The Impact of Organizational Changes on Increasing SMEs Competitiveness

Abstract

Nowadays changes are compulsory for an organization in order to survive and stay competitive in a market. This paper discusses the aspects of understanding the general framework for an effective and efficient implementation of the organizational changes, as well as, their impact on motivation, employment, responsibility, competitive abilities, and it compares the measurable units of the capacity development for organizational changes. Besides, it focuses on creative dimensions and change management, new organizational knowledge, reward systems, managerial behavior, and organizational culture as a result of the organizational changes. Also, this study argues the value of organizational culture that needs to be shared between organization employees in order to help perform their duties as an important unit of the organizational change success. To obtain the results of this study are processed data of 200 SMEs that operate their activity in the Republic of Kosovo. These data were processed mainly using IBM SPSS software. The findings indicate that the proper organizational change management may help SMEs to be more successful in relation to the competition. And that the biggest challenge that successful managers face is to lead continuously the organizational systems toward the highest stages of organizational development. Moreover, results have shown that changes in the factors such as: organizational dimensions and organizational characteristics are closely related to competitive capability and organizational culture of the SMEs, as well as, changes in organizational culture may increase the competitive capability of SMEs in the competitive market.

Keywords: organizational changes; small and medium enterprises (SME); competitive capability; organizational dimensions; organizational culture

JEL Classification: L16; R11; O00; M21