SlideShare a Scribd company logo
1 of 54
Download to read offline
OVERVIEW OF CHANGE MANAGEMENT
CHAPTER THREE
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Change Leaders Vs Status quo Managers
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Questions!!!
 What is change?
 What is organizational
change?
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
3.1. Meaning And Implication
 Change means making things
different.
 Organizational change - is
the movement of an
organization away from its
present state and toward some
desired future state to increase
its efficiency and
effectiveness.
 It is the alteration of an
organization’s structure,
culture, technology, or
people.
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
• Organizations can be
viewed in four different
ways
1. Organizations as machines
2. Organizations as political
systems
3. Organizations as organisms
4. Organizations as flux and
transformation
Metaphors
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Organizations as machines
• If all the parts are properly constructed and connected and
force applied in the right place and right direction then the
machine will start to move and continue to move.
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
2. Organizations as political systems
• Midst a human system, competing forces and pulls on scarce
resources, different players have different degrees of power.
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
3. Organizations as organisms
• Organizations composed of a number of internal
subsystems (structural, human, managerial,
informational) operating in an external environment.
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
4. Organizations as flux and transformation
• It is a place that has form and movement but events which
cannot be predictable that lead to equilibrium or
disequilibrium.
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Paradigm of change
• de Caluwé and Vermaak (2004)
have categorized approaches to
change in a somewhat different
way:
– Blue – change through design
– Yellow – change through
addressing interests
– Red – change through people
– White – change through
emergence
– Green – change through learningAbdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Change through design
• Involves careful planning and detailed analysis
before the change happens.
• links with the machine metaphor
• If the initial analysis done well it will produce the
outputs that we want.
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Change through addressing interests
• Recognizing that there are winners and losers in
all change situations and address the different
wants and needs of the various stakeholders.
• Aligned to the political metaphor.
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Change through people
• Change is predominately done through people,
and for the successful outcome it will need to
have addressed the concerns of people, engaged
with them in order for new attitudes, skills and
behaviours.
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Change through emergence
• Creating the conditions for change to occur without
specifying the exact nature of the changes.
• Drawing on the flux and transformation metaphor.
• What is required is an enabling environment, people
to make sense of what is happening, and to spot
where the organizational energy is and take steps to
removing hindrances and obstacles.
• Perhaps requiring a leap of faith, this approach is
based around the belief that systems will self-
organize and, even in the midst of chaos, order and
evolution will occurAbdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Change through learning
• is concerned with change happening as a direct
result of learning (individual and team learning,
learning organization).
• The key focus is on creating the environment
necessary for individuals and teams to acquire the
necessary knowledge, skills and experience and
how collectively the organization can embed any
new knowledge for sustained performance.
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
3.2. Forces for Organizational Change
 In general there are two main forces drive
organizations toward change: internal and external
forces.
3.2.1. External Forces for Organizational Change
A. Customer demand: Needs and expectations….
B. Intense Competition: quality, cost & market….
C. Technology: Computer based Manufacturing…
D. Reduction of Government Regulations: trade
barriers, privatization…..
E. Social Change: cultural changes, education level..Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Forces....Cont’d
3.2.2. Internal Forces
a) Changes in the managerial personnel:
b) Certain deficiencies in the existing system:
Unmanageable span of control, Lack of
coordination between the departments…
c) Certain other forces: like changes in machinery,
equipment, procedures, working standard…
3.2.3. The Domino Effect
Another main source of changes is the change
itself.
Change has become pervasive and persistent.Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
• Developed by Beckhard and Harris (1987) :
C = [D x V x FS] > R
where:
C is the change that will occur;
D is the level of dissatisfaction with the status quo;
V is the desirability of the proposed change, the end state or vision;
FS is the first practical steps of the change; and
R is the resistance to change.
• if there is very little dissatisfaction with the status
quo, or if there is no compelling vision, or if there is
no clearly understandable plan then momentum is
unlikely to build
Change formula
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
• Dissatisfaction with the status quo: felt need to
change- either because something right now is
causing discomfort, or something looming will.
• Vision, mission & direction towards the end
state: it’s an excellent tool for orientating the
organization and starting the process of change.
• Factors added later: Believability, Capability, and
capacity (the resources available).
Change formula
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Force field analysis
• As part of Lewin’s model you need to unfreeze
the current situation, make the changes and then
refreeze the organization.
• Starting from the premise that any given present
situation represents equilibrium between forces
driving change and forces resisting change, which
are in tension (i.e. a force field) the point is to
identify those forces, their direction, nature and
strength, and how they can be modified.
• This is an effective tool in change situations as it
helps picture ‘the whole’ system at play.Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Cont’d
• When you start taking the first steps to increase the
driving forces and reduce the restraining forces you will
get movement towards the end state.
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Stages to the process
1. Make a clear statement about
where you want to be or your
outcome
2. Identify and list all those
elements that are driving
forces, and restraining forces
3. Analyse each of the forces
4. Develop a detailed action plan
with target dates
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
From - To analysis
• It is a technique designed to help bring into
focus the possible consequences and actions
resulting from adopting one strategy rather than
another.
• It helps to simplify strategic choices in the
change process to enable clear business
decisions to be evaluated and taken.
• It primarily contrasts existing and potential
future characteristics of the organization and
encourages evaluation of the consequences of
alternative actions.
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
1. Assessing the Need for Change:
Recognize the problems and sources of
the problem/s
2. Decide On the Change to Make:
Decide & plan what the organization’s
ideal future. Identifying sources of
resistance and how to overcome them.
3.Implementing the Change: introduce
and manage the change using Top down
change(used for restructuring and
downsizing) and Bottom up change
(more gradual and evolutionary).
4. Evaluating the Change: Evaluate how
successful the change effort has been in
improving organizational performance.
3.3. Process of Organizational Change
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
3.4. Resistance to change
• Is employee behavior that block the
change process.
• Remember a motto, ‘If it ain’t broke,
don’t fix it’
• These people value what currently is,
especially if it works.
• Others, may genuinely be alerting you to
the fact that the proposed changes won’t
work.
• There are two fundamental anxieties–
the anxiety to survive set against the
anxiety of whether they will be able to
learn the new ways of doing things.Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Forms of Resistance to Change
– Overt and immediate
• Voicing complaints, engaging in
work slowdown
– Implicit and deferred
• Loss of employee loyalty and
motivation, increased errors or
mistakes, increased absenteeism
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Sources of Organizational Resistance to Change
Organizational sourceIndividual source
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Variables of Resistance To Change
A. Intensity: Resistance intensity can be varying from
strong to week or somewhere in between, overt,
implicit, immediate, or deferred.
B. Sources: includes facts (circulated through the
grapevine inaccurately), beliefs, and values.
C. Focus: there are three major focuses of resistance:
self (What will I gain or loss?), others (friends, peers,
and colleagues), and the work environment (job and
physical setting and climate)
Generally people resist change for a variety of reasons,
some of which include: Maintain the status quo,
Uncertainty, Learning anxiety, and Fear.
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Individuals’ Reactions to Change
+ Positives
Enthusiasm
Opportunity
Challenge
Excitement
New skills
New knowledge
Reward
Fulfilment
Survival
New start
Creates options
Learning experience
Motivation
- Negatives
Fear
Anxiety
Shock
Distrust
Anger
Stress
Resentment
Confusion
Uncertainty
Demotivation
Depression
Loss of self-esteem
Loss of identity
- Negatives
Loss of peer group
Letting go
Saying goodbye
Distraction
Family disruption
Insomnia
Conflict
Politics
Stubbornness
Critical reactions
Mutiny
Disown/Block
Misunderstanding
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Reasons for Adverse Reactions to Change
• Loss of job
• Reduction of career prospects
• Down grading of work
• Effects in pay
• Loss of status - “empires”
• Reduction in responsibility or job interest
• Need to learn new skills
• New and unknown bosses
• New and known (!) bosses
• Break up of established work groups
• Transfer to new, unknown (known!) locations or
departments
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Stakeholder interests
• In mobilizing people for change it is crucial to use
the stakeholder analysis to inform how you will
manage and communicate with them.
• Stakeholder analysis can look at stakeholders from
perspectives of;
1. The level of power, energy, interest and commitment.
2. The impact that the change will have on them.
3. The levels of trust and agreement we have with them.
• The purpose in establishing these things is to be
able to accomplish your aims of successful change
whilst at the same time being mindful of the wants
and needs of other communities of interest.
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Stakeholder mapping
Observers
Informing/
empowering
Key players
Involving
Crowd
Ignoring
Bystanders
Encouraging
Power to Influence
Low
High
Level of
interest
High
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Stakeholders classification
Low
Sleepers
• Can’t be
bothered about
the change.
• Just not
interested, or
maybe they are
not aware of it.
Preachers (LE/HC)
• People in positions of power, Committed
yet for some reason.
• Might have unforeseen negative impact on
perceptions about the change
Willing workers (LP/HC)
• Committed to the change.
• Affected by the change or they may be
onlookers.
Blockers
• Obstruct or
prevent the
change
happening in
some way
Sponsors (HP/HC)
• Nominated sponsors for this change
Champions (HE/HC)
• Advocators & well implementers of change.
• Have specific power, authority & role
• Middle managers wanting change.
highPower/Energylow
Commitment high
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Blockers (high energy/low commitment and
high power/low commitment-
• Key questions to ask:
– What are their
motivations?
– What is their legitimacy?
– What are their
arguments?
– What is their source of
power?
– What is their source of
energy?
Possible strategies
• winning the arguments
• reducing their power
and energy
• circumventing their
power
• escalating to a higher
authority or
• engaging them in
dialogue
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
The impact/influence matrix
Low
• The change agents tend to
minimize the attention to
those in the low impact/low
influence quadrant.
• Who are in positions of power
but not affected by the change
personally or professionally.
• Guardians or watchdogs
outside the organization but
have potential to influence on
behalf of others.
• Majority of changes
recipients located.
• When they come together
they can be a real force.
• Some involvement required
• Communication &
engagement are important
• Critical to the success of the
change.
• Not just be looking for approval
or token support but high
degrees of ownership.
• Active engagement
highImpactlow
Influence high
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Trust/agreement matrix
Low
Adversaries (enemies)
• You don’t know they are
against you unless you tried
to engage them & your
attempts at negotiating ag’t
and trust have failed.
• you are in the worst possible
position to exert influence
with them
Opponents
• They could be on the other
side of the political divide.
• Engage in dialogue with them
to sharpen your views,
arguments, and unearth any
faults or failures in the plan;
and bringing them around to
your view.
Bedfellows (fair-weather
friends)’
• Supportive of the change but
unsure how long they will
support the change.
Allies
• Onside with what you are
trying to achieve.
• Treat them as a friend/valued
colleague & sustain the
relationship
HighAgreementlow
Trust high
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
• Change only happens when survival anxiety
is greater than learning anxiety.
• You can increase the survival anxiety by
threatening people with loss of jobs or
valued rewards, or you can decrease learning
anxiety by creating a safer environment for
unlearning and new learning.
• A key process in managing resistance to
change is to establish where you think
resistance is and to discover what the views
of these people are.
• Let them inform your choices and your
designs.
• A key question to ask is, how might we use
this information to reduce the restraining
forces or fine tune the change plan itself?
3.5. Managing Resistance To Change
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Managing Resistance To Change
 Education/Communication
 Develop a positive climate for
change
 Encourage interest in improvement
 Give facts
 Involve employees
 Provide support
 Avoid direct confrontation
 Negotiation and agreement
 Use power
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
The change or transitions curve
• Different people will go along the curve at different
speeds and different groupings of people will go
through it in different time periods.
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Stages explained
• Shock: peoples shocked which resulting in a numbness.
expressed as ‘the walking wounded’.
• Denial: They haven’t been able to take in the news or the
consequences and it’s somehow easier to pretend to
themselves that it hasn’t actually happened.
• Anger: When individuals allow feelings about their
circumstances to arise. They feel anger, blame, irritation and
frustration.
• Fear: Anger, blame, irritation and frustration can be replaced
by feelings of anxiety and being panic.
• Depression: The anxieties can run their course, and leave a
sense of depression and perhaps apathy.
• Understanding: Gradual realization that you have to continue
with your life.
• Acceptance: looking outward and acknowledge that the past is
over and there becomes an acceptance that something else
needs to be done.
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Strategies for moving through the change curve
Description
• Characterized by a sense of
disbelief and non-acceptance
of the change and maybe
‘proving’ to oneself that it
isn’t happening and hoping
that it will go away
• ‘Let’s keep our heads down;
we don’t need these changes;
perhaps they’ll go away’
Strategy
• Attempt to minimize
shock
• Give full and early
communication of
intentions,
possibilities and
• Overall direction
(shock, numbness & denial)
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Blame, anxiety and depression
Description
• Getting angry that you find in this
situation, blaming self, blaming
others
• Attempting to avoid the inevitable
• Getting anxious about whether
you’ll survive or be exposed as
incompetent
• Hitting the lows and responding
(or being unresponsive) with
apathy or sadness
• ‘I don’t want this to work; I don’t
think I’m up to it or up for it; and I
don’t want to be part of it’
Strategy
• Listen, empathize, offer
support, protection
• Do not suppress conflict and
expression of difficult views
or emotions
• Recognize how change can
trigger past experiences in
individuals
• Try not to take others’
reactions personally
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Acceptance
Description
• The reality of the situation
is accepted
• ‘I guess those things have
gone for ever; I wonder
whether the changes will
work
Strategy
• Help others complete
• Allow others to take
responsibility
• Encourage
• Create goals
• Coach
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Exploration
Description
• The idea arrives that perhaps
there are things ‘out there’
• Perhaps some of these
changes might be worth at
least thinking about. Perhaps
you might just ask to see the
job description of that new
job
• ‘Maybe these changes are
working; perhaps I could try
something on for size; maybe
I could contribute’
Strategy
• Encourage risk taking
• Exchange feedback
• Set up development
opportunities
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Optimism, learning and integration
Description
• ‘things aren’t as bad as you
imagined, the company was
telling the truth about the
new opportunities and a
better way of working’
• ‘It’s not so bad after all;
they’re definitely working; I
enjoy contributing’
Strategy
• Discuss meaning and
learning
• Reflection
• Overview of experience
• Celebrate success
• Prepare to move on…
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
3.6. Planned Organizational Change
Is the intentional attempt by an
organization to alter its status
quo (present position) and move
to the desired one.
Is essential element to growth.
Through planned changes
Organizations reach new frontiers
and progress move rapidly toward
given set of goals and objectives.
Decide in advance why change is
necessary, for what purpose, what
to change and how to achieve the
desired change.
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
A. Lewin’s Three Step Change Model
Argued that successful change
in an organization should follow
three steps:
– Unfreezing
• The phase in which a situation is
prepared for change and felt needs
for change are developed.
– Changing
• The phase in which something new
takes place in the system, and
change is actually implemented.
– Refreezing
• The phase of stabilizing the change
and creating the conditions for its
long-term continuity.
3.6.1. Approaches to Manage Planned Organizational Change
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
B. Action Research Approach
 Based on systematic collection of data and then selection of a
change action based on what the analyzed data indicates.
 Meaningful change is a combination of action oriented (changing
attitude and behavior) and research oriented (testing theory).
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
C. Lessier’s Change Model
 This model consists of five steps:
Step1: Define Change: clearly state what the change is.
Step 2: Identify Possible Resistance to the Change:
determine the intensity, source, and focus of possible
resistance to the change.
Step 3: Plan The Change: plan the change
implementation. Use the appropriate supervisory
style for the situation.
Step 4: Implement Change: This Step Has Three
Parts: Give facts, Involve employees, and Provide
support:
Step 5: Control The Change: follow up to ensure that
the change is implemented, reinforced, and maintained.
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
D. Appreciate Inquiry Approach
 Tries to break out of the problem-solving mentally by
framing relationships around the positive and the
possible.
 Directs attention away from the group’s own problem
and focuses participants on the group’s potential &
positive elements.
 Involves the following steps:
Discovery
Identifying
the best of
“what is”
Dreaming
Envisionin
g “what
might be”
Designing
Engaging in
dialogue
about “what
should be”
Delivering
Developing
objectives
about “what
will be”
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
E. Parallel learning Structure Approach
 Are highly participative arrangements, composed
of people from most levels of the organization
who follow the action research model to produce
meaningful organizational change.
 They are social structures developed alongside
the formal hierarchy with the purpose of
increasing the organization’s learning.
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
3.7. Strategies for Planned Organizational
Change
1. Create a favorable environment: an environment of trust and
shared commitment
2. Define a set of goals: a framework to measure the progress.
3. Establish what cannot be changed: identify the
bedrocks/fundamental principles that the employees can always
depend on as they work their way through the change process.
4. Create a change plan: plan about the change.
5. Move decisively and with speed: to decide quickly with
confidence.
6. Communicate with employees: decision about the change
should be communicated to employees.
7. Employee motivation: employ different kinds of motivation to
successfully implement the change.
8. Create favorable organization and methods: create favorable
environment in which employees cooperated with top
management bodies Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan
Abdella kosa, Department of
Entrepreneurship and Business
Management, Kotebe Metroplitan

More Related Content

What's hot

Factors Affecting Organisational Structure
Factors Affecting Organisational StructureFactors Affecting Organisational Structure
Factors Affecting Organisational StructureSonali Subhadarshini
 
Employee involvement participation
Employee involvement participationEmployee involvement participation
Employee involvement participationPriyanka Gandigude
 
Trends In Mgmt Nw
Trends In Mgmt NwTrends In Mgmt Nw
Trends In Mgmt Nwjim
 
QUALITY CIRCLE IN CONSTRUCTION COMPANY-OVERVIEW FOCTORS
  QUALITY CIRCLE IN   CONSTRUCTION COMPANY-OVERVIEW FOCTORS  QUALITY CIRCLE IN   CONSTRUCTION COMPANY-OVERVIEW FOCTORS
QUALITY CIRCLE IN CONSTRUCTION COMPANY-OVERVIEW FOCTORSkarikalan murugasen
 
Organizational behaviour
Organizational behaviourOrganizational behaviour
Organizational behaviourLamech Franklin
 
Understanding Business Excellence
Understanding Business ExcellenceUnderstanding Business Excellence
Understanding Business ExcellenceSeta Wicaksana
 
Organizational culture
Organizational culture Organizational culture
Organizational culture Prachi Singla
 
Report on Kotter's Change Model
Report on Kotter's Change ModelReport on Kotter's Change Model
Report on Kotter's Change ModelUjjwal Joshi
 
Case studies
Case studiesCase studies
Case studieskinnarie
 
Note of Organizational Behavior HRMT 5210
Note of Organizational Behavior HRMT 5210Note of Organizational Behavior HRMT 5210
Note of Organizational Behavior HRMT 5210Rashna Maharjan
 
The 3 Rs - Redundancy, Restructure and Reorganisation
The 3 Rs - Redundancy, Restructure and ReorganisationThe 3 Rs - Redundancy, Restructure and Reorganisation
The 3 Rs - Redundancy, Restructure and ReorganisationPure Employment Law
 
Relationship Between Performance, Effectiveness & Efficiency
Relationship Between Performance, Effectiveness & EfficiencyRelationship Between Performance, Effectiveness & Efficiency
Relationship Between Performance, Effectiveness & EfficiencyRezaul Kabir
 
Opm101 chapter1
Opm101 chapter1Opm101 chapter1
Opm101 chapter1joadrian1
 
Chapter 4 leading change and innovation
Chapter 4 leading change and innovationChapter 4 leading change and innovation
Chapter 4 leading change and innovationMohsin Akhtar
 
Analysing The Role Of Leadership and Management Style on the Performance of E...
Analysing The Role Of Leadership and Management Style on the Performance of E...Analysing The Role Of Leadership and Management Style on the Performance of E...
Analysing The Role Of Leadership and Management Style on the Performance of E...www.assignmentdesk.co.uk
 

What's hot (20)

Effectiveness and Efficiency
Effectiveness and EfficiencyEffectiveness and Efficiency
Effectiveness and Efficiency
 
Factors Affecting Organisational Structure
Factors Affecting Organisational StructureFactors Affecting Organisational Structure
Factors Affecting Organisational Structure
 
Employee involvement participation
Employee involvement participationEmployee involvement participation
Employee involvement participation
 
Mgt 312 final exam
Mgt 312 final examMgt 312 final exam
Mgt 312 final exam
 
Trends In Mgmt Nw
Trends In Mgmt NwTrends In Mgmt Nw
Trends In Mgmt Nw
 
QUALITY CIRCLE IN CONSTRUCTION COMPANY-OVERVIEW FOCTORS
  QUALITY CIRCLE IN   CONSTRUCTION COMPANY-OVERVIEW FOCTORS  QUALITY CIRCLE IN   CONSTRUCTION COMPANY-OVERVIEW FOCTORS
QUALITY CIRCLE IN CONSTRUCTION COMPANY-OVERVIEW FOCTORS
 
Organizational behaviour
Organizational behaviourOrganizational behaviour
Organizational behaviour
 
Understanding Business Excellence
Understanding Business ExcellenceUnderstanding Business Excellence
Understanding Business Excellence
 
Organizational culture
Organizational culture Organizational culture
Organizational culture
 
Report on Kotter's Change Model
Report on Kotter's Change ModelReport on Kotter's Change Model
Report on Kotter's Change Model
 
Case studies
Case studiesCase studies
Case studies
 
Note of Organizational Behavior HRMT 5210
Note of Organizational Behavior HRMT 5210Note of Organizational Behavior HRMT 5210
Note of Organizational Behavior HRMT 5210
 
The 3 Rs - Redundancy, Restructure and Reorganisation
The 3 Rs - Redundancy, Restructure and ReorganisationThe 3 Rs - Redundancy, Restructure and Reorganisation
The 3 Rs - Redundancy, Restructure and Reorganisation
 
Relationship Between Performance, Effectiveness & Efficiency
Relationship Between Performance, Effectiveness & EfficiencyRelationship Between Performance, Effectiveness & Efficiency
Relationship Between Performance, Effectiveness & Efficiency
 
Opm101 chapter1
Opm101 chapter1Opm101 chapter1
Opm101 chapter1
 
Chapter 4 leading change and innovation
Chapter 4 leading change and innovationChapter 4 leading change and innovation
Chapter 4 leading change and innovation
 
Implementing Dr Demings Quality Philosophy Within An It Area
Implementing Dr Demings Quality Philosophy Within An It AreaImplementing Dr Demings Quality Philosophy Within An It Area
Implementing Dr Demings Quality Philosophy Within An It Area
 
1 alternativ ppt
1 alternativ ppt1 alternativ ppt
1 alternativ ppt
 
Analysing The Role Of Leadership and Management Style on the Performance of E...
Analysing The Role Of Leadership and Management Style on the Performance of E...Analysing The Role Of Leadership and Management Style on the Performance of E...
Analysing The Role Of Leadership and Management Style on the Performance of E...
 
Quality circle 2
Quality circle 2Quality circle 2
Quality circle 2
 

Similar to Change Management

Organizational Change and Development - Module 1 - MG University - Organizat...
Organizational Change and Development - Module 1 - MG University -  Organizat...Organizational Change and Development - Module 1 - MG University -  Organizat...
Organizational Change and Development - Module 1 - MG University - Organizat...manumelwin
 
Managing Organisational Change
Managing Organisational ChangeManaging Organisational Change
Managing Organisational ChangeAnirudh Kotlo
 
What is Management of Change?
What is Management of Change?What is Management of Change?
What is Management of Change?timssubscription
 
Towards a new paradigm of ir strategy
Towards a new paradigm of ir strategyTowards a new paradigm of ir strategy
Towards a new paradigm of ir strategyGaurav Singh
 
The theory and practice of change managemen
The theory and practice of change managemenThe theory and practice of change managemen
The theory and practice of change managemenDr. N. Asokan
 
Change management models ebook
Change management models ebookChange management models ebook
Change management models ebookKnowledge Train
 
Organisational change
Organisational changeOrganisational change
Organisational changeSahil Dhanani
 
Management of Change
Management of ChangeManagement of Change
Management of ChangeISAAC Jayant
 
Clange in leadership .. case of pemancar
Clange in leadership .. case of pemancarClange in leadership .. case of pemancar
Clange in leadership .. case of pemancarABV-IIItm , Gwalior
 
chapter 12
chapter 12chapter 12
chapter 12RAJINDAR
 
Managingchange 100628032752 phpapp01
Managingchange 100628032752 phpapp01Managingchange 100628032752 phpapp01
Managingchange 100628032752 phpapp01williamwachira
 
Managing Change: The Role of HR
Managing Change: The Role of HRManaging Change: The Role of HR
Managing Change: The Role of HRElijah Ezendu
 
Entepreneurship presentation
Entepreneurship presentation Entepreneurship presentation
Entepreneurship presentation danish bhatti
 
Organizational Change Management
Organizational Change ManagementOrganizational Change Management
Organizational Change Managementsharean
 
Artk Consulting OCM Change Management
Artk Consulting OCM Change ManagementArtk Consulting OCM Change Management
Artk Consulting OCM Change ManagementArt Krulish
 
Total Quality & Organizational Change
Total Quality & Organizational ChangeTotal Quality & Organizational Change
Total Quality & Organizational ChangeIEEEP Karachi
 
Organization design and development.
Organization design and development.Organization design and development.
Organization design and development.Prisila Perveen
 

Similar to Change Management (20)

Organizational Change and Development - Module 1 - MG University - Organizat...
Organizational Change and Development - Module 1 - MG University -  Organizat...Organizational Change and Development - Module 1 - MG University -  Organizat...
Organizational Change and Development - Module 1 - MG University - Organizat...
 
Managing Organisational Change
Managing Organisational ChangeManaging Organisational Change
Managing Organisational Change
 
What is Management of Change?
What is Management of Change?What is Management of Change?
What is Management of Change?
 
Change Management 4
Change Management 4Change Management 4
Change Management 4
 
Managing Organizational Change Essay
Managing Organizational Change EssayManaging Organizational Change Essay
Managing Organizational Change Essay
 
Towards a new paradigm of ir strategy
Towards a new paradigm of ir strategyTowards a new paradigm of ir strategy
Towards a new paradigm of ir strategy
 
Organizational Change
Organizational ChangeOrganizational Change
Organizational Change
 
The theory and practice of change managemen
The theory and practice of change managemenThe theory and practice of change managemen
The theory and practice of change managemen
 
Change management models ebook
Change management models ebookChange management models ebook
Change management models ebook
 
Organisational change
Organisational changeOrganisational change
Organisational change
 
Management of Change
Management of ChangeManagement of Change
Management of Change
 
Clange in leadership .. case of pemancar
Clange in leadership .. case of pemancarClange in leadership .. case of pemancar
Clange in leadership .. case of pemancar
 
chapter 12
chapter 12chapter 12
chapter 12
 
Managingchange 100628032752 phpapp01
Managingchange 100628032752 phpapp01Managingchange 100628032752 phpapp01
Managingchange 100628032752 phpapp01
 
Managing Change: The Role of HR
Managing Change: The Role of HRManaging Change: The Role of HR
Managing Change: The Role of HR
 
Entepreneurship presentation
Entepreneurship presentation Entepreneurship presentation
Entepreneurship presentation
 
Organizational Change Management
Organizational Change ManagementOrganizational Change Management
Organizational Change Management
 
Artk Consulting OCM Change Management
Artk Consulting OCM Change ManagementArtk Consulting OCM Change Management
Artk Consulting OCM Change Management
 
Total Quality & Organizational Change
Total Quality & Organizational ChangeTotal Quality & Organizational Change
Total Quality & Organizational Change
 
Organization design and development.
Organization design and development.Organization design and development.
Organization design and development.
 

Recently uploaded

4.DEFINITIONANDMANAGEMENTOFINDICATORS IN EN
4.DEFINITIONANDMANAGEMENTOFINDICATORS IN EN4.DEFINITIONANDMANAGEMENTOFINDICATORS IN EN
4.DEFINITIONANDMANAGEMENTOFINDICATORS IN ENGeorgeDiamandis11
 
Achieving Business and Personal Goals with SWOT Analysis
Achieving Business and Personal Goals with SWOT AnalysisAchieving Business and Personal Goals with SWOT Analysis
Achieving Business and Personal Goals with SWOT AnalysisCIToolkit
 
The Role of Histograms in Exploring Data Insights
The Role of Histograms in Exploring Data InsightsThe Role of Histograms in Exploring Data Insights
The Role of Histograms in Exploring Data InsightsCIToolkit
 
Process Charts and Process Sequence Charts: Tools for Process Improvement
Process Charts and Process Sequence Charts: Tools for Process ImprovementProcess Charts and Process Sequence Charts: Tools for Process Improvement
Process Charts and Process Sequence Charts: Tools for Process ImprovementCIToolkit
 
Overview PMI Infinity - UK Chapter presentation
Overview PMI Infinity - UK Chapter presentationOverview PMI Infinity - UK Chapter presentation
Overview PMI Infinity - UK Chapter presentationPMIUKChapter
 
Value Analysis: How Lean Thinking Defines Value
Value Analysis: How Lean Thinking Defines ValueValue Analysis: How Lean Thinking Defines Value
Value Analysis: How Lean Thinking Defines ValueCIToolkit
 
Flowcharting: The Three Common Types of Flowcharts
Flowcharting: The Three Common Types of FlowchartsFlowcharting: The Three Common Types of Flowcharts
Flowcharting: The Three Common Types of FlowchartsCIToolkit
 
WHO Foresight Approaches in Public Health.pdf
WHO Foresight Approaches in Public Health.pdfWHO Foresight Approaches in Public Health.pdf
WHO Foresight Approaches in Public Health.pdfWendy Schultz
 
Leveraging Gap Analysis for Continuous Improvement
Leveraging Gap Analysis for Continuous ImprovementLeveraging Gap Analysis for Continuous Improvement
Leveraging Gap Analysis for Continuous ImprovementCIToolkit
 
5 years Business Plan for EParivahan.com
5 years Business Plan for EParivahan.com5 years Business Plan for EParivahan.com
5 years Business Plan for EParivahan.comDEEPRAJ PATHAK
 
2.DATAMANAGEMENT-DIGITAL TRANSFORMATION AND STRATEGY
2.DATAMANAGEMENT-DIGITAL TRANSFORMATION AND STRATEGY2.DATAMANAGEMENT-DIGITAL TRANSFORMATION AND STRATEGY
2.DATAMANAGEMENT-DIGITAL TRANSFORMATION AND STRATEGYGeorgeDiamandis11
 
Yokoten: Enhancing Performance through Best Practice Sharing
Yokoten: Enhancing Performance through Best Practice SharingYokoten: Enhancing Performance through Best Practice Sharing
Yokoten: Enhancing Performance through Best Practice SharingCIToolkit
 
Leading meetings effectively: the secrets of authentic leadership
Leading meetings effectively: the secrets of authentic leadershipLeading meetings effectively: the secrets of authentic leadership
Leading meetings effectively: the secrets of authentic leadershipAndrea Mennillo
 
The Main Components of an Effective Visual Management System
The Main Components of an Effective Visual Management SystemThe Main Components of an Effective Visual Management System
The Main Components of an Effective Visual Management SystemCIToolkit
 
Management and optimization of information flows-EN.pdf
Management and optimization of information flows-EN.pdfManagement and optimization of information flows-EN.pdf
Management and optimization of information flows-EN.pdfGeorgeDiamandis11
 
BIGDATA-DIGITAL TRANSFORMATION AND STRATEGY
BIGDATA-DIGITAL TRANSFORMATION AND STRATEGYBIGDATA-DIGITAL TRANSFORMATION AND STRATEGY
BIGDATA-DIGITAL TRANSFORMATION AND STRATEGYGeorgeDiamandis11
 
W.H.Bender Quote 58 - A Restaurant Manager’s habit of greeting and welcoming ...
W.H.Bender Quote 58 - A Restaurant Manager’s habit of greeting and welcoming ...W.H.Bender Quote 58 - A Restaurant Manager’s habit of greeting and welcoming ...
W.H.Bender Quote 58 - A Restaurant Manager’s habit of greeting and welcoming ...William (Bill) H. Bender, FCSI
 
3.BITOOLS - DIGITAL TRANSFORMATION AND STRATEGY
3.BITOOLS - DIGITAL TRANSFORMATION AND STRATEGY3.BITOOLS - DIGITAL TRANSFORMATION AND STRATEGY
3.BITOOLS - DIGITAL TRANSFORMATION AND STRATEGYGeorgeDiamandis11
 
BoSON23 | Alex Osterwalder | Coaching & Leadership in Remote Companies
BoSON23 | Alex Osterwalder | Coaching & Leadership in Remote CompaniesBoSON23 | Alex Osterwalder | Coaching & Leadership in Remote Companies
BoSON23 | Alex Osterwalder | Coaching & Leadership in Remote CompaniesBusiness of Software Conference
 

Recently uploaded (20)

4.DEFINITIONANDMANAGEMENTOFINDICATORS IN EN
4.DEFINITIONANDMANAGEMENTOFINDICATORS IN EN4.DEFINITIONANDMANAGEMENTOFINDICATORS IN EN
4.DEFINITIONANDMANAGEMENTOFINDICATORS IN EN
 
Achieving Business and Personal Goals with SWOT Analysis
Achieving Business and Personal Goals with SWOT AnalysisAchieving Business and Personal Goals with SWOT Analysis
Achieving Business and Personal Goals with SWOT Analysis
 
The Role of Histograms in Exploring Data Insights
The Role of Histograms in Exploring Data InsightsThe Role of Histograms in Exploring Data Insights
The Role of Histograms in Exploring Data Insights
 
Process Charts and Process Sequence Charts: Tools for Process Improvement
Process Charts and Process Sequence Charts: Tools for Process ImprovementProcess Charts and Process Sequence Charts: Tools for Process Improvement
Process Charts and Process Sequence Charts: Tools for Process Improvement
 
Overview PMI Infinity - UK Chapter presentation
Overview PMI Infinity - UK Chapter presentationOverview PMI Infinity - UK Chapter presentation
Overview PMI Infinity - UK Chapter presentation
 
Value Analysis: How Lean Thinking Defines Value
Value Analysis: How Lean Thinking Defines ValueValue Analysis: How Lean Thinking Defines Value
Value Analysis: How Lean Thinking Defines Value
 
Flowcharting: The Three Common Types of Flowcharts
Flowcharting: The Three Common Types of FlowchartsFlowcharting: The Three Common Types of Flowcharts
Flowcharting: The Three Common Types of Flowcharts
 
WHO Foresight Approaches in Public Health.pdf
WHO Foresight Approaches in Public Health.pdfWHO Foresight Approaches in Public Health.pdf
WHO Foresight Approaches in Public Health.pdf
 
Leveraging Gap Analysis for Continuous Improvement
Leveraging Gap Analysis for Continuous ImprovementLeveraging Gap Analysis for Continuous Improvement
Leveraging Gap Analysis for Continuous Improvement
 
5 years Business Plan for EParivahan.com
5 years Business Plan for EParivahan.com5 years Business Plan for EParivahan.com
5 years Business Plan for EParivahan.com
 
2.DATAMANAGEMENT-DIGITAL TRANSFORMATION AND STRATEGY
2.DATAMANAGEMENT-DIGITAL TRANSFORMATION AND STRATEGY2.DATAMANAGEMENT-DIGITAL TRANSFORMATION AND STRATEGY
2.DATAMANAGEMENT-DIGITAL TRANSFORMATION AND STRATEGY
 
Yokoten: Enhancing Performance through Best Practice Sharing
Yokoten: Enhancing Performance through Best Practice SharingYokoten: Enhancing Performance through Best Practice Sharing
Yokoten: Enhancing Performance through Best Practice Sharing
 
Leading meetings effectively: the secrets of authentic leadership
Leading meetings effectively: the secrets of authentic leadershipLeading meetings effectively: the secrets of authentic leadership
Leading meetings effectively: the secrets of authentic leadership
 
The Main Components of an Effective Visual Management System
The Main Components of an Effective Visual Management SystemThe Main Components of an Effective Visual Management System
The Main Components of an Effective Visual Management System
 
Management and optimization of information flows-EN.pdf
Management and optimization of information flows-EN.pdfManagement and optimization of information flows-EN.pdf
Management and optimization of information flows-EN.pdf
 
BIGDATA-DIGITAL TRANSFORMATION AND STRATEGY
BIGDATA-DIGITAL TRANSFORMATION AND STRATEGYBIGDATA-DIGITAL TRANSFORMATION AND STRATEGY
BIGDATA-DIGITAL TRANSFORMATION AND STRATEGY
 
BoSEU24 | Bruce McCarthy | Aligning Executive Teams
BoSEU24 | Bruce McCarthy | Aligning Executive TeamsBoSEU24 | Bruce McCarthy | Aligning Executive Teams
BoSEU24 | Bruce McCarthy | Aligning Executive Teams
 
W.H.Bender Quote 58 - A Restaurant Manager’s habit of greeting and welcoming ...
W.H.Bender Quote 58 - A Restaurant Manager’s habit of greeting and welcoming ...W.H.Bender Quote 58 - A Restaurant Manager’s habit of greeting and welcoming ...
W.H.Bender Quote 58 - A Restaurant Manager’s habit of greeting and welcoming ...
 
3.BITOOLS - DIGITAL TRANSFORMATION AND STRATEGY
3.BITOOLS - DIGITAL TRANSFORMATION AND STRATEGY3.BITOOLS - DIGITAL TRANSFORMATION AND STRATEGY
3.BITOOLS - DIGITAL TRANSFORMATION AND STRATEGY
 
BoSON23 | Alex Osterwalder | Coaching & Leadership in Remote Companies
BoSON23 | Alex Osterwalder | Coaching & Leadership in Remote CompaniesBoSON23 | Alex Osterwalder | Coaching & Leadership in Remote Companies
BoSON23 | Alex Osterwalder | Coaching & Leadership in Remote Companies
 

Change Management

  • 1. OVERVIEW OF CHANGE MANAGEMENT CHAPTER THREE Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 2. Change Leaders Vs Status quo Managers Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 3. Questions!!!  What is change?  What is organizational change? Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 4. 3.1. Meaning And Implication  Change means making things different.  Organizational change - is the movement of an organization away from its present state and toward some desired future state to increase its efficiency and effectiveness.  It is the alteration of an organization’s structure, culture, technology, or people. Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 5. • Organizations can be viewed in four different ways 1. Organizations as machines 2. Organizations as political systems 3. Organizations as organisms 4. Organizations as flux and transformation Metaphors Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 6. Organizations as machines • If all the parts are properly constructed and connected and force applied in the right place and right direction then the machine will start to move and continue to move. Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 7. 2. Organizations as political systems • Midst a human system, competing forces and pulls on scarce resources, different players have different degrees of power. Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 8. 3. Organizations as organisms • Organizations composed of a number of internal subsystems (structural, human, managerial, informational) operating in an external environment. Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 9. 4. Organizations as flux and transformation • It is a place that has form and movement but events which cannot be predictable that lead to equilibrium or disequilibrium. Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 10. Paradigm of change • de Caluwé and Vermaak (2004) have categorized approaches to change in a somewhat different way: – Blue – change through design – Yellow – change through addressing interests – Red – change through people – White – change through emergence – Green – change through learningAbdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 11. Change through design • Involves careful planning and detailed analysis before the change happens. • links with the machine metaphor • If the initial analysis done well it will produce the outputs that we want. Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 12. Change through addressing interests • Recognizing that there are winners and losers in all change situations and address the different wants and needs of the various stakeholders. • Aligned to the political metaphor. Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 13. Change through people • Change is predominately done through people, and for the successful outcome it will need to have addressed the concerns of people, engaged with them in order for new attitudes, skills and behaviours. Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 14. Change through emergence • Creating the conditions for change to occur without specifying the exact nature of the changes. • Drawing on the flux and transformation metaphor. • What is required is an enabling environment, people to make sense of what is happening, and to spot where the organizational energy is and take steps to removing hindrances and obstacles. • Perhaps requiring a leap of faith, this approach is based around the belief that systems will self- organize and, even in the midst of chaos, order and evolution will occurAbdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 15. Change through learning • is concerned with change happening as a direct result of learning (individual and team learning, learning organization). • The key focus is on creating the environment necessary for individuals and teams to acquire the necessary knowledge, skills and experience and how collectively the organization can embed any new knowledge for sustained performance. Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 16. 3.2. Forces for Organizational Change  In general there are two main forces drive organizations toward change: internal and external forces. 3.2.1. External Forces for Organizational Change A. Customer demand: Needs and expectations…. B. Intense Competition: quality, cost & market…. C. Technology: Computer based Manufacturing… D. Reduction of Government Regulations: trade barriers, privatization….. E. Social Change: cultural changes, education level..Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 17. Forces....Cont’d 3.2.2. Internal Forces a) Changes in the managerial personnel: b) Certain deficiencies in the existing system: Unmanageable span of control, Lack of coordination between the departments… c) Certain other forces: like changes in machinery, equipment, procedures, working standard… 3.2.3. The Domino Effect Another main source of changes is the change itself. Change has become pervasive and persistent.Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 18. • Developed by Beckhard and Harris (1987) : C = [D x V x FS] > R where: C is the change that will occur; D is the level of dissatisfaction with the status quo; V is the desirability of the proposed change, the end state or vision; FS is the first practical steps of the change; and R is the resistance to change. • if there is very little dissatisfaction with the status quo, or if there is no compelling vision, or if there is no clearly understandable plan then momentum is unlikely to build Change formula Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 19. • Dissatisfaction with the status quo: felt need to change- either because something right now is causing discomfort, or something looming will. • Vision, mission & direction towards the end state: it’s an excellent tool for orientating the organization and starting the process of change. • Factors added later: Believability, Capability, and capacity (the resources available). Change formula Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 20. Force field analysis • As part of Lewin’s model you need to unfreeze the current situation, make the changes and then refreeze the organization. • Starting from the premise that any given present situation represents equilibrium between forces driving change and forces resisting change, which are in tension (i.e. a force field) the point is to identify those forces, their direction, nature and strength, and how they can be modified. • This is an effective tool in change situations as it helps picture ‘the whole’ system at play.Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 21. Cont’d • When you start taking the first steps to increase the driving forces and reduce the restraining forces you will get movement towards the end state. Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 22. Stages to the process 1. Make a clear statement about where you want to be or your outcome 2. Identify and list all those elements that are driving forces, and restraining forces 3. Analyse each of the forces 4. Develop a detailed action plan with target dates Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 23. From - To analysis • It is a technique designed to help bring into focus the possible consequences and actions resulting from adopting one strategy rather than another. • It helps to simplify strategic choices in the change process to enable clear business decisions to be evaluated and taken. • It primarily contrasts existing and potential future characteristics of the organization and encourages evaluation of the consequences of alternative actions. Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 24. 1. Assessing the Need for Change: Recognize the problems and sources of the problem/s 2. Decide On the Change to Make: Decide & plan what the organization’s ideal future. Identifying sources of resistance and how to overcome them. 3.Implementing the Change: introduce and manage the change using Top down change(used for restructuring and downsizing) and Bottom up change (more gradual and evolutionary). 4. Evaluating the Change: Evaluate how successful the change effort has been in improving organizational performance. 3.3. Process of Organizational Change Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 25. 3.4. Resistance to change • Is employee behavior that block the change process. • Remember a motto, ‘If it ain’t broke, don’t fix it’ • These people value what currently is, especially if it works. • Others, may genuinely be alerting you to the fact that the proposed changes won’t work. • There are two fundamental anxieties– the anxiety to survive set against the anxiety of whether they will be able to learn the new ways of doing things.Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 26. Forms of Resistance to Change – Overt and immediate • Voicing complaints, engaging in work slowdown – Implicit and deferred • Loss of employee loyalty and motivation, increased errors or mistakes, increased absenteeism Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 27. Sources of Organizational Resistance to Change Organizational sourceIndividual source Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 28. Variables of Resistance To Change A. Intensity: Resistance intensity can be varying from strong to week or somewhere in between, overt, implicit, immediate, or deferred. B. Sources: includes facts (circulated through the grapevine inaccurately), beliefs, and values. C. Focus: there are three major focuses of resistance: self (What will I gain or loss?), others (friends, peers, and colleagues), and the work environment (job and physical setting and climate) Generally people resist change for a variety of reasons, some of which include: Maintain the status quo, Uncertainty, Learning anxiety, and Fear. Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 29. Individuals’ Reactions to Change + Positives Enthusiasm Opportunity Challenge Excitement New skills New knowledge Reward Fulfilment Survival New start Creates options Learning experience Motivation - Negatives Fear Anxiety Shock Distrust Anger Stress Resentment Confusion Uncertainty Demotivation Depression Loss of self-esteem Loss of identity - Negatives Loss of peer group Letting go Saying goodbye Distraction Family disruption Insomnia Conflict Politics Stubbornness Critical reactions Mutiny Disown/Block Misunderstanding Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 30. Reasons for Adverse Reactions to Change • Loss of job • Reduction of career prospects • Down grading of work • Effects in pay • Loss of status - “empires” • Reduction in responsibility or job interest • Need to learn new skills • New and unknown bosses • New and known (!) bosses • Break up of established work groups • Transfer to new, unknown (known!) locations or departments Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 31. Stakeholder interests • In mobilizing people for change it is crucial to use the stakeholder analysis to inform how you will manage and communicate with them. • Stakeholder analysis can look at stakeholders from perspectives of; 1. The level of power, energy, interest and commitment. 2. The impact that the change will have on them. 3. The levels of trust and agreement we have with them. • The purpose in establishing these things is to be able to accomplish your aims of successful change whilst at the same time being mindful of the wants and needs of other communities of interest. Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 32. Stakeholder mapping Observers Informing/ empowering Key players Involving Crowd Ignoring Bystanders Encouraging Power to Influence Low High Level of interest High Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 33. Stakeholders classification Low Sleepers • Can’t be bothered about the change. • Just not interested, or maybe they are not aware of it. Preachers (LE/HC) • People in positions of power, Committed yet for some reason. • Might have unforeseen negative impact on perceptions about the change Willing workers (LP/HC) • Committed to the change. • Affected by the change or they may be onlookers. Blockers • Obstruct or prevent the change happening in some way Sponsors (HP/HC) • Nominated sponsors for this change Champions (HE/HC) • Advocators & well implementers of change. • Have specific power, authority & role • Middle managers wanting change. highPower/Energylow Commitment high Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 34. Blockers (high energy/low commitment and high power/low commitment- • Key questions to ask: – What are their motivations? – What is their legitimacy? – What are their arguments? – What is their source of power? – What is their source of energy? Possible strategies • winning the arguments • reducing their power and energy • circumventing their power • escalating to a higher authority or • engaging them in dialogue Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 35. The impact/influence matrix Low • The change agents tend to minimize the attention to those in the low impact/low influence quadrant. • Who are in positions of power but not affected by the change personally or professionally. • Guardians or watchdogs outside the organization but have potential to influence on behalf of others. • Majority of changes recipients located. • When they come together they can be a real force. • Some involvement required • Communication & engagement are important • Critical to the success of the change. • Not just be looking for approval or token support but high degrees of ownership. • Active engagement highImpactlow Influence high Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 36. Trust/agreement matrix Low Adversaries (enemies) • You don’t know they are against you unless you tried to engage them & your attempts at negotiating ag’t and trust have failed. • you are in the worst possible position to exert influence with them Opponents • They could be on the other side of the political divide. • Engage in dialogue with them to sharpen your views, arguments, and unearth any faults or failures in the plan; and bringing them around to your view. Bedfellows (fair-weather friends)’ • Supportive of the change but unsure how long they will support the change. Allies • Onside with what you are trying to achieve. • Treat them as a friend/valued colleague & sustain the relationship HighAgreementlow Trust high Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 37. • Change only happens when survival anxiety is greater than learning anxiety. • You can increase the survival anxiety by threatening people with loss of jobs or valued rewards, or you can decrease learning anxiety by creating a safer environment for unlearning and new learning. • A key process in managing resistance to change is to establish where you think resistance is and to discover what the views of these people are. • Let them inform your choices and your designs. • A key question to ask is, how might we use this information to reduce the restraining forces or fine tune the change plan itself? 3.5. Managing Resistance To Change Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 38. Managing Resistance To Change  Education/Communication  Develop a positive climate for change  Encourage interest in improvement  Give facts  Involve employees  Provide support  Avoid direct confrontation  Negotiation and agreement  Use power Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 39. The change or transitions curve • Different people will go along the curve at different speeds and different groupings of people will go through it in different time periods. Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 40. Stages explained • Shock: peoples shocked which resulting in a numbness. expressed as ‘the walking wounded’. • Denial: They haven’t been able to take in the news or the consequences and it’s somehow easier to pretend to themselves that it hasn’t actually happened. • Anger: When individuals allow feelings about their circumstances to arise. They feel anger, blame, irritation and frustration. • Fear: Anger, blame, irritation and frustration can be replaced by feelings of anxiety and being panic. • Depression: The anxieties can run their course, and leave a sense of depression and perhaps apathy. • Understanding: Gradual realization that you have to continue with your life. • Acceptance: looking outward and acknowledge that the past is over and there becomes an acceptance that something else needs to be done. Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 41. Strategies for moving through the change curve Description • Characterized by a sense of disbelief and non-acceptance of the change and maybe ‘proving’ to oneself that it isn’t happening and hoping that it will go away • ‘Let’s keep our heads down; we don’t need these changes; perhaps they’ll go away’ Strategy • Attempt to minimize shock • Give full and early communication of intentions, possibilities and • Overall direction (shock, numbness & denial) Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 42. Blame, anxiety and depression Description • Getting angry that you find in this situation, blaming self, blaming others • Attempting to avoid the inevitable • Getting anxious about whether you’ll survive or be exposed as incompetent • Hitting the lows and responding (or being unresponsive) with apathy or sadness • ‘I don’t want this to work; I don’t think I’m up to it or up for it; and I don’t want to be part of it’ Strategy • Listen, empathize, offer support, protection • Do not suppress conflict and expression of difficult views or emotions • Recognize how change can trigger past experiences in individuals • Try not to take others’ reactions personally Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 43. Acceptance Description • The reality of the situation is accepted • ‘I guess those things have gone for ever; I wonder whether the changes will work Strategy • Help others complete • Allow others to take responsibility • Encourage • Create goals • Coach Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 44. Exploration Description • The idea arrives that perhaps there are things ‘out there’ • Perhaps some of these changes might be worth at least thinking about. Perhaps you might just ask to see the job description of that new job • ‘Maybe these changes are working; perhaps I could try something on for size; maybe I could contribute’ Strategy • Encourage risk taking • Exchange feedback • Set up development opportunities Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 45. Optimism, learning and integration Description • ‘things aren’t as bad as you imagined, the company was telling the truth about the new opportunities and a better way of working’ • ‘It’s not so bad after all; they’re definitely working; I enjoy contributing’ Strategy • Discuss meaning and learning • Reflection • Overview of experience • Celebrate success • Prepare to move on… Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 46. 3.6. Planned Organizational Change Is the intentional attempt by an organization to alter its status quo (present position) and move to the desired one. Is essential element to growth. Through planned changes Organizations reach new frontiers and progress move rapidly toward given set of goals and objectives. Decide in advance why change is necessary, for what purpose, what to change and how to achieve the desired change. Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 47. A. Lewin’s Three Step Change Model Argued that successful change in an organization should follow three steps: – Unfreezing • The phase in which a situation is prepared for change and felt needs for change are developed. – Changing • The phase in which something new takes place in the system, and change is actually implemented. – Refreezing • The phase of stabilizing the change and creating the conditions for its long-term continuity. 3.6.1. Approaches to Manage Planned Organizational Change Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 48. Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 49. B. Action Research Approach  Based on systematic collection of data and then selection of a change action based on what the analyzed data indicates.  Meaningful change is a combination of action oriented (changing attitude and behavior) and research oriented (testing theory). Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 50. C. Lessier’s Change Model  This model consists of five steps: Step1: Define Change: clearly state what the change is. Step 2: Identify Possible Resistance to the Change: determine the intensity, source, and focus of possible resistance to the change. Step 3: Plan The Change: plan the change implementation. Use the appropriate supervisory style for the situation. Step 4: Implement Change: This Step Has Three Parts: Give facts, Involve employees, and Provide support: Step 5: Control The Change: follow up to ensure that the change is implemented, reinforced, and maintained. Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 51. D. Appreciate Inquiry Approach  Tries to break out of the problem-solving mentally by framing relationships around the positive and the possible.  Directs attention away from the group’s own problem and focuses participants on the group’s potential & positive elements.  Involves the following steps: Discovery Identifying the best of “what is” Dreaming Envisionin g “what might be” Designing Engaging in dialogue about “what should be” Delivering Developing objectives about “what will be” Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 52. E. Parallel learning Structure Approach  Are highly participative arrangements, composed of people from most levels of the organization who follow the action research model to produce meaningful organizational change.  They are social structures developed alongside the formal hierarchy with the purpose of increasing the organization’s learning. Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 53. 3.7. Strategies for Planned Organizational Change 1. Create a favorable environment: an environment of trust and shared commitment 2. Define a set of goals: a framework to measure the progress. 3. Establish what cannot be changed: identify the bedrocks/fundamental principles that the employees can always depend on as they work their way through the change process. 4. Create a change plan: plan about the change. 5. Move decisively and with speed: to decide quickly with confidence. 6. Communicate with employees: decision about the change should be communicated to employees. 7. Employee motivation: employ different kinds of motivation to successfully implement the change. 8. Create favorable organization and methods: create favorable environment in which employees cooperated with top management bodies Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan
  • 54. Abdella kosa, Department of Entrepreneurship and Business Management, Kotebe Metroplitan