organizational change for increased competitiveness

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ORGANIZATIONAL CHANGE FOR INCREASED COMPETITIVENESS The new scenario that organizations are subject, are hasty changes that demand high flexibility and adaptability to the demands of their environment. In this sense, the changes must be seen continuing challenges, which can ensure the success or failure of an organization. Consequently, it is very important for companies to know the degree of maturity and willingness to be taken in time to face the changes. A positive experience is given when the acceptance by employees of new policies, positive attitude towards innovation and success is reflected in previous processes. A key to the acceptance of cultural change element is communication. The transmission of values, beliefs through effective communication processes. Clarity of expectations is related to communication openness in relation to the subject, at all levels of the organization, and relevant and timely information on the process of change to be implemented. For many organizations an organizational change management also means moving from a traditional culture in which prevailing bureaucratic styles, motivational and values for power and affiliation, and a climate of conformity; to a performance culture, where you can bring new ideas; people can take calculated risks and is encouraged to set challenging goals through the recognition of merit and excellent results. If the human side of the change process is checked to adapt to a more competitive environment, you may think that the organizational structure, the team and the process of change implementation, require personal characteristics mainly aimed at making an increasingly better job, standards of excellence, which increase productivity and organizational effectiveness. In other words, it is essential that people possess a set of skills directly related to excellence in their respective areas of responsibility, in order to ensure greater competitiveness.

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Page 1: Organizational Change for Increased Competitiveness

ORGANIZATIONAL CHANGE FOR INCREASED COMPETITIVENESSThe new scenario that organizations are subject, are hasty changes that demand high flexibility and adaptability to the demands of their environment. In this sense, the changes must be seen continuing challenges, which can ensure the success or failure of an organization. Consequently, it is very important for companies to know the degree of maturity and willingness to be taken in time to face the changes. A positive experience is given when the acceptance by employees of new policies, positive attitude towards innovation and success is reflected in previous processes. A key to the acceptance of cultural change element is communication. The transmission of values, beliefs through effective communication processes. Clarity of expectations is related to communication openness in relation to the subject, at all levels of the organization, and relevant and timely information on the process of change to be implemented. For many organizations an organizational change management also means moving from a traditional culture in which prevailing bureaucratic styles, motivational and values for power and affiliation, and a climate of conformity; to a performance culture, where you can bring new ideas; people can take calculated risks and is encouraged to set challenging goals through the recognition of merit and excellent results.If the human side of the change process is checked to adapt to a more competitive environment, you may think that the organizational structure, the team and the process of change implementation, require personal characteristics mainly aimed at making an increasingly better job, standards of excellence, which increase productivity and organizational effectiveness.In other words, it is essential that people possess a set of skills directly related to excellence in their respective areas of responsibility, in order to ensure greater competitiveness.

GLOBALIZATION IN THE PROCESSES OF CHANGEGlobalization is seen as a process of change to reduce costs and develop products, generating more competitive in foreign and domestic markets. Globalization requires a dramatic change in the

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national focus for employment, development and management principle.Globalization is characterized by strategic linkages between industrial conglomerates, is that managers are alert when recruiting, selecting educated people, which comes to be, the driving force behind the organization to achieve the objectives also provided by the initiative, determination and commitment to producing the organization's success.Today more than ever, organizations must be learning generators in order to train and develop capabilities to capitalize knowledge. This premise has recently become competitive advantage coupled with the survival of the organization in a rapidly changing environment.The globalization of markets, increased competition, rapid technological development and growing, and demographic trends and demands of the labor force, force organizations to rethink and reconsider under new perspectives on human development.To be the change processes in humans from individual levels to the institutional leadership that takes into account the cognitive, emotional and behavioral issues that may require the organization to a true transformation is necessary.Finally, the image and the thought of the leader are essential to give direction to the change process to achieve coherence and consistency in the human team in decisions that will make an organization more competitive in a market economy where everyone should have the same opportunities and the same risks.

HOW TO MANAGE THE ORGANIZATIONAL CHANGEThe term change management is one of the most important aspects of the process of globalization of business management, since both the manager and the organization begin to face complex situations that change in their environment should not be addressed in a dispersed manner but require a minimum platform to ensure successful organizational change.

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However, initiating a process of change management is not as easy as one might think at first due to the large number of elements involved, in addition to that we must be absolutely sure that the organization can absorb the changes, particularly, that their human resources understand their importance and commitment of fact in its performance, bearing in mind that it is a continuous process that should be treated as such and not as something temporary.Moreover, it is necessary to make a preliminary diagnosis of the organization displaying its real situation and define both his real mission and strategic guidelines that should direct it at the same time to facilitate the identification of those variables that may affect the environment negatively or positively, on the main areas of management, which could be envisaged potential obstacles, weaknesses and threats, in addition to their own potential.

THE MANAGER AND COMMUNICATION IN THE PROCESS OF ORGANIZATIONAL CHANGEEvery manager in an organization should take into account that upward communication is much more difficult and less efficient to achieve the objectives downward communication, so it is necessary to improve the internal channels of the organization, noting that there can be no real communication in one direction.

While the ability to understand and manage all the processes of the organization is vital to develop effective leadership, the modern manager must not only master the technical, logistical, financial and strategic issues as a whole, but must give a special importance human resources of the company. The leading manager needs to communicate effectively with their employees at the same time he must project the image of the company and objectively evaluate what the staff needs to make it, its own corporate identity.

The modern manager must be aware that his performance as leader is closely watched by everyone in the organization and beyond, and it is precisely through their behavior, attitudes and personality that begins to permeate the corporate image of the company.

Moreover, the manager must always keep in mind that not only must know the organization through information previously leaked by his management team (called "staff" of the organization), but should be more interested and involved in all aspects, behaviors and internal levels of the organization, without necessarily mean that he should not delegate responsibility to his team to analyze problems and situations, manage resources and support the needs of their staff.

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MANAGEMENT OF RESISTANCE TO CHANGEWhen life presents us with a change, it is likely that our first perception to this is to concern about the potential loss that the change may represent. We do not resist change itself, but the possibility of loss. The steps that Repsol went through when he acquired Shell was:

Negation: “We assume that it is not true that things have changed or will change”. When in April 2004, at the headquarters of Shell in Portugal finally was confirmed the news that the company was to be sold, all employees felt shaken by feelings of anxiety and fear. They could not believe that Shell, the oil company oldest in Portugal, had decided to sell their assets after 92 years in the country. During months the rumor ran through the halls of the company and was the subject of comment in the canteen, cafeteria and in the corridors of the headquarters of the

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company in Lisbon, but nobody really believed that Shell could be sold. Then in a further informative meeting, it was reported that the purchasing company was Repsol, and their representatives attended, almost all of Shell staff got up from their seats and left room.

Resistance: “We get angry, as a way to deal with reality, when it can no longer be denied. When this stage is given in organizations, acquires great relevance all that has to do with providing abundant, frequent and consistent information.” After the merger, the early years were marked by confusion and resistance to change. One of the first approaches that was performed, probably wrong, was to assume that Repsol Portugal should behave as a one more region of Repsol in Spain. This did not lead to good economic or social results.Continuous and profound changes in the strategy that took place in this period, some concerning Portugal and others concerning international Company, did not helped the transmission of aclear objectives and vision. After several years of workforce reductions and other reorganizational projects, the company staff was confused also staff from Shell, not assumed to Repsol as his company and expressed emotional resistance.

Exploration: “When this stage occurs in organizations, usually, people have begun to assimilate change and have initiated some efforts to adapt to the new system. This is a transition period in which the change has partially won some adherents.”In order to mitigate the differences, in the period 2006 to 2008 the steering committee, formed by managers from the old Shell Portugal as Repsol, made several trips outside Lisbon, with the help of a external consultant team, to work leadership skills and group cohesion through exercises and sessions outdoor. Despite the efforts made, after four years since the merger of the two companies, the results appeared to be not satisfactory. A work environment survey showed that employees from Repsol Portugal still not seeing the way.

Engagement: “This stage is reached when people decide to accept change and adopt new attitudes, having achieved an ability to work effectively in the new environment. Productivity is increased a feeling domain, relief, achievement and growth through change is acquired, not to return to the past and the

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new forms are accepted. The change is now the norm and it feels strengthened to cope with the next change initiative.” After getting the engagement from senior management whit the project, the next step was to achieve the same with the next level of the company, three hundred people collective spread between different areas and functions of the company.A series of measures were initiated in coordinated manner, looking for become missions in plans action and concrete improvements and on the other, all employees were aware of how, through projects and actions carried out, they contributed with a common mission.