03 mgt of org change

8/7/2019 03 Mgt of org Change

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Management of Change

Teacher: AA

Lecture 03

Forms of Change

Levins Theory of Change

Organization Development


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Levin's Force-Field Theory ofChange Theory of change which argues that

two sets of opposing forces within anorganization determine how change

will take place Forces for change and forces making

organizations resistant to change

When forces for and against change are

equal, the organization is in a state ofinertia

To change an organization, managersmust increase forces for change and

decrease forces resisting change


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Levin's Force-Field Theory ofChange


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Developments inEvolutionaryChangeSociotechnical systems theory: a

theory that proposes the importance ofchanging role and task or technical

relationships to increase organizationaleffectiveness Managers must fit or jointly optimize the

workings ofan organizations technical

andsocialsystems Managersneed to besensitive to the fact

that the way theystructure the workprocessaffects the way peopleand

groups behave


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Developments inEvolutionaryChange (cont.)

Total quality management (TQM):anongoingandconstant effort byallofanorganizationsfunctions tofind

new ways toimprove the qualityof theorganizationsgoodsandservices Quality circles:groupsofworkers who

meetregularly todiscuss the way work isperformedinorder tofindnew ways toincrease performance

Changingcross-functionalrelationshipsisveryimportant to TQM


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Flexible workers: employees whohaveacquiredanddeveloped theskills

to perform anyof the tasksnecessaryforassemblingarangeoffinishedgoods

Compensationfrequently tied to the

numberofdifferent tasks thata personcan perform

Workerscansubstituteforoneanother


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Flexible work teams:agroup ofworkers whoassumeresponsibilityfor

performingall theoperationsnecessaryforcompletingaspecifiedstagein the manufacturing process

Team members jointlyassign tasksand

transfer workersfrom one task toanother Managersroleis tofacilitate the teamsactivities


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Use of Flexible Work Teams toAssemble Cars


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Developments inRevolutionary Change Reengineering: involvesrethinking

andredesigning business processes toincreaseorganizational effectiveness

Insteadoffocusingonanorganizationsfunctions, the managersofareengineeredorganizationfocusonbusiness processes

Business process

:anyactivity thatcutsacrossfunctional boundariesand whichis

vital to the quick deliveryofgoodsandservices, or that promoteshigh qualityorlowcosts


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Developments inRevolutionary Change (cont.)

Reengineering (cont.)

Deliberatelyignores the existingarrangementof tasks, roles, and work

activities Guidelinesfor performingreengineering

successfullyinclude:

Organizearoundoutcomes, not tasks

Have those who use theoutputof theprocess perform the process

Decentralizedecision making to the pointwhere thedecisionis made


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Improving Integration inFunctional Structure


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Developments inRevolutionary Change (cont.) E-engineering: refers tocompaniesattempts to

useinformationsystems toimprove theirperformance

Restructuring:changing task andauthority

relationshipsandredesigningorganizationalstructureandculture toimproveorganizationaleffectiveness

Downsizing: the processofstreamlining the

organizationalhierarchyandlayingoffmanagersand workers toreduce bureaucraticcosts

Rightsizing: Matching workforcerequirementto theavailable workloadand tasks.


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Developments inRevolutionary Change (cont.)

Innovation: the process by whichorganizations use theirskillsandresources to:

Createnew technologies

Develop new goodsandservices

Betterrespond to theneedsof their

customers


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Managing Change: ActionResearch

Action research:astrategy(developed by Kurt Lewin)forgeneratingandacquiring knowledge

that managerscan use todefineanorganizationsdesiredfuturestate

Used to planachange program thatallows theorganization toreach that

state


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Lewin's description of the process ofchange involves three steps :

"Unfreezing": Faced withadilemmaor

disconfirmation, theindividualorgroupbecomesawareofaneed tochange.

"Changing":Thesituationisdiagnosedandnew modelsofbehaviorare explored

and tested.

"Refreezing": Applicationofnew behavioris evaluated, andifreinforcing, adopted.


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Action research is depicted as a cyclical process ofchange. The cycle begins with a series of planning

actions initiated by the client and the change agentworking together.

In the language of systems theory, this is the inputphase, in which the client system becomes aware of

problems as yet unidentified, realizes it may needoutside help to effect changes, and shares with theconsultant the process of problem diagnosis.


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The second stage of action research is the action, ortransformation, phase.

As shown in Figure , feedback at this stage would move viaFeedback Loop A and would have the effect of alteringprevious planning to bring the learning activities of the clientsystem into better alignment with change objectives.Included in this stage is action-planning activity carried out

jointly by the consultant and members of the client system.Following the workshop or learning sessions, these actionsteps are carried out on the job as part of the transformationstage.


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The third stage of action research is the output, orresults, phase.

Data are again gathered from the client system sothat progress can be determined and necessaryadjustments in learning activities can be made.Minor adjustments of this nature can be made inlearning activities via Feedback Loop B . Major

adjustments and reevaluations, via Feedback Loop C,would return the ODproject to the first, or planning,stage for basic changes in the program.


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Steps in Action Research


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Managing Change: ActionResearch (cont.)

Steps in action research

1. Diagnosing the organization

Recognize problems and need to solve

problems Gap perceived between actual anddesired

performance

A complex process todistinguishbetween symptoms and causes

2. Determining thedesiredfuture state

A difficultplanning process


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Managing Change: ActionResearch (cont.) Steps in action research (cont.)

3. Implementing action

Identify impedimentsto change

Decide who will be responsibleformakingthe changes and controllingthechange process External change agents: people whoare

outsideconsultants whoare expertsinmanagingchange

Internal change agents: managersfromwithin theorganization whoareknowledgeableabout thesituation to bechanged


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Managing Change: ActionResearch (cont.)

Steps in action research (cont.)

3. Implementing action (cont.)

Decide which specific change strategy

will mosteffectively unfreeze, change,and refreezethe organization

Top-down change:change thatisimplemented by managersatahighlevelin

theorganization Bottom-up change:change thatis

implemented by employeesatlow levelsintheorganizationandgraduallyrises untilitisfelt throughout theorganization


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Steps in action research(cont.)

4. Evaluatingthe action

Evaluatingthe actionthathas beentaken

and assessingthedegreeto whichthechanges have accomplishedthedesiredobjectives

5. Institutionalizing action research(Makethe

change stick) Necessary atalllevels ofmanagement

Members atalllevels mustbe rewardedfortheir efforts

03 mgt of org change

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