Organizational change & Organizational development development.

Organizational Change Organizational development.

Organizational change is the process by which organizations move from their present state to desired state to increase their effectiveness

Nothing is permanent in this world but ´changeµ .

Change is a process not an event Change is normal & constant Change is fast & likely to increase further in the present competitive business Change is both directive as well as participative .Š Š Š Š Š Change is vital so as to avoid stagnation.

Involves new policy implementation to change employee behavior.To survive organizations must train their managers & work force to cope with new demands. new problems and new challenges change can be either a) planned or b)routine. planned change reflects change in goals & operating philosophy to improve the ability of the organization to adapt to the changes in the environment. .

Job-structuring Skill/Competency Development Changes in behavior. attitudes .Š Individual-level Changes: ƒ ƒ ƒ ƒ ƒ ƒ Changes in Job assignments Relocation Internal Mobility Job Re-designing.

Š Group Level Changes: ƒ ƒ ƒ ƒ ƒ Work flow changes Job designs Changes in communication & networking patterns Organization of groups (formal/informal) Team Building .

Š Organizational Level Changes: ƒ ƒ ƒ ƒ ƒ Structure Process Systems Policy level changes Organization Development .

Planned and Unplanned Organizational Changes Organizational Change Planned Changes ‡ Changes in products and services ‡ Changes in administrative systems ‡ Changes in organizational size or structure ‡ Introduction of new technologies ‡ Advances in information processing and communication Unplanned Changes ‡ Changing employee demographics ‡ Performance gaps ‡ Governmental regulations .

Factors leading to change. competition Nature of work Force. change. Technology Economic factors .

Individual resistance Organizational resistance .Sources to resistance to change.

Habit-comfort zone INDIVIDUAL Undisclosed. Reasons security RESISTANCE Fear of the unknown .

Threat To Established resource Allocation Structural & process inertia organizational Limited focus for change. Threat To Established power Relations Resistance Threat To Expertise .

Š Resistance ƒ Overt Threat of strike Work slowdown Easy to handle ² best ƒ Implicit Subtle Loss of loyalty. . Fall in productivity Difficult to handle. ƒ Deferred Clouds link between Source & Reaction of resistance Piles up & then explodes over non-issues. motivation Increased error.

. Facilitation & support.Tactics to overcome resistance to change  Education and communication of logic. Negotiation & agreement Manipulation & co-optation : when other methods fail.  participation & involvement of all in the implementation of change.

Š Š Š Š Š Š Š Education and Communication Participation and Involvement Facilitation and Support Negotiation and Agreement Manipulation and Co-optation Coercion Promote Positive Attitudes Toward Change Copyright © 2005 Prentice-Hall 18-16 .

.makes people think & debate ² but may hinder adaptation & progress. Change employee attitude/ behavior.Change needs to be planned Š Š Š Generally changes are unplanned If possible should be proactive . GOALs ƒ ƒ Give the organization more flexibility to adapt to change. Change Agent .manager / employee / outside consultant Š Who·s Responsible for Change ƒ Š Source of functional conflict ƒ Good. goal oriented & intentional.

LEWIN·S 3 STEP CHANGE PROCESS UNFREEZE MOVE REFREEZE. REVISED BEHAVIOUR BECOMES THE NORM. CHANGE THE EXISTING SITUATION. Adaptation of New values. New behavioral pattern is Now the new norm. SHIFT TO A DIFFERENT BEHAVIOUR. behaviors & attitudes. . Make the reasons for change Obvious to the individual/orgz.

Š Challenge people ƒ Š Š Š Š Eliminate unnecessary rules Increase interaction and cross functionality In all.Generic Solutions Š Š Adopt quality control measures Give power to each individual ƒ Define roles Motivate them to change. grease the joints to prevent rusting Fire / Retrench people if required ² make space for new blood. .

fail to achieve expectations. .Change: Failure According to global research: ƒ Š More than 60% of the changes organizations try to implement. ƒ Many more require significantly more time and resources than their planners anticipated.

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