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General Motors (GM) is one of the multinational organizations in the automobile manufacturing industry that has already achieved success and recognition across the globe. Before the organizational change, GM spent billions of dollars to maintain its research strategies and promote organizational development in various directions (Khan & Hashim, 2014). Its main goals included the support of loyal customers, training of employees, and the adoption of new methods of production.
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The decision to implement organizational change is associated with the analysis of several critical factors that force the GM’s leadership to consider transformations. According to Khan and Hashim (2014), the organizational environment, the chosen context, new governmental policies, legislation, technological advancement, and global economic conditions are the main forces that bring change in GM. It is also necessary to admit the impact of new trade policies, the importance of creating new products, and the delivery of customer value and satisfaction.
Change management is a complex process that requires specific steps and approaches to ensure positive effects are observed. In GM’s case, managers focus on cost-cutting to make its products available and maintain the profit level and cultural change to speed up decision-making (Khan & Hashim, 2014). On the one hand, such problems as a lack of employee involvement, low satisfaction levels, and inconsistency with trade unions occurred. On the other hand, the company is now able to concentrate on its sales and inform its employees about the current vision, accountability, and responsibility.
In addition to internal changes and requirements, GM should also ensure its competitiveness at the global level. It is not enough to increase its sales volume and improve the workforce. Global competition implies additional requirements and recommendations, including public perception improvement and fuel efficiency (Khan & Hashim, 2014). The change in working conditions and sales management has already made it possible to eliminate some weaknesses of the company. However, it is obligatory to continue formulating new statements and goals to gain a competitive advantage in the car manufacturing marketplace.
Khan, M. A., & Hashim, M. (2014). Organizational change: Case study of General Motors. In ASEE 2014 Zone I Conference. University of Bridgeport.
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