Way back in 1978, Allen
reported that
organizations must undertake moderate
organizational change at least once a year and
major change(s) every four or five years. Organizations are facing
both external and internal challenges that make change
inevitable. Notwithstanding the fact that literature is abundant
with information on organizational change and leadership,
change remains, yet, an elusive issue for leaders as well as
practitioners. Against the background of increasing and
accelerating pressures for change, we are faced with the depressing reality that
70% of change initiatives still fail to achieve their goals (Kotter,
1995; Beer and Nohria, 2000). This leads to the fundamental question
about change and leadership in organizations. Even though
there are many important factors which are required for change
in organizations, executive leadership is consistently mentioned as
a critical factor for effectively bringing about change in
the organization. The role of the leadership, though is important
in every stage of the change process, is especially critical during the
initial stages when the process is stalled by the resistance shown by
the members of the organization.
Over half of the organizations undertaking a large,
complex change initiative fail during the first phase of the process
(Kotter, 1995). It is said that the failure for
change during the initial phases is a definite indication of failure of
leadership. Only the executive leaders have
the position and potential to successfully initiate
strategic changes within the organization. It is the responsibility of the
leaders to uncover the need to change and enthuse others through the
belief that an authentic need exists within the organization (Kotter,
1995). That leadership ability varies widely within and
between organizations is well-known and
well-documented. In effect, change in organizations would not
happen without effective leadership and anything less than good
leadership would lead to ineffective change (Browne, 2006). How do
leaders approach change and in what way does change need
to be affected if we are to increase its success
rate, are important questions that need to be addressed by
every organization. Change-oriented leadership describes
the responsibility of leaders to recognize that any major
change initiative contemplated or already in progress will significantly
impact the affected divisions and the organization and that they
must proactively lead the affected groups through change.
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