Human Resource Management

Part One

Section A

1. C
2. A
3. B
4. B
5. B
6. A
7. D
8. C
9. A
10. B

Part Two:

1. The importance of Career Planning in industry:

Career planning is the process by which one selects career goals and the path to these goals. The
major focus of career planning is on assisting the employees achieve a better match between
personal goals and the opportunities that are realistically available in the organization. Career
programmers should not concentrate only on career growth opportunities. Practically speaking,
there may not be enough high level positions to make upward mobility a reality for a large
number of employees. Hence, career-planning efforts need to pin-point and highlight those areas
that offer psychological success instead of vertical growth.
Career planning is not an event or end in itself, but a continuous process of developing human
resources for achieving optimum results. It must, however, be noted that individual and
organizational careers are not separate and distinct. A person who is not able to translate his
career plan into action within the organization may probably quit the job, if he has a choice.
Organizations, therefore, should help employees in career planning so that both can satisfy each
others needs.

Career planning seeks to meet the following objectives:

i. Attract and retain talent by offering careers, not jobs.

ii. Use human resources effectively and achieve greater productivity.
iii. Reduce employee turnover.
iv. Meet the immediate and future human resource needs of the organization on a timely
basis
v. Improve employee morale and motivation.
2. On the analysis of definitions of human resource management, the following features of HRM
can be identified:
1. People Oriented: Human resource management is concerned with employees both as
individuals and as a group in attaining goals.
2. Comprehensive Function: Human resource management covers all levels and
categories of employees. It applies to workers, supervisors, officers, managers and other types of
personnel.
3. Individual Oriented: Under human resource management, every employee is
considered as an individual so as to provide services and programs to facilitate employee
satisfaction and growth.
4. Continuous Function: Human resource management is a continuous and never ending
process. According to George R Terry, it cannot be turned on and off like water from a faucet; it
cannot be practiced only one hour each day or one day each week.
5. A Staff Function: Human resource management is a responsibility of all line managers
and a function of staff managers in an organization.
6. Pervasive Function: Human resource management is the central sub-function of an
organization and it permeates all types of functional management viz., production management,
marketing management and financial management.
7. Challenging Function: Managing of human resources is a challenging job due to the
dynamic nature of people. Human resource management aims at securing unreserved co-
operation from all employees in order to attain pre-determined goals.
8. Development Oriented: Individual employee-goals consist of job satisfaction, job-
security, high salary, attractive fringe benefits, challenging work, pride, status, recognition,
opportunity for development etc.

3. Performance Appraisal is the systematic evaluation of the performance of employees and to

understand the abilities of a person for further growth and development.

Performance appraisal is generally done in systematic ways which are as follows:

1. The supervisors measure the pay of employees and compare it with targets and plans.
2. The supervisor analyses the factors behind work performances of employees.
3. The employers are in position to guide the employees for a better performance.

Performance Appraisal can be done with following objectives in mind:

1. To maintain records in order to determine compensation packages, wage structure,

salaries raises, etc.
2. To identify the strengths and weaknesses of employees to place right men on right job.
 3. To maintain and assess the potential present in a person for further growth and
development.
4. To provide a feedback to employees regarding their performance and related status.
5. To provide a feedback to employees regarding their performance and related status.
6. It serves as a basis for influencing working habits of the employees.
7. To review and retain the promotional and other training programs.

It is said that performance appraisal is an investment for the company which can be justified by
following advantages:

1. Promotion: Performance Appraisal helps the supervisors to chalk out the promotion
programs for efficient employees.
2. Compensation: Compensation packages which include bonus, high salary rates, extra
benefits, allowances and pre-requisites are dependent on performance appraisal.
Employees Development: The systematic procedure of performance appraisal helps the
supervisors to frame training policies and programs.
3. Selection Validation: The supervisors come to know the validity and thereby the
strengths and weaknesses of selection procedure. Future changes in selection methods
can be made in this regard.
4. Communication: For an organization, effective communication between employees and
employers is very important.
5. Motivation: Through evaluating performance of employees, a persons efficiency can be
determined if the targets are achieved. This very well motivates a person for better job
and helps him to improve his performance in the future.

4. Difference Between On-the-job and Off-the-job training

Nowadays, training has become the core needs of the organization to develop specific skills in
their existing and prospective employees. There are two methods for imparting training in
workers are on-the-job training and off-the-job training.

While on-the-job training is provided at the workplace itself, the trainees produce things while
learning. In off-the-job training, the trainees are away from the work environment, that
eliminates stress, frustration and bustle of day-to-day job.
Definition of On-the-job training

As the name suggests, on the job training (OJT) is a method of imparting training to the
employees when they are on the job at the workplace. The aim of training is to make the
employees familiar with the normal working situation, i.e. during the training period, the
employees will get the first-hand experience of using machinery, equipment, tools, materials, etc.
It also helps the employees to learn how to face the challenges that occur during the performance
of the job.

On-the-Job Training Methods

The main theme of this training method is learning by doing where the supervisor or the
experienced employees demonstrate the trainees how to perform a particular task. The trainees

Definition of Off-the-job training

Off the job training is a method of training, which is undertaken at a site, away from the actual
workplace for a particular period. The reason behind imparting training at a place other than the
job location is to provide a stress-free environment to the employees where they can concentrate
only on learning. Study material is supplied to the trainees, for complete theoretical knowledge.

Off-the-job Training Methods

The trainees are free to express their views and opinions during the training session. Moreover,
they can explore new and innovative ideas.

It is one of the expensive training methods. It involves selection of the place of training, the
arrangement of facilities for the workers, hiring an expert to impart training, etc.

Key Differences between On-the-job and Off-the-job training:

i. The training method used to impart training to employees while he is at the
workplace performing the job is known as On-the-job training. Off-the-job training
involves the training of employees outside the job location.
ii. On the job training has a practical approach, whereas off the job training is
theoretical.
iii. On the job training involves the hands-on experience of the trainees which is not
with the case of off the job training.
Off the job training is more time consuming as compared to off the job training.
iv. On the job training involves learning by doing the task while off the job training
involves learning by acquiring knowledge.
v. In on the job training, there is no work disruption as the training and production go
hand in hand. Conversely, in off the job training, the work is hampered because first
of all training is provided which is followed by the actual performance.
vi. On-the-job training is carried out by the experienced employees. Unlike off-the-job
training which is provided by the experts.
vii. On the job training is less expensive than off the job training.
viii. On the job training is appropriate for manufacturing entities while off the job
training is suitable for non-manufacturing entities.
Section B

Caselet 1

1. What is wrong with the recruitment policy of the company?

Recruitment may be defined as the process of attracting the maximum number of applications
for a particular job.
Recruitment is the process of locating and encouraging potential applicants to apply for existing
or anticipated job openings.
It is actually a linking function, joining together those with jobs to fill and those seeking jobs.
Initially it is the division of authority and Responsibility.
There is no job description
There is no performance Evaluation
There is no organization culture
There is no discipline. Neglecting these aspects can lead to disasters in the organization.

Recruitment is the process of locating and encouraging potential applicants to apply for existing or
anticipated job openings. In this competitive world where changes are rapid, a clear and well defined
recruitment policy is necessary for organizations to respond to its human resource requirements in time.

Therefore, it is important to have a clear and concise recruitment policy in place, which can be executed
effectively to recruit the best talent pool for the selection of the right candidate at the right place at the
right time. The efficient operation of the enterprise and its future depends upon recruitment policy.

Some of the reasons for poor recruitment policy of the company

1. Workforce analysis: The rate of absenteeism and labor turnover should be taken into account.
After a year of Mr. Sashidhar s service, he slowly learnt about the rate of turn over within the
company, which in return lead to overloaded work pressure from his supervisors.

2. Workload analysis: The need for manpower is also determined on the basis of work-load
analysis, wherein the company tries to calculate the number of persons required for various jobs
with reference to a planned output. In Mr. Sashidhars case he was overloaded with multifarious
jobs. His freedom in deciding and executing was cut down. Uptron Electronics Limited failed to
implement such policy to sustain efficient employees.

3. Job analysis: Job analysis helps in finding out the abilities or skills required to do the jobs
efficiently. Uptron Electronics Limited managed to find the right person with the right
qualification. But it failed to motivate the employee or rather supported the employee in
sustaining in the company. Hence, its policy towards employee motivation was discouraged.

A recruitment policy of an organization should be such that:

It should focus on recruiting the best potential people.

To ensure that every applicant and employee is treated equally with dignity and respect.
Unbiased policy.
To aid and encourage employees in realizing their full potential.
 Transparent, task oriented and merit based selection.
Weight-age during selection given to factors that suit organization needs.

2. Why did Mr. Sashidhars resignation surprise the General Manager?

Mr. Sashidhar impressed the management by giving his maximum contribution. This also gave an
impression that he got settled down and will remain in the company. General Manager was surprised
because, Sashidhar never came up with any issue. General Manager must have been thinking that if
Sashidhar was facing any problem, he should have come and complaint first. Company policy states that
employee serve a notice period before resigning. But Sashidhar directly came up with resignation
foregoing his one month salary which surprised General Manager. The diligent performance, firm
commitment and dedication of Sashidhar must have indicated General Manager that any such
inconvenience wouldnt be faced by him. Thus upon seeing the resignation, he got the reason that he
has been ill-treated too and was surprised as he did not expect that Sashidhar would have been facing
similar problems in the company. Also Sashidhar was a calm and contented kind of a person which
assured the management that in any case he would be able to survive in the company under any
circumstances. They thought him potential enough to bear such organizational responsibilities.

Analysis:

Talent retention is critically important for all organizations for two main reasons:

Turnover is expensive.
Top performers drive business performance.

Thus, from this case study it is clear that retaining the employee is much more important than
recruiting. Whats the use and benefits of recruiting quality employees if they cannot be retained by the
organization in proper manner?

Retaining Employee

Retaining skilled employees is a significant issue for any business. A high rate of employee turnover can
result in a loss of knowledge and skills, as well as have a direct impact on a companys bottom line. The
cost of losing an employee includes not only lost productivity, but also the expense of recruiting,
selecting and training a new employee. Consider the ideas presented below to help reduce turnover and
increase satisfaction among your company's valued employees.

Why Employees Stay

Some of the factors affecting retention include:

Compensation
Good leadership
Challenging and fulfilling job
Relationships with immediate supervisors and staff
Recognition
Ways to Increase Retention

The following are a number of ways to help increase retention:

Acknowledge and reward your employees contributions and provide regular, constructive
feedback
Make sure your compensation package is fair and competitive
Provide a forum to encourage new ideas and open communication
Provide training programs and mentoring to enhance skills development, learning and career
growth
Provide employee assistance, wellness and health programs
Support work-life balance
Offer flexible work arrangements, such as varied hours and the possibility of telecommuting
Provide leadership opportunities

Employee Attitude Surveys

Employee attitude surveys allow your staffers to give confidential feedback on their opinions of your
company in terms of satisfaction with the job and how their jobs and work environment might be
improved. To help build a relationship of integrity and trust among company employees, the results of
your survey should be communicated effectively and acted upon by your company.

There are a number of different ways to conduct an employee attitude or satisfaction survey-- from
simply filling out a paper survey to taking an online survey or hiring a consulting firm to do all the
surveying and analysis work for you. If you work with a consultant to administer an employee
satisfaction survey, make sure you have access to the data. By personally reviewing the data and
analysis, youll be able to make a better assessment of employee satisfaction. The survey results can
provide you with key information on how to improve workplace processes, policies and morale to retain
existing staff and attract new employees.

Some of the topics that can be covered in a survey include:

Satisfaction
Senior Management
Functional Expertise
Compensation
Customer Service
Communication
Mentoring
Leadership
Teamwork
Staff Development

Benefits of Employee Attitude Surveys

Facilitate companys development and change.

 Focus the company on specific needs or gaps in service or training.
Provide management with employee feedback on company morale.
Provide feedback on the impact of company policies and procedures.
Results can be used to motivate employees and improve job satisfaction.

Caslet 2:

1. Discuss that technological breakthrough has brought radical changes in HRM.

One technological breakthrough, the use of online social networking as part of an employee
profile and review process of a potential applicant for a position, has transformed how employer
perception has evolved. Since items that are posted on the web are issues of what amounts to be public
record, it is something that has altered how potential applicants for positions are viewed. For example,
provocative pictures, images of questionable judgment, as well as the images that individuals choose to
project are ones that can alter how prospective employees are seen. I think that this has transformed
both the applicant process and how individuals are seen. This is an element of technology that has
fostered both more vigilance in individual behavior as well as their perception on the part of employers.
In this forum, technology has greatly changed individual perception and the reality that accompanies it.

The economic landscape underwent radical changes throughout the 1990s with increasing
globalization, technological information systems (MIS) can further help decision makers to make and
implement strategic decisions. However, and can only complement, not substitute, the people who
drive it. Often, organizations mistake IT as a message and not the messenger and divert time, effort, and
money away from long-term investment in people to developing and deploying information
technologies. In fact, the critical success factors in information systems project implementation are
nontechnical and are due more too social and managerial issues.

In traditional organizations with silo mentalities, turf wars between departments and functions
acting as independent entities are common. Therefore, top management needs to be mindful of
organizational politics in managing change. Through most of its evolution, HRM has had an
administrative and caretaker focus in its delivery. With technology significantly decreasing the time
required for administrative tasks, many HR professionals may find it difficult to redefine their jobs and
may thus resist the change to an HRIS. This calls for redefining and transforming the role of HRM
through value-added strategic initiatives and interventions. This also involves learning new skills for HR
professionals and rethinking the way the HR department is organized and delivers its services.

With the improved job skills of HR professionals, technology will be seen as HRs partner in
progress. While having an advanced, full-fledged system will not automatically make HR a strategic
business partner, it acts as a building block and an effective aid in the process. Todays competitive
environment requires organizations to integrate the activities of each functional department while
keeping the customer in mind.
An effective HRIS helps by providing the technology to generate accurate and timely employee
information to fulfil this objective. There are several advantages to firms in using HRIS.

They include the following:

 o Providing a comprehensive information picture as a single, comprehensive database;
this enables organizations to provide structural connectivity across units and activities
and increase the speed of information transactions.
o Increasing competitiveness by improving HR operations and improving management
processes. Collecting appropriate data and converting them to information and
knowledge for improved timeliness and quality of decision making.
o Producing a greater number and variety of accurate and real-time HR-related reports.
o Streamlining and enhancing the efficiency and effectiveness of HR administrative
functions.
o Shifting the focus of HR from the processing of transactions to strategic HRM.
o Reengineering HR processes and functions.
o Improving employee satisfaction by delivering HR services more quickly and accurately
to them

SECTION C

1. TYPES OF INTERVIEWS

There are several different types of interviews, but they all serve the same purpose of letting
interviewers evaluate your skills, knowledge, experience, education and personality to determine if
youre right for the position. Depending on the type of position youre applying for, you will most likely
go through several types of interviews. Please read all pages in this section to become well informed so
you can make your interview process a winning one.

Some companies will have you complete a test as part of the interview process, so be prepared. These
tests normally evaluate how you handle certain situations, your level of skills in leadership, customer
service and problem solving. They can also test how honest you are with your answers; at times they ask
you the same question in several different formats and compare the answers for consistency. Normally
these tests are multiple choice questions.

Below is an explanation of some of the different types of interviews that you may face. When you are
speaking with the person setting up your interview, it is appropriate to ask whom you will be
interviewing with and what their position is. Asking this will give you some insight into the type of
interviewer you are up against for your interview.

Screening and Phone Interviews

These are usually the first steps in the interview process and are normally quick and take place over the
phone. This first interview is extremely important as it will decide if you go on to further interviews.
Normally performed by a member of the human resources department, these interviews use direct
questions to find out if you would fit the companys culture and have the knowledge, experience and
qualifications for the position. Providing facts about your skills and experience is more important than
establishing rapport.

When searching for a job you need to start answering your phone with high energy and in a professional
manner in case you get one of these calls. It is not recommended to take a phone interview on the fly if
youre not prepared, you can communicate to the interviewer that you are currently not in a private
location to perform a phone interview and arrange for a set time: it can even be later that same day.
You need to choose a place that is quiet from any background noise, well lit and at a comfortable
temperature. Be prepared with your resume in-front of you, a pad and pen to take notes. Prior to the
interview research, the company and the actual job requirements and make a list of how you can bring
value to their organization. Highlight areas of your resume that you feel are relevant to this position and
company. Make sure you are free from all distractions, dont multitask and pay attention to the
questions during the interview. The interviewer might ask about your salary requirements and salary
history, share accurate information to avoid wasting anyones time, but dont lock yourself into a figure,
give a range or explain you need to learn more about the position and total compensation before
providing a salary requirement. If they dont ask about salary its recommended not to bring it up at this
part in the interview process.

One-On-One Interviews / Face-To-Face Interviews

This is the interview that most are familiar with and normally takes place after a phone screening
interview. It is normally established that you have the requirements for the position from your resume
and screening interview. The interviewer wants to see how you will fit into the company and will ask
questions to test your listed skills and experience. Please make sure that you focus on the questions,
dont go off on a rant and keep your answers short and to the point. Your goal is to build a rapport with
the interviewer and market you to them and how you can contribute to their organization.

Multiple Interviews
It is very common that you will go through several levels of interviews, on average most candidates are
interviewed by 3 different individuals and it is not unusual to be interviewed up to 5 times; these can
take place on the same day or over several weeks. The larger the company the more interviews you can
expect and it can be a combination of one-on-one, group and panel interviews. Small and private
companies might only take as little as one interview.

Candidate Group Interviews

These interviews set two or more applicants against each other as you all will be interviewed at the
same time and most likely there are two or more interviewers. All applicants will be applying for the
same position. These interviews test your style, professionalism, leadership skills and the ability to
function in a group under pressure. You will be judged on your answers, and how you interact and
handle yourself in a group of peers and in stressful situations. Dont get stressed out during this
interview, you are among the cream of the crop, now you just need to shine above the other candidates.

Panel or Committee Interviews

This is when several members of the company who have a say whether you will be hired interview you
at that same time. Sometimes this is performed as a time saver method or as a way to see how you deal
under more pressures than a traditional interview. You need to make sure that you address each
interviewer so that you can connect with them as individuals. Shake hands with each person and repeat
their names during the introduction; maintain eye contact with the panel member who is asking the
current question but as you give your answers seek eye contact with all the members. When you are
asking questions, ensure you engage with all members of the panel and not just one individual, even
when addressing only one the interviewers. This type of interview can put more pressure on you, and
you need to stay calm and collected.

Breakfast or Lunch Interviews

Some managers like to interview outside the office setting and get an insight on how you behave in
more relax surroundings. You need to maintain the same standards during these types of interviews as
you would interview in an office setting. The environment might be more casual, but youre still being
closely monitored. Use this type of interview to build common ground with the interviewer and follow
their lead with menu choices and etiquette, but dont order selections you wont eat or drink. Do not
order the most expensive items and never consume alcohol beverages during these interviews. Be
aware of your table manners and never speak with your mouth full. This sounds like common sense tips,
but many dont follow them.

Teleconferencing / Web Conferencing Interviews

Many times you are interviewing for a company where their corporate office is a distance away, as a
way to save on travel expenses many companies are utilizing the newest process of interviewing using a
webcam online format. Technology has made this a very viable method; you may be doing this interview
from your home or at one of the companys remote locations. It cant be emphasize enough that you
treat this interview in the same exact manner as a face-to-face interview, from your attire to your
professionalism; remember they can still see you and read your expressions. If you are taking this
interview in your home ensure your cam viewed environment is organized and neat, and there are no
background noises to distract you. Turn off your house and cell phones and close your windows so
outside noise is kept out. If other family members are around the home, ask them to step outside if
possible and have them take the family dog with them, a barking dog can distract the interview.

Stress Interview
This style is used primarily by interviewers who are hiring for positions where there is a high level of
daily stress in the work environment (i.e., sales, stockbroker, etc.).

The same questions that are asked during a structured or unstructured interview may be asked for a
stress interview. However, there may be a difference in the behavior or demeanor of the interviewer.
The interviewer during a stress interview may appear distracted, contrary, or indifferent to you. The
idea behind this type of interview is to assess your reaction to the pressure of indifference, rejection,
and overall stress. To be successful in the stress interview, it is recommended that you focus on the
question that is asked and not the manner in which it is asked.

Another hallmark of a stress interview is the strange question. For instance, some interviewers like to
ask questions such as, How many ping pong balls can fit in a 757 jet? To answer a question like this,
break it down into smaller, more manageable components. Verbally convey your decision making
process. The interviewer will be less focused on whether or not you came to the right answer and
more focused on your ability to problem-solve and think logically.

Sometimes in a stress interview, the interviewer will put candidates in an uncomfortable situation. For
instance, candidates may be given a test that takes two hours to complete, and are told to complete it in
thirty minutes. Remember to stay calm throughout a stress interview, because that is what the
employer is looking for a candidate who has the ability to remain cool, calm and collected.

Behavioral Interview
Behavioral interviewing is a widely used method of job interviewing. This approach is based on the
belief that past performance is the best predictor of future behavior. Therefore, behavioral interview
questions are designed to probe your previous experiences in order to determine how you might
behave in similar situations in the future. In this type of interview, you will not be asked hypothetical
questions about how you would handle a situation if confronted with it in the future. Instead you will
be asked how you did handle a specific situation when you encountered it in the past. Keep in mind that
employers are not interested in what you should have done, or what you will do next time...they want
to know what you actually did. Behavioral interview questions generally start with any one of the
following phrases:

o Tell me about a time when you...

o Describe a circumstance when you were faced with a problem related to...
o Tell me how you approached a situation where...
o Share with me an instance in which you demonstrated...

These types of questions require you to tell stories from your past. These stories will be evaluated for
evidence of your intellectual competence, leadership, teamwork, personal skills, adjustment and
flexibility, motivation, communication skills, administrative skills, and technical abilities.

To prepare for a behavioral interview, you must first identify the skills and strengths that the employer is
seeking. Next, reflect on your past experiences (educational, employment, extra-curricular, personal) in
order to identify situations in which you clearly demonstrated the identified skills. During the interview,
you must be able to recount these circumstances articulately and in a manner which showcases your
strengths. A thorough answer should describe the Situation, the Tasks with which you were charged,
the Action you took, and the Result of your action. We refer to this as the STAR Method of responding
to behavioral interview questions.

Problem Solving or Case Interview

Employers utilize this style of questioning to test a candidate's analytical ability and communication
skills. In a problem solving or case interview, you will be presented with a real or simulated problem to
consider and solve. You are not necessarily expected to arrive at the "correct answer." What the
interviewer is most concerned with is your thought process, so be sure to "think out loud" when
responding to this type of question. An effective answer is one which demonstrates your ability to
break a problem down into manageable pieces and to think clearly under pressure.

Panel Interview
Employers often like to gather the opinions of several members of their staff prior to deciding which
candidate to hire. To accomplish this, panel interviews are often used where one candidate may be
interviewed by a few people at once. In a panel interview, take note of each interviewers name, and
refer to them by their names. When giving your answers, focus on the person who asked you the
question, but make eye contact with the other members in the group from time to time. Panel
interviews can vary in style and tone, but generally they will be more formal and include behavioral
based questions.

LEGAL VS. ILLEGAL AREAS OF INQUIRY

While some information can be elicited once you have been hired, government legislation exists which
discourages employers from asking certain questions during the interview process. Technically,
employers can ask any questions they want to, they just cannot use certain information in making hiring
decisions. In order to avoid potential problems, employers typically avoid certain topics.

Some of these discouraged areas of inquiry include:

o Age
o Race
o Religion
o National origin (an employer can, however, ask if you are legally able to work in the U.S.)
 o Sex and/or sexual orientation
o Marital status
If you are asked one of these questions during an interview, very tactfully and professionally say that
you are confident that the area in question (e.g. sex, sexual orientation, age, marital status, etc.) will
not adversely affect my ability to do my job and fulfill my responsibilities.
You may also choose to ask the interviewer to explain how the question pertains to the job and your
ability to fulfill the responsibilities.

2. Managing Organizational Change and Development

The ultimate goal of organizational change and development is to provide a consistent method to follow
when change that have significant impact in the business are required to maintain and improve the
production environment on a daily basis. The approach helps to identify groups and personnel that must
be involved in the change process as well as their responsibilities. Effective management helps to define
the artifacts to be used and establishes policies on how change in question is to be implemented. The
management also takes into account, the consideration and essence of effective communication of the
change to the targeted employee working within the company.

Change happens when an organization changes its overall strategy with hope that the new approach will
help steer the organization up the ladder of success. Change can also occur when an organization
decides to remove a major section or practice of its business culture or completely change the nature of
its operation. CEOs, Managers and top leaders in the organization are always at the forefront to make
the necessary efforts to implement successful and significant changes. Some of these top-level leaders
are good at identifying and implementing changes, while others always try, struggle, face employee
resistance to change and new developments and fail eventually.

Resistance to change is the only terrible setback why change can never happen. More often than not,
top-level leaders do not make employees understand the need for change hence the high level of
resistance. Resistance to change can come from almost every employee, including the most loyal ones in
your organization. If they are not comfortable with the proposed developments and change, they will
definitely resists and there are good reasons why. Most leaders fail to bring out the essence of change,
its importance and its effect to the general lifeblood of the business hence the resistance from even the
most loyal employee the business may have had for years.

Change and development should be undertaken with the purpose of improving the whole or part of the
organization, not to instill job insecurities and uncertainties among employees. The main goal should be
to improve the work environment, train employees to adapt to the new work environment and focus on
training them effectively so that they remain productive in the organization and make the business a
success not only within its surrounding but also around and beyond its settings. The change and
development must be communicated beforehand so that employees are aware of the developments
that are schedule to take place, making them ready to prepare for the transition.

CEOs and to- level management should understand that change and development is about the entire
organization and that includes every person related to the organization. For instance, if employees are
left out in the decision making process regarding the change and the new development that is to
happen soon, it is highly likely that the majority will pose resistance because they are uncertain of the
unknown. Understanding that employees are part of the change is the first step to managing
disappointments, failure and resistance to the change. When employees take part in the change and
development process, they become aware of the situation and will be willing to offer their support if the
new development is for the good of the organization.

There are five different approached for Managing Organizational Change and Development. These
elements include motivating change, creating vision, developing political support, managing the
transition and sustaining the momentum. The five elements play the major role in change and
development management within an organization. They should therefore be observed for successful
implementation of change and new developments.

Managing Organizational Change and Development

i. Motivating change
This can be considered the topmost process in the entire lifecycle of change and development. This
element considers two processes and they include creating readiness for change and development and
overcoming employee resistance to the same. Creating readiness for change involves sensitizing the
organization to pressure for change for the good reason of improving the productivity of the
organization and making it a better workplace for the employees. Creating a readiness for change helps
to identify the gaps between desires and actual state. It should therefore convey positive expectation of
the change.
ii. Creating a vision
The best way to start creating a vision is to discover and describe the core ideologies of the organization.
The values should provide information to members on what is important in the organization and the
reason for the existence of the organization. The next step is to construct the envisioned future; the
bold and value outcomes and the desired future state.
iii. Developing political support
You have to assess the power of the change when it comes to developing political support. Proceed to
identifying the key stakeholders and then understand how you are going to influence the event of
change.
iv. Managing the transition
Change and development Management must include a section that will help in managing the transition.
There must be a structure that outlines activity planning, commitment planning and general
management to the transition. It must be a slow process because change and development can never be
implemented overnight. Therefore, identify the roadmaps for change and state the reason why prefer
following that path.
v. Sustaining the momentum
Provide resources for change build a suitable support system for change agents. Develop new
competencies and skills that can help to reinforce new behavior in the organization. Sustaining the
momentum is the last thing you need to consider when it comes to Managing Organizational Change
and Development.

Five Key Benefits of Organizational Development

Organizational Development is the practice of planned, systemic change in the beliefs, attitudes and
values of employees for individual and company growth. The purpose of OD is to enable an organization
to better respond and adapt to industry/market changes and technological advances. So these five
benefits list of a company experiencing organizational development is:
1) Continuous Improvement - The first we are going to discuss is continuous improvement and in this it
creates a continuous cycle of
improvement whereby strategies are planned, implemented, evaluated,improved and monitored.
Organizational development is a proactive approach that embraces change (internal and external) and
leverages it for renewal.
2) Increased Communication - Next is increased communication and it is a goal of improving
communication to align all employees with shared company goals andvalues. Candid communication
also leads to increased understanding of the need for change within the organization. Communication is
open across all levels of the organization and relevant feedback is recurrently shared for improvement
(Hadi, 2014).
3) Employee Development - Following that is employee development. The need for employee
development stems from constant industry and market changes. This causes an organization to regularly
enhance employee skills to meet evolving market requirements. This is achieved through a program of
learning, training, skills/competency enhancement and work process improvements
4) Product & Service Enhancement - A major benefit of OD is innovation, which leads to product and
service enhancement. Innovation is achieved through employee development, which focuses on
rewarding successes and boosting motivationand morale. In this scenario, employee engagement is high
leading to increased creativity and innovation. Organizational development also increases product
innovation by using competitive analysis, market research and consumer expectations and preferences.
5) Increased Profit- Finally, through raised innovation and productivity, efficiency and profits are
increased. Costs are also reduced by minimizing employee turnover and absenteeism.

Employees Reactions to Organizational Change:

Organizational change and development affects all aspects of a company and employees are a major
aspect. They impact the company as much as the company impacts the employees. So, if the company
must go through a change to improve then the employees will experience a change as well. Whether
this process of change is done correctly or not, the impact organizational change and development has
on employees has a great significance.

One of the most key things one must prepare for are the employees emotions, but first the leader or
leaders must deal the employees reactions. Employees reactions to change are influenced by a number
of factors. It is reasonable to expect employees to react since the process of change involves going from
the known to the unknown, and when employees react, it is important to distinguish between the
symptoms of their reactions and the causes behind them.

Emotional intelligence (EI) is the capacity for recognizing our own feelings and those of others, for
motivating ourselves, and for managing emotions well in ourselves and in our relationships.
The role of EI in employees reactions to change is important because individuals with high levels of EI
experience more career success, feel less job insecurity, are more effective in team leadership and
performance, are more adaptable to stressful events, and exhibit better coping strategies than those
with low EI levels. Irrational ideas are significantly and positively correlated with employees resistance
to change. Individuals tend to have automatic thoughts that incorporate what has been described as
faulty, irrational or crooked thinking.

During change, employees create their own interpretations of what is going to happen, how others
perceive them, and what others are thinking or intending. So they establish a defense mechanism.
Defense mechanisms arise involuntarily in response to perceptions of danger and are adopted to
alleviate anxiety. Employees who are unconsciously inclined to use maladaptive defenses are more likely
to resist change. Employees with a tendency to unconsciously adopt adaptive defenses are less likely to
resist change.

Employees positive attitudes toward change were vital in achieving successful organizational change
initiatives. Several factors impact employees attitudes toward change, specifically gender, tenure,
educational attainment, and social systems identified that a relationship exists between employees
cynical attitudes and resistance to enable change agents to identify employees acceptance and
resistance, it is important to operationalize definitions of reactions to change.

Resistance is a multidimensional attitude toward change, comprising affective (feelings toward the
change), cognitive (evaluations of worth and benefit of the change), and behavioral (intention to act
against the change) components.

Importance of Change in an Organization

Change is important for any organization because, without change, businesses would likely lose their
competitive edge and fail to meet the needs of what most hope to be a growing base of loyal customers.
Technology, customer needs, the economy, growth opportunities and Challenging the status quo are
five factors as to why and how change can affect an organization; but I will concentrate on the economy,
growth opportunities, growth opportunities and challenging the status quo.

The economy can impact organizations in both positive and negative ways and both can be stressful. A
strong economy and increasing demand for products and services will mean that companies must
consider expansion that might involve the addition of staff and new facilities. These changes offer
opportunities for staff, but also represent new challenges. A weak economy can create even more
problems as companies find themselves needing to make difficult decisions that can impact employees
salaries and benefits and even threaten their jobs. The ability to manage both ends of the spectrum is
critical for organizations that want to maintain a strong brand and strong relationships with customers
as well as employees.

Change is important in organizations to allow employees to learn new skills, explore new opportunities
and exercise their creativity in ways that ultimately benefit the organization through new ideas and
increased commitment. Preparing employees to deal with these changes involves an analysis of the
tools and training required to help them learn new skills.

Training can be provided through traditional classroom settings or, increasingly, through online learning
opportunities. Importantly, organizations need to do a good job of evaluating employees' capabilities
and then taking steps to fill the gaps between current skills and the skills required to respond to growth.
Asking the question "Why?" can lead to new ideas and new innovations that can directly impact the
bottom line. Organizations benefit from change that results in new ways of looking at customer needs,
new ways of delivering customer service, new ways of strengthening customer interactions and new
products that might attract new markets.