Organization Effectiveness and Change

Download Organization Effectiveness and Change

Post on 07-Apr-2018




0 download

Embed Size (px)


<ul><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 1/162</p><p>ORGANIZATIONEFFECTIVENESS AND</p><p>CHANGE</p><p>1Organization Effectiveness and ChangePresentation</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 2/162</p><p>ORGANIZATIONAL</p><p>CULTURE &amp; CHANGE</p><p>2Organization Effectiveness and ChangePresentation</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 3/162</p><p>Organization Effectiveness and ChangePresentation</p><p>3</p><p>CULTURE</p><p> What is Culture?</p><p> It is the set of important understanding that members ofcommunity share in common.</p><p> 2 types of culture:-</p><p> SOCIETAL---Consists of patterned ways of thinking, feeling andreacting that are acquired by language and symbols that create adistinctiveness among human group.</p><p> ORGANIZATIONAL---The deeper level of basic assumptions andbeliefs that are shared by members of an organization, thatoperate unconsciously and define in a basic taken for grantedfashion an organization's view of its self and its environment.</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 4/162</p><p>Organization Effectiveness and ChangePresentation</p><p>4</p><p>ORGANIZATIONAL CULTURE</p><p> An iceberg whereby the surface is based on a much deeper(and bigger) reality, yet this reality is usually unexamined.</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 5/162</p><p>5</p><p>Goals</p><p>Strategy</p><p>Structure</p><p>Systems &amp; procedures</p><p>Products &amp; services</p><p>Financial resources</p><p>Management</p><p>Values, attitudes &amp; beliefs</p><p>Leadership style &amp; behaviour</p><p>Org. Culture &amp; norms of behaviour</p><p>Power, politics &amp; conflict</p><p>Informal groupings</p><p>Formalorganization</p><p>Informalorganization</p><p>THE ORGANIZATIONALICEBERG</p><p>Organization Effectiveness and ChangePresentation</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 6/162</p><p>Organization Effectiveness and ChangePresentation</p><p>6</p><p>ORGANIZATIONAL CULTURE &amp;CHANGE</p><p> organizational life is not as neat, tidy or predictable asformal elements of organization such as structure, strategy&amp; technology may imply.</p><p>The culture and politics of many organizations constrain thedegree of change and transformation in which they cansuccessfully engage, even though such change may behighly desirable for meeting the challenges and demands ofthe wider environment.</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 7/162</p><p>ORGANIZATIONAL</p><p>CHANGE</p><p>7Organization Effectiveness and ChangePresentation</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 8/162</p><p>Organization Effectiveness and ChangePresentation</p><p>8</p><p>ORGANIZATIONAL CHANGE</p><p>The illiterate of the 21st century will not be</p><p>those who cannot read or write, but thosewho cannot learn, unlearn, and relearn.</p><p>Alvin Toffler</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 9/162</p><p>Organization Effectiveness and ChangePresentation</p><p>9</p><p>CHANGE</p><p> What is Change?</p><p> Change refers to any alternation which occurs in theoverall work environment of an organization.</p><p> Coping process of moving from a unsatisfactory present</p><p>state to a desired state. Change has following characteristics:</p><p> Change results from pressure forces internally &amp; externally.</p><p> Whole organization is affected by the change in any part.</p><p> Change takes place in all parts of organization at varying rates ofspeed and degree of significance.</p><p> What is Planned Change?</p><p> Results from deliberate attempts by managers toimprove organizational operations.</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 10/162</p><p>Organization Effectiveness and ChangePresentation</p><p>10</p><p>CHANGE-IMPORTANT FACTS</p><p> Change is the single most important factor in businesstoday:</p><p> every business is an ongoing source of change.</p><p> every professional discipline is a process of change. Every market force (customers, competitors, technology,</p><p>regulations, distribution channels, suppliers, etc.) createschange that forces our change in response.</p><p> Complex change is typically accepted if enough time is</p><p>allowed. Rapid change can occur if its a small adjustment.</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 11/162</p><p>Organization Effectiveness and ChangePresentation</p><p>11</p><p>ORGANIZATIONAL CHANGE</p><p> What is Organizational Change?</p><p> Organizational change is in regard to organization-widechange, as opposed to smaller changes such as adding anew person, modifying a program, etc.</p><p> Also known as organizational transformation.</p><p> It designates a fundamental and radical reorientation inthe way the organization operates.</p><p> Example of organization-wide change include a changein mission, restructuring operations e.g. restructuring to</p><p>self-managed teams, layoffs, etc., new technologies,mergers, major collaborations, "rightsizing", newprograms such as Total Quality Management, re-engineering, etc.</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 12/162</p><p>Organization Effectiveness and ChangePresentation</p><p>12</p><p>ORGANIZATIONAL CHANGE</p><p> Management of Organizational Change</p><p> Management of change is defined as a conscious andconcerted initiative by managers.</p><p> To watch over the behavior of uncontrollable forces, toassess their impact and influence of the controllableforces.</p><p> And to evolve appropriate strategies and actionprogrammes to maintain a dynamic equilibrium between</p><p>these 2 forces.</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 13/162</p><p>Organization Effectiveness and ChangePresentation</p><p>13</p><p>ORGANIZATIONAL CHANGE</p><p> What is provokes Organizational Change?</p><p> Change should not be done for the sake of change; it'sa strategy to accomplish a goal.</p><p> Organizational change is provoked by major outsidedriving forces like substantial cuts in funding, addressingmajor new markets/clients, need for dramatic increasesin productivity/services, etc.</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 14/162</p><p>Organization Effectiveness and ChangePresentation</p><p>14</p><p>ORGANIZATIONAL CHANGE</p><p> What is provokes Organizational Change?</p><p> Organization-wide change is undertaken to evolve to adifferent level in their life cycle, e.g., going from aturbulent, entrepreneurial organization to more stable</p><p>and planned development.</p><p> Example Transition to a new chief executive can provokeorganization-wide change when his or her new andunique personality pervades the entire organization.</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 15/162</p><p>Organization Effectiveness and ChangePresentation</p><p>15</p><p>ORGANIZATIONAL CHANGE-IMPORTANT FACTS</p><p> Globalization of markets demands globalization ofbusinesses.</p><p> Change with times, or get left behind.</p><p> You will be hired to bring about change; not to justmaintain the status quo.</p><p> You will need to become a change agent.</p><p> Change will not stop, it will only go faster.</p><p> No matter how well planned, it will not be trouble free.</p><p> Each of us is accountable to making change acceptable.</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 16/162</p><p>ARTICLE-A LETTER OFCOMPLAINT</p><p> List out the problems faced by thecustomer?</p><p> What changes has to be brought about bythe manager to ensure complete customersatisfaction?</p><p>Organization Effectiveness and ChangePresentation</p><p>16</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 17/162</p><p>Organization Effectiveness and ChangePresentation</p><p>17</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 18/162</p><p>Organization Effectiveness and ChangePresentation</p><p>18</p><p>FORCES OF CHANGE</p><p> 2 Types of Forces:</p><p>INTERNAL FORCES EXTERNAL FORCES</p><p>Human Resource Problems/Prospects Demographic Characteristics</p><p>Managerial Behavior/Decisions</p><p>Technological Advancements</p><p>Market Changes</p><p>Social &amp; Political Pressures</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 19/162</p><p>Organization Effectiveness and ChangePresentation</p><p>19</p><p>LEVELS OF CHANGE</p><p> 3 Levels of Change:</p><p>LEVELS OF CHANGE</p><p>INDIVIDUAL LEVEL CHANGE Like change in job assignment, transfer</p><p>to new location etc.</p><p>GROUP LEVEL CHANGES Group work prominent in organizations.</p><p>Both Formal &amp; Informal Groups</p><p>considered while implementing change</p><p>eg Trade Union.</p><p>ORGANIZATION LEVEL CHANGES These changes affect both Individual &amp;Group and take place over long period</p><p>of time. Always taken by Top</p><p>Management. Eg. Reorganization of</p><p>Org. Structure, Shift in Organizations</p><p>Objective.</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 20/162</p><p>Organization Effectiveness and ChangePresentation</p><p>20</p><p>TYPES OF CHANGE</p><p> 4 Types of Change:</p><p>TYPES OF CHANGE</p><p>STRATEGIC CHANGE Change in the mission of the organization. Eg.</p><p>Acquisition of BA over US Airways.</p><p>STRUCTURAL</p><p>CHANGE</p><p>Shifts in the authority &amp; responsibility distribution. Eg.</p><p>Decentralized Operations and Participative</p><p>Management Styles.</p><p>PROCESS ORIENTED</p><p>CHANGE</p><p>Relates to technological developments, information</p><p>processing, automation etc.</p><p>PEOPLE ORIENTED</p><p>CHANGE</p><p>Changes directed towards performance improvement,</p><p>group cohesion, loyalty etc.</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 21/162</p><p>Organization Effectiveness and ChangePresentation</p><p>21</p><p>RESISTANCE TO CHANGE</p><p> Why do Organization resist change?</p><p> Group inertia Peer pressure, group norms.</p><p> Security.</p><p> Threat to established power relationships. Threat to established resource allocations.</p><p> Limited focus of change Change affects others in theorganization.</p><p> Poor communication.</p><p> Threat to expertise.</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 22/162</p><p>RESISTANCE TO CHANGE</p><p> Is Resistance bad?????</p><p> Resistance is not all bad. Resistance is important as it:</p><p> forces management to check and recheck the proposals.</p><p> helps identify specific problem areas where change islikely to cause difficulty.</p><p> gives management information about the intensity ofemployee emotions on the issues.</p><p> provides a means of release of emotions. This causes</p><p>employees to think and talk more about the changes.</p><p>22Organization Effectiveness and ChangePresentation</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 23/162</p><p>RESISTANCE TO CHANGE</p><p> The causes of Resistance are as follows:-</p><p> Economic Factors:- It relates to basic economic needs ofworkers like life, job security and safety.</p><p> Psychological Factors:-These are sense of pride,achievement, self fulfillment etc.</p><p> Social Factors:- These are needs like friendship,</p><p>belongingness etc. The informal groups created in theorganizations lead to resistance for change.</p><p>23Organization Effectiveness and ChangePresentation</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 24/162</p><p>Organization Effectiveness and ChangePresentation</p><p>24</p><p>ORGANIZATIONAL CHANGE-</p><p>CHANGE AGENTS</p><p> People who drive change are change agents.</p><p> We are all agents of change:</p><p>Change-agent skills are as important to our successas our professional discipline skills.</p><p> The purpose of our jobs is to change what is possible,as companies and as individuals, by adding valueevery day.</p><p> Can be consultant or trainer, external or internal. No ideal change agent, particular requirement relate to</p><p>actual situation in organization.</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 25/162</p><p>CHANGE AGENTSLEVELS OFLEADERSHIP SKILLS</p><p> Jim Canterucci defines Change Leaders on 5 levels asfollows:</p><p> Level I :- Small change initiatives with clear direction</p><p>Accepts the need for change, communicates and defendsthe need for change throughout the organization, createsan open and receptive environment</p><p> Level II:- Change projects at local level</p><p> Defines and initiates change, identifies leverage points forchange in processes and work habits</p><p>Organization Effectiveness and ChangePresentation</p><p>25</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 26/162</p><p>CHANGE AGENTSLEVELS OFLEADERSHIP SKILLS</p><p> Level III:- Transformation of a central vision into changeinitiatives and organization-wide communication</p><p> Leads change, translate the vision of the organization intothe context of a specific change initiative and bring this</p><p>message to the entire organization, redirects approaches inthe face of new opportunities.</p><p> Level IV:- Generates change with a high degree oftransformation</p><p>Manages complex change, understands the culturaldynamics of the current state of an organization, creates astrategic practical course, balancing the current reality withthe need for rapid adoption of the desired future reality</p><p>Organization Effectiveness and ChangePresentation</p><p>26</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 27/162</p><p>CHANGE AGENTSLEVELS OFLEADERSHIP SKILLS</p><p> Level V:- Ability to revolutionize organizations</p><p> Champions change, challenges the status quo bycomparing it to an ideal or a vision of change, causes crisisin order to support dramatic actions and change efforts,</p><p>transforms the organization</p><p>Organization Effectiveness and ChangePresentation</p><p>27</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 28/162</p><p>CHANGE AGENTSCHARACTERSTICS</p><p> As per Havelock &amp; Shaskin following factors:</p><p> HOMOPHILY</p><p> EMPATHY</p><p> LINKAGE</p><p>PROXIMITY STRUCTURING</p><p> CAPACITY</p><p> OPENNESS</p><p> REWARD</p><p>ENERGY SYNERGY</p><p>Organization Effectiveness and ChangePresentation</p><p>28</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 29/162</p><p>CHANGE AGENTSCHARACTERSTICS</p><p> As per Havelock &amp; Shaskin following factors:</p><p> HOMOPHILY Degree of closeness and similarity between the change agent and the client.</p><p> EMPATHY Involves understanding of feelings and emotions and thoughts.</p><p> LINKAGE Degree of collaboration between the change agent and the client.</p><p> PROXIMITY Easy access to each other.</p><p> STRUCTURING</p><p>Involves proper and clear planning of all activities that are related tochange.</p><p> CAPACITY Refers to the org. capacity to provide the resources that are need for</p><p>successful org. development effort and implementation.</p><p>Organization Effectiveness and ChangePresentation</p><p>29</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 30/162</p><p>CHANGE AGENTSCHARACTERSTICS</p><p> OPENNESS</p><p> Refers to the conceptual environment which is conducive tothe development of respect and understanding for each othersideas, needs and feelings.</p><p> REWARD</p><p> Rewards should in both long and short run.</p><p> Greater potential for rewards, the more determined the effortrequired for change.</p><p> ENERGY</p><p> Amount of effort put into the change process. Involves both</p><p>physical &amp; psychological energy.</p><p>Organization Effectiveness and ChangePresentation</p><p>30</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 31/162</p><p>Organization Effectiveness and ChangePresentation</p><p>31</p><p>CHANGE AGENTS-SERVICESPROVIDED</p><p> Activities in which change agents are involved:-</p><p> Provides specialized perspectives, skills &amp; knowledge to theorganization.</p><p> Helps with problem solving procedures: identifying, defining, clarifying</p><p>the problems, assessing alternatives etc.</p><p> Provide training and skill building to employees.</p><p> Assist in Team Learning skills.</p><p> Develop and conduct surveys within the org.</p><p> Imparting skills once the external leaves.</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 32/162</p><p>Organization Effectiveness and ChangePresentation</p><p>MANAGING COMPLEXCHANGE</p><p>Vision</p><p>Skill</p><p>Incentive</p><p>Resources</p><p>Action Plan</p><p> All elements areneeded to effectivelymanage complexchange</p><p> Without vision-confusion.</p><p> Without skill-anxiety</p><p> Without incentive-gradual change</p><p>Without resources-frustration</p><p> Without action plan-false starts</p><p>32</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 33/162</p><p>ORGANIZATIONAL CHANGEPRESENTATION</p><p>LEWINS FORCE FIELDTHEORY OF CHANGE</p><p> organizational change occurs when:</p><p> forces for change strengthen</p><p> restraining forces lessen, or</p><p> both processes occur simultaneously</p><p>33</p></li><li><p>8/3/2019 Organization Effectiveness and Change</p><p> 34/162</p><p>ORGANIZATIONAL CHANGEPRESENTATION</p><p>LEWINS FORCE FIELDTHEORY OF CHANGE</p><p> Steps in Force Field Analysis:</p><p>1. Define problem (current state) andtarget si...</p></li></ul>