Challenge of Understanding Resistance to the Change in the Rapidly Changing Business Environment



Acknowledgement

I would take this opportunity to thank my research supervisor, family and friends for their support and guidance without which this research would not have been possible.

Declaration

I [type your full first names and surname here], declare that the contents of this thesis represent my own unaided work, and that the thesis has not previously been submitted for academic examination towards any qualification. Furthermore, it represents my own opinions and not necessarily those of the University.

Table of Contents

ACKNOWLEDGEMENTII

DECLARATIONIII

CHAPTER 1: INTRODUCTION1

Introduction1

Research background and rational2

Company's background3

Bank a case study4

Aims and objectives5

Research question6

CHAPTER 2: LITERATURE REVIEW7

Resistance8

Resistance to change on individual level10

Behavior and emotions11

Managing resistance to change13

CHAPTER 3: METHODOLOGY18

Research design18

Data Collection19

CHAPTER 4: FINDINGS AND ANALYSIS22

Findings22

Change introduction22

Downsizing strategy22

Change process25

Selection26

Challenges and Resisting Forces to Change27

Emotions and behavior29

Voice and silence30

Organizational change and the psychological contract33

Post-redundancy experiences35

Survivor syndrome35

CHAPTER 5: CONCLUSION41

REFERENCES43

CHAPTER 1: INTRODUCTION

Introduction

The concept of change has become the leading idea in the management of an organization irrespective of the nature ort scope of business that it undertakes to perform. In the present scenario, the idea of organizational change has become one of the ways for the companies to gain success and competitive advantage. According to Robbins (2003) states, an organization needs to react to the environmental changes in order to ensure its survival in the corporate world. In the swiftly expanding world, the changes are unavoidable (Chew and Choo, 2008).

The aim of the advanced era is to interpret, translate and apply the control change. In an attempt to confine to the laws and regulations of the organizational change, the practitioners and scientists together establish informative examples, and to the already numerous factors influencing organizational change, and by extension the complexity of the models, history added another one: the transition from one economic, political and social regime to another (Chiaburu, 2006).

The financial crisis has been something of a turning point in the organizations lives all over the word. The bank crisis started in the USA in 2007 and then crisis was facing financial institutions and business all over the world (Sakbani, 2010; Tomasic, 2011). Europe, in particular the UK, has also been in the grip of the same crisis since March 2008 (Sakbani, 2010). The international financial crisis which hit the world since approximately two years now is presented as the worst financial crisis ever seen since the 1929 great depression (Trabelsi, 2011).

The crisis calls for internationally coordinated reforms in the regulatory system, which fully incorporates macro risks and reconsiders some of the products of financial engineering as well as new resolution rules for big non-bank financial institutions (Sakbani, 2010). Massive or rapid business upturns and downturns, technology shifts, mergers, and acquisitions all can result in major organizational change. These changes can involve deep structural change that may require cultural change within the organization for lasting success.

The paper is structured as follows. The first section will present the research background, aims and objectives of the paper. Section two will focus on a recent business and academic literature ...