ch14 - Managing Change.ppt

7/21/2019 ch14 - Managing Change.ppt

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McGraw-Hill/Irwin 2002 The McGraw-Hill Companies, Inc., All 14-1

Chapter 14

ManagingChange


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Change Management Case Study

Here's the scenario: You have invested vast amounts

of time and money in the latest software system andprocesses; you have trained every employee; and

you have made their lives so much easier (or so you

think! Yet months later" people still persist in their

old ways: #here are the $usiness improvements you

e%pected& nd when will the disruption you'ree%periencin su$side&

)he fact is that orani*ations don't +ust chane

$ecause of new systems" processes or new

orani*ation structures )hey chane $ecause thepeople within the orani*ation adapt and chane too

Only when the people within it have made their

own personal transitions can an organization

truly reap the benefits of change.


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McGraw-Hill/Irwin 2002 The McGraw-Hill Companies, Inc., All 14-,

CHANGE AT WORK

What is change?

)o $ecome different" or to undero modification

What is change inside the organization?

ny alteration occurrin at work or in the work

environment that affects the way in whichemployees must act

What is Change Management?s the application of a structured process" and set

of tools to enae people and work collectively

inside the orani*ation towards the achieve of a

common o$+ective" and reali*e the $enefits

toether


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CHANGE AT WORK

Change can be:

.lanned or unplanned

/atastrophic or evolutionary

.ositive or neative

0tron or weak

0low or rapid

0timulate internally or e%ternally


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McGraw-Hill/Irwin 2002 The McGraw-Hill Companies, Inc., All 14-

CHANGE AT WORK

Where changes originate?

3ew overnment laws

3ew technoloy

/ompetitors introduce new servicesproduct

5erer c6uisitions 7own-si*in

/ustomer preferences (lifestyle chane!

8a$or unions for more internal chane

9merence of new ndustry or sector

/ommunities initiate chane 9nery /onservations


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McGraw-Hill/Irwin 2002 The McGraw-Hill Companies, Inc., All 14-

CHANGE AT WORK

llustration of /hane

usin a $alloon

t the point ofcontact"

chane creates

pressure to the

company

.ressure can

weaken theorani*ation


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CHANGE AT WORK

How do you manage the forces that result to change?

9sta$lish e6uili$rium in the social structure inside the orani*ation

-96uili$rium is a state of relative $alance $etween opposin

forces

-#hen there is e6uili$rium durin the transition periodemployees are a$le to em$race the chanes


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RESPONSES TO CHANGE

Group Response to Change

People interpret change individually

People in groups show uniform response to the

change.

-we are in this together.!

people in a group will act to protect

themselves from distur"ance of that "alance

due tochange.

#nclined to return to the perceived "est

way of life when ever change occurs.

Pressure coming from change will elicit a

counter-pressure


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RESPONSES TO CHANGE

Resistance to Change

$hy do employees resists%$hen &o" security is threatened

'inders social interaction (less time to interact)

Reduce their status* competence* or self-esteem

+iscredit

Management is changing the process to ma,e us wor,

harder and earn more profit.!+elay

# will continue doing what # have "een doing for 1 years in

this company.!


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RESISTANCE TO CHANGE


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CHANGE CURVE MODEL

How to mplement /hane:

lanningnvolve employees in all levels when

conductin the plannin stae

G.


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CHANGE CURVE MODEL


!dvertise "our #oals/ommunication

9mployees should $e a$le to

understand the B$ier pictureC

)he over-all impact in their livesand to the orani*ation

0hare the BwhyC $efore the

BhowC

nform all your employees of yourplanned oal

5ake them aware that you will $e

e%pectin reat transformation


13/28McGraw-Hill/Irwin 2002 The McGraw-Hill Companies, Inc., All 14-1,

CHANGE CURVE MODEL


!llow the Change Curve to Happen$tage %- #hen a chane is first introduced" people's initial

reaction may $e shock or denial" as they react to the challene

to the status 6uo

)his is a critical stae for communication

5ake sure you communicate often" $ut also ensure that you

don't overwhelm people: )hey'll only $e a$le to take in a

limited amount of information at a time =ut make sure that

people know where to o for more information if they need

it" and ensure that you take the time to answer any 6uestions

that come up


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CHANGE CURVE MODEL


!llow the Change Curve to Happen$tage &- .eople tend to react neatively and

may fear the impact; feel anry; and actively

resist or protest aainst the chanes

)his is the Jdaner *oneJ f this stae is

$adly manaed" the orani*ation may

descend into crisis or chaos

7evelop mechanism for communication

5ake sure to address o$+ectionsearly

)ake actions to minimi*e the

pro$lems that people will e%perience


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CHANGE CURVE MODEL

How to mplement /hane:!llow the Change Curve to

Happen

$tage ' /omin out of the

Bdaner *oneC .eople's

acceptance rows" test and e%plore

what the chane means to thems the person manain the

chanes:

8ay ood foundations" make

sure people are well trained

7on't e%pect people to $e 1AA

percent successful" ive room

for error and improvement


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CHANGE CURVE MODEL


!llow the Change Curve toHappen

$tage (.eople em$race the

improvements to the way they

work

s someone manain the chane:0tart to see the $enefits you

worked so hard for

0 team or orani*ation

starts to $ecome productiveand efficient" and the positive

effects of chane $ecome

apparent


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McGraw-Hill/Irwin 2002 The McGraw-Hill Companies, Inc., All 14-1>

CHANGE CURVE MODEL


$tage ) /ele$rate the wins and share the financial $enefitsF


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McGraw-Hill/Irwin 2002 The McGraw-Hill Companies, Inc., All 14-1?

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McGraw-Hill/Irwin 2002 The McGraw-Hill Companies, Inc., All 14-1@

LEADERSHIP IN CHANGE MANAGEMENT

Choosing your change manager

=ased on research" a hallmark of a successful chane

manaement is a result of the stron involvement of mid-level

manaers and those $elow the /9E

n those cases" mid-level manaers were not merely manain

day-to-day chanes" they were leadin $y workin across and

down their orani*ations


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McGraw-Hill/Irwin 2002 The McGraw-Hill Companies, Inc., All 14-2A


/haracteristics of a chane manaerChange leaders are not only

smart but wise as well

Many change eforts ail becausemanagers reduce themselves to justollowing systems such as TQM or Six

Sigma.

Successul changer leaders, on theother hand, are not only smart but wiseto know the importance of working

together and involving everyone inthe organization.

They enlightened people to striveto serve a higher purpose that

transcends ro!t maximi"ation.


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/haracteristics of a chane manaerChange leaders arevisionaries

Inspire people # adot thevision to cature eole$shearts and minds

Shift the mindset # theythemselves are oen toas%ing all &uestions andbroadly diagnose roblems,and they insire oenness in

the eole around them.

Envisioning andArticulate the future #setgoals that build toward the

larger transormation


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/haracteristics of a chane manaerChange leaders workacross boundaries

5anaers can direct line of

communication to top e%ecutives" andto the lower ranks of the orani*ation

as well

s a master at top-down" $ottom-upand lateral mo$ili*ation


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McGraw-Hill/Irwin 2002 The McGraw-Hill Companies, Inc., All 14-2,


/haracteristics of a chane manaerChange leaders work

inside out.

f youIre a manaer eaer to transform

yourself into a chane leader" the first step

is finding or ma*ing sure you are fullycommitted to the work youIre doin"

personally and professionally

!lign your personal goals and strengths

with the organization+s goals 0tart $y

makin your own personal vision statements

and oals


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/haracteristics of a chane manaerChange leaders move fast

,ransformation launches must be both bold

and rapid to be successful

-ind a bold process of change li*e /apid

,ransformation8aunch with a top-down sense of urency

coupled with chanes in performance

incentives and reward system to et

employees on $oard=uild across-functional teams" to non-stop

operational e%ecution and dramatic cultural

chane


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/haracteristics of a chane manaer

Change leaders move fast

ush yourself to communicate with your

company+s e0ecutives and the C1O.

lin department oals with manaementIs

oal

0hare vital information like timeta$les and

performance e%pectations" for overhauls ofsystems" costs re6uirements

0hare pro$lems encountered" and seek uidance

and support from manaement


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/haracteristics of a chane manaer

Change leaders move fast1mbrace speed at every possible 2uncture.

.eople in the orani*ation tend to rela% immediately followin a $old

launchfter several months of involvement in the transformation some

leaders reach their limits in $ein a$le to +ule their responsi$ilities

for day-to-day work and the process of transformation

Docus on the activity plan and the timelinesf in the process the first approach failed" plan for re+uvenation" and

repeat process towards chane" this time" find aps that resulted to

failure


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McGraw-Hill/Irwin 2002 The McGraw-Hill Companies, Inc., All 14-2>

UNDERSTANDING ORGANIATIONAL DEVELOPMENT

Strategy For Change Management:

Develop Change Management Plan

Communication plan

#mplementation roadmap

raining ools and echni/ues

Coaching and consulting plan

Resistance management plan

Reinforcement planning


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M G Hill/I i 2002 Th M G Hill C i I All

Kuestions

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ch14 - Managing Change.ppt