“Ovidius” University Annals, Economic Sciences Series

Volume XXI, Issue 1 /2021

Overview of Change in Organizations. Resistance to Change.

Maria Metz
“Babes-Bolyai” University of Cluj-Napoca,
Faculty of Economics and Business Administration, Romania
[email protected]

Abstract

Global economy continues to influence the way in which companies carry out their business more
and more. Therefore, the current business environment, impacted by globalization, has forced these
organizations to manage change in an effective and efficient manner, and change management has
become one of the key management skills in organizations.
In this context, change management is an essential component in company success, which is why
the literature describing the success initiatives of change management is increasingly extensive.
The topics most studied in the literature imply resistance to change, employees’ readiness for
change, leadership effectiveness, employees’ involvement, participation and commitment in change
processes, and the roles and skills required for the success implementation of organizational change.
The purpose of this study is to present two major topics discussed in the literature, namely,
resistance to change and employees’ readiness for change.

Key words: change, change management, resistance to change, readiness for change
J.E.L. classification: M10, M12, M19

1. Introduction

We must prepare for “the future that has already happened”, according to the statement of the
management theoretician Peter Drucker (Kinicki & Williams, 2020, p.376). There are super trends
that specifically shape the future of business (Kinicki & Williams, 2020, p.376):
 “The market is becoming more segmented and oriented towards niche products”: in the
recent past, managers could think in mass market terms - mass communication, mass
behaviour and mass values. Nowadays, we are facing a “demassification” process, the
client groups being broken down into smaller and more specialized units and responding
to commercial messages directed in a more restricted manner. Such marketing messages
can even be modelled and customized through artificial intelligence, allowing robots, for
example, to engage in conversations with individual consumers or with small consumer
groups. Some suggest that this type of customer-oriented marketing can help create
relationships leading to customer loyalty and repeat business.
 “The competitors providing specialized solutions are steering the faster launch of
products on the market”: companies that need too much time to make their products
available for sale may not succeed in using a narrow window of opportunity before their
competitors.
 “Know-how rather than information is the new competitive advantage”: since
information technology covers more of the work previously performed by humans, even
in high technology sectors, many employees formerly considered “knowledge workers”
are now recognized as “data workers”.
Change involves the dismantling or restructuring of organizational structures, hierarchies, culture
and strategies to facilitate new flexible work models which will accommodate the potential issues
arising out of resistance to change (Awoke, 2020).

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Change management is not a distinct discipline with rigid and clear-cut boundaries. On the
contrary, change management theory and practice rely on several disciplines and social science
traditions. For example, management education and learning theories, which help us understand the
behaviour of those in charge of change management, cannot be thoroughly discussed without
reference to psychology theories. The latter, in their turn, cannot be discussed without “mentioning
the theory of knowledge (epistemology), which is a genuine philosophical field per se” (Raza et al,
2018).

2. Literature review. Overview of Change in Organizations

Change is a migration from the current situation to a desired future situation. Change
management as a practical activity is aimed both at configuring the desired situation and at managing
the successive transition through several intermediary stages until the desired situation is
reached. Change in organizations is represented by any change in the organization’s state of affairs.
As a discipline, change management focuses on voluntary organizational change in response to
environmental factors, or on the organization’s own initiative, a change that must be managed in
order to achieve a desired future condition (Srivastava & Agrawal, 2020; Georgalis et al, 2015).
Change management has been also defined as “the process of continually renewing an
organization’s direction, structure and capabilities to serve the ever-changing needs of external and
internal customers” (Sundus et al, 2017, p.17). It also refers to the adoption of an idea, procedure,
process or behaviour that is new to an organization. The major objective of change management is
“to maximize the collective benefits for all people involved in the change and to minimize the risk
of failure to change. The major obstacle to change management is resistance to change” (Sundus et
al, 2017, p.17).
This being said, it has been acknowledged for a long time that change in organizations tends to
focus on achieving one of the three following types of outcome: individual change, group change or
system change (Sandelands, 2010).
For example, Maslow and the early human relations movement focus predominantly on the role
of motivation and individual behaviour. Lewin and Schein, while acknowledging the importance of
individual behaviour for the overall performance of the organization, claim that a change in group
behaviour is the best way to improve performance. Senge, however, adopts a systemic approach to
improvement. He considers the interconnectedness of organizational life as “the most important
factor and consequently, the starting point of change” (Burnes, 2017, p.8).
Change management refers to the achievement of an optimal design of the path leading from the
starting point to the goal. Pursuing this interpretation of the concept, change management does not
involve defining the content of the goal itself, nor developing the methods to achieve such corporate
goals or strategies (Guidetti et al, 2018).
Since change management refers primarily to handling change by taking into consideration the
human factor, the related methods can be applied to three elements (Lauer, 2021, p.7):
 “Individuals: they form the smallest social elements of organizations. Without their
active participation, change in organizations is not possible”. Change management in
relation to individuals means not only the adjustment of skills to new challenges, but also
the promotion of a positive attitude required for the change goals and the involvement in
it.
 “Corporate structures: they include the formal structural and processual organization, as
well as the strategies and resources”. Their change is simple on paper, but the informal
structures which tend to develop in the long term and through evolution often resist such
changes.
 “Corporate culture: the permanent, rather informal structures which are responsible for
attitudes, values and informal rules of behaviour form the corporate culture and are
independent of the individual to a significant extent”. A change at an individual and
structural level, without the involvement of corporate culture, is often affected by
considerable issues or even bound to fail completely.

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Figure no. 1.Starting points for change management

Source: (Lauer, 2021, p.7)

Change management is therefore a complex task, which not only starts at different levels, but
must bring together in a constructive manner the most diverse interests of those involved. In this
respect, knowing the potential causes of failure is as important as knowing the factors which
contribute to its success (Lauer, 2021, p.8).
Managers have to deal with four main areas of change: strategy, structure, technology and people
(figure no. 2). Strategy change means a change in the manner in which managers ensure company
success. Structure change includes any modification of the variable structures, such as reporting
relationships, coordination mechanisms, employee skills or job reconfiguration. Technology change
includes “changes in the working manner or methods and the equipment used”. People change refers
to “changes in individual or group attitudes, expectations, perceptions and behaviours” (Robbins et
al, 2018, p.213).
A classification of changes, of high importance for change management, is from the perspective
of the types of events that generate the need for change. Based on these types of events, there are
three main categories of change (Kinicki & Williams, 2020; Brisson-Banks, 2010):
 “closed change”: there is certainty as to what has happened, the causes and the measures
to be taken;
 “contained change”: there is reasonably certain knowledge of what has happened, the
causes and the measures to be taken;
 “open-ended change”: there is broad disagreement as to what has happened, the causes
and the measures to be taken.

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Figure no. 2. Four Types of Change

Source: (Robbins et al, 2018, p.213)

The process of change in organizations comprises six steps, in a cyclical model (Georgalis et al,
2015):
 perceiving an opportunity or a problem;
 diagnosing the situation and generating ideas for change;
 adopting a change proposal;
 planning to overcome resistance to change;
 implementing the change;
 monitoring and assessing the results.
The forces that generate change, both from outside and from inside the organization, are those
which impose the need for change in organizations. The forces operating from outside the
organization are represented by four types of external forces, as follows (Kinicki & Williams, 2020,
p. 381-382):
 “Demographic features”: age, education, level of skill, gender, immigration.
 “Technological progress”: technology does not refer only to computer technology; it is
any machine or process allowing an organization to obtain a competitive advantage in
changing the materials used to produce a finite product.
 “Social and political pressures”: social events may generate considerable pressure.
 “Shareholders, customers and market changes”: changes in customer preferences,
national and international competition, mergers and acquisitions.
The forces originating from the organization are internal forces affecting the organization, such
as low job satisfaction. Internal forces may be of two types:
 Human resource concerns: unsatisfied needs, job dissatisfaction, absenteeism, low
turnover and productivity, weak participation/involvement of the employees,
complacency, bureaucracy.
 Management behaviour: conflicts, leadership, remuneration system, structural
reorganization, change of goals.
As can be seen in figure no. 3, the need for change is catalyzed by dynamic environmental
changes, which generate new requirements for success in the organization’s market. New customer
requirements bring about a need for new business strategies, which require changes in the
organization in order to be carried out. They may include changes in the structure, systems, business
processes or technology (content). If such changes in the organization are sufficiently relevant, the
organizational culture must change in order to change the manner in which the people within the

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organization perform their activity. Culture change generates changes in behaviour and thinking
among both leaders and subordinates. Figure no. 3 shows that the driving forces of change switch
from external and impersonal (environment, market, organizations) to internal and personal (culture
and mentality) (Anderson & Ackerman Anderson, 2010, p.32).

Figure no. 3.The Driving Forces of Change

Source: (Anderson & Ackerman Anderson, 2010, p. 32)

3. Research methodology

Management research deals fundamentally with the creation and legitimation of various forms of
knowledge associated with management practices. Traditional approaches to management research
involve a varied combination of key processes, observation, reflection, theoretical conjunctures and
testing of theories and hypotheses, creation and development of models to acquire the essence of
management realities (Partington, 2002).
The present study is based on qualitative research methods, which is a form of social action that
emphasizes the way people interpret and give meaning to their experiences in order to understand
the social reality of individuals and organizations. Qualitative research uses interviews, journals,
articles and observations to obtain, analyze, and interpret the data content analysis of visual and
textual materials (Mohajan, 2018). Qualitative research is exploratory and seeks to explain “how”
and “why” a certain phenomenon works as it happens in a certain context (Mohajan, 2018).
The roots of qualitative research are found in social and cultural anthropology, philosophy,
psychology, history and sociology. The purpose of qualitative research is to systematically describe
and interpret problems or phenomena from the point of view of the individual or population studied
and to generate new concepts and theories (Mohajan, 2018).
In this respect, the present study analyzes the concepts of change in organizations and resistance
to change. Thus, we tried to highlight the aspects of organizational change, the forces that generate
change, types of change, change management, resistance to change, techniques for reducing
resistance to change and change readiness.
Therefore, the present study has the following specific objectives:
 To provide a theoretical foundation, based on the study of the literature, of the concepts
of change in organizations, change management, resistance to change and change
readiness.
 To provide sufficient information to understand change in organizations and resistance to
change.

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 To briefly describe the forces that generate change, types of change, resistance to change,
techniques for reducing resistance to change and change readiness.
We mention the fact that this study is a starting point for conducting a quantitative research that
aims to study organizational change in IT companies in Romania.

4. Findings. Resistance to Change

Resistance is a phenomenon that affects the process of change, delaying or slowing down its
commencement, hindering or preventing its implementation and increasing the implementation costs.
Resistance to change is “a tridimensional negative attitude towards change which includes affective
and behavioural components and must be overcome or removed” (Sundus et al, 2017, p.17).
Resistance to change is a topic of frequent concern in the literature. The process of change is
“delayed because of such resistance, which is perceived as a collateral damage of change efforts”.
Resistance may take many forms, such as “deliberate tardiness, resignation, strikes, sabotage of the
organization’s property, etc.” (Sundus et al, 2017, p.17; Amarantou et al, 2018; Ford et al, 2008).
Srivastava & Agrawal (2020) consider that the human dimension is the most important element
in the successful implementation of change, being manifested in the employees’ feedback concerning
change. Change in organizations has been explained in the literature as a transition from the known
to the unknown, which is generally not supported by employees unless there are significant reasons
for change that have been duly communicated to them. Therefore, employees often show resistance
to change in their tendency to preserve the status quo, whereas the change process focuses on the
modification of the status quo.
The reasons why employees usually show resistance to change are the fear of the unknown, the
misunderstanding of the need for change and of its repercussions, and a low tolerance towards
change. According to Dent & Goldberg (1999), people do not actually resist the concept of change
but rather the loss of their status, benefits or comfort.
Collinson 1994 (Srivastava & Agrawal, 2020) defined resistance as a behaviour in employees that
challenges, disrupts or inverts prevailing assumptions, discourses and power relations.
Robbins et al (2018) state that the main reasons for resistance to change in organizations are
uncertainty, habituation, concerns about personal loss and the belief that change is not in the interests
of the organization. Change replaces the known with uncertainty. Another cause of resistance is that
individuals tend to do things out of habit, and when confronted with change, their general tendency
to respond in the usual manner becomes a source of resistance. Change threatens the individuals’
investment in their status quo. The more people have invested in the current system, the higher their
resistance to change (Ford et al, 2008).
According to organizational researchers, the success of change initiatives can be determined by
the individual’s feedback to change. The functioning of an organization is determined by the
functioning of all its members. Thus, it can change only when its members’ behaviour changes. “It
is impossible for an organization to change significantly unless its employees believe, think and
behave differently” (Sundus et al, 2017, p.17).
Gardner, Pierce and Dunham 1989 (Sundus et al, 2017, p.18) have suggested three types of
individual response to change: “affective, cognitive and behavioural. The affective response refers
to the individual’s reaction to change, whether it is satisfaction or anxiety. The cognitive response
consists of opinions on utility, necessity and the knowledge required to cope with change.
Instrumental behavioural responses refer to the actions that have already been carried out or are to
be carried out in order to cope with change” (Rahe & Morales, 2005; Ford et al, 2008).
Employees’ resistance to change must be managed by means of support and involvement from
their managers. Employee involvement and empowerment are frequently mentioned in the literature
as being helpful in reducing resistance to change. Kotter and Schlesinger 2008 (Sundus et al, 2017,
p.18) presented a better perspective to encourage and support employees in coping with change, by
stating that “the context and content of change per se vary significantly among organizations and
should determine the adequate response”. They emphasized several approaches, from education to
constraint, describing who should use them and when in order to reduce resistance, and detailing the
pros and cons (Amarantou et al, 2018).

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Enders et al (2020) stated that resistance to change is, despite its negative connotation, a natural
propensity of human disposition. This innate resistance behaviour is the individual’s intrinsic desire
to maintain a psychological balance offering a sense of security and control. Thus, this intended
balance may be disturbed by behavioural change, which is why individuals usually avoid initiating
or actively embracing change. However, the reasons for resistance are either active or passive: active
resistance is defined by conscious rejection motivated by contradictory beliefs or traditions or by
functional issues. In contrast, passive resistance occurs even before the actual assessment of an
innovation and is caused by a general aversion to behavioural or attitudinal changes (Guidetti et al,
2018).
Concerning the techniques used to counteract resistance to change, Robbins et al (2018, p.218)
have mentioned: “education and communication, participation, facilitation and support, negotiation,
manipulation and cooption, and coercion respectively”. These techniques are summarized in table
no. 1. Managers should use such techniques as instruments, selecting the most appropriate amongst
them based on the type and source of resistance.
Education and communication can “help reduce resistance to change by helping employees see
the logic of the change efforts”. This technique assumes that resistance is mostly determined by
misinformation or poor communication (Robbins et al, 2018, p.218).
Participation means “involving the people directly impacted by the proposed change in the
decision-making process”. Participation allows these individuals to express their feelings, thus
enhancing the quality of the process and increasing the employees’ commitment to the final decision
(Robbins et al, 2018, p.218).
Facilitation and support imply “helping the employees cope with the change-related anxiety”.
This help may include counselling, therapy, development of new skills or short-term paid leave of
absence. Negotiation involves “exchanging something of value for an agreement to reduce resistance
to change efforts”. This technique may prove quite useful when the resistance comes from a strong
source. Manipulation and cooption refer to “the attempts to influence other people with respect to
change”. Coercion can be used to cope with resistance. Coercion involves “making use of the
managers’ authority to punish the subordinated staff’s behaviour” (Robbins et al, 2018, p.218).

Table no. 1 Techniques for Reducing Resistance to Change

Source: (Robbins et al, 2018, p.218)

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While changes can generate acute reactions in the process of organizational change, employees
are also interested in how being open to change can bring them benefits. Change readiness, as
opposed to resistance to change, is another concept subject to debate in the literature. Until now,
readiness "has been considered a fundamental precursor for the implementation and management of
productive changes” (Bateh et al, 2013).
The concept of “change readiness” is reflected in the Lewis model of organizational change,
which requires that organizations should first unfreeze the existing mentalities and develop a sense
of emergency before actually starting to implement changes. Some employees are more loyal to
relationships whereas others are more loyal to the organization’s structural components, which are
often based on principles such as efficiency, tradition or creating an acceptable match with
counterpart organizations (Chenevert et al, 2019).
Usually, both elements must be approached during the organizational change process. In order to
facilitate employee readiness and overcome resistance, some employees need to know that the
organization’s staff is being treated fairly during the process, whereas others are more concerned
about the logic of the decisions in connection with the structural change.
To facilitate preparedness and overcome resistance, those employees who are more concerned
about relationships must be convinced that certain staff changes are necessary and will be made with
utmost respect and fairness. The employees concerned about structure may question whether the
change is actually necessary and useful or, on the contrary, is a capricious idea of the top managers
who want to leave a mark without fully considering the implications. These employees are more
likely to adopt a position depending on which change brings about few benefits but many obstacles.
They will probably accept the changes if they can be convinced that short-term challenges will ensure
long-term benefits. In order to engage them in the change process, “they must be convinced that the
long-term benefits will be more rewarding than the inherent short-term disruptions and inefficiencies
of the change process” (Bateh et al, 2013, p.114).

5. Conclusions

Global economy continues to influence the manner in which companies run their business. All
workplaces are subject to change. The pace of change is substantially different from one place to
another and frequent changes may create a stressful environment for employees. Change in
organizations is an ongoing daily challenge. However, the current business environment, impacted
by globalization, has made it necessary for organizations to manage change, and change management
has become one of the key management skills.
The purpose of this study is to present two major topics discussed in the literature, namely,
resistance to change and readiness for change.
Change is a migration from the current situation to a desired future situation. Change management
as a practical activity is aimed both at configuring the desired situation and at managing the
successive transition through several intermediary stages until reaching the desired situation. Change
in organizations is represented by any change in an organization’s state of affairs. As a discipline,
change management focuses on voluntary organizational change implemented in response to
environmental factors or on the organization’s own initiative, a change that must be managed in order
to achieve the desired future condition (Srivastava & Agrawal, 2020).
Change management is a complex task, which not only starts at different levels, but must bring
together the most diverse interests of those involved in a constructive manner. In this respect,
knowing the potential causes of failure is as important as knowing the factors which contribute to
success (Lauer, 2021).
Resistance to change is a topic of frequent concern in the literature. The process of change is
delayed because of such resistance, which is perceived as a collateral damage of change efforts.
Resistance may take many forms, such as deliberate tardiness, resignation, strikes, sabotage of the
organization’s property, etc. (Sundus et al, 2017, p.17).
Employees’ resistance to change must be managed by means of support and involvement from
the managers. Employee involvement and empowerment are frequently mentioned in the literature
as being helpful in reducing resistance to change. Some authors (Sundus et al, 2017, p.18) have
presented a better perspective to encourage and support the employees in cope with change, by stating

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that the context and content of change per se vary significantly among organizations and should
determine the adequate response.
While changes can generate acute reactions in the process of organizational change, employees
are also interested in how being open to change can bring them benefits. Change readiness to, as
opposed to resistance to change, is another concept subject to debate in the literature. Until now,
readiness has been considered a fundamental precursor for the implementation and management of
productive changes (Bateh et al, 2013).

6. References

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 Sandelands, L., 2010. The play of change. Journal of Organizational Change Management, 23(1), 71-
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