TEAM APPROACH TO THE MANAGEMENT OF CHANGE IN THE NIGERIAN MANUFACTURING ORGANIZATIONS STRATEGIES CHALLENGES AND PROSPECTS

ABSTRACT

This study took a critical look at the activities of manufacturing organizations in the area  of  Teams   Approach   to  the  Management   of  Change   in   Nigerian manufacturing  organizations,  with  three  manufacturing  organizations  from southern part of Nigeria as the focal point for the study.  The study determined if team approach to change  management  would  bring about an increase  in productivity, and attempted to ascertain if there was a significant relationship between team approach to management of change and organizational ability to survive.     The study also sought  to  ascertain the strategies,  challenges and prospects  of  team  approach  to  change  management  and  to  ascertain  if managerial   roles   to   team   approach   to   change   management   compared favourably  with  Mintzberg’s  model  on  managerial  roles.  The  study  was carried  out  using  survey  design.    Both  primary  and  secondary  data  were utilized  for the study.   A sample size of 389 was used for the study. The research instruments employed was structured questionnaire and an interview. The descriptive statistics of   simple percentage,  tables,   means,  frequencies and  standard  deviation  were  employed  to  analyze  the  data,     while  the inferential statistics of Z-test was used to test the  first, second, third, fourth and sixth hypotheses, while the fifth hypothesis was tested with Spearman’s Rank correlation coefficient  at alpha level  set at 0.05.   The findings of the study  among  others  revealed  that  the  manufacturing  organizations  studied

agreed that team approach to change management brought about increased in productivity in the sampled organizations. This was true with a  calculated Z value of 15.933 which was greater than the table Z value of 1.645 and that there was a high positive relationship  between the  organizational  ability to survive and team approach.  This was true at a sample mean of 4.420, sample standard deviation of 0.944 and calculated Z score of 29.346. It was found out among others that the strategies adopted to change management were building self-managed  teams/human  resources strategy,  cost  reduction  strategy.  The finding also revealed that team approach ushers good prospects in the area of improved  performance/productivity,   coordination  of  department,  plans  and polices.  It was recommended that the strategic managers of the manufacturing organizations  should share their perception,  knowledge  and objectives  with those affected by change. This can involve a major and expensive programme of training, communication, and motivation and should give priority to the role of building effective teams and this should be backed by policy. Conclusively, every business needs to have a strategy and this  strategy must be related to changing environmental conditions in order to  survive and maintain growth, and be ready to take maximum advantage of the challenges and opportunities presented. Two models were developed. One on pressure for change showing forces  of  change  in  manufacturing  organizations,  and  the  other  on  team approach processes to change management indicating processes to be adopted in change management.

CHAPTER ONE INTRODUCTION

1.1       BACKGROUND OF STUDY

Work is a group-based activity and if organization is to function effectively it requires good teamwork.   Katzenback and Smith (1993) define a team as a small number of people with complementary skills who work toward common goals  for which they hold  themselves  mutually accountable.    A team  depends  on its  own  members  to provide  leadership  and  direction.    Teams  can  also  be  organized  as  departments. Bailey-Scudamore, (1991) opine that   many organizations face a volatile environment in which change is nearly constant and if they are to survive and prosper, they need to adapt to change quickly and  effectively.   Human resources are almost always at the heart of an effective  response  system;  this is because effective  leaders work with subordinates and co-workers to create visions and strategies as means to achieve the organization’s goals.  Rapid change can put employee under a great deal of stress, and unless the organization develops support mechanisms to keep it manageable both the firm and employees may pay a heavy price (Gomez-Mejia, et al, 2001).

The question of organizational change is central to all kinds of organizations. It is the way in which organizations thrive, grow and stabilize rather than wither and decline. Yet  achieving  change  presents  one  of  the  most  intransigent  problems  for  both

organizations  and  individuals.  Change  is  the  only  thing  in  this  world  that   is permanent.   Many people view change as a threat and indeed it is reasonable to be somewhat apprehensive.  Change can be described as a natural and continuous part of individual and organizational growth and development.  The day-to-day management process  in  these  days,  one  way  or  the  other   involves  managing  change.  An organization  is  subject  to  many pressures  for  change  from  a  variety  of  sources. Moorhead and Griffin (1989) mention four  areas in which the pressure for change seems  most  powerful.    These  are  people,  technology,  information  processing  and communication and competition.

Everyday people experience significance changes in their lives and careers.   These changes may involve accepting a promotion at work, transferring to new  office or even starting a new family.   Some of these changes are chosen by ourselves while others are imposed on us.  The ways people react to change differ.   One will likely welcome changes which provide one with options and resist changes which give you no choice.

Irrespective of any force that influences change in any organization, the change must be  planned.    McAfee  and  Champagne  (1983)  define  a  planned  change  as  any deliberate attempt to modify the functioning of the total organization, or  one of its major components, in order to improve effectiveness.  The planned change efforts can focus  on  individual,   group,  or  organizational   behaviour.   Change   and  change management  are  concepts  that  have  come  to  assume  greater  importance  in  the discussions of top executives of most companies.

Mckee (2005) suggests that one of the most significant essentials for success during transition is teambuilding and maintain that leaders that can challenge, motivate, and empower their teams through change are successful. Mckee goes further to state that leaders   who   can  keep   their   work  teams   focused   during  changes   will   have organizations and businesses, which thrive.    Since change is something we have to live with, the better we are able to manage its  introduction  and consequences  the better for all. If an organization refuses to change, such organization will be changed. It is better to be quick than to be dead.

McAfee and Champagne (1983) assert that forces of change, also known as change drivers or change initiators, can either be external or internal.   The  external change drivers are those forces that are outside the control of  management but have made change imperative.   Since the management has little control over them they have a greater effect on organizational change.  No organization can operate in vacuum.  An organization  must  interact  with  its  external  environment  if  it  is  to  survive.  The organization’s physical, financial and human resources are obtained from outside and the clients and customers for the organization’s products and services are also there. Therefore, anything that  interferes with or modifies that environment can affect the organization’s operations and cause pressure for change.  These include government policies,    political   development,   technology,   competition,   changing   consumer behaviour,   industrial   practices,   external   stakeholder   interests,   socio-economic environment, and customer capabilities.

Mullins (1996) opines that internal change  forces are pressures for change,  which come from within the organization for which we have reasonable measure of control. These may include the appointment of new Chief Executive Officer, new organization objectives, managerial policies, technologies, employee attitudes, operation start-ups, business relocation, mergers and acquisitions. Mullins goes further to state that both external  and  internal  forces  for  change,  are  not  found  in  isolation.    They  are interrelated.    More often than  not,  external  change  drivers  create  internal  change drivers, which lead to organization change.

If change is important then more important is its management.   When change is not properly managed the result can be disastrous because of the possibilities of resistance among  people.    To  successfully  manage  change  one  needs  to  understand  basic concepts and strategies to build commitment and acceptance to change in all levels of the organization.

Since change is something we have to live with, the better we are able to manage its introduction and consequences the better for all.  In view of this, it is imperative that individuals, groups and corporate bodies must consciously plan for managing change if the rewards from it are to be maximized.

It is certain however, that today’s organizations face quite specific challenges.  These include increasing internationalization (the introduction of the term “globalization” to a business strategy), rapid advances in technology, uncertain political environments, and faster product life cycles.   Competition from international producers has forced managers  in  domestic  firms  to  re-assess  the  ways  in  which  they  organize.    In technology, for example, fears that the Japanese organizations might be doing it right has  prompted  many  European  managers  to  study  and  copy  their  manufacturing processes,   and   other   forms   of   inventory   processing.      Coupled   with   these manufacturing  changes  has  been  an  increased  emphasis  on  product  and  service quality. Not  only do manufactured  products and service delivery need to be of the highest standard for firms to compete effectively, management processes and human resource aspects of the organization need to be as effective as possible.  The ultimate intention is to design an organization which is effective and efficient today and is also flexible  enough  to  change  quickly  and  responsively  to  any  future  changes  in  its environments.

Mullins (2005) states that the relationship between the organization and its members is governed by what motivates them to work and the fulfillment they derive from it. Socio-economic  changes, especially in the role of the  government,  have also had a great impact on all organizations in the private,  public and voluntary sectors.   The rapid  industrialization  at the turn of the  century brought  with it a whole  host  of changes focusing not only on the development of new technological processes for the emerging  organizations,  but  also  on the  social  and  economic  transformation  of a previously rural-based community to an urban-based labour force.

The manager  has always  had  to cope with and handle change.   It  is endemic  to organizational life.  Possibly, the reason for the greater emphasis on managing change today  lies  in  its  increased  perversity  into  all  aspects  of  our  lives.    Not  only  is technological change taking place, but also there are changes occurring at all levels of social and institutional practice.  Personal values are questioned.  Work is no longer a natural part of individuals’ lives.  Managers are no longer accepted as natural leaders. They have to earn and justify their position.   And, at bottom of all this, is the almost inevitable  link  between  change  and  organizational  survival.    Those  organizations which do not respond to the challenges and changes facing them are likely to become

old-fashioned and will not work well in the evolution of modern society.   They will become old-fashioned,  uneconomical  to run and, ultimately,  will close  down, thus compounding the over bloated unemployment figures (Robert, et al, 2002).

1.2       STATEMENT OF THE PROBLEM

Teams are a major feature of organizational life and can have significant influence on the  successful  implementation  of  change.    Most  change  can  disrupts  teamwork. Unless people are involved, committed  and prepare to adapt and  learn; objectives, plans and future desired states may likely to founder on the resistance, which is often viewed as negative responses. Also attempting to  change the culture of a defensive group into that of intentional group is not easy. The intervention strategy is likely to be perceived as threatening members of the group.  The danger of domination of the team by some powerful members, the  difficulty in placing responsibility for a bad team decision, the effects of selecting poorly qualified persons as members, and team decisions may result from compromise.

The  absence  of  an  explicit  concept  of  strategy  may  result  in  members  of  the organization working at cross-purposes.  The intention of top management may not be communicated clearly to those at lower levels in the hierarchy who are expected to implement these intentions. Obsolete pattern of behaviours may become very difficult to modify. Also without an explicit statement of strategy it may become more difficult for expanding organizations to reconcile  co-coordinated  action with entrepreneurial effort.

However, member’s willingness to put in effort is generated through making the team work  to  be  motivating.    The  ability of  the  leader  to  persuade  and  influence  his followers, which in turn, depends largely on how much power the leader possesses, will determine  how effective  team-oriented  approach  to  change  management  will succeed.   To some extent the leader’s effectiveness in the interpersonal area can be judged by the team’s practical achievement. In the competitive economy, above all, the quality and performance of the managers determine the success of a business.

Whatever the degree and content of the change, its implementation can still pose large problems for organizations and their staff.  To get people to accept and implement the new ways of doing things is neither a swift nor an easy task.   Goals that are not measurable  and  realistic  that  are  set  can  become  obstacle  to  achieving  change. Groups, too, can become formidable obstacles to achieving change.   Resistance can seem irrational and develop without warning,  interrupting any activity at any time. The major team problem may be that of conformity, which raises its head in a number of  guises  ranging  from  groupthink  –  where  within  the  group  there  is  excessive conformity to method and content of decision – to organizational culture, where there is pressure from outside  the  team to make decisions  in such a way to fit what is considered  acceptable  by  the  wider  organization.    With  the  wide  use  of  teams, interpersonal  and  inter-group  conflict  may  arise.      In  addition,  conflict  between organizations  as  well as between  organizations  and their environment  needs to be dealt with.

Survival of the organizations will depend upon it ability to adapt to change and to the demands of its external environment. Commitment to the objectives and  policies of the organization, people’s cognitive limitations and then uncertainties and fears, may mean a reluctance to accept change.  Organizations may also find it difficult to make short-term,   rapid   changes   in   resource   allocation.   The    very   complexity   of environmental influences may itself hinder rapid change.

The time and other resources requirements for running team, the danger of domination of the team by some powerful members, the difficulty in placing responsibility for a bad team decision, the effects of selecting poorly qualified persons as members, and the most team decisions may likely result from compromise posses great challenges to team approach to change management.

To  this  end,  it  would  be  pertinent  to  investigate  the  strategies,  challenges  and prospects  of team  approach  to  management  of change  in Nigerian  manufacturing organizations. This will enable one to say with some air of confidence the extent to which  managers  of  these  organizations  can  cope  with  change  using  the  team approach.

1.3       OBJECTIVES OF THE STUDY

The specific objectives of the study include the following:

1.      To ascertain determinant of team effectiveness in management of change in the sampled Nigerian manufacturing organizations.

2.      To ascertain if the management of organizational change is hindered by inability to cope with the challenges of team approach.

3.      To  ascertain  if strategies  for  change  management  are  compatible  with  team approach to change management.

4.      To ascertain if managerial roles in the team approach to change management in Nigerian  manufacturing  organization    compare  favourably  with  Mintzberg’s (1973) model.

5.      To  find  out  if  there  is  relationship   between   team   approach   to   change management and organizational survival.

6.      To ascertain if team approach to change management holds good prospects for sustenance and viability in Nigerian manufacturing organizations.

1.4       RESEARCH QUESTIONS

1.      What   are   the   determinants   of   team’s   effectiveness   in   management   of organizational change in Nigeria manufacturing organizations?

2.      Is management of organizational change hindered by inability to cope with the challenges of team approach in Nigerian manufacturing organizations?

3       Are strategies for change management compatible with team approach to change management in the Nigerian manufacturing organizations?

4       Do  managerial  roles  in  team  approach  to  change  management  in  Nigerian manufacturing   organizations   compare  favourably  with   Mintzberg’s   (1973) model?

5.      What  is the relationship  between  team  approach  to change  management  and organizational survival?

6.      What  good  prospects  do  team  approach  to  change  management  hold  in  the sustenance and viability of Nigerian manufacturing organizations?

1.5     RESEARCH HYPOTHESES

To  provide  answers  to  the  research  questions  the  following  null  and  alternative hypotheses have been developed.

1.   Ho:      Team’s effectiveness  to change management  in Nigerian  manufacturing organizations cannot be determined.

	H1:	Team’s effectiveness to change management in Nigerian manufacturing organizations can be determined.
2.	Ho:	Management of organizational change is not hindered by inability to cope   with   the   challenges   of   team   approach   in   Nigerian   manufacturing
		organizations.
	H1:	Management of organizational change is hindered by inability to cope with   the challenges of team approach in Nigerian manufacturing organizations
3.	Ho:	Strategies for change management are not compatible with team approach   to change management in Nigerian manufacturing organizations.

H1:   Strategies for change management are compatible with team approach to

change management in Nigerian manufacturing organizations.

4.	Ho:	Managerial   roles  in  the  team   approach   to  change   management   in   manufacturing    organizations    does    not    compare    favourably    with
		Mintzberg’s (1973) model.
	H1:	Managerial   roles  in  the  team   approach   to  change   management   in
		manufacturing  industries  compares  favourably  with Mintzberg’s  (1973)
		model.
5.	Ho:	There is no relationship between organization ability to survive and team approach to management of organizational change.
	H1:	There  is relationship  between  organization  ability to  survive  and  team
		approach to management of organizational change.
6.	Ho:	Team   approach   to   change   management   in   Nigerian   manufacturing   organizations does not hold good prospects for sustenance and viability.
	H1:	Team   approach   to   change   management   in  Nigerian   manufacturing   organizations holds good prospects for sustenance and viability.

1.6       SIGNIFICANCE OF THE STUDY

This study is beneficial to many people.

(1)    To the manufacturing organizations, this study will enable the manufacturing organizations to know how to lead a business enterprise into successive radical changes in order to keep pace with accelerating technology and shifting social economic  force through the use of team  approach to change  management  in order  to retain competitive  edge,  for  survival,  for growth.  The organizations would be able to identify variety of sources in which pressure for change seems most powerful, and if the organizations are to survive and prosper, they need to adapt to change quickly and effectively. This is because many organizations face a  volatile  environment  in  which  change  is  nearly  constant,  and  unless  the organization develops support mechanisms to keep it manageable both the firm and employees may pay a heavy price.

(2)    Practicing managers and general public

This study x-rays the challenges, and prospects associated with teams approach to change management  and strategies employed  in management  of  change in manufacturing organization. This would enable leaders\managers to understand that  leaders  that  can  challenge,  motivate  and  empower  their  teams  through change  would   be  successful,   and   how   effective   leaders  can  work  with subordinates and co-workers to create visions and strategies as means to achieve the organization’s  goals.   Irrespective  of any force that influences changes in any  organization,  the  change  must  be  planned.     The  plan  can  focus  on individual, group, or organizational behaviour.   Since change is something we have  to  live  with,  the  better  we  are  able  to  manage  its  introduction  and consequences  the  better  for all,  and  if organization  refuses  to  change,  such organization will be changed. Those organizations which do not respond to the challenges and changes facing them are likely to become old-fashioned and will not  work well in the evolution  of modern  society.    They will become  old- fashioned,   uneconomical   to   run  and,   ultimately,   will   close   down,   thus compounding the over bloated unemployment figures.

Managers are no longer accepted as natural leaders.   They have to earn and  justify their position. The manager needs to know how best to elicit co-operation of staff and direct their performance to achieving the goals and objectives of the organization. The manager must understand the nature of human behaviours and how best to motivate staff so that they work willingly and effectively.

(3)   Researchers

Students and researchers will benefit immensely from the work, as it will be useful sources of research material.

1.7       DELIMITATION OF THE STUDY

This study is limited in scope to three manufacturing organizations with reference to

May & Baker Nigeria Plc, CUTIX Plc, West African Glass Industry. It examined the

challenges,  strategies  and  prospects  of  team  approach  to  change  management  in

Nigerian manufacturing organizations.

1.8       LIMITATIONS OF THE STUDY

While undertaking this research, the following constraints were encountered. One of such constraints  is finance.   The study covered three manufacturing  enterprises  in southern part of Nigeria.  A lot of traveling was involved in visiting these enterprises while distributing the questionnaire and interviewing the respondents.   Also a lot of secretarial work was required in typing, photocopying and duplicating materials.  All these require funds to accomplish.

Secondly, the researcher was faced with the problem of time.  The researcher had to combine this work with the workload in the office and family.

Another  problem  faced  by  the  researcher  was  the  negative  attitude  of  some respondents. Some of them claimed that they were too busy and refused to accept our questionnaire.  Even some of those who accepted our questionnaire refused to answer certain questions in the instrument.  In all, however, we obtained responses, which we consider adequate for the study.

1.9       OPERATIONAL DEFINITION OF TERMS

We set out below operational definition in respect of terms which we have used.

Team:  It is a number of people with complementary skills who work toward common goals for which they hold themselves mutually accountable.

Team approach: This concerns the direction in which human and material resources will  be  applied  in  order  to  increase  the  chances  of  achieving  selected objectives.

Change management:  It is a structured approach to transitioning individuals, teams, and organizations from a current state to a desired future state.

Change Agents:  Change agents are the individuals or groups of individuals whose task is to effect the desired change in an organization.

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