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Organizational culture
1. Organizational Change
PAPER PRESENTED BY
NANDHAGOPAL MURALITHAR, RADHIKA GUPTA, IPSHITA VERMA, YASHMITA
GOEL , GITANSH AHUJA, AMIT SHARMA
IBS II CLASS PRESENTATION
2. Introduction
Org. Culture is defined as “a system of assumptions, values, norms, and attitudes, manifested
through symbols which the members of an organization have developed and adopted through
mutual experience and which help them determine the meaning of the world around them
and how to behave in it” (Janićijević, 2011)
Organizational change strategy includes the approach, method, or manner in which changes
are implemented in an organization.
This definition implies that changes are always planned and that, whenever we speak of
change implementation strategy, we actually speak of planned organizational changes.
In this paper:
Org. change is defined and categorized
Org. culture is categorized
Similarity of classifications used to establish hypothesis
Hypothesis: Implementation of a change strategy is conditioned by a certain type of org. culture
IBS II CLASS PRESENTATION
3. Change strategies
Chin and Benne (1969) recognize three basic ways to implement change in a social system:
Rational empirical strategy
Power Coercive
Normative re-educative
Collated strategy based on McWhinney’s Emergent mode of change: Creative strategy
Parameters tested:
Assumptions: about people, about org.
Drivers of change, change agent, tool, impact
Participant reaction, resistance to change, perspective of human action
Criteria of differentiation:
Direction of change
Means of change
IBS II CLASS PRESENTATION
4. Rational Empirical Strategy
Assumes that org. players are rational
It is given that players will behave according to their objective interests
That is, they will readily accept change as a rational next step
Change conducted through application of theory, regardless of simplicity
Change conducted through a logical process
Problem identification
Information gathering and analysis
Generation of alternatives
Selection
Implementation
Change is unilateral, top down, and carried out by top management
Org. members are passive, and have low involvement
IBS II CLASS PRESENTATION
5. Power Coercive Strategy
Assumes people are political beings
Right to change belongs with the person with maximum power
Change is unilateral, top down, and carried out by top management
Member involvement in change is voluntary, but passive and based on obedience
Voluntary acceptance of change through coercion (by power)
Freedom of choice exists, but only where power resides
Short and fastest change strategy
First order change
Focus on change only, not comprehensive shift in belief or values in the firm
Ineffective implementation and high resistance to change
IBS II CLASS PRESENTATION
6. Normative Re-educative Strategy
The assumption is that the organization is a social system
Organizational behaviour depends on assumptions, values, beliefs and world view
Need for change of belief system to successfully implement change
Construction of different image of reality
There is a multilateral direction taken by change action
Can be top down or bottom up; everyone is a change agent
There is low resistance to change, as the change is contingent on commitment
Change is slow but can be long lasting
Second order change
First change belief system, then actions
IBS II CLASS PRESENTATION
7. Creative Strategy
Basic assumption is that people are creative and organization is all about improvisation
Change is voluntaristic in nature
Change is conducted by articulation of new ideas by a member
Subject to acceptance of other members
Second order change
Active role and highest possible level of participation of org. members
Lowest resistance to change
Promotes reaction of creative solution making
Bottom up approach and multilateral drivers of change
Top management’s role is limited to creating an ambience to facilitate creativity
IBS II CLASS PRESENTATION
8. Differentiation of change strategies
Change direction:
Directive change
Participative change
Change tools:
Work/task structure
Social/relational structure
IBS II CLASS PRESENTATION
9. Handy’s and Trompenaar’s classifications
Handy’s classification:
Role culture
Power culture
Task culture
People culture
Trompenaar’s
classification
Eiffel Tower culture
Family culture
Guided Missile
culture
Incubator culture
IBS II CLASS PRESENTATION
10. Combining both, we make hypotheses
H1: Organizational cultures which assume authoritarian
or hierarchical distribution of power imply
implementation of directive change strategies
H2: Organizational cultures which assume egalitarian
distribution of power imply implementation of
participative change strategies
H3: Organizational cultures oriented towards work
structure and tasks imply the implementation of change
strategies in which work structure and tasks are the
tools for change
H4: Organizational cultures oriented towards social
structure and tasks imply implementation of change
strategies in which social structure and relations are the
primary tools of change
IBS II CLASS PRESENTATION
11. Conclusions
Further scope of research into relations between org. culture and org. change strategies
Need to expand research into impact of org. culture on character of change process
Continuous or discontinuous
Partial or comprehensive
Evolutionary or revolutionary
Developmental or adaptive
Culture’s impact on efficiency of change process
Feedback effect
Impact of org. culture on leadership style, org. structure, org. learning, motivation and reward
system
IBS II CLASS PRESENTATION
12. Limitations
Explorative and theoretical resulting in unproven hypotheses
Pending testing vis-à-vis validity
Limited in investigation org. culture on just one aspect of change management – strategy
Exclusive reliance on limited classifications of org. change and culture
IBS II CLASS PRESENTATION