Organizational Change & Development

Unit 1

Situational Analysis and Patterns of Change

Situation analysis is basically the process of critically evaluating the internal and external
conditions that affect an organization, which is done prior to a new initiative or project. It
provides the knowledge to identify the current opportunities and challenges to your organization,
service or product. This in turn helps with devising a strategy to move forward from your current
situation to your desired situation.

Process

1. Conduct a Customer Analysis

This should be the first step in a market situation analysis. Do thorough research on your
target market to understand the demographics, locations, trends, interests, challenges etc.
A customer profile can help you organize the information properly. An in-depth customer
analysis will help you discern market trends, customer behavior and needs and device
effective strategies to reach them effectively.

2. Consider the Product and Product Distribution Situation

Examine your current products and services and their ability to cater to the needs of your
customers. If you have distributors, you should also analyze them in terms of distribution
channels, the needs of distributors, type and size of distributors and also the various
benefits received by the distributors and the company itself.

3. Analyze the Competitive Advantage

In order to determine your competitive advantage, you need to identify your core
competitors, their product positioning, their strengths and weaknesses.

4. Scan Your Environment

Investigate how internal factors such as available resources, skills of employees etc. and
external factors such as economic and political trends, can affect the performance of your
organization. The PESTLE analysis as well as the SWOT analysis can serve as
useful environmental scanning tools. At the end of a proper environmental scan you will
be able to identify the opportunities and challenges in the face of new development.  

Situational Analysis Tools

1. SWOT Analysis
2. PESTEL Analysis
3. Porter’s Five Forces
Porter’s five forces technique is used to analyze the competitive environment. It looks at
the following areas that may affect an organization’s competitive position,

 Supplier power
 Buyer power
 Competitive rivalry
 The threat of substitution
 The threat of new entry
 Analyzing these factors will help understand the power of competition in the industry/
market and how profitable it is to compete in it.

4. 5 C’s Analysis

This situation analysis tool helps assess the organizational environment from 5 different
areas that may affect your marketing decisions.

 Customers;  market segments, customer requirements and demands, market size and

growth, retail channel and information sources, buying process, consumer trends, etc.
 Competitors; current and potential customers, customer products and positioning, their
strengths and weaknesses, market share etc.
 Company; products or services, brand image, goals, company culture, strengths and
weaknesses, technology and experience etc.
 Collaborators; distribution channels/ distributors, suppliers, alliances etc.
 Climate; political factors, economic factors, socio-cultural factors, technological factors,
environmental factors, and legal factors

5. VRIO Analysis

The VRIO analysis is another situation analysis tool that can be used to evaluate the
resources of a company such as financial resources, human resources etc. It Stands
for Value, Rareness, Imitability, Organization.
Unit 3

Impact of Change on HR Planning

Emerging Catalyst for Change

Unit 4

Change Cycles
1. Build the case for change

2. Plan the change

3. Implement and embed the change

Leadership Patterns & Transformational Strategies

 Visionary leadership: The ability to create and articular a realistic, credible, attractive
vision of the future that grows out of and improves upon the present.

 Transformational leadership: Leader influence inspire followers to change transcend their

own self-interests for the good of the organization and are capable of having a profound
and extraordinary effects on followers.

Resistance to Change
Types

1. Individual resistance

 economic factors

 psychological factors

 social factors

2. Group resistance

3. Organizational resistance

Overcoming resistance to change

1. Efforts at individual level

 Involvement

 obtaining commitment

 leadership

 training and psychological counseling

2. Efforts at group level

 group contact

 participation

 group dynamics training for change

Reward system as an effective tool to effect and sustain changes

1. Reward management values

 paying for performance

 equity

 employees sharing in the organization’s success

 employee involvement in reward strategy design and implementation

 combining financial and non financial

2. Reward management structures

 paying for performance

 equity

3. Reward management process

 employment involvement

 communication

Business process re-engineering

A management technique used for redesign the processes, organizations and cultures.

Steps

1. Know what you want

2. Make a plan

3. Do it

4. Monitor

5. Comprehend

Unit 5

Stress
Stress is a state of tension experienced by individuals facing extraordinary demands, constraints
or opportunities.

Sources of stress

1. Work factors

 Long work hours

 Unfamiliar work

 Un realistic work deadlines

2. Personal factors

 Individual characteristics such as needs, capabilities and personalities

3. Non work factors

Factors can have spillover effects that affect people at work

• Constructive stress – acts in a positive way to increase effort, stimulate creativity and
encourage diligence one’s work.

• Destructive stress impairs the performance of an individual. It can lead to burnout

STRESS MANAGEMENT STRATEGIES

 Role clarification

 Personal wellness

Frustration
It is defined as the accumulation of tension due to non-fulfillment of needs.

Defense Mechanism

 Aggression

 Withdrawal

 Compromise

Coping Strategies

Some common coping mechanisms may challenge you to:

 Lower your expectations.

 Ask others to help or assist you.
 Take responsibility for the situation.
 Engage in problem solving.
 Maintain emotionally supportive relationships.
 Maintain emotional composure or, alternatively, expressing distressing emotions.
 Challenge previously held beliefs that are no longer adaptive.
 Directly attempt to change the source of stress.
 Distance yourself from the source of stress.
 View the problem through a religious perspective.

Experts agree that coping is a process rather than an event. You may alternate between several of
the above coping strategies in order to cope with a stressful event.

People differ in particular styles of coping or prefer to use certain coping strategies over others.
These differences in coping styles usually reflect differences in personality. Rigidity in coping is
less likely to help than is flexibility in coping — being able to fit the most appropriate coping
strategy to the demands of different situations.

However, some situations that require coping are likely to elicit (bring out) similar coping
responses from most people. For example, work-related stressors are more likely to elicit
problem-solving strategies. Stressors that are perceived to be changeable are more likely to elicit
problem-solving strategies while stressors perceived to be unchangeable are more likely to elicit
social support seeking and emotion-focused strategies.

What can we do to protect ourselves against stress and enhance our prospects for successful
coping? Perhaps the most important strategy is to maintain emotionally supportive relationships
with others. A vast field of research demonstrates that emotional support buffers individuals
against the negative impact of stress.

It's especially important to evaluate your overall lifestyle when encountering significant stress.
Engage in stress-reducing activities to help your overall approach to coping with stressors. Try
to:

 Get enough good quality sleep.

 Eat a well-balanced diet.
 Exercise on a regular basis.
 Take brief rest periods during the day to relax.
 Take vacations away from home and work.
 Engage in pleasurable or fun activities every day.
 Practice relaxation exercises such as yoga, prayer, meditation or progressive muscle
relaxation.
 Avoid use of caffeine and alcohol.

OD Intervention strategies
OD interventions are sets of structured activities in which selected organizational units engage in
a task or sequence of tasks with the goals of organizational improvement and individual
development.

Types of interventions

1. Discrepancy interventions

2. Theory ,,

3. Procedural ,,

4. Relationship ,,

5. Experimentation ,,

6. Dilemma ,,
7. Perspective ,,

8. Organizational interventions

9. Cultural intervention

OD interventions for individuals

1. Life and career planning activities

2. Coaching and Counselling

3. T-group ( sensitivity training)

4. Education and training to increase skills

5. Work redesign

OD interventions for Dyad/Triad

1. Process consultation

2. Third – party peace making

3. Role negotiation techniques

OD intervention for teams and groups

1. Responsibility charting

2. MBO

3. Process consultation

4. Role negotiation

5. Role analysis

6. QC

7. QWL

OD intervention for intergroups

1. Organizational mirroring

2. Process consultation

3. Third party peace making

4. Survey feedback

OD intervention for organization

1. MBO

2. Social technical systems

3. Survey feedback

4. TQM

5. QWL

Expected Results from OD Interventions

1. Feedback

2. Awareness of changing Social cultural Norms

3. Increased interaction and communication

4. Confrontation

5. Education

6. Participation