Organizational Change

Change
Change
 Change is an inevitable aspect of life.
 Organizations need capacity to adapt quickly.
 People are focus of most serious challenges.
 Large scale changes often incur significant problems
and challenges.
 Changes can be brought about by managers, non
managers, employees or an outside consultants
Organizational
Organizational Change
Change
 Organizational change is a structured approach in an
organization for ensuring that changes are smoothly
and successfully implemented to achieve lasting
benefits. In the modern business environment,
organizations face rapid change like never before.
Change
Change management
management
 Change management is an approach to
transitioning individuals, teams, and organizations to
a desired future state. In some project management
contexts, change management refers to a project
management process wherein changes to a project
are formally introduced and approved.
Major
Major Factors
Factors Affecting
Affecting the
the
Success
Success of
of Change
Change
Advocates
Advocates of
of Change
Change
 Person leading change program is often most
important force for change.
Internal or external OD practitioners may be
brought in to assist.
Degree
Degree of
of Change
Change
 Is change minor or major?
The greater the degree of change, the more
difficult it is to implement and vice versa.
Time
Time Frame
Frame
 Greater chance of success if change is gradual
and in longer time frame.
Some organizations only chance for survival
depends on radical change introduced swiftly.
Impact
Impact on
on Culture
Culture
 The greater the impact on existing culture, the
greater the resistance and difficulty to implement
change.
Evaluation
Evaluation on
on Culture
Culture
 Standards of performance developed to measure
change and impact on organization.
Changes
Changes on
on Organizational
Organizational Level
Level
 Policies.
 Procedures.
 Organization structures.
 Manufacturing processes.
 Work flows.
Change
Change model
model
Quadrant
Quadrant 11
 Minor change, minor impact on culture.
 Resistance will be at lowest level and success will be
most probable.
Quadrant
Quadrant 22
 Minor change, major impact on culture.
 Some resistance can be expected.
Quadrant
Quadrant 33
 Major change, minor impact on culture.
 Some resistance is likely.
 Good management can probably overcome it.
Quadrant
Quadrant 44
 Major change, major impact on culture.
 The greatest resistance can be predicted.
 The probability of success is low.
Forces
Forces for
for Change
Change
Force Examples
Nature of the workforce More cultural diversity
Aging population
Many new entrants with inadequate
skills

Technology Faster, cheaper, and more mobile

computers

Economic shocks Rise and fall of dot-com stocks

2000–02 stock market collapse
Record low interest rates

Competition Global competitors

Mergers and consolidations
Growth of e-commerce
Forces
Forces for
for Change
Change

Force Examples

Social trends Internet chat rooms

World politics Iraq–U.S. war

Opening of markets in China
War on terrorism following
9/11/01
Managing
Managing Planned
Planned Change
Change

Change Goals
GoalsofofPlanned
Planned
Making things different Change
Change
Improving
Improvingthe
theability
abilityofof
the
theorganization
organizationtotoadapt
adapt
Planned Change totochanges
changesininits
its
Activities that are environment
environment
intentional and goal Changing
Changingthethebehavior
behaviorofof
oriented individuals
individualsand
andgroups
groupsinin
the
theorganization
organization
Restraining
Restraining Forces
Forces Blocking
Blocking
Implementation
Implementation of
of Change
Change
 Uncertainty regarding change.
 Fear of unknown.
 Disruption of routine.
 Loss of benefits.
 Threat to security.
 Threat to position power.
 Redistribution of power.
 Disturb existing social networks.
 Conformity to norms and culture.
Change
Change agent
agent
 persons who act as catalysts and assume the
responsibility for managing change are called change
agents.
Factors
Factors that
that help
help change
change agent
agent
Some of the things which will help him are:
 A real need in the client system to change.

 Genuine support from management.

 Setting a personal example: listening, supporting behavior.

 A sound background in the behavioral sciences.

 A working knowledge of systems theory.

 A belief in man as a rational, self-educating being fully

capable of learning better ways to do things.
Resistance to change
Definitions
Definitions of
of resistance
resistance to
to change
change
 “Resistance to change is an incomplete to change”.
Bridges
 “Resistance is a valuable passion, which can be
channeled more constructively”.
Weisbord
 “Resistance is the obstacle in the organization's
structure”.
Kotter
 “Resistance is protection ,energy and paradox”.
Maurer
 Resistance to change is normal and even beneficial.
It must be expected and acknowledged, and people's
concerns must be listened to and responded to.
 Here is a handy little formula that we can refer to that
will allow us to deal with resistance positively and
effectively.
D x V x F = R, where:
D = Dissatisfaction
V = Vision
F = First (or next) steps
R = Resistance to change
 This says that Dissatisfaction, Vision and First
Steps are all necessary in order to overcome
Resistance to change.
Forms
Forms of
of Resistance
Resistance to
to Change
Change
– Overt and immediate
• Voicing complaints, engaging in job actions
– Implicit and deferred
• Loss of employee loyalty and motivation, increased
errors or mistakes, increased absenteeism
Sources
Sources of
of Individual
Individual Resistance
Resistance to
to Change
Change
Sources
Sources of
of Organizational
Organizational Resistance
Resistance to
to
Change
Change
Life
Life Cycle
Cycle of
of Resistance
Resistance to
to Change
Change
The response to change tends to move through a
life cycle of 5 phases:

 Phase 1.
• Only few people who see need for
change.
• Resistance appears massive.
Phase
Phase 2.
2.
• Forces for and against change become
identifiable.
• Change more thoroughly understood.
• Novelty of change tends to disappear.
Phase
Phase 3.
3.
• Direct conflict and showdown between
forces.
• This phase probably means life or death
to change.
Phase
Phase 4.
4.
• Remaining resistance seen as stubborn.
• Possibility that resisters will mobilize
support to shift balance of power.
Phase
Phase 5.
5.
• Resisters to change are as few and as
alienated as were advocates in first
phase.
Overcoming
Overcoming Resistance
Resistance to
to Change
Change

Tactics
Tacticsfor
fordealing
dealingwith
withresistance
resistance
to
tochange:
change:
•• Education
Educationand
andcommunication
communication
•• Participation
Participation
•• Facilitation
Facilitationand
andsupport
support
•• Negotiation
Negotiation
•• Manipulation
Manipulationand
andcooptation
cooptation
•• Selecting
Selectingpeople
peoplewho
whoaccept
acceptchange
change
•• Coercion
Coercion
Strategies
Strategies to
to Lessen
Lessen Resistance
Resistance to
to
change
change
 Education and communication.
 Create a vision.
 Participation and involvement of members.
 Facilitation and support.
 Negotiation and agreement.
References
References
 www.wikipedia.com
 www.Chron.com
 www.Business dictionery.com
 Change management
- Radha R Sharma
Questions
Questions ??
Thank
Thank You
You