Employees need to feel appreciated and needed (Elton Mayo’s Hawthorne experiments and Maslow’s hierarchy of needs both highlight this fact) and redundancies typically have the opposite effect. So redundancies may lead to low morale and low levels of motivation among the workforce. Make the redundancy package reasonable and acceptable. Current government legislation allows 1 week per year of service. I propose that BDC offer a more enhanced redundancy package to make it more attractive for the targeted employees.
Adopting the above approach will have the effect of avoiding the ‘rumour’ issue, providing a reason for the actions and offering reasonable terms to those involved. To understand the causes of these problems BDC may consider scanning their internal and external environments. In order to find out how their employees actually feel about introducing a new product and the current situation, a survey could be carried out. The managers can then take into account people’s behaviour, motivations and attitudes when making decisions.
Such an approach also has the benefits of communicating BDC’s intentions and ensuring the involvement of the staff in this decision. Staff will feel more committed as they will begin to feel valued by the firm. Analysis The aim of most businesses is to make a profit and sustain high revenues. Further with companies, in the software market, like BDC innovation and market leadership should be made a priority in order to achieve these revenues. Innovation requires change. However change allows for freedom of new ideas.
Without changes in the workplace BDC would be stifled with old traditions and soon fall behind its competitors. As Winston Churchill once said “there is nothing wrong in change if it is in the right direction. To improve is to change, so to be perfect is to have changed often”3. The implementation of change may also highlight strengths and weaknesses of different departments. Resistance to change is expected. The hostile environment at BDC is not a good platform for such an important move. People’s concerns must be acknowledged, listened and responded to.
According to Kurt Lewin, a pioneer in the field of social sciences, one of the reasons why workers might find a change programme threatening is due to the fact that they don’t have the skills and abilities required. This exactly what the problem is at BDC and some of the senior workers have already voiced their concerns regarding the new systems. The employees at BDC have not been consulted about the change and it seems the majority of long-term employees don’t understand what is happening hence the resistance.
This in turn leads to lower productivity and has adverse effects on customer service. “A survey has shown that increasing the levels of participation in innovation, training and personal development were ranked higher than financial motivators as a reward. “(Tidd 1998,p. 318) At the moment some senior workers do support this change. However what is clear is that staff needs to be properly informed and trained in order to be more productive and motivated.
This is not a bad thing as increased flexibility and training could be presented as an opportunity to follow new career paths. Training has been proved to be a great motivator because it makes employees feel valued by the company. One of the founders of humanistic psychology, Abraham Maslow came up with something known as the Hierarchy of needs. This is a framework which consists of lower levels representing the lower needs such as food and shelter, and the higher levels representing the need for self-actualization.
Maslow believed that employees should be able to move through the needs to the highest level provided they are given training and education to promote this growth. In Maslow’s terms this training would allow employees in different departments at BDC to move closer to a greater feeling of self worth. So by taking Maslow’s theory into account one of the best ways to avoid staff resistance is to ensure that people are motivated, which would help in dealing with this situation. The employees need to be open to an innovative or different approach to the new business situation.
However Cash and most other departments seem to be happy with a comfortable routine. This complacency can cost the business a lot of money because it shows no concern for the future of the company. However there will always be people who disagree and ultimately you cannot please everyone. Those who disagree or who can’t adjust must be treated with dignity and respect and every option must be explored to see if these staff can be used in alternative positions within the new organisational structure to make use of their knowledge and skills.