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Week 6
Chapter 10
Models of
Organizational Change
Models of
Organizational Change
 Change is constant as organizations evolve
  and age, especially as we move further into
  this new millennium.
 Organizations must organize for continuous
  change to become flexible and adapt quickly
  to environmental changes
    Mergers
    Layoffs
    Job redefinitions
Models of
Organizational Change
                                 Start
                                  up
Kimberly & Miles |
Hannan & Freeman –
80’s
                             Organizational
                     Decay                    Growth
                               Life Cycle




                               Harvest
Models of
Organizational Change
 The natural life cycle of an organization might
 include:
   Start-up– company develops a market and
    creates systems and procedures
   Growth – clients relationship are developed and
    the size of the company grows
   Harvest – the company serves existing customers
   Decay stage – the services become less relevant
    to the marketplace and the firm eventually folds
    or is bought by another company.
Models of
Organizational Change
 Other models look at planned change
   Implementation not simple
   Disseminate information about the
    change
   Integrate changes into the day-to-day
    operations of the organization
Models of
Organizational Change
 Model of planned change (Connor &
 Lake, 1994)
   Involve a number of different types of
    change
    (individual, behavior, organizational, process
    es)
   It is accomplished using different methods
    (technical, structural, managerial)
Models of
Organizational Change
 Schools introducing the new
 method for teaching reading
 because of the national
 standard No Child Left
 Behind initiative
   Changes in the school
    population
   New developments in
    elementary school
Models of
Organizational Change
 School‟s culture, textbooks, lesson plans,
 community involvement and pressure make the
 change complicated.
Models of
Organizational Change
 Many organizational
  practitioners are concerned with
  ways of managing change and
  don‟t support the idea of just
  letting the organizational life
  cycle take its course.
 Successful organizations are
  those that initiate
  change, respond to change, plan
  change and implement change
  as an ongoing way of life.
Reactions to
Organizational Change
 Management support for the change
  process is critical
    Senior management has the most
     impact on change
    When senior management don‟t backup
     the change, change effort is not
   successful
 Ownership tension
Reactions to
Organizational Change
 Another area of concern in the change
 process is the resistance to change.
   Change can threaten the organizational
    culture of a workplace
     Company's core values

     Mission

     Work environment
Reactions to
Organizational Change
           Employees gain a
            sense of group
            identity and belonging
            from organizational
            culture.
           Fear is natural.
Reactions to
Organizational Change
 Resistance to Change
   Behavior that prevent
   the implementation or
   use of a system to
   prevent systems
   designers from
   achieving their
   objectives.
Reactions to
Organizational Change
 Reasons for Resistance
  to change
   Ignorance of a
    change initiative
   Inadequate training
   Fear
Reactions to
Organizational Change
 Another reaction to change is the
  uncertainty of organizational members
 because of
   Stress
   Anxiety
   Defense mechanism
Communication in the
Change Process
 Communication and Information
   The best ways to deal with
   uncertainty and anxiety.
Communication in the
Change Process
 Employees prefer having negative
  information to having no information about
 organizational change.
How do communication activities
translate into meaningful
coordinated strategy?
 Assessment - to understand the territory
 before taking action, and especially to identify
 interests
   What are their key beliefs and values?
    (cognitive)
   What is their emotional state? (emotional)
   What are they willing to do and why?
    (intentions, interests)
Case Study
How do communication activities
translate into meaningful
coordinated strategy?
 Assessment - to understand the territory before taking
 action, and especially to identify interests
   Evaluate the existing communication system
     What are the existing channels of communication?

     What are the communicative goals for each
      channel?
     What types of messages are typically transmitted
      in these channels?
     What is the target audience for each channel?
SMART Goal
 To educate 100% of employees about the
  state of the business, by January, 2012 at
 a cost of $3,000.
Strategies for Communicating
about Change
 Clampitt, DeKoch, and Cashman
 (2000) proposed communication
 strategies that management can use
 in communicating about change to
 employees.
Strategies for Communicating
about Change
 Spray & Pray: Executives shower
  employees with all kinds of
  information, hoping that employees will
  be able to sort out the significant from
  insignificant
 Tell & Sell: Executives communicate a
  more limited set of messages, first
  telling employees about the key
  issues, then selling them on the wisdom
  of their approach.
Strategies for Communicating
about Change
 Underscore & Explore: Executives focus
 on developing a few core messages
 clearly linked to organizational success,
 while actively listening for potential
 misunderstandings and unrecognized
 obstacles.
 Identify & Reply: Executives identify key
 employee concerns and then reply to them.
Strategies for Communicating
about Change
 Withhold & Uphold: Executives
 withhold information until necessary.
 Secrecy and control are the implicit
 values of this strategy.
Strategies for
Communicating about
Change
 The Spray and Pray strategy creates the
  illusion that everyone is informed.
 Spray and Pray and Withhold and Upload are
  least effective.
 The Tell & Sell strategy demonstrates the
  (cheer) leader‟s enthusiastic endorsement of
  an initiative. But, no one ever asks for
  employee feedback or checks to see if the
  message was understood.
Strategies for Communicating
about Change
 The Underscore & Explore strategy is the
  most effective strategy.
    It addresses fewer issues and explores
     employee interpretations.
    It has the added benefit of creating
     dialogue around a few core concepts
   that have the greatest potential to
   transform the organization.
Tactics to Implement Strategies
 Repetition & Redundancy
   Repeating a slogan while varying the
    examples increases the likelihood to
    hear, remember and act on a similar
    message: Moving forward, We try harder
   Repetition also help to break the
    resistance.
       Car license
        tags, acronyms, conferences, newsletter
        s, employee stories
Tactics to Implement Strategies
 Opinion Leaders
   Identify a leader who serves
   a vital role in the social
   structure of employees
    Provides insight and
     expertise
    Clarify opinions for others
    Help the group make sense
     of the organizational life
    set the norms for acceptable
     and unacceptable behavior
Tactics to Implement Strategies
 Select the right Communication Channels
   Build new channels into the system to allow for the
    routine and systematic discussion of key issues.
     Channels of communication, and the way they
      are used, influence how messages are
      interpreted.
     The channel choice symbolizes „importance‟.
     When announcing major changes, leaders should
      use multiple channels because it increases the
      probability employees will hear key messages.
Tactics to Implement Strategies
 Use “rich” channels, such as face-to-face
  meetings, to allow for rapid feedback and quick
  adaptation to employee concerns.
 Provoke Dialogue – a meaningful dialogue
  promotes deeper commitment to the leader‟s
  ideas, purpose or mission.
Tactics to Implement Strategies
 Check the pulse
   A survey to identify employee
    concerns
   A Pulse Report with a summary of the
    findings
   A “Talking Points” document, which is
    a summary for managers, outlining
    how executives think about the issues
    drawn from the current Pulse. This
    serves as the basis for the updates
    managers provide to their employees.
1.




Organizational Crisis
 Organizational crisis evolves in three stages
  1.    Precrisis – prevent or prepare for possible problems
        Have a crisis management plan and update it at least
         annually.
        Have a designate crisis management team that is
         properly trained.
        Conduct exercise at least annually to test the crisis
         management plan and team.
        Pre-draft select crisis management messages including
         content for dark web sites and templates for crisis
         statements. Have the legal department review and
         pre-approve these messages.
1.




Organizational Crisis
 2.       Crisis – there is a trigger that can damage the
          reputation of organizations; there is uncertainty
           Avoid the phrase “no comment” because people think
            it means the organization is guilty or try to hide
            something.
           Present information clearly by avoiding jargon or
            technical terms. Lack of clarity makes people think
            the organization is purposefully being confusing in
            order to hide something.
1.




Organizational Crisis
     Appear pleasant on camera by avoiding nervous
      habits that people interpret as deception.
     Brief all potential spokespersons on the latest crisis
      information and the key message points the
      organization is trying to convey to stakeholders.
Organizational Crisis
 3.   Postcrisis – communication focuses on determining
      responsibility, or apologizing and establishing systems
      to deal with similar crisis in the future.
         Deliver all information promised to stakeholders as
          soon as that information is known.
         Keep stakeholders updated on the progression of
          recovery efforts including any corrective measures
          being taken and the progress of investigations.
         Analyze the crisis management effort for lessons
          and integrate those lessons in to the organization‟s
          crisis management system.
Organizational change

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Organizational change

  • 3. Models of Organizational Change  Change is constant as organizations evolve and age, especially as we move further into this new millennium.  Organizations must organize for continuous change to become flexible and adapt quickly to environmental changes  Mergers  Layoffs  Job redefinitions
  • 4. Models of Organizational Change Start up Kimberly & Miles | Hannan & Freeman – 80’s Organizational Decay Growth Life Cycle Harvest
  • 5. Models of Organizational Change  The natural life cycle of an organization might include:  Start-up– company develops a market and creates systems and procedures  Growth – clients relationship are developed and the size of the company grows  Harvest – the company serves existing customers  Decay stage – the services become less relevant to the marketplace and the firm eventually folds or is bought by another company.
  • 6. Models of Organizational Change  Other models look at planned change  Implementation not simple  Disseminate information about the change  Integrate changes into the day-to-day operations of the organization
  • 7. Models of Organizational Change  Model of planned change (Connor & Lake, 1994)  Involve a number of different types of change (individual, behavior, organizational, process es)  It is accomplished using different methods (technical, structural, managerial)
  • 8. Models of Organizational Change  Schools introducing the new method for teaching reading because of the national standard No Child Left Behind initiative  Changes in the school population  New developments in elementary school
  • 9. Models of Organizational Change  School‟s culture, textbooks, lesson plans, community involvement and pressure make the change complicated.
  • 10. Models of Organizational Change  Many organizational practitioners are concerned with ways of managing change and don‟t support the idea of just letting the organizational life cycle take its course.  Successful organizations are those that initiate change, respond to change, plan change and implement change as an ongoing way of life.
  • 11.
  • 12. Reactions to Organizational Change  Management support for the change process is critical  Senior management has the most impact on change  When senior management don‟t backup the change, change effort is not successful  Ownership tension
  • 13. Reactions to Organizational Change  Another area of concern in the change process is the resistance to change.  Change can threaten the organizational culture of a workplace  Company's core values  Mission  Work environment
  • 14. Reactions to Organizational Change  Employees gain a sense of group identity and belonging from organizational culture.  Fear is natural.
  • 15. Reactions to Organizational Change  Resistance to Change  Behavior that prevent the implementation or use of a system to prevent systems designers from achieving their objectives.
  • 16. Reactions to Organizational Change  Reasons for Resistance to change  Ignorance of a change initiative  Inadequate training  Fear
  • 17. Reactions to Organizational Change  Another reaction to change is the uncertainty of organizational members because of  Stress  Anxiety  Defense mechanism
  • 18. Communication in the Change Process  Communication and Information  The best ways to deal with uncertainty and anxiety.
  • 19. Communication in the Change Process  Employees prefer having negative information to having no information about organizational change.
  • 20. How do communication activities translate into meaningful coordinated strategy?  Assessment - to understand the territory before taking action, and especially to identify interests  What are their key beliefs and values? (cognitive)  What is their emotional state? (emotional)  What are they willing to do and why? (intentions, interests)
  • 22. How do communication activities translate into meaningful coordinated strategy?  Assessment - to understand the territory before taking action, and especially to identify interests  Evaluate the existing communication system  What are the existing channels of communication?  What are the communicative goals for each channel?  What types of messages are typically transmitted in these channels?  What is the target audience for each channel?
  • 23. SMART Goal  To educate 100% of employees about the state of the business, by January, 2012 at a cost of $3,000.
  • 24. Strategies for Communicating about Change  Clampitt, DeKoch, and Cashman (2000) proposed communication strategies that management can use in communicating about change to employees.
  • 25. Strategies for Communicating about Change  Spray & Pray: Executives shower employees with all kinds of information, hoping that employees will be able to sort out the significant from insignificant  Tell & Sell: Executives communicate a more limited set of messages, first telling employees about the key issues, then selling them on the wisdom of their approach.
  • 26. Strategies for Communicating about Change  Underscore & Explore: Executives focus on developing a few core messages clearly linked to organizational success, while actively listening for potential misunderstandings and unrecognized obstacles.  Identify & Reply: Executives identify key employee concerns and then reply to them.
  • 27. Strategies for Communicating about Change  Withhold & Uphold: Executives withhold information until necessary. Secrecy and control are the implicit values of this strategy.
  • 28. Strategies for Communicating about Change  The Spray and Pray strategy creates the illusion that everyone is informed.  Spray and Pray and Withhold and Upload are least effective.  The Tell & Sell strategy demonstrates the (cheer) leader‟s enthusiastic endorsement of an initiative. But, no one ever asks for employee feedback or checks to see if the message was understood.
  • 29. Strategies for Communicating about Change  The Underscore & Explore strategy is the most effective strategy.  It addresses fewer issues and explores employee interpretations.  It has the added benefit of creating dialogue around a few core concepts that have the greatest potential to transform the organization.
  • 30. Tactics to Implement Strategies  Repetition & Redundancy  Repeating a slogan while varying the examples increases the likelihood to hear, remember and act on a similar message: Moving forward, We try harder  Repetition also help to break the resistance.  Car license tags, acronyms, conferences, newsletter s, employee stories
  • 31. Tactics to Implement Strategies  Opinion Leaders  Identify a leader who serves a vital role in the social structure of employees  Provides insight and expertise  Clarify opinions for others  Help the group make sense of the organizational life  set the norms for acceptable and unacceptable behavior
  • 32. Tactics to Implement Strategies  Select the right Communication Channels  Build new channels into the system to allow for the routine and systematic discussion of key issues.  Channels of communication, and the way they are used, influence how messages are interpreted.  The channel choice symbolizes „importance‟.  When announcing major changes, leaders should use multiple channels because it increases the probability employees will hear key messages.
  • 33. Tactics to Implement Strategies  Use “rich” channels, such as face-to-face meetings, to allow for rapid feedback and quick adaptation to employee concerns.  Provoke Dialogue – a meaningful dialogue promotes deeper commitment to the leader‟s ideas, purpose or mission.
  • 34. Tactics to Implement Strategies  Check the pulse  A survey to identify employee concerns  A Pulse Report with a summary of the findings  A “Talking Points” document, which is a summary for managers, outlining how executives think about the issues drawn from the current Pulse. This serves as the basis for the updates managers provide to their employees.
  • 35. 1. Organizational Crisis  Organizational crisis evolves in three stages 1. Precrisis – prevent or prepare for possible problems  Have a crisis management plan and update it at least annually.  Have a designate crisis management team that is properly trained.  Conduct exercise at least annually to test the crisis management plan and team.  Pre-draft select crisis management messages including content for dark web sites and templates for crisis statements. Have the legal department review and pre-approve these messages.
  • 36. 1. Organizational Crisis 2. Crisis – there is a trigger that can damage the reputation of organizations; there is uncertainty  Avoid the phrase “no comment” because people think it means the organization is guilty or try to hide something.  Present information clearly by avoiding jargon or technical terms. Lack of clarity makes people think the organization is purposefully being confusing in order to hide something.
  • 37. 1. Organizational Crisis  Appear pleasant on camera by avoiding nervous habits that people interpret as deception.  Brief all potential spokespersons on the latest crisis information and the key message points the organization is trying to convey to stakeholders.
  • 38. Organizational Crisis 3. Postcrisis – communication focuses on determining responsibility, or apologizing and establishing systems to deal with similar crisis in the future.  Deliver all information promised to stakeholders as soon as that information is known.  Keep stakeholders updated on the progression of recovery efforts including any corrective measures being taken and the progress of investigations.  Analyze the crisis management effort for lessons and integrate those lessons in to the organization‟s crisis management system.