Title page for ETD etd-03162004-131828

Document Type Doctoral Thesis
Author Pretorius, Werner
URN etd-03162004-131828
Document Title Organizational factors influencing the transformational process of a financial institution
Degree DCom (Human Resources Management)
Department Human Resource Management
Advisor Name Title
Prof S W Theron
  • work motivation
  • transformation
  • change
Date 2004-04-23
Availability unrestricted
Change is a way of life in organizations today, whether the change is planned or unplanned. The goals of planned change are to improve the ability of the organization, as an open system, to adapt to change, and more specifically, to change behaviour of employees. Change in customer needs, the competition, and changed legislation amongst others, force the organization to change, and lead to change plans, strategies, and techniques.

The drivers for change impacted on the interrelated primary components of the organization (subsystems); viz. technical, structural, management, psychological, goal, and value components. The impact on the structural subsystem of the organization was brought about through restructuring, division of work, new decision-makers and authority, and changes in organizational policies and procedures. The impact on the technical subsystem was brought about by process re-engineering, new technology, and new techniques and equipment necessary for service delivery. The impact on the psychosocial subsystem was brought about by restructuring and affirmative action initiatives, resulting in a new network of social relationships, behavioural patterns, norms, roles, and communications. The impact on the goal and value subsystem was brought about by a new mission and vision of the organization, value changes such as empowerment, teamwork, learning and development, diversity awareness, as well as respect for the individual. All the changes mentioned previously collectively impacted on the managerial subsystem that spans the entire organization by directing, organising and coordinating all activities toward the basic mission. The managerial subsystem is important for the integration of the other subsystems, and the proposed changes were true role modelling, living the new organizational values, participative management, creating opportunities, people-centerd focus, giving recognition, motivating and coaching staff, and capacity building. For change to be effective there should be an integrated approach of structural, technical (work processes), and behavioural strategies. Through this research it became evident that it could be easier to change processes and structures within the organization, but the challenge is to change behaviour of individuals, groups, and the larger organization as it impacts on the management, psychological, goal, and value subsystems. People are the key to facilitate, implement, and manage change effectively in order to improve organizational effectiveness. Therefore, good leadership, including motivating employees during organizational change, is vital to the success of any change initiative. In summary, organizational strategy alone cannot produce the desired change results; there should be alignment with the management style, and the organizational culture or subcultures.

The purpose of this investigation was to determine if an integrated approach to organizational transformation (focusing on work processes, structures and employee behaviour) was followed. The analysis focused on factors that have an impact on the effectiveness/ineffectiveness to the change process, the impact of change on the organization, employees, and the organization culture. Specific work-related needs were also determined. The specific role of Human Resources (HR) during this change was determined, and recommendations were made accordingly.

A qualitative and quantitative research strategy were utilized to investigate the factors that influenced the effectiveness or ineffectiveness of the transformation process. Quantitative techniques were used to assess attitudes of the factors that influenced transformation, to investigate work-related needs, work motivation, and locus of control variables. Data were subjected to discriminant analysis and two-way factorial analysis of variance. Post-hoc comparisons were done by means of the Scheffé Test. A qualitative strategy was used to gather information about the need for change in this organization, the diagnoses of the current organization, planning of change strategies, implementation of change interventions, and management of the transformation process within the organization. The researcher's role was established as an objective observer of each and every aspect of the transformation process that entailed data collection, evaluation and feedback to the external consultants.

Many issues were identified that impacted on the effectiveness of the transformation initiatives. Recommendations were made for addressing the issues on individual, group and organizational systems level. It was proposed that the organization (business) strategy and organizational culture(s) be aligned, and that all transformation initiatives be driven with a holistic and integrated change approach. An organization transformation strategy should be part of the business strategy. It was proposed that culture (climate) surveys, and focus groups should become part of the transformation strategy, where the factors that impact on a strong organizational culture or sub-culture are tracked, measured and managed continuously. A motivation strategy (included in the transformation strategy) needs to be developed for the business unit/team that is aligned with the organization’s strategy, objectives, business plans, critical success factors, the values of the organization, as well as the subculture(s) of the team/business unit(s).

  Filename       Size       Approximate Download Time (Hours:Minutes:Seconds) 
 28.8 Modem   56K Modem   ISDN (64 Kb)   ISDN (128 Kb)   Higher-speed Access 
  00front.pdf 262.94 Kb 00:01:13 00:00:37 00:00:32 00:00:16 00:00:01
  01chapter1.pdf 116.68 Kb 00:00:32 00:00:16 00:00:14 00:00:07 < 00:00:01
  02chapter2.pdf 200.58 Kb 00:00:55 00:00:28 00:00:25 00:00:12 00:00:01
  03chapter3.pdf 208.81 Kb 00:00:58 00:00:29 00:00:26 00:00:13 00:00:01
  04chapter4.pdf 350.43 Kb 00:01:37 00:00:50 00:00:43 00:00:21 00:00:01
  05chatper5.pdf 138.01 Kb 00:00:38 00:00:19 00:00:17 00:00:08 < 00:00:01
  06chapter6.pdf 265.30 Kb 00:01:13 00:00:37 00:00:33 00:00:16 00:00:01
  07chapter7.pdf 164.49 Kb 00:00:45 00:00:23 00:00:20 00:00:10 < 00:00:01
  08chapter8.pdf 195.98 Kb 00:00:54 00:00:27 00:00:24 00:00:12 00:00:01
  09chapter9.pdf 259.98 Kb 00:01:12 00:00:37 00:00:32 00:00:16 00:00:01
  10chapter10.pdf 140.21 Kb 00:00:38 00:00:20 00:00:17 00:00:08 < 00:00:01
  11chapter11.pdf 172.16 Kb 00:00:47 00:00:24 00:00:21 00:00:10 < 00:00:01
  12chapter12.pdf 197.34 Kb 00:00:54 00:00:28 00:00:24 00:00:12 00:00:01
  13chapter13.pdf 131.84 Kb 00:00:36 00:00:18 00:00:16 00:00:08 < 00:00:01
  14chapter14.pdf 704.75 Kb 00:03:15 00:01:40 00:01:28 00:00:44 00:00:03
  15chapter15.pdf 222.68 Kb 00:01:01 00:00:31 00:00:27 00:00:13 00:00:01
  16bibliography.pdf 153.14 Kb 00:00:42 00:00:21 00:00:19 00:00:09 < 00:00:01
  17appendices.pdf 403.18 Kb 00:01:51 00:00:57 00:00:50 00:00:25 00:00:02

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