CHSNGE MANAGEMENT

Subtopic 1.2

TYPES AND LEVELS OF

CHANGES IN THE
ORGANIZATION
1. Types of changes in the
organization
Two main types of changes –

Planned - designed and

implemented in a specific order and at a
specific time

Situational - is a partial
response to events as they happen
Planned changes -

 these are deep medium and long-term changes

that include the purpose and mission of the
organization, such aspects of its corporate life
as development, quality, innovation and values
related to people, consumer needs and applied
technologies.
 are carried out in the context of the external
competitive, economic and social environment,
and the internal resources of the organization,
capabilities, culture, structure and systems.
Situational changes:
 occur, regardless of the wishes of the
management
 they cannot be planned, but they can and
should be taken into account when determining
the future of the organization
 have a non-evolutionary character
 occur because organizations must respond to
new situations (adaptive or reactive changes)
 Remember!
Planned changes almost always have
an advantage over situational ones,
because they allow time for
preparation, but the real art of
management is to get out of
situational changes with positive
consequences and the least costs
 The main types of changes

Characteristics of the source /

location

Characteristics of Internal External

the reasons for Planned

Quadrant А Quadrant В
changes (strategic)
Situational
Quadrant С Quadrant D
(dynamic)
 Development of
the organization -

it is a constant response to the need for

changes under the influence of its main
subsystems and the external
environment by modifying its behavior
(as a reaction to current events).
 By purposefulness:

Unplanned Natural changes

Planned Conscious actions of managers

and employees to improve the
work of structural divisions or
the organization in all
important areas of activity
 According to the direction of the
forces contributing to the changes
Adaptive • The process of adaptation to
(external changing external conditions;
forces) • the process of habituation,
interaction with the environment,
which includes the assimilation of
norms and values;
• transformation of the environment
in accordance with new conditions
and goals of activity
Self- The motivation to act comes from
development within, without external demands.
Changes happen without outside help
(inner
strength)
By the nature of motivation:
Forced Changes do not happen by
their own will, but due to
coercion
Привабливі Causes positive emotions
and affection
According to the set goals:
Preservation Do not disappear, remain, do not suffer
losses, harmony in the ratio of economic
indicators and forces, lack of
disproportion

Stability • Absence of significant fluctuations,

constancy;
• a state in which the integral indicator
of economic and social stability is
stable and does not go beyond the
limits under the influence of internal
and external environmental factors
Growth Increase in number, size, expansion,
strengthening

Balance • The state of equilibrium of

oppositely directed forces;
• Stable state of the economic
system.
• Dynamic equilibrium is the
economic system develops in such
a way that during the action of any
economic factors, the parameters
of its development remain within
acceptable limits
Improveme Improvement, increase of knowledge,
nt improvement of skill.
By sources of development:
Mobilization Bringing anything or anyone
into an active state, focusing
available forces and means
on achieving a goal
Innovative Continuous search and use of
new means and spheres of
potential realization
 By methods of
implementation:
Revolution Deep qualitative changes, a qualitative
jump, radical changes, a sharp
transition from one qualitative state to
another.
Evolution Determining the state of any system is
considered as the result of long-term
changes.
Reform Rearrangement of any aspect of
social life without destroying the
foundations of the existing social
structure
Transformation Complete changes for the better,
a transformation from one
species to another, a significant
impact on the scale that can lead
to significant imbalances
Replacement Adopt, implement, appoint
instead of another
Renewal To supplement with a new
one; to create something
new, to improve, to give a
new look, to use for the first
time
 By depth:
Fundamen Relate to cause-and-effect
tal relationships and consist in changing
goals and other deep systems, values,
norms
Instrumen Only the conditions, resources, or
tal methods necessary to achieve some
goals apply.
Based on the implementation of a
system of values, structures and
processes that have several functional
subsystems, leaving the system in the
previous state
 By significance of changes:
The main Have a certain meaning
ones
Additional They are not used
independently, they form
resources for major changes
Auxiliary Form the conditions for
carrying out major changes

Side effects Not related to the main

changes directly, necessary to
carry out all previous changes
 By approach to change:
Program All strategic and tactical options for
changes are considered in advance
and specified in detail, accordingly,
programs for their implementation
are immediately created
Business Options of changes are created in
the process of separate stages
depending on the state of needs
and opportunities (changes cannot
be modulated in advance)
According to the strategy of
implementation:
Direct Focuses attention on
carrying out certain changes
directly in the object of
changes

Intermediary It is not the object itself that

changes, but the factors on
which the state of the object
of change depends -
resources, conditions,
connections, structure,
criteria, tasks, principles
 By the features of the
change mechanism:

Single Focused on one object

Diffusion Spread over several objects

According to the tactical idea:

implemented from the side

(imposed changes);
implemented from the inside;
implemented as a result of the joint
work of executives and managers
(participatory changes).
By time
changes can be made in the situation:

lack of time
time norms
plenty of time
According to the nature of the situation
changes are happening:

 in a serious (real) or game situation;

 in a solvable and an absurd situation;
 standard and emergency situation;
 evolutionary and revolutionary situation,
etc.
2. Levels of organizational
change
There are three such levels:
individual
group (team)
the organization as a
whole .
Individual changes are revealed in an
individual's reaction to expected innovations

The nature of this reaction is formed under the

influence of five factors:
 the nature of changes (evolutionary and revolutionary,
general and partial, everyday and one-time changes
cause different reactions of individuals);
 consequences of changes (the individual assesses for
whose benefit the introduced changes, who will benefit
from them, who will lose?);
 experience of previous changes in the organization;
 the personality type of the individual, the structure of
his/her interests and motivations;
 individual history of the employee (level of education,
experience, life stability, career stage).
Group is a certain number of people who
interact with each other, psychologically
perceive each other and feel themselves
as a group.
Team characterized by common goals,
actions, responsibility.
A team is always limited in size, while group
limits can be anything.
 For the management of organizational
changes, the change team is
important, it is a creative team, which is
called to become a leader of changes in
the organization.
 On the other hand, managers must
respond to the behavior of informal
groups that resist change.
Organizational changes:
 They change the internal and external environment of
the organization's functioning, communication systems,
and organizational capabilities.
 In general, changes can apply to almost any aspect of
the organization: work schedules, decentralization of
management, management methods, changes in the
production process of the organizational structure, the
personnel itself, etc.

 The impact of organizational change often goes

beyond its immediate implementation!
Thank you!