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Article

The Role of Creative Development and Perceived Need for Change in Encouraging Organizational Capacity for Change: A Case Study

by
Diego Fernando Carvajal-Castrillón
1,
Alejandro Valencia-Arias
2,*,
Ledy Gómez-Bayona
3,
Manuel Humberto Vásquez-Coronado
2 and
Aaron José Alberto Ore-León
4
1
Management Sciences Department, Instituto Tecnológico Metropolitano, Medellin 050036, Colombia
2
School of Industrial Engineering, Universidad Señor de Sipán, Chiclayo 14001, Peru
3
Faculty Business, Universidad de San Buenaventura, Medellin 050010, Colombia
4
Instituto de Investigación y Estudios de la Mujer, Universidad Ricardo Palma, Lima 15039, Peru
*
Author to whom correspondence should be addressed.
Sustainability 2023, 15(18), 13598; https://doi.org/10.3390/su151813598
Submission received: 20 June 2023 / Revised: 22 July 2023 / Accepted: 26 July 2023 / Published: 12 September 2023

Abstract

:
In the current globalized context, organizational capacity for change is a critical factor for companies to remain competitive. The purpose of this study was to conduct a quantitative analysis to measure the factors associated with Organizational Capacity for Change (OCC) in entities promoting business development in Antioquia, Colombia. To achieve this objective, a structural model comprising five dimensions was developed and validated, using confirmatory factor analysis through SPSS 28.0 software. The research instrument collected 250 survey responses from employees of three participating organizations in the study. The results obtained confirm that the proposed model is significant in explaining the studied phenomenon, as validation tests showed that the standardized factor loadings of all constructs were above 0.6, indicating their reliability. The study suggests that promoting creative development, organizational change, the perception of the need for change, participation, and commitment are essential elements for fostering OCC within companies. Optimizing communication spaces, conducting workshops to stimulate creativity, and encouraging employee involvement in initiatives can help mobilize organizations toward change. These findings provide evidence in favor of the proposed OCC model, which can serve as a reference for future studies, especially in adapting constructs and variables in specific contexts.

1. Introduction

The implementation of change has become a critical success factor due to technological advances, the market and its forces, the regulatory environment, demographics, innovation, and economics, among other factors [1]. However, organizations do not have a solid understanding of how to address or undertake a change, with the result that change is either not attempted or ends up being mere initiatives, which are sometimes competitive [2]. Ref. [3] argues that one of the main reasons for an organization’s inability to change is its organizational inertia, i.e., its tendency to maintain the status quo.
In a globalized context, the survival and competitiveness of companies depend on their ability to adapt and change. The focus on creative development involves seeking innovative and sustainable solutions to address current and future challenges, through workshops and communication spaces that stimulate the generation of fresh ideas and approaches in environmental, social, and economic areas, crucial for long-term business sustainability. Moreover, the importance of raising awareness among employees about the urgency of adopting responsible practices is emphasized, which fosters an organizational culture that values sustainability and is willing to implement concrete measures in that direction. The commitment and active participation of employees are also considered relevant factors, as involving them in change initiatives generates a sense of ownership and shared responsibility, therefore increasing the likelihood of success in implementing new practices and policies [4].
Contemporary society and its dynamics have moved beyond traditional paradigms for organizations, resulting in new conceptions based on continuous learning about themselves and their relationship with the environment, with a systemic and innovative vision that not only transforms them but also ensures they evolve in line with market demands and competition [5]. There is thus a growing need to implement major changes in organizations, to enable them to respond to an increasingly volatile and complex business environment. However, despite these efforts, there is still no answer to the question of why change processes consistently fail, and which elements lead to success [6]. Furthermore, the literature analyzed cannot be used to guide a change process, as not all these processes are the same, nor can they be approached in the same way to obtain the expected results [7]; they require a combination of elements to be managed, such as culture, communication, and leadership, among others.
Therefore, effective management of organizational change has become of vital importance due to rapid technological advances and accelerated globalization. However, numerous organizations face difficulties in adapting to these changes and perceive the transformation process as costly and ineffective. Despite acknowledging the significance of measuring the capacity for change, there is a clear need to contribute to the scientific gap with suitable tools that comprehensively address key internal factors such as organizational culture, committed leadership, and highly skilled human resources [8].
This leads to crucial questions regarding the capacity for change and the efficiency in its management for the sustainable and enduring success of companies [9]. Moreover, it is essential to highlight that business development and proper change management not only influence economic growth but also play a fundamental role in the social progress of communities and society as a whole [10].
According to [11], approximately 70% of planned organizational change initiatives end in failure, and there is a limited understanding of what works, what does not, and why. One of the primary causes of these failures is the lack of reliable and valid diagnostic tools for evaluation and monitoring. Unfortunately, there has been little progress in the development of a scale—and its measurement—in organizational studies and even less so when it comes to organizational change [12].
Furthermore, there are no reliable tools to help organizations make decisions: they are often made based on misconceptions about what change means, how it should be understood and addressed, the need to undertake it at the right time, and its consequences [13]. Furthermore, most organizations only use case studies or invest in consultants with little information on the subject, using conceptual models that are limited, non-existent, or do not reflect the dynamics of the organization [14].
Accordingly, using a quantitative research model, this study proposes a mechanism to identify the possible gaps in the organizational capacity for change in entities promoting business development in Antioquia, with respect to elements such as culture, communication, and leadership. To this end, a survey was developed based on the instrument created by [12], with questions related to the target study environment, using a 5-point Likert scale for its evaluation.
A total of 250 responses to the survey administered to the three organizations that participated in the study were included in the analyses. The information was collected electronically—via a hyperlink sent to a corporate email account—through the Microsoft Forms tool, which makes it possible to create questionnaires and surveys in a personalized way.
The literature review—conducted to propose this investigation—indicated that this is an underexplored field, indicating that the results that can be obtained by applying the instrument are extremely valuable for future research.
The measurement scales, each of the constructs, and the instrument—in general—were tested through confirmatory factor analysis using SPSS software, performing convergent and discriminant validity tests. Several hypotheses were constructed, and the degree of association was measured using Somers’ D statistic.
The study provides practical value by identifying effective ways to address organizational change while increasing employee engagement and commitment. Aligning change objectives with the overall organizational strategy promotes focused and efficient execution of transformation efforts. Additionally, analyzing the areas impacted by the changes facilitates more personalized communication and minimizes resistance to change. Therefore, implementing a robust communication plan is crucial to ensure the effective transmission of the message to all members of the organization. To achieve this, encouraging active employee participation and establishing a multidisciplinary committee to contribute ideas and support change initiatives are essential. This approach will contribute to successful long-term implementation. It is also crucial to allocate an adequate budget, as this will ensure the execution of effective campaigns to promote change and its acceptance throughout the organization.

2. Theoretical Framework

Due to the need for organizations to implement change strategies, the concept of organizational capacity for change (OCC) has become increasingly relevant in recent years, defined as a dynamic way of addressing the situations encountered by an organization in such a way that it can respond more effectively and quickly than its competitors (ibid.).
Ref. [15] argues that OCC is a “dynamic capability” that involves creating, constructing, and reconfiguring internal and external competencies to address rapidly changing environments. It is a sufficiently flexible concept that reflects differences between contexts; however, there are common characteristics, such as a highly skilled and committed workforce, a leadership team equipped with the knowledge and skills to persuade collaborators to change, tolerance and encouragement for experimentation and risk-taking and a culture that embraces creativity as a starting point for new directions [16].
Dynamic capabilities do not refer to organizational change per se but rather to changes in activities of a strategic nature. For example, Ref. [8] identifies a few adaptive business functions for which executives are responsible: (i) the selection of organizational modes and associated incentive systems; (ii) the design of new business models; (iii) investment decisions; and (iv) the design and implementation of controls to change basic operations. As such, even these changes can be considered strategic if one considers factors such as who the customer is, what happens to products or services capable of serving a pre-defined market, and “how” to change the delivery of a new “what” to the new “who”.
This capacity thus enables an organization to change, not only intermittently and arbitrarily but also as a natural response to its environment because it is a dynamic process of continuous learning and adjustment that allows the organization to thrive during ambiguity and uncertainty [17].
For this dynamism to be possible, one of the key skills required by leaders is the ability to motivate others to do what is expected of them: it is based “almost entirely [on] communication skills”, which must be expressed using perlocutionary (direction giving) and locutionary (meaning-making) language to align employees to a common goal [18].
In this respect, to examine OCC in greater depth, it is also necessary to explore other concepts that are key to its understanding. Accordingly, the conceptualizations of culture, leadership, and communication are presented below.

2.1. Culture

The term culture can be understood as the shared set of values and norms of control that the members of an organization have when interacting with people inside and outside the organization [1]. It can also be seen as the self-sustaining pattern of behavior that dictates the way things are done, the shared beliefs of a group, and the language, systems, values, assumptions, and behaviors expressed in policies, procedures, and plans as well as in communication and interaction [19].
Although organizational culture is often thought of in negative terms, there is a degree of uncertainty surrounding it that responds to “how things are done”. It is, therefore, necessary to understand it to develop strategies and achieve objectives (ibid.). From this perspective, culture is conceived as a dynamic phenomenon that surrounds the organization, constantly acting and creating a set of structures, rules, and norms to guide and direct behavior [20]; therefore, it is a behavioral attempt to meet the requirements of a new system [8]. Culture is thus constantly being constructed and reconstructed through the interactions and interventions of employees on a day-to-day level [21].
Importantly, organizational culture is a complex concept to fully understand, given that people have their own perceptions, patterns, strengths, weaknesses, and peculiarities, which, when expressed in the workplace, can create an environment that is not always ideal for bringing about change [19].

2.2. Leadership

Leadership is a critical factor in the success of change programs, but much of the literature on leadership and change has tended to focus on the skills and qualities required of key executive staff and change managers, overlooking the idea of it as a process: the property of a system rather than an individual person. Changing an organization, therefore, involves not only paying attention to the executive leadership but also nurturing these skills throughout the organization and creating networks that facilitate and link active leadership at every level [21].
Refs. [22,23] specifically link leadership behaviors to the activities involved in implementing change. To this end, the authors identified four broad areas of leadership competency associated with successful change implementation [24]:
  • Creating the case for change: effectively engaging others in recognizing the business (need for change);
  • Creating structural change: ensuring that the change is based on a depth of understanding of the issues and supported with a consistent set of tools and processes;
  • Engaging others in the whole change process and building commitment;
  • Implementing and sustaining changes: developing effective plans (monitoring and review practices are developed);
  • Facilitating and developing capability: ensuring that people are challenged to find their own answers and that they are supported in doing this.
Change and how to lead it successfully has become critical in the minds of organizational leaders, especially because its speed and complexity are increasing, and the future success of the institution depends on how the transition is being encouraged [17]. This is why organizational leadership has come to be conceptualized as “a force for change” [8], even more so when this position must pursue and propose policies and guidelines as well as define strategies and issue instructions [18].
Thus, one of the most difficult aspects of leading transformation initiatives is acquiring a leader’s vision to diagnose and develop an organization’s capacity for change [8]; leadership is therefore linked not only to competencies but also to observable behaviors—with a view to effective implementation—considering factors such as motivation, creativity, trust, and respect, as well as active participation by people in the creation of shared visions and futures [25]. It can therefore be inferred that the way a leader acts will influence the implementation of change, which is reflected in the transformational leadership model developed by [26], who identify clear links between a leader’s behaviors and a variety of behaviors and performance measures of “followers” [24].
In turn, Ref. [27] posits a number of characteristics associated with leadership that promote change: (i) leaders who stimulate and encourage people to undertake organizational projects; (ii) leaders whose effective presence inspires people’s behavior; (iii) leaders who create good results; (iv) leaders who are active, proactive and powerful; (v) leaders who act and their followers respond; (vi) leaders who create change and new patterns of action as well as new belief systems; (vii) leaders who directly inspire people; (viii) leaders who facilitate organizational vision and facilitate cooperation, teamwork, creativity and inspiration; (ix) leaders who help others do the things they need to do to achieve the goals set; (x) leaders who are associated with bringing about change and initiating innovation and development; (xi) leaders who free the human spirit to shape creativity and create motivation and inspiration; (xii) leaders who guide people and development; (xiii) leaders who create a culture conducive to innovation; (xiv) leaders who facilitate and turn organizational vision into a reality; and (xv) leaders who create appropriate processes and structures for effective management with a sense of support for innovation.

2.3. Communication

Communication is a central process in the planning and implementation of change in organizations, which in turn is a phenomenon inherent to them [28]. As a result, “effective communication” can reduce—or even overcome—resistance to new configurations. Communication can also increase employee commitment to the organization [29].
In that sense, change implies an evolution in communication such that it reflects the new structures, processes, and relationships [28] and therefore, as [30] explains, contributes to higher levels of job satisfaction and commitment. However, messages around change often focus too much on information that tries to justify them(ibid.), forgetting what is truly important to employees and failing to recognize this factor as a critical tool for informing, creating understanding, and changing people’s attitudes and behavior [31].
Communication, therefore, exists to prevent misunderstandings and clarify goals [30], synchronize change messages according to the employee’s perspective, and use appropriate and flexible means for the entire organization, to minimize uncertainty [31]. The adequate provision of information about change is thus an important mechanism to be used to improve employee acceptance and understanding [8], making it an important factor for effective change implementation. According to Maheshwari and [32], up to 70% of change programs fail due to poor communication, and this is considered the main reason for that failure.
Consequently, these three factors are associated with the estimation of the proposed structural model to evaluate how companies determine the level of change achieved in the company and what the process is for change to occur, such that the five constructs that can be used to carry out the mixed analysis are proposed based on these factors.
The selection of constructs is based on their relationship with the dimensions addressed in the research, in order to further develop the idea, a definition is made for each of them from the literature. Firstly, the factor of creative development is included. According to [33], this leads to innovation and adaptation of processes to ask evaluative questions, collecting and reporting evaluative data to support the development of projects, programs, products, and/or organizations with timely feedback. It also mentions that interventions addressing complex social problems must continuously evolve and adapt to changing circumstances [34]. Considering that more attention is being paid to how to manage the creative capabilities of organizations to increase their competitiveness, this leads to the consideration of their role in the need for change [35]. Therefore, the following research hypotheses are proposed:
H1. 
Creative development has a direct influence on the perceived need for change.
H2. 
Creative development has a direct influence on organizational change.
The second factor corresponds to leadership and communication, and authors such as [36] affirm that change must be planned and not an accidental process, hence the importance of promoting and sustaining change with communication plans and continuous feedback with the workgroup before, during, and after the change. This is where leadership becomes meaningful, as it is one of the most important functions currently, responsible for facilitating both vertical and horizontal communication within the organization. Therefore, there is evidence that leadership and communication have a significant influence on employee participation and organizational commitment. For example, a study by [37] found that authentic leadership is positively related to employees’ organizational commitment. Furthermore, it mentions that effective communication by leaders can help strengthen employees’ sense of belonging to the organization and contribute to team building, which, in turn, can prevent conflicts and enhance organizational participation [38]. In this way, the following research hypothesis is proposed:
H3. 
Leadership and communication significantly influence employees’ organizational participation and commitment.
The third proposed factor is the perceived need for change. According to [39], the need to implement changes is associated with their nature, which affects the employee’s capacity and behavior to embrace them. Therefore, changes should be positively disseminated to make them meaningful in organizations.
According to [40], the perceived need for change is a crucial factor directly impacting the organizational change process. It arises when the organization perceives that the current situation is unsatisfactory or does not meet established objectives and goals. This dissatisfaction or lack of efficiency motivates the organization to seek new ways to improve and adapt to environmental changes. Additionally, the need for change can be influenced by external factors such as legal requirements, media reports, political pressures, or competition in the market, creating greater urgency and motivation to implement changes in the organization. Furthermore, internal events can also generate the need for change, for example, incidents that highlight the importance of improving internal processes and practices within the organization. Based on this, the following hypotheses are proposed:
H4. 
The perceived need for change has a direct influence on organizational participation and commitment.
H5. 
The perceived need for change has a direct influence on organizational change.
The fourth proposed factor refers to organizational participation and commitment. In a contemporary view, organizational change is seen as a complex system that exhibits life-like behavior, behaving according to the laws of nature, and self-organizing naturally and spontaneously. It depends on the leader’s interaction with other agents in the system, influencing the emergence of new adaptive states that guarantee the organization’s survival [39]. On the other hand, the development of creativity in a company can have a positive impact on its members, including an increase in employee participation, productivity, involvement, and commitment. Several studies support this claim. Creativity can also contribute to reducing staff turnover and strengthening the value chain and internal marketing [41]. The following research hypothesis is proposed:
H6. 
Creative development has a direct influence on organizational participation and commitment.
The last factor is organizational change, and it is argued that environmental changes are faster and more unpredictable, demanding better adaptability from organizations. As a result, change can occur unexpectedly, affecting society at large, the economy, industry, and business functions, among others, and many times organizations are not prepared to handle their effects. Therefore, change management requires the leader to promote processes that ensure the organization’s flexibility to endure such conditions [42]. Additionally, innovation and competitive advantage, as key components of organizational change, are affected by the participation and commitment of stakeholders in the business line. Conversely, resistance to change can be a dominant reason for operational inefficiency [43]. The proposed research hypotheses in the model (see Figure 1) with their respective hypothetical relationships to validate are as follows. As such, the final hypothesis is proposed:
H7. 
Organizational participation and commitment have a direct influence on organizational change.

3. Methodology

To present the methodological path considered for this research exercise, the following aspects are described below: the study sample, the procedure—techniques for the collection of information, the analysis of the data performed, and the ethical considerations.

3.1. Sampling

To carry out this investigation, a sample of three organizations from the Department of Antioquia was used. A non-probability convenience sampling technique was adopted in which 250 surveys were collected from the companies that participated in the study. The information was collected electronically using the Microsoft Forms tool, which allows the creation of customized questionnaires and surveys. The respondents received a hyperlink sent to their corporate email accounts, through which they accessed and filled out the questionnaire. This digital approach enables efficient data collection and analysis, facilitating the process of gathering responses from participants.

3.2. Procedure

A survey with closed-ended questions was developed based on the instrument created by [44], using a 5-point Likert scale in the collection of self-assessment data, where “5”, “4”, “3”, “2” and “1” denote “strongly agree”, “agree”, “neither agree nor disagree”, “disagree” and “strongly disagree”, respectively. The questionnaire was initially based on 32 questions formulated by (ibid.), addressing eight dimensions: trustworthy leaders, innovative culture, involved middle management, trusting followers, capable champions, systems thinking, effective communication, and accountable culture; however, these questions were adapted to reflect the dynamics of the country—its social and demographic context—ultimately applying a total of 12 questions, with a structure that provided greater clarity about what the respondents thought.

3.3. Data Analysis

Given that the primary objective of this investigation was the application and validation of a structural model that reflects the dynamics of organizations in relation to change, the first step was to select the variables to be studied in the model, which are focused on the constructs of organizational change, creative development, leadership and communication, the perceived need for change, and participation and commitment of the organization’s members.
The measurement scales used, along with each of the constructs and the instrument in general, were tested through confirmatory factor analysis, performed using SPSS Statistical. First, an analysis of the convergent validity of the constructs was carried out in which the standardized factor loadings were calculated to subsequently calculate the averages of each construct. Regarding the correlation between variables, Bartlett’s test of sphericity and the Kaiser Meyer-Olkin (KMO) measure of sampling adequacy were then calculated [45]. Next, an analysis of discriminant validity was performed by checking that the confidence interval in the estimate of the correlation between each pair of factors did not contain the value 1 [46].
Then, the reliability of the measurement scale was assessed by calculating Cronbach’s alpha for the respective scales of each construct. Subsequently, hypothesis tests were conducted in which statistics were estimated for the proposed structural model. Here, the focus was on determining the degree of association between constructs, the relationships of which are expressed in the model in Figure 1.

3.4. Ethical Considerations

To carry out this investigation, some provisions were considered to ensure the ethical management of the study, including the appropriate handling of the information collected—with the signing of an informed consent form by participants, in which they were notified of the objective, scope, risks, and benefits of their participation—and the respect for intellectual property rights—which is demonstrated by the proper citation and referencing of the secondary source materials used.

4. Results

Factorial analysis is a statistical technique that allows the identification of interrelationships among a large set of observed variables to develop a parsimonious set of factors that share common characteristics [47] and influence some observed set of values or properties. Through this technique, one can measure the relative association between any two variables [48]. Each factor is interpreted as a latent characteristic of individuals revealed by the original variables. Essentially, factorial analysis seeks to find underlying reasons that explain the variation in the data, and for this, the relationship between factors and the original variables is examined, providing an interpretation of how the data were generated [49].
Factorial analysis serves various purposes. The most common use is in theory and instrument development, as well as assessing the construct validity of an instrument. There are two basic forms of factorial analysis: Exploratory Factor Analysis (EFA) and Confirmatory Factor Analysis (CFA). In the exploratory phase, the number of factors needed to explain the interrelationships among a set of characteristics is not known, whereas, in the confirmatory phase, the extent to which a hypothesized organization of identified factors fits the data is evaluated [47]. In this study, Confirmatory Factor Analysis (CFA) is applied as the underlying structure of the constructs under investigation is known beforehand.
In summary, confirmatory factor analysis is being used in this study as it helps to verify and confirm the pre-established underlying structure of the constructs being examined. The findings of the study will be presented below, based on three key elements: convergent validity, discriminant validity, and hypothesis testing, as described in the methodological path.

4.1. Convergent Validity

First, the convergent validity of the model assesses the degree to which the measurement of the items that include the same concept are correlated, in which reliability is analyzed at two levels: reliability of the observable items and reliability of the constructs [50]. In the validation of this study, it was not necessary to eliminate any indicator, as their standardized factor loadings yielded results above 0.6, which is considered to be evidence that the model is reliable [51]; additionally, the average of the loadings was greater than 0.7 for all the constructs [52], as shown in Table 1.
The correlation matrix locates the correlations of all the variables considered. To determine its adequacy, it is necessary to request a series of tests to determine whether it is statistically relevant to continue with the factorial analysis. One of these tests is the Kaiser-Meyer-Olkin (KMO) criterion, which considers bivariate and partial correlation, i.e., the degree of association between two variables after excluding the influences of all other variables [53]. Thus, small partial correlations result in relatively high values for KMO since this criterion approaches a value close to 1 if all partial correlations are close to zero. In this regard, values above 0.5 indicate that the factors can be adequately explained, though values closer to 1 indicate greater appropriateness [54].
Another test used is Bartlett’s test of sphericity. This test tests the hypothesis that the sample comes from a population in which the variables are not correlated. This is done using the identity matrix, where it is assumed that if the variables are not correlated, the correlation matrix is an identity matrix [53]. Bartlett’s test of sphericity is considered significant when the p-values are less than 0.05 [55]. Regarding the correlation between variables, first Bartlett’s test of sphericity was performed to detect the presence of correlations between variables; the p-value must be less than 0.05 or 0.01. Additionally, the value of the KMO measure of sampling adequacy was obtained, with values ranging from 0 to 1.
Table 2 shows that the coefficients obtained from SPSS for each of the constructs meet the acceptance criteria of [56], for which KMO values around 0.5 or higher imply that it is feasible to carry out the data reduction technique.

4.2. Discriminant Validity

Discriminant analysis is used to validate differences between groups [53]. The objective of discriminant analysis is to classify the observed variables into known groups [49]. A definition of discriminant validity is provided by [57], which states that “two measures intended to measure different constructs have discriminant validity if the absolute value of the correlation between them, after correcting for measurement error, is low enough to consider that the measures are assessing distinct constructs” (p. 11).
In this study, the technique of 95% confidence intervals of Spearman’s correlation is used, following the method proposed by [46]. This method indicates that correlations between constructs should not include a value of 1, as this would indicate a perfect association. The discriminant validity analysis was carried out by verifying that the confidence interval in the estimation of the correlation between each pair of factors did not contain the value 1. Table 3 shows that all the cases meet this criterion, thus confirming that the instrument used measures what it was intended to measure to a high degree.
Subsequently, the reliability of the model is verified. Measurement reliability indicates the internal consistency of the measurement scale, i.e., the responses provided by the sample designed to measure a factor. This reliability is measured using Cronbach’s alpha, which measures the degree to which item responses are correlated with each other. Through this test, the proportion of variance that is systematic or consistent in a set of responses can be estimated [58].
Traditionally, an “acceptable” value for Cronbach’s alpha has been considered to be 0.7; however, the literature has shown that interpreting alpha in specific contexts is generally more complicated than that. It should be considered, for example, the number of items [59]. Therefore, a value above 0.6 could be considered appropriate [60]. Then, Cronbach’s alpha index was calculated, which is used to measure the internal consistency of a scale [61]; its value ranges from 0 to 1, with the understanding that the closer a value is to 1, the greater the internal consistency of the items analyzed [62]. Thus, the measuring instrument used presents adequate reliability, as shown in Table 4.

4.3. Hypothesis Testing

In confirmatory factor analysis, inferences are made about the presence of latent variables. Latent variables or constructs can be observed from a set of observed or measured variables, commonly known as items. As explained by [63], the verification of the factorial structure provides the foundation to establish evidence that allows us to support hypotheses and theoretically confirm the latent factorial structures. Therefore, the hypothesis analysis is carried out. For this stage of the validation, the proposed structural model was estimated to assess, using Somers’ D statistic, how the need for change is determined and its degree of association is measured; the values obtained for the association statistic analyzed and the model used are shown in Table 5.
For this statistic, if the measure of association between the two ordinal variables is between −1 and 1, there is a strong association between the two variables when the values are close to 1—in absolute value—and in the opposite scenario when the values are close to 0, there is little or no association between the two variables [64].
According to the proposed theory, the association coefficients calculated for the hypothesized relationships in the model present positive and significant values, indicating a high correlation between the variables evaluated in the analysis. Finally, Figure 2 presents the respective proposed structural model with the corresponding Somers’ D values, depicting the degree of association between the constructs.
According to the model, for companies to adopt an organizational change process, it is necessary to examine the role and participation of human management as a leader or change agent in creating and maintaining a culture that facilitates the achievement of the organization’s vision, mission, policies, principles, and values. This includes providing concrete descriptions of the specific practices, systems, and mechanisms—the means, scope, and depth—that the organization establishes to develop the potential of individuals in their participation and achievement of both departmental and company-wide goals. Finally, the creation of an open and flexible environment for all workers will be vital when managing change.

5. Discussion

Figure 2 shows that the associations between the “creative development” and “organizational change” constructs and the “perceived need for change” and “participation and commitment” constructs have high scores of 0.598 and 0.526, respectively, which indicates, as [65] argue, that the development of change management focuses on an organization’s ability to harness its resources and capabilities in such a way that they enable it to carry out a smooth process. Ref. [30] states that change permeates all levels of an organization in different ways and that it influences all the individual perceptions of employees, corroborating the descriptive analysis of the third construct—leadership and communication—in which respondents are receptive when an organization proposes changes, identifying how these will help them. Additionally, the first construct—organizational change—suggests that a culture that values innovation and change provides resources for experimentation with new ideas.
However, with regard to the perceived need for change in terms of information, information is not flowing effectively in all areas or units of the organizations, which according to [28] is contrary to what an organization requires to be successful, given that the author states that communication is the central means by which individual activity is coordinated to conceive, disseminate and pursue organizational objectives.
Regarding the association between “leadership and communication” and “participation and commitment”, the score obtained was the lowest (0.316). This can be explained by [21], which argues that “[c]hanging an organization therefore implies not only paying attention to executive leadership but also nurturing lead roles across the organization and creating leadership networks and processes that facilitate and link together active leadership at every level”. Change and how to lead it successfully has thus become a critical factor, especially as its speed and complexity are increasing [66,67].
Based on the information supplied by the association between “participation and commitment” and “leadership and communication”, it can be inferred that there are no efficient channels for information to flow. This means, first, that the message is not being conveyed to the employees and that they, therefore, do not understand the importance of it for achieving the objectives. This is discussed by [68], who states that when procedures are changed, communication channels are interrupted, and new channels are not in place or are being constructed, there is no awareness of the influence change has on employees. However, commitment may be determined by how employees understand the changing environment, i.e., if change represents a situation of uncertainty or endangers their future in the organization, they will probably try not to promote change but will instead generate resistance to prevent change from taking place.
Nevertheless, if employees are managed in an emotional and empathetic way, and if there is mutual trust among leaders and employees, it will be much easier to implement change. For this reason, the association between organizational change and the perceived need for change is not among the highest values (R = 0.442).
Based on the study findings, strategies for organizational decision-making regarding change can be developed. Three short-term strategies are proposed, which, according to the analysis, may be necessary for the organizations that chose to participate in the study. These strategies aim to assist in organizational decision-making concerning change.
  • Establishing the change objectives: The organization needs to align its established organizational strategy—according to its implementation period—with the desired change objectives. This alignment ensures that when the organizational strategy is put into action, each point of the change objectives is achieved. Furthermore, these objectives should be measurable and quantifiable.
  • Identifying the areas to impact with each initiative: Just as defining the change objectives is significant, it is also important to identify which areas are related to each of them. This allows for specific efforts to be made to explain each objective and review how they contribute to its fulfillment. In this context, it is necessary to identify among employees those who are in favor, those against, and those who are neutral towards the change. This helps establish actions with each group, so that those who are in favor and neutral can persuade those who are against the change, making the implementation of changes easier and faster.
  • Establishing a communications plan: One of the factors identified as affecting the implementation of changes was the communication process. Therefore, it is crucial to define an annual communication plan where messages are delivered through various channels to ensure their reach to all employees. Like the previous point, a strategy involves involving individuals who are in favor of the change in the plan. They can help spread the message throughout the organization effectively.
Following the short-term strategies, it is necessary to start outlining the medium-term goals. To do this, and based on the implementation analysis, the following are proposed:
  • Reinforce the message: In addition to the communication plan, the change message should be reiterated weekly using various mediums such as emails, videos, characters, and personal talks. Identifying the most effective means of transmitting the message ensures that all employees receive the same information.
  • Test in parts: When implementing change activities, the implementation plan should establish partial goals to evaluate the progress toward the overall objective. This allows for flexibility and maneuverability. It is essential to validate these tests in controlled environments, with minimal technological implementations, until it is clear if they can be scaled.
  • Encourage participation: Another aspect highlighted in the study is that the message stays with the executives, and employees are unaware of what is happening and do not understand the strategy. To address this, during the communication plan and implementation, it is crucial to encourage employee participation, especially in the latter, as they have valuable insights on how to achieve better results in the promoted activities.
Finally, the long-term strategies should be those that the management team plans to initiate next year, as they to some extent depend on the successful execution of the medium and short-term strategies.
  • Define a change committee: As part of encouraging employee participation, a change committee should be established to contribute refreshing ideas to the promoted initiatives. This committee should be multidisciplinary, with mandatory representation from the communication, process, and well-being departments. Depending on each initiative, implementation should involve members from areas that will be affected by the changes.
  • Establish a budget: It is important that, just like implementing changes, there is a defined budget for them. This budget should allow for the message to be effectively communicated through campaigns and initiatives that create lasting impact and resonance among the organization’s employees, supporting the step-by-step implementation of the initiatives.
These findings have significant practical implications for organizations seeking to improve their ability to manage change effectively. The results indicate a close relationship between creative development, organizational change, the perception of the need for change, employee participation, and commitment. Therefore, organizations can use this information to develop robust change strategies that foster a culture of innovation and enable smoother implementation of change initiatives, as proposed earlier, adapting them to the specific needs of each context.
For members of organizations, the results highlight the importance of effective communication and strong leadership during periods of change. Employees must understand the purpose and significance of the proposed changes so they can actively engage and participate in the change process. Additionally, leaders must foster an environment of trust and empathy, which will facilitate the acceptance and adoption of organizational changes.
Furthermore, from an academic perspective, these results contribute to the body of knowledge in the field of organizational change management. The study emphasizes the importance of considering various constructs and how they are interconnected, offering new opportunities for research and theory development to deepen the understanding of how to enhance the effectiveness of these processes.

6. Conclusions

Organizational capacity for change is a topic that is becoming increasingly relevant in organizational studies, given that in a globalized context such as the one currently being experienced by companies, they need to make their processes more dynamic and, therefore, implement changes that involve their resources, in particular human talent as the driving force of organizations.
In this respect, based on the study carried out, in terms of promoting these capacities within organizations, the factors that have the greatest impact are creative development and organizational change—constructs that had an association of 0.598 in the study—and perceived need for change coupled with participation and commitment—which had an association of 0.526 for the proposed model.
The above would make it possible to infer that when encouraging OCC in companies, it is necessary to promote and identify the creative skills of the company’s employees as a key component that mobilizes organizations towards change; it is, therefore, advisable to optimize the different communication spaces of companies to conduct workshops and carry out other activities that stimulate the creativity of employees and thus their willingness to adapt to change.
Along the same lines, understanding the impact of internal factors for OCC in companies and the perceived need for change among employees, together with their participation and collaboration, are key elements. As such, in the authors’ opinion, organizations that become aware of the importance of this issue will be faced with a substantial challenge: to not only identify the perceived need for change among their workers but also to promote it for the benefit of the company and to encourage their participation in the initiatives devised in this area by management.
Consequently, this investigation provides explanatory evidence in favor of the use of the proposed model, based on the survey formulated with questions from Judge and Douglas (2009) [44], thus yielding its own evidence for the Colombian environment, given that all the hypothetical relationships expressed in the proposed model were significant. It can therefore be concluded that the proposed model is useful, as well as a reference for the development of new studies, in the sense that it serves as a foundation for considering new hypotheses or variations in those presented here. This is important when carrying out studies of this type, situated in the particular contexts of cities, regions, or countries, in which it is necessary to adapt the constructs and variables under analysis.

Author Contributions

Conceptualization, D.F.C.-C., M.H.V.-C., L.G.-B. and A.V.-A.; Methodology, A.J.A.O.-L. and A.V.-A.; Software, D.F.C.-C. and A.V.-A.; Validation, M.H.V.-C. and A.V.-A.; Formal Analysis, M.H.V.-C. and D.F.C.-C.; Investigation, D.F.C.-C. and A.V.-A.; Resources, D.F.C.-C. and A.V.-A.; Data Curation, L.G.-B. and A.V.-A.; Writing—Original Draft Preparation, L.G.-B., A.J.A.O.-L. and D.F.C.-C.; Writing: Review and Editing, D.F.C.-C., A.J.A.O.-L., M.H.V.-C. and A.V.-A.; Funding Acquisition, D.F.C.-C. and A.V.-A. All authors have read and agreed to the published version of the manuscript.

Funding

This research received no specific grant from any funding agency in the public, commercial, or not-for-profit sectors.

Institutional Review Board Statement

The study was conducted in accordance with the Declaration of Helsinki, and approved by the Ethics Committee of CE-CIES (approval code: ACTA13052029).

Informed Consent Statement

Informed consent was obtained from all subjects involved in the study.

Data Availability Statement

The data may be provided free of charge to interested readers by requesting the correspondence author’s email.

Conflicts of Interest

The authors declare no conflict of interest.

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Figure 1. Organizational change adoption model. Source: prepared by the authors.
Figure 1. Organizational change adoption model. Source: prepared by the authors.
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Figure 2. Organizational change adoption model with Somers’ D coefficient values. Source: prepared by the authors.
Figure 2. Organizational change adoption model with Somers’ D coefficient values. Source: prepared by the authors.
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Table 1. Convergent validity of standardized factor loadings.
Table 1. Convergent validity of standardized factor loadings.
ConstructItemStandardized Factor Loadings
Organizational changeOC1Do we have an organizational culture that values innovation and change?0.830
OC2Do we have an organizational culture that allows employees to take risks and occasionally fail?0.778
OC3Do we have an organizational culture that provides resources to experiment with new ideas?0.883
Creative developmentCD1Do we have an organizational culture that attracts creative people?0.883
CD2Do we have an organizational culture that retains creative people?0.883
Leadership and communicationLC1Are employees generally open to considering proposals for change?0.808
LC2Do employees generally have opportunities to express their concerns about the change?0.717
LC3Do employees generally understand how the change will benefit the business unit?0.776
Perceived need for changeNC1Does information flow efficiently across all organizational units?0.851
NC2Does information flow efficiently from customers to the organizational unit?0.851
Participation and commitmentPC1Does information flow efficiently from executives to workers?0.924
PC2Does information flow efficiently at the right time?0.924
Source: prepared by the authors using SPSS 28.0 Statistical software.
Table 2. Convergent validity (KMO test) and Bartlett’s test of sphericity.
Table 2. Convergent validity (KMO test) and Bartlett’s test of sphericity.
FactorKMO ValueBartlett ValueMeets Criteria
Organizational change0.6630.000Yes
Creative development0.5000.000Yes
Leadership and communication0.6410.000Yes
Perceived need for change0.5000.000Yes
Participation and commitment0.5000.000Yes
Source: prepared by the authors using SPSS 28.0 Statistical software.
Table 3. Confidence interval of the model variables.
Table 3. Confidence interval of the model variables.
ConstructsOrganizational ChangeCreative DevelopmentLeadership and CommunicationPerceived Need for ChangeParticipation and Commitment
Organizational change1
Creative development[0.418; 0.668]1
Leadership and communication[0.156; 0.303][0.221; 0.363]1
Perceived need for change[0.279; 0.426][0.312; 0.470][0.145; 0.288]1
Participation and commitment[0.257; 0.407][0.296; 0.456][0.208; 0.357][0.372; 0.635]1
Source: prepared by the authors using SPSS Statistical software.
Table 4. Reliability coefficient.
Table 4. Reliability coefficient.
FactorCronbach’s Alpha
Organizational change0.879
Creative development0.894
Leadership and communication0.796
Perceived need for change0.860
Participation and commitment 0.936
Source: prepared by the authors using SPSS Statistical software.
Table 5. Hypothesis testing—Degree of association.
Table 5. Hypothesis testing—Degree of association.
HypothesisConstructSomers’ DConstruct
H1Creative development0.484Perceived need for change
H2Creative development0.598Organizational change
H3Leadership and communication0.316Participation and commitment
H4Perceived need for change0.526Participation and commitment
H5Perceived need for change0.442Organizational change
H6Creative development0.428Participation and commitment
H7Participation and commitment0.379Organizational change
Source: prepared by the authors using SPSS Statistical software.
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MDPI and ACS Style

Carvajal-Castrillón, D.F.; Valencia-Arias, A.; Gómez-Bayona, L.; Vásquez-Coronado, M.H.; Ore-León, A.J.A. The Role of Creative Development and Perceived Need for Change in Encouraging Organizational Capacity for Change: A Case Study. Sustainability 2023, 15, 13598. https://doi.org/10.3390/su151813598

AMA Style

Carvajal-Castrillón DF, Valencia-Arias A, Gómez-Bayona L, Vásquez-Coronado MH, Ore-León AJA. The Role of Creative Development and Perceived Need for Change in Encouraging Organizational Capacity for Change: A Case Study. Sustainability. 2023; 15(18):13598. https://doi.org/10.3390/su151813598

Chicago/Turabian Style

Carvajal-Castrillón, Diego Fernando, Alejandro Valencia-Arias, Ledy Gómez-Bayona, Manuel Humberto Vásquez-Coronado, and Aaron José Alberto Ore-León. 2023. "The Role of Creative Development and Perceived Need for Change in Encouraging Organizational Capacity for Change: A Case Study" Sustainability 15, no. 18: 13598. https://doi.org/10.3390/su151813598

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