change management. objectives understand the range of reactions to organizational change understand...
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OBJECTIVES
Understand the range of reactions to organizational change
Understand the causes of reactions to change
Examine our own attitudes towards change
Identify techniques to develop support for organizational change
Examine a systematic plan to manage change
Objectives
What is organizational change? What change strategies are used in
organizations?What can be done about resistance to change?How do organizations innovate?How does stress affect people at work?
What is organizational change?
Forms of change.Radical change.
Also known as frame-breaking change.Change that results in a major overhaul of the
organization or its component systems. Incremental change.
Also known as frame-bending change.Change that is part of the organization’s natural
evolution.
What is organizational change?
Change agents. Individuals and groups who take responsibility
for changing the existing behavior patterns of another person or social system.
Sometimes hired as outside consultants.Managers and leaders in contemporary
organizations are expected to be change agents.
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 and
maximize any possible benefits.
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
desired state of affairs.May reflect problems or opportunities.
What is organizational change?
Organizational forces for change.
Organization-environment relationships.
Organizational life cycle.
Political nature of organizations.
What is organizational change?
Organizational targets for change.Purpose of the firm.Objectives of the firm.Strategy of the firm.CulturePeople.Tasks.StructureTechnology.
What is organizational change?
Phases of planned change.Unfreezing.
Preparing a situation for change by disconfirming existing attitudes and behaviors.
Susceptibility to “boiled frog phenomenon.”Changing.
Taking action to modify a situation by altering the targets of change.
Refreezing.Maintaining and eventually institutionalizing the change.
Boiling Frog Phenomenon
If you drop a frog in a pot of boiling water, it will frantically try to clamber out.
But, if you place it gently in a pot of tepid water and turn the heat on low, it will float there quite placidly.
As the water gradually heats up, the frog will sink into a tranquil stupor, exactly like one of us in a hot bath, and before long, with a smile on its face, it will unresistingly allow itself to be boiled to death.
Goal
Old -- Short-term results, initiation of change.
New -- Short and long-term results, initiation, management, and maintenance of change.
Mentality
Old - Risks and errors are to be avoided, mistakes are to be punished, change is considered difficult.
New – one is to show carriage, there is more risk in not changing, mistakes are to be taken in stride and as learning opportunities.
Source of change
Old – from the top down, and through the support of sponsors.
New – from the middle and lower levels as well as from above, and through empowerment of others.
Degree of planning
Old– High: ready, ready, ready, aim, aim, aim, ….fire!
New – Modest: Ready, fire, aim.
Organizational attitudes
Old – “If it ain’t broke, don’t fix it!” New – “If it ain’t broke, break it!”
FORCES TO CHANGE
CHANGE
OrganizationalSocial
Technological
Employee Needs & Values
Business & Economic
RANGE OF REACTIONS
Leaving
Active resistance
Opposition
Acquiescence
Acceptance/Modification
Acceptance
Active Support
CHANGE ATTITUDE COMPONENTS
COGNITIVE
The higher the score, the more a person believes that change tends to produce positive effects for the individual, coworkers, and the organization
AFFECTIVE
The higher the score, the more a person looks forward to change and enjoys it
BEHAVIORAL
The higher the score, the more a person tends to initiate and/or support change
Cognitive Affective Behavioral
Attitudes toward Change
3.2
3.6 3.6
3
3.5
4
SELF-ASSESSMENT NATIONAL NORMS
Types of change strategies
Collaborative -- Participative
Evolution Use when the
organization is in good condition but needs minor adjustment, or is not in good condition but Key interest group’s favorite change.
Collaborative -- Charismatic
Transformation Use when the
organization is not in good condition and though there is little time for extensive participation there is support for radical change
Types of change strategies
Coercive -- Forced Evolution Use one the
organization is in good condition but needs minor adjustment or when it is not in good condition and key interest groups oppose change
Coercive -- Dictatorial
Transformation Use when the organization
is not in good condition there is no time for extensive participation and no support within the organization for radical change but radical change it is vital to organizational survival.
Change Models
Emphasize hard Economic and Performance management
Emphasize behavioral management Imperatives accountability
Focused on one dimension of the firm at a time such as technical competence
Redesign
Based on core values and vision Building alignment around shared
vision Mobilizing people’s energy Designing an organizational
governance structure that allows for optimum utilization of people’s energy
Redesign
Shared responsibility among all groups and group members
Functional groups, members of the executive team, line leaders, labor unions, staff and so forth.
Not top down
PERSONALITY & ORGANIZATIONAL CHANGE
Tolerance for Ambiguity The higher the score, the better able a person
is to be comfortable with uncertainty
Dogmatism The higher the score, the more rigid a person's
belief system (for example, they like to know the rules and follow them and apply old solutions to new problems)
Authoritarianism The higher the score, the stronger a person's
belief that power and status should be clearly defined and respected, and that there should be a formal organizational hierarchy of authority Cont.
PERSONALITY & ORGANIZATIONAL CHANGE
(continued)
Internal Locus of Control
The higher the score, the more a person believes that his or her abilities and efforts influence successes and failures
External Locus of Control
The higher the score, the more a person believes that other people, circumstances, or luck influence his or her successes and failures
TECHNIQUES FOR DEVELOPING SUPPORT & REDUCING RESISTANCE Education and communication Participation and involvement Facilitative support Emotional support Incentives Manipulation and co-optation Coercion
What can be done aboutresistance to change?
Resistance to change.Any attitude or behavior that indicates
unwillingness to make or support a desired change.
Alternative views of resistance.Something that must be overcome for change to
be successful.Feedback that can be used to facilitate achieving
change objectives.
What can be done aboutresistance to change?
Why people resist change.Fear of the unknown.Lack of good information.Fear for loss of security.No reason to change.Fear for loss of power.Lack of resources.Bad timing.Habit.
EXAMPLES
When knowledge would help alleviate fears due to inaccurate or sketchy information
Education & Communication
Participation & Involvement
When change initiators need information from others to design change and when the probability of resistance is high
Facilitative Support
When people lack the necessary skills or tools to be effective following change
Cont.
EXAMPLES (continued)
Emotional Support
When people have personal concerns and anxiety about a change that supportive reassurance could help alleviate
Incentives When key people will resist the change unless they benefit from it
Manipulation When change is absolutely necessary and all other techniques would be ineffective or too costly
Coercion
When change must occur quickly and the initiators have significantly more power than the resistors
What can be done aboutresistance to change?
Ways in which resistance is experienced.
Resistance to the change itself.
Resistance to the change strategy.
Resistance to the change agent.
What can be done aboutresistance to change?
How to deal with resistance.Education and communication.Participation and involvement.Facilitation and support.Negotiation and agreement.Manipulation and cooptation.Explicit and implicit coercion.
What can be done aboutresistance to change?
Education and communication.Educates people about change prior to
implementation and helps them understand the logic of change.
Use when people lack information or have inaccurate information.
Advantage — creates willingness to help with the change.
Disadvantage — can be very time consuming.
What can be done aboutresistance to change?
Participation and involvement.Allows people to help design and implement
the changes.Use when other people have important
information and/or power to resist.Advantages — adds information to change
planning; builds commitment to change.Disadvantage — can be very time consuming.
What can be done aboutresistance to change?
Facilitation and support.Provides emotional and material assistance for
people experiencing the hardships of change.Use when resistance traces to resource or
adjustment problems.Advantage — directly satisfies specific resource
or adjustment needs.Disadvantages — can be time consuming; can
be expensive.
What can be done aboutresistance to change?
Negotiation and agreement.Offers incentives to actual or potential
change resistors.Use when a person or group will lose
something because of the change.Advantage — helps avoid major resistance.Disadvantages — can be expensive; can
cause others to seek similar deals.
What can be done aboutresistance to change?
Manipulation Use covert attempts to influence others by selectively
providing information and consciously structuring events.
Use when other methods don’t work or are too expensive.
Advantages — can be quick and inexpensive.Disadvantage — can create future problems if
people sense manipulation.
What can be done aboutresistance to change?
Explicit and implicit coercion.Employ the force of authority to implement
change.Use when speed is important and the
change agent has power.Advantages — quick; overpowers
resistance.Disadvantage — risky if people get mad.
CHANGE MODELFEEDBACK
STAGE 1 CHANGE IDENTIFICATION
Recognize Need for Change
Identify Nature of Change
STAGE 4 EVALUATE CHANGE
Data Collection Data Evaluation
STAGE 2 IMPLEMENTATION PLANNING
Situational Diagnosis
General Strategy Selection
Support Techniques Selection
STAGE 3 IMPLEMENT CHANGE
Unfreezing Changing Refreezing
Stage 1 Identify Change
SYSTEMATIC CHANGE MANAGEMENT
Stage 2 Plan Change
Stage 3 Implement Change
Stage 4 Evaluate Change
FEEDBACK
What change strategies areused in organizations?
Force-coercion strategy.
Draws on reward power, coercive power, and
legitimate power as primary inducements to change.
Change agent acts unilaterally to command change.
Usually results in temporary compliance.
What change strategies areused in organizations?
Rational persuasion strategy.
Also known as an empirical-rational strategy.Draws on expert power as primary inducement to
change.Change agent uses special knowledge, empirical
support, or rational arguments. Usually results in long-term internalization.
What change strategies areused in organizations?
Shared power strategy.Also known as a normative-reeducative
approach.Draws on referent power as primary inducement
to change.Change agent empowers people affected by the
change and involves them in decision making related to the change.
Usually results in long-term internalization.
10 Change strategies
Analyze the organizational need for change Create a shared vision Separate from the past Create a sense of urgency Develop a strong leadership role Lineup political sponsorship Develop an implementation plan Develop enabling structures Communicate, involve people, and be honest Monitor, refine, and institutionalize change
Effects of change
Change in organizational power structure.
Change in how work gets done. Change in work related structures. Change in work performance.
Effects of change
Stress is the number one affect on work performance during periods of change.
Stress is created because workers have to change their routines.
Stress is created because workers have to learn new procedures.
Stress is created because workers have to take direct responsibility for their production.
How does stress affect people at work?
Stress.
A state of tension experienced by
individuals facing extraordinary
demands, constraints, or opportunities.
How does stress affect people at work?
Source of stress.
Stressors.
The wide variety of things that cause stress for
individuals.
Types of stressors.
Work-related stressors.
Nonwork and personal stressors.
How does stress affect people at work?
Work-related stressors.Task demands.Role ambiguities.Role conflicts.Ethical dilemmas.Interpersonal problems.Career developments.Physical setting.
How does stress affect people at work?
Nonwork and personal stressors.
Family events.Economic difficulties.Personal affairs.Individual’s needs.Individual’s capabilities.Individual’s personality.
How does stress affect people at work?
Stress and performance.Constructive stress.
Also known as eustress.Moderate levels of stress act in a positive way for
both individuals and organization.Destructive stress.
Also known as distress.Low and especially high levels of stress act in a
negative way for both individuals and organization.
How does stress affect people at work?
Stress can harm people’s physical and psychological health.Health problem associated with stress.
Heart attack.Stroke.Hypertension.Migraine headache.Ulcers.Substance abuse.Overeating.Depression.Muscle aches.
How does stress affect people at work?
Key symptoms of excessive stress.
Changes from:Regular attendance to absenteeism.Punctuality to tardiness.Diligent work to careless work.A positive attitude to a negative attitude.Openness to change to resistance to change.Cooperation to hostility.
How does stress affect people at work?
Wellness.
Personal wellness involves the pursuit of one’s
physical and mental potential through a personal
health promotion program.
Recognizes individual responsibility for maintaining
and enhancing one’s physical and mental health.
How does stress affect people at work?
Stress prevention.
The best first-line strategy in battling stress. Involves taking action to keep stress from
reaching a destructive level.Need to monitor personal and nonwork stressors
and to be proactive in preventing their adverse impact.
How does stress affect people at work?
Stress management.
Used once stress has reached a
destructive point.
Begins with the recognition of stress
symptoms and continues with actions to
maintain a positive performance edge.
How does stress affect people at work?
Stress management.
Organizations can implement
stress management programs
through their internal health
professionals.
How does stress affect people at work?
Stress management.
Once workers recognize they are being
affected by stress, they can seek outside
professional help.
Workers can also seek counsel from
coworkers or managers.