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Managing Change

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					                 Chapter 2
Images of Managing Change
Learning Objectives
  •    Understand the importance of organizational
      images and mental models.
  •   Identify different images of managing and of
      change outcomes.
  •   Outline six different images of managing change.
  •   Identify the theoretical underpinnings of these six
      change management images.
  •   Understand the practical implications of the six
      images and how to use them.
    Images of Managing Change
Images of
Managing
Change            Controlling…
Images of          ◦ Top-down view of management
Change
Outcomes
                   ◦ Fayol’s theory of management:
                     planning, organizing, commanding,
Images of
Change
                     coordinating and controlling.
Managers:
-Director
                  Shaping…
-Coach
-Navigator
                   ◦ Participative style of management
-Interpreter       ◦ Improving the capabilities of people
-Caretaker
-Nurturer            within the organization
Three Core
Uses of the
Images
     Images of Change Outcomes
Images of
Managing
Change            Intended Change:
Images of          ◦ Change is a result of planned action
                   Partially Intended Change:
Change
Outcomes       
Images of
                   ◦ Change may need to be re-modified
Change               after it is initially implemented
                   Unintended Change:
Managers:
-Director      
-Coach
-Navigator         ◦ Forces beyond the control of the
-Interpreter
-Caretaker
                     change manager
-Nurturer

Three Core
Uses of the
Images
     Images of Change Managers
Images of
Managing
Change
                                            Images of Managing
Images of
Change
Outcomes
                                      Controlling . . .   Shaping . . .
Images of                             (activities)        (capabilities)
Change
Managers:
-Director                Intended     DIRECTOR            COACH
-Coach
               Images of
-Navigator               Partially    NAVIGATOR           INTERPRETER
-Interpreter    Change
-Caretaker               Intended
               Outcomes
-Nurturer
                         Unintended   CARETAKER           NURTURER
Three Core
Uses of the
Images
     Images of Change Managers
Images of
Managing       Director               Coach
Change
                Based on an           Relies upon building
Images of         image of              in the right set of
Change
Outcomes
                  management as         values, skills and
                  control and of        “drills” that are
Images of
Change
                  change outcomes       deemed to be the
Managers:         as being              best ones to be
-Director
-Coach            achievable.           drawn upon in order
-Navigator
-Interpreter    Supported by the       to achieve desired
-Caretaker
                  n-step models and     organizational
-Nurturer
                  contingency           outcomes.
Three Core
Uses of the       theory.              Related to OD
Images                                  approaches.
     Images of Change Managers
Images of
Managing       Navigator                   Interpreter
Change          Control is the heart of    The manager
Images of        management action,           creates meaning for
Change           although a variety of        other organizational
Outcomes         external factors mean        members, helping
Images of        that managers may            them to make sense
Change           achieve some intended        of various
Managers:
-Director
                 change outcomes and          organizational
-Coach           others will occur over       events and actions.
-Navigator
-Interpreter     which they have little     Supported by the
-Caretaker       control.                     sense-making
-Nurturer
                Supported by the             theory of
Three Core
Uses of the
                 contextualist and            organizational
Images           processual theories of       change
                 change.
     Images of Change Managers
Images of
Managing       Caretaker                 Nurturer
Change          The manager’s control  Even small changes may
Images of        is severely impeded by    have a large impact on
Change           a variety of internal     organizations and
Outcomes         and external forces       managers are not able to
Images of        beyond their scope.       control the outcome of
Change           The caretaker             these changes but may
Managers:
-Director
                 shepherds their           nurture their organizations.
-Coach           organizations along as    This facilitates
-Navigator
-Interpreter     best they can.            organizational qualities
-Caretaker
                Supported by life-        that enable positive self-
-Nurturer
                 cycle, population-        organizing to occur.
Three Core       ecology and              Related to chaos and
Uses of the
Images           institutional theories.   Confucian/ Taoist theories.
     Three Core Uses of the Images
Images of
Managing
Change            These six images of change
Images of          managers have three core uses:
Change             1) They highlight a variety of assumptions
Outcomes
                      that change managers make about change
Images of             and increase the awareness of different
Change                interpretations of change.
Managers:
-Director
                   2) They draw attention to the dominant
-Coach                images of change within an organization.
-Navigator
-Interpreter
                   3) They highlight a range of perspectives
-Caretaker            available to change managers.
-Nurturer

Three Core
Uses of the
Images
             Table 2.5
Chapter Reflections for the Practicing
         Change Manager
             Chapter 3
Why Organizations Change
        Why Change?
Why Change?

External Pressures
-Fashion               Change is a risky activity – many
                        organizational changes fail or do
-Mandated
-Geopolitical
-Market decline
-Hyper- competition
-Reputation &
                        not realize their intended
credibility
                        outcomes. This raises the
Role of the
Environment             question: why is change so
Internal Pressures      prevalent?
-Growth
-Integration &
collaboration
                       Pressure to change comes from:
-Identity
-New broom
                          ◦ External, environmental pressures
-Power & political
                          ◦ Internal, organizational pressures
        Environmental Pressures
Why Change?

External Pressures
-Fashion
-Mandated              Pressure     Examples               Description
-Geopolitical
-Market decline                                Neo-institutionalism: mimetic
-Hyper- competition
-Reputation &          Fashion       Boeing    isomorphism. Managers imitate
credibility           pressures       Co.      practices associated with successful
Role of the                                    organizations
Environment                                    Neo-institutionalism: coercive
Internal Pressures    Mandated      Chevron    isomorphism. An organization
-Growth               pressures     Texaco     changes through formally or
-Integration &
collaboration                                  informally mandated requirements.
-Identity
-New broom                                     Macroeconomic changes (or crises)
-Power & political    Geopolitica              place pressure on organizations to
                                      3M
                      l pressures
                                               change the way they operate.
        Environmental Pressures
Why Change?

External Pressures
                        Pressure        Examples                Description
-Fashion
-Mandated
-Geopolitical            Market                       When current markets begin to
-Market decline                         AOL Time
-Hyper- competition
                         decline                      decline there is pressure to find
                                         Warner
-Reputation &           pressures                     newer, more viable markets.
credibility

Role of the                                           The highly intensified rate of
Environment                                           business – including shortened
                         Hyper-
                                                      product life cycles and rapid
Internal Pressures     competition       Gateway
-Growth
                                                      responses by competitors –
                        pressures
-Integration &                                        produces pressure for change at
collaboration
-Identity
                                                      the organizational level.
-New broom
-Power & political                                      In light of recent corporate
                       Reputation                       governance scandals, the
                                        Walt Disney
                      and credibility                   pressure to maintain a good
                                         Company
                        pressures                       reputation and high level of
                                                        credibility has increased.
        Debate: Role of the Environment
Why Change?

External Pressures             Organizational learning vs. threat-rigidity
-Fashion                        ◦ whether external pressures facilitate or inhibit the process of change.
-Mandated
-Geopolitical
-Market decline                Environment as an objective entity vs. environment as a cognitive
-Hyper-competition              construction
-Reputation & credibility       ◦ The former treats the environment as an objective entity to which
                                  managers must respond. The latter emphasizes the centrality of
Role of the                       managers’ interpretations of environmental conditions as the key
Environment                       determinant of behavior.

Internal Pressures             Forces for change vs. forces for stability:
-Growth                         ◦ External forces can vary; they either promote change or promote stability.
-Integration &
collaboration
-Identity                      Bridging (adapting) vs buffering (shielding):
-New broom                      ◦ These represent either strategies that can maintain effectiveness by
-Power & political                adapting parts of the organization to changes happening in the outside
                                  environment (bridging) or focusing on efficiency by avoiding change
                                  through shielding parts of it from the effects of the environment
                                  (buffering).
        Internal Pressures
Why Change?

External Pressures    Pressure       Examples               Description
-Fashion
-Mandated                                        Existing systems and processes in
-Geopolitical
-Market decline        Growth                    an organization may no longer be
-Hyper-competition                   Microsoft
                      pressures                  applicable when the size of the
-Reputation &
credibility                                      organization increases.
Role of the           Integration                 Integration and creating
Environment               and                     economies of scale can lead to
                                       EDS
                     collaboration                pressure for change in
Internal Pressures
-Growth                pressures                  organizations.
-Integration &
collaboration                                    A common organizational identity
-Identity                                        and the unified commitment of
-New broom
-Power & political                               staff in different
                       Identity       Forte
                                                 areas/departments of an
                      pressures       Hotel
                                                 organization can be difficult to
                                                 manage and may encourage
                                                 change.
        Internal Pressures
Why Change?

External Pressures
-Fashion
-Mandated            Pressure     Examples              Description
-Geopolitical
-Market decline
-Hyper-competition
-Reputation &                                Change at the senior
credibility
                        New                  management level – particularly of
                                  Bank of
Role of the            broom                 CEO - can often be a catalyst for
                                  America
Environment          pressures               significant changes in an
                                             organization.
Internal Pressures
-Growth
-Integration &
collaboration        Power and                 Power relationships and
-Identity                         Morgan
-New broom            political                politicking can change internal
-Power & political
                                  Stanley
                     pressures                 processes and decision making.
       Exercise 3.2
Public Change Rationales
More on the why of change…
Theories of Organizational Change

• Life cycle theories: linear and irreversible
  sequence of prescribed change
   • Organizations go through different stages: birth, youth,
     midlife, maturity,…. When reached maturity,
     revitalization is needed.
• Teleological theories: recurrent and discontinuous
  sequence of goal setting, implementation, and
  adaptation
• Dialectic theories: recurrent and discontinuous
  sequence of confrontation, conflict, and synthesis
• Evolutionary theories: recurrent, cumulative and
  probabilistic sequence of variation, selection, and
  retention
          Economic Pressures

• globalization: Deregulation, opening of national
  economies
• Unpredictable and Rapidly changing markets
• Service and knowledge base business
• profitability based on machine power to profitability
  based on intelligence and skills
             Social Pressures

•   Flexible working arrangements
•   Women in management
•   Educated workforce/society
•   Demographics
•   Immigrations
•   People more independent, questioning
•   Lack of loyalty between the workers and
    companies
       Technological Pressures

• Information and Communication
  Technology
  •   High performance work systems
  •   Integrated information systems
  •   Access to information
  •   Global networking
  •   New media
• Shortening product life cycles
• High quality
Sustainable Development Pressures

SD Elements:
Social
  1. Employee Well-Being
  2. Quality of Life
  3. Business Ethics
Economic
  4. Shareholder Value Creation
  5. Economic Development
Environmental
  6. Environmental Impact Minimization
  7. Natural Resource Protection
     Organizational Self-renewal

• Challenging old assumptions
• Understanding the new rules of competition
• Capturing the potential of new paradigms by
  rethinking business processes
• Constant innovation
• Improving continually as part of normal functioning
• Transforming while keeping purpose and direction

               Continuous learning
Organic type of organizations, adopted to
          unstable conditions
   • continual new and unfamiliar problems cannot be
     broken down and distributed among the existing
     specialists roles
   • continual adjustment and redefinition of individual
     tasks is needed
   • Interactions and communication may occur at any
     level as required by the process
   • organization charts are not always useful
           Emerging Mindset
• Industrial mindset:
      • Invalidity of the internal reality of human
        consciousness
      • Scarcity of resources
      • Separate parts
      • Discrete events
• emerging mindset:
      •   Consciousness is causative
      •   Abundance
      •   Relationships and Wholeness
      •   Continuous Process
          parts are connected and they are connected to the
          whole,
          change is a continuous process, and
          the internal and external dynamics are both
          important.

				
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posted:1/23/2013
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