practices. Almost inevitably, change will generate resistance from some, particularly those who feel that the change will have no positive benefits for them. Other people may resist change simply because they prefer the status quo. Organisations need to ensure that they have strategies in place to manage resistance to change and this should be part of the overall model that they adopt for managing the change. Once in place, progress towards change will need to be monitored.

Learners will develop an understanding of the models of strategic change and the role that stakeholders play in this process. They will then examine the need for change in a selected organisation and plan the implementation of a model for change.

Learning outcomes and assessment criteria

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In order to pass this unit, the evidence that the learner presents for assessment needs to demonstrate that they can meet all the learning outcomes for the unit. The assessment criteria determine the standard required to achieve the unit.

On completion of this unit a learner should:

Learning outcomesAssessment criteria
1  Understand the background to1.1discuss models of strategic
organisational strategic changechange
1.2evaluate the relevance of models
of strategic change to
organisations in the current
1.3assess the value of using
strategic intervention techniques
in organisations
2  Understand issues relating to2.1examine the need for strategic
strategic change in an organisationchange in an organisation
2.2assess the factors that are
driving the need for strategic
change in an organisation
2.3assess the resource implications
of the organisation not
responding to strategic change
3  Be able to lead stakeholders in3.1develop systems to involve
developing a strategy for changestakeholders in the planning of
3.2develop a change management
strategy with stakeholders
3.3evaluate the systems used to
involve stakeholders in the
planning of change
3.4create a strategy for managing
resistance to change
4  Be able to plan to implement models4.1develop appropriate models for
for ensuring ongoing changechange
4.2plan to implement a model for
4.3develop appropriate measures to
monitor progress
Unit content

Understand the background to organisational strategic change

Models: John P Kotter’s eight steps to successful change; Kübler-Ross five stages transition (grief) cycle; Prosci’s five building blocks ADKAR (awareness, desire, knowledge, ability, reinformcement) model; McKinsey’s 7S (strategy, structure, systems, shared values, skills, style, staff) framework; Kurt Lewin’s change management model – unfreeze, transition and refreeze; Burke-Litwin’s causal change model; action research; gap analysis

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Strategic interventions: teambuilding consensus and conflict, game play, contingency theory, autocratic versus participative style, proactive and reactive, creating synergy; human process interventions; techno-structural interventions; human resources management interventions; organisational and external environment interventions

Understand issues relating to strategic change in an organisation

Need for change: reasons for change eg changes in markets, economic downturns, changes in global markets, customer expectations, competitive edge, budget pressures, legislation, size, demographics, mergers, acquisitions, change in mission, restructuring operations, new technologies, major collaborations, rightsizing, new programmes such as Total Quality Management (TQM), re-engineering

Factors driving the change: change drivers eg economics, political factors, environmental, financial pressures, new markets, loss of markets, technological advances, transition to a new chief executive, funding cuts, need to be competitive

Resource implication: human resources eg restructuring, interviewing and hiring, redundancies, training; physical resources eg equipment, vehicles, buildings; financial resources eg costs of training, redundancy costs, relocation costs; new building, refurbishment of existing buildings

Be able to lead stakeholders in developing a strategy for change

Systems to involve stakeholders: stakeholder analysis, systems modelling, systems and sub-systems, input transformation-output modelling, multiple cause diagrams, ‘tropics’ factors, configuration, divergence and convergence, functional and divisional structures, cultural web, images of organisations, team development, influencing skills, awareness raising, commitment development

Involving stakeholders in the change management strategy: six steps stakeholder circle (identify stakeholders, prioritise stakeholders, map their profiles, develop an engagement strategy, optimise their support, monitor changes); methods of involvement eg dialogue with individuals and groups, meetings, presentations, group facilitation, team building, coaching, delegating, developing and sharing a change plan

Resistance to change: types of resistance eg individual versus collective, passive versus active, direct versus indirect, behavioural versus verbal or attitudinal, minor versus major, resistance to the content of change, resistance to the process of change.

Strategies: eg open communications, education, involvement, forums, listening to stakeholders, feedback, addressing needs, ownership of the change, change champions, communicate the vision, getting the support of all key power players, focus on the positives, delivering training programmes

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Be able to plan to implement models for ensuring ongoing change

Plan to develop appropriate models for change: choice of appropriate model eg John P Kotter’s eight steps to successful change; Kübler-Ross five stages transition (grief) cycle; Prosci’s five building blocks ADKAR (awareness, desire, knowledge, ability, reinforcement) model; McKinsey’s 7S (strategy, structure, systems, shared values, skills, style, staff) framework; Kurt Lewin’s change management model – unfreeze, transition and refreeze; Burke-Litwin’s causal change model; action research; gap analysis

Plan to implement a model for change: organisational development, Business Process Re-Engineering (BPR), learning organisation, Kaizen, delayering and right-sizing, matrix organisations, network organisations, adhocracy, virtual organisation, push and pull strategies, conflict handling, transformational leadership, empowerment, consultation, contextual planning, contingency planning, adjustments, flexibility

Develop appropriate measures to monitor progress: eg goal-based evaluation, process-based evaluation, outcome-based evaluation, regular reports, meetings, quality circles, progress reviews, milestones, deadlines

Essential guidance for tutors


For learning outcome 1, tutors can build on the discussions from learning outcome 2 and introduce the various models of strategic change. Learners could conduct their own research into the models, particularly those that may be appropriate to their selected organisation in the current economic climate. Topical case studies are a useful method of highlighting and examining different strategic intervention techniques. Learners can compare the techniques used in different strategic change management situations.

Learning outcome 2 is a good starting point for this unit and tutors could use the experiences of learners from their own organisations. Learners could be encouraged to discuss and share their experiences of change within their own workplaces. It is likely that all employed learners will have experienced change on some scale in their workplace and they could also draw on topical examples of strategic change in other organisations. For example, the restructuring of cabin crew staff at British Airways or the restructuring of Civil Service departments following the 2010 election. Learners could identify and discuss the factors that are driving the need for change in their own organisations or in topical examples. This approach can be continued with tutors leading a discussion on the resource implications for organisations if they fail to respond to strategic change.HND Assignment Help

For learning outcome 3, learners will need to be aware of the range of internal and external stakeholders who are affected by change. Tutor input will be required to introduce and develop an understanding of systems that can be used to involve stakeholders in the planning stages of the change process. Learners may be able to draw on their own experiences of change management strategies that have been employed in their own organisations. Tutor-led discussions are a useful way of identifying strategies. This can give learners the opportunity to develop their understanding of the strategies as they are identified and discussed.

A good way of introducing resistance to change is through a topical case study. For example, the current resistance to change in public sector organisations throughout much of the European Union to the cuts in public spending caused by national budget deficits. Learners could look at these examples and discuss strategies that would be appropriate to manage the resistance to change.

For learning outcome 4, learners will require some tutor input on ways of monitoring progress towards change in organisations. Again, they may be able to draw on their experiences from their own organisations. Tutor support and guidance will be required as learners develop their plans to choose and implement a model for change.

Outline learning plan

The outline learning plan has been included in this unit as guidance and can be used in conjunction with the programme of suggested assignments.

The outline learning plan demonstrates one way in planning the delivery and assessment of this unit.

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