Shahbaz Islam

CHANGE STRATEGY
Strategy Description

Empirical-Rational People are rational and will follow their self-interest — once it is revealed to them.
Change is based on the communication of information and based on incentives.

Normative-Reeducative People are social beings and will adhere to cultural norms and values. Change is
based on redefining and reinterpreting existing norms and values, and developing
commitments to new ones.

Power-Coercive People are basically compliant and will generally do what they are told or can be made
to do. Change is based on the exercise of authority and the imposition of sanctions.

Environmental-Adaptive People oppose loss and disruption but they adapt readily to new circumstances.
Change is based on building a new organization and gradually transferring people from
the old one to the new one.
 CHANGE
MANAGEMENT
STRATEGY
 Degree of
Resistance

Target
Dependency
Population

Factors in
Selecting
a Change
Strategy

Expertise The Stakes

The Time-
Frame
Factors in Selecting a Change Strategy
Degree of Resistance.
Strong resistance argues for a coupling of power-coercive and environmental-adaptive strategies.
Weak resistance or concurrence argues for a combination of Empirical-Rational and normative-re-educative strategies.

Target Population.
Large populations argue for a mix of all four strategies, something for everyone so to speak.

The Stakes.
High stakes argue for a mix of all four strategies. When the stakes are high, nothing can be left to chance.

The Time Frame.

Short time frames argue for a power-coercive strategy.
Longer time frames argue for a mix of empirical-rational,
normative-re-educative, and environmental-adaptive strategies.

Expertise.
Having available adequate expertise at making change argues for some mix of the strategies.
Not having it available argues for reliance on the power-coercive strategy.

Dependency.
This is a classic double-edged sword. If the organization is dependent on its people, management's
ability to command or demand is limited.
Conversely, if people are dependent upon the organization, their ability to oppose or resist is limited.
(Mutual dependency almost always signals a requirement for some level of negotiation.)
What Are Six Ways to Manage Change?

1. Coercive

2. Persuasive

3. Leadership change

4. Legalistic/policy

5. Dialectic

6. Education/changed norms (OD)

The Coercive Approach

People will change if they are threatened with

punishment--such as discipline or dismissal.

That is called a coercive approach to change.

However, coercion is usually a

counterproductive change strategy because it

creates anxiety, fear, and stress.

The Persuasive Approach

People will change when they are convinced

that change is in their best interests.

Advocates of persuasion as a change strategy

advise managers to examine who is affected by
proposed changes and then make a concerted
effort to explain how those affected will benefit
from the change.
The Leadership Change
Approach
Another way to initiate and implement change
is to appoint a new leader.

Each person, of course, brings to a leadership

role his or her own attitudes, values, and
beliefs that undergird subsequent action.

By selecting a leader whose beliefs are in line

with an intended direction for change, an
organization's strategic direction may be
changed.
The Legalistic/Policy
Approach

Another way to initiate and implement

change is to enact a law or policy and
then punish people who break the law
or do not comply with the policy.
The Dialectic Approach

Another way to initiate and implement

change is to debate the point.

Two co-equal sides are formed and

argue the point in front of decision-
makers.

The group that provides the most

compelling argument is the “winner.”
The Education/Changed
Norms Approach (OD)
Another way to initiate and implement
change is to discover a new approach
through innovation, creativity, participation,
and education.

Norms are informal rules, and OD seeks to

unfreeze old norms and create new norms.

It changes culture.
Managing
Planned
Change

Change
Making things different.

Planned Change
Activities that are intentional and
goal oriented.
Change Agents
Persons who act as catalysts and
assume the responsibility for
managing change activities.
Goals of Planned
Change:
Improving the ability of the
organization to adapt to
changes in its environment.
Changing the behavior of
individuals and groups in the
organization.
Planned and Unplanned
Organizational Changes

Organizational
Change

Planned Changes Unplanned Changes

• Changes in products and
services • Changing employee
• Changes in administrative demographics
systems
• Changes in organizational size • Performance gaps
or structure
• Governmental regulations
• Introduction of new
technologies • Economic competition in the
• Advances in information
global arena
processing and communication
What Can
Change
Agents
Change?
Structure

Organizational Technology
Change

People
CASE STUDY
• Static structure for many years

• Management announces total reorganization in Jan to be implemented by July 1, year 1

• After announcement, consultants are hired

• Suggested new plan presented to staff in May of year 2

• Staff given a week to comment on plan

• Change implemented in September, year 2

• Reduction of units from 7 to 4

• Staff allocated so as to balance staff evenly over units

• On implementation, only one unit has permanent head

• Everybody moves offices, except management

What results would you expect from this?

 Visions of Change
How It Is & How It Should Be

How It Is How It Should Be

Linear Cyclical

Journey oriented Destination oriented

Based on creating disequilibrium Based on maintaining equilibrium

Planned and managed by people who Followed by people who are one with all
are separate from and act on things to and must act correctly to maintain
achieve their goals harmony in the universe

Unusual, because everything is normally Usual, because everything is normally in

in a quasi-stationary or static state a continually changing dynamic state
 LEVELS & DETERMINANTS
OF CHANGE

(High)
ORGANIZATIONAL OR GROUP BEHAVIOUR (4)

INDIVIDUAL BEHAVIOUR (3)

Difficulty
involved

ATTITUDES (2)

KNOWLEDGE (1)
(Low)

(Short) (Long)
Time involved