Change management Conflict management

Reasons for change Changes are adjustments to direct action and indirect action environments  Internal environment      New objectives New policies Organizational rearrangements Leadership styles Organization culture Use of computers requires computer literate Requirement of knowledge workers over skilled workers Transfer from manufacturing to service industry  External environment    .

Types of change    Routine changes React to crisis Planned change   Deliberate design and implementation of a structural innovation. or change in operating philosophy. a new policy or goal. climate or style Systematic attempt to redesign to adapt to the changes in the external environment or to achieve new goals .

Field force theory Opposing forces act to keep an organization in a state of equilibrium and support stability or status quo  Driving forces  Restraining forces Every behavior is a result of an equilibrium Performance is a reconciliation of the two forces .

 Change can take place  By increasing driving forces  An increase in the driving force might increase performance but it might also increase the restraining forces  Eliminating the restraining forces (participation)  Program of change based on Lewin¶s ideas are directed first towards removing or weakening the restraining forces and then on creating or strengthening the driving forces .

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power Mission statements can guide the employees action in the absence of formal policies and procedures. Sources of resistance  Organizational culture  Employees stay with an organization because the work helps them meet their individual goals and their personalities.. Sometimes. pay scale.. employees do not understand the need for a new goal as they do not have enough information  Individuals self interest   Individuals perception of organizational goals and strategies  . structure or a redesign job may require change of working condition....they feel threatened by the effort to change the culture and the way they do things New org. and beliefs fit into the organization culture . attitudes. job security..

exposure to new concepts and or development of a different perspective Stabilizes the change. that creates motivation for change Change may occur through assimilation of new information.Change process  Unfreezing  when people are uncomfortable with the present situation. To be effective change has to be congruent with the attitudes and behaviors of others in the organization. reinforcement of new behavior is essential  Changing   Refreezing  .

attitude.Aspects that require change  Change in people  Redesign of skill. expectations and perception Employee Behavior  Change in technology  Redesign of work operation and production technology Organization redesign Decentralization Modification of work flow  Change in structure    Organizational performance and work situation .

units to increase the motivation and performance of unit members careful grouping of specialties to improve productivity and morale  Decentralization:   Modified work flow:  . self contained org. Organizational design:   Classical OD focuses on defining job responsibilities and creating appropriate division of labor and lines of performance Flat structure: middle layers of management are eliminated to streamline the interaction of top managers with non-management employees noncreating smaller.

training and development) . A combination of any/all of these   technotechno-structural attempt to improve performance by simultaneously changing aspects of an organization¶s structure and its technology Examples of techno-structural approaches to change technoare job enlargement and job enrichment (e.g.

Organizational Conflict  Conflict is part of organizational life and it may occur:    within individuals Between individuals Between individual and the group  Conflicts are mostly dysfunctional but can also be beneficial as without conflict an issue cannot be sufficiently analyzed .

 Sources of conflict      Resource: a production manager may wish to streamline the product line whereas a sales manager may desire a broad product line that will satisfy diverse customer needs and an engineer may want to design the best product regardless of cost and market demand considerations Conflict between line and staff Autocratic leaders Lack of communication Educational background .

 Managing Conflict: Conflicts can be managed by focusing interpersonal relationships or by focusing on structural changes Focusing on interpersonal relationships   Avoidance of conflict situation Smoothing  Emphasizing the areas of agreements and common goals Pushing a view point on others (cause resistance) Agreeing in part with other person¶s view or demand  Forcing   Compromise  .

   Attempts to change behavior Interference by higher level managers Problem solving: differences are openly confronted and issues are analyzed as objectively as possible .

Focusing on structural changes     Modifying and integrating the objectives of the group Organization structure may have to be changed and authority responsibility relationships clarified New ways of coordinating activities Tasks and work locations can be rearranged .

Organizational performance and organizational development .

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