Individual attributes of change readiness in Indonesian television companies experiencing corporate transformational change – a quantitative approach using structural equation modeling

eva hotnaidah saragih, Parulian Hutagaol, bomer pasaribu, setiadi djohar

Abstract


In the last five years, three national private television companies in Indonesia have successfully conduct a corporate transformational change. In theory, change implementation in this type of organization will be difficult because the level of resistance is not zero (Ansoff & McDonnell, 1990). Resisting Change is a negative dimension of Change Readiness. Two others dimensions are positive which are Participating and Promoting Change (Hanpachern, Morgan & Griego, 1998). This study is the second part of the two-phase study conducted separately. At the first stage of research, a qualitative exploratory study has been done to determine the individual attributes (Holt et al, 2007) of employees in all three television companies that affect positive dimensions of their readiness to change. The study found fifteen individual attributes which then grouped into four categories: Psychological Capital, Transformational Leadership Behavior, Way of Thinking, and Organizational Commitment. This quantitative confirmatory study aims to test the findings of the exploratory study, in order to answer the question: (1) how significantly positive is the effect of the fifteen attributes to Change Readiness, (2) which attribute is dominant, and (3) how to model the relationship between the individual attributes and change readiness. The results are: there is significant positive relationship between Way of Thinking and Organizational Commitment; and between Psychological Capital, Transformational Leadership Behavior & Way of Thinking and Change Readiness. There is no significant positive relationship between Psychological Capital & Transformational Leadership Behavior and Organizational Commitment; and between Organizational Commitment and Change Readiness.


Keywords


psychological capital; transformational leadership behavior; way of thinking; organizational commitment; change readiness; structural equation modeling

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