Kotter Model Examples

Leadership is a key core component at the heart of every successful business. The methods in which today’s businesses develop and implement changes to work environments, company culture, and company processes is defined as organizational change management. In a 21st century technological society, the ability to organize resources for develop and implementation of organizational changes with minimal risk is a coveted skill. Corporations must embrace the dynamic environments and strategically adjust as appropriate while remaining profitable. Increasing industry competition amongst competitors, diverse workplaces, reengineering processes to reduce costs, and constant mergers and acquisitions (M&A activity) have forced many companies to reconsider their change management processes. As such, activities continue to increases there individual influences on the company profits broadens. The principle concept of organizational change management is to influence the behavior of people not through force but through motivation concentrated at the proposed change.

ORGANIZATIONAL CHANGE METHODS
KOTTER MODEL

The Kotter Model consisting of a sequenced eight-step change management process is used frequently by business in its entirety
or in part. The model is beneficial due primarily to its adaptability to a variety of industries and offering change through strategic campaigning. One strength of this model is that if leveraged correctly can be the catalyst for substantial organizational change. A weakness of this method is the duration of elapsed time that can occur between steps, moreover certain actions during steps can significantly impede the desired change process. For instance, the inability to maintain buy-in from others of significance and the existence of change resistors can be potentially detrimental to a desired organizational change.

THEORY E

Theory E is a method primarily concerned with financial decisions and consequences to influence organizational change.
One can conclude that majority of the decisions we see are Theory E in nature due it impact on families and communities. Having work experience in the financial services industry, although I am not a Bank of America employee the recent mortgage workforce layoff is an example. Bank of America elected to reduce their workforce due to declining mortgage revenue from trouble loans. Often such decisions with utilize third party resources to explore all possible options prior to senior management decisions. Investors and informed consumers all agree that the principal reason for a company’s existence is to generate a
profit.
The strengths derived from these decisions in most instances lead to long-term company stability and investor appeasement through positive investment returns. Executives employing theory E decisions focus change management initiatives at improving company structure and applicable systems. However, executives whom implement these strategies often view employees, as a number and professional relationships have no influence. Moreover, these decisions are often short-term to drive immediate results at the possible detriment of long-term gains. Theory E plans are often robust when carefully plan and all options/consequences considered because of its targeted focus of increasing profits.

THEORY O

The opposite of Theory E and less financial related, Theory O are decisions are interpersonal involving the interactions amongst people. As a lover of people, I take pride in the relationships