1Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc.

Chapter 13Managing Change and Innovation

2Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc.

What is Change? Alterations in people Alterations in structure Alterations in technology

3Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc.

Categories of Change (Exhibit 13-1)

STRUCTUREAuthority relationshipsCoordinating mechanismsJob redesignSpans of control

PEOPLE

AttitudesExpectationsPerceptionsBehaviour

TECHNOLOGY

Work processesWork methodsEquipment

4Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc.

External Forces of Change Marketplace Government laws and regulations Technology Economic

5Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc.

Internal Forces of Change Corporate strategy The workforce Technology and equipment Employee attitudes

6Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc.

The “Calm Waters” Metaphor

Unfreezing Changing Refreezing

Lewin’s Three-Step Process

7Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc.

Lack ofStability

The “White-Water Rapids”

Metaphor

Lack ofPredictability

VirtualChaos

ConstantChange

8Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc.

Entrepreneurs and Change Context facing entrepreneurs is

dynamic change Opportunities and problems Entrepreneur acts as catalyst

9Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc.

Resistance to Change

Fear of losingsomething

of value

IndividualResistance

Belief that changeIs not good fororganization

Fear ofunknown

10Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc.

Reducing Resistance to Change Education and communication Participation Facilitation and support Negotiation Manipulation and co-optation Coercion

11Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc.

Organization Development

Planned, long-term, organization-wide change initiative that focuses

on values and beliefs

12Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc.

Stressors

PersonalPersonalityFamilyFinances

OrganizationalTask demandsRole demandsInterpersonalStructureLeadershipSTRESS

13Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc.

Ways to Reduce Stress

Proper match of employees to job Clear expectations Employee assistance programs Wellness programs

14Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc.

What IsCreativity?

Combining new ideas in unique ways or making unusual connections

What IsInnovation?

Process of taking creative idea and making into a useful product, service, or method of operation

15Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc.

CharacteristicsCharacteristicsof anof an

InnovativeInnovativeCultureCulture

AmbiguityAmbiguity

ExternalExternalControlsControls

ImpracticalImpractical

RiskRiskConflictConflict

OpenOpenSystemsSystems

Ends/MeansEnds/Means

16Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc.

Entrepreneurs and Innovation Key characteristic Supportive culture Need to be able to do something with

ideas