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HRM 601 Organizational Behavior. Session 14 Organizational Change & Development. The Need for Change in Organizations.

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Hrm 601 organizational behavior

HRM 601 Organizational Behavior

Session 14

Organizational Change & Development


The need for change in organizations
The Need for Change in Organizations

  • Change as a survival tactic -- if the organization does not keep pace the changing technology, consumer demands, and effective business processes, they will lose their competitive edge.


The learning organization
The Learning Organization

  • Organizations that acquiring and applying knowledge to help cope with and adapt to change.

  • Knowledge acquisition

  • Information distribution

  • Information interpretation

  • Organizational memorization


Planned change
Planned Change

  • Changes in products or services

  • Changes in size or structure

  • Changes in administrative structures

  • Changes in technology


Unplanned change
Unplanned Change

  • Government regulation

  • Economic competition

  • Performance Gaps


Areas of organizational change
Areas of Organizational Change

  • Goals and strategies

  • Technology

  • Job design

  • Structure

  • Processes

  • People


The change process
The Change Process

Unfreezing

(Facing the

Problem)

Moving

(Creating a New

State)

Status Quo

Refreezing

(Maintaining the

Change

New State


Individual barriers to change
Individual Barriers to Change

  • Economic fears

  • Fear of the unknown

  • Fear of social disruptions

  • Effort

  • Fear of loss of power and autonomy

  • Commitment to the old position


Organizational barriers to change
Organizational Barriers to Change

  • Structural inertia

  • Work group norms

  • Threat to existing balance of power

  • History of change efforts gone wrong

  • Boards of Directors


Overcoming resistance to change
Overcoming Resistance to Change

  • Informing about pressures for change

  • Pointing out discrepancies between current state and desired one

  • Convey positive expectations for change


What is organizational development
What is Organizational Development?

  • It is the application of social science techniques to plan change in organizational settings for the purpose of enhancing organizational effectiveness and the development of individuals.


Underlying values
Underlying Values

  • Concept of people

  • Concern for science

  • Democratic principles

  • The helping relationship


Potential conflicts with od
Potential Conflicts with OD

  • Conflict with profit making

  • Conflict with managerial prerogatives


Organizational level diagnosis
Organizational Level Diagnosis

Transformation

Strategy

Design Factors

Culture

Inputs

General

Environment

Industry

Structure

Outputs

Performance

Productivity

Satisfaction


Group level diagnosis
Group Level Diagnosis

Transformation

Group

Design

Factors

Inputs

Organization

Design

Factors

Culture

Strategy

Outputs

Team

Effectiveness

Productivity,

Satisfaction


Individual level diagnosis
Individual Level Diagnosis

Transformation

Job

Design

Factors

Inputs

Group

Design

Factors

Personal

Characterist-

ics

Outputs

Individual

Effectiveness

Productivity,

Satisfaction


After diagnosis
After Diagnosis

  • Feeding back the information

  • Choosing interventions

  • Managing change

  • Institutionalizing change


Team building
Team Building

  • Improved group processes

  • Communication

  • Goal clarification

  • Role clarification

  • Task orientation


Survey feedback
Survey Feedback

  • Small meetings to feedback survey results

  • Meetings used to formulate change

  • Managers conduct meetings to indicate commitment


Employee involvement
Employee Involvement

  • Quality of worklife

  • Quality circles

  • Total quality management


Re engineering
Re-Engineering

  • Job redesign

  • Teamwork

  • Work performed by most appropriate person

  • Advanced information technologies used


Od effectiveness
OD Effectiveness

  • More impact on organizational than individual outcomes

  • Works better for white collars than blue collars

  • Works better if multiple techniques are used

  • Technological change shows more positive outcomes


Measurement problems
Measurement Problems

  • Difficult to isolate cause of outcomes since OD efforts often involve multiple changes

  • May be the result of Hawthorne effects

  • Change may be due to maturation or passage of time and not intervention


Ethical issues
Ethical Issues

  • The role of the OD practitioner

  • Who’s values


Continuing Issues

  • Importance of learning and knowledge

  • Impact of technology

  • Managing the remote work force


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