Change management is the process, tools and techniques to manage the people-side of business change to achieve the required business outcome, and to realize that business change works effectively within the social infrastructure of the workplace. The present study made an attempt to analyze the economic environment and political factors impacting the organizational changes. The study used primary data of 500 respondents from organizations located in and around Bangalore city to analyze the data for effectiveness of economic and political environment, the present study used the descriptive statistics, percentage and graphical methods.

KEY WORDS: SME, Corporate sector, change management, organizational development.