ch10 110204044512 Phpapp02

Organizational Theory, Design, and Change
Sixth Edition Gareth R. Jones
Chapter 10 Types and Forms of Organizational Change

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
10- 1
Learning Objectives
1. Understand the relationship among organizational change, redesign, an organizational effectiveness 2. Distinguish among the major forms or types of evolutionary and revolutionary change organizations must manage 3. Recognize the problems inherent in managing change and the obstacles that must be overcome
10- 2
Learning Objectives (cont.)

4. Describe the change process and understand the techniques that can be used to help an organization achieve its desired future state
10- 3
What is Organizational Change?

Organizational change: the process by which organizations move from their present state to some desired future state to increase their effectiveness
Goal is to find improved ways of using resources and capabilities in order to increase an organizations ability to create value
10- 4
What is Organizational Change?

(cont.)
Targets of change include improving effectiveness at four different levels
Human resources Functional resources Technological capabilities Organizational capabilities
10- 5
Targets of Change: Human Resources

Typical kinds of change efforts directed at human resources include:
1. Investment in training and development 2. Socializing employees into the organizational culture 3. Changing organizational norms and values to motivate a multicultural and diverse workforce 4. Promotion and reward systems 5. Changing the composition of the topmanagement team
10- 6
Targets of Change: Functional Resources

Change efforts directed at functional resources by transferring resources to the functions where the most value can be created in response to environmental change An organization can improve the value that its functions create by changing its structure, culture, and technology
10- 7
Targets of Change: Technological Capabilities

Change efforts directed at technological capabilities are intended to give an organization the capacity to change itself in order to exploit market opportunities Technological capabilities are a core competence
10- 8
Targets of Change: Organizational Capabilities

Change efforts directed at organizational capabilities alter organizational culture and structure, thereby permitting the organization to harness its human and functional resources to exploit technological opportunities
10- 9
Forces for Change

Competitive forces: organization must make changes to attempt to match or exceed its competitors on at least one of the following dimensions:

Efficiency Quality Innovation
10- 10
Forces for Change (cont.)

Economic, political, and global forces: affect organizations by forcing them to change how and where they produce goods and services
Need to change organizational structure to:

Allow expansion in foreign market Adapt in a variety of national cultures Help expatriates adapt to the cultural values of where they are located
10- 11
Forces for Change (cont.)

Demographic and social forces: changes in the composition of the workforce and the increasing diversity of employees has presented many challenges for organizations
Ethical forces: government, political, and social demands for more responsible corporate behavior

Increased need to manage diversity
Creation of ethics officer position Encourage employees to report unethical behaviors

10- 12
Resistances to Change
One of the main reasons for some organizations inability to change is organizational inertia that maintains the status quo Resistance to change lowers an organizations effectiveness and reduces its chances of survival
10- 13
Resistances to Change (cont.)

Organization-level resistance to change stems from:
Power and conflict
When change causes power struggle and conflicts, there is resistance
Differences in functional orientation Mechanistic structure Organizational culture
10- 14

Group-level resistance to change stems from:

Group norms Group cohesiveness Groupthink Escalation of commitment
10- 15

Individual-level resistance to change stems from:

Uncertainty and insecurity Selective perception and retention Habit
10- 16
Figure 10.1: Forces for and Resistances to Change
10- 17
Levin's Force-Field Theory of Change

This theory of change argues that two sets of opposing forces within an organization determine how change will take place
Forces for change and forces making organizations resistant to change When forces for and against change are equal, the organization is in a state of inertia To change an organization, managers must increase forces for change and/or decrease forces resisting change
10- 18
Figure 10.2: Levin's Force-Field Theory of Change
10- 19
Types of Change in Organizations

Evolutionary change: change that is gradual, incremental, and narrowly focused Revolutionary change: change that is sudden, drastic, and broadly focused
10- 20
Developments in Evolutionary Change

Sociotechnical systems theory: a theory that proposes the importance of changing role and task or technical relationships to increase organizational effectiveness
Managers must fit or jointly optimize the workings of an organizations technical and social systems or cultureto promote effectiveness Managers need to make changes in the technical system slowly to allow group norms and cohesiveness are not disrupted
10- 21
Developments in Evolutionary Change (cont.)

Total quality management (TQM): an ongoing and constant effort by all of an organizations functions to find new ways to improve the quality of the organizations goods and services
Quality circles: groups of workers who meet regularly to discuss the way work is performed in order to find new ways to increase performance Changing cross-functional relationships is very important to TQM
10- 22

Flexible workers: employees who have acquired and developed the skills to perform any of the tasks necessary for assembling a range of finished goods
Compensation frequently tied to the number of different tasks that a person can perform Workers can substitute for one another
10- 23

Flexible work teams: a group of workers who assume responsibility for performing all the operations necessary for completing a specified stage in the manufacturing process
Team members jointly assign tasks and transfer workers from one task to another Managers role is to facilitate the teams activities
10- 24
Figure 10.3: The Use of Flexible Work Teams to Assemble Cars
10- 25
Developments in Revolutionary Change

Reengineering: managers redesign how tasks are bundled into roles and functions to improve organizational effectiveness
Instead of focusing on an organizations functions, the managers of a reengineered organization focus on business processes Companies reengineer the work people do
10- 26
Developments in Revolutionary Change (cont.)

Business process: any activity that cuts across functional boundaries and which is vital to the quick delivery of goods and services, or that promotes high-quality or low costs This forces managers to no longer focus on functions in isolation
10- 27

Reengineering (cont.)
Deliberately ignores the existing arrangement of tasks, roles, and work activities Guidelines for performing reengineering successfully include:

Organize around outcomes, not tasks Have those who use the output of the process perform the process Decentralize decision making to the point where the decision is made
10- 28
Figure 10.4: Improving Integration in Functional Structure in Creating a Materials Management Function
10- 29

E-engineering: refers to companies attempts to use information systems to improve their performance Restructuring: changing task and authority relationships and redesigning organizational structure and culture to improve organizational effectiveness Downsizing: the process of streamlining the organizational hierarchy and laying off managers and workers to reduce bureaucratic costs
10- 30

Innovation: the process by which organizations use their skills and resources to:

Create new technologies Develop new goods and services Better respond to the needs of their customers One of the most difficult instruments of change to manage
10- 31
Managing Change: Action Research

Action research: a strategy for generating and acquiring knowledge that managers can use to define an organizations desired future state
Used to plan a change program that allows the organization to reach that state
10- 32
Figure 10.5: Levin's Three-Step Change Process
10- 33
Figure 10-6: Steps in Action Research
10- 34
Steps in Action Research
Diagnosing the organization
Recognize problems and need to solve problems
Gap perceived between actual and desired performance
A complex process to distinguish between symptoms and causes Information should be collected from all levels of the organization and outside stakeholders such as customers and suppliers
10- 35
Steps in Action Research (cont.)
Determining the desired future state
A difficult planning process including deciding what the structure and strategy should be Managers need to work out various alternative courses of action that could move the organization to where they would like it to be
10- 36
Implementing action Identify impediments to change Decide who will be responsible for making the changes and controlling the change process
External change agents: people who are outside consultants who are experts in managing change Internal change agents: managers from within the organization who are knowledgeable about the situation to be changed
10- 37
Implementing action (cont.) Decide which specific change strategy will most effectively unfreeze, change, and refreeze the organization
Top-down change: change that is implemented by managers at a high level in the organization Bottom-up change: change that is implemented by employees at low levels in the organization and gradually rises until it is felt throughout the organization
10- 38
Evaluating the action
Evaluating the action that has been taken and assessing the degree to which the changes have accomplished the desired objectives
Must become a norm of the organization Necessary at all levels of management Members at all levels must be rewarded for their efforts
Institutionalizing action research

10- 39
Organizational Development (OD)

Organizational development (OD): a series of techniques and methods that managers can use in their action research program to increase the adaptability of their organization
10- 40
Organizational Development
OD techniques to deal with resistance to change
(cont.)
Education and communication: inform workers about change and how they will be affected Participation and empowerment: involve workers in change Facilitation: help employees with change Bargaining and negotiation Manipulation: change the situation to secure acceptance Coercion: force workers to accept change
10- 41
(cont.)
OD techniques to promote change

Counseling: help people understand how their perception of the situation may not be right
May learn how to manage their interactions with other people more effectively
Sensitivity training: intense counseling in which group members, aided by a facilitator, learn how others perceive them and may learn how to deal more sensitively with others
10- 42
(cont.)
Techniques to promote change (cont.)

Process consultation: a trained consultant works closely with a manager on the job to help the manager improve his or her interactions with other group members
Consultant acts as a sounding board
Team building: an OD technique in which a facilitator first observes the interactions of group members and then helps them become aware of ways to improve their work interactions
10- 43
(cont.)
Techniques to promote change (cont.)

Intergroup training: uses team building to improve the joint activities of different functions or divisions Organizational mirroring: a facilitator helps two interdependent groups explore their perceptions of each other and their relations in order to improve their work interactions
Each group takes turns describing the other group

10- 44
(cont.)
Total organizational interventions

Organizational confrontation meeting: brings together all of the managers of an organization to meet to confront the issue of whether the organization is effectively meeting its goals
10- 45

ch10 110204044512 Phpapp02

Transféré par

Informations du document

Titre original

Copyright

Formats disponibles

Partager ce document

Partager ou intégrer le document

Options de partage

Avez-vous trouvé ce document utile ?

Ce contenu est-il inapproprié ?

Droits d'auteur :

Formats disponibles

ch10 110204044512 Phpapp02

Transféré par

Droits d'auteur :

Formats disponibles

Organizational Theory, Design, and Change

Sixth Edition Gareth R. Jones

Chapter 10 Types and Forms of Organizational Change

Learning Objectives (cont.)

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

What is Organizational Change?

What is Organizational Change?

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

Targets of Change: Human Resources

Targets of Change: Functional Resources

Targets of Change: Technological Capabilities

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

Targets of Change: Organizational Capabilities

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

Forces for Change

Efficiency Quality Innovation

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

Forces for Change (cont.)

Need to change organizational structure to:

Forces for Change (cont.)

Increased need to manage diversity

Creation of ethics officer position Encourage employees to report unethical behaviors

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

Resistances to Change (cont.)

Power and conflict

When change causes power struggle and conflicts, there is resistance

Differences in functional orientation Mechanistic structure Organizational culture

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

Resistances to Change (cont.)

Group norms Group cohesiveness Groupthink Escalation of commitment

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

Resistances to Change (cont.)

Uncertainty and insecurity Selective perception and retention Habit

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

Figure 10.1: Forces for and Resistances to Change

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

Levin's Force-Field Theory of Change

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

Figure 10.2: Levin's Force-Field Theory of Change

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

Types of Change in Organizations

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

Developments in Evolutionary Change

Developments in Evolutionary Change (cont.)

Developments in Evolutionary Change (cont.)

Developments in Evolutionary Change (cont.)

Figure 10.3: The Use of Flexible Work Teams to Assemble Cars

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

Developments in Revolutionary Change

Developments in Revolutionary Change (cont.)

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

Developments in Revolutionary Change (cont.)

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

Developments in Revolutionary Change (cont.)

Developments in Revolutionary Change (cont.)

Managing Change: Action Research

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

Figure 10.5: Levin's Three-Step Change Process

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

Figure 10-6: Steps in Action Research

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

Steps in Action Research

Diagnosing the organization