organizational changes 5

Copyright © 2005 Prentice-Hall

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Chapter 18Managing Organizational ChangeChapter 18Managing Organizational Change

Management: A Skills Approach, 2/eManagement: A Skills Approach, 2/eby Phillip L. Hunsakerby Phillip L. Hunsaker


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Learning ObjectivesLearning Objectives

• Appreciate the Necessity of Managing Change

• Recognize What Causes Change

• Identify Targets for Change

• Plan and Implement Change

• Recognize and Overcome Resistance to Change

• Lead the Planned Change Process


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Why is it Important to Adapt to Why is it Important to Adapt to Change?Change?

Why is it Important to Adapt to Why is it Important to Adapt to Change?Change?

• Individuals, teams, or organizations that do not adapt to change in timely ways are unlikely to survive.


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Adapting to ChangeAdapting to ChangeAdapting to ChangeAdapting to Change

• Individuals, teams and organizations that recognize the inevitability of change, learn to adapt to it, and attempt to manage it, will be the most successful.


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What is Change?What is Change?What is Change?What is Change?

• Coping process of moving from a unsatisfactory present state to a desired state


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Reacting to ChangeReacting to ChangeReacting to ChangeReacting to Change

• Unplanned

• “Fire fighting”


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Planned ChangePlanned ChangePlanned ChangePlanned Change

• Results from deliberate attempts by managers to improve organizational operations


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Unfreeze

Change

RefreezeThree Phases of Three Phases of Planned ChangePlanned Change


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UnfreezingUnfreezingUnfreezingUnfreezing

• Help people accept that change is needed because the existing situation is not adequate


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ChangingChangingChangingChanging

• Involves rearranging of current work norms and relationships to meet new needs


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RefreezingRefreezingRefreezingRefreezing

• Reinforces the changes made so that the new ways of behaving become stabilized


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Managing the Planned Change Managing the Planned Change ProcessProcess


• Improving the organization’s ability to cope with unplanned changes that are thrust upon it

• Modifying employee’s attitudes and behaviors to make them more effective contributors to the organization’s goals


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Steps in the Planned Change Steps in the Planned Change ProcessProcess

Steps in the Planned Change Steps in the Planned Change ProcessProcess

Recognize the need for change

Diagnose and plan change

Manage thetransition

Measure resultsMaintain change


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Initiating the Planned Change Initiating the Planned Change ProcessProcess

Initiating the Planned Change Initiating the Planned Change ProcessProcess

• Recognize the need for change

• Diagnose and plan change

• Formulate Goals

• Determine stakeholders’ needs

• Examine driving and restraining forces


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Force-Field AnalysisForce-Field AnalysisForce-Field AnalysisForce-Field Analysis

• Process of analyzing the forces that drive change and the forces that restrain it


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Driving ForcesDriving Forces Driving ForcesDriving Forces

• Factors that push toward the new, more desirable status quo


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Restraining ForcesRestraining Forces Restraining ForcesRestraining Forces

• Factors that exert pressure to continue past behaviors or to resist new actions


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Force-Field Analysis ModelForce-Field Analysis ModelForce-Field Analysis ModelForce-Field Analysis Model

Restraining Forces

Driving Forces

Quasi-StationaryEquilibrium


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• Consider contingencies to determine the best interventions

• Manage the transition

• Measure results

• Maintain change


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Targets for Organizational ChangeTargets for Organizational ChangeTargets for Organizational ChangeTargets for Organizational Change

• Strategy – Develop new visions, missions, strategic plans

• Structure – Add a new department or division, or consolidate two existing ones

• People – Replace a person or change knowledge, skills, attitudes, or behaviors

• Technology – upgrade a data processing system

• Management –Encourage participation by those involved in solution of problems


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Reasons for Resistance to Reasons for Resistance to ChangeChange

Reasons for Resistance to Reasons for Resistance to ChangeChange

• Selective Perception• Lack of Information• Fear of the

Unknown• Habit

• Resentment Toward the Initiator

• Sub-Optimization• Structural Stability


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Overcoming Resistance to Overcoming Resistance to ChangeChange

Overcoming Resistance to Overcoming Resistance to ChangeChange

• Education and Communication• Participation and Involvement• Facilitation and Support• Negotiation and Agreement• Manipulation and Co-optation• Coercion• Promote Positive Attitudes Toward Change


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Leading Organizational ChangeLeading Organizational ChangeLeading Organizational ChangeLeading Organizational Change• Establish a Sense of Urgency• Form a Powerful Guiding Coalition• Develop a Compelling Vision and Strategy• Communicate Widely• Empower Others to Act on the Vision• Generate Short-term Wins• Consolidate Gains and Create Greater

Change• Institutionalize Changes in the Organizational

Culture