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How organizations communicate with shareholders during times of great uncertainty, such as during transformational change, is a relatively neglected area within the change management literature. We use the concept of “change conversation” and speech act theory to analyze GE's letters to shareholders 1980‐1999. We found five consistent change conversations through which GE's management sought to reassure shareholders and reduce their uncertainty around the expected outcomes of GE's transformational changes: warnings; actions; explanations; achievements, and predictions. These were underpinned by three types of speech acts: assertives, expressives, and commissives. We suggest that internally and externally oriented change conversations differ, the former being best characterized as operational change conversations and the latter as supportive change conversations. We suggest that successful change managers engage in both types of change conversations.
Journal of Organizational Change Management – Emerald Publishing
Published: Dec 1, 2004
Keywords: Shareholders; Communication; Organizations; Uncertainty management; Change management
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