ORGANIZATIONAL CHANGE

By: Tirta Perkasa (145030207121001)

Leny Vasidatur R. (145030207121008)Ewaldo Pareira (145030207121019)

Faculty of Administrative ScienceBrawijaya University

DEC 2015

• Understanding changes in the organization as a simple means is discussion about why, when, and how organizational change (Hatch, 1997: 350)• 2 causes of change:1. Internal Factors: Concerning the internal factors of the organization.EX: change of destination, change the number of personnel, declining morale, etc2. External Factors: Caused by changes in the organization's environment. Ex: government regulations, economic conditions, actions of competitors, etc

Decision and Types of Organizational Change

Decision and Types of Organizational Change

2 types of changes1. Planned changes : efforts are proactive and deliberate organization (procative and purposeful change)2. Unplanned changes : are the types of changes that can not be anticipated by the organization

planned Changes• Changes in products and

services• Changes in administrative

systems• Changes in organizational

size or structure• Introduction of new

technologies• Advances in information

processing and communication

Unplanned Changes• Changing employee

demographics• Performance gaps• Governmental regulations• Economic competition in the

global arena

According to Kanter, Stein, and Jick (1992), in the organization change there are 3 level, called Big Three Model : 1. Macro evolutionary: where these organizational changes caused by the behavior of other organizations. Actions or the actions of other organizations that affect an organization, resulting in a change.2. Micro evolutionary: changes caused by the influence of internal factors in the cycle or the life cycle of the organization, either because the increase size and complexity, as well as growth problems and a decrease in organizational decline.3. Political: the change at the individual level. Usually the politics and power struggles within the organization.

Decision and Types of Organizational Change

Based on the scope and objectives. The types of changes (Kotter, 1997):1. Restructuration2. Re-engineering3. Preparation of back Strategy (turn around)4. Merger / Acquisition: 5. Downsizing6. Programs Quality7. Changes / Updates the culture of the organization (organizational culture's renewal)

Organizational Change Management Model

Organizational Change Management Model

• Kotter Model1. Establishing a sense of urgency2. Forming a powerful guiding coalition, namely the people who will become agents of change3. Creating a vision4. Communicating the vision5. Moving, supporting, and empowering more people to not only support, but empowering others to act on the vision.6. Planning for and creating short-terms wins7. After the evidence produced more and more short-term, then the next is consolidating improvement and producing still more change8. Institutionalizing new approaches into the organization's culture

Organizational Change Management Model• Schneider and Beatty Model

The organizational changes described as an analytical process that ends is to improve organizational performance. The determinants of the success of the changes called critical success factors (CSFs). At the beginning of change, managers need to define the organization of the key factors of this success. Materials to analyze these factors are of the strategy (business strategy) and corporate culture (corporate culture). Analysis of CSFs in an organization and then applied to the structure-system-skill (3s), three structural factors which have to be adjusted to the CSFs. 3 S changes need to be managed in such a way so as to form a change in behavior on the members of the organization. This is the basis of excellence and performance improvement organization in the future.

Organizational Change Management Model

• Robbins Model1. What should be changed? structure / technology / process?2. Draft amendments: (a) the process of change, (b) the tactics that will be used in the successful change, whether the intervention, participation, persuasion, or command (Edict).3. Implementation of changes and evaluation and feedback.

Organizational Change Management Model• Symbolic and Interpretive Hatch Model

According to symbolic models, the very basic element in an organizational change effort is the role of an actors. The actor who plays the role of change (Berger, 1994):1. Change agents, that is those who have the ability as a pioneer and

motivator of change in organizations.2. Change managers, that is those who have special capabilities in

planning, organizing and implementing change.3. Change facilitators, that is people who are spread across all levels of

the organization and actively support change agents and change manager.

4. Change buffers, that is those who are passively resisting change, because the feel reluctant or quite satisfied with the existing conditions.

5. Change resistors that is those who are actively and openly oppose change.

Various Views on Organization Change

• Postmodern: Organizational change can be a vehicle of domination for managers of organizations that consciously or unconsciously have a tendency to totalitarianism, or dictatorial attitudes. Second, organizational change can be seen also as an opportunity for freedom, creativity, and possibility.

• Power and Politics: Changes in the organization is essentially a reflection of the loss of control that had been held by the dominant power coalition within the organization.

• Learning and Innovation: The process of learning and innovation within organizations requires certain changes in the structure and patterns of organizational management.

• Cultural Approach: that planting a new culture is needed in order to change the organization can be was settled as behavioral patterns that remain in the organization.

The Role Administration Organizational Change

• Leading ChangeManaging a variety of organizational change efforts in accordance with the conditions and characteristics of the changes that must be made• Hodgkinson (1978: 5) 1. Administration is "Reviews those aspect dealing more with the formulation of purpose, the value laden issues, and the human component of 2. Organizations." Management was "Reviews those aspects wich more routine, definitive, programmatic , and susceptible to quantitative.

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