13-1 mcgraw-hill/irwin © 2002 the mcgraw-hill companies, inc., all rights reserved
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13-1
McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc., All Rights Reserved.
CHAPTER
THIRTEEN
Leadership and ChangeLeadership and ChangeLeadership and ChangeLeadership and Change
13-3
McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc., All Rights Reserved.
Beer’s Model of Organizational Change
D = followers’ dissatisfaction
M = model for change
P = process
R = resistance
C = amount of change
C = D x M x P > R
Example of a
Vision Statement
We believe that an organization will only be as We believe that an organization will only be as good as its leaders. Our vision is to increase our good as its leaders. Our vision is to increase our clients’ productivity, profitability, and clients’ productivity, profitability, and shareholder value by enhancing their ability to shareholder value by enhancing their ability to attract, develop, promote, and retain leadership attract, develop, promote, and retain leadership talent. talent.
We believe that an organization will only be as We believe that an organization will only be as good as its leaders. Our vision is to increase our good as its leaders. Our vision is to increase our clients’ productivity, profitability, and clients’ productivity, profitability, and shareholder value by enhancing their ability to shareholder value by enhancing their ability to attract, develop, promote, and retain leadership attract, develop, promote, and retain leadership talent. talent.
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McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc., All Rights Reserved.
The Components of Organizational Alignment
Vision
Structure• Span of control• Team composition• Hierarchy
Systems• Accounting• HR
Capabilities• Technical• Leadership
Culture• Norms• Shared values
• Sales• IT
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McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc., All Rights Reserved.
The Expectation-Performance Gap
Actual performance
Time
Perf
orm
ance
Change initiative implemented
Status quo
Expectations
Gap
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McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc., All Rights Reserved.
Common Losses with Change
Loss of: Possible Leader ActionsPower Demonstrate empathy, good listening skills, and new
ways to build power.
Competence Coaching, mentoring, training, peer coaching, job aids, and so forth.
Relationships Help employees build new relationships before change occurs, or soon thereafter.
Rewards Design and implement new reward system to support change initiative.
Identity Demonstrate empathy; emphasize value of new roles.
M. Beer, Leading Change (Boston: Harvard Business School Press, 1988).
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McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc., All Rights Reserved.
Reactions To Change
Time
Em
otio
nal l
evel
Anger
Shock
Rejection
Acceptance
Top leadersMiddle managersIndividual contributors
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The Rational Approach To Organization Change and the Interactional Framework
Leader
Followers Situation
• Environmental scans• Vision• Goals• Change plan• Systems vs. siloed thinking• Leadership and management capabilities
• Crisis• Consumer preferences• Market conditions • Societal shifts• Political and legal challenges• Competitive• Organizational structure• Organizational systems• Organization culture
• Dissatisfaction• resistance • SARA model• Loss of:
– Power– Competence– Identity– Rewards– Relationships
• Technical/functional capabilities
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McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc., All Rights Reserved.
Four Leader Behaviors of Path-Goal Theory
• Directive
• Supportive
• Participative
• Achievement-oriented
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McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc., All Rights Reserved.
Burns’s Forms of Leadership
• Transactional leadership occurs when leaders and followers are in an exchange relationship in order to get needs met.
• Transformational leadership serves to change the status quo by appealing to followers’ values and their sense of higher purpose.
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McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc., All Rights Reserved.
Factors Pertaining to Charismatic Leadership and the Interactional Framework
Leader
Followers Situation
Vision
Rhetorical skills
Image and trust building
Personalized leadership
Crisis
Task interdependence
Identification with the leader and the vision
Heightened emotional levels
Willing subordination to the leader
Feelings of empowerment
Outcomes:
Social or cultural revolutions
Higher levels of effort
Greater follower satisfaction
Increased group cohesiveness
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McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc., All Rights Reserved.
A Leaders’ Vision Of the Future Can Align Efforts and Help Groups Accomplish More
Groups that lack vision
Groups with vision
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