ORGANISATIONAL CHANGE MANAGEMENT AND PERFORMANCE IN SMEs: THE INTERVENING ROLE OF INTERPERSONAL CONFLICT
DOI:
https://doi.org/10.35120/sciencej0503309bKeywords:
organisational change management, interpersonal conflict, organisational performance, small and medium-sized enterprises, change implementationAbstract
Organisational change affects not only structures, processes, and work practices but also the relationships through which employees respond and adapt to new organisational requirements. Interpersonal tensions that emerge during this process may weaken cooperation and become relevant to the performance outcomes associated with change. Against this background, the research investigates the relationships among organisational change management, interpersonal conflict, and organisational performance in small and medium-sized enterprises, considering interpersonal conflict as a possible pathway connecting change management with performance. Empirical evidence was obtained from 588 employees of small and medium-sized enterprises in Serbia between November 2025 and March 2026. The measurement model comprised three constructs assessed through 15 statements on a five-point Likert scale. Confirmatory factor analysis established the adequacy of the measurement model, including construct reliability and convergent and discriminant validity, while structural equation modelling was used to examine the proposed relationships. Organisational change management was negatively associated with interpersonal conflict and positively associated with organisational performance. Interpersonal conflict showed a negative relationship with organisational performance. Mediation analysis additionally identified a significant indirect relationship between change management and performance through interpersonal conflict, while the direct relationship remained significant, indicating partial mediation. These results suggest that the performance implications of organisational change are connected with both managerial practices and the interpersonal conditions accompanying change. Managing change effectively therefore involves attention to emerging tensions and disagreements rather than treating interpersonal problems as separate from the change process. Timely managerial responses, guidance, and employee support may help maintain cooperation while organisational adjustments are being implemented. As the evidence reflects relationships observed at a single period of the change process, longitudinal research could determine whether the importance of interpersonal conflict varies as organisational change develops and across different forms of change.
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