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Chapter Sixteen
McGraw-Hill/Irwin Copyright © 2012 by The McGraw-Hill Companies, Inc. All rights reserved.
© 2012 The McGraw-Hill Companies, Inc. All rights reserved.
Forces of Change
External forces for Internal forces for
change change
originate outside the originate inside the
organization organization.
16-2
External Forces
Demographic characteristics
Technological advancements
Customer and market changes
Social and political pressures
16-3
Internal Forces
Low job
Low productivity
satisfaction
Conflict Strikes
16-4
Lewin’s Change Model
Unfreezing
Focus is to create the motivation to change
Begin by disconfirming the usefulness or
appropriateness of employees’ present
behaviors or attitudes
16-5
Lewin’s Change Model
Benchmarking
the overall process by which a company
compares its performance with that of other
companies, then learns how the strongest-
performing companies achieve their results
16-6
Lewin’s Change Model
Changing
providing employees with new information, new
behavioral models, new processes or
procedures, new equipment, new technology,
or new ways of getting the job done
change can be aimed at improvement or
growth, or it can focus on solving a problem
such as poor customer service or low
productivity
16-7
Lewin’s Change Model
Refreezing
Change is stabilized by helping employees
integrate the changed behavior or attitude into
their normal way of doing things
Giving employees the chance to exhibit new
behaviors, which are then reinforced
16-8
A Systems Model of Change
Systems Approach
Based on the premise that any change, no
matter how large or small, has a cascading
effect throughout an organization
Takes a “big picture” perspective of
organizational change
16-9
A Systems Model of Change
Mission statement Vision
represents the a long-term goal
“reason” an that describes
organization exists “what” an
organization wants
to become.
16-10
A Systems Model of Change
Strategic plan
outlines an organization’s long-term direction
and the actions necessary to achieve planned
results
Target elements of change
components of an organization that may be
changed
16-11
Target Elements of Change
Organizational arrangements
Social factors
Methods
People
16-12
A Systems Model of Change
16-13
Applying the Systems Model of Change
16-14
Steps to Leading
Organizational Change
Table 16-1
16-15
Creating Change Through
Organization Development
Organization Development
consists of planned efforts to help persons work
and live together more effectively, over time, in
their organizations
16-16
The OD Process
16-17
OD Research and Practical Implications
1. Planned organizational change works
2. Change programs are more successful when
they are geared toward meeting both short-term
and long-term results
3. Organizational change is more likely to succeed
when top management is truly committed to the
change program
4. Effectiveness of OD interventions is affected by
cross-cultural considerations
16-18
Why People Resist Change
in the Workplace
Resistance to
change
emotional or
behavioral response
to real or imagined
work changes
16-19
Why People Resist Change
in the Workplace
1. An individual’s predisposition toward
change
2. Surprise and fear of the unknown
3. Fear of failure
4. Loss of status and/or job security
5. Peer pressure
6. Past success
16-20
Why People Resist Change
in the Workplace
7. Disruption of cultural traditions and/or
group relationships
8. Personality conflicts
9. Lack of tact and/or poor timing
10. Leadership style
11. Failure to legitimize change
16-21
Overcoming Resistance to Change
Resilience to change
represents a composite characteristic reflecting
high self-esteem, optimism, and an internal
locus of control, was positively associated with
recipients’ willingness to accommodate or
accept a specific organizational change
16-22
Overcoming Resistance to Change
Commitment to change
A mind-set “that binds an individual to a course
of action deemed necessary for the successful
implementation of a change initiative”
16-23
Overcoming Resistance to Change
1. Provide as much information as possible to
employees about the change
2. Inform employees about the rationale for the
change
3. Conduct meetings to address employee’s
concerns
4. Provide employees the opportunity to discuss
how the proposed change might affect them
16-24
Six Strategies for Overcoming
Resistance to Change
16-25
Creating a Learning Organization
Learning organization
proactively creates, acquires, and transfers
knowledge throughout the organization
16-26
Creating a Learning Organization
Team mental model
Represents team members’ “shared,
organized understanding and mental
representation of knowledge about key
elements of the team’s relevant environment”
16-27
Leadership Is the Foundation
of a Learning Organization
Building a commitment to learning
Working to generate ideas with impact
Working to generalize ideas with impact
Helping the organization to “unlearn” old
mental models
16-28
Factors That Detract from an
Organization’s Ability to Learn from Failure
16-29
Working to Generate Ideas with
Impact
Implement continuous improvement programs.
Increase employee competence through training,
or buy talent from outside the organization.
Experiment with new ideas, processes, and
structural arrangements.
Go outside the organization to identify world-class
ideas and processes.
16-30
Working to Generalize Ideas with
Impact
Measuring and rewarding learning.
Increasing open and honest dialogue
among organizational members
Reducing conflict.
Increasing horizontal and vertical
communication.
Promoting teamwork.
16-31
Working to Generalize Ideas with
Impact
Rewarding risk taking and innovation.
Reducing the fear of failure.
Increasing the sharing of successes,
failures, and best practices across
organizational members.
Reducing stressors and frustration.
Reducing internal competition.
16-32
Helping the Organization to
Unlearn Old Mental Models
Management must seriously question and
challenge the ways of thinking that worked
in the past if they want to create a learning
organization.
For example, the old management
paradigm of planning, organizing, and
control might be replaced with one of vision,
values, and empowerment.
16-33