Businesses and Change

 Change in a Business 

 

Step change 

Step change is where a business radically changes its strategy or operations. Step change is often a large, drastic shift in the business and its processes. 

Incremental change 

A sequence of minor changes to transform a business slowly. It is way less drastic than step change and used to monitor how the business transforms whilst it shifts. 

Internal causes of change 

These are inside the business’s environment. Some examples are: 

  • Delayering 

  • Hiring 

  • Corporate culture 

 

External causes of change 

These are outside the business’s environment. Some examples are: 

  • Government policy 

  • Competition 

  • New technology 

These causes of change are outside of the business’s control. 

 

Change management 

Change management is a way of managing change in a business so that it will be successful. When a business is shifting, managers must look at 4 main concepts: 

  • Strategic goals 

  • Performance indicators 

  • Stakeholders 

  • Project scope 

Identifying and considering these concepts are important to create a good change plan. This will also help the managers identify what rate of change they must use. 

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