All the organizations, today, are going through a change either due to compelling needs or due to their own initiative. Organizations whether big or small, public or private, domestic or global, find themselves in an era of paradigm shift when a set of assumptions are no longer applicable and need to be changed. The organizations today are learning to adapt to the circumstances being created by the recent remapping of the world, the emergence of new global players and the explosion of technology. New management philosophies are being adopted and new methodologies are being followed in order to bring about organizational change.There is a necessity to change because of the far- reaching changes that have occurred in the environment like liberalized government, smart competition, growing awareness among the masses, high expectations of the shareholders and hence increasing demands of the consumers and unpredictable market fluctuations. The environment is fast changing from being stable to dynamic which brings new requirements and changes.Organizational change means moving from the old ways of doing things to the new ways that will bring more positive outcomes. A successful change is one where the staff members understand the need for change and participate in the process through communication and consultation.