CHANGEMANAGEMENT Presented By: Neha Thakur Ruhi Beri Sukhman Mann Vidushi Thareja
Topics for DiscussionChangeOrganisational ChangeFactors affecting ChangeResistance to ChangeNeed for ChangeProcess for creating Change
The Only Thing Which Is Permanent In This World……… CHANGE!!!
Organisational change is defined as change thathas an impact on the way that work is performed andhas significant effects on staff. This could includechanges:- In the structure of an organisation- To organisational operation and size of a workforce- To working hours or practices- In the way roles are carried out- To the scope of a role that results in a change tothe working situation, structure, terms andconditions or environment.
Organization-wide Versus Subsystem ChangeOrganizations undertake organization-wide change toevolve to a different level in their life cycle. E.g.Major restructuring, collaboration or rightsizing. Subsystem change might include addition or removalof a product or service, reorganization of a certaindepartment, or implementation of a new process todeliver products or services.
Transformational Versus Incremental ChangeTransformational change or quantum change mightbe changing an organizations structure and culturefrom the traditional top-down, hierarchical structureto a large amount of self-directing teams.Incremental change might include continuousimprovement as a quality management process orimplementation of new computer system to increaseefficiencies.
Remedial Versus Developmental ChangeChange can be intended to remedy currentsituations. E.g. To improve the poor performance of aproduct, reduce burnout in the workplace or addresslarge budget deficits.Change can also be developmental to make asuccessful situation even more successful. E.g. Expandthe amount of customers served, or duplicatesuccessful products or services.
Unplanned Versus Planned ChangeUnplanned change usually occurs because of a major,sudden surprise to the organization, which causes itsmembers to respond in a highly reactive anddisorganized fashion.Planned change occurs when leaders in theorganization recognize the need for a major changeand proactively organize a plan to accomplish thechange.
Factors affecting Organisational ChangeExternal factors Internal factorsGlobalization Managerial andIncreased Competition administrative processesGovernment Policies Individual and groupEconomic Factors expectationsPolitical Factors Deficiency in existingChanging Customer organizationneeds and preferences Developing inertiaTechnological Changes Nature of workforce
Resistance to Change INDIVIDUAL ORGANISATIONAL BARRIERS BARRIERSEconomic Fears Structural inertiaFear of the unknown Work group normsFear of social Threat to existingdisruptions balance of powerEffort History of changeFear of loss of power efforts gone wrongand autonomy Boards of directorsCommitment to the oldposition.
Minimizing Resistance to ChangeCommunicationLearningEmployee InvolvementStress ManagementNegotiationCoercion
Need for ChangeChange is used as a survival tactic in today’s business environment. If the organisation does not keep a pace with changingtechnology, consumer demands and effective business processes, they will lose their competitive edge.
KOTTER’S EIGHT-STAGEPROCESS FOR CREATING CHANGE
1.Establishing a Sense of UrgencyExamining the market and competitiverealities (SWOT matrix)Help others see the need for change andthe importance of acting immediately
2.Creating the Guiding Coalition Building teams and forming influential guidingcoalitions , one with leadership skills, bias for action,credibility, communication skills, authority andanalytical skills for motivating change.
4.Communicating the Change VisionMake sure as many others as possibleunderstand and accept the vision and thestrategy
5.Empowering Broad-Based ActionDevelop a shared sense of purposeBreak the change up into smaller projects and allowpeople to add to the processGive small groups specific projects to do that willhelp contribute towards the change.
6.Generate Short-Term WinsMake sure you make time to acknowledge andcelebrate the wins. Don’t keep looking up the mountain.Provide positive feedback to further builds moraleand motivation.
7.Consolidating Gains and Producing MoreChange Not letting up after the first success,consolidating improvements and sustain themomentum for changeHiring, promoting and developing people who canimplement the change vision
8.Anchoring New Approaches in the CultureArticulating the connections between newbehaviours and organisational success and holding onto the new ways until they become a part of the veryculture of the groupEndeavour to: Create better performanceEncourage better leadershipInculcate effective management