1) TRANSACTIONAL CHANGE- 1

ST

ORDER CHANGE
2)TRANSFORMATIONAL CHANGE-
2
ND
ORDER CHANGE


With respect to Organization there
are 2 levels of change

The Transactional Factors Involved in First-Order Change
Management
Practices
Structure
Systems
(Policies &
Procedures
Work
Unit
Climate
Motivation
Task
Requirements
& Individual
Skills/Abilities
Individual
Needs &
Values
Individual &
Organizational
Performance
Theory and Management of OD
External
Environment
Leadership
Mission
and
Strategy
Organization
Culture
Individual &
Organizational
Performance
Culture creation
Culture is based on the strategies.
CULTURE
Culture is defined as a common belief system,
values, policies shared by an Organizations
members
The Climate refers to the to current situation
in the organization and linkage among the Teams,
employees ,and performances.
It does not deal with the values and norms
It is concerned with current atmosphere in the
Organization.
Features of Organizational Culture
Innovation and risk taking
Attention to the Detail
Outcome Orientation
People Orientation
Team Orientations
Aggressiveness
Stability
Radical Change
Customer orientation
Cultural concept
Dominant Culture-SBI
Sub Culture- denoted by Units ,department, They are mini -
culture of the company.
Core Value- Core values are primary or dominant values. Those
are accepted by the majority of the Organizational members.
eg-J.N.P.T. employee are not allowed to be competitive.
Strong Culture- The organizational core value are intensely held
and widely spread. eg- Public sector Organization
Weak Culture- The organizations core value is lightly held.
eg- Indian railway is more concerned towards its customer.
Mechanistic and organic culture-they follow hierarchy ,status
quo and resists innovation
Authoritarian and Participative



Process of change of culture
Environment analysis

Business Goals

Formulation of Strategy

Formulation of strategic values

Create a new cultural values

Implement new cultural value

Achieve Strategic values and strategies
How Employees Learn the culture
Stories
Rituals
Material Symbol
Language

Approaches to Organization culture
1) Ouchi frame work
2) Peters and waterman approach

Ouchi framework
1. Period of employment
2. Evaluation
3. Career Path
4.Desion Making (Japanese-Participative)
5.Control (Japan- Informal & Us- Formal Control)
6.Responsibility
7.Concern for People


Peters and waterman approach
Bias for Action
Stay close to customer
Autonomy and Entrepreneurship
Productivity through People
Hand on Management
Stick to Knitting
Simple form ,Lean staff
Simultaneously Loose and Tight Organization
(MEMB SHARE COMMAN VALUE)

Maintaining The Organizational Culture
By selecting right personnel at entry level
Placing the employee the on the appropriate job
Encourage the employee to excel in their job
Rewarding the employee on basis of performance
Adherence to the core values
Reinforcing the stories
Recognition and promotion