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Using at least one example and referring to at least three sources, briefly explain why organizations change the goods or services they provide.

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Using at least one example and referring to at least three sources, briefly explain why organizations change the goods or services they provide. Pham (2009, p.14-15) defined organizational change as, "The process by which organizations reach desired goals. Planned organizational change creates value for stakeholders. Organizational change occurs when an organization restructures resources to increase the ability to create value and improve effectiveness. A declining company seeks ways to regain customers; a growing organisation designs new products." The significant prime factors that force organizations to change the type of goods or services they provide are: competition, economics, politics, globalization, demographics, social, ethics, environment, law and technological advances. ...read more.


Many workers are eager to balance work, leisure and family (Pham, 2009). For example, companies need flexibility in scheduling to meet the childcare needs of employees with young children. Ethical factors place greater demands on firms for honest, corporate behaviour, so some firms hire ethics officers to report offences or give ethical advice. This act ensures that the organization is protecting whistleblowers and foreign employees (Pham, 2009). For example, companies specialising in sports wear such as Nike, Reebok, Adidas and the Sweatshop, came under some scrutiny because the countries that they outsourced production to were paid very low wages and the workers had to work long hours in extremely poor working conditions. ...read more.


The Kyoto Protocol was adopted in Kyoto, Japan, on the 11th of December 1997 but was not officially implemented until the 16th of February 2005. However, although this new regulation was good for the environment, it drastically affected organizations as most had to review their current production process and make amendments, in order to avoid exceeding their given emission targets. To conclude, there are a lot of uncontrollable factors both internal and external, that interrelate and cause organizations to restructure and thereby change the goods or services they provide. 'Change' is a process which a majority of organizations go through to ensure that they are operating at the highest possible level of output. ...read more.

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