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The Bottom Line on Creativity and Change

Creativity provides the organization with new ideas. Change moves the organization in a new
direction. Organizations that succeed tend to these essential competencies. Organizations that
neglect change and creativity will struggle.

Change is difficult. Organizational change and organizational innovation often require great
effort. Typically, overcoming the status quo requires a change agent and a sizeable portion of
organizational support.

Change is complicated. Small incremental innovations are the easiest. Quantum innovations, for
example, from the Walkman to the iPod, are more difficult. Cultural change is the most difficult.
It is one thing to change a product. It is quite another to change an attitude.

The two primary change theories include Kurt Lewin's Force-field Analysis and John Kotter's
eight steps for leading change. Each process is similar, though Kotter unpacks each step more
clearly. Kotter also focuses attention on the primacy of leadership in the change process.

There is often a dynamic tension between leaders and managers when it comes to issues
involving creativity and change. A bureaucratic system may effectively manage a co·mplex task,
but it also likely to squelch innovation in the name of stability. Managers maintain systems.
Leaders drive change. .

Bottom Line: Management deals with complexity. Leadership deals with change. As the business
environment changes at a more rapid pace, leadership becomes the critical competency.

Key Terms:

Creativity is the ability to generate novel ideas.

Organizational change is the process of moving an organization in a new direction.

Change agent is a champion of the change process who superintends the change process.

Organizational innovation is the application of new ideas to a product or service.

Organizational development is the process of changing an organization' s culture by changing


members ' attitudes and values.

Learning organization is an organization in which learning and personal development is highly


valued.

Single-loop learning is a simple process where defects are corrected.

Double-loop learning is a process where not only the defect, but the cause of the defect is
questioned and examined.

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Force-field analysis begins with the assertion that where we are right now is a state of
equilibrium between driving forces and restraining forces. To change we must unfreeze the
system and increase driving forces, decrease restraining forces, or a combination of the two.

Unfreezing in Force-field analysis, consists of increasing the driving forces, decreasing the
restraining forces, or a combination of both.

Drivingforces in Force-field analysis are the forces that move the change forward.

Restraining forces in F orce-field analysis are the forces that resist the change.

Change happens in Force-field analysis when the driving forces push the restraining forces to the
desired state.

Refreezing in Force-field analysis is the process where the driving forces and restraining forces
are rebalanced at the new desired state.

Kotter's Eight steps for leading change are practical steps for change based on years of research
in organizational change efforts

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