2.1.2 Concept of Performance
Performance is the accomplishment of a given task measured against preset known standards of accuracy, completeness, cost and speed (Brumbach, 1998). Performance is deemed to be the fulfillment of an obligation in a manner that releases the performer from all the liabilities under the contract. Historically the definition of performance has emphasized on output or results. Management by objectives was very popular in the 1970‟s but fell out of favour during the 1990‟s as it drifted into over-bureaucratization and focused on the quantifiable whilst neglecting the more qualitative elements of performance. Whilst achievement of objectives and outputs remain a key deliverable for performance management, organizations today are also increasingly concerned with the inputs, the behaviors. Brumbach (1998) observed that performance should incorporate both behaviors and results and not just results. In an economy where knowledge and service are key, competitive advantage comes not only through results, but through the behaviors people demonstrate when carrying out their roles and hence if effective performance is to be encouraged in our workplace we need to focus not only in what people do but also how they do it.
2.2 Theoretical Foundation of the Study
Change management is the process, tools and techniques to manage the people to cope with business change to achieve the required business outcomes as well as realizing the business change effectively within the social infrastructure of the workplace. Organizational change management is very important globally and it is influenced and affected by different internal and external factors, positively or negatively (Burnes, 2004). The future is full of surprises, uncertainty, trend and trend breaks, irrationality and rationality, and it is changing and escaping from our hands as time goes by (Manaerman 1998). Organisations these days are literally fighting against all elements for survival. With the ever changing environment, continuous change must be inculcated in the day-to-day running of organizations if they want to keep pace with the goings on. From information technology (IT) to consumer tastes and preferences, change has affected all elements in the environment. Burkes (2004) stated that change is so complex and multifaceted that Carnall (2003) suggested that mastering the challenge is not a specialized activity to be facilitated or driven by an expert but an increasingly important part of every manager’s role.
Organizations today have increasingly become aware of the importance of Change Management practices. This awareness in a system is a critical dimension in the performance of organizations (Rees, 2006). The real life experiences substantiate the assumption that no matter how sophisticated and modern the business activities of the organization may become, it will be extremely difficult to sustain its growth and effectiveness unless there are strategies that complement its operations. Change Management practices is a recurring theme examined by academicians, consultants and practitioners. The frequent and uncertain changes, greater competition between firms, According to Armstrong (2009), Change Management (CM) emphasizes the need for the Change Management Plans and strategies to be formulated within the context of overall organizational strategies and objectives and to be responsive to the changing nature of the organization's external environment. It is an approach which requires interpretation and adaptation by practitioners to ensure the most suitable fit between business strategies and plans. Thus, the overall themes of Change management are the integration of all institutional functions, adherence to broad organization goals and responsiveness to the external environment (Armstrong, 2009). There are a number of studies (Appelbaum, 2000; Huselid, 2005; Wright, 2005; Schuler and Jackson, 2001) focusing on the change management of business organizations because of their contribution in the global economy. The quest for change management has long been a central tenet of the field of strategic management (Armstrong, 2009). Within this field, the configurationally theory has emerged as a promising new framework for analyzing the sources and sustainability of management of change in the modern world.
Change is one of the difficult challenges that organizations face these days. Robbins (2003) defines change as making things different. Change is everywhere, it is unavoidable and it needs successful handling to make organizations navigate successfully through it (Davidson, 2002). Raftery (2009) stated that undergoing a new change is the most difficult matter and it is questionable of success and it always has enemies whom are beneficiaries from the old system. Garber (2013) mentioned that change is inevitable in the workplace, so the role of the manager is to embrace the change by making the transition process easier. Davidson (2002) explained that change refers to an important difference in what was before, it can include doing work in new ways, using new tools or systems, using new reporting structures, new roles in the job, producing new products or introducing new services, following new managerial procedures, merging, reorganizing or other unrest and change in job location or markets. Therefore, change management is taking a proactive approach about how the change is treated within an organization. It involves adapting to the change and monitoring the need for change within an organization; starting that change and then controlling it (Hiatt and Creasey, 2012). Walmsley (2009) defined change management as the process of continually renewing an organization’s direction, structure, and capabilities to serve the ever-changing needs of external and internal customers. Several researchers relate change management practices to the management of the human side of the change as being the most difficult ingredient in the change management process. For example, Hiatt and Creasey (2012) stated that change management is a set of tools, practices and methods to manage the people side of change that are important to transit individuals from a current state to the preferred future one to achieve objectives of a needed change.