OD & ChangeSession 2

Managing Planned Organizational Change Process A planned change is a change planned by the organization; it does

not happen by itself. It is affected by the organization with the purpose of achieving something that might otherwise by unattainable or attainable with great difficulty. Through planned change, an organization can achieve its goals rapidly. The basic reasons for planned change are:

To improve the means for satisfying economic needs of members To increase profitability To promote human work for human beings To contribute to individual satisfaction and social well being The planned organizational change process may comprise,

basically the three following steps: Planning for change Assessing change forces Implementing the change

1. Planning for Change The first step in the process of change is

to identify the need for change and the area of changes as to whether it is a strategic change, process oriented change or employee oriented change.

This need for change can be identified either through internal or external factors.

Once this need is identified the following general steps can be taken:

Develop new goals and objectives. The manager must identify as to what new outcomes they wish to achieve. This may be modification of previous goals due to changed internal and external environment or it may be a new set of goals and objectives.

Select an agent of change. The next step is that the management must decide as to who will initiate and oversee this change. One of the existing managers may be assigned this duty or even sometimes specialists and consultants can brought in from outside to suggest the various methods to bring in the change and monitor the change process.

Diagnose the problem. The person who is appointed as the agent of the change will then gather all relevant data regarding the area of problem or the problem where the change is needed. This data should be critically analysed to pinpoint the key issues. Then the solutions can be focused on those key issues.

Select Methodology. The next important step is to select a methodology for change; employee’s emotion must be taken into consideration when devising such methodology.

Develop a plan. After devising the methodology, the next step will be to put together a plan as to what is to be done. For example, if the management wants to change the promotion policy, it must decide as to what type of employees will be affected by it, whether to change the policy for all the departments at once or to try it on a few selected departments first.

Strategy for the implementation of the plan. In this stage, the management must decide on the ‘when’, ‘where’ and ‘how’ of the plan. This includes the right time of putting the plan to work, how the plan will be communicated to the employees in order to have the least resistance and how the implementation will be monitored.

2. Assessing Change Forces

The planned change does not come automatically, rather there are many forces in individuals, groups and organization which resist such change.

The change process will never be successful unless the cooperation of employees is ensured.

Therefore, the management will have to create an environment in which change will be amicably accepted by people.

If the management can overcome the resistance, change process will succeed.

In a group process, there are always some forces who favour the change and some forces that are against the change. Thus, an equilibrium is established is maintained.

Kurtlewin calls in the “field of forces”. Lewin assumes that in every situation there are both driving and restraining forces which influence any change that may occur.

Driving forces are those forces which affect a situation by pushing in a particular direction. These forces tend to initiate the change and keep it going.

Restraining forces act to restrain or decrease the driving forces.

Equilibrium is reached when sum of the driving forces equals the sum of the restraining forces as shown in the following figure:

Force Field Analysis There may be three types of situations, as both driving and

restraining forces are operating: If the driving forces far out weight the restraining forces,

management can push driving forces and overpower restraining forces.

If restraining forces are stronger than driving forces, management either gives up the change programme or it can pursue it by concentrating on driving forces and changing restraining forces into driving ones or immobilizing them.

If driving and restraining forces are fairly equal, management can push up driving forces and at the same time can convert or immobilize restraining forces.

Thus, to make the people accept the changes, the management must push driving forces and convert or immobilize the restraining forces.

3. Implementing the Change

Once the management is able to establish favourable conditions, the right timing and right channels of communication have been established the plan will be put into action. It may be in the form of simple announcement or it may require briefing sessions or in house seminars so as to gain acceptance of all the members and specify those who are going to be directly affected by the change.

After the plan has been implemented there should be evaluation of the plan which comprises of comparing actual results to the objectives. Feedback will confirm if these goals are being met so that if there is any deviation between the goals and actual performance, corrective actions can be taken.

Learning, Training & Development

TRAINING DEFINED It is a learning process that involves the acquisition

of knowledge, sharpening of skills, concepts, rules, or changing of attitudes and behaviours to enhance the performance of employees. 

Training is activity leading to skilled behavior. Training is about knowing where you stand (no

matter how good or bad the current situation looks) at present, and where you will be after some point of time.

Training is about the acquisition of knowledge, skills, and abilities (KSA) through professional development.

Role of Training

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Training as a tool for increasing manpower productivity

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The Workplace Skills Strategy Human capital is increasingly

regarded as one of the major drivers of productivity, economic growth and competitive advantage.

Recognizing the importance of human capital, the training manpower sets out to generate:

A skilled, adaptable, motivated and resilient workforce

A flexible, efficient labour market

A responsive strategy to meet employers needs for skilled workers

A learned employee can retain customers and increase business & market share thro’ proper behavior and good public relations

As a demand-driven approach to human resource and skills development, the Training will build and strengthen relationships with and among workplace partners and better engage employers, unions to respond to the challenges of workplace skills development.

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What type of investment must an employer offer employees to gain this?

An investment in training and education is a sure payoff.

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Examples of Training Investments Industry and government in the United States spend

approximately $90 billion each year on employee training and education.

Average Japanese companies spends about 6% of budget on training.

Study of major automobile manufactures found U. S automakers spend about 40 hours training new employees compared to 300 hours for Japanese automakers.

Motorola’s CEO required all divisions to spend at least 2% of budget on training. Over next 7 years, profits increased 47% and it was estimated that each $1.00 in training yielded $30.00 in return.

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TRAINING ACTIVITIES SHOULD BE

ALIGNED WITH OVERALL OBJECTIVE OF THE ORGANISATION,

WITH A MEANINGFUL EMPHASIS ON VALUE ADDITION TO OUR

HUMAN RESOURCES.

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Case Study in Training to Support Industry Standards – The British National Health Service Project 1.3 million employees needed basic IT

skills trainingMain objectives: Address productivity issues Prevent resistance to change by

preparing for it Effect a change of behaviour and

change of attitude

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Factors to consider Training to benefit organisation Training to benefit employees Training to benefit the industry Provide a good return on investment?

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Why Training? The sharing of information through

training is our most valuable tool to develop our most valuable asset…our employees.

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TRAININGS SHOULD AIM AT

EMPOWERING THE EMPLOYEES INCREASING PRODUCTIVITY MAKING THE PROCESSES MORE EFFICENT

AND EFFECTIVE so as to ENSURE ULTIMATE CUSTOMER SATISFACTION

IMPROVE THE OVERALL PERFORMANCE OF THE ORGANISATION.

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1. Respond to technology changes affecting job requirements.

2. Respond to organizational restructuring.

3. Adapt to increased diversity of the workforce.

4. Support career development.

5. Fulfill employee need for growth.

Importance of Training – contd…

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Importance of Training and Development Maintain skill levels Advance skill and knowledge to improve

Performance (efficiency) Service delivery (error rate) Profitability (productivity, manpower)

Integrate new technologies into work Establish standards for work practices

Importance Of Training and Development Optimum Utilization of Human Resources –Training and

Development helps in optimizing the utilization of human resource that further helps the employee to achieve the organizational goals as well as their individual goals.

Development of Human Resources – Training and Development helps to provide an opportunity and broad structure for the development of human resources’ technical and behavioral skills in an organization. It also helps the employees in attaining personal growth.

Development of skills of employees – Training and Development helps in increasing the job knowledge and skills of employees at each level. It helps to expand the horizons of human intellect and an overall personality of the employees.

Importance Of Training and Development The principal objective of training and development division is

to make sure the availability of a skilled and willing workforce to an organization. In addition to that, there are four other objectives: Individual, Organizational, Functional, and Societal.

Individual Objectives - To help employees in achieving their personal goals, which in turn, enhances the individual contribution to an organization.

Organizational Objectives - assist the organization with its primary objective by bringing individual effectiveness.

Functional Objectives - maintain the department contribution at a level suitable to the organization ¶s needs.

Societal Objectives - To ensure that an organization is ethically and socially responsible to the needs and challenges of the society.

Importance Of Training and Development

Productivity – Training and Development helps in increasing the productivity of the employees that helps the organization further to achieve its long-term goal.

Team spirit – Training and Development helps in inculcating the sense of team work, team spirit, and inter-team collaborations. It helps in inculcating the zeal to learn within the employees.

Organization Culture – Training and Development helps to develop and improve the organizational health culture and effectiveness. It helps in creating the learning culture within the organization. 

Organization Climate – Training and Development helps building the positive perception and feeling about the organization. The employees get these feelings from leaders, subordinates, and peers.

Quality – Training and Development helps in improving upon the quality of work and work-life. 

Healthy work environment – Training and Development helps in creating the healthy working environment. It helps to build good employee, relationship so that individual goals aligns with organizational goal.

Importance Of Training and Development Health and Safety – Training and Development helps in improving

the health and safety of the organization thus preventing obsolescence.

Morale – Training and Development helps in improving the morale of the work force.

Image – Training and Development helps in creating a better corporate image.

Profitability – Training and Development leads to improved profitability and more positive attitudes towards profit orientation.

Training and Development aids in organizational development i.e. Organization gets more effective decision making and problem solving. It helps in understanding and carrying out organisational policies

Training and Development helps in developing leadership skills, motivation, loyalty, better attitudes, and other aspects that successful workers and managers usually display.

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Benefits of Training - Individuals Do job more efficiently – learn new

methods Professional approach to work, engaged

in best practice routines Personal satisfaction – felt valued Recognised qualification to add to CV

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The Importance of Employee Training in Increasing Sales

What Does Employee Training Do For Your Business? Keeps Good Employees Expands Your Offerings = Business Provides Better Customer Service Makes you MONEY!!

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The Importance of Employee Training in Increasing Sales

Better Customer Service: Direct Customer interaction changes as a

business grows With a small business, the chance of interacting

may be 100%

customer owner

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The Importance of Employee Training in Increasing Sales

What are your employees saying to the customers?

We can’t help you

We don’t know

We don’t sellanything like that

customer

I require…!!

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The Importance of Employee Training in Increasing Sales

Good Employees Expanded Business Better Customer Service

Makes you MONEY!!

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The Benefits of Training Gives the supervisor more

time to manage, standardized performance, less absenteeism, less turnover, reduced tension, consistency, lower costs, more customers, better service

Gives the workers confidence to do their jobs, reduces tension, boost morale and job satisfaction, reduces injuries and accidents, gives them a chance to advance.

Gives the business a good image and more profit.

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Benefits of Training-a summary

Improved customer service and public relations

Fewer complaintsBetter morale and attitudesLess turnover and absenteeismMore involved and caring

employeesProactive vs. reactive employees

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Then why is training often neglected?

Urgency of need Training time Costs Employee turnover Short-term worker Diversity of worker Kinds of jobs (simple-

complex) Not knowing exactly what

you want your people to do and how

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I. Needs Assessment

II. Developing &Conducting

Training

III. EvaluatingTraining

Training Process Model

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I. Needs Assessment

1. Organizational Level

2. Job Level

3. Individual Level

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1. Organizational Level Technology change.

Organizational restructuring.

Change in workforce. Marketing Plans.

Productivity measures

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2. Job Level

Job and task analysis.Identify Key areas.

Review procedural and technical manuals.

Design Training Program

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3. Individual LevelDetermine who needs training

and what kind.

Tests.Prior training and

experience.Performance review.Career assessment.

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II. Developing and Conducting Training

1. Determine location and who will conduct the training.

o Onsite facilities vs. offsite.o Inside training staff vs. outside vendors.

2. Develop training curricula.Based on job/task analysis and individual needs.

3. Select training methods.o Considering learning principles.

o Consider appropriateness and cost.

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Formal evaluation: uses observation, interviews, and surveys to monitor training while its going on.

Summative evaluation: measures results when training is complete in five ways:1. Reaction2. Knowledge3. Behavior4. Attitudes5.Productivity

III. Evaluating Training Effectiveness

Training Models System Model Transitional Model Instructional System Development

Model(ISD)

System Model Training

 The system model consists of five phases and should be repeated on a regular basis to make further improvements. The training should achieve the purpose of helping employee to perform their work to required standards. The steps involved in System Model of training are as follows

System Model Training

System Model Training 1.Analyze and identify the training needs - i.e. to analyze

the department, job, employees requirement, who needs training, what do they need to learn, estimating training cost, etc . The next step is to develop a performance measure on the basis of which actual performance would be evaluated.

2. Design and provide training to meet identified needs - This step requires developing objectives of training, identifying the learning steps, sequencing and structuring the contents.

3. Develop - This phase requires listing the activities in the training program that will assist the participants to learn, selecting delivery method, examining the training material, validating information to be imparted to make sure it accomplishes all the goals & objectives.

System Model Training

4. Implementing - is the hardest part of the system because one wrong step can lead to the failure of whole training program.

5.Evaluating - each phase so as to make sure it has achieved its aim in terms of subsequent work performance. Making necessary amendments to any of the previous stage in order to remedy or improve failure practices.

Transitional Model

Transitional Model

Transitional model focuses on the organization as a whole. The outer loop describes the vision, mission and values of the organization on the basis of which training model i.e. inner loop is executed.

Vision - focuses on the milestones that the organization would like to achieve after the defined point of time. A vision statement tells that where the organization sees itself few years down the line. A vision may include setting a role mode, or bringing some internal transformation, or may be promising to meet some other deadlines.

Mission - explain the reason of organizational existence. It identifies the position in the community. The reason of developing a mission statement is to motivate, inspire, and inform the employees regarding the organization. The mission statement tells about the identity that how the organization would like to be viewed by the customers, employees, and all other stakeholders.

Transitional Model Values - is the translation of vision and mission into

communicable ideals. It reflects the deeply held values of the organization and is independent of current industry environment. For example, values may include social responsibility, excellent customer service, etc.

The mission, vision, and values precede the objective in the inner loop. This model considers the organization as a whole. The objective is formulated keeping these three things in mind and then the training model is further implemented

Instructional System Development Model(ISD Model)

 Instructional System Development Model(ISD Model) Instructional System Development model was made to

answer the training problems. This model is widely used now-a-days in the

organization because it is concerned with the training need on the job performance.

Training objectives are defined on the basis of job responsibilities and job description and on the basis of the defined objectives individual progress is measured.

This model also helps in determining and developing the favorable strategies, sequencing the content, and delivering media for the types of training objectives to be achieved.

Instructional System Development Model(ISD Model) The Instructional System Development model comprises of five

stages: 1.ANALYSIS - This phase consist of training need assessment, job

analysis, and target audience analysis. 2. PLANNING - This phase consist of setting goal of the learning

outcome, instructional objectives that measures behavior of a participant after the training, types of training material, media selection, methods of evaluating the trainee, trainer and the training program, strategies to impart knowledge i.e. selection of content, sequencing of content, etc.

3. Development - This phase translates design decisions into training material. It consists of developing course material for the trainer including handouts, workbooks, visual aids, demonstration props, etc, course material for the trainee including handouts of summary

Instructional System Development Model(ISD Model) 4. Execution - This phase focuses on logistical

arrangements, such as arranging speakers, equipments, benches, podium, food facilities, cooling, lighting, parking, and other training accessories.

5. Evaluation - The purpose of this phase is to make sure that the training program has achieved its aim in terms of subsequent work performance. This phase consists of identifying strengths and weaknesses and making necessary amendments to any of the previous stage in order to remedy or improve failure practices.