Academy of Strategic Management Journal (Print ISSN: 1544-1458; Online ISSN: 1939-6104)

Research Article: 2021 Vol: 20 Issue: 4S

The Role of Change Management in Achieving Competetive Advantage A Case Study in Diyala State Company

Firas Mohammed Al-Ameri, University Of Baghdad

Sahar Mahmood Al-Uqabi, Ministry of industry & Minerals, Diyala State Company

Keywords:

Changing Management, Competitive Advantage, Continuous Improvement

Abstract

The purpose of this research to recognize the role of changing management in achieving the competitive advantage in Diyala State Company, by using the questionnaire method in collecting information, a number of questionnaires were distributed to a simple random sample of 36 workers in the company from different specialties, races, and ages. The data were analyzed and processed with a number of tools, statistical method including the Ready Statistical Program Package (Spss- Ver -19) to extract the results and Microsoft Excel 2010 to analyze the data. The research found several important results and most were: The majority members of Diyala State Company agreed to manage change and its role in achieving competitive advantage, and there were was a positive correlation relationship with positive moral significance, between change management competitive advantage, and the correlation relationship value has reached (0.615**). As the research also showed that there was a moral significant effect on changing management in the competitive advantage of Diyala State Company. The research recommended the necessity of supporting innovative ideas that achieve competitive advantage through allocating rewards to creators people, and strengthening the relationship with customers and enhance the links between the company's members in addition to the continuous improvement to the elements of change management (The importance of organizational change, the management role in supporting change, the behavior of individuals toward change ), and working to support it, to implement democracy at work and evaluate employees in the company fairly.

Introduction

A change is constant that occurs in our daily lives everywhere and at different levels of people, organizations or societies. As the world becomes more complex and intertwined, the changes that take place can affect us, whether currently or at long- term change.

Consequently, organizations must realize the importance of change and the way in which their members influence each other to know how to manage work in organizations and how to find solutions for problems so that they can compete in a highly competitive environment and obtain a competitive advantage. With continuous change, organizations follow multiple methods for keeping and maintaining their position in the market, including reducing costs or distinction through quality, price, or speed of customer response, etc., to obtain a competitive advantage and thus increase profitability and achieve customer satisfaction.

The change management has an important role in the process of companies (small and large) adaptation to preserve the continuous changes in their environments (internal and external) in passing obstacles within this dynamic to achieve its goals through setting strategic plans for changing and the commitment of individuals and the top leadership to implement them.

Background of Research

Research Problem

The problem can be formulated with the following questions

1. What are the requirements for managing change and how Diyala State Company ready to implement it?

2. How responsive is the perception of the research sample to the importance of the change management dimension and its impact on the performance of the company's activity in the research sample?

3. What is the effect of the dimensions of change management (the importance of organizational change, the role of management in supporting change, the behavior of individuals toward change) in the competitive advantage of the research sample company?

Research Importance

This research derives its importance from:

a. Studying new variables for managing change represented by (the importance of organizationalchange, the role of management in supporting change, the behavior of individuals toward change ) which can be used to improve the competitive advantage of the company.

b. Studying and analyzing the nature of the relationship between the dimensions of change management and the extent of its impact on the competitive advantage of the company.

c. The General Diyala Company role and its distinguished products that it reflects on the company's performance to achieve a competitive advantage.

Research Objectives

The research seeks to achieve the following goals:

a. The company's assimilation extension of the research sample to the importance of the dimensions of change management.

b. Clarify the dimensions of managing the most influential change in the company's performance to achieve competitive advantage.

c. Knowing the effect of change management on the company's competitive advantage.

Research Hypotheses

The research is based on the following hypotheses:

1. There is a statistically significant correlation between change management and the company's competitive advantage.

2. There is a statistically significant effect of managing the change in the company's competitive advantage.

Propsed Research Model

Based on the opinions of a number of researchers in previous studies that review the independent variable (change management), which is defined in three dimensions (the importance of organizational change, the role of management in supporting change, the behavior of individuals toward the change), and its impact on the dependent variable (competitive advantage) and identified in three dimensions (Cost Reduction, Customer Retention, Supplier Collaboration, Renewed Creativity), as shown in Figure (1).

Figure 1: Proposed Research Model

Metodlogy of Research and Sample

Research Community and the History of Diyala State Company

Diyala State Company is one of the Iraqi Ministry of industry & Minerals companies which was established since 1978 and distinguished by its products specifications and fulfill the Iraqi market requirements for decades ago. Diayla company consist of several factories which are :

• Transformers factories (Power & Distribution) which produced according to technical known – of Mitsubishi Company (Japanese Company).

• Electrical Meters factory which is produce according to technical known-of Landisand Gyr Company (Swiss Company and Electronic Meters which are produced according to technical known- of Elswedy electric company and under license from Iskrameco company – Egypt.

• Optical Fiber Cable Factory, which produced according to technical known- of Rosendahl Company (Austrian Company).

• Package substation (kiosk), joint venture with Al- Ebtida company, licensed from Schneider Electric Global Corporate.

• Other factories waiting for investment opportunity to be operated and developed by specialized companies producing: Ceiling Fan, Spark Plugs and (Oxygen & Argon) gases.

Research Boundaries

Timed boundaries: The research was completed during the year 2019.

Placed boundaries: Diyala State Company.

Research Society and Sample

In order to test the research hypotheses and achieve its goals, the sample researcher (probability class) was chosen from the study community in the Diyala State Company, which is represented by the following certificates (PhD, MA, Higher Diploma, Bachelor, Diploma), as these certificates are closer to the subject of the study, The size of the community according to the statistics of the company is (40) individuals, and the sample size of this community was determined according to the global model (D. Morgan, D.). To determine the sample size at the significance level (0.01) and up to (0.05), then the sample size according to this model was (36) individuals, i.e., (90%) of the total study population, as shown in Table No. (1).

Table 1
Table for Determining Sample Size from a Given Population
S N S N S N S N S N
338 2800 260 800 162 280 80 100 10 10
341 3000 265 850 165 290 86 110 14 15
246 3500 269 900 169 300 92 120 19 20
351 4000 274 950 175 320 97 130 24 25
351 4500 278 1000 181 340 103 140 28 30
357 5000 285 1100 186 360 108 150 32 35
361 6000 291 1200 181 380 113 160 36 40
364 7000 297 1300 196 400 118 180 40 45
367 8000 302 1400 201 420 123 190 44 50
368 9000 306 1500 205 440 127 200 48 55
370 10000 310 1600 210 460 132 210 52 60
375 15000 313 1700 214 480 136 220 56 65
377 20000 317 1800 217 500 140 230 59 70
379 30000 320 1900 225 550 144 240 63 75
380 40000 322 2000 234 600 148 250 66 80
381 50000 327 2200 242 650 152 260 70 85
382 75000 331 2400 248 700 155 270 73 90
384 100000 335 2600 256 750 159 270 76 95

" N " is population size Note

" s " is sample size

(36) questionnaires were distributed to the sample. On the other hand, the number of forms received and fulfilling the requirements of analysis and study from the sample, which were answered, reached (34) questionnaires. Table (2) shows the research sample, the number of distributed, received forms, and the percentage of their retrieval.

Table 2
Description of the Research Sample , The Number of Distributed and Received Forms and the Percentage of Recovery
Recovery rate% Received Applications Distributed Forms Sample Community
94 34 36 Diyala State Company

Analysis Tools

The questionnaire, which represented the main tool for gathering information about the research, was distributed for the period from (7/12/2019) to (14/12/2019). The questionnaire was divided into two main parts. The first was represented by general information about the characteristics of the research sample, and the second consisted of (42) paragraphs. It was divided into two axes: the first axis consists of (14) paragraphs related to the measurement of change management, and the second axis consists of (28) paragraphs related to measuring the competitive advantage.

Measuring Honesty and Consistency

Honesty Test

The researcher presented the questionnaire form to a group of arbitrators with expertise in the field of research. The researcher responded to the arbitrators' opinions and made the necessary changes in the light of the submitted proposals, and finalized the questionnaire form.

Stability Test

Stability means that the questionnaire form gives the same result if it was redistributed more than once under the same conditions and the stability test here is according to the Cronbach alpha equation in the case of the test in which the scores are estimated (not one and zero), Rather, it can take different values (1, 2, 3, 4,...), as in the case of tests that use Likert scale, as mentioned above to answer paragraphs. Table (3) shows the stability test for the study variables.

Table 3
The Stability Test for the Study Variables
S. No Cronbach alpha coefficient Variables
1 Change Management 0.937
2 Competitive Advantage 0.758
3 Total 0.94

It is clear from the table above that the value of the Crow Parameter Alpha, alpha is high for each of the search variables, and the total value of the search variables of the alpha coefficient has reached (0.940), which is a high stability value, and this result confirms the validity and consistency of the study questionnaire and its validity for application to the basic study sample .

Statistical Tools and Methods Used in Data Processing and Analysis:

The researcher relied on a number of tools for statistical analysis and processing, as follows:

1. Ready statistical package (Spss - Ver - 19): Used; To extract the results.

2. Microsoft Excel 2010 to analyze the data.

Theoretical Review

Change Management

Organizational change involves moving from known to the unknown. Because the future is uncertain and may adversely affect people's competencies, their value and their ability to cope, and the members of the foundation do not support change unless compelling reasons persuade them to do so. organization tend to invest in the status quo, and they resist changing it to meet unconfirmed benefits in the future. Hence, how to motivate commitment to organizational change is one of the key issues in business planning (Cummings and Worley, 2015: 181). There is planned change and emergency change, planned change is designed and implemented in a systemic way based on reading the future and anticipating certain events. Emergency change is a gradual response to events when they occur (Al-Amri & Al-Ghalbi, 2011)

The objective for change is systemic; that is, some aspect of the system, such as the organization’s managerial structure or the reward system, is selected for change” (Burke, 2018). Managers and organizations do not respond to external pressures in the same way for change. Some resist, some delay their response, and some may not even recognize the issues as important (palmer et al., 2017). So the different effects of organizational change across the initial levels of any social system must be understood. These initial levels are the individual, group, unit of work, and the overall system (Burke, 2018).

There are five things that drive change like, growth creates problems as a result of increasing size and complexity, and creativity and innovation may be needed. Integration and coordination that require cultural, structural and practical solutions require improved communication between departments and the exchange of information. The ideas of the new CEO may move the organization in new directions. As for the corporate identity, it can be a valuable and valuable asset that requires changes to protect and build it. It also drives force and politics and interferes with organizational change, and influences decision-making based on stakeholder interests (palmer et al., 2017)

Resistance to Change

Resistance to change is individuals and groups standing in a negative position indicating dissatisfaction or acceptance of any modifications or alterations that the administration deems necessary to improve performance and increase the effectiveness of the organization’s activities. (Al-Ghalabi & Al-Amari, 2011)

Georgians and others defined resistance to change as "any behavior that works to preserve the status quo" (Georgalis et al., 2014). There are many reasons for failure, resisting change is one of these reasons because when mentioning the word change, many negative ideas will be launched, such as: fear, conflict, opposition, pain, etc., so resistance to change increases. So Resistance, not necessarily be harmful. It may be useful to prevent wrong decisions from being implemented. And Benefits of active resistance can be achieved by encouraging dialogue and using notes and ideas constructively (Palmer et al., 2017). Anderson argued that” when we see resistance as a natural part of an ongoing conversation with organizational members who we want to engage in our change proposals, we take seriously the multifaceted nature of beliefs about change, we increase involvement, and we realistically appraise our own role in the change process”(Anderson, 2017)

Types of Organizational Change

The process of change varies in organizations, as it may be the result of a sudden event or for the purpose of development. This variation is a useful way to think about the forms of change, as for some changes, such as revolutionary transformation, requires tools and techniques for the purpose of success. (Burke, 2018; Rothwell et al., 2016) mentioned three types of change as shown in Figure (2):

Figure 2: Types of Organizational Change

Source: from Anderson & Ackerman, Beyond, Change Management: How to Achieve Break through Results Through Conscious Change Leadership, (2nd edition) (San Francisco: Pfeiffer, 2010:53).

Development Change: By improving the skill, process or current performance of the transformation for the better by enhancing or correcting what is in the organization, to improve performance, lower cost of errors, greater satisfaction and thus reach new and useful performance.

Transitional Change: It is more complicated, by responding to the most important transformations instead of improving what is there, and begins by identifying a problem or opportunity that has not been seized. Therefore, something must be changed in the current process or designed to meet future needs.

Transformational Change: Among the most important and most challenging changes for leaders, leaders realize that the organization cannot continue to operate in the future and the process must undergo a fundamental transformation to meet the changing market demands. Radical change requires a shift in people's awareness, cultures, mentalities and work, and managers must produce different management methods. That is, the workforce must be operated differently.

Competitive Advantage Concept

Competitive advantage is defined as all the distinctive competencies that the organization process and that represent the company's special strengths that allow its products to excel and achieve costs much lower than its competitors (Hill et al., 2015). So it was known to "create a unique advantage for competitors” (Heizer & Render, 2014). The company uses various resources it owns such as. Unique expertise and assets that are sources of competitive advantage (Wirda et al., 2019).

The company can use any of the many basic methods to successfully compete and gain a competitive advantage over competitors, but all methods involve delivering more value to customers than competitors or providing more efficient value than competitors (or both). Higher customer value can mean a good product at a lower price, a premium quality product worth paying more for, or a better value offer that represents an attractive mix of price, features, service, and other attractive features (Thompson et al., 2018).

Hill believes that competitive advantage leads to superior profitability as profitability depends on three factors, such us the value that customers place on the company's products, cost of products and the price charged by the company for its products (Hill et al., 2015). "Achieving a cost-based competitive advantage requires specific management efforts to be cost- effective in performing value chain activities. These efforts should be continuous and not a one-time or repeated effort" (Thompson et al., 2018).

Distinctive Competencies

Competitive advantage is based on distinguished competencies. They are corporate strengths that allow a company to differentiate its products from those in the market, and/or achieve costs that are significantly lower than its competitors. The sources (resources) and capabilities are the distinct competencies (Hill et al., 2015).

These resources/competencies come in four ways: (Wheelen et al., 2018)

• Patented

• Purchase from another person.

• Share with another business unit or alliance partner.

• It may be built within the company over time.

(Plamatier, 2017) believes that it can produce a sustainable competitive advantage from several sources. When the organization is able to generate more value for the customer than competitors in the same field when the organizations are not able to repeat (imitate) an effective strategy. Enjoying the sustainable competitive advantage meets three criteria:

• It cares about customers with what the competitive advantage offers.

• The company does this better than competitors (generates a comparative advantage)

• It must be difficult to imitate or replace competitive advantage even with large resources.

Empirical Analysis and Test

Empirical Analysis

This axis seeks to clarify the most important characteristics of the members of the research sample from workers in the Diyala State Company, through the information included in the questionnaire that was distributed to them, and with regard to a brief description of the members of the research sample.

Distribution of the Sample According to Gender

Table (4) shows the distribution of the research sample among males and females, as the number of males reached 20 and their percentage reached 59% of the total sample, while the number of females reached 14 and their percentage reached 41% of the total sample, which confirms that the ratio of the number of males is higher than the number of females in the sample.

Distribution of the Sample According to Age

Table (4) shows the distribution of the research sample from the age, as the percentage of the ages of the sample less than 30 years reached 12%, and the ages between (30-39), then their percentage is 20%. 50-59) years old, it reached 24%

Distribution of the Sample According to Academic Achievement

Table (4) shows the distribution of the research sample according to academic achievement, as the sample ranged between graduates of the technical diploma and the largest percentage of holders of a bachelor’s degree, either from holders of higher degrees, the lowest percentage in the sample that confirms the small number of certificates holders in the researched company

Distribute the Sample According to the Years of Service

Table (4) shows the distribution of the research sample according to the years of service, as the lowest percentage of those under ten years reached 3% and the largest percentage is between (11-20) years 32%, followed by those with service between (21-30) years 18% and finally (31- 40) years 18% of the year, which indicates that the sample possesses no experience in the field of work.

Table 4
Characteristics Of Sample Individuals
Variables Categories Repetition Ratio %
Gender Male 20 59
Female 14 41
Total 34 100
Age 20-29 4 12
30-39 7 20
40-49 15 44
50-59 8 24
Total 34 100
Academic achievement Technical Diploma 4 12
Bachelor 26 76
High diploma 2 6
M.A. 2 6
Total 34 100
Years of service Less than ten years 1 3
11-20 years 16 47
21-30 years 11 32
31-40 years 6 18
Total 34 100

Results of the Questionnaire

This axis seeks to present the sample responses (Diyala State Company) for each axis and for each paragraph of the study, which are related to change management, competitive advantage, as the mathematical circles and standard deviations were used, and the coefficient of difference, and the relative importance, of the sub-general and general level, and a scale was used (Likert) pentagram in the answers of the respondents, The weight of the answer will be confined between (1-5) and five levels, and according to the categories, the category length has been determined on this scale by calculating the range between the degrees of the scale (5–1=4) and then dividing it by the largest value in the scale to obtain The length of the category i.e., (4/5=0.80), after which this value was added to the lowest value on the scale, i.e., from the beginning of the scale and it is one correct, in order to determine the upper limit of this category, and thus the category length has become as shown in the Table 5 below :

Table 5
Likert Scale Approved in the Study
Degree of approval Category length
Strongly disagree 1- 1.79
Disagree 1.8 – 2.59
Neutral 2.6 – 3.39
Agree 3.4 – 4.19
Strongly agree 4.2 - 5

Change Management

This axis was measured by fourteen questions (1-14), and as shown in Table No. (6), and the results around it were distributed between the highest level of response and the first question has been achieved, which states (Change must occur in the company). His mean value was (4.53), which indicates the option (very agree), and with very good harmony in the answers. And it is confirmed by the value of the standard deviation and the coefficient of variation in it, respectively, since its value reached (0.75), (16.52), and this result indicates that this paragraph has a high level of importance for the sample examined, while the relative importance was (90.59), which confirms the degree of interest By sample research on this paragraph, As for the seventh question which states (providing sufficient and necessary information regarding the change to increase the conviction and response of individuals) it has achieved the lowest level of response, as the average value of it reached (3.50), which indicates an option (agreed), and with good harmony in the answers, and confirmed by the value of the standard deviation The coefficient of variation in it, respectively, has a value of (1.08), (30.86) This result indicates that this paragraph has a good level of importance for the researched sample, while the relative importance was (70.00), which confirms the degree of interest by the research sample on this paragraph. (Very agree, agree).

In general, it can be said that the mean of all paragraphs of the change management axis is equal to (3.86), which indicates an option (I agree), which is a positive value, and this result indicates that the majority of the sample members agree that change management positively affects the performance of the Diyala State Company And achieve the competitive advantage of the company.

Table 6
Arithmetic Mean, Standard Deviation, Difference Coefficient, And The Relative Importance Of Variables At The Sub And Overall Level Of Change Management
Items Mean Standard deviation Coefficient of Variation Relative Importance
Change must happen in the company 4.53 0.75 16.52 90.59
The change became important in light of the environmental conditions in which the company is living 4.26 0.75 17.61 85.29
The company defines a program for the future that carries several forms of change 3.88 0.88 22.66 77.65
You are concerned with change according to the idea, “No project will succeed if the HR component is taken into consideration” 3.59 1.21 33.69 71.76
You support and implement the change process 3.97 0.9 22.77 79.41
Importance of organizational change 4.05 0.54 13.27 80.94
Management communicates with employees to clarify the vision and goals of the change 3.53 0.99 28.11 70.59
Provide sufficient and necessary information about the change to increase the individuals’ conviction and response 3.5 1.08 30.86 70
The administration encourages individuals’ initiatives to submit proposals for change projects 3.5 1.02 29.21 70
The company has the ability to reconcile its resources with the available change capabilities 3.71 0.72 19.4 74.12
The updated changes extend to include the organizational structure, methods and work procedures 3.76 0.74 19.68 75.29
Role of management in supporting change 3.6 0.64 17.83 72
The change in the organizational structure allows the redistribution of tasks based on the efficiency to implement the change process 4.06 1.01 24.96 81.18
Individuals receive material and moral incentives to support the change process 3.59 0.92 25.78 71.76
Individuals undergo training and development programs in order to participate in bringing about change 4.06 0.89 21.82 81.18
Social relations, whether with other workers or supervisors, play an important role in activating change 4.09 0.83 20.3 81.76
Individual behavior towards change 3.95 0.61 15.33 78.97
Change Management 3.86 0.45 11.67 77.18

Competitive Advantage

This axis was measured by twenty-eight questions (15–42), and as illustrated by Table No. (7), and these results about it were distributed among the highest level of answers achieved by the fifteenth question, which states (Reducing the cost of the product is one of the first priorities In the goals of the company) as the average value of it reached to (4.24), Which indicates the option (very agree), and with a very good harmony in the answers, and is confirmed by the value of the standard deviation and the coefficient of variation in it, respectively, so its value was (0.78), (18.44), and this result indicates that this paragraph has a high level of importance for the respondent sample While the relative importance was (84.71) It is what confirms the degree of interest by the research sample about this paragraph. As for the twenty-seventh question which states (the customer has an effective influence in the decisions of the managers inside the company), he has achieved the lowest level of response, as the value of the average for him reached (3.21), which indicates an option (Neutral), and with average harmony in the answers, And it is confirmed by the value of the standard deviation and the coefficient of variation in it, respectively, since its value was (1.15), (35.84), and this result indicates that this paragraph has an average level of importance for the sample examined, while the relative importance was (64.12). It is what confirms the degree of interest by the research sample about this paragraph, and this result indicates that there is almost disapproval by the members of the sample on this paragraph, and the remaining paragraphs in this axis achieved varying proportions in the arithmetic circles ranging from (very agreed, agreed) In general it can be said that the mean of all items of the competitive advantage axis is equal to (3.79), which indicates an option (I agree), which is a positive value, and this result indicates that the majority of the sample members agree positively on the items of competitive advantage.

Table 7
Arithmetic Mean, Standard Deviation, Coefficient Of Variation, And The Relative Importance Of Variables At The Sub And Aggregate Level Of Competitive Advantage
Items Mean Standard Deviation Coefficient of Variation Relative Importance
Reducing the cost of the product is one of the first priorities in the company’s goals 4.24 0.78 18.44 84.71
The company supports research and development activities to reduce production and operations costs 4.21 0.77 18.3 84.12
The company controls and controls the costs of its products 4.06 0.78 19.12 81.18
The company seeks to benefit from economies of scale in the field of production 3.79 0.84 22.27 75.88
The company selects the suppliers who offer the lowest price while maintaining the required specifications 4.15 0.74 17.94 82.94
The company focuses on reducing costs and other expenses other than direct costs in work and production 4 0.78 19.46 80
The company adopts calculating its cost rates at real market prices 3.65 0.98 26.9 72.94
Reducing costs 4.01 0.6 14.88 80.25
The company documents the information about customers that it obtains by conducting surveys to get their opinions and suggestions 3.94 0.95 24.14 78.82
The company has a calculated information system that reduces the time between customer contact and the provision of products and services 3.71 0.94 25.32 74.12
The company gives its permanent customers additional benefits through forward sales and price discounts 4.15 0.78 18.9 82.94
The company offers products that are difficult for customers to leave and switch to competing products 3.62 1.07 29.67 72.35
The organization’s products have a strong attraction feature that makes the customer a part of the company’s family 3.65 0.95 26.04 72.94
The customer has an effective influence on the decisions of managers within the company 3.21 1.15 35.84 64.12
The company seeks to acquire other potential customers in the near future using appropriate marketing methods 3.82 0.83 21.81 76.47
Customer retention 3.73 0.7 18.67 74.54
The company has multiple sources to obtain its various inputs and resources 3.97 0.83 21.01 79.41
The organization’s suppliers are highly capable of providing them with the appropriate production inputs 3.82 0.8 20.83 76.47
Suppliers are highly competitive to deal with the organization on an appropriate basis 3.94 0.65 16.46 78.82
The company has high capabilities and capabilities to integrate back with others from other organizations 3.85 0.86 22.26 77.06
The company deals with specific suppliers preferring it in order to maintain its market share 3.94 0.92 23.32 78.82
The company prepares the suppliers of materials and inputs themselves as an essential part of it 3.47 0.75 21.56 69.41
The suppliers make every effort to provide the required inputs to the company to achieve their goals and interests in common with it 3.79 0.84 22.27 75.88
Supplier cooperation 3.83 0.47 12.39 76.55
The company is working hard to develop or renew its offered products. 3.97 0.87 21.91 79.41
The company seeks to preserve intellectual capital by providing appropriate incentives for workers 3.82 1 26.13 76.47
The company adopts continuous creations even if the costs of piloting it are relatively high 3.44 1.13 32.93 68.82
The company re-tests creativity multiple times to reach what you want by providing a distinguished service to customers 3.5 0.99 28.35 70
The managerial, technical and technical creations of the company are growing and increasing from year to year 3.59 1.02 28.39 71.76
The organization encourages creative and creative competition among members of one team 3.5 0.93 26.55 70
The company allocates prizes for creative ideas and helps spread them fairly and equitably 3.29 1.14 34.68 65.88
Renewed Innovation 3.59 0.87 24.16 71.76
Competetive Advantage 3.79 0.56 14.8 75.78

Study Hypotheses Test

In this topic, the research hypothesis were laid out in the methodology of the study, which relates to the research variables, represented in managing change as an independent variable, and the dependent variable represented by the competitive advantage, will be tested.

Correlation of Hypothesis Test

This topic seeks to determine the nature of the relationship between the variables of the research, to know the extent of accepting or rejecting the first main hypothesis, which is: There is a statistical correlation relationship with positive moral significance for managing change with competitive advantage, using the simple correlation coefficient (Pearson). Correlation Coefficient) which is one of the statistical methods used to measure the strength and direction of the linear relationship between two quantitative variables at the level of the study sample.

It is evident from Table No. (8) and Figure No. (3) that there is a positive correlation with positive (significant) moral significance between change management and competitive advantage, and the correlation relationship has reached its value (0.615 **) at the level of significance (0.01), and the number of moral relationships (3) was 75%.

The highest sub-value of correlation coefficients in this axis was between the role of management in supporting change, and competitive advantage, as its value reached (0.700 **), at the level of significance (0.01), and this reflects the existence of a relationship with moral significance and its function and explains the strength of the relationship between the role of management In support of change, and competitive advantage ,Hence, we infer the acceptance of the first main hypothesis, according to which there is a statistical correlation relationship with a positive moral significance for managing the change in the competitive advantage of the
Diyala State Company. As shown in Figure No. (3) and Table No. (8).

Table 8
The Correlation Between Change Management And Competitive Advantage
relations Moral Change Management Individual behavior towards change Role of management support change Importance of organizational change Change management X

Competitive Advantage   Y
Ratio No.
75% 3 0.615** 0.441** 0.700** 0.209 Correlation coefficient Competitive Advantage   Y
0 0 0 0.235 Level of significance

(**)  Strength of correlation and moral relationship (1%). (*)  Strength of correlation and moral relationship (5%).

Figure 3: The Relationship Between Change Management And Competitive Advantage

The Impact Hypothesis Testing

The current study developed the second main hypothesis, namely (Simple Regression Analysis)

Simple Regression Analysis

It is clear from Table No. (9) and Figure No. (3) that the calculated value of (F) has reached (19.419), which is greater than the (F) table value of (7.50) at the level of significance (1%), and with significance (0.000) And with a degree of freedom (1, 32), this result means that there is a statistically significant and significant effect of the respondent variable (change management) in the dependent variable (competitive advantage), in the research sample. As for the value of the determination factor (R2), its value reached (0.378), and this result indicates that (Change Management) explains what is (37.8%) of the difference in (competitive advantage), and that (62.2%) is an explanation of the factors that did not enter Regression model. Accordingly, these results provide sufficient support to accept the hypothesis of the second major research affect which states: (There is a significant effect of managing the change in the competitive advantage of the Diyala State Company).

Impact Hypothesis Testing.

Through Table (9), we note that the value of the fixed term (a=0.838) is statistically significant, as the calculated value of t was (1.243), which is less than the tabular t at the level of significance 5% and the degree of freedom (32) and (2.04), The marginal slope value (b=0.765) is statistically significant because the calculated t value of 4.407) is greater than the tabular t at the level of significance% 1 and freedom degree (32) of 2.74, and these results confirm a strong influence of managing the change in the feature Competitiveness in the Diyala State Company.

Table 9
Influence Of Change Management in Competitive Advantage
Competitive Advantage Dependent variable Independent variable
Decision Significance Computed value of f  test Coficient of determination R2 Computed value of t test Slope of line Table value of t test Y intercept Change Management
There is an effect 0 19.419 0.378 4.407 0.765 1.243 0.838

Conclusions and Recommendations

Conclusions

1. There is a positive correlation with statistically significant (static) significance between change management and competitive advantage, due to the vital role of change management in embodying and developing competitive advantage that contributes significantly to raising the level of company performance.

2. The presence of a statistically significant effect of managing the change in the competitive advantage, where the results of the analysis showed the importance of after the change management in developing the competitive advantage of the company.

3. There is no correlation between the importance of organizational change and competitive advantage.

4. There is no influence relationship between the importance of organizational change in competitive advantage.

5. A weak influence of customers in the decisions of managers within the company.

6. The company does not award prizes for creative ideas that help develop competitive advantage.

Recommendations

From the results reached, the following recommendations can be made:

1. Allocating prizes for creative ideas that help develop competitive advantage.

2. Reinforcing the relationship between the customer and the managers within the company.

3. Strengthening the relationship between individuals and a company and not neglecting it.

4. The continuous development and updating of the elements of change management (the importance of organizational change, the role of management in supporting change, the behavior of individuals towards change) and to work to promote it.

5. Work to implement democracy at work.

6. Evaluating the workers in the company fairly.

References

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