Change problem ; Features of organizational change; Importance of change ; Reasons / factors leading to organizational change ; Change process ; Kurt Lewin's Model of change process ; Bringing organizational change; Rolf Smith's seven levels of change model

1. Change Process
By
Dr. Vijay Kr Khurana

2. What is Change ?
• “ It is not the strongest of the species that
survive, nor the most intelligent; but the
most responsive to change.”
• “ The quality of a successful man is to flow
and not to freeze” – Ralph Waldo Emerson.
What is Organizational Change ?

3. What is Change Problem?
• At the heart of change management lies the change
problem, that is, some future state to be realized,
some current state to be left behind, and some
structured, organized process for getting from the
one state to the other state.
• At a conceptual level, the change problem is a
matter of moving from one state (A) to another
state (B).
• In simpler terms, the change problem can be
treated as smaller problems having to do with the
how, what, and why of change.
• a. Change as a 'How’ Problem b . Change as a
‘What’ Problem c. Change as a ‘Why’ Problem

4. Nature / Features / Characteristics of
Organizational Change
• Change makes things different
• Change is inevitable
• Change is usually an ongoing activity
• Change results from factors both inside and
outside the organization
• Change offers new opportunities and poses new
challenges
• Change takes place in all parts of an organisation
• Change takes place at varying rates in different
parts of an organization.

5. Nature / Features / Characteristics of
Organizational Change
Contd …
• Changes take place at different levels of an
organization
• Change may be both planned & unplanned
• The rate of change may be slow or fast.
• The quantum / magnitude of change may be
of First Order (Incremental) or Second
Order (Radical).
• Organizational changes are not always
uniform.

6. Importance of Change
• Change brings risk and uncertainties, which,
if not managed properly, may lead to huge
costs to the organization or even collapse of
the organization
• Change sometimes bring challenges without
which life and business activities may
become monotonous and repetitive.
• Change may bring new business
opportunities
• Change sometimes brings new threats which
act as stimuli for improvements

7. Importance of Change
Contd …
• Change process may be used by the organizations to
move from current state of business operations to
next higher state of business operations.
• Change process may enable the organization to
abandon some negative cultural values, some
outdated & obsolete practices and methods etc.
• Change process can be used to raise motivation viz.
by creating desire to support and participate in the
change
• Change process may lead to more satisfaction
through improvement in worker skills and more
worker participation

8. Types of Organizational Change
a. Planned Change (intentional or goal oriented) and
Unplanned Change (accidental)
b. Fast Change and Slow Change ( in terms of rate of
change)
c. First Order Change (incremental) and Second
Order Change (fundamental or radical) in terms of
magnitude / quantum

9. Causes / Reasons / Factors for
Organizational Change
a. External Factors: some factors are:
• Change in Government Policies
• Technological Advancement / Progress in external
environment
• Change in demographic characteristics
• Market changes
• Change in economic conditions – boom vs recession
• Increase in raw material / input costs
• Social Pressures etc.

10. Causes / Reasons / Factors for
Organizational Change
b. Internal Factors: some factors are:
• Change in leadership
• Structural reorganization
• Adoption or Implementation of new technology
• Decline in profitability
• Productivity concerns
• Industrial Relation Problems etc.

11. 10 Major Forces of Change in Current Era
• Demographic Changes
• Political Stability - demand for social justice,
inclusive growth
• Environmental issues
• Health Care issues - medical tourism etc
• Tech & Innovation – breakthrough & disruptive
technologies / innovation
• Economic Transformation – globalization, open &
inter-connected economies
• Education & Awareness
• Rising needs for Infrastructure
• Safety and Security
• Balance of Power- Have vs have-nots, Developed vs
Developing countries, North vs south

12. What is Change Process?
• It is the process which changes the
state or which results in change
• Change process as “Unfreezing, Changing
& Refreezing”
• Change process as problem solving &
problem finding

13. Kurt Lewin’s Model of Change Process
• Also known as Unfreeze-Change – Refreeze
Model
• Lewin suggested following three steps for
ensuring successful change

14. Kurt Lewin’s Model of Change Process
1. Unfreeze – change efforts to overcome the
pressures of resistance to change. Driving
forces for change need to be greater than
restraining forces working for status quo.
Following steps need to be taken:
• Determine what needs to be done
• Ensure there is strong support from upper
management
• Create the need for change
• Understand & Manage doubts & concerns

15. Kurt Lewin’s Model of Change Process

16. Kurt Lewin’s Model of Change Process
contd …
2. Change – moving to new state. Following steps need to
be taken:
• Communicate often
• Dispel rumours
• Empower action
• Involve people in the process
3. Refreeze – Stabilizing the change; making new
change permanent. Following steps need to be
taken:
• Anchor the changes into culture
• Develop ways to sustain the change
• Provide support & training
• Celebrate success

17. Bringing Organizational Change
a. Diagnosing the Organizational capability to
change
b. Formula for Change
c. Bringing change - Seven Levels of Change Model

18. Bringing Organizational Change
a. Diagnosing the Organizational capability to change
• Before initiating change process, it is very
important to diagnose / assess the organizational
capability to change.
• If it is not assessed / diagnosed, then, at later
stages, change process may go out of control,
leading to huge costs to the organization.
Following parameters can be used to diagnose / assess
organizational capability to change: -----
• Organization culture
• Vision for future
• Commitment of top management

19. Bringing Organizational Change
a. Diagnosing the Organizational capability to change
Contd ....
• Risk taking attitude of top management
• Risk taking capabilities of the organization
• Degree of flexibility in organizational systems and
overall working
• Effective communication
• Strong leadership
• Pool of dedicated managers and senior executives
• Commitment, motivation and participation of
workforce
• Convergence of organizational goals and individual
goals

20. Bringing Organizational Change
b. Formula for Change
• The formula for change was developed by Richard
Beckard and and David Gleicher. It is sometimes
referred to as Gleicher’s formula.
• The Gleicher’s formula stresses that the
combination of organisational dissatisfaction,
vision for the future and the possibility of
immediate, tactical action must be stronger than
the resistance within the organisation in order for
meaningful change to occur.
• Driving forces must be > restraining forces

21. Bringing Organizational Change
Modified / Rectified Model
c. Bringing change – Rolf Smith’s Seven Levels of Change
Model
• Level 1: Increasing Effectiveness—Doing The Right
Things
• Level 2: Improving Efficiency—Doing Things Right
• Level 3: Enhancing—Doing Things Better
• Level 4: Cutting or Abandoning the Unnecessary Things –
viz Product simplification
• Level 5: Copying / Imitation — i.e Doing Things which
Other People are Doing – viz Copying / Imitation, Reverse
engineering, Benchmarking
• Level 6: Doing Different — Doing Things No One Else is
Doing – Re-engineering
• Level 7: Doing Impossible—Doing What Cannot be Done -
some Breakthrough- a revolutionary or shocking
departure from convention

22. Change Process
By
Dr. Vijay Kr Khurana