Organizational change

Module 2
 organizational change
Lewin’s view on organization: Kurt Lewin- two
opposite forces- equilibrium- seeking promotion
change: driving force, maintaining status quo:
restraining force.
Model 1: Kurt Lewin’s & Friends 3 step model:
2 ideas about change:
First idea: status quo resultant of 2 opposing
forces. Eg: production level of manufacturing
company- some forces- higher level- some forces
lower level
Idea 2: model of the change process
itself. 3 stage process
Unfreezing- the old behavior (or
situation), moving to a new level of
behavior & refreezing the behavior
refreeze at
the new level. Eg: confidence-
implementing- freeze
permanent in built
nature
 3unfreeze
stage model:
Stage 1: unfreeze creates pain &
discomfort- causes guilt & anxiety
Stage 2: driving force- stronger/
weaker/ both. Change occurs increasing
the driving force alone- counter parting
restraining force
Stage 3: refreezing primary task- no
lasting change
 Model 2: Kurt Lewin’s
Force Field Analysis
Force field Diagram
Change Issue
Driving force Restraining Force
weak
weak

moderate
Strong force

No
change
change

equilibrium
2 forces driving & restraining
Forces include: people, habits, customs &
attitudes
FFD- any level: personal, project,
organizational- visualize in favor or against
Top- planned change issue. Driving force-
push- organization- new state of affairs, ext
environment (globalization, IT, changing
workforce)
Restraining forces- status quo- resistance to
change- employee changing behavior
Uses of FFD:
1.Investigate balance of power involved in the
issue
2.Identify opponents & allies
3.Identify how you can influence each target
group
Steps in FFD:
1.Describe the current situation
2.Describe the desired situation
3.Identify where the current situation will go- if
action is implemented
4. List all forces driving change towards desired
situation
5. List all forces resisting change towards desired
situation
6. Discuss & interrogate all forces: are they valid? Can
they be changed? Which are the critical ones?
7. Allocate scores to each of the scores. Eg: extremely
weak: 1,extremely strong 10
8. Chart the forces, left DF & right RF
9. Discuss how change can reduce restraining forces
10. Increasing DF & reducing RF may also result in
some other forces/ create new ones
 System approach
Org decision- affects internal & external groups
significant ways- management must understand &
anticipate- DM
System theory- solves problem- diagnosing- i/p,
Xmn, o/p & f/b
Attempts- view org – single unified, purposeful
entity, composed of interrelated parts
Gives manager a way of looking at an
organization- as a whole & as apart of an activity.
Eg: production department- marketing
department- no anticipation about CB- hampered
This theory highlights underlying relationships
Facilitates thinking b4 acting, evaluates the
impact of their actions- maintains good balance-
org
Limitations:
Broad philosophical perspectives-
bridges academia & practical problems
Objective- not influenced by “one best
way” ,”manager decide things for others”
Over emphasis on oneness, coordinative
& harmony of the organizations- org
inbuilt org conflicts
7 stage model:
Modification of Lewin’s model. 3 stage model
expanded to 7 stage model
Phase 1:developing a need for change- unfreezing
phase
Phase 2: establishing a change relationship. Eg:
client system- needs help- change agent-
establishing a working relationship
Phase 3: clarifying/ diagnosing client's system
problem
Phase 4:examining alternative routes & goals,
establishing goals & intentions of action
Phase 5 :transforming intentions- actual change
efforts. Phase 3,4,5- Lewin’s “moving phase”
Phase 6: generalizing & stabilizing change-
refreezing phase
 Phase 7: achieving terminal relationship-
terminating customer client relationship
To ensure complacency & righteousness
Kotter’s 3 part framework:
1.Defrost the status quo
2.Take actions bring about change
3.Anchor the changes in corporate culture
ADKAR Model
Model describes 5 required
building blocks for change-
realized successfully on
individual level
Awareness: of why change is needed
Desire: to support & participate in the change
Knowledge: of how to change
Ability: to implement new skills & behavior
Reinforcement: to sustain the change
Goal oriented change management model-
allows mgmnt- focus on their activities on
specific business results
Imparting communication & training
activities- result of org change- useful in
imparting planning & execution of work
ADKAR model can be used to:
diagnose employee dimension to change
(resistance to change, transition through process,
creates successful action plan, develop change
management)
Business dimension to change (need or
opportunity is defined, scope & obj is defined,
solutions for business, new process system are
developed, solution is implemented in the org)
People dimension to change (top level ,manager
& employee as a whole- ADKAR model)
 Power of ADKAR for
managing change
Focus on the first element- root cause of
failure
Where process is breaking down & elements
are being overlooked
Focuses on maximum probability for success
Plans effectively for a new change/ diagnose y
current change is failing
Corrective action taken- action implemented
successfully
Managerial approaches for
implementing change
Managing change is more than reactive &
doing damage control.
Besides reacting- mgr-consciously initiate
&implement changes- to meet new demands-
crated by changed circumstances
3 broad approaches- creates change-
assumptions differ from people, systems
change, specific strategies & kind of
response
Top down approach
Most common way- implement change- pushing
down the hierarchy. Solutions/ decisions- top-
passed on through the formal channels-
“Unilateral decision” . 2 assumptions
1st assumption: reason for changes existing in
the organization (eg: low performance, high
absenteeism, low productivity rate)- can be
traced through single tangible factor-changes in
structure, reporting system & procedures
 Resource dependence
perspective
Survive in the industry-
organizations- resource- strategies to
control environment-reduce
dependency on organizations- internal
& external strategies.
Eg: procuring raw materials from
other company
Internal strategies
External strategies
Population ecology
perspective
Population- organization plays in a
particular sector- occupies ecological
niche. Organization to survive in the
industry- multiple niches. 3 associated
concepts - leads to change
Institutional
perspective
Special relevance to social norms, values &
culture of the organization. Constitutes
institutional environment of organizations- given
more importance than market competitors under
this perspective- also called as symbolic elements
Instuitionalization- process- organization adopt-
specific structures- external legitimacy- due
course-org resemble each other-
“isomorphism”- org resembling each other-
complying laws & regulations. 3 classifications:
Understanding the
change process
OC- succeeds- individual understands
about the change- individual change
tends to happen over a period of time
Steps to understand change:
8 step model for OC
process
1. Really understand & clarify mutual expectations
about the level of detail & cost that project requires
2. Consultant or a project manager, agree
expectations on a pragmatic basis
3. Assume that situations can be improved- look at
ideal situations
4. New overview analysis- suggests new better ways
& techniques
5. Detailed job analysis
6. Involve people- less job secure
Facilitating change
Resistance to change
Defined as resistance as an inevitable response to
any major change. Individuals naturally rush to
defend the status quo if they feel their security or
status are threatened
Nature of resistance:
Active resistance: finding fault, ridiculing,
appealing to fear & manipulating
Passive resistance: agreeing verbally but
not following through, feigning ignorance &
withholding info.
3 levels of resistance
Individual resistance
Organizational resistance
Group resistance
Individual resistance: sources of
resistance: perceptions, personalities
& needs
Group resistance
Intervention strategies for
organizational change
Understanding organizational Development
(OD)
Concerned with helping managers plan change
in organizing & managing people- develop
coordination, commitment & competence
Purpose is to enhance both the effectiveness
&well being of their members- planned
interventions- through structure & systems
using behavioral science
 Developing learning
organization
LO- places, mechanisms & processes- enhance
their capabilities- work for it- achieve
sustainable objectives- themselves &
communities they participate
Not simply- open to creative thought-tap
knowledge- “ability to think critically &
creatively, ability to communicate the ideas &
concepts, cooperate with human beings”
Learning is an ongoing, creative process for its
members
LO- single loop & double loop
Single loop: learning- organizational productivity &
capacity to achieve set objectives- routine behavioral
learning. learning without significant change
Double loop: reevaluates the nature of org
objectives, values & beliefs- change in the
organizational culture
Adaptive learning: adopt to environmental
changes- difficulty- assumptions of cultural values &
org structure
Generative learning: creativity & innovation-
beyongd adopting to change & anticipating change
Theoretical foundation- characteristics
of LO is:
1. Presence of tension: tension- catalyst or
motivational need to learn- stems gap b/w
org vision & reality
2. The systems thinking: LO recognizes-
shared values- of employees- openness to
new idea & external environment
3. Organizational culture conducive to
learning: OC- high value of learning-
empathies- genuine concern for & in
employee suggestions & innovations-
operationalized through reward system
 Y LO?
Cope up with changing environment &
uncertainty
To be more flexible & take advantage of the
opportunities
To be more innovative
To make the most of the skills & talents of staff

How do organizations learn?

5 characteristics for building a learning
organization
System thinking: analyzing how the org
operates- action creating problem
Personal mastery:”by being committed to –
lifelong learning”- more realistic, focusing on
becoming best person- strive for commitment
Mental model: must be managed- prevents
new & powerful insights & organizational
insights- focus on openness- real change –
cannot be implemented
Building Shared Value: visions cannot be
dictated- built in- it fosters long term relationship
Team learning: should know importance of team work-
organization cannot learn- of team does not come
together & learn- developing ability to create desired
results
Rules for LO:
1.Thrive on change: distinguish who succeeds & fails
2.Encourage experimentation: learning-
experimentation
3.Communicate success or failure: learning-
knowledge- spread quickly & efficiently- company
should learn from mistakes
4.Facilitate learning from surrounding environment:
internal sources- employees teams, ext- consultancy,
customers
5. Facilitate learning from the employees:
employee- themselves- more often- knows- area
of improvisation
6. Reward learning: learning culture- reward-
breakthrough & initiative-performance appraisal-
org- commitment- to promote acquisition of new
skills, teamwork, individual effort
7. A proper selfishness: LO- clear about goals,
vision- but does “to make profits”- suffice?
Analyze:
 SW of the company
 What sort of org wants to be?
What does it want to be known for?
How will the success be measured & by whom?
How to achieve plan?
8.A sense of caring: like
opportunities to sit in higher level meetings
Projects- encourage personal development
Horizontal careers to open up new possibilities
Brain storming- new problems
Credit based rewards, encouragement of
initiatives