The Impact of Change Management on Organizational Performance - a Case Study of a Medium-sized Organization in the Information Technology Sector in Sub-Saharan Africa

Abstract

The study gives in-depth information on how change management impacts organizational performance. While undertaking change in an organization, it is important to have a clear thought process and a clear desired outcome. The focus of this research was on change in organizational culture and human capital development. The matrices of measuring organizational performance are market penetration and financial performance. How do organizations communicate change? How do they prepare their employees for change? Do they factor in the concerns of the employees and other stakeholders fully? What are the types of change? What forms of change do organizations undertake? What is organizational culture? How does change in organizational culture affect its performance? How sustainable are the change measures? What is the employees’ recommendation on how the organization can improve its performance? To answer the questions, a questionnaire was distributed electronically to the respondents who are the employees of the organization. Since change takes time to reflect, only employees that have been in the organization since 2020 were selected. This is when the change measures implementation started. A total of 106 employees were targeted. Out of 106, only 96 were available to respond. The others were not reachable as they have since exited the organization while some were on their annual vacation during the study period and hence unreachable via mail. A total of 72 respondents responded. The data was then analyzed using inferential and descriptive statistics The results showed that change in organizational culture is a significant predictor of organizational performance while change in human capital development is not a significant predictor. When assessed jointly, both have a significant effect on the firm’s organizational performance. To resolve the missing link between the organizational changes and its performance, the firm needs to better its communication on the reasons for change, take into consideration the staff concerns on changes, reduce bottlenecks, improve its staff welfare and retain key staff, expand its products and ensure that the training that the staff undertake are specific to their daily tasks, not generic.