Change management leadership and its impact on employees’ resistance to change : case study of selected automobile companies in the Durban Metropolitan Region of KwaZulu-Natal (South Africa)

Abstract

This study is based on the contention that the world is shifting from an industrial paradigm to a post-industrial paradigm and, as a result, change ought to be managed effectively. The literature reviewed for this study has indicated that there are neither appropriate models to address monumental changes in the automobile industry, nor tools to address resistance to change, due to inadequate leadership skills. Accordingly, the study investigates existing change leadership styles and particularly focuses on the transformational and transactional change leadership styles which also include other leadership styles. The study further explores factors that influence resistance to change: demographic factors; the theoretical components of resistance to change; and communication adequacy. The research study also explores the process of a change management leadership model adapted from related research studies, which is aligned with managing resistance effectively at the selected automobile dealership companies in the Durban Metropolitan Region of KwaZulu-Natal. A sample size of 300 staff members and managers were conveniently considered, comprising 270 staff and 30 managers, in a mixed-method research study. However, only 170 questionnaires were returned, and 28 managers were successfully interviewed, which resulted in an average response rate of 66% (63% for the quantitative study and 93% for the qualitative study). To analyse the data quantitatively, inferential statistics and descriptive statistics were used. The hypothesised model formulated was tested with the structural equation model (SEM). Findings revealed no relationship between transformational leadership and resistance to change. However, there was a relationship between transactional leadership and resistance to change. Qualitative data were analysed using thematic analysis employing the NVIVO software package. Recommendations from the study include the application of the proposed change management leadership model and other intervention strategies mentioned in the study for the improvement of change management in the dealership companies.