Question:
Discuss about the Ethical Leadership and Employee Involvement.
Under the present economy, change is perceived to be all-pervasive in the organizations. It happens on regular basis and often at rapid pace. It is because change has become a continuous element of the dynamics of organization, employees who have been resisting modification can in true sense cripple an organization. Resistance is a predictable reaction to any sort of key change. Individuals logically rush in defending their status quo if they experience their status is being vulnerable. Change in organization has the ability in generating skepticism within the employees, making it difficult at times in implementing the improvements of the organization (Langley et al., 2013).
If the management is unable to understand or accept to work with confrontation, it can destabilize the most well-mentioned change efforts. The ability of any management in achieving the maximum advantages from the change depends in part of the ways it can effectively create and uphold a climate that diminishes behavior of resistant nature and encourages sustainability and acceptance. There is this notion that the resistance of employees can be conquered cognitively suggesting that the negative beliefs about the change subsist.
It is not bizarre for the executives in making decisions on a change scheme without taking in the line managers. On the one side, not taking into account the line managers in the stage of planning is stated to be a missed prospect; they are stated to be in the best of positions in providing priceless input on the ways things work and the impact it might have on the planned change. On the other hand, not concerning them upto a very late phase might be sending an indication that their voice is not believed to be significant.
The change usually needs to be executed in addition to the usual business. The stretched managers might need to reach a saturation point, resisting the initiative of change that can be the tilt point. Organizational change has a primary impact on the performance of the individuals that generally decreases when people have to study fresh ways of doing things (Hornstein, 2015). Managers feel reluctant of the fact that they would be considered liable for such productivity loss.
Many of the managers are of this notion that the initiative of change, if once implemented, would be reducing the impact of their role. In some of the cases, it might lead to failure of their job. There also exists an issue related to the status: an unfavorable change in the title of their job or in their situation in the structure of the organization.
Every organization at certain point of time has encountered failure when the change is being implemented. It is not bizarre for the executives in willing for implementation of the flavor of the month in steering away from the path when something new is able to catch their attention or someone new is being appointed in the senior position.
All employees do not react to change with same sort of attitude. However, change has always been seen as something that is constant in nature and here to stay, but some people appear to dig in their heels for resisting it at all costs.
Resistance to change might be at times rooted to the fear factor. During the changing periods, some of the employees might feel the urge in clinging to the past as it has been more sheltered, conventional time. If something that they did in the past worked well for them, they might feel the need to resist to that change out of the fear that they would not be able to achieve much if change happens (Kuipers et al., 2014).
The routine of the families helps the employees in developing sagacity over the environment of work. Being asked on changing the way they generally operate might make the employees feel incapable and mystified.
Employees that have been operating within the conventional routines know the fact that their support system would be backing them up during the times of challenges. Changing of the structures of the organization might shudder their confidence in their support system. They might not worry working for their new supervisor, with the new employees as they are scared if they fail, there would be lack of support for them (Hammer, 2015).
Petrom was the biggest producer of oil and gas in the region of South eastern Europe. It indulges in activities like exploration and production, refining of the oil and marketing of the same and being the market leader in Romania. In the year 2004, the company was obtained by another global company by the name of OMV Austria. The company established the situation of the regional centre for the Southeast Europe within the Group of OMV.
The organization thought of bringing in the required changes on the following factors:
The company management did had to focus on and take into consideration certain symptoms of resistance like the attitude factor, resigning or accepting of early retirement, signs and distinctions. There were several factors that gave birth to the causes of resistance like the factor of fear, varied assessments, lack of any sort of trust along with lower tolerance to the change factor (Sharif & Scandura, 2014).
Most companies make use of at least one of the two management change models which are Mckinsey 7-S Model, Lewin’s Change Management Model and Kotter’s 8 Step Change Model. McKinsey’s 7-S model takes in the factors of the organization like the strategy, shared values, structure, style, systems, staff and skills, offering efficient methods in diagnosing and organizational understanding. It offers guidance to the change within organization.
In case of Lewin’s Change Management Model there are three stages; unfreeze which takes in a period of liquefying initiated through motivation when people make an effort to resist change. In transition phase sufficient leadership and reassurance is obligatory for successful process once change is initiated. In times of refreeze after the change has been established, the company becomes unwavering and the staff refreezes as they function under fresh guidelines.
As a sort of ideological control that has been attempting in molding the employees’ identity, it mainly failed among such workers. As per Hornstein, (2015), a significant empirical finding that might complement the other studies of the control along with domination is the temperament of resistance. Employees are of this perception that the culture and the supervisors who proliferate it as condescending. This is for the fact that employees being delectated as children corrodes the dignity sense along with self-respect. They thereby decline in internalizing this role by clinically disapproving the culture and counterfeiting a counter-identity vis-à-vis the scripts of membership planned by the company.
According to Ybema, Thomas & Hardy, (2016), the unpleasant part of the paternalistic management as has been experienced by the employees and attempting in resisting it, has been missed by many of the studies discovering the subject. It is often been illustrated as a system of control that have willingly been embraced by the employees for its nostalgic assessment. In most of the literature that is management focused, control is even optional as a style of viable management because of its empathies with harmony and cooperation. On the methodological memorandum, any evaluation done on control and resistance should not routinely presuppose that if control fails in taking among the employees it is for the resistance factor. Other factors that might be involved in manufacturing the behavior that individuals attribute in dissenting is like the plain bad management.
People within the managerial positions face various challenges, however the most complicated is the efficient and smooth management of change. Previous studies have shown that there exist successful change management patterns. Such studies have suggested that change is required, a regular activity and of foreseeable nature that does not have to be randomized and can be well controlled. Conventionally managers have operated under the model of control-dominated instead of participative model. Managers have been tough, pragmatic, and intense on imperatives.
Resistance to change cannot be evaded during the stages of initiation of change. One of the suspected reasons of the resistance factor is the clash of the values along with ethics. The resistance often takes in both the management and the front line employees. As per the research on the obedience to authority illustrated that there exists certain motivational factors on why people defy to changes based on the desires of individuals in acting accordingly to the accessible ethical principles of the culture of the organization (Zhao et al., 2016). It has also been worth considering the fact that some of the professed threat in the advancement of career along with security can cause the middle management in ignoring the establishment of the ethical considerations. It is therefore essential in providing the instantaneous solutions in resolving the ethical issues during the process of implementation of change for avoiding the misuse of behavioral ethics.
In a workplace set up, ethics is considered to be a system of the moral values that classified behavior of acceptable and unacceptable sort that is to be applied in organization. In the procedure of implementing the change, ethics is often overlooked by the management though there have been several stipulations in the manual code of organization, ethics and the ethical culture.
The important ethical elements of the persuasion factor that has to do with power, includes the factor of deception. Persuasion is stated to be ethically challenging when one party has political or the informational supremacy over another. Conformity of the immobility runs the menace of being the political submission instead of the balanced appraisal.
Managers along with the supervisors act as lynchpin in the accomplishment of change scheme. In times during the change, those assigned with the responsibility of being impacted by change can both be a great collaborator and a real blockage for the change leaders (Sonenshein et al., 2013). Managers are generally the closest to the employees requiring adoption of the fresh processes along with the behaviors connected with the project. And in many of the cases the same development impacts their own transformation. Getting the supervisors and managers on board and preparing them to support their teams through the change phase is decisive.
Implementation of change management program within organizations engage people at all the levels in designing the strategy of implementation. Leaders need to enthusiastically involve the people who are most exaggerated by the implementation change. This ensures the employees of all levels within the organization embracing the changes that have been proposed. If people are not in the habit of approaching with their tasks, then the organization has the erroneous mindset, and not its people. Change like the new structures along with targets, acquisitions generates environments and new systems that require explanation to the people as soon as possible, for the people to get involved in authorizing and refining the changes attained (Bateh, Castaneda & Farah, 2013).
If it is possible for the change program of the business to be accustomed, then the company needs to open up its plans with the stakeholder group for consultation. The organizational staff is generally the people who are responsible for working with one particular product or providing the services- whatever might be the case for the organization.
If the change is related to any sort of merger or acquisition as in the case study of ‘Acquisition of PETROM by OMV’ that is beyond the control of the manager, then it becomes best in ensuring that the stakeholders or the staff should not be feel debarred from the process of change. One of the biggest challenges with the process of change management is the form of motivation. Not all changes are stated to be beneficial- incidences of mergers and acquisitions generally create an unmotivated working environment within the business. It needs to be ensured through good management programs that the organizational management needs to find a way of connecting its staff and offering motivation to the staffs in contributing efficiently to the business.
It is also important in managing the workload during change if related to technology. As one of the managers in the situation of change, it is important being mindful if the management is focusing on changing the way the staff has been operating, at times they might be less effective than they actually were due to change.
Conclusion:
It can be concluded that change management is something that tales longer period of time in settling down into the organizational system. It is not an easy process but an effective one, mainly if it would benefit the organization. It is not always a smooth ride during the change management process; however it is upto the managers in implementing the effective change management program to ensure everything remains intact and nothing goes out of their control.
Reference:
Bateh, J., Castaneda, M. E., & Farah, J. E. (2013). Employee resistance to organizational change. International Journal of Management & Information Systems (Online), 17(2), 113.ethics and change
Hammer, M. (2015). What is business process management?. In Handbook on Business Process Management 1 (pp. 3-16). Springer Berlin Heidelberg.
Hornstein, H. A. (2015). The integration of project management and organizational change management is now a necessity. International Journal of Project Management, 33(2), 291-298.
Kuipers, B. S., Higgs, M., Kickert, W., Tummers, L., Grandia, J., & Van der Voet, J. (2014). The management of change in public organizations: A literature review. Public Administration, 92(1), 1-20.
Langley, A., Smallman, C., Tsoukas, H., & Van de Ven, A. H. (2013). Process studies of change in organization and management: Unveiling temporality, activity, and flow. Academy of Management Journal, 56(1), 1-13.
Sharif, M. M., & Scandura, T. A. (2014). Do perceptions of ethical conduct matter during organizational change? Ethical leadership and employee involvement. Journal of Business Ethics, 124(2), 185-196.
Sharif, M. M., & Scandura, T. A. (2014). Do perceptions of ethical conduct matter during organizational change? Ethical leadership and employee involvement. Journal of Business Ethics, 124(2), 185-196.
Sonenshein, S., Dutton, J. E., Grant, A. M., Spreitzer, G. M., & Sutcliffe, K. M. (2013). Growing at work: Employees’ interpretations of progressive self-change in organizations. Organization Science, 24(2), 552-570.
Svara, J. H. (2014). The ethics primer for public administrators in government and nonprofit organizations. Jones & Bartlett Publishers.
Ybema, S. B., Thomas, R., & Hardy, C. (2016). Organizational change and resistance: An identity perspective. The SAGE Handbook of Resistance, 386.
Zhao, H. H., Seibert, S. E., Taylor, M. S., Lee, C., & Lam, W. (2016). Not even the past: The joint influence of former leader and new leader during leader succession in the midst of organizational change. Journal of Applied Psychology, 101(12), 1730.
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