PLANNED CHANGE AND CORPORATE RESILIENCE (A SURVEY OF SELECTED MANUFACTURING FIRMS IN PORT HARCOURT).

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Abstract

This study examined the relationship between planned change and corporate resilience. The main objective of the study is to examine the relationship between unfreezing and corporate resilience, to determine the relationship between movement and corporate resilience and to determine the relationship between refreezing and corporate resilience and to examine the influence of culture on the relationship between planned change and corporate resilience. The population of the study was made up of 108. The sample size of 85 respondents was drawn using the Taro Yemen formula. The simple percentage was used to analyse the research question while chi-square was used to analyes the hypotheses. Finding of the study examined the relationship between planned change and corporate resilience, it is recommended that the need for effective measures to improve ethical standards of the workplace should be practiced by managers of selected manufacturing companies so to enhance profitability, manufacturing Companies (sector) should periodically evaluate the behaviors of their employees in order to maintain standard integrity and effectiveness of the organization and that organizational citizenship behaviors should be improved to boost the effectiveness of the organization as well. etc.

Table of Contents

Title Page    i

Declaration iii

Certification         iv

Dedication  v

Acknowledgement         vi

Abstract      vii

Table of Contents viii

List of Tables       x

List of Figures      xi

CHAPTER ONE  1

INTRODUCTION         1

1.1   Background of the Study 1

1.2   Statement of the Problem          4

1.3 Objectives of the Study     5

1.4 Research   Questions         5

1.5 Research hypotheses         6

1.6   Significance of the Study 6

1.7 Scope/Limitation of the Study    7

1.8   Definition of Terms         8

CHAPTER 2        9

LITERATURE REVIEW        9

2.1     Conceptual Framework 9

2.1.1  Concept of Planned Change    9

2.1.2  An Overview of corporate Resilience         21

2.1.3  Learning from Experiences     24

2.1.4  Relationship between Change Management and Corporate Resilience      25

2.2     Theoretical Framework 27

2.2.1  Action Research Model 27

2.2.2  Kotter’s Model    28

2.3     Empirical Review 29

CHAPTER 3        32

RESEARCH METHODOLOGY      32

3.1 Research Design      32

3.2 Population of the Study    32

3.3 Sample Size Determination         33

3.4 Sampling Techniques        34

3.5 Source and Method of Data Collection 34

3.6 Methods of Data Collection        35

3.7 Questionnaire Design        36

3.8 Data Analytical Techniques        36

3.9 Reliability and Validity     37

CHAPTER 4        39

DATA PRESENTATION AND ANALYSIS       39

4.1 Data Collection and Presentation         39

4.2 Data Analysis 40

4.3 Hypotheses Testing 44

4.3 Discussion of Findings      48

CHAPTER 5        51

SUMMARY OF FINDINGS, CONCLUSIONS AND   51

5.1   SUMMARYS        51

5.2  CONCLUSIONS.   51

5.3   RECOMMENDATIONS.         52

References  54

Appendix I 58

Appendix II          59

List of Tables

Table 4.1: Questionnaire Administration and Retrieval 39

4.2 Data Analysis 40

Table 4.2: showing the age of respondents 40

Table 4.3: Showing the Sex of Respondents        40

Table 4.5: Showing the Marital Status of Respondents 41

Table 4.6: Unfreezing influence corporate resilience in Koko & Co and Monsi   42

Table 4.7: movement influence corporate resilience in Koko & Co and Monsi    43

Table 4.8: Refreezing influence corporate resilience in Koko & Co and Monsi    44

List of Figures

Fig. 2.1: A Conceptual Framework Showing the Relationship between Planned Change and Corporate Resilience.     9

CHAPTER ONE

INTRODUCTION

1.1   Background of the Study

The diverse workforce environment and use of information technology have   made organizations pursue learning at multiple levels within organizations as a competitive advantage. The  importance  of  learning,  innovation,  developing a competitive  workforce,  and  structures  that can adapt  to changing landscape  of the  business environment have been acknowledged in the management, human resource, organization development (OD) fields (Kontoghiorghes, Awbrey & Feurig, 2005; Worley & Feyerherm, 2003). In particular, within  the  human  resource  and  organization development  literature,  the  concept  of  planned change  has  been promoted as a strategic approach for transforming organizations to increase competitiveness through generative learning. This concept has been considered an important strategic intervention but one that is still in a formative stage of development (Cummings & Worley, 2005) Therefore, the ability to successfully  manage  processes  associated  with  the strategic  transformation of  organizations  into learning organizations has become an important issue in the human resource and organization development fields.

Becoming a learning organization is a large-scale organization development and transformation endeavor that fundamentally requires new structures, systems, and new ways of behaving and thinking (Watkins & Golembiewski, 1995). Saru (2005) has pointed out that such organizational-level change and transformation of learning initiatives may be facilitated under a clear linkage between organization development strategy and strategic human resource practices. However, limited research has been given to exploring how organizations can improve and adapt to such planned change. Further little research has examined the relationship between OD interventions and the learning organization concept (Moilanen, 2001).

During the organizational planned change process,  organizations  may  face  different  problems  and barriers in different stages. Beer and Nohria (2000) have pointed out that approximately two-thirds of transformational change projects fail because of ineffective direction in the change processes. Therefore, organizational leaders need to understand what stage they are in now, and how change or transformation can be implemented effectively in the current stage. During the 1950s to 1970s, Kurt Lewin’s planned change approach attracted scholars’ attention and has been widely recognized an approach to plan and manage change (Burnes, 2004; Cummings & Worely, 2001). A planned change model often serves as a change process roadmap that provides leaders and organization development practitioners with a guideline to diagnose an organization’s current status and propose solutions and interventions. Burnes (2004) has indicated that Lewin’s planned change model includes four elements: field theory, group dynamics, action research, and the 3-step model of change. Lewin’s 3-steps model has long been viewed as a seminal contribution to the organization development field (Burnes, 2004a) and most change models and approaches are similar to Lewin’s 3-step model (Elrod & Tippett, 2002).

However, since the 1980s, Lewin’s 3-step model has been criticized and challenged as being too simplistic, mechanistic, and reflective of a static change process as well as overly focused on a top-down change approach (Burnes, 2004). These criticisms appear to be attributed to misreading and misinterpretation of Lewin’s work. Instead of viewing change as a predictable process, Lewin has recognized the unpredictable and non-linear are the nature of change (Burnes, 2004a). In addition, Burnes (2004) has argued that it would be more accurate to say that Lewin’s model can be initiated from the top, the bottom, or the middle level; above all, it needs every member in the organization to participate in the process to achieve successful change. Similarly, Yeo (2005) has argued that a learning organization can be effectively formed when the change activities and transformation process are viewed as a collective work. Since the main purpose of a planned change process is to increase an organization’s capability to change itself, Lewin’s change model offers considerable insight and utility in as applied to the development of a learning organization.

Therefore, the purpose of this paper is to adopt Lewin’s change model as a tool to investigate the interventions and practices that an organization may consider when implementing the learning organization concept. The researchers integrate and synthesize existing literature to propose propositions about how organization development practices and interventions may be developed under each of the Lewin’s 3-step model to facilitate the transformation of an organization into a learning organization.

Resilience is conceptualized as a response in circumstances where an individual: 1) has been exposed to subjectively significant threat, risk or harm; 2) adapts positively; and 3) does not lose normal functioning (Bonanno 2004). According to Youssef and Luthans (2007), resilient individuals react to adverse circumstances by recognizing and acknowledging the impact, and investing the time, energy and resources needed to ‘bounce back’ to equilibrium. Further, resilience allows the individual to use setbacks as ‘springboards’ (Youssef and Luthans 2007, 780), or opportunities to grow.  Relatedly, Luthans et al. (2008) suggest that resilience plays a significant role in managing ‘positive stress’ and that resilience might be characterized as a coping response to both adverse and positive events, such as a promotion or new work responsibilities. The notion of psychological capital implies a sequencing of efforts to promote resilience and the results of those efforts: the initial efforts can be viewed as investments, with returns accruing in the future, akin to investments in and returns to human capital. Luthans et al. (2006) label relevant resilience practices as ‘proactive’ such that, for example, organizations investing in human resource management (HRM)  like training, staffing, recruitment etc practices to enhance psychological capital (and particularly resilience) prior to the GFC should have reaped the rewards of those investments during the GFC. Luthans et al. (2006) also identify ‘reactive’ practices that promote resilience. An example of a reactive resilience-enhancing HRM practice might involve employee voice programs and grief counseling for the loss of a loved one, which is of no obvious value if provided years in advance of the relevant event.

1.2 Statement of the Problem

The immense contributions of planned change in corporate firms has significantly been a great concern to management of most firms over the years. As researchers continue to view and study the various factors that can foster planned change and corporate resilience in organization particularly. This concept so far, cannot be over emphasized as it borders on employing vital strategies which could enhance active performance of the organization in terms of unfreezing, movement (changing) and refreezing etc. Empirical studies have shown that there has been identify if there has been positive relationship existing between employee unfreezing, movement (changing) and refreezing to organizational resilience which help to know whether employee participation in decision making influences corporate resilience.

Subsequently, in spite of this plethora of study results, most contemporary organizations have not seen to abreast themselves to the contents of these findings as to be able to work themselves out of the challenges of organizational resilience. It is against these backgrounds that this study is designed to evaluate the impact of planned change and corporate resilience. 

1.3 Objectives of the Study

The main objective of this study is to examine the relationship between planned change and corporate resilience. The specific objectives of the study includes;

1.       To determine the relationship between unfreezing and corporate resilience

2.       To determine the relationship between movement and corporate resilience

3.       To determine the relationship between refreezing and corporate resilience.

4.       To examine the influence of culture on the relationship between planned change and corporate resilience.

1.4 Research   Questions        

In other to achieve the objectives of this study, the following research questions are employed to guide the researcher.

1.       To what extent does unfreezing influence organizational resilience?

2.       To what extent does movement influence organizational resilience?

3.       To what extent does refreezing influence organizational resilience?

4.       To what extent does organizational culture influence the relationship between planned change and corporate resilience?

1.5 Research hypotheses

H01: There is no significant relationship between the unfreezing influence organizational resilience.

H02: There is no significant relationship between movement influence organizational resilience.

H03: There is no significant relationship between refreezing influence organizational resilience.

1.6   Significance of the Study

The research study is designed to benefit the society and the respective corporate organizations. Through active practices of resilience as well as other organizations will see the research study more useful in controlling the productiveness and adaptative behavior of the organizations.

An added benefit of employee resilience concerns the positive spillover effects – resilient employees will also be better equipped to handle challenges outside or work, and by facilitating employee resilience, organisations can support community resilience. We integrate employee-level information with specific organisational initiatives to create a deeper understanding of whether the processes currently in place effectively support resilience among employees. In addition, we identify areas of intervention to address and facilitate employee resilience. The goal of our research and collaboration with practitioner is to contribute to resilient employees, who are healthy and

active contributors in their organisation, as well as in their community. Resilience in organizations and among employees is relevant in any context which introduces challenges and change, and transcends a post-disaster context. We therefore couple rigorous scientific methodologies with practitioner expertise to encourage organizations to capitalize on employee resilience, and guide the process of increasing organizational resilience and performance through staff capabilities.

The primary benefit of this study was to provide employees, with the research findings, in order to objectively unravel the complexity that change and change management presents. Often the managerial jargon associated with change and the implementations of change blur the underlying intentions of those involved, thereby creating uncertainty, fear and complacency among employees. Thus, it was envisioned that the findings of this study would provide an evidence-based framework of employees’ views on change and change management that might be beneficial to the employees. The study will add to knowledge by improving literature on the subject matter and reference point for future researchers.

1.7 Scope/Limitation of the Study

The study is delimited under the following heading: content scope, geographical scope and unit of analysis.

Content Scope: The content scope of this study involves an investigation to ascertain the relationship between planned change and organizational Reliance. The dependent variable is corporate resilience. While independent variable is planned change measure by unfreezing, movement and refreezing.

Geographical Scope: This study is delimited in Port Harcourt Metropolis with special reference to some selected firms which include koko & Co and Monsi Associate in Port Harcourt.

In course of carrying out this research, the researcher met with a lot of constraints. Among these constraints is: Time since the researchers was combining lecture and the researcher work at the same time.

Secondly, the cost in carrying out this research work acted as a barrier as we were not financially buoyant to carry out all investigations.

Finally, assembling the relevant materials needed for this work was a problem. It is difficult due to the fact that some of the respondents were not willing to give us the required corporation.

1.8   Definition of Terms

Change: Is the crystallisation of new possibilities (new policies, new behaviours, new patterns, new methodologies, new products or new market ideas) based on  the  reconceptualised  patterns  in  the  institution.

Organizational Adaptability: Organizational adaptability refers to modifications and alterations in the organization or its components in order to adjust to changes in the external environment. Its purpose is to restore equilibrium to an imbalanced condition.

Organizational Culture: This is the general social characteristics and business activities that are developed or practiced in corporate organizations to realize basic organizational objectives.

Resilience: The Employee Resilience Research group defines employee resilience as an ability to thrive in a changing environment.

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