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Managing Change

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Features:

Distrupts equilibrium

Effects complete orgn.; explicitly or implicitly

Continuous process

Proactive and reactive

Domino effect-related to systems approach

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What is organizational

change?

Unplanned change.

Occurs spontaneously or randomly.

May be disruptive or beneficial.

The appropriate goal is to act quickly to

minimize any negative consequences andmaximize any possible benefits.

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What is organizational

change?

Planned change.

The result of specific efforts by a change

agent. A performance gap is a direct response to

a perceived performance gap.

A discrepancy between the actual and desiredstate of affairs.

May reflect problems or opportunities.

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External Forces of

ChangeMarketplace

competition, buyers, supplementary goods.

Government laws and regulationsBudget & economic policies

Technology

Competitors, nature of job, mkt leaders.

Social:

wart ppl-autonomy, wkplace,

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Internal Forces of

ChangeCorporate strategy

The workforce

Technology and equipment

Employee attitudes

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Managing Planned

Change Goals of PlannedChange:

Improving the ability of

the organization toadapt to changes in its

environment.

Changing the behavior

of individuals and

groups in the

organization.

ChangeMaking things different.

Planned Change

Activities that are

intentional and goaloriented.

Change Agents

Persons who act ascatalysts and assume theresponsibility for managingchange activities.

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Categories of Planned Change

STRUCTUREAuthorityrelationships

Coordinatingmechanisms

Job redesign

Span of controlHierarchy

PEOPLE

Attitudes

Expectations

Perceptions

Behaviour

TECHNOLOGY

Work processes

New technology

Work methods

Changes in DM

TASK

Change intechnologyJob changes

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Change takes place in two folds: modification of orgn adaptation

modification of structure

Objectives of planned change:

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Process of planned change

Elements to be changed

Planning for change

Assessing change factors

Action for changeUnfreezing

Changing

Identify need to change

Refreezing

Feedback

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Detail of process Identify need to change: depends upon gap

analysis

Elements to be changed: structural , technological,ppl

Planning for change: determine change agents andtime to implement.

Assessing change forces: resistance to change,cooperation of ppl, kurt lewin-field of forces.

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Unfreezing the Status

Quo

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Lewins Three-Step Change Model

UnfreezingChange efforts to overcomethe pressures of bothindividual resistance andgroup conformity.

RefreezingStabilizing a changeintervention by balancingdriving and restraining forces.

Driving ForcesForces that direct behavior

away from the status quo.

Restraining ForcesForces that hinder movement

from the existing equilibrium.

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Lewins Three-Step

Change Model

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Actions for changeUnfreezing:

Changing old behavior

Motivating change Change of routine work

Changing/Movement:

Recognizing purpose to change

Encourage learning & reinforcement.

Encourage team efforts, defining newboundaries

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Refreezing: New standards achieved.

Tendency to reinforce to practice new standardsFeedback:

Establishes control & help in gap analysis

Responses to change: Willing acceptance Resistance Forced acceptance Rejection

Resistance can be a cost or a benefit

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Levels of resistance

Individual:

Economic Factors:

Skill obsolesce

Economic loss

Reduced opportunity

Psychological Factors:

Based on attitudes, emotions.

Ego defensiveness

Status quo

Lack of trust

Fear of unknown & failure

Social Factors: Feeling of outside interference

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Group resistance:Factors controlling resistance

Cohesiveness

Attempt to alter group norms

Group attractiveness

Vested interests.Orgn resistance:

Status quo

Counting past records

Resource limitations

Sunk cost

Inter-orgn agreement

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Sources of Individual

Resistance to Change

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Sources of Organizational

Resistance to Change

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Overcoming resistance to change

Individual level:Involvement

Commitment

Leadership

TrainingCounseling

Group level:Group contact

Participation

Group training

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Overcoming Resistance to

ChangeTactics for dealing with resistance

to change:

Education and communication Participation

Facilitation and support

Negotiation Manipulation & cooptation

Coercion