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MGF3621: Organisational Change

Essay Preparation

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Assignment 1

•Individual Essay•Due week 8 on the Monday 5pm - Moodle•Worth 30%•3,000 words•7 Journal Articles •APA Referencing

•TAKE A POSITION

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Question

Some theorists/authors have recently suggested that traditional organisational development (i.e. emphasising internal factors at the group and interpersonal levels and focusing on issues such as empowerment, team building, conflict, management, etc.) is no longer relevant to change management, particularly given the current turbulent environment in which business operate.

Critically discuss this statement, drawing on • theoretical perspectives, • research evidence and • business examples

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Breaking it Down

• What did the question say?– OD is no longer relevant– Due to the turbulent business environment– Do you agree?

– Use theory– Past research– Current business examples

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Two Broad Approaches to Change

Organisational Development

• spawned from human relations movement

• bottom-up• focus on the present, change

process & targets• focus on people – group dynamics,

leadership, communication• leverage from feedback loops• Interventions – human relations

(Johari window, team building, empowerment etc)

• About developing people & organisations

• Issues with Strategic Management apparent lack of regard for & understanding of people

Strategic Management

• spawned from business policy (operations, finance, marketing)

• top-down• focus on the future, goals &

stakeholders• focus on structure, function &

motivation• leverage from goal attainment• Interventions - downsizing,

business process re-engineering, restructuring, communications

• About driving change to achieve individual & organisational gaols

• Issue with OD apparent lack of pragmatism, process focus & internal perspective

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Turbulent Business Environment

• GFC• Globalisation• European debt crisis• Stronger Australian Dollar• Exports and Imports• Sustainability • CSR• Government Regulation

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Is OD Relevant?

• People based approach• Can be time consuming • Can be lengthy• Little focus on the future

• People are the most important resource • Don’t we need workers to work harder and smarter during

these times• Focuses on the here and now, ensuring we are changing to

the environment

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Relevant Theory

• Look in the lecture slides• Look in your readings

• You can draw from anything that is relevant– Change Typologies – Lewin’s Change Model– Four Change Strategies– This was just from me opening up the Week 2 lecture

slides

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Business Examples

• Ross has used some in the lectures• If you are arguing how important OT is – google

downsizing!• If you are arguing against OT – google downsizing!

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Structure

• Introduction– Introduction into the topic (business environment)– What will the essay discuss (position)

• A definition of OT and OD?• 3-5 key reasons as to why you are arguing your

point – all in separate paragraphs• Conclusion

– Restate the point

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Marks

•Focus – Make sure every paragraph adds to your argument

•Integration– Make sure there is a logical red line from one idea to

the next•Understanding and Insight– Have you demonstrated that you understand the

concepts by integrating differing opinions not just he said she said

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Marks

•Reference to Appropriate Theories and Models– Is the theory you are using relevant or have you just

explained Lewin’s model for 2 pages for no reason?•Definitions– Are you able to define any key terms that are used in

your essay (i.e. OT and OD)•Presentation– Does it look and sound like a 3rd year essay

•References– 7 references at least in the APA format and are they

quality references

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Difference in Marks

•F – Can talk about OD and OT but offers little analysis and just regurgitates the textbook.•P – Had a clear contention and some good reasons why OD is / isn't relevant. Doesn’t do much else.•C – Identifies the theories and identifies business change but

doesn’t have the skill to make a link between the two.•D – Outstanding analysis and understanding OD/OT and good business examples. •HD – I learnt something from reading the essay. It was interesting and thought provoking. Strong use of theory and business examples.

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Difference in Marks

•F – OD is no longer relevant because of the GFC. Because of the GFC organisations need to downsize.•P – As the GFC affected organisations bottom lines, and severe cuts to disposable income, organisations needed to respond quickly to remain solvent. Therefore, downsizing was one tactic undertaken.•C – Drawing from Narayanan & Nath’s theory of planned change, organisations affected by falling bottom lines from the GFC can adapt via OT interventions. An intervention is downsizing. Downsizing was used by Qantas….•D – OT has replaced OD as the most relevant form of planned change in the modern turbulent environment. This has occurred as OT has a greater focus on the organisation and the bottom line that that of OD which primary focus is on people. Structural interventions have started to emerge in order to adapt to the changing global environment.

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Difference in Marks

•HD – The current business environment has developed as such that the pressure on organisation change interventions has resulted in a shift of thinking. In planning change, managers have started to focus on structural interventions in order to align the structure of the organisation with the organisational goals. From a

theoretical perspective, OT has become more relevant than OD. To illustrate this point, Qantas have moved from an OD model of planned change, (example) to a OT model (example) in order to compete in the current environment.