organizations change vi

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• Introduction • The organisation and the forces of change.• The nature of the change• Factors influencing the change• Barriers and means of overcoming them• Change agents & managing changes• Conclusion• Questions & answers……

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All is flux, nothing stays still; Nothing endures but change~Heraclitus

You could not step twice into the same rivers, for other waters are ever flowing to you~Heraclitus

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Like the life cycles of plants and animals, organizations are born, they mature and they eventually die. What are the different phases an organization passes through?

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•Simple and Informal Structure

•Focus is on survival

•Primary concern is on technical aspects of production and marketing

•As organization grows complex managerial needs may lead to a crisis

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•After initial success, goals become clarified and employees begin to identify with the mission of the organization in the growth phase

•Specialization leads to more elaborate structure

•Delegation of authority

•Overload of work and unwillingness to delegate authority may lead to a serious crisis

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•Slowdown in growth

•Organizations become more formal and beaurocratic

•Slower and conservative decision making causes organization to be less adaptive to changes in external environment

•Typical streamlining intervention might be required

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•Not all organizations pass through this phase

•Diverse array of products for different markets

•Separate divisions become responsible for developing , marketing and producing their own lines of products

•Segmented structure needs maintaining good communication and cooperative effort

•Teambuilding and co operation necessary during this phase

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•Markets decline and products become obsolete

•Organizations become risk aversive and less innovative

•Top management operates in a crisis mode that prevents strategic long term planning from being completed.

•Streamlining strategic planning, and fostering innovation are critical issues during this phase

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• Much of what we have constructed inherently opposes change

• Companies are designed in a manner that often makes change difficult

What then, does change mean in the context of organizations?

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Three options to bring about change :

•increase the driving forces

•decrease the restraining forces

•do a combination of the two approaches.

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Status Quo

Desired State

Restraining Forces

Driving Forces

Source: Aurosoorya(http://www.aurosoorya.com)

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Broadly speaking, how can change be classified? What could we say is the nature of change?

Nature Of ChangeNature Of Change

Physical

Vital

Mental

Degrees of Freedom

Type

s of

cha

nge

All is fixed - change is at the best incremental.

Probabilistic system - sometimes this happening, sometimes that

Change happens according to some design

Limited Change

Random Change

Ordered Change

Source: Aurosoorya(http://www.aurosoorya.com

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Study events in isolation: Change seems random Study events systemically : Possibly some sense of order emerges

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In the business world is change Physical or Vital or Mental?

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What are the factors influencing change?

•Economic and Market Changes

•Technological Innovation

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• Organizational Structure Changes.

• Changing Employee Demographics.

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Lasting and meaningful organizational change ultimately comes from the individuals who are building blocks of the organization. People need to understand why the change is necessary.

Organizations must effectively communicate the need for change to all their members before attempting any kind of change.

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•Vision represents the force that guides the organization and provide a sense of purpose and direction.

•Vision comprises of four parts-Organizations core values and beliefs-Enduring purpose of the organization-A highly compelling mission or purpose-A vivid description of the mission

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Any time an organization attempts to change, individuals and groups within the organization are likely to resist the change process. Although people may be dissatisfied with the way the organization currently functions, change always carries the risk of making the situation worse. In situations where change is perceived as more threatening than beneficial, organizational members will be unwilling to accept change.What are barriers to change?

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•Failure to recognize the need for change•Misunderstanding the purpose, process and outcomes of change•Fear of the unknown•Threats to existing social relationships•Reluctance to give up old work routines and habits

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• A Reward system that reinforces old ways of doing things• Threats to existing balance of power• Inter group conflicts that inhibit cooperation• Incompatibility of change process and organizational culture• Heavy investment in previous decisions and course of action

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Depending on the nature of the resistance and the need of the organization several strategies are available for dealing with resistance to change.

What then are the methods for dealing with resistance to change?

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Approach Commonly used when..

Advantages Disadvantages

1.Education & Comunication

There is lack of information or inaccurate information and analysis

Once persuaded, people will often help implement the change

Can be very time consuming if many people are involved

Source: Kotter & Schesinger ,1979

2.Participation and Involvement

Initiators-not enough info./others resist considerably

People participating help in implementing

Can be time consuming if an inappropriate change designed

3.Facilitation & Support

People resist because of adjustment prob.

No approach works as well with adjustment problems

Can be time consuming, costly and can still fail


4.Negotiation & Agreement

Group with powers lose in the change

Sometimes an easy way

Expensive if alerts others to negotiate

5.Manipulation & Co-optation

Other tactics don't work or are too costly

Can be inexpensive & quick

Can lead to future problems if people feel manipulated

6.Explicit & Implicit Coercion

Speed is essential& initiators have powers

Speedy and can overcome any resistance

Can be risky if it leaves people angry with initiators


Understanding an organization’s culture is a critical first step in gauging the level of resistance a change- effort is likely to encounter. All successful change efforts have some impact on organizational culture. However, since organizational culture develops slowly, efforts to change it will generate varying degrees of resistance.

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Degree of Change

Impact on Culture

Resistance Chances of Success

Small Slight Low High

Small High Moderate Moderate

Large Low Moderate Moderate

Large High Highest Remote


•Doing Better is a good thing•The facts are friendly•People should have ownership of their life space•A challenging environment requires the system to be adaptive in terms of its structure and processes•Change does not have to be haphazard•The results of change actions are not always 100 percent predictable and controllable•Behavioral science knowledge can contribute to organizational health

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Change agents are people with the responsibility for implementing change in an organization.

How can change agents be classified?

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• Internal Change Agents

• External Change Agents

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Advantages DisadvantagesExternal Change Agents

•Credibility as an expert•No negative history with organizational members•Objective outsider•Wide experience

•Perceived as an outsider•Lacks knowledge of organization and its technology•Often has limited availability and time constraints

Internal Change Agents

•Credibility as an insider•Knows the people, the culture and norms of the organization•Knows the technology•Continuously available•Personal relationships

•Often not perceived as an expert•May have negative history with the organization•May lack objectivity•Has limited experience with other organizations

A satisfactory relationship between the change agent and the organizational members is critical to the success of any OD effort. A trusting relationship helps the consultant deal with the changes brought by those who are uncomfortable or in disagreement with the change effort, and the consultancy’s style and values are key factors establishing trust and making relationships successful.How change agents build trusting relationships?

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• An impervious response• An interrupting response• An irrelevant response• A tangible response• An impersonal response• An ambiguous response• An incongruous response

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Supportive Behaviors

Defensive Behaviors

1) Description

2) Problem Orientation

3) Spontaneity

4) Empathy

5) Equality

6) Provisionalism

1) Evaluations

2) Control

3) Strategy

4) Neutrality

5) Superiority

6) Certainty

• Listens, but does not sells• Fits into the organization and embraces its mission and culture• Provides good customer service• Protects confidentiality• Challenges assumptions• Is a recognized expert• Provides perspective and objectivity• Celebrates with the internal staff

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• Leaders as Change Agents

• Managers as Change Agents

• Human Resource Professionals as Change Agents

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How can change be managed?

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Mental Physical

Mental

Vital

Mental Mental

If “system” is moving at the Mental level, then an organization is going to face a different set of issues and challenges, depending on whether it is itself at the Physical, Vital, or Mental level.

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Insisting on uncompromising straight talk

Mobilizing Technique

Level of Operation

‘Adversarial’ ‘Positive’

Infusing intricate situational understanding

Rewarding inventive accountability

Managing from the future

Appreciative inquiryIntrospective techniques

Physical

Mental

How Then Do We Manage Change How Then Do We Manage Change Given Where An Organization Given Where An Organization

May Be At?May Be At?

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organizations change vi

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