Change is important in business as it enables a company to meet the dynamic needs of its customers and create growth opportunities. Change also allows a business to keep up with advancing technology and respond to different economic conditions, such as strong or weak economic growth.
An organization can thrive in a changing business environment by creating a set of core values that define the brand and then implementing changes that are aligned with the core values. A business should manage its stakeholders, such as employees, suppliers and customers, in order to implement change successfully. An organization may implement transformational change to reposition itself strategically in a market and eliminate competition.
A company should analyze the skills and expertise it needs in the future and offer its employees additional training to equip them with those skills. It is important for a company to encourage its employees to explore new opportunities and bring new ideas to the company, as this increases employee commitment. A company can identify new opportunities for growth by hiring employees who have different perspectives that challenge current procedures at the company.
A business should consider increasing its workforce and production facilities during periods of strong economic growth. Conversely, a company may have to reduce employee compensation or lay off some employees during periods of weak economic growth.