MANAGEMENT OF

CHANGE
AND
DIVERSITY OF
ORGANIZATIONS
DEFINITION
OF
TERMS
 ORGANIZATIONAL CHANGE

• Alteration of people,
structure, or technology in
organizations brought by
external and internal forces
which they encounter.
 ORGANIZATIONAL diversity

• The host of individual

differences that make people
in organizations different
from and similar to each
other.
Types of
changes
 Changes in people

• People’s attitudes, values,

wants and needs, expectations,
perceptions, and behavior
change as time goes by. But
changing them for the better is
not easy to do.
 Changes in people

• In order to address this need

for change, organizational
development (OD) techniques
are used.
 Changes in people

• OD is used to describe
organizational change methods
related to people, their nature, and
the quality of their interpersonal
relationship as they work and
collaborate with each other.
 Changes in structure
• Due to changing conditions/situations
and changing strategies used,
organizational structures may also
change according to work specialization,
departmentalization, change of
command, span of control,
centralization, formalization, and job
redesign, among others.
 Changes in technology
• Technology changes usually refer to
changes in work processes and methods
used, introduction of new equipment
and work tools, automation, or
computerization. Competitive factors or
innovations in industries require
administrators of companies to consider
such technological changes.
 Changes in technology
• Computerization is the most popular
example of technological change. With
the use of computer networks, large
amounts of data can be stored,
retrieved, and utilized in many different
ways—from the simple keeping of
employees’ records to controlling
complex equipment.
 Changes in technology
• Both large and small companies now use
the Internet to transact business, hence
the rise of e-commerce as standard
practice in many firms. It has also
created a new group of workers called
“virtual workers” who work from their
homes or elsewhere
Managing
Resistance
to Change
 Managing Resistance to
Change
• Change is considered by many
organization members as a
threat. It is common for people
to fear changing the status quo,
even if doing so might bring
beneficial effects.
 Managing Resistance to
Change
• The possible reasons for this fear of
change are uncertainty, concern
about personal loss, pessimism, the
belief that it will have negative
effects on the organization, and
change in their habitual practices,
among others.
 Managing Resistance to
Change
• The possible reasons for this fear of
change are uncertainty, concern
about personal loss, pessimism, the
belief that it will have negative
effects on the organization, and
change in their habitual practices,
among others.
The following are
required to
manage resistance
to change:
 Education
• Employees have to be
educated regarding the
reasons for and the
relevance of change.
 Participation
• Allow organization
members to participate in
decision-making related to
bringing change in their
company.
 Facilitation and
support
• Facilitate and provide new
skills training and
counselling for employees
to minimize their fear of
change.
 Manipulation of
information
• Withhold damaging
information about change
to make it acceptable to
organization members.
Selection of people
• Select people who are open
to change to help disseminate
the beneficial effects of
change, resistance to change
is lessened.
 Coercion
• The use of direct threats or
force to make people accept
change; however, this method is
perceived as a form of bullying,
so it is used only when
extremely necessary.
New Issues in
Change
Management
 Understanding
Situational Factors
• Waiting for the
appropriate time and
situation is suggested
when bringing change in
organizations.
 Understanding
Situational Factors
• For example, the induction of
new administrators/leaders is a
good time to introduce changes
in the organization’s strategies,
policies, and core values.
 Understanding
Situational Factors
• Employees may show less
resistance to change because
they may perceive their new
leaders as more capable of
responding to their needs and
the organization’s needs.
 Understanding
Situational Factors
• Employees may show less
resistance to change because
they may perceive their new
leaders as more capable of
responding to their needs and
the organization’s needs.
 Understanding
Situational Factors
• A big financial crisis in the
organization could trigger a clamor
for change. In this situation, there
would be less resistance to the
acceptance of new investment,
marketing, and human resource
policies.
 Making
Changes in
Organization
al Culture
 Making Changes in
Organizational Culture
• Change in organizational culture
cannot be done easily because it
is highly valued and ingrained
among the firm’s members. Thus,
this must be done slowly to avoid
violent resistance.
 MARY K. COULTER

Stephen robbins
 Making Changes in
Organizational Culture
• Set the tone through
management behavior—
top managers, particularly,
need to be positive role
models.
 Making Changes in
Organizational Culture
• Create new stories,
symbols, and rituals to
replace those currently
in use.
 Making Changes in
Organizational Culture
• Select and promote
employees who adapt
the new values.
 Making Changes in
Organizational Culture
• Redesign socialization
processes to align with
the new values.
 Making Changes in
Organizational Culture
• Change the rewards
system to encourage
acceptance of new
values.
 Making Changes in
Organizational Culture
• Replace unwritten
norms with clearly
specified
expectations.
 Making Changes in
Organizational Culture
• Shake up current
subcultures through job
transfers, job rotation,
and/or termination.
 Making Changes in
Organizational Culture
• Work to get consensus
through employee
participation and create a
climate with a high level of
trust.
Managing
Workplace
Diversity
 Managing
Workplace Diversity
• Workforce diversity in
organizations is inevitable. It is a
fact that organization members
may differ in age, gender, physical
ability, ethnicity/race, culture,
values, attitudes, beliefs, and
personality.
 Managing
Workplace Diversity
• Since workgroup diversity is
associated with positive and
negative outcomes, managers
must try to reduce the potential
negative effects of diversity
through:
 Managing
Workplace Diversity
a.) Encouraging employees to
accept the organization’s culture
or its dominant values.
b.) Encouraging employees to
accept differences in the
workplace.
 Managing
Workplace Diversity
• These, in turn, may be
accomplished by training in order to
improve the inherent negative
relationship regarding a workgroup’s
diversity or between its deep level
values and the organization’s culture
and dominant values.
 Managing
Workplace Diversity
•Training can also be used
to help employees
understand demography
differences.
 Managing
Workplace Diversity
• Other ways to handle
workplace diversity is by
creating support groups that
can help employees ease the
tensions of working in diverse
groups
 Managing
Workplace Diversity
and reducing unconscious
stereotyping related to
associating low performance
to women, the disabled, or
some ethnic group members.