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Diagnosing external alignment
Some models focus on diagnosing the quality of an organisations
alignment with the external environment.
A good example is SWOT

THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010

1
SWOT
SWOT is a diagnostic model for assessing external alignment and
identifying what needs to be changed to improve organizational
effectiveness

THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010

2
Diagnosing external alignment
Internal factors

11
22
33
44

Strengths
Strengths

Ways to exploit
Ways to exploit

11
22
33
44

11
22
33
44

Weaknesses
Weaknesses

Ways to reduce
Ways to reduce

11
22
33
44

External factors
Opportunities
Opportunities

11
22
33
44

Ways to exploit
Ways to exploit

11
22
33
44

11
22
33
44

Threats
Threats

Ways to reduce
Ways to reduce

11
22
33
44

THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010

3
Diagnosing internal alignment
Some diagnostic models focus primarily on the quality of an
organization’s internal alignment.
A good example is the Mckinsey 7S model

THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010

4
The Mckinsey 7S model

Source: Pascale & Athos, 1981, The Art of Japanese Management

THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010

5
Diagnosing internal & external alignment
Some diagnostic models are more comprehensive and pay
attention to both internal and external alignment.
A good example is the Burke-Litwin causal model of
organizational performance and change

THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010

6
The Burke-Litwin
causal model of
organizational
performance
and change

External
Environment

Leadership
Mission
and
strategy

Organization
culture

Management
Practices
Structure

• internal & external
alignment
• relative weight of causal
relationships

Systems
(policies and
procedures)

Work unit
climate

Tasks and
individual roles

Motivation

Individual and
Organizational
performance

Individual
needs and
values

Source: Burke and Litwin, 1992: 528

THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010

7
External
Environment

Transformational
change
transformational elements

Leadership
Mission
and
strategy

Organization
culture

Management
Practices
Structure

Systems
(policies and
procedures)

Work unit
climate

Tasks and
individual roles

Motivation

Individual and
Organizational
performance

Individual needs
and values

Source: Burke and Litwin, 1992: 528

THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010

8
External
Environment

Transactional change

Leadership
Mission
and
strategy

Organization
culture

Management
Practices
Structure

Systems
(policies and
procedures)

Work unit
climate

transactional elements
Tasks and
individual roles

Motivation

Individual and
Organizational
performance

Individual
needs and
values

Source: Burke and Litwin, 1992: 528

THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010

9
Life cycle models
Life cycle models posit that organizations progress through a
series of predictable stages of development and that each
stage brings with it a set of alignment related issues that have
to be managed.
A good example is Greiner’s five phases of growth

THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010

10
Greiner’s five phases of growth

Crisis of ?

size
Crisis of
RED TAPE

Crisis of
AUTONOMY

Crisis of
CONTROL

4. Growth through
COORDINATION

Crisis of
LEADERSHIP

3.
2.

1.

5. Growth through
COLLABORATION

Growth through
DELEGATION

Growth through
DIRECTION

Growth through
CREATIVITY

time
Source: Greiner, 1972, HBR, 50, 38.

THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010

11
Greiner’s five phases of growth
Crisis of ?

size
Crisis of
RED TAPE
Crisis of
AUTONOMY

Crisis of
CONTROL

Crisis of
LEADERSHIP

3.
2.

1.

5. Growth through
COLLABORATION
4. Growth through
COORDINATION
Growth through
DELEGATION

Growth through
DIRECTION

Growth through
CREATIVITY

time
Source: Greiner, 1972, HBR, 50, 38.

THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010

12
Greiner’s five phases of growth
Crisis of ?

size
Crisis of
RED TAPE
Crisis of
AUTONOMY

Crisis of
CONTROL

Crisis of
LEADERSHIP

3.
2.

1.

5. Growth through
COLLABORATION
4. Growth through
COORDINATION
Growth through
DELEGATION

Growth through
DIRECTION

Growth through
CREATIVITY

time
Source: Greiner, 1972, HBR, 50, 38.

THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010

13
Greiner’s five phases of growth
Crisis of ?

size
Crisis of
RED TAPE

Crisis of
AUTONOMY
Crisis of
LEADERSHIP

5. Growth through
COLLABORATION
4. Growth through
COORDINATION
3.

2.
1.

Crisis of
CONTROL

Growth through
CREATIVITY

Growth through
DELEGATION

Growth through
DIRECTION

time
Source: Greiner, 1972, HBR, 50, 38.

THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010

14
Greiner’s five phases of growth
Crisis of ?

size
Crisis of
RED TAPE
Crisis of
AUTONOMY

Crisis of
CONTROL

Crisis of
LEADERSHIP

3.
2.

1.

5. Growth through
COLLABORATION
4. Growth through
COORDINATION
Growth through
DELEGATION

Growth through
DIRECTION

Growth through
CREATIVITY

time
Source: Greiner, 1972, HBR, 50, 38.

THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010

15
Greiner’s five phases of growth
Crisis of ?

size
Crisis of
RED TAPE
Crisis of
AUTONOMY

Crisis of
CONTROL

Crisis of
LEADERSHIP

3.
2.

1.

5. Growth through
COLLABORATION
4. Growth through
COORDINATION
Growth through
DELEGATION

Growth through
DIRECTION

Growth through
CREATIVITY

time
Source: Greiner, 1972, HBR, 50, 38.

THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010

16

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Diagnosing external alignment

  • 1. Diagnosing external alignment Some models focus on diagnosing the quality of an organisations alignment with the external environment. A good example is SWOT THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010 1
  • 2. SWOT SWOT is a diagnostic model for assessing external alignment and identifying what needs to be changed to improve organizational effectiveness THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010 2
  • 3. Diagnosing external alignment Internal factors 11 22 33 44 Strengths Strengths Ways to exploit Ways to exploit 11 22 33 44 11 22 33 44 Weaknesses Weaknesses Ways to reduce Ways to reduce 11 22 33 44 External factors Opportunities Opportunities 11 22 33 44 Ways to exploit Ways to exploit 11 22 33 44 11 22 33 44 Threats Threats Ways to reduce Ways to reduce 11 22 33 44 THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010 3
  • 4. Diagnosing internal alignment Some diagnostic models focus primarily on the quality of an organization’s internal alignment. A good example is the Mckinsey 7S model THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010 4
  • 5. The Mckinsey 7S model Source: Pascale & Athos, 1981, The Art of Japanese Management THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010 5
  • 6. Diagnosing internal & external alignment Some diagnostic models are more comprehensive and pay attention to both internal and external alignment. A good example is the Burke-Litwin causal model of organizational performance and change THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010 6
  • 7. The Burke-Litwin causal model of organizational performance and change External Environment Leadership Mission and strategy Organization culture Management Practices Structure • internal & external alignment • relative weight of causal relationships Systems (policies and procedures) Work unit climate Tasks and individual roles Motivation Individual and Organizational performance Individual needs and values Source: Burke and Litwin, 1992: 528 THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010 7
  • 8. External Environment Transformational change transformational elements Leadership Mission and strategy Organization culture Management Practices Structure Systems (policies and procedures) Work unit climate Tasks and individual roles Motivation Individual and Organizational performance Individual needs and values Source: Burke and Litwin, 1992: 528 THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010 8
  • 9. External Environment Transactional change Leadership Mission and strategy Organization culture Management Practices Structure Systems (policies and procedures) Work unit climate transactional elements Tasks and individual roles Motivation Individual and Organizational performance Individual needs and values Source: Burke and Litwin, 1992: 528 THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010 9
  • 10. Life cycle models Life cycle models posit that organizations progress through a series of predictable stages of development and that each stage brings with it a set of alignment related issues that have to be managed. A good example is Greiner’s five phases of growth THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010 10
  • 11. Greiner’s five phases of growth Crisis of ? size Crisis of RED TAPE Crisis of AUTONOMY Crisis of CONTROL 4. Growth through COORDINATION Crisis of LEADERSHIP 3. 2. 1. 5. Growth through COLLABORATION Growth through DELEGATION Growth through DIRECTION Growth through CREATIVITY time Source: Greiner, 1972, HBR, 50, 38. THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010 11
  • 12. Greiner’s five phases of growth Crisis of ? size Crisis of RED TAPE Crisis of AUTONOMY Crisis of CONTROL Crisis of LEADERSHIP 3. 2. 1. 5. Growth through COLLABORATION 4. Growth through COORDINATION Growth through DELEGATION Growth through DIRECTION Growth through CREATIVITY time Source: Greiner, 1972, HBR, 50, 38. THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010 12
  • 13. Greiner’s five phases of growth Crisis of ? size Crisis of RED TAPE Crisis of AUTONOMY Crisis of CONTROL Crisis of LEADERSHIP 3. 2. 1. 5. Growth through COLLABORATION 4. Growth through COORDINATION Growth through DELEGATION Growth through DIRECTION Growth through CREATIVITY time Source: Greiner, 1972, HBR, 50, 38. THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010 13
  • 14. Greiner’s five phases of growth Crisis of ? size Crisis of RED TAPE Crisis of AUTONOMY Crisis of LEADERSHIP 5. Growth through COLLABORATION 4. Growth through COORDINATION 3. 2. 1. Crisis of CONTROL Growth through CREATIVITY Growth through DELEGATION Growth through DIRECTION time Source: Greiner, 1972, HBR, 50, 38. THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010 14
  • 15. Greiner’s five phases of growth Crisis of ? size Crisis of RED TAPE Crisis of AUTONOMY Crisis of CONTROL Crisis of LEADERSHIP 3. 2. 1. 5. Growth through COLLABORATION 4. Growth through COORDINATION Growth through DELEGATION Growth through DIRECTION Growth through CREATIVITY time Source: Greiner, 1972, HBR, 50, 38. THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010 15
  • 16. Greiner’s five phases of growth Crisis of ? size Crisis of RED TAPE Crisis of AUTONOMY Crisis of CONTROL Crisis of LEADERSHIP 3. 2. 1. 5. Growth through COLLABORATION 4. Growth through COORDINATION Growth through DELEGATION Growth through DIRECTION Growth through CREATIVITY time Source: Greiner, 1972, HBR, 50, 38. THE THEORY & PRACTICE OF CHANGE MANAGEMENT 3rd Edition, John Hayes, Palgrave, 2010 16