ORGANISATION, CHANGE AND INNOVATION

LECTURE 7
Lecturer: Sara Aslam Fall 2011 Kinnaird College for Women

THE NATURE OF ORGANIZATION CHANGE

Organizational Change

Any substantive modification to some part of the organization (e.g., work schedules, machinery, employees).

Forces for Change

External forces in the organizations general and task environments that force the organization to alter the way in which it competes. Internal forces inside the organization that cause it to change its structure and strategy; some internal forces are responses to external pressures.
Principles of Management Instructor: Sara Aslam
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THE NATURE

OF

ORGANIZATION CHANGE (CONTD)

Planned Change

Change that is designed and implemented in an orderly and timely fashion in anticipation of future events.

Reactive Change

Change that is a piecemeal (one thing at a time bit by bit) response to events and circumstances as they develop.

Principles of Management Instructor: Sara Aslam

MANAGING CHANGE IN ORGANIZATIONS

Steps in the Change Process (The Lewin Model)

Kurt Lewin, a noted organisational theorist suggested three steps that every change requires.

Unfreezing

Individuals who will be affected by the change should be shown why the change is necessary.
The change itself is implemented Involves reinforcing and supporting the change so that it becomes a permanent part of the system.
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Implementing change

Refreezing

Principles of Management Instructor: Sara Aslam

MANAGING CHANGE IN ORGANIZATIONS

Steps in the Change Process (Lewin Model)

Unfreeze

Implement

Refreeze

Principles of Management Instructor: Sara Aslam

STEPS IN THE CHANGE PROCESS

A Comprehensive Approach to Change

Recognition of the need for change

Establishment of goals for the change

Diagnosis of relevant variables

Selection of appropriate change technique

Planning for implementation of the change

Actual implementation

Evaluation and follow-up

Principles of Management Instructor: Sara Aslam

UNDERSTANDING RESISTANCE TO CHANGE

People resist change because of:

Uncertainty about the extent and effects of change. Threats to self-interests, power, and influence. Different perceptions of change effects and outcomes. Feelings of loss in disrupted social networks, power, security, and familiarity with existing procedures.

Principles of Management Instructor: Sara Aslam

UNDERSTANDING RESISTANCE TO CHANGE

8 Principles of Management Instructor: Sara Aslam

UNDERSTANDING RESISTANCE (CONTD)

TO

CHANGE

Overcoming Resistance to Change

Encourage active participation in the change process. Provide education and communication about the change process. Facilitate the change process by making only necessary changes, announcing changes in advance, and allowing time to adapt to change.

Principles of Management Instructor: Sara Aslam

AREAS OF ORGANIZATION CHANGE

Organization Structure& Design People Abilities and skills Performance Perceptions Expectations Attitudes & Values

Job design Departmentalization Reporting relationships Authority distribution Coordination Line-staff structure Overall design Culture Human resource management

Technology and Operations Information technologies Equipment Work processes Work sequences Control systems

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