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5-1
Implementing Organizational Change: Theory into Practice
Bert Spector
Chapter 5
People Alignment
Copyright © 2013 Pearson Education, Inc. publishing as
Prentice Hall
1
5-2
Learning Objectives
Define people alignment and its role in implementing strategic
renewal and organizational change.
Understand how to match selection and recruitment with the
shifting requirements of behavioral change.
Analyze how an organization can help employees gain the new
skills required of the change effort.
Present the particular choices available to organizations as they
seek to align employee competencies with the requirements of
the organization as part of their change effort.
Analyze the role of removal and replacement in implementing
change.
Copyright © 2013 Pearson Education, Inc. publishing as
Prentice Hall
2
5-3
Building a Vocabulary
People alignment: organizational effects taken to match the
skills and behaviors of employees within the organization with
the business’ strategy.
“In order to develop required human resource competencies,
organizational leaders need to align the selection, training,
development, and removal of employees with the behavioral
requirements of the desired change.”
Copyright © 2013 Pearson Education, Inc. publishing as
Prentice Hall
“People alignment––getting the right people on the bus and the
wrong people off the bus—is a key to effective change
implementation.”
5-4
Make/Buy Options for Changing Human Resources
Make:
Training
Alter incentives
Buy:
Recruitment
Selection
Advantage:
Uses existing knowledge/
skill base
Advantage:
Can quickly add required
skill/knowledge
Disadvantage:
May be slow; not all
current employees
willing or able
Disadvantage:
May undercut morale/
commitment of
existing employees
Copyright © 2013 Pearson Education, Inc. publishing as
Prentice Hall
Advantage:
Uses existing knowledge/
skill base
Advantage:
Can quickly add required
skill/knowledge
Disadvantage:
May be slow; not all
current employees
willing or able
4
Components of Training for Change
Copyright © 2013 Pearson Education, Inc. publishing as
Prentice Hall
5-5Component: Focus:By:Knowledge Development
Developing understanding
within employees of new strategy and requirements for
changeClassrooms, lectures,
discussion groups,
and so onSkill
DevelopmentDeveloping capability within
employees to enact required new behaviorsRole‐playing,
experimentation,
real‐time feedback,
and so on
“Training can help convey to employees how their competitive
environment is changing and why their own behaviors need to
be altered”
5-6
Building a Vocabulary
Experiential training: focuses on behaviors and allows
employees to “try out” new behaviors and receive feedback
Training fade-out: the failure of behaviors learned as part of a
training exercise to transfer to on-the-job experience or that
disappear over time
“Training can, under the right circumstances, help employees
gain new behavioral competencies.”
“Watch out for fade out—whatever is learned in a training
opportunity can lose its impact over time.”
Copyright © 2013 Pearson Education, Inc. publishing as
Prentice Hall
5-7
Development and Performance Feedback
Development
One of the most important opportunities for developing
new competencies and skills among existing employees arises
from a simple but powerful mechanism: feedback. The challenge
in using feedback to development new competencies is two fold:
To make sure that the feedback is offered in a way to maximize
its impact on behaviors.
To make sure that the feedback moves employees toward new
behaviors rather than reinforcing old behaviors.
Performance Feedback
In a change implementation process, expectations and
definitions of outstanding performance are in flux. It becomes
valuable, then, for employees to evaluate the performance of
employees, as:
It allows an assessment of the current state.
It helps identify skill gaps.
It identifies poor performers and potential future leaders.
It targets required
development and training efforts.
Copyright © 2013 Pearson Education, Inc. publishing as
Prentice Hall
7
5-8
Building a Vocabulary
Performance appraisal: a formal, regularly scheduled
mechanism deigned to provide employees with performance
feedback, typically resulting in a performance rating
360 degree feedback: performance feedback gathered from
peers, subordinates, supervisors, and customers
“Formal performance appraisals often fail to bring
about the desired behavioral change.”
“Self-appraisal and data from multiple sources can help increase
the validity and effectiveness of performance feedback.”
Copyright © 2013 Pearson Education, Inc. publishing as
Prentice Hall
5-9
Building a Vocabulary
Succession planning: a formal process in which top executives
regularly review all managers at or above a certain hierarchical
level, looking at both performance and potential, and devise
developmental plans for their most promising individuals.
“Behavioral change requires attention to the behavioral pattern
of those at the top of the organization as well as lower-level
employees.”
“Companies can manage the careers of executives in order to
create a continuous stream of leaders from inside the
organization capable of overseeing and leading effective
change.”
Copyright © 2013 Pearson Education, Inc. publishing as
Prentice Hall
5-10
Practices for Developing Executives Capable of Adaptation and
Leading ChangePracticesOutcomesStructural and design
changesDelayering, increased span of control, matrix, or
horizontal structures—all of these work to develop
generalists far earlier in their careers and place a greater
premium on interpersonal competenciesExplicit international
movementAssigning managers to work in a nonnative culture
for a significant period of time develops cross-cultural
awareness and skills that can be vital in a culturally
diverse environmentCareer mazesExplicit lateral movements
replace rapid upward
functional mobility with a far broader set of experiences.
Functional blinders are removed, general management
skills are enhanced, and commitment to the organization
as a whole is enlargedSlower velocity to allow greater
learningSo-called fast-track managers often fail to stay in one
position long enough to deal with the consequences of
their actions (and the reactions of employees).
Learning about and dealing with the consequence of
actions requires greater length of tenure in a position.
Copyright © 2013 Pearson Education, Inc. publishing as
Prentice Hall
10
5-11
Building a Vocabulary
Person–task fit: screening and selecting individual employees
based on their ability to perform certain tasks and full specific
jobs
Person–organization fit: screening and selecting employees
based on congruence between patterns of organizational values
and patterns of individual values
“Employees attracted to and selected by the organization in an
earlier phase are not necessarily the right employees for the
newly defined strategies and goals of the changing
organization.”
“Selecting the ‘right’ employees—that is, employees who
possess the values and competencies required of the change—
will reduce time, cost, and other revenues required in later
developmental interventions.”
Related to Selecting the “right person”:
Copyright © 2013 Pearson Education, Inc. publishing as
Prentice Hall
11
5-12
Person–Organization Fit Screening Techniques
Text in this color
Paper-and-pencil tests
Standardized,
quantifiable, self-administered
instruments
Advantages:
Easy to administer and score
Inexpensive to use in large scale
Simple to compare
Valid job success predictor
Disadvantages:
Produces homogenous work force
May be resisted/resented by
minority applicants
Copyright © 2013 Pearson Education, Inc. publishing as
Prentice Hall
12
5-13
Person–Organization Fit Screening Techniques
Text in this color
Behaviorally anchored
interviews
Applicants recount specific
examples of past experiences
Advantages:
Focuses on specific behaviors
Valid Supplement to other methods
Validity increases when multiple
interviewers score results
Disadvantages:
Deals with recounted rather than
actual behaviors
Can be slow and expensive
Copyright © 2013 Pearson Education, Inc. publishing as
Prentice Hall
13
5-14
Person–Organization Fit Screening Techniques
Text in this color
Behavioral simulation
Applicants engage in
role-playing exercise
while observed by screeners
Advantages:
Deals with actual rather than
recounted behaviors
Disadvantages:
Can be slow and expensive
Copyright © 2013 Pearson Education, Inc. publishing as
Prentice Hall
14
5-15
Behaviorally Anchored Interview Questions
Describe a time when you were placed on an ineffective work
team and how
you dealt with it.
• Tell me about a specific employee with whom you had
difficulty managing
and how you dealt with it.
• Describe how you handled going into a new work situation.
• Describe how you went about learning what was going on in a
unit to which
you were just moved.
• Tell me about a change process you were involved in and what
role you
played.
• Tell me about the best performing team you ever worked on
and what your
contribution was.
Copyright © 2013 Pearson Education, Inc. publishing as
Prentice Hall
15
5-16
Building a Vocabulary
Removal and replacement: a change tool that targets
individuals who cannot or will not adopt behaviors required of
the redesigned organization
Fair process: a widely shared perception that decisions are
being made on the basis of valid criteria
“Don’t count on workforce reductions and employee layoffs to
produce the human resource competencies required to support
strategic renewal and sustain outstanding performance.”
“It is often easier to teach new skills than to develop new
values.”
Copyright © 2013 Pearson Education, Inc. publishing as
Prentice Hall
5-17
Factors that Determine Fairness in Removal and
ReplacementEngagement—involving individuals in decisions
that impact them, both at the front end (collecting valid data)
and the back end (allowing individuals to refute ideas and
assumptions)Explanation—making transparent the thinking that
underlies decisionsExpectation clarity—making clear the
criteria that have been and will be used for decision making
“Unless Talent Management decisions are viewed by employees
as being fair in process, valid in content, and appropriate in
sequence, the decisions can undermine commitment to change
implementation.”
Copyright © 2013 Pearson Education, Inc. publishing as
Prentice Hall
17
All rights reserved. No part of this publication may be
reproduced, stored in a retrieval system, or transmitted, in any
form or by any means, electronic, mechanical, photocopying,
recording, or otherwise, without the prior written permission of
the publisher. Printed in the United States of America.
Copyright © 2013 Pearson Education, Inc. publishing as
Prentice Hall
5-20

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5-1Implementing Organizational Change Theory into Practice.docx

  • 1. 5-1 Implementing Organizational Change: Theory into Practice Bert Spector Chapter 5 People Alignment Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 1 5-2 Learning Objectives Define people alignment and its role in implementing strategic renewal and organizational change. Understand how to match selection and recruitment with the shifting requirements of behavioral change.
  • 2. Analyze how an organization can help employees gain the new skills required of the change effort. Present the particular choices available to organizations as they seek to align employee competencies with the requirements of the organization as part of their change effort. Analyze the role of removal and replacement in implementing change. Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 2 5-3 Building a Vocabulary People alignment: organizational effects taken to match the skills and behaviors of employees within the organization with the business’ strategy. “In order to develop required human resource competencies, organizational leaders need to align the selection, training, development, and removal of employees with the behavioral requirements of the desired change.” Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
  • 3. “People alignment––getting the right people on the bus and the wrong people off the bus—is a key to effective change implementation.” 5-4 Make/Buy Options for Changing Human Resources Make: Training Alter incentives Buy: Recruitment Selection Advantage: Uses existing knowledge/ skill base Advantage: Can quickly add required skill/knowledge Disadvantage: May be slow; not all current employees willing or able Disadvantage: May undercut morale/ commitment of existing employees
  • 4. Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall Advantage: Uses existing knowledge/ skill base Advantage: Can quickly add required skill/knowledge Disadvantage: May be slow; not all current employees willing or able 4 Components of Training for Change Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 5-5Component: Focus:By:Knowledge Development Developing understanding within employees of new strategy and requirements for changeClassrooms, lectures, discussion groups, and so onSkill DevelopmentDeveloping capability within
  • 5. employees to enact required new behaviorsRole‐playing, experimentation, real‐time feedback, and so on “Training can help convey to employees how their competitive environment is changing and why their own behaviors need to be altered” 5-6 Building a Vocabulary Experiential training: focuses on behaviors and allows employees to “try out” new behaviors and receive feedback Training fade-out: the failure of behaviors learned as part of a training exercise to transfer to on-the-job experience or that disappear over time “Training can, under the right circumstances, help employees gain new behavioral competencies.” “Watch out for fade out—whatever is learned in a training opportunity can lose its impact over time.” Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
  • 6. 5-7 Development and Performance Feedback Development One of the most important opportunities for developing new competencies and skills among existing employees arises from a simple but powerful mechanism: feedback. The challenge in using feedback to development new competencies is two fold: To make sure that the feedback is offered in a way to maximize its impact on behaviors. To make sure that the feedback moves employees toward new behaviors rather than reinforcing old behaviors. Performance Feedback In a change implementation process, expectations and definitions of outstanding performance are in flux. It becomes valuable, then, for employees to evaluate the performance of employees, as: It allows an assessment of the current state. It helps identify skill gaps.
  • 7. It identifies poor performers and potential future leaders. It targets required development and training efforts. Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 7 5-8 Building a Vocabulary Performance appraisal: a formal, regularly scheduled mechanism deigned to provide employees with performance feedback, typically resulting in a performance rating 360 degree feedback: performance feedback gathered from peers, subordinates, supervisors, and customers “Formal performance appraisals often fail to bring about the desired behavioral change.”
  • 8. “Self-appraisal and data from multiple sources can help increase the validity and effectiveness of performance feedback.” Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 5-9 Building a Vocabulary Succession planning: a formal process in which top executives regularly review all managers at or above a certain hierarchical level, looking at both performance and potential, and devise developmental plans for their most promising individuals. “Behavioral change requires attention to the behavioral pattern of those at the top of the organization as well as lower-level employees.” “Companies can manage the careers of executives in order to create a continuous stream of leaders from inside the organization capable of overseeing and leading effective change.” Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
  • 9. 5-10 Practices for Developing Executives Capable of Adaptation and Leading ChangePracticesOutcomesStructural and design changesDelayering, increased span of control, matrix, or horizontal structures—all of these work to develop generalists far earlier in their careers and place a greater premium on interpersonal competenciesExplicit international movementAssigning managers to work in a nonnative culture for a significant period of time develops cross-cultural awareness and skills that can be vital in a culturally diverse environmentCareer mazesExplicit lateral movements replace rapid upward functional mobility with a far broader set of experiences. Functional blinders are removed, general management skills are enhanced, and commitment to the organization as a whole is enlargedSlower velocity to allow greater learningSo-called fast-track managers often fail to stay in one position long enough to deal with the consequences of their actions (and the reactions of employees). Learning about and dealing with the consequence of actions requires greater length of tenure in a position. Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
  • 10. 10 5-11 Building a Vocabulary Person–task fit: screening and selecting individual employees based on their ability to perform certain tasks and full specific jobs Person–organization fit: screening and selecting employees based on congruence between patterns of organizational values and patterns of individual values “Employees attracted to and selected by the organization in an earlier phase are not necessarily the right employees for the newly defined strategies and goals of the changing organization.” “Selecting the ‘right’ employees—that is, employees who possess the values and competencies required of the change— will reduce time, cost, and other revenues required in later developmental interventions.” Related to Selecting the “right person”: Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
  • 11. 11 5-12 Person–Organization Fit Screening Techniques Text in this color Paper-and-pencil tests Standardized, quantifiable, self-administered instruments Advantages: Easy to administer and score Inexpensive to use in large scale Simple to compare Valid job success predictor Disadvantages: Produces homogenous work force May be resisted/resented by minority applicants Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
  • 12. 12 5-13 Person–Organization Fit Screening Techniques Text in this color Behaviorally anchored interviews Applicants recount specific examples of past experiences Advantages: Focuses on specific behaviors Valid Supplement to other methods Validity increases when multiple interviewers score results Disadvantages: Deals with recounted rather than actual behaviors Can be slow and expensive Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
  • 13. 13 5-14 Person–Organization Fit Screening Techniques Text in this color Behavioral simulation Applicants engage in role-playing exercise while observed by screeners Advantages: Deals with actual rather than recounted behaviors Disadvantages: Can be slow and expensive Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
  • 14. 14 5-15 Behaviorally Anchored Interview Questions Describe a time when you were placed on an ineffective work team and how you dealt with it. • Tell me about a specific employee with whom you had difficulty managing and how you dealt with it. • Describe how you handled going into a new work situation. • Describe how you went about learning what was going on in a unit to which you were just moved. • Tell me about a change process you were involved in and what role you played. • Tell me about the best performing team you ever worked on and what your contribution was. Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
  • 15. 15 5-16 Building a Vocabulary Removal and replacement: a change tool that targets individuals who cannot or will not adopt behaviors required of the redesigned organization Fair process: a widely shared perception that decisions are being made on the basis of valid criteria “Don’t count on workforce reductions and employee layoffs to produce the human resource competencies required to support strategic renewal and sustain outstanding performance.” “It is often easier to teach new skills than to develop new values.” Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
  • 16. 5-17 Factors that Determine Fairness in Removal and ReplacementEngagement—involving individuals in decisions that impact them, both at the front end (collecting valid data) and the back end (allowing individuals to refute ideas and assumptions)Explanation—making transparent the thinking that underlies decisionsExpectation clarity—making clear the criteria that have been and will be used for decision making “Unless Talent Management decisions are viewed by employees as being fair in process, valid in content, and appropriate in sequence, the decisions can undermine commitment to change implementation.” Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall 17 All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of the publisher. Printed in the United States of America. Copyright © 2013 Pearson Education, Inc. publishing as