Types Of Organizational Change Research Articles

Cross-border acquisitions in technical engineering sector: motives, trends and effects in finnish consultancies

The objective of this study is to explore the cross-border acquisitions – purchases and sales – of Finnish engineering consulting firms during the years of 1997–2006 in terms of the amount of transactions and the geographical distribution of acquiring and target nations. The focus area of the study – the technical engineering and consulting business – is a significant sub-sector of technology-related knowledge-intensive business services, which have strongly gained the interest of both practitioners and academic researchers in recent years. The methods utilized in this study consisted of literature reviews in the above-mentioned focus areas, the deal analysis of Finnish engineering consultancies on the basis of Thomson ONE Banker database, as well as the use of secondary data such as annual reports and expert opinions for complementing the analysis. The motives and intended effects of acquisitions were studied and compared to literature reviews and general industry characteristics. Results show that product and market extensions are the most significant types of cross-border acquisitions, which is in line with the existing literature. Expansion and other strategic motives can be seen in the study, but in spite of the increased significance of knowledge-intensity and innovativeness in many industries, knowledge acquisition for promoting innovation and R&D capabilities is not so apparent in the motives. Moreover, the geographical distribution in the Finnish sample does not yet clearly indicate a global movement of the industry towards the east. However, the strategies for market extensions of these knowledge-intensive firms in many cases seem to be implemented by other types of organizational changes than cross-border acquisitions. The results of the study provide several possibilities for in-depth further studies of the motives and effects of acquisitions and future comparative studies of other geographical areas.

The Triangular Model for Dealing with Organizational Change

Purpose: This paper investigates, to what extent the theories developed in more stable environments are suitable for analyzing organizational changes in turbulent environments. The aim is to provide a model for analyzing organizational changes in transition economy. Methodology: Structured interviews about the implementation of organizational changes were conducted with members of top management teams twice: firstly in 2001, in 137 Estonian companies; and second in 2005, in 106 companies. Changes which took place in the 1990s, during a period of social transience in Estonian society, were compared with changes implemented in the 21st century. The interview questions were similar during both interviews. Content analysis was used to evaluate the results. Findings: The results indicate that the types of organizational change are connected to institutional environments. During societal transience, transformational changes, deepest by scope, took place in most companies. During more stable institutional stages, organizations faced a decreasing number of transformational changes. There is a mutual interdependence between the three main building blocks of the triangular change model: the type of change, the readiness to change and the process of change. Research limitations/implications: In order to draw broader conclusions, it could be necessary to conduct further empirical research in other countries. Practical implications: Managers of international firms with subsidiaries in countries in transition could consider different things: first, the institutional and cultural context: structural institutions, values and norms. Values and norms in this country determine the activities required in the preparation and implementation of changes as well as the steps to be taken in the change process. Originality/value of paper: The author connected four types of reasearch about organizational change – content research, process research, contextual research and readiness research – into the triangular model.

Organizational learning in the theory of organizational change

The concept of organizational learning has been presented and placed within the referential frame of the organizational change theory. It appears that organizational changes shows to be a wider concept than organizational learning, since every learning includes change, but every change does not necessarily include learning. Organizational learning presents a particular type of organizational change, one which comprises creation and utilization of knowledge, includes changes of both cognitive structures and behaviors of organizational members, and necessarily is normative by its nature. The referential frame of the theory of organizational change is based on the classification of organizational changes and put together all theories into four perspectives: organizational development, organizational transformation, organizational adaptation and process perspective. It can be concluded that the concept of organizational learning is eclectic one, since it includes all types of organizational changes and encompasses all mentioned perspectives of organizational changes. .

Multilevel analyses of organizational change and working conditions in public and private sector

The aim was to investigate organizational impact on working conditions and to explore the associations between sector, different types of organizational change, and working conditions. A strategic selection was made of representative staff members from 72 work sites. Data pertaining to organizational factors were collected from managers, and to working conditions from employees. Multilevel analyses were performed, with 10 aspects of self-reported and expert assessed psychosocial and ergonomic/physical working conditions as the dependent variables, and patterns of organizational change and sector as the explanatory variables. The results showed that the variance in working conditions was significantly attributed to organizational level (16 – 65% of the variance), and that both the pattern of change and the sector were important. Organizations that had not undergone change provided the best work conditions. The “standardizing” and “market-adjusting” patterns of change had deleterious effects, while the “lean” and “centralizing” patterns led to dual outcomes. Organizational change was perceived as having more negative consequences in the public sector than in the private sector. The results indicate that organizational change contributes to increased differentiation of working conditions, as different types of changes congregate in specific areas of the labour market and affect groups of employees differently.

Outsourcing a satisfied and committed workforce: a trucking industry case study

In the past decade, thousands of employees have been affected by outsourcing. It is estimated that, in 2001 American companies alone, over $300 billion will be spent on this type of organizational change (Greco, 1997). Despite outsourcing's high profile, very little has been done to investigate the attitudes and perceptions of the outsourced employees or to determine ways to ease their transition (Kessler et al., 1999, Due, 1992, Khosrowpour et al., 1996, Benson, 1998). Our research analyses employee attitudes and behaviour both before and after outsourcing in the transportation industry. The type of outsourcing studied was one in which current employees in the companies' fleet operations are taken over by a major trucking firm which is acquiring responsibility for the transportation function. In a survey, eighty truck drivers were questioned about their pre- and post-acquisition attitudes. Contrary to what managers might predict, a satisfied and involved workforce could prove to be the most difficult to assimilate into the new organizational structure. We conclude with suggestions to management on how to facilitate the process for outsourced employees.

IPO‐related organizational change and long‐term performance: considerations of Dutch corporate officers

Mainstream literature on long‐term performance of initial public offerings focuses on long‐term underperformance. Because underperformance is an anomalous phenomenon, many authors search for explanations based on financial market imperfections. More recently, however, the attention shifts from underperformance to long‐term performance in general. This induces the search for other than financial market imperfections in explaining under‐ or outperformance. This article presents the idea that in many companies the preparation for the IPO and the IPO itself may bring organizational change. It searches for IPO‐related organizational change in The Netherlands with interviews of Dutch corporate officers. The research shows that an IPO primarily changes financial management and financial reporting, but that other types of organizational change may also be relevant. Moreover, long‐term stock market performance was on average higher in companies where IPO‐related organizational changes were reported than in companies where the changes were not reported.

Business Process Design: Correlates of Success and Failure

This article summarizes 75 organizational change efforts that had business process design (BPD) as an objective. BPD was found to be a common type of organizational change and usually occurred in combination with other types of change. The success rate for process design was low. Success was more likely when the sponsors were perceived to be mid-level rather than senior executives. BPD was most often undertaken because of cost trends, product problems, process control issues, customer complaints and suggestions, and competition. Statistical data were most often cited to describe successful process design, while unsuccessful change efforts were usually described by opinions. Success correlated most highly with the variables that reflected employee needs, leadership, and project management. Failure correlated most strongly with ineffective leadership and the clash with the existing culture. Success factors and barriers for cultural change resembled the profile for other types of organizational change. The author derived seven implications for managing process design and implementation and discussed difficulties in comparing this study with other research efforts to identify factors that facilitate or inhibit process design.

Productivity Effects of Organizational Change: Microeconometric Evidence

This paper analyzes the relationship between investment in information and communication technologies (ICT), non-ICT investment, labor productivity, and workplace reorganization. Firms are assumed to reorganize workplaces if the productivity gains arising from workplace reorganization exceed the associated reorganization costs. Two different types of organizational change are considered: enhancement group work and flattening of hierarchies. Empirical evidence is provided for a sample of 411 firms from the German business-related services sector. We develop and estimate a model for labor productivity and firms' decision to reorganize workplaces that allows workplace reorganization to affect any parameter of the labor productivity equation. Our general and flexible methodology allows us to properly take account of strategic complementarities between the input factors and workplace reorganization. The estimation results show that changes in human resources practices do not significantly affect firms' output elasticities with respect to ICT, non-ICT capital, and labor, although most of the point estimates of the individual output elasticities and of the control variables for observable firm heterogeneity are larger if workplace reorganization is realized. We therefore apply the Kernel density-estimation technique and demonstrate that for firms with organizational change, the entire labor productivity distribution shifts significantly out to the right if workplace reorganization takes place, indicating that workplace reorganization induces an increase in labor productivity that is attributable to complementarities between the various input factors and workplace reorganization. By contrast, firms without organizational change would not have realized significant productivity gains if they had reorganized workplaces.

Shapes of organizational change: the case of Heineken Inc.

This paper is based on the punctuated equilibrium model of organizational change. We argue that there are multiple ways in which organizational change takes place. More in particular, by looking at the interaction between the two types of organizational change (radical and incremental), we identify two shapes of organizational change. We illustrate this by means of a case study of a large, Dutch beer‐brewing company. The study focuses on a major change in the distribution system of beer and a period of structural inertia, caused by long CEO tenure. The problems associated with the subsequent CEO succession and the different levels of management that interact in these change processes are also discussed. This leads to the identification of a number of drivers and determinants of shapes of organizational change.

Productivity Effects of Organizational Change: Microeconometric Evidence

This paper analyzes the relationship between investment in information and communication technologies (ICT), non-ICT-investment, labor productivity and workplace reorganization. Firms are assumed to reorganize workplaces if the productivity gains arising from workplace reorganization exceed the associated reorganization costs. Two different types of organizational change are considered: enhancement of group-work and the flattening of hierarchies. Empirical evidence is provided for a sample of 411 firms from the German business-related services sector. A simultaneous econometric model for labor productivity and firms' decision to reorganize workplaces shows that changes in human resources practises do not significantly affect firms' output elasticities with respect to information and communication technologies, non-ICT-capital and labor. We also do not find significant differences in firms' returns to scale. The point estimates of the individual output elasticities and of the control variables for observable firm heterogeneity are, however, generally larger if workplace reorganization is realized. We therefore apply Kernel density estimation technique to demonstrate that the entire labor productivity distribution shifts out to the right if workplace reorganization takes place, indicating that workplace reorganization induces a significant increase in labor productivity. Significant differences in the productivity of ICT-capital and non-ICT-capital cannot be found.

Success rates for different typesof organizational change

Success rates for different typesof organizational change

A critique of BPR from a holistic perspective

Business process reengineering (BPR) is widely applied. However, its high failure rates give much cause for concern and call for more research, thus future BPR programmes might be implemented more successfully. Reports on one such research programme. Based on a holistic perspective, it critiques BPR as an approach to change management, in which four types of organisational change are classified: change in process, structure, culture, or power distribution. They are often seen to be interrelated, thus the management of the interaction is central. BPR, it is argued, is powerful in addressing process change, but incapable of dealing with other types of organisational change. Suggests that if BPR is to be applied successfully, either its usage needs to be restricted to change situations where process dominates, or a holistic approach is needed to help address adequately change situations where different types of organisational change are surfaced.

Analysis of Strategic Relationships for Knowledge Provision

Success of changes in an organisation may be facilitated by providing knowledge that corresponds a particular level of skill development of an employee, a particular level of organisational maturity, and the type of organisational change. The analysis of strategic relationships in three-dimensional framework may be useful for developing appropriate knowledge provision programs. The framework reflects a gradual mode of human skill acquisition, a gradual mode of organisational development, and particular types of organisational changes.

Integration or pragmatic coalition? An evaluation of nursing teams in primary care

Changing structures and organisations in primary care raise questions about the role and fit of traditional nursing disciplines. This paper discusses recent findings from an evaluation of integrated nursing teams. The study design used a mixed method approach measuring workload activity of health visitors, practice nurses and district nurses, through time diaries; and teamwork using the Primary Care Teamwork Questionnaire, in conjunction with semi-structured interviews exploring the views of key stakeholders and the nurses themselves. The main themes arising from the interviews are discussed, taking account of the findings from the assessment of workload and teamwork questionnaire. The key themes addressed are implementation of change, shifting role boundaries, communication and teamwork. The findings indicate that this type of organisational change is concerned predominately with structure, professional and organisational issues rather than patient care. In the teams studied the opportunity of integration led to a pragmatic coalition that encouraged its members to plan, execute and manage change by themselves, according to a vague definition rather than a patient focused agenda. In order to ensure a quality nursing service and avoid old historical rivalries this needs to be addressed as nursing teams are reconfigured in primary care groups.

Data Warehousing and Organizational Change at the IRS: Increasing Taxpayer Compliance Without More Taxpayer Audits

Data warehouses provide a remarkable source of data to organizations. They offer the possibility of radical changes in the ways organizations think about and use information to accomplish their mission. However, these changes do not come about solely because an organization installs a data warehouse. In order to achieve these maximal benefits from a data warehouse, an organization's structure, culture, individual roles and incentive systems, and management processes often must all change together. This article illustrates these ideas using a case study of a data warehousing initiative at the Internal Revenue Service. Historically, 14 percent of the taxes owed are not collected, yet it is neither physically nor politically feasible to increase compliance through more audits. The IRS's emerging approach strives to increase voluntary compliance by emphasizing market segmentation analysis (identiaing whole groups of non-compliant taxpayers) and taking actions that affect the whole group, rather than its historical approach of auditing individual taxpayers. The implementation of this approach is dependent on a data warehouse, but also requires a shift in the culture of the IRS. The events of the case are interpreted through the lens of structuration theory, which helps shed light on the difficulty of this type of organizational change.

Some structural changes that might facilitate the development of behavioral medicine.

Three types of organizational change are considered that may facilitate the development of behavioral medicine teaching, practice, and research over the next decade. The first and most critical of these changes is a consideration of the role of a Department of Behavioral Medicine within the medical school. The second is support for the development of research collaborations across centers, with the advantage of bringing a broader array of expertise and facilities to the solution of health problems. Finally, some changes in the role and organization of scientific societies that support behavioral medicine are considered. It is argued that, without such changes, behavioral medicine will become overly narrow in its focus and will not have the impact on the medical arena that it might otherwise have.

Towards Mapping the Communication Targets of Organisational Change

Four perspectives are outlined on organisational phenomena and three types of organisational change. Using those categories, a framework is developed which identifies 12 major organisational communication focuses. That framework facilitates identification of the nature and purpose of organisational communication from each perspective as it relates to each type of organisational change.

Understanding Organisational Change

A conceptual framework is provided for understanding the form and dynamics of organisational change. The basic organisational model and life cycle, the types of organisational change, and the role of company culture in organisational change are examined. The mechanics of change are discussed and an overview taken of some pitfalls.