organization change research and theory aji jaya bintara alisa octabiyanti dion wardyono
TRANSCRIPT
Organization ChangeResearch and Theory
AJI JAYA BINTARAALISA OCTABIYANTIDION WARDYONO
Change is a choice (intend to do and not intend to do)
Change is a choice (intend to do and not intend to do)
Why the organization must change?Why the organization must change?
What kind of change?What kind of change?
How to change?How to change?
Chaos and Related Theory
Non linear complex system theory
Organization change Theory
Organization theory
Psychological Theory
The Origin of OriginsThe Origin of Origins
Antecedents of Organization Development Antecedents of Organization Development
Cummings & Nathan, 1991:1. Lifting of significant regulatory requirements2. A new CEO charged with transformation3. A technological breakthrough
Tushman, Newman, and Romaneli (1986):4. A Fundamental shift in an industry competitive
framework5. Significant movement in a product’s life cycle6. Significant change in size
Review of Organization change researchReview of Organization change research
PEOPLE
TECH-NOLOGY
OrganizationalProcesses
OrganizationalStructures
Approach to Organization Development (Friedlander & Brown, 1974):
Human Fulfillment
TaskAccomplishment
TARGET OF INTERVENTIONS
OUTCOMES OF INTERVENTIONS
Human-Processual Approach
Techno-Structural Approach
Complementary research to Organization Development - Faucheux, Amado, & Laurent - Identifies cross cultural view - Stronger linkage between social and technical approach
1. This kind of research attempts to determine causation
2. Most research on organization change is a snapshot, not longitudinal
3. Much research methodology and instrumentation is quite precise, but
meaning and interpretation of the data are anything but precise
4. The research often does not fit the needs of user.
Organization change research “suffers from problem”
Organization change research “suffers from problem”
Beer & Walton (1987) :
More Recent Approaches to Research and Theory
Normal Science
Action Science
- Linear Systems- Quantitative method- Snapshot study
- Involves the user in the study- Relies on self-corrective learning (assessment and modification)
- Occurs over time, not episodically
Shift from “normal science” to “action science”
Shift from “normal science” to “action science”
Argyris, Putnam & Smith (1985)
Additional considerations in organization change research
Additional considerations in organization change research
1. The research can affect the outcome
2. Golembiewski, Billingsley, and Yeager (1976) :
Three types of change, which they labeled Alpha, Beta, and Gamma (Team Building example)
Type of change Description
Alpha change • Concerns a difference that occurs along some relatively stable dimension of reality.• Comparative measure before and after an intervention
Beta change • A recalibration of intervals along some constant dimension of reality
Gamma change • Involves a redefinition or re-conceptualization of some domain a major of change
• 1990 Theory and Research most closely associated with OD (Organizational Development)
• Porras & Robertson, 1992 Planned VS unplanned change, First-order VS Second-order change.
• Planned Change: Deliberate, Conscious, improve, deeper• Unplanned Change: External, Response, adaptive, spontaneous• First-Order Change: Continuous, Alterations, Modifications• Second-Order Change: Radical, Fundamental, Paradigmatic
The organizational change research theory of Porras and Colleagues
The organizational change research theory of Porras and Colleagues
Comments:• It oversimplifies. Revolutionary changes and evolutionary changes can be
planned (Goodstein & Burke, 1991) & (Chapter 5)• The most recent review, Weick and Quinn (1999) Episodic Change
(discontinuous, transformational, and revolutionary) VS Continuous Change (continuous, improvement, transactional, and evolutionary).
Order of Change Change Category
Planned Unplanned
First Developmental Evolutionary
Second Transformational Revolutionary
Types of Organizational ChangeOrganizational Development: Theory, Practice, and Research, by J. I. Porras and P. J. Robertson, 1992, in
Handbook of Industial and Organizational Psychology, by M. D. Dunnette and L. M. Hough
Types of Organizational ChangeOrganizational Development: Theory, Practice, and Research, by J. I. Porras and P. J. Robertson, 1992, in
Handbook of Industial and Organizational Psychology, by M. D. Dunnette and L. M. Hough
Friedlander & Brown (1974) two primary approaches to organization change:1. People or Human-processual2. Technology or Techo-structuralTwo outcomes: 3. Human Fulfillment4. Task Accomplishment
Porras (1987) loop connecting process5. Environment (input)6. Organization (through-put)7. Organizational Performance, and individual development (Output)
Porras & Robertson (1992); Porras & Silvers (1991) Four organizational work settings dimensions “streams”:8. Organizing Arrangements (goals, strategies, structure, and systems)9. Social Factors (culture, social pattern, networks, individual attributes10. Technology (tools, equipment, machinery, job design, and technical systems)11. Physical Settings (space, ambiance, interior design, etc).And the member elements:12. Cognitions13. Behaviors
Organization ModelsOrganization Models
Environment
Individual Cognition
On-The-Job Behavior
Vision
Physical setting
Socialfactors
TechnologyOrganizingarrangements
Organizational performance
Individual development
Mem
bers
Mem
bersW
orks
etting
Worksetti
ng
Organization
Org
aniz
ation
Organization
A Change-Based Organizational FrameworkHandbook of Industrial & Organizational Psychology, by Marvin D. Dunnette and Leaetta M, Hough, 1992
A Change-Based Organizational FrameworkHandbook of Industrial & Organizational Psychology, by Marvin D. Dunnette and Leaetta M, Hough, 1992
Whetten (1989) a “complete” theory contains four elements:1. What (constructs): “explanatory parts”2. How (lingkages): “what causes what” 3. Why (conceptual assumptions): “the reasonableness”4. Who, Where, When (The fourth element ): “temporal & contextual factors
of generalizability”
Porras and Silvers (1991): “Planned change that makes organizations more responsive to environmental shifts should be guided by generally accepted and unified theories of organizations and organizational change, neither of which currently exists” (p 51)
Proposes new model a process of how organizational change occurs:5. Organizational Interventions (OD and OT) that are intended to affect6. Certain Variables (Vision and Worksetting) which in turn affect7. Individual (Cognitive and Behavior) and ultimately improve8. Organizational Outcomes (Organizational Performance and Individual
Development
Organization Change TheoryOrganization Change Theory
CHANGEINTERVENTION
ORGANIZATIONALTARGET
VARIABLES
INDIVIDUAL ORGANIZATIONAL
MEMBER
ORGANIZATIONALOUTCOMES
ORGANIZATIONTRANSFORMATION
(OT)
ORGANIZATIONDEVELOPMENT
(OD)
VISION• Guiding Bullets
and Principles• Purpose• Mission
WORK SETTING• Organizing
Arrangements• Social Factors• Technology• Physical Setting
COGNITIVE
CHANGE
Alpha Change
Beta Change
Gamma (A) Change
Gamma (B) Change
BEHAVIOR CHANGE
IMPROVED ORGANIZATIONAL
PERFORMANCE
ENHANCED INDIVIDUAL
DEVELOPMENT
?
Planned Process Model of Organization ChangeOrganization Development and Transformation, by J. I. Porras and R. C. Silvers, 1991
Planned Process Model of Organization ChangeOrganization Development and Transformation, by J. I. Porras and R. C. Silvers, 1991
• Porras meets Whetten’s (1989) criterias well Organization change occurs when members alter their on-the-job behavior appropriately
• However:1. Human Beings the more emotional, the more it is the other way around
(behavior first, then cognition)2. More complex organization level The social effect (how they collectively
react and interact to another)3. Vision not sufficient for change The change in mental set comes after
behavior has occured• Supported by James-Lange Theory (emotion), Schachter 1959 (attribution
came after the inducement and the enacted behavior), Wegner and Wheatley 1999 (behavior causes are rarely conscious intricate mechanisms in brains), Bargh & Chartrand 1999 (Automaticity Most of the causes is nonconsious means).
• Added from journal Lawrence G. Hrebiniak, 2006 “Obstacles to Effective Strategy Implementation” “the problem with poor performance typically is not with planning but with doing” Managing change is the main issue
CommentsComments
• Wegner & Wheatly (1999) People can experience conscious will quite independent by three criterias:
1. Priority Thought shortly before the action (30 s)2. Consistency Thought should be compatible with the action3. The lack of other possible attributed causes Thought should be the only
cause of action
• In the context of organizational change:1. We must not assume that it is primarily a conscious Once values are
declared, then quickly move to action without assuming that members have made the linkages.
2. In more complex organization level, rely on nonlinear theories (Svyantek & Brown, 2000) Little control and difficult to sustain because of resistancy.
3. In organization level, use attractors Organization change as a series of “loops” initiatives and corrections.
SummarySummary
The “In-” Theoretical Model of Organization change
The “In-” Theoretical Model of Organization change
Beyond change management perspectivesBeyond change management perspectives
Strategy
Skills Structure
Carter (2008):- Strategy –Structure –Skills as important components of change initiatives- Integration between Strategy-Structure-Skills is critical in change management process, which contains seven phases: Set up for success, Create urgency, Shape future, Implement, Support shift, Sustain momentum, and stabilize environment.
Dimensions of organization changeWilliam F. Glueck, 1969
Dimensions of organization changeWilliam F. Glueck, 1969
1. Planned – Unplanned continuum
2. Size and Scope of change- Minor change (Legal agreement)- Major change (Systems: Centralized – Decentralized)
3. Level at which organization change began- Top down- Bottom up (Beginning at bottom and restructuring upward)
4. Test for effectiveness to implementation continuum- Incremental - Simultaneously
5. Element of the organization change- Knight: Product/Services, Technology, People, and Structure- Leavitt: Structural, Technological, and Human changes
Planned Unplanned
Recent thinking on organization change and research
Recent thinking on organization change and research
Weick and Quinn (1999), consider two primary categories of organization change:
1. Episodic - Infrequent, discontinuous, and intentional- Occurs during periods of divergence (when organization moving away from their
equilibrium condition)- Arises as a result of inertia and inability to respond to external environment
changes2. Continuous
- Ongoing, evolving, and cumulative- Small continuous adjustments can cumulate and create substantial change- Driven by alertness and the inability of organization to remain stable
Pendulum Swing Pendulum Swing
Social system of management Practitioners managers Business Trade association Management societies
Social system of science Scientists Graduate School Research institute Scholarly societies
Professional School
ManagementConsulting
Professional Learning
CommunityPure Science
Pendulum
Simon (1976): Mixing oil and water. “It’s easy to describe the intended product, less easy to produce it. And task is not finished when the goal has been achieved”. Different kind of knowledge: Applied knowledge (practical issues or needs of profession) and Scientific knowledge (new ideas and processes that are potentially possible)
Individual challenge of professional services
Individual challenge of professional services
Theory Building
Theory
Problem
Form
ulation
Research
design
& ConductProblem
Solving
Conceptual Model
Solution
Reality
To make significant research contributions , scholars in professional school must:1. Confront questions and anomalies arising from
management profession2. Develop alternatives theories and undertake
research to examine these questions3. Translate their findings, not only to contribute
knowledge to a scientific discipline, but also advance to practice of management
General systems approach suggests, four core activities:1. Diagnose the problem or situation as it exists in the real world2. Select a conceptual model and a research question to deal with problem or situation3. Build a theory and design research to examine the research questions4. Conduct the research and analyze the findings to produce a solution that addresses the real
world problem or situation
A Theory of Action PerspectiveA Theory of Action Perspective
The basic premises of this perspective are:
1. At the core of human and organizational life is effective action2. Actions are produced by individuals using their mind/brain3. The way the mind/brain produces actions is to use designs that
are stored in and retrievable from the human mind/brain4. The design are causal5. The design that are actionable must also be testable, or else we
can never addresses our effectiveness6. Individual hold designs that they espouse and designs that they
actually use. The key to change is to get at the designs in use or theories in use
The Van de Ven & Argyris ArgumentsThe Van de Ven & Argyris Arguments
Van de Ven and Argyris differ in:What knowledge to be developed and How it should be developed
Van de Ven arguments:1. Research must contribute to scientific discipline and practice of management2. Business school must create an environment that integrated the discipline by making dialogue or communication
Argyris arguments:1. Academics must ground research questions & solutions in real world practices2. Academic recommendations cannot be implemented effectively unless, without take to human tendency to behave consistently and defend against leading
consistently
How environment stimuli affects the organization or human being
How environment stimuli affects the organization or human being
ENVIRONMENTSTIMULI
ORGANIZATION(STRUCTURAL)
HUMAN RELATED(BEHAVIORAL)
Q1: When does organization development and organization transformation occur in organization planned change?
Q2: When does top-down initiative and bottom-up initiative occur in organization planned change?
Q3: When does cognition change and behavior change occur in organization planned change?
A: It depends on the difference of organization’s and members’ sensitivity in responding the change issue which is caused by:1. The Type of External Stimuli (Macro: PESTEL and Micro:
Industry)2. The Type of Internal Stimuli (Organization and Individual
readiness: way of thinking, needs, interests, etc.)3. The Timing of Stimuli to occur (Surprising or Predicted)
Our SynthesisOur Synthesis
H1: Organization transformation occurs when there is a high sensitivity in responding the change issue.
H2: Organization development occurs when there is only a low sensitivity in responding the change issue.
H3: Status quo occurs when there is no sensitivity in responding the change issue.H4: Top-down initiative occurs when organization’s sensitivity is higher than
members’ in responding the change issue.H5: Bottom-up initiative occurs when members’ sensitivity is higher than
organization’s in responding the change issue.H6: Two-ways initiative occurs when there is an equal level of sensitivity between
organization and members in responding the change issue.H7: Cognition change occurs before behavior change when there is a small gap of
sensitivity between organization and members in responding the change issue (high and low, low and resistance).
H8: Behavior change occurs before cognition change when there is a huge gap of sensitivity between organization and members in responding the change issue (high and resistance).
H9: Cognition change and behavior change occurs simultaneously when there is an equal level of sensitivity between organization and members in responding the change issue.
Our SynthesisOur Synthesis
• TRANSFORMATIONAL• TWO-WAYS• COGNITION AND BEHAVIOR
• TRANSFORMATIONAL• BOTTOM-UP• COGNITION
• TRANSFORMATIONAL• BOTTOM-UP• BEHAVIOR
• TRANSFORMATIONAL• TOP-DOWN• COGNITION
• DEVELOPMENTAL• TWO-WAYS• COGNITION AND BEHAVIOR
• DEVELOPMENTAL• BOTTOM-UP• COGNITION
• TRANSFORMATIONAL• TOP-DOWN• BEHAVIOR
• DEVELOPMENTAL• TOP-DOWN• COGNITION
STATUS QUO
ORGANIZATION’S SENSITIVITY TO CHANGE ISSUE
RESISTANCELOWHIGH
MEM
BERS
’ SEN
SITI
VITY
TO
CH
ANG
E IS
SUE
Our SynthesisOur Synthesis
HIGH
LOW
RESISTANCE