HOW CHANGE MANAGEMENT FOSTERS EMPLOYEE LOYALTY 9
A Control Function Analysis of how Change Management PromotesEmployee Loyalty
The society of the modern world faces constant quick changes. Due tothe rapid speed at which enterprises influence the market, many firmshave failed to keep up with the struggle. Therefore, for businessesto become successful in the current society, a management capacity isrequired to oversee and adapt to the changes. To ensure the survivalof business an operational tool known as change management is needed.Change management is an approach used to transition an organizationor individuals from an existing state to a desired future state withthe aim of full filling a particular vision. The approach isefficient as it provides active, fast, reliable, and comprehensivecountermeasures for ensuring the long-term success of a company. Withregards to the long run success of a company, employee loyalty is oneof the elements that play significant roles for business` success.Employee loyalty is a situation whereby employees become committedtowards the success of the firm and believe that working for thatparticular company is the best option (Iqbal et al. 2015). Therefore,the paper sheds light on how change management promotes employeeloyalty through motivating individuals to remain engaged, monitoringthe performance of employees, and communicating the process of changeat the strategic as well as the tactical levels.
Motivating individuals to remain engaged
Motivation is the establishment of incentives and workingsurroundings that allow employees to perform to their best abilities.The primary objective of motivation is to make staff engaged in theirwork so as to achieve the best possible results from the individualsand the organization at large. Positive change such as organizationalgrowth generates positive impacts on the working environment andemployee attitude. For instance, when change brightens anorganization`s leadership style, culture, and business system, thegeneral mood of the organization also brightens. The brightenedorganizational mood generates a sense of focus, confidence, hope, andenthusiasm that in turn increases the morale and motivation ofemployees. As an overall result, employees develop a sense of jobsecurity and would thus prefer to continue working with thatparticular organization.
Making workers know and acknowledge the benefits and reasons ofchange motivates them to become willing to accept the change. Afteremployees understand the factors behind the change, they accept thenew responsibilities that come with the change due to the developedcontrol perception within them. The control perception enablesworkers to realize a sense of personal growth and achievement as itallows them to have a measure of scrutiny of handling the job. As aresult, employees become motivated to tackle challenging tasks whichbuild a sense of job satisfaction among them. The occurrence thusreduces employee turnover rate leading to improved employee loyalty.
During the change process, it is important for employers to encouragedifferences among employees. Practicing freedom of expression is acrucial psychological support to employees in handling change.Openness encourages workers to express themselves, present ideas, aswell as pointing out detected problems. The practice promotesmotivation among workers as it makes them see that their efforts areworth full. Employees, therefore, become committed to theorganization due to an existence of an organizational culture thatpromotes information sharing. In turn, employees perceive theorganization to care about their contributions and would thus preferto stick around.
Also, building trust with employees during the transition processenhances employee motivation. Comprehensive communications, openness,and employee involvement help in building trust. Also, successfulpast changes build confidence among workers as they become certainthat they would manage the current or future changes. When employersbecome honest and communicate clearly the possible happenings duringan upcoming change creates positive attitudes towards the change inthe workplace, which in turn reduces the chances of employees leavingthe organization.
Monitoring employee performance
Monitoring of staff is of paramount importance in enhancing employeesatisfaction. Monitoring pinpoints the problem areas that requireimprovement to maintain employees` focus towards their goals.Besides, performance monitoring allows managers to remind employeesof how their existence is of benefit to the organization and howtheir efforts contribute to the business` achievements. Themonitoring process aligns the entire workforce to the company`soverall goal and direction (Puckett, 2015). Individuals then developa sense of ownership in the enterprise.
Performance monitoring helps managers to deliver feedback to staffconcerning their performance. Providing feedback enables managers tocoach employees who do not perform as per the expected level. Whensuch employees undergo coaching, they develop skills which assistthem to enhance their careers. Monitoring allows recognition andreward of good work. Rewards such as monetary bonuses help toestablish loyalty and willingness in employees. Besides the practicemakes workers feel valuable and respected to their employers. Theapproach improves employee engagement and retention as it reinforcesdesirable organizational behaviors and culture, and hence retainstalented employees.
Another importance of performance monitoring is that it promoteseffective goal setting within the organization. By monitoring workoutputs, employers can set attainable and realistic goals foremployees. Employers should communicate to employees on the expectedperformance results (Choon & Patrick, 2016). When employeesparticipate in goal setting and understand them, they get moreinvolved in attaining them. When employees finally achieve the goals,they develop faith and self-confidence of performing the firm`stasks. On the other hand, if the performance of employees goesunmonitored and unattainable targets are set for them, they lowconfidence levels. As a result, the individuals develop negativeattitudes and reduced commitments towards their job and might finallyquit the organization. Furthermore, when employees attain theirgoals, they develop desires to advance in their careers within thecompany. Employers, therefore, become encouraged to promote suchemployees thereby retaining them.
Another benefit of performance monitoring is that it enhancesemployee training and development. The work outputs of employeesenable managers to assess the strengths and weaknesses of staff,which eventually assist in determining the kind of training employeesrequire. Employees benefit from training by acquiring new skillswhich enable improve performance. By doing so, managers become ableto allocate duties to staff basing on their qualifications which leadto an improved workforce planning. Proper workforce planning resultsin enhanced communication between business units and human resourceleading to the identification and retaining of talents.
Also, tracking the performance of employees helps in establishing andretaining a workplace that attracts, maintains, and nourishesemployees. The practice contributes to ensuring that the corporatemission and operating procedures remain clear, consistent andlogical. The practice is beneficial as employees always want to workwith good performing companies that have straight forward missionsand well-defined operating procedures.
Communicating the change process at strategic and tactical levels
The organization`s strategic level of management is concerned withlong-term decisions that regard the business` vision, objectives, andvalues. The strategic level managers` function in a change process isto develop policies that deal with the change and to evaluateinternal and external risks. Proper communication of change tostrategic managers enables the establishment of suitable frameworksfor managing the change. Communication enhances a proactive approachto probable risks and threats that might come along with the changeand thus minimizes the act of resistance to change. The establishmentof frameworks for change makes employees develop emotional alignmentand which helps them to embrace the change. Furthermore, thestrategic level managers ensure that during the modification process,the values and the organization objectives become well communicatedto employees. Within such a situation, individuals get theopportunity to experience the likelihood of uncertainty during thetransformation period, and as a result they become emotionallyinvested in the change. The staff gradually start to modify theirbehaviors and collaborate among them on how to manage the transition.
In regards to the tactical level, the role of managers at this levelis to develop and implement systems that ensure objectives are met.Tactical managers are responsible for defining employeeresponsibilities and planning implementation schedules. Adequatecommunication of change activities is vital to the tactical managersas their position in the structure of an organization gives them thepower to drive the enterprise towards the desired goals efficiently.Also, middle level managers are close to frontline workers who adoptthe change. If such managers become neutral to change or resist tochange, there is a high possibility that employees also develop thesame resistance. However, if the managers support and advocate forthe change, employees would also react accordingly by developingbehaviors that embrace the change. Additionally, to bring out thechange in an organization, tactical managers ensure that employeesbecome involved in setting policies that guide their activities. Thepractice results in better understanding of the benefit and need forchange and thus minimizing the resistance to change. To effectivelymanage the change process, enhanced communication in the tacticalteam helps to support, coordinate, and guide implementation effortsduring the implementation process. The act leads to a refinedimplementation plan which in turn motivates employees to stayengaged.
The coordination between the tactical team and unit managers fosterscommunication to individuals enabling them to know what to expect.Also, timely communication allows the implementation team to developnew practices that tailor unit functions appropriately. As a result,employees become able to address perceived risks and potentialbarriers which enable easy troubleshooting of problems that ariseduring the change. Communication serves as an essential component forauthorizing resources to support the implementation process. Forexample, during the pilot and early implementation stages, tacticalmanagers need to negotiate with the administration to secure timelyrelease of funds and training of staff. The scenario providesconvenience to employees and hence promotes their attitude towardsthe change.
Considering the difference in unit cultures, some individuals becomewilling to try new things while others have difficulties in makingchanges. Therefore, communication allows the tactical team to allowunit staffs to provide suggestions for developing a successfulprogram. The methodology enables the creation of defined roles andresponsibilities for staff and further promotes communication andreporting of things that require adjustments. The result is animproved employee satisfaction which significantly contributes toemployee loyalty.
To conclude, the rapid changes in modern business environments hasmade organizations to adopt change management strategies. Changemanagement ensures a smooth transition from current state to adesired future state. The approach aligns the organization to thebusiness mission while at the same time helps to reduce employeeturnover due to an elimination of the resistance to change.Motivating staff to remain engaged is one of the roles that changemanagement plays in an attempt to promote employee loyalty. Positivechange such as organizational growth generates positive impacts onthe working environment and employee attitude. The positive impactsgenerate a sense of focus, confidence, hope, and enthusiasm that inturn increases the morale and motivation of employees resulting inlow employee turnover rates. Also, making workers know andacknowledge the benefits and reasons of change motivates them tobecome willing to accept the change as it enables them to developperceived control. Furthermore, encouraging openness and trust act asmotivation factors that help to retain workers. Monitoring employeeperformance also plays a significant role in keeping workers. Theactivity contributes to align the entire workforce to the company`soverall goal and direction which makes individuals develop a sense ofownership in the enterprise. Performance monitoring also promotesfeedback and goal setting that in turn help to establish and retain aworkplace that attracts, maintains, and nourishes employees. Besides,effective communication of change management at strategic andtactical levels contributes to creating emotional alignment,proactive approaches to probable risks and threats, and improvedcoordination enhances employee satisfaction and thus promotesemployee loyalty.
Choon, T., & Patrick, K. (2016). The Impact of Goal Setting onEmployee Effectiveness to Improve Organisation Effectiveness:Empirical study of a High-Tech Company in Singapore. Journal OfBusiness & Economic Policy, 3(1), 82-90.
Iqbal, A., Tufail, M., & Lodhi, R. (2015). EMPLOYEE LOYALTY ANDORGANIZATIONAL COMMITMENT IN PAKISTANI ORGANIZATIONS. GlobalJournal Of Human Resource Management, 3(1), 1-11.
Puckett, J. (2015). The Importance of Performance Management.TechnologyAdvance. Retrieved 20 March 2017, fromhttp://technologyadvice.com/blog/human-resources/importance-of- performance-management/