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Business > 10 Managing strategic change > Flashcards

10 Managing strategic change Flashcards

1
Q

what are barriers to change

A

resisting forces that make change more difficult to implement

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2
Q

what are the four barriers to change by Kotter and Schlesinger

A
  • parochial self interest
  • misunderstanding/ lack of trust
  • different assessment of the situation
  • low tolerance to change and inertia
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3
Q

parochial self interest looks like

A
  • someone placing their own interests above those of the business as they are losing something of value
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4
Q

low tolerance to change can be because of

A
  • fear of change
  • unwillingness to adapt
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5
Q

misunderstanding/ lack of trust can be a sign of

A
  • information failure
  • (perceived) lack of communication
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6
Q

why might employees have a different assessment of the situation

A

employees may see more costs than benefits to change

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7
Q

alternative barriers to change can include

A
  • lack of finance
  • legal restrictions
  • stakeholders
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8
Q

six ways to overcome change as argued by Kotter and Schlesinger

A
  1. education and communication
  2. facilitation and support
  3. participation and involvement
  4. negotiation and agreement
  5. manipulation and co-option
  6. implicit and explicit coercion
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9
Q

education and communication characteristics in Kotter and Schlesinger

A
  • giving staff all the information about proposed change
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10
Q

facilitation and support characteristics in Kotter and Schlesinger

A
  • providing staff with care to help them adjust with change
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11
Q

participation and involvement characteristics in Kotter and Schlesinger

A
  • employees have a degree of ownership in the change as they can contribute ideas
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12
Q

negotiation and agreement characteristics in Kotter and Schlesinger

A
  • talking w staff to try and diminish any concerns
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13
Q

manipulation and co-option characteristics in Kotter and Schlesinger

A
  • manipulation = control the information that is shared w staff

co-option= getting a key representative of the resistance side to ‘convert’ the rest of the resisting side

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14
Q

implicit and explicit coercion characteristics in Kotter and Schlesinger

A

implicit = kind of threats

explicit = clear threats to employees if they keep resisting

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15
Q

strategic drift occurrs when

A

a firms strategy is no longer suitable for the current situation

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16
Q

strategic drift could occur because

A
  • leaders may have an inertia (unwillingness to change)
  • leaders may fail to analyse the external environment clearly
  • the organisational culture doesn’t allow for a strategic change
  • the strategy execution may be bad
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17
Q

in phase 1 of strategic drift a firm may still make

A

incremental changes to their strategy in order to align with the external changes

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18
Q

in phase 2 of strategic drift a firms strategy

A

is no longer fit for purpose

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19
Q

in phase 3 of strategic drift, leaders may

A

confused and may see a decline in performance

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20
Q

in phase 4 of strategic drift a ______ needs to occur otherwise the a business may have to close down

A

transformational change

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21
Q

a flexible organisation is one that is able to

A

anticipate change and respond to them quickly

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22
Q

methods of becoming a flexible organisation

A
  • restructuring
  • delayering
  • flexible employment contracts
  • organic vs mechanistic structures
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23
Q

types of flexible employment contracts

A
  • part time
  • temp/ seasonal staff
  • flexitime
  • work from home
  • zero hour contracts
24
Q

restructuring is when

A

a business shifts focuses its staff on the businesses core competences and outsources/ sub contracts its non core competences

25
Q

delayering is

A

moving from a tall to a flatter hierarchy

26
Q

value of sharing information and knowledge management

A
  • source of competitive advantage
  • gain valuable insight from other perspectives
  • increases motivation
27
Q

organic organisation characteristics

A
  • informal and flexible
  • decentralised decision making
  • verbal communication
  • more able to handle change
28
Q

mechanistic organistaion charactertsicts

A
  • formal and bureaucratic
  • centralised decision making
  • standardised decision making
  • little perceived need for change
29
Q

The four parts of handy’s culture

A
  • power
  • task
  • person
  • role
30
Q

power culture characteristics

A
  • centralised, a few key decision makers, usually in small businesses
31
Q

role culture characteristics

A
  • formalised culture with clear jobs, roles, rules and procedures
32
Q

task culture characteristics

A
  • focus on specific tasks and projects
33
Q

person culture characteristics

A
  • individuals have the freedom to act independently, usually seen in legal or medical practices.
34
Q

what is culture?

A

the norms and values held by the individuals in the firm that determine how those individuals behave

35
Q

a strong culture is one where

A

employees understand and buy into the culture

36
Q

a weak culture is one where

A

employees don’t understand and don’t buy into the culture

37
Q

what does Hofstede’s national cultures consider

A

the preferences people have for one state over another and how this influences their values and behaviour

38
Q

what is Hofstede’s national cultures used for

A
  • understanding how to lead an international workforce
  • improving communication with workforce
  • help understand international customers better
39
Q

Power distance index meaning

A

extent of which members of the culture accept a degree of inequality and hierarchy in the distribution of power

40
Q

a high Power distance index may want an organisation that has

A
  • tall hiercahies
  • authoritarian leadership style
41
Q

a low Power distance index may want an organisation that has

A
  • consultative leadership
  • delegation
  • flat hierachies
42
Q

Individualism or collectivism meaning

A

the degree to which the individual perfomance is more important that the team performance

43
Q

a highly individualistic culture may want a focus on

A
  • individual bonuses for indivdual performance
44
Q

a highly collectivist culture may want a focus on

A
  • team rewards
45
Q

a masculine vs feminine culture considers

A

the approaches to decision making

46
Q

a highly masculine culture will

A

prefer a fact based approach to leadership that is based on data

47
Q

a highly feminine culture will

A

prefer a consultative approach to leadership that is based on intuition

48
Q

what does uncertainty avoidance index consider

A

the extent of which people are comfortable with the fact that the future is unknown and to which they try and control future outcomes

49
Q

a high uncertainty avoidance index culture will

A
  • actively avoid risk
  • use rules and hierarchies
  • place emphasis on clearly communicating strategic plans
50
Q

a low uncertainty avoidance index culture will

A
  • will embrace change
  • use of emergent strategies
  • accept risk
51
Q

long term orientation is the extent of which

A

societal norms and traditions are respected rather than taking a long term view that encourages innovation and adaptation

52
Q

A high long term orientation culture stresses the importance of

A

long term strategic plan and reinvestment of profit

53
Q

A low long term orientation culture stresses the importance of

A

living for the day and employee and shareholder rewards

54
Q

why might a business’ culture change

A
  • emergence of a toxic culture
  • change of leadership
  • divergent cultures within a culture
  • business growth
55
Q

ways to successfully implement a strategy

A
  • set clear corporate objectives
  • consult with stakeholders
  • break the strategy down with clear deadlines
56
Q

why are leaders valuable in implementing stratergy

A
  • they oversee the strategy
  • they review information and set the strategy
  • they communicate the vision of the organisation

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