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HND – 15. Organizational Change. Lim Sei Kee @ cK. Introduction. Change – making things different Planned change – change activities that are intentional and goal oriented. What is Organizational Change?.

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Presentation Transcript
introduction
Introduction
  • Change – making things different
  • Planned change – change activities that are intentional and goal oriented
what is organizational change
What is Organizational Change?
  • An alteration of an organization’s environment, structure, culture, technology, or people
    • A constant force
    • An organizational reality
    • An opportunity or a threat
  • Change agent
    • A person who initiates and assumes the responsibility for managing a change in an organization
forces for change
Forces for Change

Force Examples

Nature of the workforce More cultural diversity

Aging population

Many new entrants with inadequate skills

Technology Faster, cheaper, and more mobile computers

On-line music sharing

Deciphering of the human genetic code

Economic shocks Rise and fall of dot-com stocks

2000–02 stock market collapse

Record low interest rates

Competition Global competitors

Mergers and consolidations

Growth of e-commerce

forces for change1
Forces for Change

Force Examples

Social trends Internet chat rooms

Retirement of Baby Boomers

Rise in discount and “big box” retailers

World politics Iraq–U.S. war

Opening of markets in China

War on terrorism following 9/11/01

overcoming resistance to change
Overcoming resistance to change
  • Education and communication
  • Participation
  • Facilitation and support
  • Negotiation
  • Manipulation and cooptation
  • Coercion
approaches to managing organizational change
Approaches to managing organizational change
  • Lewin’s three-step model
  • Kotter’s eight-step plan for implementing change
  • Action research
process of planned change

Unfreezing

Moving

Refreezing

Kurt Lewin

Process of Planned Change
  • Provide rationale for change
  • Create minor levels of guilt/anxiety about not changing
  • Create sense of psychological safety concerning change
  • Provide information that suspects proposed changes
  • Bring about actual shifts in behavior
  • Implement new evaluation systems
  • Create minor levels of guilt/anxiety about not changing
  • Implement new hiring and promotion systems

Adapted from Exhibit 14-3: Process of Planned Change

kotter s eight step plan for implementing change
KOTTER’S EIGHT-STEP PLAN FOR IMPLEMENTING CHANGE

UNFREEZING

1. Create a sense of urgency – offer a compelling reason why change is needed

2. Form a coalition with enough power to lead the change

3. Create a new vision to direct the change, and strategies for its achievement

4. Communicate the vision throughout the organization

MOVEMENT

5. Empower others to act by encouraging risk-taking and creative problem-solving

6. Plan for, create, and reward short-term “wins” that move toward the new vision

7. Consolidate improvements, reassess changes, and make adjustments

REFREEZING

8. Reinforce the changes, show relationships between new behaviors and success

action research
Action Research

Action Research

A change process based on systematic collection of data and then selection of a change action based on what the analyzed data indicate.

  • Process Steps:
  • Diagnosis
  • Analysis
  • Feedback
  • Action
  • Evaluation

Action research benefits:

Problem-focused rather than solution-centered.

Heavy employee involvement reduces resistance to change.

organizational development
Organizational Development

A collection of planned interventions, built on humanistic-democratic values, that seeks to improve organizational effectiveness and employee well-being.

  • OD Values:
  • Respect for people
  • Trust and support
  • Power equalization
  • Confrontation
  • Participation
organizational development techniques
Organizational Development Techniques

Sensitivity Training

Training groups (T-groups) that seek to change behavior through unstructured group interaction.

Provides increased awareness of others and self.

Increases empathy with others, improves listening skills, greater openess, and increased tolerance for others.

organizational development techniques1
Organizational Development Techniques

Team Building

High interaction among team members to increase trust and openness.

  • Team Building Activities:
  • Goal and priority setting.
  • Developing interpersonal relations.
  • Role analysis to each member’s role and responsibilities.
  • Team process analysis.
organizational development techniques2
Organizational Development Techniques

Intergroup Development

OD efforts to change the attitudes, stereotypes, and perceptions that groups have of each other.

  • Intergroup Problem Solving:
  • Groups independently develop lists of perceptions.
  • Share and discuss lists.
  • Look for causes of misperceptions.
  • Work to develop integrative solutions.
organizational development techniques3
Organizational Development Techniques

Appreciative Inquiry

Seeks to identify the unique qualities and special strengths of an organization, which can then be built on to improve performance.

  • Appreciative Inquiry (AI):
  • Discovery: recalling the strengths of the organization.
  • Dreaming: speculation on the future of the organization.
  • Design: finding a common vision.
  • Destiny: deciding how to fulfill the dream.