Organizational Change

ChangeChange

Change is an inevitable aspect of life. Organizations need capacity to adapt quickly. People are focus of most serious challenges. Large scale changes often incur significant problems

and challenges. Changes can be brought about by managers, non

managers, employees or an outside consultants

Organizational ChangeOrganizational Change

Organizational change is a structured approach in an organization for ensuring that changes are smoothly and successfully implemented to achieve lasting benefits. In the modern business environment, organizations face rapid change like never before.

Change managementChange management

Change management is an approach to transitioning individuals, teams, and organizations to a desired future state. In some project management contexts, change management refers to a project management process wherein changes to a project are formally introduced and approved.

Major Factors Affecting theSuccess of ChangeMajor Factors Affecting theSuccess of Change

Advocates of ChangeAdvocates of Change

Person leading change program is often most important force for change.

Internal or external OD practitioners may be

brought in to assist.

Degree of ChangeDegree of Change

Is change minor or major?

The greater the degree of change, the more difficult it is to implement and vice versa.

Time FrameTime Frame

Greater chance of success if change is gradual and in longer time frame.

Some organizations only chance for survival depends on radical change introduced swiftly.

Impact on CultureImpact on Culture

The greater the impact on existing culture, the greater the resistance and difficulty to implement change.

Evaluation on CultureEvaluation on Culture

Standards of performance developed to measure

change and impact on organization.

Changes on Organizational LevelChanges on Organizational Level

Policies. Procedures. Organization structures. Manufacturing processes. Work flows.

Change model Change model

Quadrant 1Quadrant 1

Minor change, minor impact on culture. Resistance will be at lowest level and success will be

most probable.

Quadrant 2Quadrant 2

Minor change, major impact on culture. Some resistance can be expected.

Quadrant 3Quadrant 3

Major change, minor impact on culture. Some resistance is likely. Good management can probably overcome it.

Quadrant 4Quadrant 4

Major change, major impact on culture. The greatest resistance can be predicted. The probability of success is low.

Forces for ChangeForces for Change

Force Examples

Nature of the workforce More cultural diversityAging populationMany new entrants with inadequate

skills

Technology Faster, cheaper, and more mobile computers

Economic shocks Rise and fall of dot-com stocks 2000–02 stock market collapseRecord low interest rates

Competition Global competitors

Mergers and consolidationsGrowth of e-commerce

Forces for ChangeForces for Change

Force Examples

Social trends Internet chat rooms World politics Iraq–U.S. war

Opening of markets in China War on terrorism following

9/11/01

Managing Planned ChangeManaging Planned Change

Goals of Planned Change

Improving the ability of the organization to adapt to changes in its environment

Changing the behavior of individuals and groups in the organization

Goals of Planned Change

Improving the ability of the organization to adapt to changes in its environment

Changing the behavior of individuals and groups in the organization

ChangeMaking things different

Planned ChangeActivities that are intentional and goal oriented

Restraining Forces Blocking Implementation of Change Restraining Forces Blocking Implementation of Change

Uncertainty regarding change. Fear of unknown. Disruption of routine. Loss of benefits. Threat to security. Threat to position power. Redistribution of power. Disturb existing social networks. Conformity to norms and culture.

Change agentChange agent

persons who act as catalysts and assume the responsibility for managing change are called change agents.

Factors that help change agentFactors that help change agent

Some of the things which will help him are:

A real need in the client system to change.

Genuine support from management.

Setting a personal example: listening, supporting behavior.

A sound background in the behavioral sciences.

A working knowledge of systems theory.

A belief in man as a rational, self-educating being fully

capable of learning better ways to do things.

Resistance to change

Definitions of resistance to changeDefinitions of resistance to change

“Resistance to change is an incomplete to change”.

Bridges “Resistance is a valuable passion, which can be

channeled more constructively”.

Weisbord “Resistance is the obstacle in the organization's

structure”.

Kotter “Resistance is protection ,energy and paradox”.

Maurer

Resistance to change is normal and even beneficial. It must be expected and acknowledged, and people's concerns must be listened to and responded to.

Here is a handy little formula that we can refer to that will allow us to deal with resistance positively and effectively.

D x V x F = R, where:

D = Dissatisfaction

V = Vision

F = First (or next) steps

R = Resistance to change This says that Dissatisfaction, Vision and First

Steps are all necessary in order to overcome Resistance to change.

Forms of Resistance to ChangeForms of Resistance to Change

– Overt and immediate

• Voicing complaints, engaging in job actions

– Implicit and deferred

• Loss of employee loyalty and motivation, increased errors or mistakes, increased absenteeism

Sources of Individual Resistance to ChangeSources of Individual Resistance to Change

Sources of Organizational Resistance to ChangeSources of Organizational Resistance to Change

Life Cycle of Resistance to ChangeLife Cycle of Resistance to Change

The response to change tends to move through a life cycle of 5 phases:

Phase 1.

• Only few people who see need for

change.

• Resistance appears massive.

Phase 2.Phase 2.

• Forces for and against change become

identifiable.

• Change more thoroughly understood.

• Novelty of change tends to disappear.

Phase 3.Phase 3.

• Direct conflict and showdown between

forces.

• This phase probably means life or death

to change.

Phase 4.Phase 4.

• Remaining resistance seen as stubborn.

• Possibility that resisters will mobilize

support to shift balance of power.

Phase 5.Phase 5.

• Resisters to change are as few and as

alienated as were advocates in first

phase.

Overcoming Resistance to ChangeOvercoming Resistance to Change

Tactics for dealing with resistance to change:

• Education and communication

• Participation

• Facilitation and support

• Negotiation

• Manipulation and cooptation

• Selecting people who accept change

• Coercion

Tactics for dealing with resistance to change:

• Education and communication

• Participation

• Facilitation and support

• Negotiation

• Manipulation and cooptation

• Selecting people who accept change

• Coercion

Strategies to Lessen Resistance to changeStrategies to Lessen Resistance to change Education and communication. Create a vision. Participation and involvement of members. Facilitation and support. Negotiation and agreement.

References References www.wikipedia.com www.Chron.com www.Business dictionery.com Change management

- Radha R Sharma

Questions ?Questions ?

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