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Organisational Change and Stress Management

Organisational Change and Stress Management

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Published by Zulker Nayen
Organizational Behavior

MKT-502

ORGANISATIONAL CHANGE AND STRESS MANAGEMENT
More and more organizations today face dynamic and changing environment. This requires organizations to adapt. Changing nature of the organization is clearly visible (computerization, IT, Website, LAN, WAN etc). Changing workplace The all male workplace is changing into a place where both male and females happily co-exist. In Bangladesh, we find that some workplaces like the Garment Industry have become predominantly f
Organizational Behavior

MKT-502

ORGANISATIONAL CHANGE AND STRESS MANAGEMENT
More and more organizations today face dynamic and changing environment. This requires organizations to adapt. Changing nature of the organization is clearly visible (computerization, IT, Website, LAN, WAN etc). Changing workplace The all male workplace is changing into a place where both male and females happily co-exist. In Bangladesh, we find that some workplaces like the Garment Industry have become predominantly f

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Published by: Zulker Nayen on May 12, 2011
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Organizational Behavior MKT-502
Engr. Zulker NayenCell no: 016 11 96 5426
ORGANISATIONAL CHANGE AND STRESS MANAGEMENT
E-mail: znkhan@hotmail.com
 
ORGANISATIONAL CHANGE AND STRESS MANAGEMENT
More and more organizations today face
dynamic and changing environment
. Thisrequires organizations to
adapt
. Changing nature of the organization is clearly visible(computerization, IT, Website, LAN, WAN etc).
Changing workplace
The all male workplace is changing into a place where both
male and females happilyco-exist
. In Bangladesh, we find that some workplaces like the Garment Industry havebecome predominantly female. In other countries in electronic assembling industries thereis clear preference for females. Organizations have to adjust to –
 
Multicultural environment
– In Bangladesh foreign employees like Indians,Koreans and Chinese work in export oriented industries.
 
HR policy changes to adapt to
diverse workforce
– identify specific needs of ethnic communities.
 
Upgradation of 
worker skills
through technical, educational, IT etc. – regulartraining programmes.Among the forces of change are:
Technology 
 
Substitution for
computerized control, robotics
etc.
 
Organisational structure as a result
becomes flatter
 
 
Technology has helped organizations to
quickly respond to market situations
launch products in a fraction of the time taken earlier.
 
Jobs are being reshaped – narrow jobs are now being
replaced by work teamswhere multiple skills
are encouraged in organizations.
Competition
 
In the WTO era, competition is not only coming from within but also coming
across the ocean
.
 
Successful organizations are those that can
quickly adapt
to changing situations.
 
Organisations will rely on
short cycles
(outsourcing of critical components,
Justin Time
deliveries), short product cycles and ongoing stream of new products(Innovative product ideas to keep the interest of customers alive)
Social trends
 
Young people
delaying marriage
, half the marriage in the West
ending indivorce
 
Increasing number of 
single, small housing and household requirements
,ready to use products etc
MANAGING PLANNED CHANGE
Increasing evidence that organizations are
increasingly employing high tech systems
to increase
productivity and quality control
(Human eye is no match for sophisticated computers in qualitycontrol). These in turn would breed
work force resistance
on account of 
uncertainty.
 To overcome this, what is required is
planned change
. Planned change is an organizational processthat is
proactive and purposeful
. (Automation brings in redundancies in workforce. Organisation maytrain workers to respond
to higher level job requirements, expand the area of expertise
so thatthey may be employed in areas).
 
Organizational Behavior MKT-502
Engr. Zulker NayenCell no: 016 11 96 5426
ORGANISATIONAL CHANGE AND STRESS MANAGEMENT
E-mail: znkhan@hotmail.com
 
Planned change may happen through –
First order change
– 
continuous process. This is slow subtle incremental changes in theorganisation. Organisation continues to improve through small changes (
Favourite of the Japanese and Toyota Motors Corporation
)
Second Order change
 – 
Multidimensional, Multilevel, discontinuous,
radical change
.
(Boeing in currently undergoing radical, multidimensional change on account of slump in the airline business).
Change in an organization may be managed by
Change Agents
- Can be managers, non managers,employees or outside experts. Recent trends suggest
increased reliance on temporary outsideconsultants.
WHAT TO CHANGE
Structure
Changes can come in
 
work specialization, span of control, organizational designs
.Changing conditions demand structural changes.
Organisational
structure is defined by
how tasks are formally divided, grouped andcoordinated
. For change, one or more of the key elements may be redesigned –departmental responsibilities may be combined,
layers removed, spans of controlwidened
to make organization flatter and less bureaucratic.
Rules and procedures
(service rules) can be implemented to increase standardization.Increase decentralization to speed up decision making process.
Technology
Major Technological changes usually involve
introduction of new equipment, tools,methods – automation, computerization
. Steelmakers are now building
mini steelmills
instead of giants. Increased
use of outsourced products
brings in leanorganizations.
(If the Automobile industry had to manufacture all the components what would be the size of the unit?)
Automation replaces humans through machines.
Computerisation is the most visibletechnological changer that has taken place.
 
Physical settings
Office settings increasingly are designed in a
scientific manner
– greater communication,open systems, level of lights, fatigue, boredom etc.
Changing People
Helping individuals and groups within organizations to work more effectively together-
changing attitudes, behaviour through the process of communication, decisionmaking, problem solving.
RESISTANCE TO CHANGE
Studies indicate that
organizations and their members resist change
.In a sense it is positive since it provides a
degree of stability and predictability to behaviour
. Inthe absence of resistance, organizational behaviour would bring
chaos and confusion
. Resistance canbring in
functional conflict 
generating healthy debate.
Resistance can be
overt, implicit, immediate or deferred
. Organisations prefer overt or immediateresistance (slowdown, threatens or strikes).Greater difficulty is implicit or deferred resistance. Implicit resistance can lead to
loss of motivation,increased errors, increased absenteeism.
Deferred resistance does not clearly give the link between source of resistance and the reaction to it.
 
Organizational Behavior MKT-502
Engr. Zulker NayenCell no: 016 11 96 5426
ORGANISATIONAL CHANGE AND STRESS MANAGEMENT
E-mail: znkhan@hotmail.com
 
Sources of resistance may be the following:
 INDIVIDUAL RESISTANCE 
Individual sources of resistance to change are in basic human characteristics like
perceptions,personalities and needs
. Five reasons why individuals resist change are:
Habit
Human beings are
creatures of habit
. Since life is complex we rely on
habits or programmedresponses
(Taking the same route to office, sticking to the same group of friends). When change takesplace where we have to
respond in a different way
, there is resistance.
(When your office is located at a new place, many changes have to made in your habits for the change).
Security
People with
high need for security
are likely to resist change.
(When layoff is made at factories,workers strongly resist it).
Economic factors
Fear of 
losing income
. When there is
relocation of job fear
that job may
not be
performed asdesired. (
Transfer a Branch Manager of a Bank to a strategic position in Planning functions at the head office, when the person feels that he has deficiencies in creative thinking. Resistance would be even more if bonuses are related to profit) 
Fear of the unknown
Change brings in
fear of the unknown
. Introduction of the TQM, IT, software introduction meansstarting the learning process once again.
Selective Information Processing
Individuals shape their world through perceptions. Any change in their perception brings in immediateresistance. (
Workers faced with TQM, Productivity may ignore the supervisors arguments that a basic knowledge of statistics is really important for the success of the program).
ORGANISATIONAL RESISTANCE 
Organisations by nature resist change
. Even educational institutions resist change. Most still usethe same techniques that were used 50 years back.Six major sources are the following:
Structural Inertia
Organisations
inherently encourage stability
.
Training and other socialization
techniques are
designed for job fit
. Formalisations provide job descriptions, rules and procedures. People are
hiredand then
 shaped into the needs of the organization
. When there is change, thisstructural inertia acts as a
balance for stability
.
Limited focus of change
Organisations have
interdependent subsystems
. One cannot be changed without the other. Changein technology has to be balanced with the organisations structure and necessary modifications.Introduction of software cannot be successful without proper
manning, training,
 
equipment c
hangeand change in mindset of the people.
Group inertia
Groups act as constraints even when individuals look for changes
. Even when a CBA leaderaccepts change, he may be prevented by his union.

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