Oconomo Plant

Oconomo plant has been in the operations since 1921 whereby it has provided residents with income. This means that the plant is quite important to the society simply because it provides employment opportunities. Of the greatest issue currently is that the company is working at a high cost which means it’s not going to realize its objectives thus a change is needed. This essay will look at some of the forces that drive Oconomo plant to anticipate for change, changes that are required to be done and what has made leaders to be resistant to the anticipated change.
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The greatest force that drives the company to anticipate for change is that it’s operating at a cost which instead of giving returns it’s giving out loses. The cost of its operations is extremely high such that instead of realizing profits, the company does make loses only. Due to this, it’s the aim of the company to make changes so as to be realizing profits in the future. Another thing that needs to be understood is that for the company to meet its operations, it must realize some returns from what it has invested. Having invested in the company, managers and shareholders do expect that the company is going to provide sufficient returns which will be shared and at the same time enable the company to stay in the market. There exist risks of the competitors who are in the market currently. For the company to make it in the market, it must change its working conditions so that they fit with the current market situation, (Daft & Marcic, 2010).
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Another problem is the workers point of refusing to cooperate. The company is planning to reduce the amount of pay it’s going to provide to its workers with a significant drop. This is a great problem which workers are not ready to accept the desired change of the company. Another force for change is that competitors are in the market and of late they have threatened the company from