Overview of the Organization
The organizations in the current world scenario want to remain competitive and try to seek advantages in the fast paced world that is changing on a regular manner. The performance of the employees needs to improve, as it will help in boosting the production and the sales of the organization. The organizations are trying to adopt the new methods that are present in Human Resources Development so that it can help in providing support to the organizations. The aim of the paper will be to identify the processes and the activities that are undertaken by the Human Resources Department so that it helps the organization in managing the changes in a better way (Benn, Dunphy and Griffiths 2014).
The Royal Dutch Shell Group of Companies or precisely Shell is the second largest company in the world with respect to petroleum. It is also one of the most recognized organizations in business, as it operates in more than 200 countries over the world. The company is in a joint venture that has been undertaken between the Royal Dutch Petroleum Company and the Shell Transport and Trading Company (Maheshwari and Vohra 2015). Both of these companies are based in Europe but operate all around the world. The company has developed in to a complex organization and maintains its operations from the headquarters that are situated in The Hague and London. The management of the company was done following a matrix structure that is three-way in process from the mid 1960s. During the 1990s, the company realized that changes need to be made in the organization so that it would help in competing better with the rival companies. The competition was intense as the prices of oil at that point decreased heavily, which led to the other companies joining the industry.
The main issues that will be highlighted in this assignment will be the local autonomy and the adaptability on the integration based globally along with the structure and role of the management, which will help in managing the services of the organization (D’Cruz, Noronha and Beale 2014).
The management of organizational changes is the modification and the transformation of the entire organization so that it will help in increasing the level of productivity in an effective manner along with the competition that is present in the market. It will also help in increasing the revenues of the organization. The change management is an approach that will help in transforming the employees along with the teams in a way that will help the company in the future. Change management acts as a basic tool that helps the organization in taking control over the changes that are taking place within the system. This process will help in identifying and accepting the changes within the current environment of the business so that the company can operate in an appropriate manner (Schumacher et al. 2016).
Literature Review
The current business environment is uncertain and the organizations need to effectively handle the changes in the management by adapting the strategies, products and cultures on a constant manner. The advancements in the technological level have made it mandatory for the organizations to accept the changes so that it can ensure its survival in the competitive market. The Human Resources (HR) department plays an important role in changing the strategies that will help the company in the future, as they have the capability of thinking and learning to manage things in a different manner (Giauque 2015).
The practitioners of HR are known as administrators of the company, as they manage the entire function of the company apart from the delivery cost and leveraging the human capital. They get attention as within the company because of the changes that they introduce in the system, which will help the company in operating in a smooth manner (Alvesson and Sveningsson 2015).
The agents of change can be studied through the three steps model of change by Kurt Lawin and the eight steps model of Kotter. Kurt Lawin was of the view that the employees always want to work within their comfort zone and the change in the organization has been divided in to unfreezing, moving and re-freezing (Armstrong and Taylor 2014).
The resistance to the changes is one of the first stages that involve the preparation of the changes wherever it is necessary within the organization. This will help in accepting the changes and the breakdown of the status that is existing within the organization. The employees of the organization receive constant motivation when the crisis can be understood in a better manner by the employees so that the vision of the company can be associated with themselves. The process of unfreezing can be further broken down in to two phases. The first phase is that the indicators of the conditions may not be ideal. Secondly, the indicators have to be communicated in a proper manner so that the members of the organization can find a solution to the problem, which will help in reducing the level of anxiety. The changes in the first level are mostly difficult and include lot of stress (Fay et al. 2015).
This stage includes the people to resolve their uncertainty and find new ways in which the things can be done by adopting new directions. Most of the changes are dynamic in nature and the need for a period of transition is necessary, as it will help in making the changes effective in nature. The process of change will start when the employees or the members are ready to open up their minds so that they can think on a broader perspective. The second stage in the transitional phase will help the members to move out from the situation that is for the future so that it can be an interactive process. This process will be successful if the leaders of the organization reassure the members or the employees. The process of communication is necessary for the change to be successful in nature, as it will help the employees by providing them some time to understand the changes and feel connected within the organization (Tummers et al. 2015).
Organizational Change Management
This stage happens when the employees are in the process of accepting the changes and find better approaches in the work process. The main reason in this stage is the strength, which will help in acknowledging the changes within the organization. The process of refreeze can be outlined by the association when the set of responsibilities can be understood by the employees. This stage also helps the employees or the association in organizing the level of progress so that they can keep a track of it. This will help in checking that the level of progress can be used in a constant manner within the organization, which will help in fusing the business on a regular basis. The employees on the other hand also feel motivated and accept the changes that will help them in the process of work (Bringselius 2014).
The reaction of the employees will be immediate if most of them are convinced that a change is required within the organization. The first stage for the process of change will be to see the rate of the urgency that the employees will have in needing for a change within the organization. The agents of change have to be credible so that it can initiate the program of change, which will help in understanding the process of change. The organization needs to hire consultants so that the sense of urgency can be felt among the employees. This theory is also applicable in evaluating the realities and identifying the major opportunities within the organization (Wan Hooi and Sing Ngui 2014).
A single person or an employee is not capable of managing or handling the process of change within the organization. It has to be led by forming a coalition among the employees so that the process of change can be successful within the organization. Thus, it can be said that the operators for the change needs to have a gathering, which can help in leading the employees towards the change in the right way. The right individuals will be those who have the ability and the authority of handling the changes in a proper manner (Chen and Wang 2014).
The employees will be able to understand the changes if they are aware of the vision of the organization. The employees will then be able to associate the changes with the visions of the company and understand what is necessary within the work place. The managers need to be able to understand the process of change so that they can help the employees in accepting the changes and work accordingly, which will help in increasing the level of productivity within the work place. The effort of the managers in accepting the changes will help in creating a sense of urgency among the employees to accept the changes as well (Chmiel, Fraccaroli and Sverke 2017).
Change Models
The process of communication is necessary for the organization to function in a smooth manner. The process of change within the organization can be possible if there is an appropriate network of communication between the employees, which will help in decreasing uncertainty and ambiguity. It will also help in recording the negative or positive responses from the members once the change is implemented. The vision of the company needs to be accepted by the employees so that the messages can be communicated in a simpler manner (Xerri, Nelson and Brunetto 2014).
The barriers in the process of change need to be eliminated so that the employees can understand the change and act accordingly within the company. The obstacles and the structural changes that poses as a threat to the vision needs to be removed so that the process of change can be managed in a proper manner, which needs to be adopted by the employees as well (Hayes 2014).
To make the changes on a large-scale so that it helps in the long run, it is important for the organization to create wins on a short-term basis. The achievements that can be viewed easily needs to be planned in an organized manner so that the short term wins can be recognized in an easy manner and the employees can be rewarded for their involvement (Cameron and Green 2015).
The persistence and the determination needs to be encouraged and nurtured so that it can help in increasing the credibility of the changes in the structure, policies and systems. The primary goal of success is the verification of the strategy and vision that is credible enough by evaluating the results. The results from these changes will help the organization in initiating changes for the future as well (Goetsch and Davis 2014).
The agents of change will help in supporting the structures for the change to be sustainable in nature. The changes in the structure need to be inclusive of the mentoring and training of the employees so that they can adapt to the changes in an easier way. the initiatives for the changes needs to be recognized and communicated through newsletters, websites, seminars or other methods of formal communication, which will help in articulating the success of the organization by ensuring the development of the leaders (Van der Voet 2014).
The agents of change are those persons who will help in initiating the changes and manage it within the organization. These people have to be specialists in practicing the changes within the organization so that it can help the employees in understanding the changes for the success of the organization. The Hr department needs to support the changes such as the adoption of the new technologies, which can enhance the training of the employees within the organization. The department has to be responsible for coordinating and organizing the changes so that it will help in managing the operations of the organization in an efficient manner. The human resources department may fail in identifying the changes if it is not defined strongly, which will help in driving the changes within different levels within the organization (Hechanova and Cementina-Olpoc 2013).
Creation of a Sense of Urgency
The recruitment of new employees by the HR department needs to be done in a smooth manner, as they are able to identify the tasks that may get affected with the process of change. The needs and expectations of the customers also need to be analyzed and evaluated so that the organization can provide maximum satisfaction to them by developing the products and services (Gollenia 2016).
The role of HR department has helped in changing the environment of the organization. It can be seen that in the past their role was identification and evaluating the programs that helped in training the employees so that they can increase their level of production within the organization. Thus, the intervention of the training methods was the primary role that was carried out by the human resources department. In the present scenario, the role of the professionals in these departments have changed and act as advisors to the makers of the decisions on the issues that are concerned with the organization both internal and external respectively. The professionals of this department act as designers of the system and helps in developing and designing the strategies, which will help in increasing the performance of the employees. The role of acting as change agents helps in implementing the changes for the organization to increase its performance. These professionals have taken up the responsibility of changing the cultures that are present within the organization (Prochaska 2013).
The changes that are transformational in nature create an effect on the policies and practices that are being used within the organization. The incremental changes are the steady adjustments that are done on the policies and the practices, which affects the multiple or single functions of the organization. The vision of the HR consists of a set of values that helps in affirming the legitimacy of their functions as a strategic partner in business. The knowledge and skills of this department helps in managing the employees in an effective manner. They can be further classified as:
The alignment of the strategy in business with that of human resources helps in creating a persuasive and proactive change within the organization. They possess the credibility, which can be linked directly to the experiences in business and posses the analytical and political skills so that it can be capable of managing the risks and inspire the employees by making them aware of the changes (Kuipers et al. 2014).
Creation of the Guiding Coalition
The professionals in the human resources department will help in implementing the changes within the functional areas as well, which will help in transforming the vision of the organization in to practical actions, which will be involved in the process of implementation as well (Rosemann and vom Brocke 2015).
The human resources department also acts as consultants for the agents of change, as they assist the workers in generating the data internally or externally of the organization. The work that is ongoing on a particular project or a task can be assisted by the department by providing better technical skills along with administrative and consulting skills. This will help the employees of the project to complete the entire work within the time limit given to them by the organization (Cummings and Worley 2014).
The activities that help in mutually supporting the success can be achieved with the involvement of different energies in resource among the people, which is referred as synergy. The Human Resources Development acts as changing agents are capable of coordinating and integrating the strategies that help in changing the face of the projects within the organization. It needs to be based on the competencies of the leader along with the management of the project through coordination and integration, which acts as catalysts in the process of change (Laudon and Laudon 2016).
It is important for the organization to adapt to changes because it helps them to get a competitive advantage over the other rival firms, which fails to accomplish the needs of the customers. It can also take place due to the situation of crisis that may exist in a given market place. The change in the executive power of the organization can also result in changes in the structure of the organization. The changes in the organization may depend on the following factors:
Since technology is getting advanced on a daily basis, it is necessary for the organizations to identify the right technologies that may help them in speeding up the operations within their work place. The need for the advances in technologies has helped the organizations in adopting different methods of changes. The organizations need to adopt various technologies that will help them to be cost effective and gain a competitive advantage in the market. The changes in the technology will help the firm in increasing their productivity and services to the customers (Hammer 2015).
Developing a Change Vision
The acquisitions and merging up of two or more companies may create a negative impact on the employees. The employees are made to perform dual functions in the organization, which may help in cutting down the expenses and allocating the new products or the services in the line of production.
The pressure that is internal in nature comes from the employees and the management that asks for a change within the organization. The external pressure is the result of various factors such as the changing regulations from the government, financial markets, shareholders and various factors that may exert pressure on the external environment of the organization. Another factor that may result in the change within the organization is the factor of globalization (Galliers and Leidner 2014).
The change in the rules and regulations of the government may result in the changes within the organization. An example of this would be the equal opportunity of employment that was passed by the government of various countries led to the changes in many organizations.
The needs and preference of the customers keep on changing, as they may get saturated with the purchase of the same product or services that are being offered by the organization. With the everyday evolution of the world, the needs of the customers keep changing on a constant manner, which may lead the organizations in changing their products and services. This opportunity of changing the products requires the organization to undergo a process of change within them so that the demands of the customers can be met in the right manner (Bridges and Bridges 2017).
The business needs to have the ability of adding values to its products and services that helps them in gaining a competitive advantage over other firms. For making this change successful in nature, the agents of change need to focus on the conditions of business that may help the organization in using competencies (Wirtz et al. 2016).
The company also has an efficient human resources department that looks after the overall welfare of the organization. They help in running the company in a smooth manner by providing proper guidance and training to the employees. When one of the managers was interviewed about the role that the HR department plays within the organization, he said that the department was in-charge of the overall activities of the company. He further mentioned that the department helped in identifying the changes that would be required within the company so that it can function smoothly in the market. The use of the technological advances within the company, which are giving them a competitive advantage, was provided to the management by the employees of human resources department, as they have a thorough idea of the market. This helped the company in adopting those technologies, which has helped them to carry on their daily activities with ease (Michie, Atkins and West 2014). The department is also responsible for providing the best training to the employees so that they can increase their productivity level within the organization. The experienced employees of the firm are made to undergo training at an interval of every three months so that they can be more efficient in the company. The new employees on the other hand are made to undergo training on a monthly basis so that they can adopt the new skills that will help them in increasing their level of productivity within the organization (Hammer 2015).
Communicating the Vision for Buy-In
The department also has the responsibility to study the market so that it can understand the needs and preference of the customers, which helps the company in adjusting to the changes. The information that is provided by the HRs to the company helps them in making changes to their products so that the customers do not substitute it with products of another company. Another manager of the company was of the opinion that the department helped the company in merging with the other company, as they noticed that the profit and sales of the company would increase for the firm, which would lead in to providing better salary and benefits to the employees (Cummings and Worley 2014).
It can be therefore said that the human resources department of the company is efficient in its outcome and shows best interests for the company. The company had undergone a major structural reform, which has helped them in carrying out the activities in a proper manner. The changes in the organization led to the change in its mission and strategy so that the work and the responsibilities of the employees can be managed in a smooth manner. This helped the company in earning better revenues, as the employees were made to carry out certain responsibilities in the job process. The company has changed its strategy in to motivating the employees to work hard, as they received the best training, which will help them in increasing their productivity level within the organization (Prochaska 2013). The employees provided valuable feedbacks to the professionals of human resources department, which helped them in bringing changes within the organization. This helped the company in adapting the best methods, which helped the company in being the number one company in the petroleum industry. The oil company was able to strengthen its organization with the changes that it made in its structure. The business committees that were the head of the organization were changed and replaced with chief executives. This helped in increasing the effectiveness of the employees and the control over the finances improved to a great extent. The company shifted from petroleum products to chemicals as well, which helped them in diversifying the product and attract large bases of customers. The collective responsibility of the employees was replaced with individual responsibility, which helped in the development of proper strategies and responsibilities over financial matters. The company broke down its activities from the global business perspective to a narrowly defined business in the global context, which helped the employees in reporting directly to corporate of the company (Van der voet 2014).
Empowering Others to Act on the Vision
The human resources department saw that the company became competitive in the market, which made the other companies to decrease their prices due to the huge demand of the customers from the company. The efficiencies in cost led to the increased profitability of the firm, which helped the company in keeping the overhead cost low and increased the use of the latest technologies. The use of the latest technologies helped the company in accessing the products in an easy manner, which was sold to the customers at a cheaper price, which helped the company in maintaining a better advantage with respect to the competition that is present in the market (Gollenia 2016).
Conclusion
Thus, it can be concluded that the company is delivering better returns on the capital that has been invested by them in the market, which indicates that the company is in a stable position. The decentralization of the top-heavy structure of the organization was changed, which helped the company in earning a better ratio with respect to the profit. The products of the company were being recognized on a global scale, as there were lot of trading activities that was taking place on an international level. The network of communication between the employees increased highly due to the implementation of the advances in technology. This led to the free-flow of information, which helped in solving the problems, which were raised within the organization. The organizational structure of the headquarter of the company was changed in to a three-way matrix that helped in controlling the finances of the company in an efficient manner. There was a proper distinction between the management and the legal structure of the company. The management structure helped in controlling the business that was based in the regional and on the international level. It helped in controlling the operations of the heads of the company. The legal structure helped in controlling the activities of the parent company along with the services and the operations that were being carried out by the company. On an overall manner, the company needs to continue the activities that they rae doing in the present state, as the changes in the organization has turned out to be positive for the company. It has helped the company in earning better revenues and keeps the operational costs low, which means that the employees in the company are being rewarded with better remuneration.
Creating Short Term Wins
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