3.10 Managing Strategic Change Flashcards
Lewin’s force field analysis
suggests that there are two opposing forces when change is implemented
In Lewin’s force field analysis what are driving forces?
those who are in favour for change or reasons for change
In Lewin’s force field analysis what are resisting forces?
those who are against change or reasons against the change
What are some of the pressures and causes for change?
-to meet objectives
-respond to external forces
-respond to internal forces
-gain competitive advantage
what are the 4 main types of change?
-internal change
-external change
-incremental change
-disruptive change
Incremental change
change that is implemented over time with a small number of changes being made on a regular basis to achieve ongoing improvements
Disruptive change
change that is rapid and unexpected (has a dramatic effect)
What are the 4 reasons that Kotter and Schlesinger say cause resistance to change?
-parochial self interest
-misunderstanding and fear
-prefer the status quo
-different assessment
Parochial self interest
(Kotter and Schlesinger’s reasons for resistance to change)
stakeholders fear that change will result in them being personally worse off and therefore want to protect themselves against this
Prefer the status quo
(Kotter and Schlesinger’s reasons for resistance to change)
stakeholders are happy with the way things are and therefore just want to keep it as it is
Misunderstanding and fear
(Kotter and Schlesinger’s reasons for resistance to change)
stakeholders believe the motives for change are wrong and therefore mistrust the decision makers
Different assessment
(Kotter and Schlesinger’s reasons for resistance to change)
stakeholders believe that the proposed change is not the correct course of action and that they could suggest a better solution
What are Kotter and Schlesinger’s 6 methods for overcoming resistance to change?
-Explicit and implied coercion
-manipulation and co-option
-education and communication
-negotiation and agreement
-facilitation and support
-participation and involvement
Education and communication
(Kotter and Schlesinger’s methods for overcoming resistance)
providing stakeholders with all necessary information to help them understand
Participation and involvement
(Kotter and Schlesinger’s methods for overcoming resistance)
Providing a sense of ownership to stakeholders so they feel part of the change process
Facilitation and support
(Kotter and Schlesinger’s methods for overcoming resistance)
providing necessary skills and resources to help
Negotiation and agreement
(Kotter and Schlesinger’s methods for overcoming resistance)
increase two way communication by bargaining with stakeholders and necessary compromise
Manipulation and co-option
(Kotter and Schlesinger’s methods for overcoming resistance)
use of project champions who may receive incentives and are tasked with winning around others
Explicit and implicit coercion
(Kotter and Schlesinger’s methods for overcoming resistance)
pushing change through despite resistance (last resort)
CPA
Critical path analysis is a management technique to make best use of resources (lean production method)
CPA Rules
-each line represents the activity
-lines should not cross
-EST are calculated from left to right
-LFT is calculated from right to left
-for EST, add up the length of all activities to calculate the correct EST figure for each node
-for LFT take away the length of all of all of the activities to calc LFT for each node
-if more than one activity precedes a noe the lowest figure becomes an LFT
(LFT latest finishing time)
(EST estimated start time)
When doing CPA what is float and how is it calculated?
the amount of time an activity can be delayed without effecting the finishing time
float= LFT-Duration-EST
Critical activity
An activity with 0 float
What are the advantages and disadvantages of CPA?
+identifies the critical activities
+shortens overall time of project
+more productive
+allows for just in time
-only a starting point for a project
-relies on estimations
-does not factor in external influences
-large projects can be too complicated for CPA
What are the 5 factors of Hoftstede’s national culture model? (in order of which is a high rating to low rating)
-individualism and collectivism
-masculinity and femininity
-long and short termism
-high and low power
-avoiding and embracing change
According to Handy’s culture model what are the 4 types of culture?
-Task
-Role
-power
-person
What is Task culture on Handy’s culture model?
Emphasis on achieving goals through team work. tends to be fewer rules and a matrix structure, ideal for rapidly changing organisations
Focus on specific tasks, people brought in to work as required
What is Role culture on Handy’s culture model?
-common in bureaucratic businesses
-lots of rules and responsibilities
-slow decision making
-tall organisations
tend to be government and schools
What is power culture on Handy’s culture model?
-small entrepreneurial businesses
-little bureaucracy
-quick decisions
What is person culture on Handy’s culture model?
-individuals are responsible for their own work
-similar expertise
-autonomy
Window Dressing
A strategy where a business may manipulate its accounts to look more favourable within legal limits
eg. estimating an asset to be worth more than it actually is to perceive more successful to a potential investor
Planned strategy
A strategy introduced with foresight.
-clear sense of direction
-easily communicated
-strategy wanted by manager
-may lack flexibility
Emergent strategy
A strategy that is developed over time
-responds to changes
-greater flexibility
- may create mistrust amongst stakeholders
Strategic Drift
occurs when a strategy fails to adapt to changes in the internal/ external environment making it no longer fit for purpose
Corporate governance
Refers to the formal policies and procedures that are instrumental in the running of a business
Contingency planning
The process by which organisations try to prepare for the unexpected and potentially disastrous events
Crisis management
Manner in which an organisation responds to an unexpected and potentially disastrous event
What is the process for developing a contingency plan?
- Acceptance
- catalogue possibilities
- (not always used) preventative measures
- Crisis plan
- testing
- review
repeat
