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04/27/2012

CHANGE MANAGEMENT IN AGFA PHOTO HOLDING GMBH 


CHANGE MANAGEMENT IN AGFA PHOTO HOLDING GMBH 

 

Odigg (2008) included in his online article entitled “AGFA” that change management is the process of managing the knowledge and skills into modern application in   various areas of business. As a matter of fact, change management is the most critical factor that innovative technologies bring to many organizations today.  And, AGFA PHOTO HOLDING GMBH is one of the many companies that encounter numerous challenges that change management brought to the organization at large. Furthermore, the major factor that AGFA has taken into account is to keep their employees posted on what is happening in the organization.   Effective communication tool and skills are needed in order to send messages and ideas to the employees efficiently. During this change, AGFA management had to reduce the potential effects of low productivity and low morale that most of the employees resist changes.  This manner led to a promotion of good communication and professional relations between the management and the workforce.

 The main objective of the company is to implement the changes in a well-planned and well-managed manner.  It also aims to become more efficient, and effective, as well as to be more professional on the job.  This can only control and manage  successfully through   implementing advanced methods and organizational systems in the company that must be incorporated with the major aspects of the organization that involves the business administration, economics, psychology, sociology, business administration, economics, industrial engineering, systems engineering, and the study of human and organizational behavior.  All these areas should be taken into account because a company like AGFA involves people in doing business.  Meaning, not only management theories are going to be applied but also other related theories that may help to integrate successful change management.

Odigg (2008) noted that the United Directories Incorporated statement, "the business environment is in constant flux, demanding that business owners sharpen their change management skills as part of their strategy for success. These skills include leadership development to instill confidence, marketing and sales abilities to sell your change initiatives, and communication skills to build support for change."   This only implies that other related theories are the backbone of every planning stage.

Greve and Taylor (2000) describes innovation as a weapon because an organization use innovation to have financial gain;  or a target of imitation for using  innovation can also ensure security  from their competitors; or a springboard because  innovations by others are the opportunities for learning new ideas.  Hence, the ability of AGFA to use innovations has made the company’s competitive weapons as well as it provides financial incentives for the company and the people at large. In addition, Agfa's innovative move towards digitalization helps the company and the people to understand their advantages over the competitors in the market. As many business experts and scholars look innovation as an important tool for the large companies to stay on the top.  Otherwise, they will be outdone by their competitors who already adopt new technologies in their organizations. (AGFA, Odigg, 2008).

Greve and Taylor (2002) also include the managerial cognition as important function in reaching out the workforce and the communities during transition period of the company. Thus, the importance of innovations varies depending on how managers process them cognitively, and their effect is due to their influence on managerial cognitions about organizational opportunities. At the same time, the internal structure of the business can encourage good communication between Agfa and its employees by having an understanding of communication that can help managers and their personnel coordinate efforts to achieve their company's mission. (AGFA, Odigg, 2008).

According to Heath (1994) openness is valued in a company both by the management and the employees. Employees are willing to reciprocate openness if only the managers show honest and sincere openness to them.   Indeed, AGFA did the right thing to their employees; they have been educating their managers to acquire good communication skills   in order to communicate with the employees with humility and honest manner. As Heath said "communication is instrumental in the endeavor of managers to direct activities needed to create, produce, and sell products or to provide services. (AGFA, Odigg, 2008).

Restructuring and change management in AGFA   have been the business strategy of the company to sustain the positioning of their business in the world market. This has been also proven to become efficient and effective in preventing their organization to total bankruptcy.   Technologically wise, the new management of AGFA has able to operate 40 sales offices around the globe.  And the newest products of AGFA now are the graphics solutions, as well as the finest health care imaging supplies that they supply to many hospitals worldwide for X-ray development purposes. (Marketing Strategy of Agfa-Gevaert N.V, Agfa, 2010).

Recommendation

Companies’ deeper understanding of   the benefits that they can get from Information Technology system is the key for further growth and development of the people and the company at large. Change management only needs strong commitment of the organization and the employees to attain their goals.

References:

Marketing Strategy of Agfa-Gevaert N.V. (Agfa). 2010. MANAGEMENTPARADISE.COM.  Accessed at: http://www.managementparadise.com/forums/marketing-management/209461-marketing-strategy-agfa-gevaert-n-v-agfa.html

AGFA PHOTO. Accessed at:  http://en.wikipedia.org/wiki/AgfaPhoto

Odigg, (2008).Agfa. Accessed at: http://mivian.blogspot.com/2008/01/agfa.html.

 

 

 

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