UNIT 5

LEADERSHIP - LEADERSHIP THEORIES – COMMUNICATION - ORGANISATIONAL

CULTURE - LEVELS OF CULTURE- CREATION OF CULTURE - CULTURE
ARTIFACTS - ORGANISATIONAL CHANGE - RESISTANCE TO CHANGE -
CHANGE PROCESS - STRESS - STRESS MANAGEMENT

LEADERSHIP
Leadership is a process by which an executive can direct, guide and influence the behavior
and work of others towards accomplishment of specific goals in a given situation.
Leadership is the ability of a manager to induce the subordinates to work with confidence and
zeal. Leadership is the potential to influence behaviour of others.
It is also defined as the capacity to influence a group towards the realization of a goal.
Leaders are required to develop future visions, and to motivate the organizational members to
want to achieve the visions.
According to Keith Davis, “Leadership is the ability to persuade others to seek defined
objectives enthusiastically. It is the human factor which binds a group together and motivates
it towards goals

Refer by Self (MPP Study Material)

• Characteristics of Leadership
• Importance of Leadership
• Leadership Functions
• Qualities of a Good Leader
• Leadership Styles

EFFECTIVE LEADERSHIP BEHAVIOUR

Extensive research on leadership behaviour during the past half century has yielded many
different behaviour taxonomies and learned about effective leadership behaviour in
organizations. A hierarchical taxonomy with four meta-categories and 15 specific component
behaviour was used to interpret results to identify conditions that influence the effectiveness
of these behaviour.
LEADERSHIP THEORIES
Leadership theories are the explanations of how and why certain people become leaders.
They focus on the traits and behaviors that people can adopt to increase their leadership
capabilities.
 Blake and Mouton’s Managerial Grid
 House’s Path Goal Theory
 Great Man Theory
 Trait Theory
 Leadership-Member Exchange (LMX) Theory
 Transformational Leadership
 Transactional Leadership
 Continuum of Leadership Behaviour
 Likert’s Management System
 Hersey Blanchard Model
 Fiedler’s Contingency Model

I Blake and Mouton’s Managerial Grid

The treatment of task orientation and people orientation as two independent dimensions was a
major step in leadership studies. Robert Blake and Jane Mouton (1960s) proposed a graphic
portrayal of leadership styles through a managerial grid (sometimes called leadership grid).
The grid depicted two dimensions of leader behavior, concern for people (accommodating
people’s needs and giving them priority) on y-axis and concern for production (keeping
tight schedules) on x-axis, with each dimension ranging from low (1) to high (9), thus
creating 81 different positions in which the leader’s style may fall.

II House’s Path Goal Theory

The theory was developed by Robert House and has its roots in the expectancy theory of
motivation. The theory is based on the premise that an employee’s perception of expectancies
between his effort and performance is greatly affected by a leader’s behaviour. The leaders
help group members in attaining rewards by clarifying the paths to goals and removing
obstacles to performance. They do so by providing the information, support, and other
resources which are required by employees to complete the task.

House’s theory advocates servant leadership. As per servant leadership theory, leaders act as
coaches and facilitators to their subordinates. According to House’s path-goal theory, a
leader’s effectiveness depends on several employee and environmental contingent factors and
certain leadership styles.

Leadership Styles

The four leadership styles are:

 Directive: Here the leader provides guidelines, lets subordinates know what is expected
of them, sets performance standards for them, and controls behaviour when performance
standards are not met. He makes judicious use of rewards and disciplinary action. The style is
the same as task-oriented one.
 Supportive: The leader is friendly towards subordinates and displays personal concern
for their needs, welfare, and well-being. This style is the same as people-oriented leadership.
 Participative: The leader believes in group decision-making and shares information with
subordinates. He consults his subordinates on important decisions related to work, task goals,
and paths to resolve goals.
 Achievement-oriented: The leader sets challenging goals and encourages employees to
reach their peak performance. The leader believes that employees are responsible enough to
accomplish challenging goals. This is the same as goal-setting theory.

Contingencies
The theory states that each of these styles will be effective in some situations but not in
others. It further states that the relationship between a leader’s style and effectiveness is
dependent on the following variables:

 Employee characteristics: These include factors such as employees’ needs, locus of

control, experience, perceived ability, satisfaction, willingness to leave the organization, and
anxiety
 Characteristics of work environment: These include factors such as task structure and
team dynamics that are outside the control of the employee. When team cohesiveness is low,
a supportive leadership style must be used whereas in a situation where performance-oriented
team norms exist, a directive style or possibly an achievement-

III Great Man Theory of Leadership

Assumptions
 The leaders are born and not made and possess certain traits which were inherited
 Great leaders can arise when there is a great need.

The great man theory of leadership states that some people are born with the necessary
attributes that set them apart from others and that these traits are responsible for their
assuming positions of power and authority. A leader is a hero who accomplishes goals
against all odds for his followers. The theory implies that those in power deserve to be there
because of their special endowment. Furthermore, the theory contends that these traits remain
stable over time and across different groups. Thus, it suggests that all great leaders share
these characteristics regardless of when and where they lived or the precise role in the history
they fulfilled.

IV Trait Theory of Leadership

The trait model of leadership is based on the characteristics of many leaders - both successful
and unsuccessful - and is used to predict leadership effectiveness. The resulting lists of traits
are then compared to those of potential leaders to assess their likelihood of success or failure.

Researchers identified a relationship between physiological (appearance, height, and weight),

demographic (age, education and socioeconomic background), personality, self-confidence,
and aggressiveness), intellective (intelligence, decisiveness, judgment, and knowledge), task-
related (achievement drive, initiative, and persistence), and social characteristics (sociability
and cooperativeness) with leader emergence and leader effectiveness.

Successful leaders definitely have interests, abilities, and personality traits that are different
from those of the less effective leaders. Among the core traits identified are:

 Achievement drive
 Leadership motivation
 Honesty and integrity
 Self-confidence
 Cognitive ability
 Knowledge of business
 Emotional Maturity
 Charisma, creativity and flexibility

V Leadership-Member Exchange (LMX) Theory

According to the theory, leaders form different kinds of relationships with various groups of
subordinates. One group, referred to as the in-group, is favoured by the leader. Members of
in-group receive considerably more attention from the leader and have more access to the
organizational resources. By contrast, other subordinates fall into the out-group. These
individuals are disfavoured by the leader. As such, they receive fewer valued resources from
their leaders.

Leaders distinguish between the in-group and out-group members on the basis of the
perceived similarity with respect to personal characteristics, such as age, gender, or
personality. A follower may also be granted an in-group status if the leader believes that
person to be especially competent at performing his or her job. The relationship between
leaders and followers follows three stages:

 Role taking: When a new member joins the organization, the leader assesses the talent and
abilities of the member and offers them opportunities to demonstrate their capabilities.
 Role making: An informal and unstructured negotiation on work-related factors takes place
between the leader and the member. A member who is similar to the leader is more likely to
succeed. A betrayal by the member at this stage may result in him being relegated to the out-
group

The LMX assesses the degree to which leaders and followers have mutual respect for each
other’s capabilities, feel a deepening sense of mutual trust, and have a sense of strong
obligation to one another.

VI Transformational Leadership Theory

Transformational leadership may be found at all levels of the organization: teams,
departments, divisions, and organization as a whole. Such leaders are visionary, inspiring,
daring, risk-takers, and thoughtful thinkers. They have a charismatic appeal. But charisma
alone is insufficient for changing the way an organization operates. For bringing major
changes, transformational leaders must exhibit the following four factors:
Inspirational Motivation: The foundation of transformational leadership is the promotion of
consistent vision, mission, and a set of values to the members. Their vision is so compelling
that they know what they want from every interaction.
Intellectual Stimulation: Such leaders encourage their followers to be innovative and
creative. They encourage new ideas from their followers and never criticize them publicly for
the mistakes committed by them
Idealized Influence: They believe in the philosophy that a leader can influence followers
only when he practices what he preaches. The leaders act as role models that followers seek
to emulate. Such leaders always win the trust and respect of their followers through their
action.
Individualized Consideration: Leaders act as mentors to their followers and reward them
for creativity and innovation. The followers are treated differently according to their talents
and knowledge. They are empowered to make decisions and are always provided with the
needed support to implement their decisions.

VII Transactional Leadership Theory

The transactional style of leadership was first described by Max Weber in 1947 and then by
Bernard Bass in 1981. It focuses on the basic management process of controlling, organizing,
and short-term planning.

Transactional leadership involves motivating and directing followers primarily through

appealing to their own self-interest. The power of transactional leaders comes from their
formal authority and responsibility in the organization. The main goal of the follower is to
obey the instructions of the leader. The style can also be mentioned as a ‘telling style’. Here,
the exchange between leader and follower takes place to achieve routine performance goals.

These exchanges involve four dimensions:

Contingent Rewards: Transactional leaders link the goal to rewards, clarify expectations,
provide necessary resources, set mutually agreed upon goals, and provide various kinds of
rewards for successful performance. They set SMART (specific, measurable, attainable,
realistic, and timely) goals for their subordinates.
Active Management by Exception: Transactional leaders actively monitor the work of their
subordinates, watch for deviations from rules and standards and taking corrective action to
prevent mistakes.
Active Management by Exception: Transactional leaders actively monitor the work of their
subordinates, watch for deviations from rules and standards and taking corrective action to
prevent mistakes.
Laissez-faire: The leader provides an environment where the subordinates get many
opportunities to make decisions. The leader himself abdicates responsibilities and avoids
making decisions and therefore the group often lacks direction.

Difference between Transactional and Transformational Leaders

Transactional leadership Transformational Leadership
Leadership is responsive Leadership is proactive
Works within the organizational culture Work to change the organizational culture by
implementing new ideas
Transactional leaders make employees Transformational leaders motivate and empower
achieve organizational objectives employees to achieve company’s objectives by
through rewards and punishment appealing to higher ideals and moral values
Motivates followers by appealing to Motivates followers by encouraging them to
their own self-interest transcend their own interests for those of the group
or unit

VIII Continuum of Leadership Behaviour

The leadership continuum was originally written by Tannenbaum and Schmidt.

Their work suggests a continuum of possible leadership behaviour available to a manager and
along which many leadership styles may be placed. The continuum presents a range of action
related to the degree of authority used by the manager and to the area of freedom available to
non-managers in arriving at decisions.

A broad range of leadership styles have been depicted on the continuum between two
extremes of autocratic and free rein. The left side shows a style where control is maintained
by a manager and the right side shows the release of control. However, neither extreme is
absolute and authority and freedom are never without their limitations.
 Continuum Leadership Behaviour.

A manager is characterized according to degree of control that is maintained by him.

According to this approach, four main styles of leadership have been identified:

 Tells: The manager identifies a problem, chooses a decision, and announces this to
subordinates. The subordinates are not a party to the decision-making process and the
manager expects them to implement his decisions as soon as possible.
 Sells: The decision is chosen by the manager only but he understands that there will be
some amount of resistance from those faced with the decision and therefore makes efforts
to persuade them to accept it.
 Consults: Though the problem is identified by the manager, he does not take a final
decision. The problem is presented to the subordinates and the solutions are suggested by
the subordinates.
 Joins: The manager defines the limits within which the decision can be taken by the
subordinates and then makes the final decision along with the subordinates.

IX Likert’s Management System

Rensis Likert and his associates studied the patterns and styles of managers for three decades
at the University of Michigan, USA, and identified a four-fold model of management
systems. The model was developed on the basis of a questionnaire administered to managers
in over 200 organizations and research into the performance characteristics of different types
of organizations. The four systems of management system or the four leadership styles
identified by Likert are:

 System 1 - Exploitative Authoritative: Responsibility lies in the hands of the people at the
upper echelons of the hierarchy. The superior has no trust and confidence in subordinates.
The decisions are imposed on subordinates and they do not feel free at all to discuss things
about the job with their superior. The teamwork or communication is very little and the
motivation is based on threats.
 System 2 - Benevolent Authoritative: The responsibility lies at the managerial levels but
not at the lower levels of the organizational hierarchy. The superior has condescending
confidence and trust in subordinates. Here again, the subordinates do not feel free to discuss
things about the job with their superior. The teamwork or communication is very little and
motivation is based on a system of rewards.
 System 3 - Consultative: Responsibility is spread widely through the organizational
hierarchy. The superior has substantial but not complete confidence in subordinates. Some
amount of discussion about job related things takes place between the superior and
subordinates. There is a fair amount of teamwork, and communication takes place vertically
and horizontally. The motivation is based on rewards and involvement in the job.
 System 4 - Participative: Responsibility for achieving the organizational goals is
widespread throughout the organizational hierarchy. There is a high level of confidence that
the superior has in his subordinates. There is a high level of teamwork, communication, and
participation.

X Hersey Blanchard Model

According to this model, the leader has to match the leadership style according to the
readiness of subordinates which moves in stage and has a cycle. Therefore, this theory is also
known as the life-cycle theory of leadership.

The theory, developed by Paul Hersey and Kenneth Blanchard, is based on the ’readiness’
level of the people the leader is attempting to influence. Readiness is the extent to which
followers have the ability and willingness to accomplish a specific task. Ability is the
knowledge, experience, and skill that an individual possesses to do the job and is called job
readiness. Willingness is the motivation and commitment required to accomplish a given
task. The style of leadership depends on the level of readiness of the followers.

The readiness(R) is divided into a continuum of four levels which are:

R1 - low follower readiness - refers to low ability and low willingness of followers i.e. those
who are unable and insecure
R2 - low to moderate follower readiness - refers to low ability and high willingness of
followers i.e. those who are unable but confident
R3 - moderate to high follower readiness - refers to high ability and low willingness of
followers i.e. those who are able but insecure
R4 - high follower readiness - refers to high ability and high willingness of followers i.e.
those who are both able and confident

When the followers move from low levels to high levels of readiness, the combinations of
task and relationship behaviours appropriate to the situation begin to change.

For each of the four levels of readiness, the leadership style used may be a combination of
task and relationship behaviour.

 Task behaviour: Extent to which the leader spells out the duties and responsibilities of a
follower which includes providing them direction, setting goals, and defining roles for them.
Usually, a one-way communication exists which is meant to provide the direction to the
followers.
 Relationship behaviour: Extent to which the leader listens to the followers, and provides
encouragement to them. Here, a two-way communication exists between the leader and the
follower.

By combining the task and the relationship behaviour, we arrive at the following four
different styles of leadership which correspond with the different levels of readiness.
S1 - Telling: This style is most appropriate for low follower readiness (R1). It emphasizes
high task behaviour and limited relationship behaviour.
S2 - Selling: This style is most appropriate for low to moderate follower readiness (R2). It
emphasizes high amounts of both task and relationship behaviour.
S3 - Participating: This style is most appropriate for moderate to high follower readiness
(R3). It emphasizes high amount of relationship behaviour but low amount of task behaviour.
S4 -Delegating: This style is most appropriate for high follower readiness (R4). It
emphasizes low levels of both task and relationship behaviour.

XI Fiedler’s Contingency Model

Fred E. Fiedler’s contingency theory of leadership effectiveness was based on studies of a
wide range of group effectiveness, and concentrated on the relationship between leadership
and organizational performance. This is one of the earliest situation-contingent leadership
theories given by Fiedler. According to him, if an organization attempts to achieve group
effectiveness through leadership, then there is a need to assess the leader according to an
underlying trait, assess the situation faced by the leader, and construct a proper match
between the two.

In order to assess the attitudes of the leader, Fiedler developed the ‘least preferred co-worker’
(LPC) scale in which the leaders are asked about the person with whom they least like to
work. The scale is a questionnaire consisting of 16 items used to reflect a leader’s underlying
disposition toward others. The items in the LPC scale are pleasant / unpleasant, friendly /
unfriendly, rejecting / accepting, unenthusiastic / enthusiastic, tense / relaxed, cold / warm,
helpful / frustrating, cooperative / uncooperative, supportive / hostile, quarrelsome /
harmonious, efficient / inefficient, gloomy / cheerful, distant / close, boring / interesting, self-
assured / hesitant, open / guarded. Each item in the scale is given a single ranking of between
one and eight points, with eight points indicating the most favourable rating.

Friendly Unfriendly
8 7 6 5 4 3 2 1

According to Fiedler, a leader’s behaviour is dependent upon the favourability of the

leadership situation. Three factors work together to determine how favourable a situation is to
a leader. These are:

 Leader-member relations - The degree to which the leaders is trusted and liked by
the group members, and the willingness of the group members to follow the leader’s
guidance
 Task structure - The degree to which the group’s task has been described as
structured or unstructured, has been clearly defined and the extent to which it can be
carried out by detailed instructions
 Position power - The power of the leader by virtue of the organizational position and
the degree to which the leader can exercise authority on group members in order to
comply with and accept his direction and leadership

With the help of these three variables, eight combinations of group-task situations were
constructed by Fiedler. These combinations were used to identify the style of the leader.
 Correlation between leader’s LPC scores and group effectiveness

COMMUNICATION

Refer by Self (MPP Study Material)

• THE COMMUNICATION PROCESS

• COMMUNICATION IN ORGANISATION
• BARRIERS TO COMMUNICATION

ORGANIZATIONAL CULTURE

Organizational culture is a system of shared assumptions, values, and beliefs that help
individuals within an organization understand which behaviors are and are not appropriate
within an organization.

LEVELS OF ORGANIZATIONAL CULTURE

Organizational culture consists of some aspects that are relatively more visible, as well as
aspects that may lie below one’s conscious awareness. Organizational culture can be thought
of as consisting of three interrelated levels.
According to Schein, E. H.

At the deepest level, below our awareness lie basic assumptions. Assumptions are taken for
granted, and they reflect beliefs about human nature and reality. The hidden assumptions,
values and beliefs. The understood, traditional and
unofficial ways of being, doing and feeling.

At the second level, values exist. Values are shared principles, standards, and goals. How an
organisation explains its culture, for example official policy and accepted
beliefs. Discover through ‘why’ questions.
Finally, at the surface we have artifacts, or visible, tangible aspects of organizational culture.
The visible manifestations of culture for example dress code and decor.

CHARACTERISTICS OF ORGANIZATIONAL CULTURE

 Innovation (Risk Orientation).

 Attention to Detail (Precision Orientation).
 Emphasis on Outcome (Achievement Orientation).
 Emphasis on People (Fairness Orientation).
 Teamwork (Collaboration Orientation).
 Aggressiveness (Competitive Orientation).
 Stability (Rule Orientation).

Innovation (Risk Orientation)

Companies with cultures that place a high value on innovation encourage their employees to
take risks and innovate in the performance of their jobs.

Attention to Detail (Precision Orientation)

This characteristic of organizational culture dictates the degree to which employees are
expected to be accurate in their work. A culture that places a high value on attention to detail
expects its employees to perform their work with precision.

Emphasis on Outcome (Achievement Orientation)

Companies that focus on results, but not on how the results are achieved, place a high
emphasis on this value of organizational culture. A company that instructs its sales force to
do whatever it takes to get sales orders has a culture that places a high value on the emphasis
on outcome characteristics.

Emphasis on People (Fairness Orientation)

Companies that place a high value on this characteristic of organizational culture place a
great deal of importance on how their decisions will affect the people in their organizations.
For these companies, it is important to treat their employees with respect and dignity.

Teamwork (Collaboration Orientation)

Companies that organize work activities around teams instead of individuals place a high
value on this characteristic of the organizational culture. People who work for these types of
companies tend to have a positive relationship with their co-workers’ and managers.
Aggressiveness (Competitive Orientation)

This characteristic of organizational culture dictates whether group members are expected to
be assertive or easy-going when dealing with companies they compete within the
marketplace. Companies with an aggressive culture place a high value on competitiveness
and outperforming the competition at all costs.

Stability (Rule Orientation)

A company whose culture places a high value on stability is rule-oriented, predictable, and
bureaucratic in nature. These types of companies typically provide consistent and predictable
levels of output and operate best in non-changing market conditions.

CREATION OF CULTURE

- Creating culture
Founder Values
A company’s culture, particularly during its early years, is inevitably tied to the personality,
background, and values of its founder or founders, as well as their vision for the future of the
organization. When entrepreneurs establish their own businesses, the way they want to do
business determines the organization’s rules, the structure set up in the company, and the
people they hire to work with them.

Founder values become part of the corporate culture to the degree to which they help the
company be successful.
Industry Demands
While founders undoubtedly exert a powerful influence over corporate cultures, the industry
characteristics also play a role. Companies within the same industry can sometimes have
widely differing cultures. At the same time, the industry characteristics and demands act as a
force to create similarities among organizational cultures. The industry influence over culture
is also important to know because this shows that it may not be possible to imitate the culture
of a company in a different industry, even though it may seem admirable to outsiders.

- Maintaining Culture
As a company matures, its cultural values are refined and strengthened. Organizational
culture determines what types of people are hired by an organization and what types of
people are left out. Moreover, once new employees are hired, the company assimilates new
employees and teaches them the way things are done in the organization. This processes as
attraction-selection-attrition and onboarding processes.
Also, the role of leaders and reward systems in shaping and maintaining an organization’s
culture is significant.
Attraction-Selection-Attrition(ASA)
Employees are attracted to organizations where they will fit in. Someone who has a
competitive nature may feel comfortable in and may prefer to work in a company where
interpersonal competition is the norm. Others may prefer to work in a team-oriented
workplace.
Selection - Candidates are looking for places where they will fit in, companies are also
looking for people who will fit into their current corporate culture. Many companies are
hiring people for fit with their culture, as opposed to fit with a certain job. By introducing the
candidate to several future co-workers and learning what these co-workers think of the
candidate, it becomes easier to assess the level of fit.
Attrition - Even after a company selects people for person-organization fit, there may be new
employees who do not fit in. In any event, the organization is eventually going to eliminate
candidates eventually who do not fit in through attrition. Attrition refers to the natural process
where the candidates who do not fit in will leave the company.
New Employee Onboarding
Onboarding refers to the process through which new employees learn the attitudes,
knowledge, skills, and behaviours required to function effectively within an organization.
If an organization can successfully socialize new employees into becoming organizational
insiders, new employees will feel accepted by their peers and confident regarding their ability
to perform; they will also understand and share the assumptions, norms, and values that are
part of the organization’s culture. Organizations engage in different activities to facilitate
onboarding, such as implementing orientation programs or matching new employees with
mentors.

- Leadership
Leaders are instrumental in creating and changing an organization’s culture. There is a direct
correspondence between the leader’s style and an organization’s culture.

By acting as role models, leaders send signals to the organization about the norms and values
that are expected to guide the actions of its members.

Leaders also shape culture by their reactions to the actions of others around them. Through
their day-to-day actions, leaders shape and maintain an organization’s culture.
- Reward Systems
Finally, the company culture is shaped by the type of reward systems used in the organization
and the kinds of behaviours and outcomes it chooses to reward and punish. The types of
behaviours that are rewarded or ignored set the tone for the culture. The type behaviours
which are rewarded, which are punished, and which are ignored will determine evolving of
best culture.

CULTURE ARTIFACTS

These are the “visible” symbols of the culture. It can include anything from clothing styles to
posters on the wall to the volume of speech. Even if not understood, the artifacts that last are
typically deeply tied to the underlying culture.

Observable artifacts are the manifestations of an organization's culture that employees can
easily see or talk about.

There are six major types of artifacts:

 symbols
 physical structures
 language
 stories
 rituals
 ceremonies
ORGANISATIONAL CHANGE

Organizational change is the movement of an organization from one state of affairs

to another. Organizational change can take many forms. It may involve a change in
a company’s structure, strategy, policies, procedures, technology, or culture.
Reasons for Organizational Change

- Technology
- Globalization
- Market Conditions
- organizational Growth
- Poor Performance

RESISTANCE TO CHANGE

Employees do not always welcome changes in methods. Resistance to change is

one of the top two reasons why change efforts fail. In fact, reactions to
organizational change may range from resistance to compliance to being an
enthusiastic supporter of the change.
Active resistance is the most negative reaction to a proposed change attempt.
Those who engage in active resistance may sabotage the change effort and be
outspoken objectors to the new procedures.

Passive resistance involves being disturbed by changes without necessarily

voicing these opinions. Instead, passive resisters may quietly dislike the change,
feel stressed and unhappy, and even look for an alternative job without necessarily
bringing their point to the attention of decision makers.

Compliance, involves going along with proposed changes with little enthusiasm.
Finally, those who show enthusiastic support are defenders of the new way and
actually encourage others around them to give support to the change effort as well.

CHANGE PROCESS

How to plan, organize, and execute change effectively?

Kurt Lewin’s three-stage model of planned change.
Unfreezing - The assumption is that change will encounter resistance. Therefore,
executing change without prior preparation is likely to lead to failure. Instead,
organizations should start with unfreezing, or making sure that organizational
members are ready for and receptive to change.
Using the following strategies, unfreezing becomes easier
 1.Create a sense of urgency when introducing the change effort.
2.Build a coalition.
3.Create a vision for change and make change a part of the vision.
4.Communicate a plan for change
5.Eliminate obstacles to change
6.Create small wins
7.Build on change
8.Make change a part of culture.

Change (Execution) -This is followed by change, or executing the planned

changes.

Refreezing involves ensuring that change becomes permanent and the new habits,
rules, or procedures become the norm. After the change is implemented, the long-
term success of a change effort depends on whether change becomes part of the
company’s culture. In other words, the revised ways of thinking, behaving, and
performing should become routine.
STRESS

Stress is simply a fact of nature—forces from the outside world affecting the individual.”

Stress is a dynamic condition, and it exists when an individual is confronted with an

opportunity, constraint or demand related to what he or she desires, and for which the
outcome is perceived to be both uncertain and important.

Causes of Stress

• Role demands

Role ambiguity refers to vagueness in relation to what our responsibilities are. If you have
started a new job and felt unclear about what you were expected to do, you have experienced
role ambiguity. Having high role ambiguity is related to higher emotional exhaustion, more
thoughts of leaving an organization, and lowered job attitudes and performance. Role
conflict refers to facing contradictory demands at work.

• Information Overload

Messages reach in countless ways every day. Some are societal—advertisements, Others are
professional—e-mails, memos, voice mails, and conversations from colleagues. Others are
personal—messages and conversations from loved ones and friends. All these together is
more information than we can take in. This state of imbalance is known as information
overload
• Work-Life imbalance

Work–family conflict occurs when the demands from work and family are negatively
affecting one another. Specifically, work and family demands on a person may be
incompatible with each other such that work interferes with family life and family demands
interfere with work life.

• Life Changes

Stress can result from positive and negative life changes. It can be described that the different
stresses are the life events ranging from the death of one’s spouse to receiving a ticket for a
minor traffic violation.

• Downsizing

The loss of a job can be a particularly stressful event. It can also lead to other stressful events,
such as financial problems, which can add to a person’s stress score. Downsizing and job
insecurity which is related to lower performance and creativity.
Outcomes of Stress

• Physiological – Stress leads to health problems such as high blood pressure, ulcers, and
being overly susceptible to illnesses such as the common cold.
• Psychological - Depression and anxiety are two psychological outcomes of stress
• Work Outcomes - Stress is related to worse job attitudes, higher turnover, and decreases in
job performance in terms of both in-role performance and organizational commitment

STRESS MANAGEMENT TECHNIQUES

The prevention of workplace stress is most successful when a combination of

both organizational change and individual stress management is used. That is, like any
healthy relationship, both parties – the employee and the employer make an effort.

 Promote leave, rest and breaks;

 Encourage exercise and meditation, both within and outside of work hours;
 Ensure the workload is in line with workers’ abilities and resources;
 Provide stimulation and opportunities for workers to use skills;
 Boost workplace morale by creating opportunities for social interactions;
 Clearly set out workers’ roles and responsibilities;
 Encourage participation in decision making that affects individuals’ roles;
 Encourage open communication;
 Establish no tolerance policy for workplace discrimination;
 Engage an external consultant to suggest a fresh approach to any existing issues;
 Create family-friendly policies to encourage work-life balance;
 and provide training for workplace stress management.