Impact of values on the change process.

1. Organizational Development
PRESENTED TO:
MA’AM MARIA ISHTIAQ
PRESENTED BY:
IMAMA GUL
NIDA GHANI
SYED USMAN
SAMI ULLAH

2. Values and Organizational
Change

3. Impact of Values on the Change Process
Values
Change
Institutional Theory

4. Organizational Values
• Organizational values are the core beliefs held by an individual or
groups regarding means and ends, organization ought to or should
identify in the running of the enterprise. (Enz – 1988)
• Values underpin the way in which organizations are designed and
operated.

5. Organizational Change
• Organizational change is the movement of an organization from
one state of affairs to another. Organizational change can take
many forms. It may involve a change in a company's structure,
strategy, policies, procedures, technology, or culture.

6. Institutional Theory
• Institutional theory is an approach to understanding organizations
and management practices as the product of social rather than
economic pressures. It has become a popular perspective within
management theory because of its ability to explain organizational
behaviors that defy economic rationality.

7. History/ Literature Review

8. Institutional Theory, Values and
Organizational Change
• DiMaggio and Powell (1991), suggested that recent developments in
institutional theory are more concerned with the persistence of structures and
systems than transformation.
• Dougherty (1994), suggested that institutional theory contains an excellent
basis for an account of change.
• Greenwood and Hinings (1996), said that institutional theory has been weak
in analyzing the dynamics of transition process but it does offer insights that
can contribute to a more complete understanding of organizational change.
The insights refers to the role of values in organizational change.

9. Canadian Amateur Sport Organization
(National Sports Organizations)

10. Nature of Change
• Transitional Change – Alteration with in an archetypal design
• Transformational Change – Moving from one archetype to another
• Planned, Episodic, 2nd Order Change
• Re-Creation type of change (Reactive+Radical)
• External Pressure
• Resistance

11. Radical Transformation Propositions
• Strong coercive pressures play an important role in initiating changes in
organizations in which the dominant value structure is proposed to the
prescribed changes.
• As coercive pressures are relaxed, organizations will change to a form more
compatible with the values held in within the organization.
• The greater the congruence between the values held by the organizational
members and the prescribed changes at the start of the change process, the
faster the transition will take place.

12. Continue…
• A radical transformation will not be possible in an organization with an elite
value structure inconsistent with the prescribed changes.
• A radical transformation will only be possible if the dominant value set held
by the non elite members of the organization are consistent with the
prescribed changes.
• Some organizations will adopt prescribed changes ceremonially while
functioning in accordance with the value structure held with in organization.

13. Continue…
• An organization that has undergone a radical transformation will
enter a period of relative calm.

14. Important Features of National Sport Organizations
Transformation
Planned Changes
Radical Changes
Transformational Changes

15. Kurt-Lewin Change Model
• Unfreezing
• Moving
• Refreezing

16. Research
• Conducted between 1984 and 1996
• From 35 NSO’s
• Collected data on entire population
• Conducted in most turbulent time
• First year intense pressure on NSO’s
• 1980 transformation needed

17. Best-Ever Program
• Introduced in 1983
• Initiated to bring radical change
• Improvement of elite-level performance
• Funds raised from CND$ 5.5 to 24.4 million
• Program extended to 1984
• 9 million allocation for summer sports

18. Government Emphasis on Values
• Ben Johnson tested positive for anabolic steroid stanazolol
• Drug taking was prevalent
• Emphasis on high performance downgraded
• redefine cultural values of sports (emphasis on ethics)
• Reduced budget due to economic depression

19. Organizational Archetypes
• Archetypes can be used to identify the underlying values and cultural norms that are
present in an organization
• For understanding the nature of change kikulis investigated change in Olympic
NSOs between 1984 and 1988 is particularly relative. Kikulis and her colleagues
uncovered 3 archetypes
• Kitchen table
• Boardroom
• Executives office

20. Data Collection
Data Sets
Two data sets collected independently,
• One to gain insight into structural
change the NSOs were
experiencing
• Other to capture the values held
within the organization
Data Collection Methods
• Official reports on sport, released
by government agencies were
reviewed
• Interviews conducted with
individuals responsible for sports
within federal and provincial
government
• Published result on Canadian sports
was analyzed.

21. Seven Main Values
• Institutionally approved set of values
• High performance
• Government involvement
• Organizational rationalization
• Professionalization
• Planning
• Corporate involvement
• Quadrennial plan

22. Findings
• Qualitative and quantitative data
• Thorough analysis on high performance
• Detailed report was repaired by combination of professional staff and
volunteer directors
• Reports detailed organizations structures, program staff and volunteer roles
and pattern of decision making
• To fill gaps interviews were conducted
• 175 interviews conducted each interview followed standard format
• Open ended questions were asked
• 90 minuets interview

23. Construction of Archetypes
• The structural dimensions used to develop Archetypes are
specialization, standardization and centralization.
• Specialization was done for the volunteers, professional and support
staff.
• The level of standardization was measured by using 5 scale, each
consist of 4 and 10 items.
• The degree to which centralization was measured was of 4 scales

24. Results
On the basis of Propositions

25. Role of Coercive Pressure in instigating
Change
• Coercive pressures played a significant role in initiating change in the
National Sports organizations although they had value structures that
opposed the transitional change.
• 85% of NSO’s moved toward change due to coercive pressure.

26. Consequences of Relaxing Coercive Forces
• Relaxing coercive pressure can have both positive and negative consequences,
depending on the situation and the specific pressure being relaxed.
• In this case, when coercive pressures were high NSO’s were moving towards
more bureaucratic and professional system i.e., 1984-1988
• And when coercive pressures were relaxed most of the NSO’s reverted back to
informal designs i.e., 1988-1996

27. Value Congruence and Pace of Change
• Organizations with greater value commitment to the proposed changes would alter
more quickly than those with a lower commitment.
• The standardized findings proved that NSOs which reoriented in 1984 held values
that were oriented towards a more professional and bureaucratic design,
• While those NSO’s which oriented lately in 1992(and onwards) or failed to reorient
were less oriented towards professional and bureaucratic design.
• Greater the congruence between the dominant value commitment of organization
and the prescribed changes, easier and successful will be the radical changes.

28. Elite Values and Organizational Change
• A radical transformation will not be possible in an organization with an elite
value structured inconsonant with the prescribed changes.
• Three of the four organizations that reoriented between 1992 and 1996 had an
elite value structure congruent with the prescribed change.
• This supports Fligstein's(1991) contention that change could only occur when
it was in the interest of those in power to make the transformations.

29. Non-Elite Values and Organizational
Change
• A radical transformation will only be possible if the dominant value set held
by non elite organization members is consistent with the prescribed changes.
• 85% NSO’s moved towards transformational change only because the non-
elite values were aligned with the prescribed transformational change i.e.,
1992-1996.

30. Ceremonial Conformity
• Some organizations will adopt prescribed changes ceremonially while
functioning in accordance with the value structure held within the
organization.
• More than half of the NSO’s from 1884 and onwards adopted the prescribed
change but did not changed their traditional values and operating principles
which created a gap between the formal and technical parts of the
organization.

31. Aftermath of Radical Transformation
• The last proposition is that organizations enter into periods of stability
following radical transformations.
• NSO’s after achieving a legitimate design in 1996 came into a period of
stability while those who failed to reorient were consistently pressurize to
reorient.

32. Conclusion
• Few organizations achieve the end points envisaged at the start of the change
program without some modification; those that do generally experience
delays, conflict, and changes in personnel along the way.
• The contention we make here is that the nature of this reaction will depend on
how closely the values held by individuals within an organization coincide
with the changes being proposed. If they are similar, the change will be
supported; if they are not, then it is likely that some form of resistance will be
enacted .

33. Continue…
The utility of this article lies in directly relating the impact of different values to
the transformation process. In particular, it brings a longitudinal perspective that
provides useful insight into what is a dynamic process. This study reports on
change in one particular field