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Organizational change

- Refers to the process, the goal, or both


The process refers to the different stages that can be recognized or
identified when organizations are undergoing a transition
The goal is to establish growth or an improvement in critical organizational
processes
- Necessity to change can be found in internal and external forces
- Defined as;
To transform or convert into...
To pass gradually into...
^ Relate to two different types of 'organizational change' that can be
recognized
- Episodic change/radical change; stability is rule, change is the
exception
Characteristics
- Infrequent, discontinuous and intentional
- Focused and time-urgent
- Can be very stressing and upsetting for employees
- Initiated by management
- Tends to occur in distinct periods
- Often the change is dramatic
Lewin's model; 3 stages in the process of change
1. Unfreezing; involves preparing the organization to accept that
change is necessary
2. Changing; people begin to resolve their uncertainty and look for new
ways to do things, people start to believe and act in ways that support the new
direction
3. Refreezing; making sure changes are used all the time, they are
incorporated into everyday business
When;
- Maturity part of sigmoid curve
Example;
- Business Process Reengineering (BPR)
Involves radical redesign of business processes to achieve
dramatic improvements in performance, productivity, cycle times and speed
7 steps;
1. Initiate; a new process reengineering project and prepare a
business case
2. Negotiate; with senior management to get approval to start the
process reengineering project
3. Select; the key processes that need to be reengineered
4. Plan; the process reengineering activities
5. Investigate; processes to analyze the problem areas
6. Redesign; selected processes to improve the performance
7. Ensure; successful implementation of redesigned processes
through proper monitoring and evaluation
Important recommendations
- Break with traditions
- Not incremental, but radical improvements
- Focus on the process
- Make creative use of information technology
- Continuous change/incremental change; change is the rule, stability in
the exception
Progressive process, unfolding over time, cumulative
Not planned or intended
Barely noticable, pattern of endless modifications
Driven by organizational instabilities
Adapted change model;
- Refreezing; momentarily stop all changes
- Rebalancing; reframing and evaluate what happened
- Unfreezing; with new insight, getting back to continuous change
Resistance to change
- Organisational resistance; few or none, risk due to nonchalance and
late reactions (boiled frog)
- Individual resistance; few or none, risk due to nonchalance and late
reactions (boiled frog)
- Resistance to change
Requires people to sacrifice time, money, responsibilities, control, status,
comfort or relationships
Change fatigue; organizational culture that has low energy for change, due to
history of problematic changes
Status quo bias (SQB);
- Emotional bias
- Preference for current state of affairs
- Current baseline is taken as a reference point, change from it is percieved
as a loss
Organizational resistance; structural and work group inertia, threats to
power balance, expertise, resource allocations
Individual resistance; ingrained habits, fear for losing one's job, fear for
other tasks, colleagues and social relations
Coping with resistance to change;
- Education and communication
- Participation
- Facilitating and supporting
- Negotiations
- Manipulation and co-optation
- Coercion

Politics and organizational change


- Change processes; politically charged events in an organization
- Managers and employees try to benefit from the situation
- Political games can slow down the organizational change process significantly or
even let it fail

Organizational development (OD)


- Refers to tool-box of various methods for affecting organizational chagne
- Collective term for a series of planned interevention techniques that do not only
aim to improve efficiency and effectivity but also well-being of employees
- Methods for work groups;
Team building;
Types of activities used to enhance social relations and define roles within
teams
- Goal setting and prioritizing
- Development of interpersonal relations
- Analyzing everyone's role and responsibilities
- Analyzing the team process
Intergroup development
- Organization-wide methods
Management by Objectives (MBO)
Total Quality Management (TQM)
Six Sigma Systems;
- Quality management method, developed by motorola
- Provides training in strategic analysis, project management and problem
solution methods
- In order to reduce production errors
Lean Production (LP)
- Emphasizes reduction of waste in every form;
Just-in-time (JIT) production
Detailed following of materials and production
Involving both suppliers and clients in the process
Often requires radical redesign of HRM-system in order to be successful

Appreciative inquiry (AI)

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