Resistance to and Management of Change (AQA A Level Business): Revision Note

What is resistance to change?

• Resistance to change is the reluctance or refusal of employees, managers or other stakeholders to accept, support or engage with a change a business is trying to introduce

• Resistance to change is a natural human response to uncertainty

  • It can occur even when a proposed change would genuinely benefit the business and the people affected by it

• If left unmanaged, resistance can significantly slow down, weaken or derail the implementation of a well-planned strategy

• Resistance most commonly comes from employees

  • Employees are usually most directly affected by day-to-day changes to their role, workload or working practices

Active and passive resistance

• Examples of active resistance include

  • Openly opposing a decision

  • Deliberately obstructing its implementation

  • Taking industrial action

• Examples of passive resistance include

  • Reduced effort

  • Disengagement

  • Quietly continuing to work in the old way

Kotter and Schlesinger's four reasons for resistance to change

• Kotter and Schlesinger identified four reasons why workers resist change

The four reasons

Self-interest

• People worry that change could threaten their job, status or pay.

• It’s natural for employees to protect what they value most.

• If staff feel little loyalty, they’ll put their own needs first

Fear and misunderstanding

• Employees may not know why change is needed or have the wrong facts.

• Without a clear reason, it’s easy to believe that everything’s fine as it is

• Sometimes people convince themselves the old way works better than it actually does

Different assessments

• Not everyone agrees on what the problem is or how to fix it

• Some may back a completely different solution

• This isn’t just self-interest - it is genuine debate over what’s best for the business

Prefer things as they are

• Many prefer routine and feel uneasy about new ways of working

• Past bad experiences can make people extra wary

• If it feels risky, staff tend to resist even small changes

Overcoming resistance to change

• Kotter and Schlesinger also suggested a range of methods that can be used to overcome resistance to change

Education and communication

• Useful when people lack facts or hold incorrect views about the change

• Sharing clear information explains why the change is needed

• Convincing everyone may take significant time and discussion

Participation and involvement

• Inviting staff to help design and implement the change builds commitment

• When people feel ownership of the process, they’re more likely to support and drive it forward

Facilitation and support

• Anxiety about new ways of working can increase resistance

• Providing training, resources and coaching helps employees cope and accept the change

Negotiation and agreement

• Bargain with resistors, offering compromises to gain their backing

• This often results in a slightly adjusted plan that still meets core objectives.

Manipulation and co-option

• Offering perks or roles to influential individuals encourages them to champion the change

Explicit and implicit coercion

• As a last resort, change may be enforced through formal orders or implied threats.

• Staff comply because they have no real choice.

• If the new approach proves successful, people may come to accept it over time

The importance of managing change effectively

• Managing change effectively helps a business achieve its intended benefits more quickly

Benefits of effectively managed change

• Achieves the intended benefits of the change faster and more fully

• Maintains staff morale and engagement throughout the transition, rather than only after it is complete

• Protects the business's reputation with customers, investors and the wider public

• Builds a more resilient, adaptable organisational culture

  • This often makes future change easier to manage as well

Example

IBM is widely regarded as having successfully managed several major strategic changes over its long history, shifting from a hardware-focused business towards software and consulting services

It achieved this by investing heavily in staff retraining and engaging in clear internal communication throughout each transition

Risks of poorly managed change

Increased resistance

• Employees who feel a change is being forced on them without explanation or consultation are far more likely to resist it

Lost productivity during the transition

• Uncertainty and disruption can reduce output and quality while a change is being implemented

Damaged trust and morale

• Handling change badly can harm the relationship between management and staff long after the change itself is complete

Reputational damage

• Change that is handled insensitively and becomes public can damage a business's reputation with customers and the wider public

Wasted resources

• Money, time and management effort invested in a change can be lost if implementation fails, stalls or has to be reversed

Loss of competitive advantage

• A business that manages change badly risks falling behind rivals who adapt more smoothly and quickly

Example

Royal Mail's attempts to change working practices in recent years have instead faced repeated strikes and other forms of industrial action

This was blamed in part on poor consultation and communication with staff during the process

Lewin's Force Field analysis

• Force field analysis involves managers identifying the driving and restraining forces that surround a strategic change decision

  • Once identified these forces can be analysed to determine whether a decision should go ahead

Driving forces

• Driving forces are factors that could justify that strategic change is needed

  • Internal driving forces may include:

    • Outdated machinery or product lines

    • Declining team morale

    • The need to increase profitability

  • External driving forces may include:

    • A volatile market

    • Disruptive technology, e.g. AI

    • Changing demographic trends

Restraining forces

• Restraining forces are factors that could prevent or limit change

  • Internal restraining forces may include:

    • Fear of the unknown

    • The existing organisational structure

    • "That's not how things are done here" attitudes

  • External restraining forces may include:

    • Existing commitments to partner organisations

    • Government legislation

    • Obligations towards customers

Weighting the forces

• Driving forces and restraining forces are weighted from 1 to 5 in terms of their relative importance

  • A value of 5 is most important and 1 least important

A simple force field analysis

Analysis of the force field

• Four driving forces justify a decision for change

  • Their weightings are 5, 4, 3 and 2

  • The total value of these driving forces is 5 + 4 + 3 + 2 = 14

• Four restraining forces prevent or limit change

  • Their weightings are 4, 3, 2 and 1

  • The total value of these restraining forces is 4 + 3 + 2 + 1 = 10

• The relative weight of driving forces is greater than the relative weight of restraining forces

  • There is a good chance that this decision would be successful

• To maximise the chance of success, driving forces could be further strengthened or restraining forces weakened/eliminated 

Evaluating the use of force field analysis

• Force field analysis is a valuable technique for assessing the factors influencing a situation

• It is most effective when used alongside other decision-making tools

  • This helps ensure a comprehensive understanding of the situation

Strengths of force field analysis

Weaknesses of force field analysis

• Force field analysis has some significant limitations

  • Particularly in situations where precision is required