CHANGE

MANAGEMENT

Change is Enviable.
anizations that dont change suffer f
Entropy and soon become defunct.

WHAT
ACCORDING
TO YOU
CHANGE
MEANS???

What is Change?
A line which breaks the routine
and alters the state of body, or
mind towards some situation or
activity can be referred as,

CHANGE

What is Change
Management?
Change management is a process by which a
human being adjusts with the alterations of day to
life issues.
Change management includes up-bringing of new
elements in routine life for uplifting or developing
the life or an Organization.
Under the ever changing social environment,
change is inevitable for the survival of the
Organizations.
If the organization do not undergo any change
through adjusting to the changed environment, it
will be marginalized from the society.

NEED FOR THE CHANGE

Change becomes necessary under the crisis situation such as:

Crisis of Leadership.
Crisis of Autonomy.
Crisis of Control.
Control of red-tape.
Crisis for self-discipline.

Crisis of Leadership
Every organization grows over a period of time.
Where an organization grows from the smaller to
larger one, then all the functional operations like
production, marketing, finance, personnel get
expanded.
A smaller unit which was managed by a sole
proprietor, is not in a position to manage the
enlarged unit. He is required to delegate the
authorities and responsibilities.
A leadership which is competent to manage the
larger expanded unit becomes necessary in place
of a smaller unit leadership.

Crisis of Autonomy
Where an unit expands over a period of
time, then the authorities and privileges
enjoyed in a smaller unit, may not be
available similarly in the larger unit.
The division of authority and responsibility
which were concentrated in one hand shall
need to be delegated to more hands.
Such step will bring down autonomy
enjoyed by a person in a smaller
organization.

Crisis of Control
As an organization grows, its
necessities not only the delegation of
authority, but also of the assignment
of the responsibilities.
The delegation and the resultant
assignments, make the control
function more complex and
challenging. Under such a situation
control function faces a crisis
situation.

Control of Red-Tape.

HOW MANY OF
YOU HEARD
THE WORD
RED-TAPE???

Control of Red-Tape.
As we have noted that gradual growth
necessitates the change. Where an
organization periodically grows, the
organization structure is also changed to
adjust to the changing environment.
A functional organization is changed to line
and staff organization. Where such changes
occurs due to growth it increases the
complexities of administration caused by
longer channel of communication and more
formal contacts with managers.

Control of Red-Tape
Such situation results into conflicts and
lack of co-ordination. The conflicts may
be between the functional managers like
production and marketing managers,
between line managers and staff experts.
To avoid such formality and red tape, the
organization change is managed in the
form of matrix organization or
formation of task force.

Crisis for self-discipline

In the matrix organization, the individual
competence becomes secondary and the
group efforts become primary. Every member
of the team or task-force in the matrix
organization contributes to the group efforts.
This situation is described as a crisis of selfdiscipline wherein an individual regulates oneself for the efficiency and effectiveness of the
group efforts backed up by team spirit. The
individual member has to sacrifice his personal
ego un favor of the group objectives .

To overcome such crisis

Serial
No.

(1)
(2)
(3)
(4)
(5)

Crisis

Strategic Change

Crisis of Leadership. Creativity and

Innovation.
Crisis of autonomy.
Effective direction.
Crisis of Control.
Delegation of authority.
Crisis of red-tape.
Matrix Organization.
Crisis of selfCo-operative and
discipline.
collaborated efforts.

Changing external environment

necessitating changes:
Factor
(1)Social

(2) Economic

(3) Political

(4) Technological

Change in the
Factor.

Changed
necessity for
organization.

Growth in population.
Change in fashion.

Increase in demand.
Product development.

Changes in tax rates,

e.g. Excise.

Change in product
mix,
Revision in catalogue
price.

Shift from public

investments to
privatization.

Expansion,
diversification,
mergers,
collaborations.

New research
resulting into new
substitute raw
materials.

Effective
advertisement
highlighting new
technology and

Changing internal environment

necessitating internal changes.
Change in internal situation

Adjustment to such a change.

The change in the production

(1)Deficiency in the present
situation,
flow.
e.g. Change in the production Shift of the resources towards
flow or
urgency of production and
shifted order-booking
sales.
different than
budgeted sales.
(2) Changes in personnel caused
by
sudden resignation or
accidental
death of an employee.

The need of filling the vacancy

through
transfer.
To expedite the new
appointment procedure.

(3) Avoidance of rigidity.

e.g. Some executives develop
umpire building through
sticking on
a position for a longer time

Through transfer for breaking

the umpire harming the
operations.
Refresher training to bring out
employee from the rigid and

Barriers to the Change.

What hampers the

PROCESS
of change???

PERSONAL RESISTANCE
The employees and
executives in the
organization resist changes
due to.

Personal Resistance

(1) Problem of adjustment.

(2) Economic Losses.
(3) Obsolescence of existing skills.
(4) Fear of facing unknown
environment.
(5) Ego maintenance.
(6) Maintenance of group norms.
(7) Social disturbance.

ORGANIZATIONAL
RESISTANCE
A group of a division resists
the changes due to

Organizational Resistance
(1) Changes proving threat to power
and
influence.
(2) Desire to maintain the existing
organizational structure.
(3) Resistance due to resource
constraints.
(4) To prevent the obsoleting of
existing
facilities.

NOW THE GAME BEGINS

TILL NOW WE, JUST SAW THE
GLIMPSES OF CHANGES. I.e.
WHAT, HOW, WHY, WHEN???
NOW WE WILL SEE HOW TO
MANAGE SUCH CHANGE i.e.
STRATEGIES TO MANAGE CHANGE.

STRATEGIES TO MANAGE CHANGE

(A)
Dimension of Change
There are three dimensions of change:
(1) Structural Change.
(2) Technological Change.
(3) Behavioral Change.

(A) 1. Structural Change

To transfer the key officers:
Sometimes some executives are
incapable of
convincing the subordinates about
the
change. Some efficient executive
should be
posted in place of such mediocre
officer.

1. Structural Change
Structural Modification.
When a change occurs, the existing organization
structure should be restructured to suit to the
prospective change through:
(1)re-structuring the delegation of authority.
(2)To change span of control.
(3)To centralize or decentralization of activities.
(4)To improve the communication system.
(5)To reorganize the functions.
(6)To improve the communication system.

1. Structural Change
To provide new administrative
guidelines:
To change the plans, policies,
programs,
budgetary programs, budgetary
controls,
strategies, goals in such a way
which may
nourish the expectations of the
persons and

2. Technological Change
To adjust to the technological change,
following three types of strategies can be
followed:
(1)Man-Job Change: The time and motion study will
reduce the monotony of the operator on the job.
(2)Job-Job Change: Through the process flow
analysis, operations analysis and change in plan
layout, job to job change can be made
advantageously.
(3)Man-Man Change: Through training, transfer and
promotion, such change can be effected.

3. Behavioral Change:
The behavior of the people can be
changes through incentives,
motivation, communication and
Training-development programs.
This is attained as:

1. Behavioral Change: The behavioral change can

be affected through recruiting cultural people
and creating cultural environment, like work
culture, corporate culture etc.
2. Attitude Change: The attitude of a person is
generally moulded through the innate and
inherited qualities, the cultural effects of parent,
family, society etc.
3. Identification Process: Under this process various
role-models are presented before a person. In
the presentation of these various role models,
the person strives to select an ideal role model in
relation to the existing conditions. Efforts are
made to mould the behaviour of a person like
that of an ideal role mode. [Game = Sculptor, Clay & Model.]

(B)
MANAGEMENT OF CHANGE
(1) Unfreezing:- This stage refers to bring a
person from the structured, rigid and
patterned working environment. A person can
be brought out of such a well-set position
through steps:
(a) Transferring to a situation where he will be put in a totally
new and unfamiliar environment.
(b) Undermining or destructing the social support system, by
putting him away from the family member.
(c) Rewarding for the change and punishing for the
unwillingness to change.

(B)
MANAGEMENT OF CHANGE
(2) Changing Behavior:- After the
previous unfreezing stage, the next
sequential stage is changing the
behavior. Having bringing out a
person from a patterned life, the next
stage is known as Metamorphosis
Stage, i.e. it is the process of
conversion of behavior.

(B)
MANAGEMENT OF CHANGE
(3) Refreezing:- This is the last sequential
stage after the unfreezing and behavior
change stage, In the unfreezing process,
the person is brought out of the patterned
situation. After that efforts are made to
mould a person in desired role model
behavior. After this stage efforts are made
to sustain the changed behavior for a
long duration. This process is known as
REFREEZING process.

CYCLE:
Management of Change

DAY 2 DAY LIFE

CHANGES.

Change the mode of conveyance.

E.g. Bus, Taxi, Scooter, Car, etc.
Change the meal timings &
order.
Change the room arrangements
once or twice a 3-month.
Change the reading habits.
Change on-the-job work timetable
CHANGE & BE THE CHANGE TO
SEE THE CHANGE IN YOUR LIFE