Organizational Leadership powerpoint

1. GROUP 3
CHAPTER 10 - Global Leadership
CHAPTER 11 - Inspirational and Visionary
Leadership
CHAPTER 12 - Strategic Leadership and Shaping
Organizational Culture
CHAPTER 13 - Generating Organizational Change
through Strategic Leadership

2. CHAPTER 10 - Global Leadership
• “More and more, in any company
managers are dealing with different
cultures. Companies are going global,
but the teams are being divided and
scattered all over the planet.”
• Carlos Ghosn, CEO of Nissan and
Renault
Mariel Herrada

3. Who Are Global Leaders?
Global Leaders are next-generation
leaders who expertly navigate the
international landscape, create cross-
culture connections, and foster
growth for businesses and
communities around the world.
Mariel Herrada

4. Two types of Global Leaders
Expatriate
An individual who lives, typically with his or her
family, in a country other than his or her origin, for at
least six months at a time.
If an individual worked for a multinational firm and
was from the United States, but she did an extended
assignment (e.g., one year) in Brazil, then that
person would be considered an expatriate.
Mariel Herrada

5. Two types of Global Leaders
Global Domestic
• An individual who is based in his or her own home country, but most of that
person’s responsibilities or work-based interactions are with individuals in, or
from, other countries.
• With advancements in technology, global domestic leadership is becoming
more popular.
• An example of a global domestic leader is a CEO of a multinational
corporation who is based in the United States but is responsible for managing
the company's operations and business relationships in Europe, Asia, and
other parts of the world. Even though the CEO is based in the United States,
most of their work involves interactions with individuals from other
countries, such as negotiating deals with foreign partners, managing cross-
cultural teams, and ensuring compliance with international business
regulations. While the CEO may travel frequently to meet with stakeholders
in other countries, they remain based in the United States, making them a
Mariel Herrada

6. Understanding the American Cultural and
Business Context
To understand and deal with other cultural or business
contexts as a leader, one must first understand his or her
own home context.
Cultural looseness
Some cultures have strong social norms about what is the
“right” behavior to show, and they also have strong
means of sanctioning the wrong behavior— through both
laws and social mechanisms of approval or disapproval.
Cultural tightness - the strength of social norms and
degree of sanctioning within societies.
Mariel Herrada

7. Understanding the American Cultural and
Business Context
People can change or better themselves under the right
conditions
• The United States has long been known as a land of
opportunity. This is why many people from other
countries come to live here. In their home countries, the
the class they are born into is the class they will stay in
for their entire lives. However, in the United States,
people are encouraged to better themselves by working
hard and getting an education. This is because cultural
values in the US promote self-improvement.
Mariel Herrada

8. Understanding the American Cultural and
Business Context
Individualism
The United States has historically been known for its
“rugged individualism.” In other words, it has traditionally
traditionally encouraged, celebrated, and rewarded
individual efforts. Other cultures tend to be more collective
collective in nature, with individualism being discouraged.
Mariel Herrada

9. Understanding the American Cultural and
Business Context
Universalism
Americans traditionally have tended to be universalists rather than
than particularists or what is also termed relativists. Universalists
Mariel Herrada

10. Understanding the American Cultural and
Business Context
Time should be revered and carefully managed
• Some cultures, especially “doing” cultures, tend to revere and
and value time. American culture is one example.
• Other cultures are more nonchalant or carefree with regard to
to time. Thus, in those cultures, if an individual arrives 15
minutes late for a meeting, the common sentiment might be,
be, who should care?
• “Time is money”
The past is gone, and only the present and future are really
important
• In many ways, Americans do not dwell on the past or value
history. Instead, the focus is on the present and future
possibilities.
Mariel Herrada

11. Understanding the American Cultural and
Business Context
Openness and directness
Americans tend to be open to other people, even strangers, rather
than remaining private or aloof.
As an example, Americans tend to smile at, and even say hello to,
strangers on the street. In a similar vein, Americans tend to value
being direct and to the point. As an example, when an American says
says “yes,” she or he means yes, and when an American says “no,” she
she or he means no.
It may seem obvious to some people that being direct is the most
honest way of communication. However, it is important to
understand that different cultures have their own norms and values
values that might be different from ours. We might not even realize
that some of our behaviors are influenced by our culture. For
instance, in Japan, it is considered impolite to say "no" directly, even if
even if that's how one feels. Instead, they might express their refusal
refusal indirectly, by saying something like "that would be difficult"
difficult" or using body language that conveys the same message.
Mariel Herrada

12. In addition to the positive aspects of American culture, there is a
negative aspect that needs to be addressed. American culture is
often characterized by parochialism, ethnocentrism, and
arrogance when it comes to cultural norms and values. This means
that while people around the world are familiar with American
culture, Americans tend to have limited knowledge about other
cultures. Furthermore, Americans generally believe that their
culture is superior to others. For instance, Americans highly value
punctuality and expect fast service in a Parisian restaurant, while
Parisians view such service as disrespectful since it hurries the
dining experience.
Mariel Herrada

13. Problem-Solving and Decision-Making
AMERICAN MANY NON-WESTERN CULTURES
Difficult situations should be viewed as problems
to be solved
Acceptance of problematic situations the way
that they are
“get it in writing” Relationship and trust building
Linear or sequential thinking Integrative or holistic thinking
Frequent delegation of decision-making Decision made by management only
Quick, sometimes bold decision-making Slow, risk-aversive decision-making
Leaders help followers solve problems and
provide answers for themselves
Leaders are supposed experts, so they are
expected to have all the news.
Kate Comanda

14. The Bottom Line: Know Thy Own Culture
In sum, the overall purpose of this section on American
culture is to stress that a necessary first step of being an
effective global leader is to understand one’s own cultural
influences. In so doing, one can get a better feel for some of the
reasons as to why she or he thinks, feels, and behaves and how
individuals from other cultures may differ. Note that we have
stressed both the broader cultural or societal context as well as
how culture applies to work setting issues. Thus, the global
leader must inevitably deal with how culture affects life both
personally as well as in work settings. Indeed, as we will see,
work and non work lives oftentimes blend together when
working in cultures outside of the United States.
Kate Comanda

15. Three key factors in Global Orientation
 Global business know-how
• Global leader needs to possess knowledge in such
industry-level areas as customers, competitors, supply
chains, and risks of doing business.
• A leader will also need know-how regarding how
government and government regulations affect doing
business in different countries, as well as the extent to
which doing business coincides with nonbusiness,
cultural norms.
Mialyn Mabalhin

16. Three key factors in Global Orientation
 Cross-cultural know-how
Cross-cultural know-how pertains to a variety of issues
including politics, religion, art, and history of cultures.
Oftentimes in other cultures, these issues end up getting
intertwined with how business is done
Mialyn Mabalhin

17. Three key factors in Global Orientation
 Cross-cultural engagement
• To engage means to show emotional enthusiasm, excitement,
curiosity, and passion about people and ways of doing things in
different parts of the world.
• Note that it also means that these positive emotions will outweigh
more negative ones, such as fear and anxiety
• Leaders with a strong desire to engage cross-culturally anticipate and
experience a feeling of joy and excitement in unfamiliar cultural
environments.
• On the other hand, cross-cultural engagement does not imply that the
global leader will set aside all of his or her own cultural values or
allegiances.
Mialyn Mabalhin

18. Avoiding Misinterpretations
• The possibility of misinterpretations represents a key pitfall in
crosscultural interactions. A lack of cultural self-awareness,
combined with a lack of awareness of other cultures with which
one is dealing, can easily lead to misinterpretations and poor
communication.
• The lesson to be learned from these examples is that a lack of
understanding of one’s own and others’ cultures can result in
having what can be metaphorically termed “cultural
blinders.”
Mariel Tagalog

19. Inspirational and Visionary Leadership
"How do you inspire people to achieve more
than they expect they can achieve?”
—Nelson Mandela (played by Morgan Freeman) to
Francois Pienaar (played by Matt Damon) in the
movie Invictus
Mariel Tagalog

20. The Connection Between Bases of Power and
Influence
Power is basically the ability to get things done in a
manner that suits one’s goals. Power is important for
leaders since it forms the basis of influence.
Mariel Tagalog

21. Hard Versus Soft Power
HARD POWER = Coercive, formal/legitimate, and
reward/resources sources of power that tend to be
derived on the basis of one’s position in an
organizational hierarchy.
SOFT POWER = Expert or personal sources of power
that do not rely on one’s position in an organization,
and indeed, these bases of power can be applied by
people at any level.
Mariel Tagalog

22. Influence Tactics
There is a clear connection between the bases of power
that a person emphasizes and how that person will
choose to influence others. When people feel good
around a leader, they also respect and trust that person.
This form of influence can be very potent for a leader.
The key for the leader is to develop a full range of bases
of power and then use all of these influence tactics,
depending on the person being influenced and the
situation.
Mariel Tagalog

23. Targets of influence
Leaders can have multiple targets of influence.
First, the most obvious target is immediate
followers (i.e., individuals who report to a leader).
Indeed, much of this book is oriented to a
consideration of how leaders influence direct
reports. But beyond followers, leaders often need to
influence others who can affect their success or the
success of their followers. Specifically, and perhaps
especially at higher levels of organizations, they can
influence by developing allies and network ties
beyond their immediate teams.
Icy Madagnas

24. Charismatic and Transformational
Leadership
When leaders are able to rationally persuade,
display vision and a higher sense of purpose, and
make people feel good to be around them, then
they are able to inspire.
Icy Madagnas

25. Charismatic Leadership
• Charismatic leadership is a term that is often reserved for
leaders who are perceived to be extraordinary as people, as
well as in the manner in which they lead. Much has been
written about charismatic leadership, and the term is used in
common parlance to describe some leaders.
• self-confidence and conviction based on strongly held beliefs
and values with which others can identify,
• high energy and passion for the vision or sense of purpose
toward which the leader wants to strive,
• appeals to both followers’ thought processes and their
emotions,
• perceived as a role model, strong liking or devotion on the
part of followers.
Icy Madagnas

26. Transformational Leadership
• Transformational leadership has elements that
overlap with charisma in that they both result in
inspiration on the part of followers. Bernard Bass
is largely credited with first applying the concept
of transformational leadership to organizations. 8
Subsequently, researchers have found that
transformational leadership is highly associated
with performance in organizations.
Icy Madagnas

27. Inspiration
is at the core of what transformational leadership is all about.
Through inspirational motivation, leaders articulate a
compelling vision of the future and have a strong sense of
purpose. They are enthusiastic and optimistic about the future
and the pursuit of goals.
Individualized consideration
goes beyond such a style in that the leader treats each
follower as an individual, rather than just a member of the
group.
Icy Madagnas

28. Intellectual stimulation
is the 3rd “I” of the 3 Is of transformational leadership.
Whereas inspirational motivation and individualized
consideration are more oriented toward emotional aspects of
leading, intellectual stimulation is more cognitive.
Mission as a Basis for Vision
As already mentioned, vision is a core element of what makes a
leader inspirational. Before describing the nature of leader
vision, it is important to consider the connection to an
organization’s mission. Mission (also known as core purpose)
represents a relatively enduring quality of an organization that
is established by its founding leader(s). It endures despite
changing technologies, economic circumstances, and other
changes in an organization’s environment.
Icy Madagnas

29. Table 11.1 Alternative Core Purpose (Mission)
Statements
Narrow, but Possible Broader, and Actual
Mary Kay: Sell cosmetics Mary Kay: Enrich the lives of women
3M: Make adhesives and
abrasives
3M: Have a perpetual quest to solve problems
Dollar General: Sell things for less than $1 and still make a
profit
Dollar General: Give low-income people a good deal
Liberty Mutual: Sell insurance Liberty Mutual: Help people live
safer, more secure lives
General Electric: Be
competitive in each industry in which it does business
General Electric: Be either no. 1
or no. 2 in each industry in which it does business
Motorola: Make televisions Motorola: Apply technology to benefit the public
Starbucks: Sell cups of coffee
to go (or drink in the store)
Starbucks: ???
Apple: Make personal
computers
Apple: ???
Icy Madagnas

30. Effective Leader Vision
Five key elements of effective leader vision.
Long-term and bold
Big hairy audacious goal (BHAG); oftentimes used to
characterize what vision is all about because it is both long term
and bold.
Change-oriented
A vision does not involve relatively incremental tweaks to the
status quo. Instead, it is highly change oriented, and it even be
described as radical in nature.
Reflects high ideals and values, provides meaning, and
The pursuit of these ideals and values, in turn, provides
meaning to people and energizes them emotionally.
Krishen Pumar

31. Effective Leader Vision
Five key elements of effective leader vision.
Possible to attain and within a latitude of acceptance.
There can be a fine line between vision and insanity. Vision
extends one’s perspective in ways that can seem far fetched and
risky. But if the vision goes too far, it can seem ridiculous and not
worth considering.
Shared widely, but pieced out individually.
The idea of a vision being “shared” is a two-way street. That
is, it is not only important for a leader to share or communicate a
vision widely among followers, but it is also important that
followers take the vision to heart, so to speak, and share it.
Krishen Pumar

32. How Are Leader Values Connected to
inspiration/Vision?
First, they asked CEOs of these firms how much importance should be attached to
various considerations when these CEOs make strategic decisions. They labeled
these considerations as decision-making values. One set of items dealt with
stakeholders, including employees, customers, physical environment, and the
greater community or nation in which the firm operates. These people or entities are
referred to as stakeholders, since they all have a stake in how the firm operates or
what it accomplishes—both good and potentially bad. CEOs who rated these items
highly were characterized by the researchers as strong on stakeholder-based values.
A second set of items pertained to economic concerns, such as the importance of
considering profits, sales volume, and cost controls. When CEOs reported that such
concerns should take predominant importance their strategic decision-making, the
researchers characterized those CEOS as strong on economic values. In rating both
stakeholder and economic values, CEOs were asked which ones should be
predominant, versus being more secondary.
Krishen Pumar

33. How Are Leader Values Connected to
inspiration/Vision?
Krishen Pumar

34. So what can we learn from this research? We see the following key takeaways:
• Stakeholder values engender perceptions of better leadership.
• Leadership is largely in the eye of the beholder. In other words, what really matters is how
others view an individual’s leadership.
• Stakeholder values and inspirational/visionary leadership result in good outcomes.
• The outcomes that these values and leadership are likely to achieve are not only in terms of
direct effects on employees (i.e., commitment and extra effort) but also in terms of bottom-line
financial outcomes.
• Stakeholder values and inspiring/visionary leadership are global.
• One interesting aspect of this research is that it involved firms from many countries and
continents (including Africa). Accordingly, the findings are relevant to locations around the
world, not just firms in Western countries.
• Economic values are important, but should not be predominant.
• There is nothing in the research by Sully de Luque and colleagues that would suggest that
leaders should not be concerned with profits and controlling costs. Without positive financial
outcomes, a firm cannot survive.
Krishen Pumar

35. CHAPTER 12

36. Environmental Context, Competitive
Advantage, and Organizational Culture

37. CONTENTS
ENVIRONMENTAL
CONTEXT
COMPETITIVE
ADVANTAGE
ORGANIZATIONAL
CULTURE

38. ENVIRONMENTAL CONTEXT
Environmental context refers to the surroundings or
conditions in which something exists or happens. It
can be used to describe the physical, social, cultural,
and economic environment of a firm, organization, or
individual.

39. ENVIRONMENTAL CONTEXT
It is important to put strategic leadership in context: specifically, the
environmental context of firms. In many ways, strategic leadership is
about continuously monitoring or scanning an organization’s
environmental context to determine new trends, threats, and
opportunities all of which can potentially affect (positively or
negatively) competitive advantage.

40. ENVIRONMENTAL CONTEXT
That context can be largely characterized along three dimensions:
1. Economic (i.e., globalization trends, increased competition)
2. Regulatory (i.e., changing local, national, and global
laws/regulations that can affect how a firm does business)
3. Technological (i.e., how changing technology can affect work
processes, products, and services)

41. ENVIRONMENTAL CONTEXT
Firms need to be aware of the environmental context
in which they operate and to be prepared to adapt to
changes in that context. This can be done by
conducting regular environmental scans and industry
analyses.

42. COMPETITIVE ADVANTAGE
 Competitive advantage is a company's ability to
differentiate itself from its competitors and perform
better in the marketplace. It is what makes a
company's products or services more desirable to
customers than those of its rivals
 the advantage that a firm creates for itself based on
valuable, rare, and not easily imitated, and non-
substitutable resources.

43. Regardless of the industry in which a firm
competes, the job of the strategic leader is to
continuously keep an eye on trends and
changes that might challenge the status quo
or how the organization is currently
maneuvering in its environment to maintain
competitive advantage.
COMPETITIVE ADVANTAGE

44. Example of
competitive
advantage
Let’s take an example. In the early 1990s, the IBM Company was failing. Its stock price had
plummeted, and many Wall Street analysts were calling for the firm to be broken up and sold
off in pieces. By 1992, more than 60,000 jobs had been lost and, in spite of the previous CEO’s
efforts at transformation, the company seemed doomed. In 1993, Lou Gerstner became the
first outsider in its history to be appointed as CEO. Over the next decade, under his leadership,
the company was transformed from a failing maker of computers to a successful software and
services business.
In describing this transformation, Gerstner claimed that the main reason the prior
management could not transform IBM was not due to attempts to execute new strategy.
Instead, it was a case that the values and culture had been created for an earlier point in time
and other strategies. He argued, “Until we got to the issues of culture and values and behavior,
we never
would have changed IBM.”
The IBM story is just one example of many whereby organizational culture and leadership are
identified as either a source of competitive advantage (e.g., Southwest Airlines, Google,
Nordstrom, Zappos) or, alternatively, as a barrier to change and a source of competitive
disadvantage (e.g., IBM, Wells Fargo, Kodak, Enron). A recent Deloitte study revealed that 86
percent of U.S. executives believe that culture is a potential competitive advantage and
important to business success

45. ORGANIZATIONAL CULTURE
the expectations that
organizational members
share about how to think
and act.
represents shared values (that define
what is important) and norms or
shared social expectations that
define appropriate
attitudes and behaviors of
organizational members.
is the shared values, beliefs,
and attitudes that shape the
behavior of people within an
organization.
It is often described as the
"personality" of an organization
and is shaped by a variety of
factors, including the
organization's history, leadership,
and industry.

46. One helpful way to think about organizational culture has been suggested by Ed
Schein, perhaps the most important scholar of organizational culture.
In line with an iceberg metaphor (see Figure 12.1), he suggested
that we think about culture as occurring at three different levels:
(1) basic underlying assumptions and beliefs about the organization that may
be unconscious or taken for granted (e.g., people are self-interested and
need to be carefully watched, versus people are inherently good and can be
trusted).
(2) norms and values that can be espoused (e.g., employees are our most
important asset and can be trusted, versus we really do not trust employees),
and
(3) cultural artifacts like company symbols, dress, and language that are visible
but sometimes hard to decipher.
In his seminal book, Schein began by claiming that “the only thing of real
importance that leaders do is to create and manage culture” (p. 2).
He finishes some 300 pages later by concluding, “The unique and essential
feature of leadership is the manipulation of culture” (p. 317).

47. Organizational culture can also be valuable in
attracting, motivating, and retaining
employees. If a company has very strong
norms and values, these can act as a signal to
potential employees and help them decide on
whether the
firm is a good fit for them.
By being clear about norms and values, a
strong culture can also be a great source of
motivation for employees. If employees like
the culture and what the organization stands
for, they may identify with the firm; that is,
they admire what the firm stands for and are
proud to tell others that they work there.
If employees identify or internalize the norms
and values of the organization, research
would suggest that they are more likely to be
highly motivated and willing to go the extra
mile for the company
when an organization has a strong culture, it is
better able to attract, motivate, and retain the
right types of employees and more likely to
screen out those who will not provide a good
fit. But overall, when culture is strong (i.e.,
tightly shared norms, beliefs, and values
among organizational members), it can help
create competitive advantage.
ORGANIZATIONAL CULTURE

48. How Norms affect Behavior
Norms in every culture create conformity that allows
for people to become socialized to the culture in
which they live. As social beings, individuals learn
when and where it is appropriate to say certain
things, to use certain words, to discuss certain topics
or wear certain clothes, and when it is not.
Ej Salac

49. Aligning Culture with Vision, Mission and
Strategy
Aligning culture with Vision, Mission and
strategy, employees understand their contributions to
organizational objectives, enhancing engagement and
commitment. It involves targeted interventions,
fostering desired behaviors and values. This
alignment drives success and creates a sense of
purpose for employees.
Ej Salac

50. How Do Leaders Create and Reinforce
Culture?
• By prioritizing interactions with team members, leaders
create an environment of trust, appreciation and
collaboration—strengthening team culture.
• They include small and large firms, private companies,
publicly listed firms, and military organizations. They
span industries from high tech to low tech, financial 266
services, manufacturing companies, and health care.
Although the norms and values that define them are
oftentimes different, the processes and techniques
through which their leaders create and shape them are
highly similar.
Rose Manlanot

51. Mechanisms for Leading Cultures
• These are the five common mechanism or key levers:
 Day-to-day leader actions.
Most people want to fit in and be accepted by their group or
organization. To do this, we pay attention to our leaders. We listen
to what they say and watch what they do. In other words, we “boss
watch.”
 Social activities and ceremonies
Strong culture leaders typically encourage social activities and
ceremonies to build ties among organizational members. They
emphasize intrinsic as well as extrinsic rewards (being a part of
the group is a reward itself), and they use group approval to signal
group membership.
Rose Manlanot

52. Mechanisms for Leading Cultures
 Clear signals through stories, specialized language, and
symbols
Strong culture organizations typically are very clear in
communicating how they expect people to behave,
sometimes even signaling that the organization is not for
everyone, and perhaps only special people will succeed
(e.g., “The few, the proud, the Marines”).
 Selection and socialization
Strategic leaders in strong cultures like to use selection
and socialization procedures to help ensure that the
culture gets continually reinforced. After all, the old adage
“the people make the place” is true. And if the people
do make the place, it is essential that they be properly
selected with the culture in mind and then mechanisms
Rose Manlanot

53. Mechanisms for Leading Cultures
 A carefully aligned reward system
Finally, leaders in strong culture organizations ensure that the
reward system is precisely aligned with the expected behavior. Clearly,
money is an important motivator, but it is not a very good way to
shape culture.
A Case Example
Rose Manlanot

54. CHAPTER 13
Generating Organizational Change through
Strategic Leadership
“If you don’t like change, you’re going to like irrelevance
a lot less.”
—Alan Mulally, CEO of Ford, 2006–2014
“Leadership is the capacity to translate vision into
reality.”
—Warren Bennis, author and management consultant
Jiehan Hempon

55. Learning Objectives
13.1 Explain how the accelerating pace of change due to
technological, competitive, and regulatory factors
increases the importance of strategic leadership
13.2 Contrast the different types of organizational change, and
how these may require different leadership strategies
13.3 Describe a change framework for diagnosing and leading
organizational change
13.4 Identify the major causes of resistance to change and how
leaders can deal with such resistance
Jiehan Hempon

56. Why the Leading of Change Has Become
So Important
IBM (computers), Ingram
(electronics distribution), Johnson
& Johnson (pharmaceuticals),
Nokia (mobile phones), Vivendi
(media), and Toyota (automobiles)
Polaroid, Digital Equipment
Corporation (DEC), U.S. Steel,
Smith Corona, Kodak, and General
Motors (GM).
firms come from different countries
and compete in different industries
well-known companies in the past that
had leaders who helped them move
into new businesses
failed and either gone bankrupt
Jiehan Hempon

57. Two Big Insights That Are Critical For
Managers To Understand
• First, the evidence is that the pace of change is accelerating.1
The penetration of new technologies such as the Internet,
mobility, and artificial intelligence is happening faster than at
any point in history.
• consumer preferences (communication, transportation),
government regulation (banking, airlines), competition
(offshoring, low-cost producers), and new business models
(hospitality, transportation).
• The second notable finding is that the reason for these failures
is not technology but, instead, the inability of company
leaders to lead change.
Jiehan Hempon

58. Four Basic Frames of Organizational
Change
Figure 13.1 Types of Organizational Change
Proactive Change
anticipating a coming change and actively embracing
it before the competition does.
Reactive Change
change that occurs after a threat has affected the
existing business
Jiehan Hempon

59. Incremental change
small improvements to existing products and
processes in order to improve efficiency or make
products and services more attractive to
customers.
Discontinuous change
typically requires new skills and capabilities and
may also need significant new resources to
implement; to succeed, these changes often require
major shifts in structures and processes that can
challenge the existing way of operating.
Ellie Ulgasan

60. The Role of the Leader in Change
the most radical change involves proactive,
discontinuous actions on the part of leaders and
their firms. In other words, the change is
fundamentally transformative. Given that people
are largely leery of change, transformative
change can be especially challenging for leaders.
Ellie Ulgasan

61. 3 - STAGE APPROACH FOR GENERATING
ORGANIZATIONAL CHANGE
UNFREEZE CHANGE REFREEZE
Begin by
preparing for the
change.
Implement the
change.
Embed the change
into the
organization.
Aira Marie V. Isaal

62. Aira Marie V. Isaal

63. KOTTER'S 8-STEP
MODEL OF
PLANNED CHANGE
Aira Marie V. Isaal

66. Confronted with the need to change well-established
routines, many employees ask themselves three
important questions about the proposed change: Why?
When? What’s in it for me? Thus, there is a need to
develop among employees a sense that there is an
important need to change, as well as a commitment to
make something happen.
1. CREATE A SENSE OF
URGENCY FOR CHANGE

67. Since organizations are often inertial and resist
change, the beginnings of a change effort require
the identification of those key people who will
support the change. This group can provide the
initial energy for the change effort.
2. FORM A POWERFUL
COALITION

68. Leader vision is an important aspect of effective leadership.
Vision messages need not be complicated, and the purpose of
the change effort should be expressed in a simple, emotionally
compelling message. This vision and the associated strategy
can help people understand what you are trying to achieve
through the change, and how the effort can benefit them. It
should help others “see” what the future organization will look
like.
3. CREATE A VISION FOR
CHANGE

69. Once formulated, the vision and reason for the change needs
to be communicated frequently and powerfully at all levels of
the organization. The communication should not simply be a
slogan or message but, instead, illustrated with stories and
examples. If employees are to be convinced that a change
effort is important, they need to see and hear the message
again and again, and through different means.
4. COMMUNICATE AND ROLE
MODEL THE VISION WIDELY

70. 5. Remove obstacles – as the change unfolds, careful
attention should be paid to identifying obstacles to change
so that people in the organization are empowered to act
6.Create short-term wins –in any change effort, many
people will be initially skeptical and looking for indications
that the effort is serious and can be successful, even if in
little ways.
Kent Buladaco

71. 7. Build on the change – change effort are more like
marathon races rather than sprints. A few short-term wins
do not guarantee long-term success.
8. Anchor the changes in the organizational culture – for a
change effort to be sustained , it is important that the new
ways of behaving are reflected in the culture. This may
include the creation of new position that embody the change
effort and send a very clear signal to employees about what
is important.
Kent Buladaco

72. Dealing With Resistance to Change
U.S Army General Patricia McQuiston has said “People
don’t hate change. They hate change that is force upon
them. In reality, there are various shades of perceptions
toward change, ranging for eagerness to pursue it, to
outright despising or fear change. Regardless, resistance
to change is a normal and inevitable part of the process
of organization transformation.
Kent Buladaco

73. THANK YOU!