Class Report Managing Change and Innovation PLM MBA TEP Batch 6
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***DISCLAIMER**** Presentation based on textbook Management by Robbins and Coulter. Images appropriated for classroom discussion only.
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Class Report Managing Change and Innovation PLM MBA TEP Batch 6
- 1. Managing CHANGE and INNOVATION
- 5. Characteristics of Change Is constant yet varies in degree and direction Produces uncertainty yet is not completely unpredictable Creates both threats and opportunities
- 6. The Calm Waters Metaphor
- 9. Types of Organisational Change
- 10. ORGANIZATIONAL CHANGE Any alterations in the people, structure, or technology of an organization
- 11. Forces for Change External Forces Marketplace Governmental laws and regulations Technology Labor market Economic changes © 2007 Prentice Hall, Inc. All rights reserved.
- 12. Forces for Change Internal Forces Changes in organizational strategy Workforce changes New equipment Employee attitudes © 2007 Prentice Hall, Inc. All rights reserved.
- 13. Change Agents Persons who act as catalysts and assume the responsibility for managing the change process. © 2007 Prentice Hall, Inc. All rights reserved.
- 14. TYPES OF CHANGE Changing Structure Changing Technology Changing People
- 15. TYPES OF CHANGE Changing Structure Because an organization’s structure is defined by how work gets done and who does it, managers can alter one or both of these structural components.
- 16. TYPES OF CHANGE Changing Technology Scientific management techniques involved implementing changes that would increase production efficiency.
- 17. TYPES OF CHANGE Changing People Changing people involves changing attitudes, expectations, perceptions, and behaviors. Organizational development (OD) is the term used to describe change methods that focus on people and the nature and quality of interpersonal work relationships.
- 18. Organizational Development Techniques © 2007 Prentice Hall, Inc. All rights reserved.
- 19. Managing Resistance to Change
- 21. Managing Resistance to Change Why People Resist Change? The ambiguity and uncertainty that change introduces The comfort of old habits A concern over personal loss of status, money, authority, friendships, and personal convenience The perception that change is incompatible with the goals and interest of the organization © 2007 Prentice Hall, Inc. All rights reserved.
- 22. Managerial Actions to Reduce Resistance to Change • Education and communication • Participation • Facilitation and support • Manipulation and co-optation • Selecting people who accept change • Coercion © 2007 Prentice Hall, Inc. All rights reserved.
- 24. Contemporary issues in Managing Change
- 25. Issues in Managing Change (cont’d) Changing Organizational Cultures Cultures are naturally resistant to change. Conditions that facilitate cultural change: The occurrence of a dramatic crisis Leadership changing hands A young, flexible, and small organization A weak organizational culture © 2007 Prentice Hall, Inc. All rights reserved.
- 26. Issues in Managing Change (cont’d) Handling Employee Stress Stress The adverse reaction people have to excessive pressure placed on them from extraordinary demands, constraints, or opportunities. Functional Stress Stress that has a positive effect on performance. How Potential Stress Becomes Actual Stress When there is uncertainty over the outcome. When the outcome is important. © 2007 Prentice Hall, Inc. All rights reserved.
- 27. Causes of Stress © 2007 Prentice Hall, Inc. All rights reserved.
- 28. Five categories of Organizational Stressors Task Demands-factors related to the job Role Demands-pressures placed on an employee as a function of the particular role he or she plays in the organization. Intrapersonal Demands-pressure created by co-workers Organizational Structure Organizational Leadership
- 29. Symptoms of Stress © 2007 Prentice Hall, Inc. All rights reserved.
- 30. Issues in Managing Change (cont’d) Reducing Stress Engage in proper employee selection Use realistic job interviews for reduce ambiguity Improve organizational communications Develop a performance planning program Use job redesign Provide a counseling program Offer time planning management assistance © 2007 Prentice Hall, Inc. All rights reserved.
- 31. Issues in Managing Change (cont’d) Making Change Happen Successfully Embrace change—become a change-capable organization. Create a simple, compelling message explaining why change is necessary. Communicate constantly and honestly. Foster as much employee participation as possible—get all employees committed. Encourage employees to be flexible. Remove those who resist and cannot be changed. © 2007 Prentice Hall, Inc. All rights reserved.
- 32. Characteristics of Change-Capable Organizations • Link the present and the future. • Make learning a way of life. • Actively support and encourage day-to-day improvements and changes. © 2007 Prentice Hall, Inc. All rights reserved. • Ensure diverse teams. • Encourage mavericks. • Shelter breakthroughs • Integrate technology. • Build and deepen trust.
Editor's Notes
- If it weren’t for change, a manager’s job would be relatively easy. Planning would be simple because tomorrow would be no different from today. The issue of effective organizational design would also be resolved because the environment would not be uncertain and there would be no need to redesign the structure. Similarly, decision making would be dramatically streamlined because the outcome of each alternative could be predicted with almost certain accuracy. But that’s not the way it is. Change is an organizational reality.
- THE CALM WATERS METAPHOR. At one time, the calm waters metaphor was fairly descriptive of the situation that managers faced. It’s best discussed using Kurt Lewin’s three-step change process.5 (See Exhibit 6-2.)
- According to Lewin, successful change can be planned and requires unfreezing the status quo, changing to a new state, and refreezing to make the change permanent. The status quo is considered equilibrium. To move away from this equilibrium, unfreezing is necessary. Unfreezing can be thought of as preparing for the needed change. It can be done by increasing the driving forces, which are forces pushing for change; by decreasing the restraining forces, which are forces that resist change; or by combining the two approaches.
- White-Water Rapids Metaphor The lack of environmental stability and predictability requires that managers and organizations continually adapt (manage change actively) to survive. Today, any organization that treats change as the occasional disturbance in an otherwise calm and stable world runs a great risk. Too much is changing too fast for an organization or its managers to be complacent. It’s no longer business as usual. And managers must be ready to efficiently and effectively manage the changes facing their organization or their work area.
- Organizational Change Any alterations in the people, structure, or technology of an organization
- Change agents can be a manager within the organization, but could be a non-manager—for example, a change specialist from the HR department or even an outside consultant. For major changes, an organization often hires outside consultants to provide advice and assis- tance. Because they’re from the outside, they have an objective perspective that insiders may lack.
- CHANGING STRUCTURE. Changes in the external environment or in organizational strategies often lead to changes in the organizational structure. Because an organization’s structure is defined by how work gets done and who does it, managers can alter one or both of these structural components.
- CHANGING TECHNOLOGY. Managers can also change the technology used to convert inputs into outputs. Most early management studies dealt with changing technology. For instance, scientific management techniques involved implementing changes that would increase production efficiency.
- CHANGING PEOPLE. Changing people involves changing attitudes, expectations, percep- tions, and behaviors, something that’s not easy to do. Organizational development (OD) is the term used to describe change methods that focus on people and the nature and quality of interpersonal work relationships.
- Stress is more often associated with constraints and demands. A constraint prevents you from doing what you desire; demands refer to the loss of something desired.
- Role conflicts create expectations that may be hard to reconcile or satisfy. Role overload is experienced when the employee is expected to do more than time permits. Role ambiguity is created when role expectations are not clearly understood and the employee is not sure what he or she is to do.
- The record business forever lived in the past Your fear of not surviving should overcome your fear of learning