Managing Change & Managing Change & Organizational Organizational Development Development

Prof. B D SINGH Dean (Executive Education)

AIM, New Delhi

Organizational Change & Organizational Change & DevelopmentDevelopment

  

OBJECTIVES OF THE COURSEOBJECTIVES OF THE COURSE

The process of managing organizational change is far The process of managing organizational change is far from a straightforward endeavour. The most from a straightforward endeavour. The most carefully developed plans for change can and, often carefully developed plans for change can and, often do, disintegrate during implementation, disrupting not do, disintegrate during implementation, disrupting not only production or service delivery, but also the lives only production or service delivery, but also the lives of people who work in organizations. Moreover, in of people who work in organizations. Moreover, in spite of the long history of introducing organizational spite of the long history of introducing organizational change initiatives, there is little implementing change change initiatives, there is little implementing change as the key facet and fundamental challenge in as the key facet and fundamental challenge in managing organizational change. Is purpose is managing organizational change. Is purpose is twofold:twofold:

  

1.1. To gain an understanding of how organizational To gain an understanding of how organizational change is achieved.change is achieved.

2.2. To enhance personal capabilities and abilities to To enhance personal capabilities and abilities to navigate change in our lives.navigate change in our lives.

PedagogyPedagogy

Pedagogy will consist of lectures, quizzes, case Pedagogy will consist of lectures, quizzes, case discussions, assignments and other projects. discussions, assignments and other projects. The sessions would be interactive. A high The sessions would be interactive. A high degree of student preparation with reading will degree of student preparation with reading will be required to be able to achieve the objectives. be required to be able to achieve the objectives. Besides, students will have to work on a Besides, students will have to work on a comprehensive research project to investigate comprehensive research project to investigate and validate some of the key learning in a real and validate some of the key learning in a real world situation. world situation.

Course OutlineCourse Outline1.Organizational change-an introduction-changes & 1.Organizational change-an introduction-changes &

their importance—Imperative of changes on their importance—Imperative of changes on organization philosophy and other different organization philosophy and other different aspects.aspects.

Case-Implementing factor Business Case-Implementing factor Business Excellence Model in Tata SteelExcellence Model in Tata Steel

2. Models/Approaches of change, some important & 2. Models/Approaches of change, some important & relevant Models.relevant Models.

Case—HR initiatives at Hughes’ Software Case—HR initiatives at Hughes’ Software System.System.

3.Impact & Resistance to change.3.Impact & Resistance to change.

Case-1. Making friends at PrillcoCase-1. Making friends at Prillco

2. Problems at Perrier.2. Problems at Perrier.

4. Organization Culture & change.4. Organization Culture & change.

Case-British AirwaysCase-British Airways

5. Effective Change Management.5. Effective Change Management.

Case-Gold Smith consultingCase-Gold Smith consulting

6. Organization Development6. Organization Development

Case-Re-making ABX Case-Re-making ABX

7. Organization Development Intervention—7. Organization Development Intervention—comprehensive, Organization Development comprehensive, Organization Development intervention—Team Interventions etc.intervention—Team Interventions etc.

Case-The Forum BankCase-The Forum Bank

8. Structural Interventions & the applicability of 8. Structural Interventions & the applicability of Organization Development.Organization Development.

9. Knowledge Management & Knowledge Network, 9. Knowledge Management & Knowledge Network, as Organization Development intervention.as Organization Development intervention.

10. Learning Organization.10. Learning Organization.

Case-RoverCase-Rover

Case-Leveraging Knowledge of Hewlett Case-Leveraging Knowledge of Hewlett PackardPackard

11. Linking vision with change-consolidated change.11. Linking vision with change-consolidated change.

Case-Cflenger & Columbia shuttle disasterCase-Cflenger & Columbia shuttle disaster

Text:Text:

1.1. Singh Kavita. “Organization change and Singh Kavita. “Organization change and Development”, Development”, Excel Books, New Delhi,2Excel Books, New Delhi,2ndnd Edition 2010. Edition 2010.

Suggested ReadingsSuggested Readings

1.1. Palmer Ian, Richard Dunford and Gib Akin, “Managign Palmer Ian, Richard Dunford and Gib Akin, “Managign Organization Change”, Tata McGraw Hill Education Pvt. Ltd. Organization Change”, Tata McGraw Hill Education Pvt. Ltd. New Delhi, Sikh Reprint 2010.New Delhi, Sikh Reprint 2010.

2.2. French L. Wendell, Cecil H.B. and R.A. Zawacki, French L. Wendell, Cecil H.B. and R.A. Zawacki, “Organization Development and Tpalmer Ian, Richard “Organization Development and Tpalmer Ian, Richard Dunford and Gib Akin, “Managing Organizational Dunford and Gib Akin, “Managing Organizational Change”,Tata McGraw Hill Education Pvt. Ltd. New Delhi, Change”,Tata McGraw Hill Education Pvt. Ltd. New Delhi, Sikh Reprint 2010.Sikh Reprint 2010.

3.3. French L. Wendell, Cecil H.B. and R.A. Zawacki, French L. Wendell, Cecil H.B. and R.A. Zawacki, “Organization Development and Transformation”, Tata “Organization Development and Transformation”, Tata McGraw Hill Education Pvt. Ltd. New Delhi, Seventh Reprint McGraw Hill Education Pvt. Ltd. New Delhi, Seventh Reprint 2010.2010.

Session-1Session-1

INTRODUCTIONINTRODUCTION There is nothing permanent except changeThere is nothing permanent except change It is not the weather cockIt is not the weather cock that that changes, it is the wind that that changes, it is the wind World hates change but it only thing that have brought World hates change but it only thing that have brought

improvement/progressimprovement/progress The growing thought that philosophies the phenomenon The growing thought that philosophies the phenomenon

of change that all things change, nothing perishes”.of change that all things change, nothing perishes”. Iniquitousness of change Iniquitousness of change Change changes usChange changes us

Change is a Feature of cosmos– it is Change is a Feature of cosmos– it is inevitable---It universal inevitable---It universal

Individuals & culture crave for Individuals & culture crave for continuance & status quo—continuance & status quo—

1.1. To make different in particular thing To make different in particular thing after transformation Afterafter transformation After

2.2. To make Radical difference—To make Radical difference—TransformationsTransformations

3.3. Same difference in position, course, Same difference in position, course, direction”….Webster Dictionarydirection”….Webster Dictionary

There is nothing more difficult to There is nothing more difficult to take in hand, more perilous to take in hand, more perilous to conduct, or more uncertain in its conduct, or more uncertain in its success than to take the lead in the success than to take the lead in the introduction of a new order of thingsintroduction of a new order of things

MachiavelliMachiavelli

““Change is not made without Change is not made without inconvenience, even from worse to inconvenience, even from worse to better”.better”.Richard Hooker(1554-1600), English theologianRichard Hooker(1554-1600), English theologian

Fast changes, unprecedented, contradictory Fast changes, unprecedented, contradictory -- change will not disappear or dissipate—change will not disappear or dissipate—change is only unchanging phenomenon change is only unchanging phenomenon – time & distance – lost their significance due to time & distance – lost their significance due to

technological explosiontechnological explosion– Organizations are busy to catch up with the speed Organizations are busy to catch up with the speed

of changes---unpredictability of events.of changes---unpredictability of events.– Darwinian principles of adaptation and natural Darwinian principles of adaptation and natural

selection – Survival of the fittest selection – Survival of the fittest – Ability to manage change efficiently & effectivelyAbility to manage change efficiently & effectively– ““In this volatile of business of ours we can be effort In this volatile of business of ours we can be effort

10 rest on laurels to pause & retrospect time & 10 rest on laurels to pause & retrospect time & conditions change so rapidly that we must keep our conditions change so rapidly that we must keep our aim constantly focused on the future”aim constantly focused on the future”

----Walt Disney----Walt Disney

Why does Changes Fail?Why does Changes Fail?

Inconvenience about change is that it Inconvenience about change is that it involves unlearning & learning.involves unlearning & learning.

To make change in an organization is To make change in an organization is to make people to believe other than to make people to believe other than what they are believing now & do what they are believing now & do differently than what they are doing differently than what they are doing now.now.

-- Some organizations change mainly in response Some organizations change mainly in response to external circumstances( reactive change): to external circumstances( reactive change): others change principally because they have others change principally because they have decided to change (proactive change).decided to change (proactive change).

-- Some businesses are conservative in outlook, Some businesses are conservative in outlook, seeking little in the way of change;seeking little in the way of change;

-- others are entrepreneurial in outlook, always others are entrepreneurial in outlook, always seeking new opportunities and new challenges.seeking new opportunities and new challenges.

-- Some organizations are constructed in such a Some organizations are constructed in such a way that change and/or adaptation is a slow and way that change and/or adaptation is a slow and difficult process. difficult process.

-- Others are designed with built-in flexibility—Others are designed with built-in flexibility—enabling adaptation to take place regularly and enabling adaptation to take place regularly and relatively easily. The reality is that every group relatively easily. The reality is that every group has forces within it that keep it together and has forces within it that keep it together and provide it with stability and others that provide it provide it with stability and others that provide it with reasons to change and adapt.with reasons to change and adapt.

So the ability to recognize that the So the ability to recognize that the winds have shifted and to take winds have shifted and to take appropriate action before you rock appropriate action before you rock your boat is crucial to the future of your boat is crucial to the future of an enterprise”.an enterprise”.

They shape the social needs & They shape the social needs & values, then they alter the social values, then they alter the social structure, and finally they reorder structure, and finally they reorder the means by which needs are the means by which needs are fulfilled by social structures.fulfilled by social structures.

Let’s never rush out with changeLet’s never rush out with change

Imperatives of ChangeImperatives of Change- A organization can ignore change at A organization can ignore change at

its own riskits own risk- Change in life styles affecting Change in life styles affecting

organizationorganization- Changing workplaceChanging workplace- Non traditional employerNon traditional employer- Knowledge as assetKnowledge as asset- Increasingly demanding customerIncreasingly demanding customer

Organizational and Individual Organizational and Individual TransformationTransformation

What are your Options?What are your Options? Do Nothing.Do Nothing.

– If You Do Not If You Do Not ChangeChange You Become Extinct. You Become Extinct.

Ignore the situation.Ignore the situation.– change will slam into you and knock you off balance.change will slam into you and knock you off balance.

Get angryGet angry– won’t make it go away- in fact, temper typically makes things won’t make it go away- in fact, temper typically makes things

worse. worse.

What are your Options?What are your Options?

Wish it awayWish it away– Wishing is a waste of time, too, so don’t sit around Wishing is a waste of time, too, so don’t sit around

thinking and talking about “the good old days” with thinking and talking about “the good old days” with the hope they’ll return.the hope they’ll return.

Run awayRun away– You can’t even run away from it, because there’s no You can’t even run away from it, because there’s no

place you can run that’s beyond the range of change.place you can run that’s beyond the range of change.

Get involvedGet involved– Join a Community Of PracticeJoin a Community Of Practice

What Should I Do?What Should I Do?

Might as well face the problems and find the opportunities.Might as well face the problems and find the opportunities. How you think and how you act, become very important during times How you think and how you act, become very important during times

like these.like these. Obviously, you won’t be able to control everything that happens to Obviously, you won’t be able to control everything that happens to

you. But you’re in complete control of how you respond to what you. But you’re in complete control of how you respond to what happens.happens.

This is the Age of Instability, where managing change is everybody’s This is the Age of Instability, where managing change is everybody’s job. Think of it as your personal assignment.”job. Think of it as your personal assignment.”

What can you do?What can you do?

Monitor ChangeMonitor Change– See how you can help and fit in. Look for areas you can use See how you can help and fit in. Look for areas you can use

your strength. (your strength. (Join a Community Of Practice CoP)Join a Community Of Practice CoP)

– Become part of the solution. Become part of the solution. Noticing Small Noticing Small ChangesChanges Early Helps You Adapt To The Bigger Early Helps You Adapt To The Bigger

Changes That Are To Come.Changes That Are To Come.– Review the web site when you can.Review the web site when you can.– Stay informed.Stay informed.

Adapt To Change Quickly.Adapt To Change Quickly. Movement In A New Direction this will Help You Find New Movement In A New Direction this will Help You Find New

opportunities.opportunities. – Try not to do the same old thing over and over, you will get the same Try not to do the same old thing over and over, you will get the same

results. results.

Things to RememberThings to Remember

Old Beliefs Do Not Lead You To New adventures.Old Beliefs Do Not Lead You To New adventures. Move with the direction of the current and do not fight Move with the direction of the current and do not fight

the flow.the flow. Enjoy ChangeEnjoy Change

– Savor the adventure and enjoy the taste of New Savor the adventure and enjoy the taste of New Cheese.Cheese.

When you move beyond your fear When you move beyond your fear you will you will feel free.feel free.

Be ready to change quickly and enjoy it again and Be ready to change quickly and enjoy it again and again.again.

Forces of change from external Forces of change from external environmentenvironment

Exponentially increased Exponentially increased communication- almost instantcommunication- almost instant – has – has really shrunk the globe. Quicker spread of really shrunk the globe. Quicker spread of knowledge & technology increasingly knowledge & technology increasingly facilitates the influence of far-away facilitates the influence of far-away forces, considerably reducing – almost forces, considerably reducing – almost eliminating – the erstwhile insulation to eliminating – the erstwhile insulation to change. change.

Knowledge & Technology Explosion: Knowledge & Technology Explosion: Knowledge is said to be doubling every Knowledge is said to be doubling every two years or less. two years or less.

GlobalizationGlobalization:- Competition is worldwide because, :- Competition is worldwide because, increasingly, customers can shop worldwide. increasingly, customers can shop worldwide. Goods and services move very freely round the Goods and services move very freely round the world and sources of supply have proliferated world and sources of supply have proliferated extensively. Global events, seemingly unrelated to extensively. Global events, seemingly unrelated to your organization, are in fact influencing you your organization, are in fact influencing you probably more than can be imagined. A probably more than can be imagined. A devaluation of the Thai Baht deeply affects the devaluation of the Thai Baht deeply affects the ability of British shoe manufacturers to supply ability of British shoe manufacturers to supply British retailers at competitive prices. Exceptional British retailers at competitive prices. Exceptional computer programming competence in India computer programming competence in India affects employability in Silicon Valley. A Honda affects employability in Silicon Valley. A Honda manufacturing investment in England means, manufacturing investment in England means, because of the EU, that Fiat has a new competitor because of the EU, that Fiat has a new competitor in its home market-the examples are endless.. in its home market-the examples are endless..

TechnologyTechnology:- IT in particular is affecting :- IT in particular is affecting how goods are made and services how goods are made and services delivered, how organizations run delivered, how organizations run themselves internally, and how they bring themselves internally, and how they bring their goods and services to market. The their goods and services to market. The Internet is changing marketing for a Internet is changing marketing for a number of industries. Increasingly too, with number of industries. Increasingly too, with the inter-linking of networks, IT extends the the inter-linking of networks, IT extends the potential for adding value downstream from potential for adding value downstream from your suppliers and upstream to your your suppliers and upstream to your customers.customers.

Non IT related technologies:- these are also having a Non IT related technologies:- these are also having a profound effect on product and markets. Biotechnology in profound effect on product and markets. Biotechnology in particular is hatching previously unimagined products particular is hatching previously unimagined products addressing markets in unique ways.addressing markets in unique ways.

Organizational accountability:- Environmental Organizational accountability:- Environmental considerations, pressure groups, professional considerations, pressure groups, professional commitments, political accountability, industry regulation commitments, political accountability, industry regulation and industry reputation all affect how organizations conduct and industry reputation all affect how organizations conduct themselves and the latitude they have in which to themselves and the latitude they have in which to manoeuvre.manoeuvre.

People:- Above all the responsibility of the organization to People:- Above all the responsibility of the organization to its employees has changed. As people increasingly become its employees has changed. As people increasingly become the means by which organizations can differentiate their the means by which organizations can differentiate their services and add value in the eyes of their customers, so services and add value in the eyes of their customers, so the need to attract, retain and motivate employees the need to attract, retain and motivate employees becomes critical.becomes critical.

All these influences create a All these influences create a turbulent and unpredictable turbulent and unpredictable operating environment which means operating environment which means that organizations are constantly in a that organizations are constantly in a state of change, whether they like it state of change, whether they like it or not.or not.

Some determining factors of Some determining factors of change change

Planned Planned UnplannedUnplanned

InternalInternal Internal Internal planned planned change change

Internal Internal unplanned unplanned changechange

ExternalExternal External External planned planned change change

External External unplanned unplanned change change

Planned Internal ChangePlanned Internal Change Change in Products or Services Change in Products or Services Change in Administrative Systems & procrdures Change in Administrative Systems & procrdures Changes in Organizational size & structure Changes in Organizational size & structure Planned External ChangePlanned External Change Introduction of New TechnologiesIntroduction of New Technologies Advances in Information Processing & Communication Advances in Information Processing & Communication Unplanned Internal ChangesUnplanned Internal Changes Changing employee demographics Changing employee demographics Performance Gaps- Organizations usually stay with a Performance Gaps- Organizations usually stay with a

winning course of action & change in response to failure.winning course of action & change in response to failure.Unplanned External ChangesUnplanned External Changes Government RegulationGovernment Regulation Economic Competition in the Global arenaEconomic Competition in the Global arena

Change based on Change based on internal/external internal/external factors factors

Planned or unplanned changePlanned or unplanned change

Internal Internal changes changes

Change in products or Change in products or service service Changes in Changes in administrative systems administrative systems Change in organization Change in organization size or structure (e.g. size or structure (e.g. downsizing, outsourcing, downsizing, outsourcing, etc.)etc.)

Changing Changing employee employee demographics demographics Performances Performances

gapsgaps

External External Changes Changes

introduction & new introduction & new technology technology Advances in Advances in information processing information processing

& communication& communication

Government Government regulation regulation

External competitionExternal competition

Types of ChangesTypes of Changes

1.1. Happened change---Happened change---Unpredictable-depressionUnpredictable-depression

2.2. Reactive changeReactive change

3.3. Anticipatory changeAnticipatory change

4.4. Planned changePlanned change

5.5. Incremental changeIncremental change

6.6. Transformational changeTransformational change

7.7. Revolutionary changeRevolutionary change

MACRO FORCESMACRO FORCES

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DISCUSSION OF THE DISCUSSION OF THE MACRO FORCESMACRO FORCES

DISCUSSION OF THE DISCUSSION OF THE MACRO FORCESMACRO FORCES Changes in TechnologyChanges in Technology

Constant ChangeConstant Change Partnerships and AlliancesPartnerships and Alliances Changes in the Structure of WorkChanges in the Structure of Work Increasing Diversity in the Work Increasing Diversity in the Work

ForceForce Shifting Age DemographicsShifting Age Demographics

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CHANGES IN TECHNOLOGYCHANGES IN TECHNOLOGYCHANGES IN TECHNOLOGYCHANGES IN TECHNOLOGY

Largest Effecting Macro ForceLargest Effecting Macro Force Possible Cause Other Macro ForcesPossible Cause Other Macro Forces

RamificationsRamifications– Speed of ChangeSpeed of Change– New StrategiesNew Strategies– New Distribution ChannelsNew Distribution Channels– New RelationshipsNew Relationships– Increased CompetitionIncreased Competition

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CONSTANT CHANGECONSTANT CHANGECONSTANT CHANGECONSTANT CHANGE

RamificationsRamifications– Dealing w/ UncertaintyDealing w/ Uncertainty– Need More Flexible ProcessNeed More Flexible Process– Employee Burn OutEmployee Burn Out

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PARTNERSHIPS & PARTNERSHIPS & ALLIANCESALLIANCES

PARTNERSHIPS & PARTNERSHIPS & ALLIANCESALLIANCES

““Companies Can’t Do It By Companies Can’t Do It By Themselves Anymore”Themselves Anymore”

Key is to Actively Manage the Key is to Actively Manage the RelationshipsRelationships

Challenges in Making P&A WorkChallenges in Making P&A Work– Dealing with AmbiguityDealing with Ambiguity– Culture DifferencesCulture Differences– Boundary IssuesBoundary Issues– Finding “Right” PartnerFinding “Right” Partner

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CHANGES IN WORK CHANGES IN WORK STRUCTURESTRUCTURE

CHANGES IN WORK CHANGES IN WORK STRUCTURESTRUCTURE

Types of ChangesTypes of Changes– Information Technology Driven (ERP)Information Technology Driven (ERP)– More GlobalMore Global– Virtual OrganizationsVirtual Organizations– Focus on Core/OutsourcingFocus on Core/Outsourcing– Project Work and Cross Functional Project Work and Cross Functional

TeamsTeams– Customer FocusCustomer Focus

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DIVERSITYDIVERSITYDIVERSITYDIVERSITY

Effects will Grow by 15% over Next 3 Effects will Grow by 15% over Next 3 Years (Highest of all Forces)Years (Highest of all Forces)

Possibly be Driven by Increased Possibly be Driven by Increased GlobalizationGlobalization

Today Many People Still View Today Many People Still View Diversity as an Affirmative Action Diversity as an Affirmative Action Issue Not a Strategic OneIssue Not a Strategic One

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CHANGES IN CHANGES IN DEMOGRAPHICSDEMOGRAPHICS

CHANGES IN CHANGES IN DEMOGRAPHICSDEMOGRAPHICS

Caused by Caused by – Declining Birth RatesDeclining Birth Rates– Baby Boomers AgingBaby Boomers Aging– Value Conflicts Between GenerationsValue Conflicts Between Generations– Rise of Ethnic Minorities into LeadershipRise of Ethnic Minorities into Leadership

ExamplesExamples– Finance IndustryFinance Industry– Healthcare Industry Healthcare Industry – Grocery IndustryGrocery Industry

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OTHER MACRO FORCESOTHER MACRO FORCESOTHER MACRO FORCESOTHER MACRO FORCES Mergers and AcquisitionsMergers and Acquisitions

– Defensive Move to Take Advantage of Defensive Move to Take Advantage of Economies of ScaleEconomies of Scale

– Will Continue to HappenWill Continue to Happen– Often Fail: Culture Problems and/or Poor Often Fail: Culture Problems and/or Poor

Integration ProgramIntegration Program GlobalizationGlobalization

– Enabled by TechnologyEnabled by Technology– Free Trade LawsFree Trade Laws– Growing InterdependenciesGrowing Interdependencies

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ORGANIZATIONAL CHALLENGES ORGANIZATIONAL CHALLENGES RESULTING FROM MACRO FORCESRESULTING FROM MACRO FORCESORGANIZATIONAL CHALLENGES ORGANIZATIONAL CHALLENGES

RESULTING FROM MACRO FORCESRESULTING FROM MACRO FORCES

Dealing with Inc. Competition and Dealing with Inc. Competition and CustomizationCustomization

Need to be Flexible and Cope with UncertaintyNeed to be Flexible and Cope with Uncertainty Create an Environment of Constant LearningCreate an Environment of Constant Learning Adapting to New Technology and GlobalizationAdapting to New Technology and Globalization Developing New Management CompetenciesDeveloping New Management Competencies

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ORGANIZATIONAL ORGANIZATIONAL DEVELOPMENTDEVELOPMENT

ORGANIZATIONAL ORGANIZATIONAL DEVELOPMENTDEVELOPMENT

Like any living things the Like any living things the organization should also change on organization should also change on continuous basiscontinuous basis

Learning organizationLearning organization Responsive organization Responsive organization OD interventionsOD interventions

ODOD

What is OD?What is OD?- PlannedPlanned- Organization wideOrganization wide- Managed from topManaged from top- To increase sustaining Capability & healthTo increase sustaining Capability & health- By using knowledge & behavioral sciences By using knowledge & behavioral sciences

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OD INTERVENTIONS MOST OD INTERVENTIONS MOST FREQUENTLY USED TODAYFREQUENTLY USED TODAYOD INTERVENTIONS MOST OD INTERVENTIONS MOST FREQUENTLY USED TODAYFREQUENTLY USED TODAY

Mission and Vision Statement Mission and Vision Statement AnalysisAnalysis

Strategic PlanningStrategic Planning Reward and RecognitionReward and Recognition Change ManagementChange Management LeadershipLeadership Team Building Team Building FacilitationFacilitation

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EXPANDING THE USE OF EXPANDING THE USE OF ODOD

EXPANDING THE USE OF EXPANDING THE USE OF ODOD

More Accepted Because it is Needed More Accepted Because it is Needed to Enhance Productivity & Profitabilityto Enhance Productivity & Profitability

Companies Need to Change to SurviveCompanies Need to Change to Survive Employee Performance is a Key Employee Performance is a Key

Competitive AdvantageCompetitive Advantage More Research: 55% of HBR Articles More Research: 55% of HBR Articles

are OD Related Over Last Yearare OD Related Over Last Year

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EXPANDING THE USE OF EXPANDING THE USE OF ODOD

EXPANDING THE USE OF EXPANDING THE USE OF ODOD

Consulting Fastest Growing at 18.6%Consulting Fastest Growing at 18.6% Research Indicates High Use of OD Research Indicates High Use of OD

Interventions Lead to High ReturnsInterventions Lead to High Returns More Exposure to ODMore Exposure to OD Quantitative DataQuantitative Data

Session-2Session-2Models and Approaches of changeModels and Approaches of change

Characteristics of Effective Change Characteristics of Effective Change ProgrammesProgrammes

Focus is primarily on intentional, goal-Focus is primarily on intentional, goal-oriented, organizational, purposeful oriented, organizational, purposeful attempts by managers and attempts by managers and employees to improve the functioning employees to improve the functioning of teams, departments, divisions or an of teams, departments, divisions or an entire organization in some important entire organization in some important way(Cummings & Worely, 1997).way(Cummings & Worely, 1997).

Motivating change by creating a readiness for the Motivating change by creating a readiness for the change among employees and attempting to change among employees and attempting to overcome resistance to changeovercome resistance to change

Creating a shared vision of the desired future Creating a shared vision of the desired future state of the organizationstate of the organization

Developing political support for the needed Developing political support for the needed changeschanges

Managing the transition from the current state to Managing the transition from the current state to the desired future state; andthe desired future state; and

Sustaining momentum for change so that it will Sustaining momentum for change so that it will be carried to its completion.be carried to its completion.

Model (1)----Initiatives Contributing to Model (1)----Initiatives Contributing to Effective Change ManagementEffective Change Management

Effective Change ManagementEffective Change Management1.1. Motivating changeMotivating change Creating readiness for changeCreating readiness for change Overcoming resistance for changeOvercoming resistance for change

2.2. Creating a visionCreating a vision Energizing commitmentEnergizing commitment Describing a desired future stateDescribing a desired future state

Developing Political SupportDeveloping Political Support Assessing change-agent powerAssessing change-agent power Identifying key stakeholdersIdentifying key stakeholders Influencing stakeholdersInfluencing stakeholders

Managing the TransitionManaging the Transition Activity PlanningActivity Planning Commitment PlanningCommitment Planning Management StructureManagement Structure

Sustaining MomentumSustaining Momentum Providing a resources for changeProviding a resources for change Building a support system for change agentsBuilding a support system for change agents Developing new competencies and skillsDeveloping new competencies and skills Reinforcing new behaviorsReinforcing new behaviors

Model (2)---System Model of Model (2)---System Model of ChangeChange

People

Task

Design Strategy

Technology

Culture

The System Model of Change describes the The System Model of Change describes the organization as six interacting variables that organization as six interacting variables that could serve as the focus of planned change: could serve as the focus of planned change: people, culture, tasks, technology, design, and people, culture, tasks, technology, design, and strategy. The people variable applies to strategy. The people variable applies to individuals working for the organization, including individuals working for the organization, including their individual differences-personalities, their individual differences-personalities, attitudes, perceptions attributions, needs and attitudes, perceptions attributions, needs and motives. The culture variable reflects the shared motives. The culture variable reflects the shared beliefs, values, expectations, and norms of beliefs, values, expectations, and norms of organizational members. The task variable organizational members. The task variable involves the nature of work itself-whether jobs involves the nature of work itself-whether jobs are simple or complex, novel or repetitive, are simple or complex, novel or repetitive, standardized or unique. The technology variable standardized or unique. The technology variable

encompasses the problem solving methods and encompasses the problem solving methods and techniques used and the application of knowledge techniques used and the application of knowledge to various organizational processes. It includes to various organizational processes. It includes such things as the use of information technology such things as the use of information technology robots, and other automation, manufacturing robots, and other automation, manufacturing process tools and techniques. The design process tools and techniques. The design variable is the formal organizational structure and variable is the formal organizational structure and its system of communication, control, authority, its system of communication, control, authority, and responsibility. Finally, the strategy variable and responsibility. Finally, the strategy variable comprises the organization’s planning process comprises the organization’s planning process and includes decisions about how the and includes decisions about how the organization chooses to compete.organization chooses to compete.

These six variables are These six variables are interdependent. A change in any one interdependent. A change in any one usually results in a change in one or usually results in a change in one or more of the other.more of the other.

Cannot change part of the Cannot change part of the organization.organization.

Model (3)----Lewin’s Force Field Model (3)----Lewin’s Force Field Analysis ModelAnalysis Model

Old State

Refreeze (Assurance of permanent

change)New State

Unfreeze(Awareness of need for change)

Change (Movement from old state to

new state)

Model (4)---The Continuous Model (4)---The Continuous Change Process ModelChange Process Model

This approach treats planned change This approach treats planned change from the perspective of top from the perspective of top management and indicates that management and indicates that change is continuous.change is continuous.

Continuous Change Process Model of Continuous Change Process Model of Organization ChangeOrganization Change

1. Forces for change

2. Recognize and define problem

3. Problem solving

Change Agent

5. Measure, evaluate, control

Transition Management

4. Implement the change

This model incorporates Lewin’s concept into implementation phase.

Transition Management is the process for Transition Management is the process for systematically planning, organizing, and systematically planning, organizing, and implementing change.implementing change.

Once change begins, the organization is in neither Once change begins, the organization is in neither the old state nor the new state. Yet business must go the old state nor the new state. Yet business must go on. Transition Management ensures that business on. Transition Management ensures that business continues while the change is occurring, and thus it continues while the change is occurring, and thus it must begin before the change occurs. The members must begin before the change occurs. The members of the regular management team must take on the of the regular management team must take on the role of transition manager and coordinate role of transition manager and coordinate organizational activities with the change agent. An organizational activities with the change agent. An interim management structure or interim positions interim management structure or interim positions may be created to ensure continuity and control of may be created to ensure continuity and control of the business during the transition.the business during the transition.

Model (5)-----Beckhard (1992) Model (5)-----Beckhard (1992) suggests ten organizational suggests ten organizational prerequisites, which must exist prerequisites, which must exist before transformational change can before transformational change can be achieved in an organization. be achieved in an organization. There are summarized in table.There are summarized in table.

Beckhard’s Ten Organizational Prerequisites for TransformationalBeckhard’s Ten Organizational Prerequisites for Transformational Change ChangePriority Prerequisites

1 Ensuring senior management commitment to the imposed changes, which needs to be visible to all participants throughout the organization.

2 Producing a written statement about the future direction of the organization that makes clear its new objectives, values and policies

3 Creating a shared awareness of condition to be produce a common perception that change must be implemented.

4 Assembling a body of key managers and other important opinion-formers to gain their commitment to the change process so that this may be disseminated more widely.

5 Generating an acceptance that this type of change will require a long time to implement fully even though there may be short-term, dramatic changes as part of the overall process of transformation.

6 Recognizing that resistance to change is a part of the normal process of adaptation, so that the manager can be aware of this and equipped to manage this reacting effectively.

7 Educating participants about the need for change and training them with the necessary competence to be effective to overcome resistance and gain commitment

8 Persevering with the change process and avoiding blame where an attempt to implement a facet of this process fails. Such negative action will generate resistance and reduce necessary risk-taking behavior

9 Facilitating the change process with necessary resources.

10. Maintaining open communication about process, mistakes and subsequent learning.

Model (6)----Kotter’s Eight-step Model (6)----Kotter’s Eight-step Change Management ModelChange Management Model

Kotter’s Eight-step Model of Change:Kotter’s Eight-step Model of Change:■■ Create a sense of urgencyCreate a sense of urgency■■ Establishing a powerful group to guide the changeEstablishing a powerful group to guide the change■■ Develop a vision Develop a vision ■■ Communicate the visionCommunicate the vision■■ Empower staffEmpower staff■ ■ Ensure there are short-term winsEnsure there are short-term wins■■ Consolidate gains Consolidate gains ■■ Institutionalize the change in the culture of the Institutionalize the change in the culture of the

organizationorganization

Model (7)----Change and Transition Model (7)----Change and Transition ManagementManagement

Trigger layerTrigger layer: Concerning the identification of needs and : Concerning the identification of needs and openings for major change deliberately formulated in the openings for major change deliberately formulated in the form of opportunities rather than threats or crises.form of opportunities rather than threats or crises.

Vision layerVision layer: Establishing the future development of the : Establishing the future development of the organization by articulating a vision and communicating organization by articulating a vision and communicating this effectively in terms of where the organization is this effectively in terms of where the organization is heading.heading.

Conversion layerConversion layer: Setting out to mobilize support in the : Setting out to mobilize support in the organization for the new vision as the most appropriate organization for the new vision as the most appropriate method for dealing with the triggers of change.method for dealing with the triggers of change.

Maintenance and renewal layerMaintenance and renewal layer: Identifying ways in : Identifying ways in which changes are sustained and enhanced through which changes are sustained and enhanced through alterations in the attitude, values and behaviors, and alterations in the attitude, values and behaviors, and regression back to tradition is avoided.regression back to tradition is avoided.

Model of Perceptual Transition Model of Perceptual Transition Management (Buchanan & McCalman, Management (Buchanan & McCalman,

1989)1989)

THEORYTHEORY PRACTICESPRACTICES

Interlocking ProcessesInterlocking ProcessesTrigger layer Opportunity, threat, crisis.

Clarify, express, communicate

Vision layer Define the future (including structure) Challenges, excitement, innovation

Conversion layer Persuade, recruit disciples Detail the structure

Maintenance and renewal layer

Sustain and enhance belief Reinforce and justifyRegression avoidance(ritual)

Session---3Session---3Impact and Resistance to changeImpact and Resistance to change

Behavioral Reactions to Change Behavioral Reactions to Change ..TIME TAKEN TO CHANGE

Long

Short Easy difficult

Knowledge

Attitude

Individual Behavior

Group Behavior

Organizational Behavior

Time and difficulty involved in Change

Knowledge, it would not be a very difficult Knowledge, it would not be a very difficult and time-consuming endeavor.and time-consuming endeavor.

Changing attitudes is usually considered Changing attitudes is usually considered more difficult and time taking when more difficult and time taking when compared to changing knowledge. compared to changing knowledge.

Changing individual behavior is a still Changing individual behavior is a still more time-taking and difficult task. more time-taking and difficult task.

Behavior of a group is usually a more Behavior of a group is usually a more prolonged and harder task.prolonged and harder task.

Difficult and prolonged to bring about total Difficult and prolonged to bring about total behavioral change in an organization behavioral change in an organization starting with its individual members. starting with its individual members.

An individual’s attitude towards An individual’s attitude towards change is shaped by certain factors. change is shaped by certain factors. These factors influence the thinking These factors influence the thinking processes, and so individuals tend to processes, and so individuals tend to perceive situations in a certain way, perceive situations in a certain way, and this in turn motivates them to and this in turn motivates them to behave in a particular manner. behave in a particular manner.

Perception About situations

Positive reaction Enhanced motiva-tion to act & move

towards change Negative reaction

Managerial strategies Confront & identify Explore & transfer

Neutralize & acknowledge

Individual behavioral reactions Disengagement Disidentificationdisenchantment

Individual expression Withdrawal

Worry Anger

Confusion

Internal Forces Individual’s Attitude, Personality, & Learning ability

External forcesUncertainty, fear Of loss, or hope of gain

Internal forces constitute an individual’s Internal forces constitute an individual’s attitude, personality, & learning ability. attitude, personality, & learning ability.

The external forces can create uncertainty The external forces can create uncertainty for organisational members. for organisational members.

Perception is a process by which Perception is a process by which individuals organize & interpret their individuals organize & interpret their sensory impressions in order to give a sensory impressions in order to give a meaning to their experiences.meaning to their experiences.

Disengagement: It is a psychological withdrawal Disengagement: It is a psychological withdrawal from change. Its symptoms are loss of initiative & from change. Its symptoms are loss of initiative & interest in the job, Lack of drive & commitment. interest in the job, Lack of drive & commitment. Physically present but mentally absent. A change Physically present but mentally absent. A change agent has to identify & confront disengagement agent has to identify & confront disengagement behaviour. behaviour.

Disidentification: This causes the individual to Disidentification: This causes the individual to worry & feel vulnerable. Its symptoms are that worry & feel vulnerable. Its symptoms are that individuals begin to live in the past, they fall back individuals begin to live in the past, they fall back on the old ways of doing things, and feel their on the old ways of doing things, and feel their identify has been threatened by change. When identify has been threatened by change. When faced with disidentification, the change agent can faced with disidentification, the change agent can explore & transfer all the possibilities of having explore & transfer all the possibilities of having the same positive experience in the new the same positive experience in the new situationsituation..

Disenchantment: It is an expression of negativity Disenchantment: It is an expression of negativity or anger. The usual symptoms are confusion, or anger. The usual symptoms are confusion, denial of change, a feeling that the best has been denial of change, a feeling that the best has been lost, leading to building coalitions and destructive lost, leading to building coalitions and destructive behaviours like bad mouthing, backstabbing, behaviours like bad mouthing, backstabbing, sabotage, and spreading rumors. A change agent sabotage, and spreading rumors. A change agent has to acknowledge & neutralize disenchantment has to acknowledge & neutralize disenchantment behaviour. behaviour.

Disorientation: It is a state of confusion. Disorientation: It is a state of confusion. Symptoms of disorientation are being unsure of Symptoms of disorientation are being unsure of their feelings, & seeking excessive details about their feelings, & seeking excessive details about work. When faced with disorientation, the change work. When faced with disorientation, the change agent has to explain and plan by explaining the agent has to explain and plan by explaining the need for change.need for change.

Possible Behaviours Towards ChangePossible Behaviours Towards Change AcceptanceAcceptance

Indifference Indifference

Passive Passive ResistanceResistance

Active Active Resistance Resistance

Enthusiastic cooperation Enthusiastic cooperation cooperation under pressure from cooperation under pressure from

management management acceptance acceptance passive resignation passive resignation Indifference Indifference apathy loss of interest in the job apathy loss of interest in the job doing only what is ordereddoing only what is ordered regressive behaviour regressive behaviour nonlearning nonlearning protests protests working to rule working to rule doing as little as possible doing as little as possible slowing down slowing down personal withdrawal (increase time personal withdrawal (increase time

off job & away from work)off job & away from work) Committing “errors” Committing “errors” Spoilage Spoilage Deliberate sabotagesDeliberate sabotages

WHY INDIVIDUALS RESIST CHANGE?WHY INDIVIDUALS RESIST CHANGE?

Five main reasons- why individuals resist Five main reasons- why individuals resist changechange– Selective Perception Selective Perception – Lack of Information Lack of Information – Fear of the unknown Fear of the unknown – Poor TimingPoor Timing– Lack of supportLack of support– Loss of CompetencyLoss of Competency– Too much uncertaintyToo much uncertainty– Too many surprisesToo many surprises– Time to adjust Time to adjust – Resentment Towards the Initiator Resentment Towards the Initiator – Habit----Habit----– Self-InterestSelf-Interest– SuspiciousSuspicious– ConservatismConservatism

I am your constant companion. I am your greatest helper or I am your constant companion. I am your greatest helper or heaviest burden. I will push you onward or drag you down to heaviest burden. I will push you onward or drag you down to failure. I am completely at your command. Half the things you failure. I am completely at your command. Half the things you do you might just as well turn over to me, and I will be able to do you might just as well turn over to me, and I will be able to do them quickly, correctly. I am easily managed- you must do them quickly, correctly. I am easily managed- you must merely be firm with me. Show me exactly how you want merely be firm with me. Show me exactly how you want something done, and after a few lessons I will do it something done, and after a few lessons I will do it automatically. I am the servant of all great people, and alas, of automatically. I am the servant of all great people, and alas, of all failures as well. Those who are failures, I have made failures. all failures as well. Those who are failures, I have made failures. I am not a machine, though I work with all the precision of a I am not a machine, though I work with all the precision of a machine plus the intelligence of a human being. You may run machine plus the intelligence of a human being. You may run me for a profit or turn me for ruin-it makes no difference to me. me for a profit or turn me for ruin-it makes no difference to me. Take me, train me, be firm with me, and I will place the world Take me, train me, be firm with me, and I will place the world at your feet. Be easy with me and I will destroy you.at your feet. Be easy with me and I will destroy you.

Who I am? I am habit.Who I am? I am habit.

WHY ORGANISATIONS RESIST CHANGE?WHY ORGANISATIONS RESIST CHANGE?– Power Maintenance: Changes in decision-making Power Maintenance: Changes in decision-making

authority & control to resource allocation threaten the authority & control to resource allocation threaten the balance of power in organisations.balance of power in organisations.

– Structural Stability: Organisations create hierarchies, Structural Stability: Organisations create hierarchies, subgroups, rules, and procedures to promote order & subgroups, rules, and procedures to promote order & guide behaviours. guide behaviours.

– Functional Sub-optimization: Functional units usually Functional Sub-optimization: Functional units usually think of themselves first when evaluation potential think of themselves first when evaluation potential changes.changes.

– Organisational CulturalOrganisational Cultural– Group Norms: own norms to promote desirable Group Norms: own norms to promote desirable

behaviours.behaviours.

Overcoming Resistance to Change Overcoming Resistance to Change Education & Communication: Help people learn beforehand Education & Communication: Help people learn beforehand

the reasons for the change, how it will take form, and what the reasons for the change, how it will take form, and what the likely consequences will be.the likely consequences will be.

Participation & Involvement: Encourage those involved to Participation & Involvement: Encourage those involved to help design & implement the changes in order to draw out help design & implement the changes in order to draw out their ideas and to foster commitment.their ideas and to foster commitment.

Facilitation & support: Provide encouragement, support, Facilitation & support: Provide encouragement, support, training, counseling & resources to help those affected by training, counseling & resources to help those affected by the change adapt to new requirements.the change adapt to new requirements.

Negotiation & Agreement: Bargain to offer incentives in Negotiation & Agreement: Bargain to offer incentives in return for agreement to change. This tactic is often return for agreement to change. This tactic is often necessary when dealing with powerful resistance, like necessary when dealing with powerful resistance, like bargaining units.bargaining units.

Manipulation & Cooptation: Manipulation is framing & Manipulation & Cooptation: Manipulation is framing & selectively using information & implied incentives to selectively using information & implied incentives to maximize the likelihood of acceptance. maximize the likelihood of acceptance.

Explicit & Implicit Coercion: Some managers use authority Explicit & Implicit Coercion: Some managers use authority and the threat of negative incentives to force acceptance of and the threat of negative incentives to force acceptance of the proposed change. Management might decide than if the proposed change. Management might decide than if employees do not accept proposed changes, then it has to employees do not accept proposed changes, then it has to shut the plant down, decrease salaries or layoff people.shut the plant down, decrease salaries or layoff people.

Push the change. Strengthen or increase Push the change. Strengthen or increase the forces that favour the intended the forces that favour the intended change. change.

Facilitate the Change. Weaken or decrease Facilitate the Change. Weaken or decrease the forces that resist or oppose the the forces that resist or oppose the intended change. intended change.

Do both- strengthen or increase some Do both- strengthen or increase some forces that favor the intended change, as forces that favor the intended change, as well as weaken or decrease some forces well as weaken or decrease some forces that resist or oppose the intended change. that resist or oppose the intended change.

Session---(4) Effects of Change on Session---(4) Effects of Change on OrganizationsOrganizations::

Some effects of Some effects of change – internally or externally change – internally or externally propelled- on organizations are: propelled- on organizations are:

Internationalization: In terms of business or enterprise, Internationalization: In terms of business or enterprise, there is a virtual breakdown of national boundaries. there is a virtual breakdown of national boundaries. Consequences of social or economic or even political change Consequences of social or economic or even political change in one place are invariably experienced elsewhere in some in one place are invariably experienced elsewhere in some shape or form. Realizing near-similarly or problems and shape or form. Realizing near-similarly or problems and issues, organizations experience virtual compulsion for issues, organizations experience virtual compulsion for networking across borders. networking across borders.

Shorter Product Life: With an increased rate of Shorter Product Life: With an increased rate of obsolescence, there is greater need for dynamic and online obsolescence, there is greater need for dynamic and online programming of new or redesigned products, projects or programming of new or redesigned products, projects or service to adapt to short – to – medium – rather than long service to adapt to short – to – medium – rather than long life cycles. It means a vastly quicker response to the life cycles. It means a vastly quicker response to the market. At the same time, the consistency of standards and market. At the same time, the consistency of standards and quality has become crucial in a situation of increased quality has become crucial in a situation of increased competition. These require an optimal and efficient mix of competition. These require an optimal and efficient mix of flexibility of products with consistency of quality, approach flexibility of products with consistency of quality, approach and strategyand strategy

Need to deal with competing concepts: In the changing Need to deal with competing concepts: In the changing context, no one concept has wide acceptance, and certainly context, no one concept has wide acceptance, and certainly not for any extended period of time. For continued not for any extended period of time. For continued acceptance, there is need to continuously share and reality acceptance, there is need to continuously share and reality –test the analyses, logic and concepts that organisational –test the analyses, logic and concepts that organisational strategies are based on. strategies are based on.

Need for staff Functions : As tasks become more complex, Need for staff Functions : As tasks become more complex, there is need for multi-disciplinary approaches. Diversity of there is need for multi-disciplinary approaches. Diversity of relevant knowledge making it difficult for any function to relevant knowledge making it difficult for any function to remain self – reliant, there is a certain inevitability of remain self – reliant, there is a certain inevitability of interdependence among functions within organisations. interdependence among functions within organisations. This has several implications for organisational structuring: This has several implications for organisational structuring: – Overheads increase unless innovative structures – like Overheads increase unless innovative structures – like

the matrix structure- adopted. the matrix structure- adopted. – There is considerable dilution of the line authority. There is considerable dilution of the line authority. – Organisations become more complex to manage, and to Organisations become more complex to manage, and to

work in.work in.

Multiple Group Membership, Rather Multiple Group Membership, Rather Than A well- Defined Unitary Role: As Than A well- Defined Unitary Role: As roles become more complex, there roles become more complex, there arises: arises: – The need for broader knowledge The need for broader knowledge

perspectives. perspectives. – Need for a greater variety of situational Need for a greater variety of situational

skills: conceptual, human and technical. skills: conceptual, human and technical. – Need for attitudes conducive to Need for attitudes conducive to

flexibility and risk-taking.flexibility and risk-taking.

Change In The nature of Work : With newer knowledge Change In The nature of Work : With newer knowledge or technology inputs, the work itself undergoes change, or technology inputs, the work itself undergoes change, with: with: – More mechanized, automated or re-engineered processes. More mechanized, automated or re-engineered processes. – Increased complexity in – and resultant problems of- person-Increased complexity in – and resultant problems of- person-

task relationship. task relationship. – Greater need for interpersonal competence. Greater need for interpersonal competence. – Compulsions of a knowledge era, demanding that each Compulsions of a knowledge era, demanding that each

functionary at any level develops at least one area or formal functionary at any level develops at least one area or formal and well-defined role and authority to suffice for managerial and well-defined role and authority to suffice for managerial effectiveness. effectiveness.

Changes In Values of the Managees: An important trend Changes In Values of the Managees: An important trend palpable is in the area of changed job characteristics palpable is in the area of changed job characteristics and life styles that the managees value: and life styles that the managees value: – Greater autonomy Greater autonomy – Greater concern for personal growth Greater concern for personal growth – Direct linkage of organisational tasks to personal advancement Direct linkage of organisational tasks to personal advancement

in life. in life. – Direct linkage of organizational tasks to personal advancement Direct linkage of organizational tasks to personal advancement

in life. in life. – Increased leisure for recreation and the other roles in one’s life.Increased leisure for recreation and the other roles in one’s life.– Increased awareness of social, economic and workplace status.Increased awareness of social, economic and workplace status.

Changing Profile of the Manager: With change all Changing Profile of the Manager: With change all around, it is hard for the manager to escape. The profile around, it is hard for the manager to escape. The profile of the new manager includes some of the following: of the new manager includes some of the following:

Manager as Doer: The manager needs, as they say, to Manager as Doer: The manager needs, as they say, to do the right things, more than doing things right. There do the right things, more than doing things right. There is also need for the manager to possess or acquire one is also need for the manager to possess or acquire one or more distinct areas of personal contribution – other or more distinct areas of personal contribution – other than getting things done – relevant to the than getting things done – relevant to the organisational tasks and goals. And, there is need to be organisational tasks and goals. And, there is need to be in a position where the area of one’s forte stays in a position where the area of one’s forte stays relevant. Managers must more deliberately recognize relevant. Managers must more deliberately recognize the importance of one’s doing role, in addition to one’s the importance of one’s doing role, in addition to one’s traditional roles of managing or supervising. traditional roles of managing or supervising.

Manager as Innovator: To optimize personal resources Manager as Innovator: To optimize personal resources needed to perform the added functions, managers need needed to perform the added functions, managers need to manage by exception. Effective managers develop to manage by exception. Effective managers develop experience-based innovative ways to extend their role experience-based innovative ways to extend their role effectiveness: they increasingly develop their effectiveness: they increasingly develop their managees to be able to delegate- not abdicate or managees to be able to delegate- not abdicate or confiscate. They support delegation by effective confiscate. They support delegation by effective monitoring and enabling, including occasional troublemonitoring and enabling, including occasional trouble

Shooting. They possess high tolerance of ambiguity, high Shooting. They possess high tolerance of ambiguity, high maneuverability, and the ability to deviate from the dotted maneuverability, and the ability to deviate from the dotted line to deal with the unforeseen and unconventional line to deal with the unforeseen and unconventional situations. situations.

Manager as Entrepreneur: In their entrepreneurial role, Manager as Entrepreneur: In their entrepreneurial role, effective managers effective managers – Demonstrate a consistently high sense of responsibility Demonstrate a consistently high sense of responsibility

in all matters. They are willing to stick their neck out in all matters. They are willing to stick their neck out where their role efficacy demands.where their role efficacy demands.

– Accept accountability as an integrating force in the Accept accountability as an integrating force in the organisation, and as a measure of trust rather than organisation, and as a measure of trust rather than control. control.

– Manifest personal identification with, and stakes in, their Manifest personal identification with, and stakes in, their organisational roles. organisational roles.

– Willingly take charge of situations, consistent with their Willingly take charge of situations, consistent with their role requirements. role requirements.

Manager as Integrator:- Effective managers are able to Manager as Integrator:- Effective managers are able to Manager as Implementer: As an implementer, an effective Manager as Implementer: As an implementer, an effective

manger carries out the traditional functions of planning, manger carries out the traditional functions of planning, staffing, organization and coordinating, controlling time, staffing, organization and coordinating, controlling time, cost and quality, supervising, leading, directing, coaching cost and quality, supervising, leading, directing, coaching and counseling, empowering and motivating managees. and counseling, empowering and motivating managees. – Converge external resources on to their role to optimize Converge external resources on to their role to optimize

their effectiveness. their effectiveness. – Network with external agencies in order to create a Network with external agencies in order to create a

conducive environment for their teams to perform. conducive environment for their teams to perform. – Conceptualize diverse forces and demands in a manner Conceptualize diverse forces and demands in a manner

that these can be coherently negotiated and met. that these can be coherently negotiated and met. – See core issues and common ground, in apparently See core issues and common ground, in apparently

disorganized and diverse situations, which a change disorganized and diverse situations, which a change process often presents.process often presents.

Force Field Analysis for bringing about a New Organizational CultureForce Field Analysis for bringing about a New Organizational CultureNew (Interim) StateNew (Interim) State

Present StatePresent State

Increased Competition Increased Competition Painful restructuring Painful restructuring

Top management’s desire Top management’s desire for new culture for new culture

Performance problems Performance problems Desire for increased Desire for increased

productivity productivity

Forces for changeForces for change

Desired Future StateDesired Future State

Fear of change in Fear of change in managers and managees managers and managees

Fear of loss of power by Fear of loss of power by managers managers

Lack of knowledge about Lack of knowledge about how to institute new how to institute new conversation conversation

Forces against changeForces against change

Session (5)---Organizational Culture Session (5)---Organizational Culture and Changeand ChangeWhat is corporate culture?What is corporate culture?

How problems are solved in an organization. It may be defined How problems are solved in an organization. It may be defined as the ethos of a company shared values and team spirit, as the ethos of a company shared values and team spirit, culture is like the DNA of an organization, invisible to the culture is like the DNA of an organization, invisible to the naked eye, but critical to shaping its behavior.naked eye, but critical to shaping its behavior.

The elements of culture, thus, include:The elements of culture, thus, include:- Market-oriented communication system (AT&T)Market-oriented communication system (AT&T)- Customer orientation (Citibank)Customer orientation (Citibank)- Risk-taking and innovation(Boeing, Hewlett, Wipro, Packard)Risk-taking and innovation(Boeing, Hewlett, Wipro, Packard)- Employee participation, open communication, and Employee participation, open communication, and

security(Sony, Toyota)security(Sony, Toyota)- Entrepreneurism, self-discipline, and control(Asea Brown Entrepreneurism, self-discipline, and control(Asea Brown

Bover)Bover)

ArtifactsArtifacts: The visible manifestations of culture as : The visible manifestations of culture as seen in the physical and social environment of seen in the physical and social environment of the organization such as:the organization such as:

- Its structure, systems and subsystems, symbols, Its structure, systems and subsystems, symbols, plaques, etc.plaques, etc.

- Its rituals, norms, rules, and proceduresIts rituals, norms, rules, and procedures- The observable behavior of its members (the way The observable behavior of its members (the way

they talk, the jargon they use, the way they they talk, the jargon they use, the way they dress, etc).dress, etc).

An example of a cultural artifact is the 24-hours An example of a cultural artifact is the 24-hours hotline for customers that both IBM and Citibank hotline for customers that both IBM and Citibank provide.provide.

Values: Values: Values evolve out of the Values evolve out of the basic assumptions and from the basic assumptions and from the core(or heart) of the culture.core(or heart) of the culture.

The five core values The five core values that formed that formed the basis of cultural change within the basis of cultural change within Bell Atlantic were: integrity, respect Bell Atlantic were: integrity, respect and trust, excellence, individuals and trust, excellence, individuals fulfillment, and profitable growth.fulfillment, and profitable growth.

Organization Culture and dealing with Organization Culture and dealing with changechange. .

Organizational culture could be a help or a Organizational culture could be a help or a hindrance to organizational change. The existing hindrance to organizational change. The existing corporate culture may even be a liability in corporate culture may even be a liability in implementing a new business strategy implementing a new business strategy successfully. For example, lack of openness and successfully. For example, lack of openness and trust, and interdepartmental rivalries might trust, and interdepartmental rivalries might inhibit a department from rectifying certain inhibit a department from rectifying certain problems because of consequent changes problems because of consequent changes

Dimensionality of CultureDimensionality of Culture

Manifest AspectsManifest Aspects

The Industrial and its competition; company The Industrial and its competition; company history and tradition; company goals, policies, history and tradition; company goals, policies, and procedures; organizational systems and and procedures; organizational systems and controls; technology, products, and services; controls; technology, products, and services; leadership; company customers.leadership; company customers.

Intrinsic aspectsIntrinsic aspects

Basic assumptions Basic assumptions

ValuesValues

NormsNorms

ENHANCING CULTURE CONSCIOUSNESS ENHANCING CULTURE CONSCIOUSNESS AMONG WORK-TEAMSAMONG WORK-TEAMS

Checking on the common knowledge Checking on the common knowledge of organizational culture(the intrinsic of organizational culture(the intrinsic and manifest aspects) with each role-and manifest aspects) with each role-set/team member and reinforcing set/team member and reinforcing common understanding.common understanding.

Educating all about the company Educating all about the company culture.culture.

CHEKLIST FOR CULTURAL CHANGECHEKLIST FOR CULTURAL CHANGE

1.1. Formulate a clear picture of the firm’s new Formulate a clear picture of the firm’s new strategy and of the shared values, norms, and strategy and of the shared values, norms, and behaviors needed to make it work.behaviors needed to make it work.

2.2. Take a close look at eh inner functioning of the Take a close look at eh inner functioning of the organization and determine if cultural change is organization and determine if cultural change is necessarynecessary

3.3. Identify aspects of the current culture that could Identify aspects of the current culture that could still be valid and other aspects that need to be still be valid and other aspects that need to be modified or changed.modified or changed.

4.4. Identify the depth of cultural change neededIdentify the depth of cultural change needed

5.5. Communicate the change translated into Communicate the change translated into goals, sub goals, activities, and goals, sub goals, activities, and behaviors.behaviors.

6.6. Make changes from top down. The top Make changes from top down. The top management’s commitment must be management’s commitment must be seen and felt( for example, Donald seen and felt( for example, Donald Kendall, the chief executive of PepsiCo, is Kendall, the chief executive of PepsiCo, is said to have demonstrated the kind of said to have demonstrated the kind of ingenuity and dedication he expects from ingenuity and dedication he expects from his staff by using a snowmobile to get to his staff by using a snowmobile to get to work in a blizzard).work in a blizzard).

7. 7. Involve employees in the change processInvolve employees in the change process

8. Check on the leadership and support processes 8. Check on the leadership and support processes

9. Monitor the progress from time to time; build 9. Monitor the progress from time to time; build momentum in terms of initial success.momentum in terms of initial success.

10. Defuse resistance. Despite this, expect certain 10. Defuse resistance. Despite this, expect certain casualties to occur.casualties to occur.

ARE THERE IDENTIFIABLE PHASES OR STAGES OF ARE THERE IDENTIFIABLE PHASES OR STAGES OF ACHIEVING CULTURE CHANGE?ACHIEVING CULTURE CHANGE?

Establishing a sense of urgencyEstablishing a sense of urgency Forming a powerful guiding coalitionForming a powerful guiding coalition Creating a visionCreating a vision Communicating the visionCommunicating the vision Empowering others to act on the visionEmpowering others to act on the vision Planning and creating short-term winsPlanning and creating short-term wins Consolidating improvement and producing still more Consolidating improvement and producing still more

change.change. Institutionalizing new approachesInstitutionalizing new approaches

Levy and Merry (1986) list crisis, transformation, and Levy and Merry (1986) list crisis, transformation, and stabilisation and development as the four stages of stabilisation and development as the four stages of organizational change. Sathe (1994) proposes a seven-organizational change. Sathe (1994) proposes a seven-phase model:phase model:

Shock the organizationShock the organization Break the old mindsetBreak the old mindset Make the tough decisionsMake the tough decisions Demand performanceDemand performance Track progress and begin vision certain.Track progress and begin vision certain. Weed out those unwilling or unable to change; recognizing Weed out those unwilling or unable to change; recognizing

and reward those willing and able to change.and reward those willing and able to change. Begin to build a culture of high competence and Begin to build a culture of high competence and

performance.performance.

Sathe emphasises the importance of avoiding the Sathe emphasises the importance of avoiding the “vision trap” (Langeler, 1992), whereby the vision evolves “vision trap” (Langeler, 1992), whereby the vision evolves into an excessively ambiguous goal that can distract the into an excessively ambiguous goal that can distract the organization from its imprtant task of buidign things people organization from its imprtant task of buidign things people will buy.will buy.

Whereas most change models take a linear form, Whereas most change models take a linear form, Kaplan & Norton’s (1996) “balanced scorecard” approach Kaplan & Norton’s (1996) “balanced scorecard” approach

outlines a four-phase cycle for outlines a four-phase cycle for organizational change:organizational change:

1.1. Clarifying and translating vision and Clarifying and translating vision and strategystrategy

2.2. Communicating and linking objective Communicating and linking objective and measures.and measures.

3.3. Planning and target settings.Planning and target settings.

4.4. Strategic feedback and learning(and Strategic feedback and learning(and back to the beginning).back to the beginning).

CULTURAL ATTRIBUTES OF CHANGECULTURAL ATTRIBUTES OF CHANGE

A Clear and Communicated Strategic A Clear and Communicated Strategic VisionVision

Visible Senior Management Visible Senior Management InvolvementInvolvement

People-based Competitive EdgePeople-based Competitive Edge Marketing EthosMarketing Ethos Consensus-driven ManagementConsensus-driven Management Awareness and Reflection of Social Awareness and Reflection of Social

ResponsibilityResponsibility

THE ROLE OF COMMUNICATIONTHE ROLE OF COMMUNICATION

Customize the MessageCustomize the Message Set the Appropriate ToneSet the Appropriate Tone Build in FeedbackBuild in Feedback Set the ExampleSet the Example Ensure PenetrationEnsure Penetration

SummarySummary

To bring about radical, fundamental, or transformational To bring about radical, fundamental, or transformational changes in the organization, it is imperative to change the changes in the organization, it is imperative to change the culture of the organization. The elements of the culture culture of the organization. The elements of the culture include the basic assumptions, artifacts, values and norms. include the basic assumptions, artifacts, values and norms. To bring about the changes in the culture of the To bring about the changes in the culture of the organization both the dimensions of culture, the manifest organization both the dimensions of culture, the manifest aspect and the intrinsic aspect, need to be changedaspect and the intrinsic aspect, need to be changed

Based on your experience in any organization discuss how Based on your experience in any organization discuss how does the proposed strategic change relate to the existing does the proposed strategic change relate to the existing organizational culture?organizational culture?

CultureCulture

(Current Vs. Desired)(Current Vs. Desired)

Change(Intended change)Change(Intended change)

Strategy (Current Vs. planned)

Session—(6) A Systematic Approach to Session—(6) A Systematic Approach to Managing changeManaging change

Dealing With the FutureDealing With the Future

Corporate winners, whether public or private enterprises Corporate winners, whether public or private enterprises will have fostered and maintained a desire to succeed will have fostered and maintained a desire to succeed through progressive, dynamic and challenging initiatives through progressive, dynamic and challenging initiatives strategies and cultures that welcome, address and strategies and cultures that welcome, address and imaginatively manage change will continue to triumph. imaginatively manage change will continue to triumph. Once again, in the words of John Cotter, from the book Once again, in the words of John Cotter, from the book entitled, the 20% Solution(1995):entitled, the 20% Solution(1995):

“ “The first law of the jungle is that the The first law of the jungle is that the most adaptable species is always the most adaptable species is always the most successful. In the struggle for most successful. In the struggle for survival, the winners are those who survival, the winners are those who are most sensitive to important are most sensitive to important changes in their environment and changes in their environment and quickest to reshape their behavior to quickest to reshape their behavior to meet each new environmental meet each new environmental challenge.”challenge.”

Successful organizations are the ones that Successful organizations are the ones that identify not only the need for change but identify not only the need for change but also requirement to steal a march on their also requirement to steal a march on their competitors. competitors.

Innovative responses to triggersInnovative responses to triggers Holistic solutionsHolistic solutions Visionary leadership and committed Visionary leadership and committed

support.support. Organizations have to be able to Organizations have to be able to

effectively identify the triggers of change.effectively identify the triggers of change.

““To see problems integratively to see To see problems integratively to see them as wholes related to larger wholesthem as wholes related to larger wholes

Ten Key Factors in Effective Change Ten Key Factors in Effective Change ManagementManagement

1.1. Change is all pervasiveChange is all pervasive

2.2. Effective Change Needs Active Senior Management Effective Change Needs Active Senior Management SupportSupport

3.3. Change is a Multi-disciplinary activityChange is a Multi-disciplinary activity

4.4. Change is all about people, pure and simpleChange is all about people, pure and simple:- :- Change management is about people management, Change management is about people management, When managing change, you manage people. When managing change, you manage people. Remember the basics:Remember the basics:

- OpennessOpenness- CommunicationCommunication- InvolvementInvolvement

5. Change is about success5. Change is about success

6.6. Change is a Perceptual Process Change is about Change is a Perceptual Process Change is about identifying triggers, seeking vision, recruiting converts to identifying triggers, seeking vision, recruiting converts to the vision and maintaining and renewing the need for the vision and maintaining and renewing the need for change on an ongoing basis.change on an ongoing basis.

7.7. Effective Changes Require Competent Change AgentsEffective Changes Require Competent Change Agents: To : To be fully effective, the change agents must have certain be fully effective, the change agents must have certain capabilities, over and above their functional skills and capabilities, over and above their functional skills and knowledge.knowledge.

8.8. In terms of methodology, There is No One Best Way: In terms of methodology, There is No One Best Way: Which is advised, is that don’t take a singular approachWhich is advised, is that don’t take a singular approach

9.9. Change is about ownership:- Get ownership by getting Change is about ownership:- Get ownership by getting involvement; get involvement by openness and involvement; get involvement by openness and communication; get people to live the change.communication; get people to live the change.

10.10. Change Is about fun, challenge, and opportunityChange Is about fun, challenge, and opportunity

Systematic ApproachSystematic Approach

Five faces of managerial work to carryout steps:Five faces of managerial work to carryout steps:- Analyzing and planning changeAnalyzing and planning change- Communicating about the changeCommunicating about the change- Gaining acceptance of the required changes in Gaining acceptance of the required changes in

behaviorbehavior- Making the initial transition from the status quo to Making the initial transition from the status quo to

the new situationthe new situation- Consolidating the new conditions and continuing Consolidating the new conditions and continuing

to follow up in order to institutionalize the to follow up in order to institutionalize the change.change.

Keys to Mastering changeKeys to Mastering change

Change-adept organization share three key attributes, each Change-adept organization share three key attributes, each associated with a particular role for leaders.associated with a particular role for leaders.

The imagination to innovateThe imagination to innovate: To encourage innovation, effective : To encourage innovation, effective leaders help develop new concepts-the ideas, models, and leaders help develop new concepts-the ideas, models, and applications of technology that set an organization apart.applications of technology that set an organization apart.

The professionalism to perform: The professionalism to perform: Leaders provide personal and Leaders provide personal and organizational competence supported by workforce training and organizational competence supported by workforce training and development, to execute flawlessly and deliver value to ever more development, to execute flawlessly and deliver value to ever more demanding customers.demanding customers.

The openness to collaborate: The openness to collaborate: Leaders make connections with Leaders make connections with partners who can extend the organization’s reach, enhance its partners who can extend the organization’s reach, enhance its offerings, or energise its practices.offerings, or energise its practices.

Classic Skills for LeadersClassic Skills for Leaders

1.1. Training into the EnvironmentTraining into the Environment: You can create a : You can create a network of listening posts-a satellite office, a joint venture, network of listening posts-a satellite office, a joint venture, a community service, These stores allow the company to a community service, These stores allow the company to listen to and learn from customers.listen to and learn from customers.

2.2. Challenging the Prevailing Organizational WisdomChallenging the Prevailing Organizational Wisdom: : Rotate job assignments and create interdisciplinary Rotate job assignments and create interdisciplinary project teams to give people fresh ideas and opportunities project teams to give people fresh ideas and opportunities to test their assumptions.to test their assumptions.

3.3. Communicating a Compelling AspirationCommunicating a Compelling Aspiration

4.4. Building Coalitions: Building Coalitions: Change leaders need the Change leaders need the involvement of people who have the resources, the involvement of people who have the resources, the knowledge, and the political clout to make things happen.knowledge, and the political clout to make things happen.

5.5. Transferring Ownership to a Working TeamTransferring Ownership to a Working Team

Learning to PersevereLearning to Persevere Making Everyone a HeroMaking Everyone a Hero

BUILDING A STRATEGYBUILDING A STRATEGY

Strategy is the art of guiding the organization so that it Strategy is the art of guiding the organization so that it continues to exist and triumphs over its competitors.continues to exist and triumphs over its competitors.

‘‘If you know the enemy and know yourself, you need not If you know the enemy and know yourself, you need not fear the result of a hundred battles. If you know yourself fear the result of a hundred battles. If you know yourself but not the enemy, for every victory gained you will also but not the enemy, for every victory gained you will also suffer a defeat. If you know neither the enemy nor suffer a defeat. If you know neither the enemy nor yourself, you will succumb in every battle.’ Sun Tzu (6yourself, you will succumb in every battle.’ Sun Tzu (6thth-5-5thth century B.C.), Chinese General.century B.C.), Chinese General.

- Changes in organizational process- Changes in organizational process

- Changes in organizational structure- Changes in organizational structure

- - Changes in organizational hierarchyChanges in organizational hierarchy

- - People-related changes-can be new people or new belief People-related changes-can be new people or new belief systemssystems

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What is Strategic What is Strategic Planning?Planning?

A management tool/roadmap to the future used to help A management tool/roadmap to the future used to help an organization do a better joban organization do a better job– To set prioritiesTo set priorities– To focus its energy and resourcesTo focus its energy and resources– To ensure management and staff are working toward To ensure management and staff are working toward

common goals with clear expectations and accountabilitycommon goals with clear expectations and accountability– To ensure agreement with the intended outcomes/results of To ensure agreement with the intended outcomes/results of

their effortstheir efforts– To assess and adjust the organization’s direction in response To assess and adjust the organization’s direction in response

to a changing environmentto a changing environment A disciplined effort that produces fundamental decisions A disciplined effort that produces fundamental decisions

and actions that shape and guide what an organization and actions that shape and guide what an organization is, who it serves, what it does, and why it does it, with a is, who it serves, what it does, and why it does it, with a focus on the futurefocus on the future

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What is Change What is Change Management?Management?

A structured approach for managing change at an A structured approach for managing change at an organizational level. It includes: organizational level. It includes: – Readiness Assessments – Readiness Assessments – a strategy that creates data and a strategy that creates data and

analytics. This includes definition of the “as is condition” and analytics. This includes definition of the “as is condition” and the “go to condition.”the “go to condition.”

– Sponsorship - Sponsorship - engaging senior managers as change engaging senior managers as change leaders/agents leaders/agents

– Communications Communications - building awareness of the need for change - building awareness of the need for change – Education and Training Education and Training - developing competencies and - developing competencies and

knowledge to support the change knowledge to support the change – Coaching by Managers Coaching by Managers - helping employees move through - helping employees move through

the transition the transition – Measurement Systems, Rewards and Reinforcement Measurement Systems, Rewards and Reinforcement - -

methods to sustain the changemethods to sustain the change An array of tools that includes continuous process An array of tools that includes continuous process

improvement, benchmarking and the identification improvement, benchmarking and the identification of best practices, process mapping, statistical of best practices, process mapping, statistical process control, and business process process control, and business process reengineering.reengineering.

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Benefits of Strategic Planning and Benefits of Strategic Planning and Change ManagementChange Management

Enhance communication, collaboration, and trust in OM/EO Enhance communication, collaboration, and trust in OM/EO communities via an inclusive, participatory, and systematic communities via an inclusive, participatory, and systematic process that will increase the effectiveness, efficiency, and process that will increase the effectiveness, efficiency, and quality of NIH administrative management services. quality of NIH administrative management services.

Build a Roadmap for the future that includes a shared vision, Build a Roadmap for the future that includes a shared vision, clear priorities, goals, objectives, and intended outcomes that clear priorities, goals, objectives, and intended outcomes that can be shared internally and externallycan be shared internally and externally– Lead to action by establishing strategies that define how Lead to action by establishing strategies that define how

things will be done, by whom, and by whenthings will be done, by whom, and by when– Establish clear accountability (organizations and individuals)Establish clear accountability (organizations and individuals)– Establish specific measures and targets and a process to Establish specific measures and targets and a process to

collect and analyze data that allows to make sure we are collect and analyze data that allows to make sure we are doing the right things and doing them correctly doing the right things and doing them correctly

Provide a foundation for consistent implementation of change Provide a foundation for consistent implementation of change management and promote the identification and use of best management and promote the identification and use of best practices to better leverage resourcespractices to better leverage resources

Reduce the potential and impact of risks to NIH better address Reduce the potential and impact of risks to NIH better address new external mandates and requirements in a manner that new external mandates and requirements in a manner that integrates ongoing internal initiativesintegrates ongoing internal initiatives

The Strategic Planning ModelThe Strategic Planning Model

Org. Org.

Program and Budget Execution

•Implement programs, administrative strategies, and change management initiatives

Evaluation and Accountability•Assess resource utilization•Benchmarking – Best Practices•Monthly performance reviews•Employee Performance Reviews (PMAP)

Tactical Planning •Develop annual budget and performance targets•Develop tactical plans for programs and functional areas •Develop Individual Performance Plans (PMAP)

Strategic Planning

•Data collection and analysis•Solicit community inputs•Develop strategic plan - Set/modify organization’s

mission, vision, goals, and objectives

Environmental

Factors

Shared Ownership & Communicati

ons

Strategic Planning ProcessStrategic Planning ProcessData Collection & Analysis

Planning Sessions with Community Input

Strategic Plan

Planning Teams

Implementation Strategies and Change Initiatives

Communication Plan

KeyMeasures

Accountability for Projects and Change

Initiatives

MonthlyTracking

Strategic Outcomes

In order for effective change to be In order for effective change to be implemented and take hold within an implemented and take hold within an organization breadth and depth are organization breadth and depth are required.required.

Managing Change Requires Looking at All Managing Change Requires Looking at All the Dimensionsthe Dimensions

Past History in Putting Change in PlacePast History in Putting Change in Place Degree of SponsorshipDegree of Sponsorship Authenticity of Sponsorship (Walk the Talk?)Authenticity of Sponsorship (Walk the Talk?) Organizational and Individual Current StressOrganizational and Individual Current Stress Who Will Be Impacted by the ChangeWho Will Be Impacted by the Change Cultural Fit of the ChangeCultural Fit of the Change Addressing “What’s in It for Me”Addressing “What’s in It for Me” Communication of the Change and Its ProgressCommunication of the Change and Its Progress Skill Sets of the Change AgentsSkill Sets of the Change Agents

Change = Motivation X Vision X Change = Motivation X Vision X Next StepsNext Steps

Motivation – Some Good Reason to Give up the Motivation – Some Good Reason to Give up the Status QuoStatus Quo

Vision – A Clear and Practical Vision of the Vision – A Clear and Practical Vision of the Desired Future StateDesired Future State

Next Steps – an Understanding of the Next Steps Next Steps – an Understanding of the Next Steps Required to Progress Toward the VisionRequired to Progress Toward the Vision

If One Is Missing, Little Change Will Take PlaceIf One Is Missing, Little Change Will Take Place

Develop a Compelling VisionDevelop a Compelling Vision

How Things Will Be Better With the ChangeHow Things Will Be Better With the Change More Than SloganeeringMore Than Sloganeering Leaders and Change Agents Need Their Own Leaders and Change Agents Need Their Own

Individual Visions and Need to Know How That Individual Visions and Need to Know How That Fits Into the Organization’s VisionFits Into the Organization’s Vision

People Need to See How They Fit Into That VisionPeople Need to See How They Fit Into That Vision

Change Is a Journey, Not a Change Is a Journey, Not a DestinationDestination

Develop Detailed, Multi-dimensional PlansDevelop Detailed, Multi-dimensional Plans– Change DescriptionChange Description– Business ObjectivesBusiness Objectives– Human ObjectivesHuman Objectives– Key Role MapKey Role Map– VisionVision– Detailed Activities, Resources, TimelinesDetailed Activities, Resources, Timelines– MeasurementsMeasurements

Recognize That This Is a JourneyRecognize That This Is a Journey– Will Need to Adapt Plan As Needs ChangeWill Need to Adapt Plan As Needs Change

Warning: Need to Balance “Preparing For” Warning: Need to Balance “Preparing For” and “Implementing”and “Implementing”

There Is a Need to Develop a Comprehensive Plan There Is a Need to Develop a Comprehensive Plan for the Changefor the Change

There Is a Need to Get the Organization Ready for There Is a Need to Get the Organization Ready for the Changethe Change

But If It Takes Too Long, People Lose Interest and But If It Takes Too Long, People Lose Interest and MotivationMotivation

So, Plan for Short Projects That Will Engage the So, Plan for Short Projects That Will Engage the PeoplePeople

Creating a StrategyCreating a Strategy

a)a) Evolutionary/Institution BuildingEvolutionary/Institution Building

b)b) Jolt and RefocusJolt and Refocus: Such an : Such an approach is often used to shake up approach is often used to shake up a grid locked power structure.a grid locked power structure.

c)c) Follow the leadersFollow the leaders

d)d) Multi-front DirectMulti-front Direct

e)e) Systematic RedesignSystematic Redesign

f)f) Unit-level mobilisingUnit-level mobilising

Sustaining MomentumSustaining Momentum

Navigation demands sensitivity on the part of Navigation demands sensitivity on the part of change leaders, who need to detect the change leaders, who need to detect the reverberations of change to adjust their strategy reverberations of change to adjust their strategy as the transformation take shape. Successful as the transformation take shape. Successful leaders recognize that the exact course and leaders recognize that the exact course and duration of a transformation cannot be mapped in duration of a transformation cannot be mapped in advance; complicated plans detailing changes advance; complicated plans detailing changes from beginning to end will be wasted. But from beginning to end will be wasted. But processes to monitor and manage the change are processes to monitor and manage the change are vital if leaders are the sense infection points and vital if leaders are the sense infection points and move from one episode to the next without move from one episode to the next without faltering.faltering.

Transforming a company is not a science: there are Transforming a company is not a science: there are no formulae for success. By viewing a company no formulae for success. By viewing a company from three perspectives—how performance needs from three perspectives—how performance needs to change and how fast; leaders aspirations and to change and how fast; leaders aspirations and preferences; and the sources of energy available to preferences; and the sources of energy available to drive the change we can gain insight into what drive the change we can gain insight into what strategy will work.strategy will work.

A successful strategy demands effective A successful strategy demands effective executive, which would depend upon the type of executive, which would depend upon the type of initiative chosen that links the source of energy to initiative chosen that links the source of energy to the right performance levers. One should be sure the right performance levers. One should be sure to exploit the interdependent dynamics of the to exploit the interdependent dynamics of the initiatives that keep the change moving aheadinitiatives that keep the change moving ahead ..

Build a Strong, Committed Build a Strong, Committed Management CoalitionManagement Coalition

At All Levels Within the OrganizationAt All Levels Within the Organization Teach Them Their Job Teach Them Their Job

– Establish a Clear VisionEstablish a Clear Vision– Articulate That VisionArticulate That Vision– Communicate With the Affected GroupsCommunicate With the Affected Groups– Focus Energies on Their Direct ReportsFocus Energies on Their Direct Reports– Monitor ProgressMonitor Progress– Eliminate ObstaclesEliminate Obstacles– Recognize and Reward Short-term WinsRecognize and Reward Short-term Wins– Stick With It for the Long HaulStick With It for the Long Haul

Identify All the People Who Are Identify All the People Who Are Affected or Who Need to Be InvolvedAffected or Who Need to Be Involved

Create a Key Role Map of the Formal OrganizationCreate a Key Role Map of the Formal Organization– Sponsors (at All Levels)Sponsors (at All Levels)– Change AgentsChange Agents– TargetsTargets

Augment With Identification of Informal Organization Key Augment With Identification of Informal Organization Key People (Understand Why They Have This Influence)People (Understand Why They Have This Influence)– Opinion ShapersOpinion Shapers– Gate KeepersGate Keepers– Idea ChampionsIdea Champions

Develop an Understanding of TheirDevelop an Understanding of Their– Level of InfluenceLevel of Influence– Level of Commitment to the ChangeLevel of Commitment to the Change

Analyze Their Readiness for ChangeAnalyze Their Readiness for Change Assess the Organization on Their Readiness for Assess the Organization on Their Readiness for

This Particular ChangeThis Particular Change– SurveysSurveys– One-to-One DiscussionsOne-to-One Discussions

Understand Where People AreUnderstand Where People Are– Early AdoptersEarly Adopters– Late AdoptersLate Adopters– LaggardsLaggards

Are There Outside Organizations That Are Are There Outside Organizations That Are Influencers?Influencers?

Understand Their Frames of Reference and Understand Their Frames of Reference and Develop Communication Strategies Develop Communication Strategies

Start Where People Are Most Start Where People Are Most ReceptiveReceptive

Avoid the Dedicated Resistors, Focus on Early Avoid the Dedicated Resistors, Focus on Early Adopters (About 20% of the Population)Adopters (About 20% of the Population)

Helps to Get Some Early WinsHelps to Get Some Early Wins

People Don’t Resist Their People Don’t Resist Their Own IdeasOwn Ideas

Get People Involved Early in the PlanningGet People Involved Early in the Planning Even If They Can’t Plan “What”, They Can Plan “How”Even If They Can’t Plan “What”, They Can Plan “How” They Are Changed by the Act of Participating in They Are Changed by the Act of Participating in

Planning the ChangePlanning the Change Surfaces Resistance Early and Can Surfaces Resistance Early and Can

Potentially Manage ItPotentially Manage It

Manage the Driving Forces As Well As the Manage the Driving Forces As Well As the Restraining ForcesRestraining Forces

What Forces Affect Your Change Project?

Driving forces – Dealing only with this side will immediately generate counterforces

Restraining forces - personal psychological defenses or group norms embedded in the organizational or community culture.

Changes at the Top Career-based organization

Powerful external influences Low turnover

Powerful leader Success

Acceptance of need to change Stable environment

Externally focused Criteria of success not visible

Crisis of opportunity Lack of clear authority

Establish a Dam Good Reason to Establish a Dam Good Reason to ChangeChange

Substitute One Fear for AnotherSubstitute One Fear for Another– Make the Anxiety Associated With Make the Anxiety Associated With

Not Changing Greater Than the Anxiety Not Changing Greater Than the Anxiety of Changingof Changing

– Intentionally Create DisorderIntentionally Create DisorderRemove the Mechanisms That Allow People to Stay the Remove the Mechanisms That Allow People to Stay the

SameSame

Say It Once, Say It Twice, and Say It Say It Once, Say It Twice, and Say It AgainAgain

Keep It Simple – No JargonKeep It Simple – No Jargon Use Language of the PeopleUse Language of the People Use StorytellingUse Storytelling Use Different MediumsUse Different Mediums

– MemosMemos– Group MeetingsGroup Meetings– Stories in NewslettersStories in Newsletters– One-on-one MeetingsOne-on-one Meetings– (Have Different Levels of Impact)(Have Different Levels of Impact)

Change Style of Communication Depending UponChange Style of Communication Depending Upon– Where You Are in the ChangeWhere You Are in the Change– Who You Are Communicating WithWho You Are Communicating With

Walk the Talk, Be HonestWalk the Talk, Be Honest

But Monitor the But Monitor the CommunicationsCommunicationsEclipseEclipse

Memo From Director General to Manager:Memo From Director General to Manager:Today at 11 O'clock There Will Be a Total Eclipse of the Sun. Today at 11 O'clock There Will Be a Total Eclipse of the Sun. This Is When the Sun Disappears Behind the Moon for Two This Is When the Sun Disappears Behind the Moon for Two Minutes. As This Is Something That Cannot Be Seen Every Minutes. As This Is Something That Cannot Be Seen Every Day, Time Will Be Allowed for Employees to View the Day, Time Will Be Allowed for Employees to View the Eclipse in the Car Park. People Should Meet in the Car Eclipse in the Car Park. People Should Meet in the Car Parking Area at Ten to Eleven, When I Will Deliver a Short Parking Area at Ten to Eleven, When I Will Deliver a Short Speech Introducing the Eclipse, and Giving Some Speech Introducing the Eclipse, and Giving Some Background Information. Safety Goggles Will Be Made Background Information. Safety Goggles Will Be Made Available at a Small Cost.Available at a Small Cost.

Memo From Manager to Department Head: Memo From Manager to Department Head: Today at Ten to Eleven, All Staff Should Meet in the Car Today at Ten to Eleven, All Staff Should Meet in the Car Parking Area. This Will Be Followed by a Total Eclipse of the Parking Area. This Will Be Followed by a Total Eclipse of the Sun, Which Will Disappear for Two Minutes. For a Moderate Sun, Which Will Disappear for Two Minutes. For a Moderate Cost, This Will Be Made Safe With Goggles. The Director Cost, This Will Be Made Safe With Goggles. The Director General Will Deliver a Short Speech Beforehand to Give Us General Will Deliver a Short Speech Beforehand to Give Us All Some Background Information. This Is Not Something All Some Background Information. This Is Not Something That Can Be Seen Every Day.That Can Be Seen Every Day.

Memo From Department Head to Floor Manager: Memo From Department Head to Floor Manager: The Director General Will Today Deliver a Short Speech to Make The Director General Will Today Deliver a Short Speech to Make the Sun Disappear for Two Minutes in an Eclipse. This Is the Sun Disappear for Two Minutes in an Eclipse. This Is Something That Can Not Be Seen Every Day, So People Will Meet Something That Can Not Be Seen Every Day, So People Will Meet in the Car Parking Area at Ten or Eleven. This Will Be Safe, If You in the Car Parking Area at Ten or Eleven. This Will Be Safe, If You Pay a Moderate Cost.Pay a Moderate Cost.

Memo From Floor Manager to Supervisor: Memo From Floor Manager to Supervisor: Ten or Eleven Staff Are to Go to the Car Parking Area, Where the Ten or Eleven Staff Are to Go to the Car Parking Area, Where the Director General Will Eclipse the Sun for Two Minutes. This Doesn't Director General Will Eclipse the Sun for Two Minutes. This Doesn't Happen Every Day. It Will Be Safe, but It Will Cost You.Happen Every Day. It Will Be Safe, but It Will Cost You.

Memo From Supervisor to Workers: Memo From Supervisor to Workers: Some Workers Will Go to the Car Parking Area Today to See the Some Workers Will Go to the Car Parking Area Today to See the Director General Disappear. It Is a Pity This Doesn't Happen Every Director General Disappear. It Is a Pity This Doesn't Happen Every Day!Day!

Encourage the HeartEncourage the Heart

In Terms That Have Meaning to Individuals and In Terms That Have Meaning to Individuals and TeamsTeams– Ask Them What a Reward Would Look Like to ThemAsk Them What a Reward Would Look Like to Them

Highly VisibleHighly Visible Reward Throughout the Change, Not Just at the Reward Throughout the Change, Not Just at the

EndEnd

Show Results – Early and Show Results – Early and OftenOften

Plan for Goals (Long and Near Term) That Are Measurable, Plan for Goals (Long and Near Term) That Are Measurable, Tangible and ClearTangible and Clear– Explicitly Tied to VisionExplicitly Tied to Vision

Not a Count of ActivitiesNot a Count of Activities Performance Results That Matter to Customers, Employees or Performance Results That Matter to Customers, Employees or

ShareholdersShareholders– Reduction in Delivered DefectsReduction in Delivered Defects– Reduction in Cycle TimeReduction in Cycle Time– Reduced Escaped Defects Resulting in Reduced ReworkReduced Escaped Defects Resulting in Reduced Rework

Prepare for “Implementation”Prepare for “Implementation”

Things Often Get Worse Before They Get BetterThings Often Get Worse Before They Get Better Increase the CommunicationIncrease the Communication

– Change the Medium and WordsChange the Medium and Words– Focus on What Is AheadFocus on What Is Ahead– Provide As Much Information As PossibleProvide As Much Information As Possible

Allow Resistance to Surface and Manage ItAllow Resistance to Surface and Manage It

Validate the Feelings of Validate the Feelings of PeoplePeople

Resistance Can Be at Systemic or Behavioral LevelResistance Can Be at Systemic or Behavioral Level– Systemic – Lack of Appropriate Knowledge, Information, Systemic – Lack of Appropriate Knowledge, Information,

Skills and Managerial Capacity (Cognitive)/ structural Skills and Managerial Capacity (Cognitive)/ structural levellevel

– Behavioral – Reactions, Perceptions and Assumptions Behavioral – Reactions, Perceptions and Assumptions (Emotional)(Emotional)

Acknowledge the Pain of ChangingAcknowledge the Pain of Changing

Letting Go of Letting Go of Familiar PastFamiliar Past (Perhaps a (Perhaps a Romanticized View)Romanticized View)

Confronting Feelings About an Confronting Feelings About an Uncertain Uncertain FutureFuture

Dealing With Dealing With Loss of FaceLoss of Face Redesigning a Redesigning a FocusFocus on New Realities on New Realities Working on These in Public, Facilitated Working on These in Public, Facilitated

Forums, Allows People to Constructively to Forums, Allows People to Constructively to Express Their Anxiety and Anger and Helps Express Their Anxiety and Anger and Helps to Reduce to Reduce Passive-Aggressive Inertia and Passive-Aggressive Inertia and SabotageSabotage

Deal With the Four “F’s of Loss Deal With the Four “F’s of Loss and Change”and Change”

Don’t Resist ResistanceDon’t Resist Resistance

Resistance IsResistance Is– InevitableInevitable– A Natural Function of ChangeA Natural Function of Change– ManageableManageable

Resistance Is NotResistance Is Not– Necessarily LogicalNecessarily Logical– A Sign of DisloyaltyA Sign of Disloyalty– To Be Taken PersonallyTo Be Taken Personally– A Sign That the Change Project Is Out of ControlA Sign That the Change Project Is Out of Control

Facilitate, Rather Than Just Facilitate, Rather Than Just TrainTrain

Train Managers As Facilitators for the ChangeTrain Managers As Facilitators for the Change– Helps Them to Demonstrate Active Helps Them to Demonstrate Active

Commitment to the ChangeCommitment to the Change– Can Immediately Reinforce the Training on the Can Immediately Reinforce the Training on the

JobJob Trainers Are Generally Not Held Accountable for Trainers Are Generally Not Held Accountable for

Achieving ResultsAchieving Results

Use a Variety of Mediums to Build Use a Variety of Mediums to Build Competency in the ChangeCompetency in the Change

Study GroupsStudy Groups ““On-the-Dash” CoachingOn-the-Dash” Coaching Web-basedWeb-based Classroom TrainingClassroom Training

Recognize Every Person Is Recognize Every Person Is a Change Agenta Change Agent

Educate Leaders of the Change As Well As the Educate Leaders of the Change As Well As the Targets of Their Roles in the ChangeTargets of Their Roles in the Change– To Be Open to ChangeTo Be Open to Change– To Anticipate Change, Not Just React to ItTo Anticipate Change, Not Just React to It– To Accept That Change Causes Stress and to To Accept That Change Causes Stress and to

Developing Coping MechanismsDeveloping Coping Mechanisms

Change Agents Must Be Able to Change Agents Must Be Able to Work With Opposites--PolarWork With Opposites--Polar

Simultaneously Pushing for Change While Allowing Self-Simultaneously Pushing for Change While Allowing Self-learning to Unfoldlearning to Unfold

Being Prepared for a Journey of UncertaintyBeing Prepared for a Journey of Uncertainty Seeing Problems As Sources of Creative ResolutionSeeing Problems As Sources of Creative Resolution Having a Vision, but Not Being Blinded by ItHaving a Vision, but Not Being Blinded by It Valuing the Individual and the GroupValuing the Individual and the Group Incorporating Centralizing and Decentralizing ForcesIncorporating Centralizing and Decentralizing Forces Being Internally Cohesive, but Externally OrientedBeing Internally Cohesive, but Externally Oriented Valuing Personal Change Agency As the Route to System Valuing Personal Change Agency As the Route to System

ChangeChange

Final ThoughtsFinal Thoughts

““Somebody Has to Do Something, and It’s Just Incredibly Somebody Has to Do Something, and It’s Just Incredibly Pathetic That It Has to Be Us.” – Pathetic That It Has to Be Us.” – Jerry Garcia, the Jerry Garcia, the

Grateful DeadGrateful Dead

“The Ultimate Measure of a Man Is Not Where He Stands in Moments of Comfort, but Where He Stands

at Times of Challenge and Controversy” – Martin Luther King,

Jr.

There is this interesting experiment on frogs. There is this interesting experiment on frogs. When a frog is put in a hot water, he quickly When a frog is put in a hot water, he quickly jumps out of it. However, if you put him in cool jumps out of it. However, if you put him in cool water and slowly heat it or pour hot water, the water and slowly heat it or pour hot water, the frog does not jump out, he becomes sluggish and frog does not jump out, he becomes sluggish and enjoys the cosy warmth. And finally, he may die- enjoys the cosy warmth. And finally, he may die- would rather die- in the hot water then jump out would rather die- in the hot water then jump out there are more managers in most organisations, there are more managers in most organisations, which refuse to adapt themselves to the changing which refuse to adapt themselves to the changing environment, they get addicted to the status quo environment, they get addicted to the status quo and fear or resent the proposed change.and fear or resent the proposed change.

Preparing Yourself for ChangePreparing Yourself for Change Al Gore, the Vice President of the United States of America has Al Gore, the Vice President of the United States of America has

cited in his book, Earth in the Balance, an anecdote relating to cited in his book, Earth in the Balance, an anecdote relating to Mahatma Gandhi. It reads: “Ghandhiji was approached one Mahatma Gandhi. It reads: “Ghandhiji was approached one day by a woman, concerned that her son ate too much sugar. day by a woman, concerned that her son ate too much sugar. She requested him to counsel her son about its harmful She requested him to counsel her son about its harmful effects. The Mahatma promised to do so, but asked her to effects. The Mahatma promised to do so, but asked her to return after a fortnight. This she did, and Gandhiji advised the return after a fortnight. This she did, and Gandhiji advised the boy as he had promised. The mother was profuse in her boy as he had promised. The mother was profuse in her gratitude, but could not conceal her puzzlement as to why gratitude, but could not conceal her puzzlement as to why Ghandhiji had insisted on the interval of two weeks. He was Ghandhiji had insisted on the interval of two weeks. He was honest in his reply, and said, “I needed the two weeks to stop honest in his reply, and said, “I needed the two weeks to stop eating sugar myself.”eating sugar myself.”

““Let him that would move the world, first move himself”Let him that would move the world, first move himself”

SocratesSocrates Understand your own selfUnderstand your own self..

““I’ m OK. It’s the others who are hindrance to change I’ m OK. It’s the others who are hindrance to change because of their negative attitude or lethargy or lack of because of their negative attitude or lethargy or lack of vision or absence of will or skill to change…” vision or absence of will or skill to change…”

““If you decide to open your ‘gate of change’ to really If you decide to open your ‘gate of change’ to really understand and live the principles, your growth will be understand and live the principles, your growth will be evolutionary, but the net effect will be revolutionary”evolutionary, but the net effect will be revolutionary”

Stephen R. CoveyStephen R. Covey

Assemble a change management team Assemble a change management team Establish a New direction for the OrganisationEstablish a New direction for the Organisation Prepare the Organisation for Change Prepare the Organisation for Change Set up Change Teams to Implement Change Set up Change Teams to Implement Change Align Structure, Systems & Resources to Support Align Structure, Systems & Resources to Support

Change Change Identify & Remove Roadblocks to Change Identify & Remove Roadblocks to Change Absorb Changes into the Culture of the Organisation.Absorb Changes into the Culture of the Organisation.

Change is a highly interactive phenomenon, and it’s Change is a highly interactive phenomenon, and it’s ‘human face’ must be delicately attended to. If this is ‘human face’ must be delicately attended to. If this is done with imagination & skill, it can pave the way for done with imagination & skill, it can pave the way for contributing to the health & growth of an organization & contributing to the health & growth of an organization & its people. its people.

Session---7Session---7An overview of OD InterventionsAn overview of OD Interventions Practitioners have created an array Practitioners have created an array

of interventions to help organization of interventions to help organization members address specific problems members address specific problems effectively.effectively.

OD is a complete strategy for change OD is a complete strategy for change that encompasses theory, practice that encompasses theory, practice methods, and values. Interventions methods, and values. Interventions are just one component of the OD are just one component of the OD formula.formula.

OD interventions are sets of structured activities in OD interventions are sets of structured activities in which selected organizational units (target groups or which selected organizational units (target groups or individuals) engage in a task or a sequence of tasks individuals) engage in a task or a sequence of tasks with the goals of organizational improvement and with the goals of organizational improvement and individual development.individual development.

Consultant uses—acceptant(the consultant gives the Consultant uses—acceptant(the consultant gives the client a sense of worth, values, acceptable, and client a sense of worth, values, acceptable, and support); catalytic (the consultant helps the client support); catalytic (the consultant helps the client generate data and information to restructure); the generate data and information to restructure); the client’s beliefs and action); prescription (the client’s beliefs and action); prescription (the consultant tells the client what to do to solve the consultant tells the client what to do to solve the problem); and theories and principles(the consultant problem); and theories and principles(the consultant teaches the client relevant behavioral science theory teaches the client relevant behavioral science theory so the client can learn to diagnose and solve his or so the client can learn to diagnose and solve his or her own problems).her own problems).

The following list shows some of the The following list shows some of the results one can expect from OD results one can expect from OD interventions.interventions.

1.1. Feedback. It refers to learning new data Feedback. It refers to learning new data about oneself, others, group processes, or about oneself, others, group processes, or organizational dynamicsorganizational dynamics

2.2. Awareness of Changing Sociocultural Awareness of Changing Sociocultural Norms or Dysfuntional Current Norms. Norms or Dysfuntional Current Norms. Often people modify their behavior, Often people modify their behavior, attitudes, and values when they become attitudes, and values when they become aware of changes in the norms influencing aware of changes in the norms influencing their behaviortheir behavior

3.3. Increased Interaction and Communication. Increased Interaction and Communication. Increasing interaction an communication Increasing interaction an communication between individuals and groups causes change between individuals and groups causes change in attitudes and behavior.in attitudes and behavior.

4.4. Confrontation. This term refers to surfacing and Confrontation. This term refers to surfacing and examining differences in beliefs, feelings, examining differences in beliefs, feelings, attitudes, values, or norms to remove obstacles attitudes, values, or norms to remove obstacles to effective interaction.to effective interaction.

5.5. Education. Education activities upgradeEducation. Education activities upgrade

6.6. ParticipationParticipation

7.7. Increased Accountability.Increased Accountability.

8.8. Increased Energy and OptimismIncreased Energy and Optimism

Another way to classify OD Another way to classify OD interventions is by the primary target interventions is by the primary target of the intervention, for example, of the intervention, for example, individuals, dyads and triads, teams individuals, dyads and triads, teams and groups, intergroup relations and and groups, intergroup relations and the total organization.the total organization.

Target group Interventions Designed to improve Effectiveness

Individuals Life-and career-planning activitiesCoaching and counseling

Dyads/Triads Process consultationRole negotiation technique

Teams and Groups Team building-Task directed-Process directedTeam MBOQuality CirclesSelf-managed teams

Intergroup Relations Intergroup activities-process directed-Task directed-Organizational mirroring-Survey feedback

Total Organization MBO(participation forms)Cultural analysisQuality of work life(QWL) programsTotal quality management(TQM)

Structural Interventions and the Structural Interventions and the applicability of ODapplicability of OD

The structural interventions that are frequently The structural interventions that are frequently labeled OD or linked to OD: sociotechnical labeled OD or linked to OD: sociotechnical systems(STS), self-managed teams, work systems(STS), self-managed teams, work redesign, management by objectives(MBO), redesign, management by objectives(MBO), quality circles, quality of work life projects (QWL), quality circles, quality of work life projects (QWL), parallel learning structures (or collateral parallel learning structures (or collateral organizations), physical settings, and total quality organizations), physical settings, and total quality management (TQM). (We will also examine management (TQM). (We will also examine reengineering, and intervention modality that is reengineering, and intervention modality that is usually not considered OD, but nevertheless, usually not considered OD, but nevertheless, needs to be understood by OD practitioners and needs to be understood by OD practitioners and clients).clients).

SOCIOTECHNICAL SYSTEMSSOCIOTECHNICAL SYSTEMS

As directed by Cummings and Worley, STS theory has two As directed by Cummings and Worley, STS theory has two basic premises, One is that “effective work system must basic premises, One is that “effective work system must jointly optimize the relationship between their social and jointly optimize the relationship between their social and technical parts.” The second premise is that “such systems technical parts.” The second premise is that “such systems must effectively manage the boundary separating and must effectively manage the boundary separating and relating them to the environment” in such a way that relating them to the environment” in such a way that effective exchanges occur with the environment along with effective exchanges occur with the environment along with protection from external disruptions. Furthermore, the protection from external disruptions. Furthermore, the implementation of STS is seen as “highly participative” implementation of STS is seen as “highly participative” involving all the relevant stakeholders, including involving all the relevant stakeholders, including employees, engineers, staff experts, and managers.employees, engineers, staff experts, and managers.

The formation of autonomous work groups The formation of autonomous work groups (the terms self-managing or self-managed are (the terms self-managing or self-managed are now more frequently used), the grouping of now more frequently used), the grouping of core tasks so that a team has a major unit of core tasks so that a team has a major unit of the total work to be accomplished, the the total work to be accomplished, the training of group members in multiple skills, training of group members in multiple skills, delegation to the work group of many aspects delegation to the work group of many aspects of how the work gets done, and the of how the work gets done, and the availability of a great deal of information and availability of a great deal of information and feedback to work group for the self-regulation feedback to work group for the self-regulation of productivity and quality.of productivity and quality.

Self Managed teams: Problems in Self Managed teams: Problems in implementationimplementation

Work redesignWork redesign

Core Job Characteristics

Critical Psychological States

Outcomes

Skill varietyTask identity

Task significance

Feedback From

Job

Autonomy

Experienced meaningfulness of

the work

Experienced responsibility for outcomes of the

work

Knowledge of the actual results of

the work activities

High internal work motivation

High “growth” satisfaction

High general job satisfaction

High work effectiveness

Moderators-Knowledge and skill-Growth need strength-“Context” satisfactions

MBO AND APPRAISALMBO AND APPRAISAL

1.1. A collaborative diagnosis of organizational problems, from A collaborative diagnosis of organizational problems, from which it is concluded that a collaborative MBO effort would be which it is concluded that a collaborative MBO effort would be functionalfunctional

2.2. Increased skills in interpersonal communications and group Increased skills in interpersonal communications and group processes. (this point will be crucial to the team aspects of processes. (this point will be crucial to the team aspects of this approach.)this approach.)

3.3. Real subordinate participation, in team configurations, in Real subordinate participation, in team configurations, in setting goalssetting goals

4.4. A team approach to reviewing individual and group targets A team approach to reviewing individual and group targets and their achievement.and their achievement.

5.5. Ongoing individual and team problem-solving discussions Ongoing individual and team problem-solving discussions with superiorswith superiors

6.6. A continuous helping relationship within teams and in A continuous helping relationship within teams and in superior-subordinate relationships. (This characteristic will superior-subordinate relationships. (This characteristic will not occur quickly; a win-win climate that says ”Lets try to not occur quickly; a win-win climate that says ”Lets try to help each other succeed” needs to emerge).help each other succeed” needs to emerge).

7.7. Attention to personal and career goals in a real Attention to personal and career goals in a real effort to make them complementary to effort to make them complementary to organizational goals.organizational goals.

QUALITY CIRCLESQUALITY CIRCLES

QUALITY OF WORK LIFE PROJECTSQUALITY OF WORK LIFE PROJECTS

At some General Motors plants QWL projects have At some General Motors plants QWL projects have included some of the following features:included some of the following features:

- Voluntary involvement on the part of employeesVoluntary involvement on the part of employees- Union agreement with the process and Union agreement with the process and

participation in itparticipation in it- Assurance of no loss of jobs as a result of the Assurance of no loss of jobs as a result of the

programsprograms

- Training of employees in team problem solvingTraining of employees in team problem solving- The use of quality circles in team problem solvingThe use of quality circles in team problem solving- The use of quality circles where employees discuss The use of quality circles where employees discuss

problems affecting the performance of the plant and the problems affecting the performance of the plant and the work environmentwork environment

- Work team participation in forecasting, work planning, and Work team participation in forecasting, work planning, and team leader and team member selectionteam leader and team member selection

- Regular plant and team meetings to discuss such matters Regular plant and team meetings to discuss such matters as quality, safety, customer orders, and schedulesas quality, safety, customer orders, and schedules

- Encouragement of skill development and job rotation Encouragement of skill development and job rotation within work teamswithin work teams

- Skill trainingSkill training- Responsiveness to employee concernsResponsiveness to employee concerns

PARALLEL LEARNING STRUCTURESPARALLEL LEARNING STRUCTURES

Parallel organizations, or collateral organizations Parallel organizations, or collateral organizations

work redesigning efforts, open systems planning work redesigning efforts, open systems planning programs, and the coordination of employee programs, and the coordination of employee involvement teams.involvement teams.

PHYSICAL SETTING AND OD—Setting manages PHYSICAL SETTING AND OD—Setting manages open and transparent.open and transparent.

TOTAL QUALITY MANAGEMENTTOTAL QUALITY MANAGEMENT

The following features tend to characterize TQM. This list is The following features tend to characterize TQM. This list is largely based on total quality conferences held in the United largely based on total quality conferences held in the United States and aboard by the Conference Board and on a special States and aboard by the Conference Board and on a special

issue of Business Week entitled The quality Imperativeissue of Business Week entitled The quality Imperative..

Primary emphasis on customers. The development of an Primary emphasis on customers. The development of an organizational culture in which employees at all levels, organizational culture in which employees at all levels, including the CEO, give paramount treatment to customer including the CEO, give paramount treatment to customer

needs and expectationsneeds and expectations..Daily operational use of the concept of internal customers. Daily operational use of the concept of internal customers. Emphasis on the concept that work flow and internal Emphasis on the concept that work flow and internal interdependencies require that organizational members treat interdependencies require that organizational members treat each other as valued customers across functional lines as each other as valued customers across functional lines as well as within units.well as within units.

An emphasis on measurement using both statistical quality An emphasis on measurement using both statistical quality control and statistical process control techniques. control and statistical process control techniques. Statistical quality control is a method of measuring and Statistical quality control is a method of measuring and analysing deviations in manufactured products; statistical analysing deviations in manufactured products; statistical process control Is a method of analysing deviations in process control Is a method of analysing deviations in manufacturing processes.manufacturing processes.

Competitive benchmarking. Continuous rating of the Competitive benchmarking. Continuous rating of the company’s products and practices against the world’s best company’s products and practices against the world’s best firs, including other organizations in other industries.firs, including other organizations in other industries.

Continuous search for sources of defects with a goal of Continuous search for sources of defects with a goal of eliminating them entirely. The Japanese call it kaizen.eliminating them entirely. The Japanese call it kaizen.

Participative management. It includes extensive delegation Participative management. It includes extensive delegation and involvement and a coaching, supportive leadership and involvement and a coaching, supportive leadership stylestyle

An emphasis on continuous training. An emphasis on continuous training. Learning new and better ways of doing Learning new and better ways of doing things and adding new skills are essential. things and adding new skills are essential. In many organizational training is In many organizational training is reinforced by changes in the reward reinforced by changes in the reward system, for example, the introduction of system, for example, the introduction of skill-based or knowledge-based pay.skill-based or knowledge-based pay.

Top management support on an ongoing Top management support on an ongoing basis. A long-term perspective and a long-basis. A long-term perspective and a long-term commitment is required on the part term commitment is required on the part of top management. of top management.

REENGINEERINGREENGINEERING

Reengineering seeks to make such Reengineering seeks to make such processes more efficient by processes more efficient by combining, eliminating, or combining, eliminating, or restructuring activities without restructuring activities without regard to present hierarchical or regard to present hierarchical or control procedures.control procedures.

HIGH INVOLVEMENT AND HIGH-PERFORMANCE WORK HIGH INVOLVEMENT AND HIGH-PERFORMANCE WORK SYSTEMSSYSTEMS

The terms “high-involvement organization”, and “high The terms “high-involvement organization”, and “high performance organizations” are seen by Ledford, Lawler, performance organizations” are seen by Ledford, Lawler, and Mohrman as largely synonymous, but they see “ high and Mohrman as largely synonymous, but they see “ high involvement” as more descriptive and less loaded than the involvement” as more descriptive and less loaded than the other terms. High performance and high commitment are other terms. High performance and high commitment are possible out-comes in organizations that are designed for possible out-comes in organizations that are designed for high involvement, but may not occur if environmental high involvement, but may not occur if environmental conditions are unfavorable or if the high involvement conditions are unfavorable or if the high involvement design is poorly implemented. Thus they prefer the term design is poorly implemented. Thus they prefer the term that connotes the basic strategy or process that is used-that connotes the basic strategy or process that is used-high involvement—rather than one that connotes a desired high involvement—rather than one that connotes a desired outcome.outcome.

LARGE-SCALE SYSTEMS CHANGE AND LARGE-SCALE SYSTEMS CHANGE AND ORGANIZATIONAL TRANSORMATIONORGANIZATIONAL TRANSORMATION

- Replacement of the top management teamReplacement of the top management team- Redefining the nature of the business from Redefining the nature of the business from

transportation to service transportation to service - Diagonal task forces to plan changes Diagonal task forces to plan changes - A reduction in hierarchical levelsA reduction in hierarchical levels- Substantial downsizing of the workforce, including Substantial downsizing of the workforce, including

middle management, without layoffsmiddle management, without layoffs- Team building (off site). Including role Team building (off site). Including role

clarification and negotiation clarification and negotiation - Process consultationProcess consultation

Modifying the budget processModifying the budget process Top management commitment and involvementTop management commitment and involvement Personal staff trained to be internal consultantsPersonal staff trained to be internal consultants Peer support groupPeer support group Performance-based compensation and profit sharingPerformance-based compensation and profit sharing Experiential training programs for senior and middle Experiential training programs for senior and middle

managers including feedback on managerial behaviormanagers including feedback on managerial behavior Open communicationsOpen communications

SUMMARY OF THE CHARACTERISTICS OF SELECTED SUMMARY OF THE CHARACTERISTICS OF SELECTED STRUCTURAL INTERVENTIONSSTRUCTURAL INTERVENTIONS

The following summarizes some of the differences and The following summarizes some of the differences and similarities as well as the overlap between sociotechnical similarities as well as the overlap between sociotechnical systems systems (STS), self-managed teams, work systems systems (STS), self-managed teams, work redesign, MBO, quality circles, quality of work life(QWL) redesign, MBO, quality circles, quality of work life(QWL) programs, parallel or collateral structures, physical settings, programs, parallel or collateral structures, physical settings, total quality management (TQM), reengineering, and large-total quality management (TQM), reengineering, and large-scale systems change.scale systems change.

1.1. The creation of self-managed teams involvesThe creation of self-managed teams involves

a)a) Providing teams with a grouping of tasks that comprises a Providing teams with a grouping of tasks that comprises a major unit of the total work to be performed;major unit of the total work to be performed;

b)b) Training group members in multiple skills, including team-Training group members in multiple skills, including team-effectiveness skillseffectiveness skills

c)c) Delegating to the team many aspects of how the work gets Delegating to the team many aspects of how the work gets done;done;

d) Providing a great deal of information and feedback, for self-d) Providing a great deal of information and feedback, for self-regulation of quality and productivity;regulation of quality and productivity;

e) Solving the problem of dislocation of first-line supervisors e) Solving the problem of dislocation of first-line supervisors and;and;

f) Reconceptualizing the role of managers with emphasis on f) Reconceptualizing the role of managers with emphasis on coaching, expediting and co-ordinating (Walton, Lawler, and coaching, expediting and co-ordinating (Walton, Lawler, and other)other)

Work redesign theory suggests that Work redesign theory suggests that

a)a) Motivation and performance can be enhanced through Motivation and performance can be enhanced through redesigning jobs to heighten skill variety, task, identify, task redesigning jobs to heighten skill variety, task, identify, task significance, autonomy, and feedback from the job. significance, autonomy, and feedback from the job.

b)b) The concept can be extended to the creation of self-The concept can be extended to the creation of self-managed teams; and managed teams; and

c)c) Third-party assistance in the development and Third-party assistance in the development and monitoring of group norms can be monitoring of group norms can be useful(Hackman and Oldham)useful(Hackman and Oldham)

3.3. Traditional MBO theory assumes the need for systematic Traditional MBO theory assumes the need for systematic goal setting linking the goals of superiors to subordinates goal setting linking the goals of superiors to subordinates and thatand that

a)a) Objectives or targets should be stated in quantitative Objectives or targets should be stated in quantitative terms whenever possible,terms whenever possible,

b)b) Goal setting and appraisal should be one-on-one dialogues Goal setting and appraisal should be one-on-one dialogues between superior and subordinate. However, additional between superior and subordinate. However, additional conceptualization and experience indicate that conceptualization and experience indicate that

c)c) MBO can vary on an automatic –participative continuum MBO can vary on an automatic –participative continuum and thatand that

d)d) MBO can feature a participative team approach (French MBO can feature a participative team approach (French and Hallmannn, Likert and Fisher).and Hallmannn, Likert and Fisher).

5.5. Quality circles, at least the participative, problem-solving versions, Quality circles, at least the participative, problem-solving versions, are based on the assumptions that many, if not most, employees are based on the assumptions that many, if not most, employees are willing to work collaboratively in group settings-both natural are willing to work collaboratively in group settings-both natural work teams and cross-functional teams—on problems of product work teams and cross-functional teams—on problems of product quality and system effectiveness, and that they can learn to quality and system effectiveness, and that they can learn to effectively utilize both technical and process consultants, effectively utilize both technical and process consultants, providing they are :-providing they are :-

a)a) Trained in quality control concept and the relevant measuring Trained in quality control concept and the relevant measuring techniques, and are techniques, and are

b)b) Trained in group dynamics, team leadership, and interpersonal Trained in group dynamics, team leadership, and interpersonal communication skillscommunication skills

6.6. Quality of Work life(QWL) programs vary in content but frequently Quality of Work life(QWL) programs vary in content but frequently include restructuring of several dimensions of the organization, include restructuring of several dimensions of the organization, includingincluding

a)a) Increased problem solving between management and the unionIncreased problem solving between management and the union

b)b) Increased participation by teams of employees in shop floor Increased participation by teams of employees in shop floor decisions pertaining to production flow, quality control, and safety; decisions pertaining to production flow, quality control, and safety; andand

cc) Skill development through technical skill training, ) Skill development through technical skill training, job rotation, and training in team problem solving job rotation, and training in team problem solving (Fuller, Carrigan, Bluestone, Goodman, Lawler, (Fuller, Carrigan, Bluestone, Goodman, Lawler, Ledfor, Walton, and others).Ledfor, Walton, and others).

7. Parallel learning structures(or collateral 7. Parallel learning structures(or collateral organizations) ar organizations established within organizations) ar organizations established within ongoing organizations and have the following ongoing organizations and have the following features:features:

a)a) A mandate to deal with complex, nonroutine, future-A mandate to deal with complex, nonroutine, future-oriented problems and/or to coordinate large-scale oriented problems and/or to coordinate large-scale systems change;systems change;

b)b) The creation of different norms and culture to The creation of different norms and culture to enhance creative problems solving and to create a enhance creative problems solving and to create a model organizatrion fromm which the organization model organizatrion fromm which the organization can learn (Zand, Bushe, and Shani)can learn (Zand, Bushe, and Shani)

8.8. Physical setting or arrangements can be the focus of Physical setting or arrangements can be the focus of interventions that can utilize and be highly congruent with interventions that can utilize and be highly congruent with OD techniques and assumptions(Steele).OD techniques and assumptions(Steele).

9.9. Total quality management (TQM) programs are Total quality management (TQM) programs are combination of a number of approaches including:combination of a number of approaches including:

A)A) A high emphasis on customers, including internal A high emphasis on customers, including internal customerscustomers

B)B) The use of statical quality control and statistical process The use of statical quality control and statistical process control techniques;control techniques;

C)C) Competitive benchmarkingCompetitive benchmarking

D)D) Participative management;Participative management;

E)E) An emphasis on teams and teamwork and;An emphasis on teams and teamwork and;

F)F) An emphasis on continuous training (Peter and Peters, An emphasis on continuous training (Peter and Peters, Ciampa, Sashkin, and others), Ciampa, Sashkin, and others),

9.9. Reengineering as currently conceptualized Reengineering as currently conceptualized (Hammere and Champy)(Hammere and Champy)

a)a) Focuses almost exclusively on streamlining Focuses almost exclusively on streamlining “business processes,” and “business processes,” and

b)b) Appears to pay little attention to the human-Appears to pay little attention to the human-social system. However, it appears theoretically social system. However, it appears theoretically possible for reengineering programs to utilize possible for reengineering programs to utilize OD approaches in which OD approaches in which

i)i) Collateral organizations are used extensively, Collateral organizations are used extensively, andand

ii)ii) Organizational members are extensively Organizational members are extensively involved and adequately protected.involved and adequately protected.

11.11. Large-scale systems change(including organiztional Large-scale systems change(including organiztional transforamtion) with an extensive OD thrust typically transforamtion) with an extensive OD thrust typically requires a multiplicity of interventions over an extended requires a multiplicity of interventions over an extended time frame, includingtime frame, including

a)a) A reconceptualization of the nature of the businessA reconceptualization of the nature of the business

b)b) The use of al parallel learning structure;The use of al parallel learning structure;

c)c) A reduction in hierarchical levels;A reduction in hierarchical levels;

d)d) Team building and development, including the use of Team building and development, including the use of cross-functional teams; cross-functional teams;

e)e) Survey feedback;Survey feedback;

f)f) Extensive use of task forces; andExtensive use of task forces; and

g)g) Intensive leadership training(Nadler, Ackerman, Porras Intensive leadership training(Nadler, Ackerman, Porras and Silvers, Cummings and Worley, Weisbordm and and Silvers, Cummings and Worley, Weisbordm and others)others)

Roles of Change Agents and Roles of Change Agents and LeadershipLeadership

Persons who act as catalysts and assume the Persons who act as catalysts and assume the responsibility for managing change are called change responsibility for managing change are called change agents. Change can be brought about by managers, agents. Change can be brought about by managers, non managers, employees or an outside consultant. non managers, employees or an outside consultant. The following describes types of roles played by The following describes types of roles played by change agents.change agents.

- Internal ConsultantInternal Consultant- Internal Support to External Consultant Internal Support to External Consultant - Task forceTask force- Role of Organizational ManagementRole of Organizational Management- Evolving policy and legitimizing changeEvolving policy and legitimizing change- Institutionalizing changeInstitutionalizing change

Two factors are extremely important Two factors are extremely important in institutional changein institutional change

1.1. That the change efforts or the new That the change efforts or the new approaches have helped in approaches have helped in enhancing performance, andenhancing performance, and

2.2. That the initiatives started by the That the initiatives started by the management team are taken forward management team are taken forward by the successive management.by the successive management.

SKILLS REQUIRED FOR THE SKILLS REQUIRED FOR THE ROLE OF A CHANGE AGENTROLE OF A CHANGE AGENT

A sensor for the business A sensor for the business environmentenvironment

Vertical to horizontal functioningVertical to horizontal functioning Leadership at all levelsLeadership at all levels Manager as a catalystManager as a catalyst Shorter time-frame horizonShorter time-frame horizon Balancing work and personal lifeBalancing work and personal life Maximization of information flowMaximization of information flow

An effective Change Agents needs the An effective Change Agents needs the following areas of expertisefollowing areas of expertise

Strategy formulation,Strategy formulation, Human resource management,Human resource management, Marketing and sales, andMarketing and sales, and Negotiation/conflict resolutionNegotiation/conflict resolution

For a successful management of change, For a successful management of change, the change agent needs to follow the the change agent needs to follow the steps that would serve as building blocks steps that would serve as building blocks

Role of HRD in Managing ChangeRole of HRD in Managing Change

1.1. FREEZE CHANGEFREEZE CHANGE

2.2. Proving support to sustain in embedded changeProving support to sustain in embedded change

3.3. IMPLEMENTING CHANGEIMPLEMENTING CHANGE

4.4. MANAGING TRANSITIONMANAGING TRANSITION

5.5. Incremental changes for improvementIncremental changes for improvement

6.6. COMMUNICATING EFFECTIVELYCOMMUNICATING EFFECTIVELY

7.7. Developing awareness/winning confidenceDeveloping awareness/winning confidence

8.8. CHALLENGING THE STATUS QUOCHALLENGING THE STATUS QUO

9.9. Stirring the environment of psychological discomfortStirring the environment of psychological discomfort10.10. DEVELOPING VISIONARY LEADERSHIPDEVELOPING VISIONARY LEADERSHIP

11.11. Creating shared visionCreating shared vision

12.12. PREDICTING AND MANAGING RESISTANCEPREDICTING AND MANAGING RESISTANCE

13.13. Mobilizing commitmentMobilizing commitment

14.14. DEVELOPING PROCESS OF CHANGE/CULTUREDEVELOPING PROCESS OF CHANGE/CULTURE

Role of LeaderRole of Leader Leadership for ChangeLeadership for Change LEVEL 5 LEADERSHIP: GOOD TO GREAT : Collins (2001) has LEVEL 5 LEADERSHIP: GOOD TO GREAT : Collins (2001) has

given an alternate model of organizational change based on given an alternate model of organizational change based on his and his team’s research of financial performance of his and his team’s research of financial performance of 1435 firm,1435 firm,

He found that every good to great company had Level 5 He found that every good to great company had Level 5 leaders during critical transition period and journey to leaders during critical transition period and journey to greatness has six common steps:greatness has six common steps:

a)a) First Who, then What: These leaders focused on choosing First Who, then What: These leaders focused on choosing their team before developing vision and goals. This shows their team before developing vision and goals. This shows their focus on persons based on their talent and skills.their focus on persons based on their talent and skills.

b)b) Confront the Brutal Facts: These leaders confronted the Confront the Brutal Facts: These leaders confronted the reality squarely and did not evade the situation. They also reality squarely and did not evade the situation. They also had faith in the capability of their organization to meet the had faith in the capability of their organization to meet the challenges.challenges.

c) c) The Hedgehog Concept: These companies aimed at being The Hedgehog Concept: These companies aimed at being the best in the world; and nothing short of it. They were the best in the world; and nothing short of it. They were consistent and passionate about applying the fundamental consistent and passionate about applying the fundamental principles and key economic denominator that made them principles and key economic denominator that made them great.great.

d) A Culture of Discipline: The great companies hired d) A Culture of Discipline: The great companies hired disciplined people and had a culture of self discipline in disciplined people and had a culture of self discipline in thought and action. The firms had a consistent system and thought and action. The firms had a consistent system and gave freedom and autonomy to peoplegave freedom and autonomy to people

e) Technology Accelerators: These companies used e) Technology Accelerators: These companies used technology to enhance business results and did not focus technology to enhance business results and did not focus on pioneering a technology; in fact these became pioneers on pioneering a technology; in fact these became pioneers in application of some of the technologiesin application of some of the technologies

f) The flywheel and the Doom Loop: In these companies f) The flywheel and the Doom Loop: In these companies transformation from good to good to great happened transformation from good to good to great happened through relentles hard work and sustained efforts in through relentles hard work and sustained efforts in one direction for a long period of time building one direction for a long period of time building momentum till the company reached the point of momentum till the company reached the point of break-through and crossed it. It is evident that break-through and crossed it. It is evident that organization transformation is neither simple nor one organization transformation is neither simple nor one off effortoff effort

Sustainable efforts and momentum in a specified Sustainable efforts and momentum in a specified direction bring about this change.direction bring about this change.

The above six points have emerged from the study of 11 The above six points have emerged from the study of 11 companies that moved from ‘good’ to become great’ companies that moved from ‘good’ to become great’ companies. companies.

Transformational LeadershipTransformational Leadership Transformational and transactional leadershipTransformational and transactional leadership Key competencies in transformational leaders.Key competencies in transformational leaders.

Comparison of Transformational and Transactional Leadership

Transformational Leadership Transactional Leadership

Promotes changeShares vision, values, and emotional bondingProvides Intellectual stimulationDevelops pride, gains trust and respect Provides personal attention

Maintains stabilityGoes into contractual arrangementProvides guidance & role clarificationPromises reward for performanceInteractions mostly formal and officious

Ability for assessment of current situationAbility for assessment of current situation Ability to challenge the status quoAbility to challenge the status quo Adaptability to the changing environmentAdaptability to the changing environment Ability to have a long term visionAbility to have a long term vision Capability to articulate and practice a set of core valuesCapability to articulate and practice a set of core values Risk taking abilityRisk taking ability Communication skillsCommunication skills Sensitivity and ability to arouse passionSensitivity and ability to arouse passion Understanding and practice of equity, power and freedomUnderstanding and practice of equity, power and freedom Building coalitionBuilding coalition Flexibility and openness to experienceFlexibility and openness to experience Ability to make fast decisionsAbility to make fast decisions Ability to modify systemsAbility to modify systems

An effective change leader requires clarity of vision, An effective change leader requires clarity of vision, knowledge of what is to be changed and skills to implement knowledge of what is to be changed and skills to implement change. change.

Human Resource Development and Human Resource Development and the Management of Changethe Management of Change

The learning organizationThe learning organization—pot of —pot of gold or chasing rainbows?gold or chasing rainbows?

Learning Organization’ or ‘The Learning Organization’ or ‘The Learning Company’ (Pedler et al., Learning Company’ (Pedler et al., 1991).1991).

What is Learning OrganizationsWhat is Learning Organizations??

““The Fifth Discipline” by Mr Senge’s .The Fifth Discipline” by Mr Senge’s .

DefinitionsDefinitions:-:-

Nokia: “The fact that ‘learning Nokia: “The fact that ‘learning organization’ has become a buzzword organization’ has become a buzzword should not obscure the point that the idea should not obscure the point that the idea provides Nokia with a fresh approach to provides Nokia with a fresh approach to understanding change.”-Jorma Ollila, chief understanding change.”-Jorma Ollila, chief executive officer and president.executive officer and president.

Revi suisse-Price Waterhouse:- Revi suisse-Price Waterhouse:- “Being a learning organization is a “Being a learning organization is a process. This process is necessary to process. This process is necessary to keep things moving. Changes are keep things moving. Changes are much easier to achieve when you are much easier to achieve when you are moving. When you stand still, you moving. When you stand still, you can’t realise change”-Peter Weibel, can’t realise change”-Peter Weibel, chief executive officer.chief executive officer.

British PetroleumBritish Petroleum:- “The learning :- “The learning organization is one that consciously organization is one that consciously manages its learning processes at manages its learning processes at the individual, team and the individual, team and organizational levels as a primary organizational levels as a primary means of achieving its vision, values means of achieving its vision, values and strategic aims.”-Peter Moore, and strategic aims.”-Peter Moore, human resources strategy advisor.human resources strategy advisor.

Reward management and the Reward management and the management of changemanagement of change

Managing change through employee Managing change through employee involvementinvolvement