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Organizational Organizational Behavior, 9/EBehavior, 9/E
Schermerhorn, Hunt, and Schermerhorn, Hunt, and OsbornOsborn
Prepared by
Michael K. McCuddy
Valparaiso University
John Wiley & Sons, Inc.
Organizational Behavior: Chapter 16 2
Chapter 16 Study Questions
What is organizational change?
What change strategies are used in
organizations?
How is resistance to change best managed?
How do organizations innovate?
How does stress affect people in change
environments?
Organizational Behavior: Chapter 16 3
Study Question 1: What is organizational change?
Transformational change.– Results in a major overhaul of the organization
or its component systems.– Described as radical change or frame-breaking
change.– Organizations experiencing transformational
change undergo a significant shift in basic characteristic features.
Organizational Behavior: Chapter 16 4
Study Question 1: What is organizational change?
Incremental change or frame-bending change.– Part of the organization’s natural evolution in
building on the existing ways of operating to enhance or extend them in new directions.
– Introduction of new products, new technologies, and new systems and processes.
– Continuous improvement through incremental change is an important asset.
Organizational Behavior: Chapter 16 5
Study Question 1: What is organizational change?
Change agents.– Individuals and groups who take responsibility
for changing the existing behavior patterns of another person or social system.
– Success of change efforts depends in part on change agents.
– Being an effective change agent means being a great change leader.
Organizational Behavior: Chapter 16 6
Study Question 1: What is organizational change?
Unplanned change.
– Occurs spontaneously and without a change
agent’s direction, and such change may be
disruptive.
– Appropriate goal is to act quickly to minimize
the negative consequences and maximize any
possible benefits.
Organizational Behavior: Chapter 16 7
Study Question 1: What is organizational change?Planned change.
– The result of specific efforts by a change agent.
– Direct response to someone’s perception of a performance gap.
• A performance gap is the discrepancy between the desired and actual state of affairs.
• Performance gaps represent problems to be resolved or opportunities to be explored.
Organizational Behavior: Chapter 16 8
Study Question 1: What is organizational change?
Organizational forces for change.
– Organization-environment relationships.
– Organizational life cycle.
– Political nature of organizations.
Organizational Behavior: Chapter 16 9
Study Question 1: What is organizational change?
Organizational Behavior: Chapter 16 10
Study Question 1: What is organizational change?
Reasons for failure of transformational change.– No sense of urgency.– No powerful guiding coalition.– No compelling vision.– Failure to communicate the vision.– Failure to empower others to act.– Failure to celebrate short-term wins.– Failure to build on accomplishments.– Failure to institutionalize results.
Organizational Behavior: Chapter 16 11
Study Question 1: What is organizational change?
Phases of planned change.– Unfreezing.
• Preparing a situation for change by disconfirming existing attitudes and behaviors.
– Changing.• Taking action to modify a situation by altering the
targets of change.
– Refreezing.• Maintaining momentum and eventually
institutionalizing the change.
Organizational Behavior: Chapter 16 12
Study Question 2: What change strategies are used in organizations?
Organizational Behavior: Chapter 16 13
Study Question 3: How is resistance to change best managed?
Resistance to change.– Any attitude or behavior that indicates
unwillingness to make or support a desired change.
– Alternative views of resistance.• Something that must be overcome for change to be
successful.• Feedback that can be used to facilitate achieving
change objectives.
Organizational Behavior: Chapter 16 14
Study Question 3: How is resistance to change best managed?
Why people resist change.– Fear of the unknown.– Lack of good information.– Fear for loss of security.– No reasons to change.– Fear for loss of power.– Lack of resources.– Bad timing.– Habit.
Organizational Behavior: Chapter 16 15
Study Question 3: How is resistance to change best managed?
Resistance to the change itself.– People may reject a change because they believe it is
not worth their time, effort, or attention.
– To deal with resistance to the change itself, all those affected should know how it satisfies the following criteria:
• Benefit.
• Compatibility.
• Complexity.
• Triability.
Organizational Behavior: Chapter 16 16
Study Question 3: How is resistance to change best managed? Resistance to the change strategy.
– Force-coercion strategy.
• Likely resistance among individuals who resent management
by “command” or the use of threatened punishment.
– Rational persuasion strategy.
• Likely resistance when the data are suspect or the expertise
of advocates is unclear.
– Shared-power strategy.
• Likely resistance if it appears manipulative and insincere.
Organizational Behavior: Chapter 16 17
Study Question 3: How is resistance to change best managed?
Resistance to the change agent.
– Resistance to the change agent is directed at
the person implementing the change and often
involves personality and other differences.
Organizational Behavior: Chapter 16 18
Study Question 3: How is resistance to change best managed?
How to deal with resistance.– Education and communication.– Participation and support.– Facilitation and support.– Negotiation and agreement.– Manipulation and cooptation.– Explicit and implicit coercion.
Organizational Behavior: Chapter 16 19
Study Question 3: How is resistance to change best managed?
Organizational Behavior: Chapter 16 20
Study Question 4: How do organizations innovate?
Innovation.– The process of creating new ideas and putting them
into practice.
Product innovations.– The introduction of new or improved goods or
services to better meet customer needs.
Process innovations.– The introduction of new and better work methods and
operations.
Organizational Behavior: Chapter 16 21
Study Question 4: How do organizations innovate?
Organizational Behavior: Chapter 16 22
Study Question 4: How do organizations innovate?
Features of innovative organizations.– Strategies and cultures that are built around a
commitment to innovation.
– Structures that support innovation.
– Staffing with a clear commitment to innovation.
– Top-management support for innovation.
Organizational Behavior: Chapter 16 23
Study Question 5: How does stress affect people in change environments?
Stress.
– A state of tension experienced by individuals
facing extraordinary demands, constraints, or
opportunities.
Organizational Behavior: Chapter 16 24
Study Question 5: How does stress affect people in change environments?
Source of stress.
– Stressors.
• The wide variety of things that cause stress for
individuals.
– Types of stressors.
• Work-related stressors.
• Life stressors.
Organizational Behavior: Chapter 16 25
Study Question 5: How does stress affect people in change environments?
Work-related stressors.– Task demands.– Role ambiguities.– Role conflicts.– Ethical dilemmas.– Interpersonal problems.– Career developments.– Physical setting.
Organizational Behavior: Chapter 16 26
Study Question 5: How does stress affect people in change environments?
Life stressors.– Family events.
– Economic difficulties.
– Personal affairs.
– Individual’s needs.
– Individual’s capabilities.
– Individual’s personality.
Organizational Behavior: Chapter 16 27
Study Question 5: How does stress affect people in change environments?
Stress and performance.– Constructive stress (or eustress).
• Moderate levels of stress act in a positive way for both individuals and organization.
– Destructive stress (or distress).• Low and especially high levels of stress act in a
negative way for both individuals and organization.
– Job burnout.• A loss of interest in and satisfaction with a job due
to stressful working conditions.
Organizational Behavior: Chapter 16 28
Study Question 5: How does stress affect people in change environments? Stress and health.
– Stress can harm people’s physical and psychological health.
– Health problems associated with stress.• Heart attack.• Stroke.• Hypertension.• Migraine headache.• Ulcers.• Substance abuse.• Overeating.• Depression.• Muscle aches.
– Managers and team leaders should be alert to signs of excessive stress.
Organizational Behavior: Chapter 16 29
Study Question 5: How does stress affect people in change environments?Stress management.
– Stress prevention.• Taking action to keep stress from reaching
destructive levels in the first place.
– Once stress has reached a destructive point, special techniques of stress management can be implemented.
– Stress management.• Begins with the recognition of stress symptoms
and continues with actions to maintain a positive performance edge.
Organizational Behavior: Chapter 16 30
Study Question 5: How does stress affect people in change environments?
Stress management (cont.).– Personal wellness.
• Pursuit of one’s job and career goals with the support of a personal health promotion program.
– Employee assistance programs.• Provide help for employees who are experiencing
personal problems and related stress.
Organizational Behavior: Chapter 16 31
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