BAHIR DAR UNIVERSITY

COLLEGE OF BUSINESS AND ECONOMIC

DEPARTMENT OF MANAGEMENT
ROLE OF CHANGE MANAGEMENT PRACTICIE IN ACHIEVEMENT
OF ORGANIZATIONALGOAL.(IN CASE OF CBE,BAHIR DAR
PEDABRANCH).
RESEARCH PROPOSAL SUBMITTED TO DEPARTMENT OF MANAGEMENT IN PARTIAL
FULFILLMENT OF THE REQUIREMENT FOR BA DEGREE INMANAGEMENT

PREPARED BY ID NO
DERBEW KASSU....................................................................BDU1101640
LELENA MOLLA...................................................................BDU1101369
TESFAYE ESHETAE...............................................................BDU1101671
YONAS TAMENE....................................................................BDU1101338
YERAB ZELEKE .....................................................................BDU1101469

ADVISOR: - TIGIST.G (MBA)

MAY2021
BAHIRDAR, ETHIOPIA
 Table of Contents
ABSTRACT........................................................................................................................ii
CHAPTER ONE..................................................................................................................1
INTRODUCTION...............................................................................................................1
1.1. Background of the Study..........................................................................................1
1.2 .Statement of the Problem..........................................................................................2
1.3 Research Question.....................................................................................................2
1.4 Objective of the Study...............................................................................................3
1.4.1 General Objective of the Study...........................................................................3
1.4.2 Specific Objectives of the Study.........................................................................3
1.5 Significance of the Study...........................................................................................3
1.6. Scope of the Study....................................................................................................3
1.7. Organization of the Paper.........................................................................................4
CHAPTER TWO...............................................................................................................5
REVIEWS LITRATURE....................................................................................................5
2.1 Introduction................................................................................................................5
2.2 Change Management Defined...................................................................................5
2.4Theoretical Framework...............................................................................................6
2.4.1Liwins Force Field Theory of Change.................................................................6
2.4.2 Beckhard's Change Plan.....................................................................................7
2.4.3. Thorley’s Model of Change...............................................................................8
2.5 The Change Agent’s Role..........................................................................................9
2.7 Conceptual Framework............................................................................................10
2.7.1 Approaches of Change......................................................................................10
2.7.2. Forces for Change in the Organization............................................................11
CHAPTER THREE...........................................................................................................13
RESEARCH METHODOLOGY......................................................................................13
3.1. Introduction.............................................................................................................13
3.1.1. Description of the study Area..........................................................................13
3.2. Research Design.....................................................................................................13
3.3. Source of Data........................................................................................................13
3.4. Data Collection.......................................................................................................13
3.5. Target Population....................................................................................................14
3.5.1. Sampling Method.............................................................................................14
3.5.2. Sample Size.....................................................................................................14
3.6. Methods of Data Analysis......................................................................................14
3.7. Ethical Consideration..............................................................................................14
3.8 Time Schedule.........................................................................................................15
3.9 Financial Budget......................................................................................................16
References..........................................................................................................................17

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 ABSTRACT
The research will conducted in the role of change management practice in achivement of
organizational goal at bahir dar CBE Tana branch. The data uses for the study will
includ both primary and secondary data. The primary data will collect through
questionnaire and interview and also secondary data will collect from
document,report ,chart and graph.the researcher will use descriptive analysis tables and
percentages. The sample technique used in the study will be census because of small
numbers of population.. We will investigat what type of leadership style in the bank? Is
democratic decisionis made by top management and does participate employees we will
study in the research paper.

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 CHAPTER ONE
INTRODUCTION

1.1. Background of the Study

Change management can be defined as the methods and manners in which a company
describe and implements change within both its internal and external processes. This
includes preparing and supporting employees, establishing the necessary steps for
change, and monitoring pre-and post-change activities to ensure successful
implementation. Change management is one of the most important activities for any
organization. The aims of the change management are practice to minimize service
downtime by insuring the requests for change is recorded and then evaluated, authorized,
implemented, documented and reviewed in controlled and a consistent manner [Jon
Mendoza , 2002].

Change is an important aspect of organizations for different reasons. The most important
reason however is that organizations need change because their internal and external
environments change. Especially, Changes occurring in the external environment
significantly affects organization and trigger internal reaction (Bateman and Zeithaml,
1993)

Change is driven by the actions of individuals, especially those who can exercise their
influence and discretion in attempting to change an organization’s mission and structure
(Djana Tiplic, 2008).
Both advanced industries societies and developing countries are changing in important
ways that have significant in facts on organization. The pressures on organizations for
change are accelerating. So in a very real sense organization are undergoing several
business revolutions sudden radical and complete reorientations of the way business is
done around the world The main conclusion with regard to leading change is that these
are no universal rules the opposite is true leadership is acutely sensitive to context. The
choosing of leader clearly is affected by those who make the choice and the

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circumstances in which they do so. The problems faced by the incoming leader are
derived from the circumstance which he leader inherits. The areas of man power
available to the new leader in deciding what to change and how to go about it are
bounded by the environment within and outside the firm (A. Pittsburg and
R.Winislow:2001:105)

1.2 .Statement of the Problem

Change management is used in organizations to be successful or achieving organizational
and significance contribution of the development of the organization. In its day to day
activities there is the practice of the change that frequently. The paper will try to
investigate the main problem of the CBE in Bahir dar, tana branch related to difficulty of
changing management practice. By identifying the problem and introducing mechanism
to apply changing management practice. The problems that affect change management
practice in CBE at Bahir dar tana branch include both internal and external factors. The
internal factors include employee resistance to change. The external environment affect
change management practice include customer resistance; and over all factors related to
change and also Missed training force often rises from the employees and that always
struggle to maintain the status. Such problem creates hindrance of that limited attainment
of the organizational goal. Thus, whether the change management practices in the CBE
are being used for the improvement towards the organizational objectives/goals/missions
is not well explain based on evidence. Besides, to what purpose the actual change
management practice is unclear (J.Stwaret 1996; 85). The researches give feedback about
the change management practice in Bahir dar CBE at Tana branch.

1.3 Research Question

 what looks like the distance of employees at the time of practicing job

 What are the problems related to change in CBE,bahir dar tana branch
 What is the leadership practice in the CBE at bahir dar, Tana branch
 What extent are the employees ready to adapt with an approach to do job?
 What are the best strategies for change management in CBE at tana branch

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1.4 Objective of the Study
1.4.1 General Objective of the Study
The general objective of the study will be assess role of change management practice in
achievement of organizational goal in Bahir dar, CBE tana branch

1.4.2 Specific Objectives of the Study

 To find out major reason why management practices change.

 To determine the extent to which the employees are ready in adapting with the
approach and method of doing job.
 To investigate the external and internal factor for change.
 To recommend solutions for CBE for the problem that happened at the time of
practicing change.

1.5 Significance of the Study

The study will be expect to help CBE to adjust itself to interact with the external
environment. The study is helpful to organization to understand why change is important
and exploit its advantage and avoid disadvantage in order to adjust itself with the external
environment. The research will also expect to a benchmark to study the issue by other
researchers. Beside this, it is important to the researcher so as to get BA degree in
management and an experience for further research.

1.6. Scope of the Study

Conceptually; the study is focus only on the role of change management practices in CBE
such as: manager’s effectiveness, work force, and employee good to adapt change
management.
Geographically; the study will be depend on assessment of change management practices
in CBE tana branch

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 Limitation of the study
 Since the researcher is full time students, it encountered constraints in time.
Many employees had not returned the questionnaire.
 Lack of experience of the students’ research as it is the first time the
assessment is taken.
 Lack of enough access to internet. But, the researcher overcomes this
problem by going to different internet center and using internet by fee.
 Unwillingness of the managers in showing documents.

1.7. Organization of the Paper

The research will be organized into three chapters. Chapter one includes introduction
part, chapter two discuss about the previous works made on change management
(review literature) section. Such as Liwins force field theory,Beckhard`s change plan,
Thorley’s model of change, and approach of change. chapter three is about design and
Methodology of the study,

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 CHAPTER TWO
REVIEWS LITRATURE
2.1 Introduction

In the reviews literatures will be presents a review of existing literature on change

management. It describes change management as defined by various scholars. It
discusses the various models of change management and provides an overview of the
history of change. It also attempts to identify different responses to change and enablers
of change management.

2.2 Change Management Defined

Change management refers to the adoption of an idea, procedure, process or behavior that
is new to an organization (Pierce &Delbecq, 2009). Berger (1994) defined change
management as "the continuous process of aligning an organization with its marketplace
and doing it more responsively and effectively than competitors" (p. 7). Lichtenstein
(2000) opined that organizational change is a transformative change through a complex
adaptive system model of change, which consists of three stages: increased organizing,
tension and a threshold and newly emerging configuration. It a movement of an
organization from the existing plateau towards a desired feature state in order to increase
organizational efficiency and effectiveness (George & Jones, 2002; Cummings &
Worley, 2005).

Why Change is Important?

According to SaimaIjaz and Antonios Vitalis (2011), with globalization, the recent
financial crisis, environmental challenges and revenues desires for new management fads,
all organization employees are equally exhorted to actively participate in organizational
change. Employee resistance are termed by those who lead and manage change is usually
portrayed as negative behavior which undermines the effectiveness of the change. The
conventional wisdom is that resistance must be overcome.

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However, there are number of misconception about what resistance to change is, who
resist it and why, what it means to the organization and why and how it should be
managed (Roy Smollan, 2011).and over the past three decades, global change trends such
as technological advance and globalization have influenced the ways modern societies
operate (Djana Tiplic,2008).

Changes that occur in the organization can come in many forms information technology
can be culture change where the philosophy values and ways of production are changed
by top management. A change may also occur in the organization structure which can
result in redundancies new job assignment and the like and again require new orientation
by the organization members.

We may also change in procures or policies where employee must be informal and
through to deal with each occurrence change is important occur frequently and it is on the
increase. Yet often when we are involved in change in our working live either trying to
implement it or as hopeless find very difficult.

2.4Theoretical Framework
2.4.1Liwins Force Field Theory of Change

Liwins change model most theory organizations change originated from the land mark of
work social psychologist Kurt Lewin.

Liwins developed three stages of model planned change which explained how to institute,
manager and stabilized the change process, the three stages are:

 Unfreezing
 Change/moving
 Refreezing
 Unfreezing: -The focus of this stage is creating the motivation to change in so
doing individual are encouraging to place old behavior and attitudes are
encouraging with those desired by management.

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Managers can be the UN frizzing processes disconfirming the unused fullness or
appropriateness of employee present behavior or attitudes.

Change/Moving: - Because change involves learning this stage entails providing

employees with new information new behavior models or new ways of looking things the
purpose is to help employees learn new concept or points or view role models. Minter
expert

Benchmarking is useful mechanism to client change experts recommended that it is best

to convey the idea that change is continues changing process another any time event.

Refreezing: - Change is stabilizing during refreezing by helping employees integrate the

change behavior or attitude in to their normal way of doing things this accomplished by
first giving employees the change to exhibit then new behavior one exhibited positive
reign for cement is used to reign force. The desired change additional change modeling
also is used at this point to reign force the stability of changes.

2.4.2 Beckhard's Change Plan

Richard Beckhard (1969) developed a change plan which incorporates the processes as
below:

 Setting goals and defining the future organizational situations desired after the
change.
 Identifying the current conditions in relation to the goals.
 Defining the transition state activities and commitments required to meet the
future state.
 Developing strategies for managing the transition based on the study of the
aspects expected to influence the beginning of change.

Organizations may refer to the latest quarterly reports and recognize the changes needed
for survival and facing the present or future competition (Armstrong, 2006). This model
carries a long-range approach to improve performance and competence in an organization
by looking at it as a whole (Rouda&Kusy, 1995).

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The model adds the necessary support from top management by executing it themselves
along with trying it to the bottom-line. Then incremental changes over a period of time
are applied involving individuals in the business, offering them an opportunity to make a
positive contribution. Further, Marshak (2004) states that planned change assumes that, it
is likely to determine rationally how to initiate and implement actions to achieve and then
maintain a desired future state. Although, the mentioned steps are not always applied in
the exact order, they need to be included for successful change management.

2.4.3. Thorley’s Model of Change

K. Thurley (1979) introduced a change model describing five major strategies to manage
change: directive, bargained, hearts and minds, analytical and action-based.

 Directive: It refers to the obligation of change in crisis situations or when other

methods have failed. This is done by the exercise of managerial power without
consultation (Armstrong, 2006). This way change is carried out quickly but the
views or feelings of those involved in the change are ignored (Lockitt, 2004).
 Bargained: This approach recognizes that power is shared between employer and
the employed and that change involves negotiation, compromise and agreement
before being executed (Armstrong, 2006). This approach acknowledges that those
affected by the plan have the right to convey their opinions regarding the change
plan (Lockitt, 2004).
 Hearts and minds: There is change in the attitudes, values and beliefs of the
whole workforce. This approach seeks commitment and a shared vision but does
not involve participation (Armstrong, 2006). It gains a positive commitment to the
changes but takes longer to employ (Lockitt, 2004).
 Analytical: A theoretical approach advances successively from the analysis of the
situation, through the setting of objectives, the blueprint of the change process,
the estimation of the results and the determination of the objectives for the
subsequent stage in the process (Armstrong, 2006).
 Action-based: This recognizes that the way managers perform in practiceis
similar to the analytical and theoretical model.

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2.5 The Change Agent’s Role

The change agent/s is/are individual or group who undertake tasks. Tasks of introducing
and management change organization is known as a change agent managers and
employees alike are developing the need skill to produce change and in innovation. The
organization change agents can also be external such as outside consultants. Internal
change agents have certain advantage in managing the change process, the known the
organization past history, its politic system and its culture because they must result of
their change effort and internal change are likely to be very careful abort managers
(Steven l MC Chane,2005).

2.7 Conceptual Frameworks

Change can be of relatively small scope such as modification in work producers or an

incremental change such in a sense are defined turning of the organization or the making
of small improvements.

2.7.1 Approaches of Change

APPROACHES
OF CHANGE

expert approach

top down

bottom up
2.7.1.1 The Top down Approach

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A top down approach occurs when someone in apposite on of authority decides to
introduce change this usually in intended followed by action and dissemination of
management taking decision for other to impalement.

More recently as model of participation management have come in to vague. It has been
des red for being undemocratic unchanging and distant and because it is no effective
ensuring that the change is owned by other affected in nevertheless.

Leadership convention and willingness to take decision may make the difference between
poor and excellent performance. (R Mitchel and J.R Zarson, 1993)

2.7.1.2 The Bottom up Approach

Bottom up approach to change has become well known through quality improvement
teams, local action groups and empowerment and performance initiatives and so on.

Apart from suggestion schemes and other idea generation mechanism, this approach
almost in variable team and for this reason the bottom up approach and a team approach
have tended mistakenly to become synonyms.

Bottom up approach to change are usually needed when the means for addressing
problems are not clear and people directly involved with the problem need to be involved
in discovering potential solutions. There is local variation in how problem is experience
and therefore in the potential avenues for solution so that top down approach change is an
appropriate (R.Mitchel and J.R Zarson, 1993).

2.7.1.3 The Expert Approach

In the expert approach to change knowledgeable individuals are asked to analysis and
making judgment about problem or performance and to recommend and sometimes
implement their preferred solution managers often are approach changes be it thought a
management constant a research report or new member of staff appointed because of
their or expires in particular area where they themselves are not sure how to take an issue.
The expert approach can appear to offer a quick and cost effective way of bringing about

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change particular when technology is being introduced while the manager gets with
managing.

The less managers are able to make informed discussion, the more depend they are on the
advice for the expert input to decision making is obviously useful and there may be a
need for more than one expert, However, expert should host be permitted to make
decision ( R Mitchel and J.R,Zarson,1993).

2.7.2. Forces for Change in the Organization

Organization counter may different forces for changes these forces can for external and
internal forces. This section examines the forces that create the need for change.
Awareness of their force can help managers determine when they should consider
implementing is organizational change.

2.7.2.1 External Force of Change

External force change originates outside the organization. Because this has global effect
they may cause an organization to equation the essence what business in and they are
three key external forces for change demographic characteristics, technological
advancement social and political pressure. (R Mitchel and J.RZarson, 1993).

2.7.2.2 Internal Force of Change

Internal force for change come inside the organization this may be subtle such as how
productivity and conflict internal force for change come from both human resource
problem and managerial behavior or decision. Dissatisfaction is a symptom of an
underlining employee’s problems that should be addressed unusually high level of
absenteeism and turn over represent force for change excessive inter personal diarchic
between managers and their subordinates in assign that

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 CHAPTER THREE
RESEARCH METHODOLOGY
3.1. Introduction
The research design, source of data, sample design, methods of data collection and
instrument, data type, statistical procedures of the study will be discussed in this
chapter.

3.1.1. Description of the study Area

The study will be conduct on Bahir dar commercial bank of Ethiopia tana branch. This
is in Amhara region. Which is select for study is found in Bahir dar town.
3.2. Research Design
The study will intended to address descriptive research design in order to conduct the
study on the area of change management practice because it can assist the researcher to
describe the existing fact within the CBE under study.
3.3. Data type
This study will be both qualitative and quantitative data approach. The reason for using
both quantitative and qualitative data is that to better understand the research problem by
combining both numeric value from quantitative research and the detail by qualitative
research with the strength of both other method.

3.4. Source of Data

The study will be includes both primary and secondary data. The primary data will be
obtained from employees of CBE. The primary data is collecting through distributing
both questioning and interviewing method and secondary data collect from written
documents.

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3.5. Data Collection
The data will be collect from both primary and secondary source. The primary data will
collect by questionnaires distribute for each individual in the target population. The
questionnaires are both open ended and close ended type, because the researcher will
used questionnaires as it is important to increase the accuracy of obtain information from
employees. Beside this, the researcher used structural interview for the manager of the
bank. The secondary source of data will gathered from published books and un published
materials like internet and other related material.

3.6. Population and sample size

The numbers of the bank in bahir dar town are 17. The researcher select tana branch by
using purposive sampling method reason why the researcher select tana branch will be to
gather required data to solve and answer research problem and research question
respectively in the clear manner. The target population of this study will employ in CBE
Bahir dar, Tana branch. The total number of employees in the bank is 57 out of this 3 non
clerical employees are and 54 employees are clerical.

3.6.1. Sampling Method

The researcher will use census method. Because in the bank there is a small number of
population.

3.6.2. Sample Size

The total employees of CBE in Bahir dar Tana branch are 57 in number. Due to the small
number of population the researcher determine the sample using censes sampling
methods which constituted 100% of the population (57) will be selected and this
constituted the sample size of the study.

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3.6.3. Methods of Data Analysis

After administrating and gathering the primary data and getting back response from
sampling employees the data will analyzing using descriptive analysis. The researcher
use tables and mathematical ratio to present the collect data.

3.7. Ethical Consideration

Ethical consideration is playing an important role during data collection time. Research
will be aware and follows the ethical consideration related to the studies. Furthermore,
the first page of the questionnaires is an opening introductory letter that requesting the
respondent’s cooperation to provide requires information for the study. We will be
explain the objectives and significance of the study to the respondents. In the data
collection and any activities that matter to the research, the researcher will made positive
interaction with respondent

3.8 Time Schedule

No Activity May June July August September

1 X
Topic Selection
2 X
Preparation of proposal
3 X
Collection of useful
material
4 X
Data Collection

5 Data Analysis and writing of fina research X X

6 X
Submission of proposal
7 X
1stdraft

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3.9 Financial Budget

Item Quantity Perunit(Birr) TotalCost(Birr)

Equipment and stationary

Paper 100 0.50 50
3
Pens 10 30
4 5
Pencil 20
2
Binder 35 70
- -
TotalCost 170
Personal cost
Transportation 3trips 10.00 30.00
2
Internet 20hrs 40.00
2
Typist 100.00 200.00
- -
Totalcost 270.00
- -
Contingency 100
- -
Overall total cost 540

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Bosinia,Herzegovna’s Higher Education in Transition, A DissertationSubmitted to BI
Norwegian School of Management for the Degree.
 JimStewart (1996) Managing Change through Training and Development 2nd Edition.
 John Ivancevich (2008), Organization Behavior and Management, 9th edition, New York,
America. Right Management, Man Power Company.
 R. Mitchel and J.RZarson (1993), People in Organizational Behavior, 13th edition, New
York, America.
 Schewartz G, and Mccann, L.2007, Overlapping Effects, Path Depends and Path
Generation in Management and Organization in Russia, Human Relation 60(19), 1525-
1549.
 Stephen P Robins (2003), Organizational Behavior 13th edition, Derlingkindersly, Inda.
 Steven L. Mc Shane (2005), Organizational Behavior Emerging Relation from the Work
Place, 3rd edition, Mcg raw hill/irwin, New York, America.
 Sudan & Navinkumar (2004) Organization Effectiveness and Change Management.
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Offset.

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