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Why Change

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Why do organisations need change?

Table of contents

Introduction Why do organisations need change Environmental pressures for change The promotion of innovative change Innovation and change case examples Recommendations Conclusions Annex 1 - Defining the Four Antecedent Processors

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Introduction
This report sets out to explain why organisations need change. Faced with dynamic economies and increased competition, more and more companies are struggling to establish dominance, gain market share, and in some cases, ensure their survival. Management must understand that the key to competitive success is to change the way the organisation functions. To assist in the need to change proposition theoretical frameworks and tools will used with supporting case examples to better illustrate why organisations need change.

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Why do organisations need change?
Organisations need change for a wide range of reasons. Organisations are never perfect and should be constantly changing to make themselves into significantly better companies (Porter 2005 ; Thompson et al. 2010). For example working practices may need updating to gain efficiencies, staff skills may need improving, customer service response times could be shortened, customers demanding a product or service you do not currently provide, new technology may produce improvements in efficiency, costs could be reduced, innovative new products may be possible to increase revenues and profit. This is by no means an exhaustive list these areas and many others should be reviewed on a regular basis to identify opportunities for change and innovation. A starting point in this process is to analyse the organisations current situation. Management literature (Thompson et al. 2010) suggests a good place to start to assess the need for change is the SWOT analysis framework (Figure 1). Analysing the organisations

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