Achieving Organizational Change: Preparing Individuals to Change and their Impact on Performance

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Achieving Organizational Change: Preparing Individuals to Change and their Impact on Performance Dwi Indriastuti 1

& Olivia

Fachrunnisa 1

Accepted: 11 November 2020/ # Springer Science+Business Media, LLC, part of Springer Nature 2020

Abstract Employees are required to be ready to face organizational change and have competencies that are in line with the development of science and technology which is the implementation of bureaucratic reform. This study aims to develop a model to prepare individuals to deal with, and respond to, changes and their impact on the performance of the individual within an organization. Change-oriented leadership, employee adaptability and the internalization of organizational values are indicated as important antecedents to the readiness for change, which, in turn, will affect individual performance. Data were collected from 116 respondents as employees in the National Statistics Office (NSO) of Central Java Province, Indonesia. The analytical method used SEM (Structural Equational Modeling) to test the hypotheses and Sobel Test was used to test the effect of mediating variables in the model. This research conclude that change-oriented leadership, employee adaptability and organizational values, have a positive and significant influence on readiness to change. Once the employees have high level of readiness to change, it will influence their performance. Keywords Change-oriented leadership . Employee adaptability . Organizational values .

Readiness to change . Employee performance

* Dwi Indriastuti [email protected] Olivia Fachrunnisa [email protected]

1

Department of Master Management, Faculty of Economics, Sultan Agung Islamic University, Semarang, Indonesia

Indriastuti D., Fachrunnisa O.

Introduction Change becomes a natural thing that happens in life. Changes in the environment, current developments, and the emergence of new needs, require human beings and organizations to be able to make changes to respond to these challenges and maintain their existence (Kasali, 2007). Kasali (2005) says that organizations that are quick to adapt to change will continue to grow and will be able to face competition and get out of crisis situations. Therefore, organizations that are able to survive and live long are not the strongest but the most adaptive ones, namely those that always adjust to the various changes that exist in their environment. Bureaucratic reform aims to create a government bureaucracy that is professional with adaptive characteristics, integrity, high performance, clean and free of nepotism, capable of serving the public, neutral, prosperous, dedicated and upholding the basic values and code of ethics of the state employee (The Ministry of Empowering State Civil Aparature and Bureaucratic Reform, 2009). Bureaucratic reform is carried out in order to realize good governance. In other words, bureaucratic reform is a strategic step to build state employees to be more efficient and effective in carrying out the general tasks of government and nati