Organization culture reflects shared values, assumptions, and norms that unite employees. It affects how employees feel and act. Cultures must evolve to survive changing conditions like economic crises, laws, technology. Culture changes when organizations solve problems. Culture can facilitate or inhibit change, which is needed when culture hinders goals. Environmental and internal forces stimulate change. Top leaders set the tone for culture and change by involving stakeholders, building on shared values, and teaching new members. Change targets include individuals, groups, the organization, and the environment. Successful change agents establish urgency, form supporter coalitions, create and communicate a vision, empower others, plan short-term wins, consolidate improvements, and institutionalize new approaches.

1. Organization Culture and Change Management www.humanikaconsulting.com

2. OrganizationCulture A system of shared values, assumptions, beliefs, and norms that unite the members of an organization. Reflects employees’ views about “the way things are done around here.” The culture specific to each firm affects how employees feel and act and the type of employee hired and retained by the company.

3. In order to survive, organizations and their cultures must continuously evolve and change.

4. Conditionsprompting change Economic crises Changes in laws or regulations Social developments Global competition Demographic trends Explosive technological changes

5. “Cultures change when an organization discovers, invents or develops solutions to problems it faces.”

6. Managing Organizational Change Organization culture can facilitate or inhibit change in an organization. A firm attempts to change organizational culture because the current culture hinders the attainment of corporate goals. Environmental and internal forces can stimulate the need for organization change.

7. Environmental Forces Put pressure on how a firm conducts its business and its relationships with customers, suppliers, and employees. Environmental forces include: Technology Market forces Political and regulatory forces Social trends

8. InternalForces Come from decisions made within the company. May originate with top executives and managers and travel in a top-down direction. May originate with front-line employees or labor unions and travel in a bottom-up direction.

9. Organization Culture Issues

10. Three important issues in an Organization’s Culture Ethics Diversity of employees Leadership behavior

11. How does all this fit together ? Managers and leaders must use good leadership practices to be sure to introduce, develop, reward, and “cement” ethical practices and positive ways of working with diversity into the organization culture

12. ChangingOrganizational Culture Top leaders can set the tone for a culture and for culture change.

13. Involve the keepers and holders of the culture. Build on what all organizational members share. Teach new members how to behave. Leaderswho strive for high-quality products and services understand

14. Implementing Organizational Change Top-down Change ChangeAgents Bottom-upChange

15. Targets for Change Individuals Groups The Organization The Environment

16. Individual Targets Changes in this area are triggered by new staffing strategies or by an effort to enhance workforce diversity. The number and skills of the human resource component. Improving levels of employee motivation and performance.

17. Group Targets Involves changes in the nature of the relationship between managers and subordinates or the relationships within work groups.

18. Organizational Targets Changes in any of the following areas: Basic goals and strategies of the organization Products, quality, or services offered Organizational structure The composition of work units Organizational processes such as reward, communication, or information processing system The culture

19. Environmental Targets Involves changing sectors of an organization’s environment For example, changes in products or services offered may require new technology or a new distribution system.

20. Change agents should take the following steps to obtain a successful change outcome Establish a sense of urgency. Form a powerful coalition of supporters of change. Create a vision of change. Communicate the vision of change. Empower others to act on the vision. Plan and create short-term wins. Consolidate improvements and produce still more change. Institutionalize new approaches.

21. Change Agent’s Profile

24. ACTION !

25. BREAKTHROUGH