University of Technology Sydney · FACULTY OF MANAGEMENT

21926 Chap.1 What Organisational Change Is and Why It Is Managed

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Chapter 1 of 16 · 21926

What Organisational Change Is and Why It Is Managed

Change as a move between states

The first lecture defines organisational change as an organisation moving from its current way of operating to a desired future one, whether by plan or because events force it.

Ownership, structure, technology, culture, strategy and everyday operations can all be the thing that changes.

Four dimensions and four types

Managing change is presented as a rational, strategic process with four dimensions: the content of the change, the process for making it, the context that explains why it is needed and the object it is aiming for.

Changes are then sorted by degree, from incremental to radical, and by timing, from anticipatory to reactive, which gives four types with very different demands on time, consent and planning.

Why a method matters

Change is costly and often fails.

A practitioner study cited in Week 1 found that well under half of change projects met their goals, and that the hardest barriers were mindsets and culture rather than technology. That is the argument for treating change management as a discipline in its own right.

In this chapter

What this chapter covers

  • 01

    Organisational change as a move between states

  • 02

    Content, process, context and object

  • 03

    Incremental and radical change

  • 04

    Anticipatory and reactive change

  • 05

    Internal and external pressure to change

  • 06

    Why change projects fall short

Worked example · free

Place three changes on the degree and timing matrix

Q [3 marks]. AskSia-authored practice. Classify each change by degree and timing: (a) an accounting firm starts moving its audit working papers into a new document system a year before a regulator’s stricter record-keeping rule takes effect; (b) a concert ticketing company rebuilds its sales model, staffing and structure after its main venue partner ends every contract without notice; (c) a pathology laboratory adds a second labelling check after an internal review finds mislabelled samples. The marks shown are an AskSia study allocation, not an official University marking scheme.
The types of organisational change on two axes.The types of organisational change on two axes. The vertical axis runs from incremental to radical degree of change and the horizontal axis shows whether the change starts before or after a major shift in the environment, so each of the four cells pairs a degree with a timing.Incremental anticipatoryPlannedIncremental reactiveUnplannedRadical anticipatoryPlannedRadical reactiveUnplannedTiming of changeBefore the shiftAfter the shiftDegree of change
The types of organisational change on two axes. The vertical axis runs from incremental to radical degree of change and the horizontal axis shows whether the change starts before or after a major shift in the environment, so each of the four cells pairs a degree with a timing.
  • 1Document system: one part of how the firm works changes and its structure and strategy stay intact, so the degree is incremental; the move starts a year before the rule bites, so it is anticipatory. Cell: incremental anticipatory.
  • 1Ticketing company: sales model, staffing and structure are all rebuilt, so the degree is radical; the trigger was a loss nobody planned for, so it is reactive. Cell: radical reactive.
  • 1Laboratory: one step in one process changes, so the degree is incremental; it follows a problem the review has already found, so it is reactive. Cell: incremental reactive.
(a) incremental anticipatory, (b) radical reactive, (c) incremental reactive. Degree depends on how much of the organisation is reshaped; timing depends on whether the change starts before or after the triggering shift.
Sia tip — Decide degree and timing separately. Ask first how much of the organisation the change reshapes, then ask whether the trigger has already happened.
Glossary

Key terms

Incremental Change
A small, contained adjustment to one part of how an organisation works that leaves its overall shape intact.
Radical Change
A transformation that reshapes an organisation’s structure, strategy or way of working as a whole.
Anticipatory Change
Change an organisation plans and begins before a major shift in its environment forces the issue.
Reactive Change
Change started after an unplanned event or shift in the environment, usually with little time to prepare.
Object of Change
The destination a change aims for, stated as the condition the organisation wants to reach and can measure.
FAQ

What Organisational Change Is and Why It Is Managed FAQ

What counts as organisational change?

Any significant move from the way an organisation currently operates to a different way, whether it is planned in advance or forced by events. New leaders or owners, restructures, mergers, new technology, a shift from manual to digital work, culture change and new products or markets are all common forms.

What are the four dimensions of managing change?

Content asks what is being changed, process asks how it will be changed, context asks why the change is needed, and object asks where the organisation is trying to get to. Answering all four before choosing a model keeps the analysis complete and gives the change a measure of success.

What is the difference between anticipatory and reactive change?

Timing. Anticipatory change begins before a major shift in the environment, so it can be planned and paced. Reactive change begins after an unplanned event, so it usually runs under pressure with less time for consultation, which affects how much consent a manager can build.

Why do so many change projects fail?

A practitioner study cited in the first lecture found that most projects missed at least one of their time, budget or quality goals. The biggest obstacles were soft ones, such as changing mindsets and corporate culture, and underestimating complexity, rather than shortages of money or people.

Why manage change formally instead of improvising?

Because change is risky, expensive and frequent. A deliberate approach protects results, resources and people, anticipates resistance and risk, and keeps the organisation adaptable instead of drifting into rigidity and inertia, which the lecture argues is why formal change management matters in every organisation.

Study strategy

Assessment move

Take three changes from the news this week and write the four dimensions for each in one sentence apiece. Then place each change in the degree and timing matrix and note which cell gave its managers the least time to plan. Doing this before Week 2 trains the habit every later model depends on: describing the change precisely before analysing it.

When you meet your own assessment organisation, start with the same two steps, and keep the object sentence somewhere visible, because it becomes the test for every recommendation you make.

Working through What Organisational Change Is and Why It Is Managed in 21926? Sia is AskSia’s AI Management tutor — ask any 21926 What Organisational Change Is and Why It Is Managed question and get a clear, step-by-step explanation grounded in how 21926 is taught and assessed. Read this chapter free, then take your hardest questions to Sia.

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