Radical Change Management (RCM): From Managing Pyramids to Managing in Chaos

Abstract

The nature of organisations has been changing over the last fifty years. At one point of time, the paradigm of the pyramid provided the basis for the creation and development of organisations. ‘Design of Organisations’ was based on the pyramid metaphor. However, in due course, a new paradigm evolved. The pyramid gave way to the matrix. Matrix organisations became the buzzword. Empiricists provided new formulations of hypotheses for ‘design of organisations’. With the advent of Information Technology, a new concept and a new metaphor for ‘design of organisations’ was evolved. Now, organisations are experiencing chaos, leading to ‘dissipative structures’ and ‘amoeba structures’ as a basis for organisations to operate in a chaotic environment. This calls for flexible structures, team work and trust. The metaphor of ‘dissipative structures’ captures the essence of ever changing organisations. There is a paradigm shift from managing pyramids to managing dissipative structures. Hence, the need for Radical Change Management.