LEADING ORGANIZATIONAL CHANGE
Neighborhood Reinvestment Corporation
This is a non-profit organization chartered by the Congress for the purpose of supporting the community developments across U.S and in Puerto Rico. The organization offers supports for revitalization efforts in the communities in terms of finances, training and technical assistance to development organizations. It also promotes reinvestments in the communities whether rural, suburban and urban areas carried out by financial institutions that are locally based and which work in collaboration with local governments and residents of such communities. It was established in 1978 by a Housing and Community Development Amendments Act. The organization is therefore an intermediary to Community Development Corporation (CDC) and it has created a momentum for the growth of these institutions.
The organization has to encounter a major change emanating from the emergence in information technology and telecommunications. The increased innovation and advancement in technology has great impact on different organizations including those that offer financial services. These changes have altered the way organizations are run as they various financial services are becoming automated. The loan processing procedures have become automated which has an effect of reducing the overall transaction cost .This means that the organization has to adapt to the changing technology not only in providing financial services but also in provision of the other services including training and technical assistance to the local organization (Pang, Lee & DeLone, 2014). The instantaneous data transmission across broad regions make it easy to manage national organizations since the various services provided incorporate the new technology in implementation process. New technology comes with improved methods of sharing information effectively and the ability to interact with different stakeholders in any particular sector. This is especially true when it comes do disclosure management, even in public and non-profit making organizations where information is supposed to make public all their internal operations and financial undertakings (Bloom, Garicano, Sadun, & Van Reenen, 2014). Information technology is important for Neighborhood Reinvestment Corporation in its dealings with the various CDCs, the local government and the residents in the local community.
In provision of financial assistance, information technology affects the processing of various finances required to support the community-based developments and in assessing the progress of the utilization of these resources. This means that the organization has to implement new technological innovation in the budgeting and financial allocation process so as to ensure transparency and integrity in management. In assessing the performance of the funded projects the management will have to use technology in detecting misappropriation or misuse of resources. Technical assistance and training are other areas which the organization has to adapt to the changes in Information Communication and Technology to reach to large areas and provide high quality services at the local level.
However, the change comes with its own challenges that the management may encounter when trying to implement them. Firstly, the innovative technologies come with a lot of disruption in status quo and this call for more flexibility and agility to the change in environment. To address this challenge, the management should focus on implementing small projects instead of resolving everything at ago (Cummings & Worley, 2014). Another challenge involves the bureaucracy management where the implementation process may focus on following established policies in ICT implementation and this may become an end in itself rather than a means to the end. The management should align the implementation process and employee efforts to achieving the set goal.
References
U.S. Department of Housing and Urban Development, (n.d).Neighborhood Reinvestment Corporation (NeighborWorks America). Retrieved from: https://portal.hud.gov/hudportal/HUD?src=/hudprograms/nrc_nwa
Pang, M. S., Lee, G., & DeLone, W. H. (2014). IT resources, organizational capabilities, and value creation in public-sector organizations: a public-value management perspective. Journal of Information Technology, 29(3), 187-205.
Bloom, N., Garicano, L., Sadun, R., & Van Reenen, J. (2014). The distinct effects of information technology and communication technology on firm organization. Management Science, 60(12), 2859-2885.
Cummings, T. G., & Worley, C. G. (2014). Organization development and change. Cengage learning.
