Organizational Change C H A P T E R S E V by RushenChahal

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									C H A P T E R: S E V E N T E E N



                 Organizational
                 Change



                                   17
Continuous Change at Friesens

                                 Friesens Corporation has
                                 become one of North
                                 America’s best managed
                                 printing firms through an
                                 adaptive culture that
                                 supports continuous
                                 change.



          Courtesy of Friesens




                        2
 Force Field Analysis Model

                                             Restraining
 Desired                                       Forces
Conditions

                               Restraining
                                 Forces       Driving
                                              Forces
             Restraining
               Forces

 Current                       Driving
Conditions                     Forces
              Driving
              Forces



                  Before        During          After
                  Change        Change         Change
                           3
Resistance to Change

             Direct Costs

             Saving Face

             Fear of the Unknown
Forces for
Change       Breaking Routines

             Incongruent Systems

             Incongruent Team Dynamics



              4
Resisting Change at the FBI

The FBI has been slow to shift from
law enforcement to domestic
intelligence due to
  Incongruent systems -- career
   paths, reward system, decentralized
   structure
  Breaking routines -- unfamiliar with
   intelligence gathering roles
  Saving face -- past turf wars with
   CIA created anti-investigation
   mindset



                                          AP/ Wide World Photos




                              5
Creating an Urgency for Change

Inform employees about driving forces
Most difficult when organization is doing well
Must be real, not contrived
Customer-driven change
  Adverse consequences for firm
  Human element energizes employees



                    6
Minimizing Resistance to Change

Communication    Highest priority and first
                  strategy for change
                 Improves urgency to change
                 Reduces uncertainty (fear of
                  unknown)
                 Problems -- time consuming
                  and costly




                 7
Minimizing Resistance to Change

Communication

                 Provides new knowledge
  Learning
                  and skills
                 Includes coaching and
                  action learning
                 Helps break old routines and
                  adopt new roles
                 Problems -- potentially time
                  consuming and costly



                 8
Minimizing Resistance to Change

Communication
                 Increases ownership of
  Learning        change
  Employee       Helps saving face and
 Involvement      reducing fear of unknown
                 Includes task forces, future
                  search events
                 Problems -- time-consuming,
                  potential conflict



                 9
Minimizing Resistance to Change

Communication    When communication,
                  training, and involvement do
  Learning        not resolve stress
  Employee       Potential benefits
 Involvement      More motivation to change
   Stress         Less fear of unknown
 Management       Fewer direct costs
                 Problems -- time-consuming,
                  expensive, doesn’t help
                  everyone


                 10
Minimizing Resistance to Change

Communication


  Learning       When people clearly lose
                  something and won’t
  Employee        otherwise support change
 Involvement
                 Influence by exchange--
   Stress         reduces direct costs
 Management
                 Problems
 Negotiation          • Expensive
                      • Gains compliance, not
                       commitment


                 11
Minimizing Resistance to Change

Communication


  Learning
                 When all else fails
  Employee
 Involvement     Assertive influence
   Stress        Firing people -- radical
 Management       form of “unlearning”
                 Problems
 Negotiation
                      • Reduces trust
                      • May create more subtle
  Coercion             resistance

                 12
Refreezing the Desired Conditions

Realigning organizational systems and team
dynamics with the desired changes
  Alter rewards to reinforce new behaviours
  Feedback systems
    • Help employees learn how they are doing
    • Provide support for the new behaviour patterns




                        13
Strategic Vision & Change

Need a vision of the desired future state
Identifies critical success factors for
 change
Minimizes employee fear of the unknown
Clarifies role perceptions




                   14
Change Agents

Change agents apply transformational leadership
  Help develop a vision
  Communicate the vision
  Act consistently with the vision
  Build commitment to the vision
Also requires transactional leadership
  Aligning employee behaviour through rewards,
   resources, feedback ,etc.




                       15
 Diffusing Change with MARS Model
Motivation
    Successful pilot project
    Supervisor support and reinforcement

Ability
    Competencies to adopt pilot project
    Role modeling from people in pilot project

Role perceptions
    Translating pilot project practices -- neither too specific nor
     too general

Situational factors
    Resources and time to implement pilot project elsewhere



                            16
Action Research Approach

Change needs both action and research
focus
Action orientation
  Solve problems and change the
   organizational system

Research orientation
  Concepts guide the change
  Data needed to diagnose problem, identify
   intervention, evaluate change



                      17
Action Research Process

   Establish
    Client-
   Consultant
   Relations



  Diagnose                     Evaluate/
                 Introduce
  Need for                     Stabilize
                Intervention
  Change                        Change

                               Disengage
                               Consultant’s
                                Services




                    18
Appreciative Inquiry at Canadian Tire




                                            CP/Toronto Star-Andrew Stawicki

Canadian Tire CEO Wayne Sales (see photo) and his executive
team relied on appreciative inquiry by asking staff to describe
events that have made Canadian Tire successful. The
company’s core values were then rebuilt around those positive
experiences. Store employees were also involved in an
appreciative inquiry exercise to reinforce these values.


                           19
Appreciative Inquiry Approach




                                         CP/Toronto Star-Andrew Stawicki

 Directs participants’ attention away from problems and
  towards the group’s potential and positive elements.

 Reframes relationships around the positive rather than
  being problem oriented



                         20
Appreciative Inquiry Process



 Discovery     Dreaming      Designing     Delivering


              Forming       Engaging in   Developing
Discovering
              ideas about   dialogue      objectives
the best of
              “what might   about “what   about “what
“what is”
              be”           should be”    will be”




                       21
Parallel Learning Structure Approach


Highly participative social structures
Members representative across the formal
hierarchy
Sufficiently free from firm’s constraints
Develop solutions for organizational change
which are then applied back into the larger
organization



                     22
Parallel Learning Structures

  Parallel
                      Organization
 Structure




              23
Cross-Cultural and Ethical Concerns

Cross-Cultural Concerns
    Linear and open conflict assumptions different from
     values in some cultures

Ethical Concerns
    Privacy rights of individuals
    Management power
    Individuals’ self-esteem
    Consultant’s role




                              24
Rules for the Road Ahead


Understand your needs and values
Understand your competencies
Set career goals
Maintain networks
Get a mentor



                   25
Organizations are About People

“Take away my people, but leave my
factories, and soon grass will grow on the
factory floors. Take away my factories, but
leave my people, and soon we will have a
new and better factory.”
Andrew Carnegie (1835-1919)




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C H A P T E R: S E V E N T E E N



                 Organizational
                 Change



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