Professional Documents
Culture Documents
Change
1
Continuous Change at Nokia
Nokia has
continually
adapted to its
changing
environment. The
Finnish company
began as a pulp
and paper mill in
Courtesy National Board of Antiquities, Finland
1865, then moved
into rubber, cable wiring, and computer monitors. In
the 1980s, Nokia executives sensed an emerging
market for wireless communication. But today, Nokia is
a no more world leader in cellular telephones.
Changing People: Some Basic
Steps
Step 3: Refreezing
Incorporating the changes,
creating and maintaining a
new organizational system
Step 2: Changing
Attempting to te
St a
create a new state w
of affairs Ne
Step 1: Unfreezing
Recognizing the
tate
need for change tS
re n
r
Cu
3
Some External Forces for Change
Information
Technology
Globalization
& Competition
Courtesy National Board of Antiquities, Finland
Demography
Force Field Analysis
Restraining
Desired Forces
Conditions
Restraining
Forces Driving
Forces
Restraining
Forces
Current Driving
Conditions Forces
Driving
Forces
6
7
Resistance to Change
Direct Costs
Saving Face
Incongruent Systems
Communication
Coercion Training
Minimizing
Resistance
Negotiation
to Change Employee
Involvement
Stress
Management
Change Agents
12
Instructions
13
Action Research Process
Entry of
change
agents
Diagnose Evaluate/
Introduce
Need for Stabilize
Change
Change Change
Exit of
change
agents
Appreciative Inquiry Process
17
Successfully Diffusing Change
18
Organization Development Defined
19
Organizational Development: How
Effective Is It?
Percentage of Studies Showing Positive Changes
Organizational outcomes
50 more often benefited from (48.70)
OD interventions than did
individual outcomes
40
30 (23.55)
20
Individual Organizational
outcomes outcomes
(e.g., job (e.g., profit) (Source: Porras and Robertson, 1992.)
satisfaction)
20
Organization Development Concerns
• Cross-Cultural Concerns
– Linear and open conflict assumptions
different from values in some cultures
• Ethical Concerns
– Management power
– Employee privacy rights
– Employee self-esteem
– Consultant’s role
Examples:
22
Scenario #1: “Greener Telco”
Scenario #2 refers to
Continental Airline’s “Go
Forward” change strategy,
which catapulted the
company “from worst to
first” within a couple of
years.
Courtesy of Continental Airlines
Continental Airlines’ Change Strategy
Communicate, communicate,
communicate
Introduced 15 performance
measures
Established stretch goals
(repainting planes in 6 months)
Replaced 50 of 61 executives
Rewarded new goals (on-time
arrival, stock price)
Courtesy of Continental Airlines
Customers as drivers of change
Wrap up
• What is change?
• Why it is important?
• Change process (3 step model)
• Force-field analysis
• Action research
• Appreciative enquiry
• Resistance to change
• Organisation Development
• Change agents
• Successful diffusion of change
• Activities
• Examples
27