Organizational Readiness for Change: A Case of Indonesian Entrepreneurs

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Adi Teguh Suprapto, Scherly Hansopaheluwakan, Yasinta Indrianti, Sasmoko, Noor Hazlina Ahmad

Abstract

In the present dynamic business environment, changes are necessary for organizations to stay competitive. Moreover, changes are critical in the turbulent external environments, such as economic, social, political and cultural factors that influence the organizational behaviors. A planned change is required to be more effective, efficient, and survive in the changing present period Thus, the business organizations need to adopt changes that occur in the business environment to achieve competitive market advantages. The content analysis demonstrates that readiness is multidimensional, and the assessment models place emphasis on four main elements of readiness, which include (1) community and organizational climate that facilitates change, (2) attitudes and current efforts toward prevention, (3) commitment to change, and (4) capacity to implement change. This study aimed to integrate the existing community assessment models and organizational readiness. Questionnaires were prepared and distributed to the entrepreneurs in Indonesia. The author followed up the questionnaire completion process, and the completed forms were gathered. Data were collected from March 2018 to April 2018. The total numbers of completed forms were 545. No categories of Indonesian entrepreneurs are selected as respondents as they come from various types of industries. The results of the second hypothesis show that Commitment to Change (X3) is the most dominant dimension that determines the formation of Readiness to Change in the Indonesian entrepreneurs (Y)

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