Chapter 7: Predictors and Outcome of Readiness for Change: An Empirical Study in Indonesian Plantation Firm

The world’s economy is in dire straits and is now experiencing a bust (that is a condition characterized by high uncertainty in the economic environment) after a boom (rapid growth) typically for 8–10 years (Miller, 2008). Booms and bust cycles in the economy occur throughout history; the cycles keep repeating themselves. The law of nature says that everything must have a start and an end, and so does the economy. The players of the economy, which are organizations, follow the same cycle. Forces for change continually challenge organizations and they must make fundamental changes in how business is conducted in order to cope with a new, more challenging market environment (Kotter, 2007).