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    Copyright © 2015 Pearson Education Ltd.

     Topic 14:

    Organizational Change

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    Learning Objectives

    After studying this chapter, you should be ableto:

    dentify forces for organizational change

    !escribe "anaging planned change

    dentify individual and organizational sources ofresistance to change

    !iscuss strategies to overco"e changeresistance

    #$plain several approaches to "anaging achange process

    #$plain %ays of creating a culture for change 18-2

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    &orces for Change

    Nature of

    Worforces Co!petition

    "echno#ogy

    Econo!ics

    $orces

    for Change

    %ocia# "rendPo#itics

    LO 1

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    &orce for Change

    LO 1

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    'anaging (lannedChange

    &oa#s of P#anned

    Change'

    Improving the ability of

    the organization to adapt

    to changes in its

    environment.

    hanging the behavior of

    individ!als and gro!ps in

    the organization.

    &oa#s of P#anned

    Change'

    Improving the ability of

    the organization to adapt

    to changes in its

    environment.

    hanging the behavior ofindivid!als and gro!ps in

    the organization.

    Change

    'a)ing things di*erent+

    P#anned Change

    Activities that areintentional and goaloriented+

    Change (gents(ersons %ho act ascatalysts and assu"e theresponsibility for "anaging

    change activities+

    LO

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    -ources of ndividual .esistanceto Change

    LO /

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    -ources of Organizational .esistanceto Change

    LO /

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    -ources of ndividual andOrganizational .esistance toChange

    LO /

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    Overco"ing .esistance to Change

    1+ #ducation and co""unication

    + (articipation/+ 0uilding support and co""it"ent

    4+ !evelop positive relationships

    + "ple"enting changes fairly

    2+ 'anipulation and cooptation

    3+ -electing people %ho accept change

    + Coercion

    LO 4

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    Overco"ing .esistanceto Change

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    Approaches to "anaging change:

    1+ Le%in5s Three6-tep 'odel 7#$hibit 16/8

    + 9otter5s #ight6-tep (lan for"ple"enting Change 7#$hibit 168

    /+ Action .esearch

    4+ Organizational !evelop"ent

    LO

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      'anaging OrganizationalChange

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    'anaging OrganizationalChange Le%in Three6-tep

    'odel)nfree*ingChange e*orts to overco"ethe pressures of both

    individual resistance and groupconfor"ity+

    +efree*ing-tabilizing a changeintervention by balancing

    driving and restrainingforces+

    o-e!ent

    A change process that

    transfor"s the organizationfro" the status uo to adesired end state+

    /ri-ing $orces&orces that direct behavior

    a%ay fro" the status uo+

    +estraining $orces&orces that hinder"ove"ent fro" thee$isting euilibriu"+

    LO

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    LO

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      'anag ng rgan zat onaChange

    Le%in Three6-tep 'odel

    ' t

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    'anag ng rgan zat onaChange

    Le%in Three6-tep 'odel

    LO

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    ' t

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    LO   'anag ng rgan zat onaChange

    9 otter #ight6-tep 'odel

    18-14

    ' t

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    'anag ng rgan zat onaChange

    Action .esearchAction Research is a change process based on the syste"atic

    collection of data and selection of a change actionbased on %hat the analyzed data indicate+

     The process consists of ;ve steps:1+ !iagnosis

    + Analysis

    /+ &eedbac)

    4+ Action+ #valuation

    Action research provides at least t%o speci;c bene;ts:

    t is proble" focused+

    t reduces resistance to change+

    LO

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    Organizational Development

    is a collection of change "ethods that tryto i"prove organizational e*ectiveness

    and e"ployee %ell6being+O! "ethods value hu"an and

    organizational gro%th, collaborative andparticipative processes, and a spirit of

    inuiry+&ocuses on ho% individuals "a)e sense

    of their %or) environ"ent+

    LO

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      'anag ng rgan zat onaChange

    Organizational !evelop"ent

    ' t

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      The underlying values in "ost O! e*ortsare:

    .espect for people+

     Trust and support+(o%er eualization+

    Confrontation+

    (articipation+

    LO

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      'anag ng rgan zat onaChange

    Organizational !evelop"ent

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    Creating a Culture forChange

    -ti"ulating a Culture of nnovation

    Innovation, a "ore specialized )ind of change, is ane% idea applied to initiating or i"proving a product,process, or services+

    -ources of nnovation:

    -tructural variables are the "ost studied potentialsource of innovation+

    Organic structures positively in

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    LO 2

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    Creating a Culture forChange

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    "plications for 'anagers

    Consider that, as a "anager, you are achange agent in your organization+ Thedecisions you "a)e and your role6"odeling behaviors %ill help shape theorganization5s change culture+

     =our "anage"ent policies and practices%ill deter"ine the degree to %hich the

    organization learns and adapts tochanging environ"ental factors+

    18-2$