3.10.1 Managing change Flashcards
What is change management ?
Aspect of management focusing on ensuring that the firm responds to the environment in which it operates
What are the 4 features of change management ?
Change is the result of dissatisfaction with the present strategies
Essential to develop a vision for a better alternative -> need to be proactive
Necessary to develop strategies to implement change -> how things will be introduced in future
Resistance to proposal at some stage
What are things which change often arise from?
New product development New competitors Old competitors leaving market Consumers taste + preference changes Changes in politics, economics, social framework, technology + legal system
Who devised the force field analysis?
Lewin
From Lewin’s model, how do you explain if change will happen?
Change will happen if the driving forces are stronger than the resisting forces
What are the internal forces for change?
Wanting to increase profit -> cut costs, increase revenue
Reorganisation to increase efficiency
Conflict + competition between departments
Change wanted in the organisational cultres
What are the external forces for change ?
Changes in customer demand Competition input costs legislation ethics tax changes new technology politics technological obsolescence
Explain why + why not a degrees of resistance is good?
It is good -> points where there are weakness in the changes
It would reduce the achievement of organisational objectives
Explain Lewin’s force field analysis ?
on one side, there are forces driving the change + one the other forces resisting change.
No change will occur where there is an equilibrium between the 2 forces
For change to happen, the driving forces. have to be stronger than the restraining ones
Name the organisational barriers to change
Existing power structures
Resistance from work groups
Failure of previous change initiatives
Structure interi -> non flexible organisiation
Who identified the basic cause of resistance to change ?
Kotter + Schlesinger
What are the basic causes of resisting change ?
PAROCHIAL SELF INTEREST -> they care more about how it will impact themselves
LOW CHANGE TOLERANCE -> we fear change
ASSESSING CHANGE DIFFERENTLY -> don’t think it is needed as it hasn’t been effectively explained to them
MISUNDERSTANDING -> inadequate communication so people don’t understand why change is needed
What are the individual barriers to change ?
Traditional set ways + fear
Traditional : Loyal to existing relationship Cant except need for it Insecurity May break work group Different ambitions Prefer existing arrangements
Fear of: Power, skill, income loss Redundancy Not effectively performing in new situations The unknown
What are the benefits that may arise from change for an individual ?
May allow personal change + development
New challenges
Work boredom reduced
Allows them to participate + be involved with outcome
What 3 stages does Lewin’s change model outline ?
- unfreezing
- change
- refreezing
State ways in which change is inappropriately managed ?
Badly introduced
Failure to explain why it is needed
Failure to provide info
Failure to consult, negotiate, offer support + trading
Involvement in process is lacking
Building of trust + security is failed to achieve
Poor employee relations
What can Lewin’s force field analysis be used to do?
Investigate the balance of power involved in an issue
Identify key stakeholders of issue
Identify opponents + allies
Identify the ways to influence target groups
Where is a degree of scepticism healthy for change ?
There is weakness in proposed change
How does Lewin’s model assist organisational change ?
Helps everyone understand the process
Provides milestones for evaluating progress towards change
What is unfreezing?
Start up phase triggered by declining sales or profit
What is the result of unfreezing ?
Acceptance that existing structures and ways are not working
In unfreezing what do people need to be aware of to get ready for change ?
Necessity for change methods to get change affected peoples needs strategies to plan + monitor progress New strategies required
Explain the changing stage of Lewin’s model
Process of devising + implementing change :
Problem defining
Solution identifying
Appropriate strategy to implement change
Implement solution
Explain refreezing in Lewin’s model
Embedding the change Process of maintaining the movement of change Locking changes Situation stabilising Relationship building System consolidating Support + evaluate Making sure nobody goes back to their old ways
When is refreezing complete ?
When new patterns are accepted + everyone is willing following them
What are the preparations needed for change ?
Analysing environment Strengths + weaknesses of business: -current provisions - resources -roles + responsibilities Changes required + major issues identification Key stakeholders identification Get support from key individuals Look for obstacles / people against you Degree/ cost of risk/change Find out why people are resisting it
Why is a clear vision important ?
As people are made clear about :
- whats involved
- Why it is needed
- proposed change
- major effects
- how it will be managed
What are the 2 types of change ?
Step change :
- dramatic
- radical
- quick
Incremental
- ongoing/piecemental
- slow
- inclusive
How is change implemented ?
- progress is monitored, recorded + evaluated
- weak areas are improved / everyone informed
- resistance overcome
- everyone affect is involved
- reward schemes devised
- support + training provided
- willing to compromise
- find popel champion to change
What are the techniques to implement change ?
Team-building/ mixing areas internal communication negotiation action planning changes to agents/ champion small amount of manipulation + coercion
Why should managers be able to be change agents ?
to identify need for change
open to new ideas
successfully implement change
What are the advantages of change agents ?
force change
personified in process
senior managers are freed up to focus on future as change responsibility is delegated
What are the 6 ways of overcoming change resistance ?
- Communication -> help to understand the need
- Participation -> feel more involved
- Support -> people effected ensures listened to
- Negotiation
- Manipulation -> winning people over
- Explicit + implicit coercion -? threats when necessary
What does Kotter’s change phase model do?
Establish sense of urgency Creates coalition develops/ shares clear vision empowers people secures short term wins consolidate + keep moving Anchor change
What are the ways in which managers increase resistance to change ?
Dont specify the change Dont explain why its needed Not consulting Making more work pressures Expecting immediate results Not looking at fears + anxiety Ignoring the resistances
Why does change fail?
Stakeholders don't know why change is needed Not much planning / preparing communication lacking Employees dont have skills or training Development needed Not the right resources Inadequate / inappropriate rewards
What are Kotter’s 8 reasons for change failure ?
Too much complexity is allowed
Substantial coalition not build
Don’t understand the need for clear vision
Failure to clearly communicate the vision
Blocking the vision
Not planning / realising short term results
Declaring victory too early
Failure to anchor changes in corporate future
Who developed the idea of core + peripheral workforces further ?
Charles Handy
What did Charles Handy suggest ?
modern firms are composed of three elements: core, contractor; fringe + flexible/ contingent workforce
He named it the ‘shamrock organisation’
Explain Core works as part of the ‘shamrock organisation’
Professional, permanent employees.
Essential to continuity
Have detailed knowledge of business + aims
Skills to move businesses core capabilities forwards
Work hard
committed
well paid
Explain contractural/ fringe workers as part of ‘shamrock organisation’
individuals + organisation of self employed professionals or technicians
Project experts
Rewarded with frees not salaries or wages
Contribution is output not hrs
these people save a business money
Explain flexible workforce as part of ‘shamrock organsiation’
Contigent workforce
part time, temporary, seasonal workers
Brought from outside
do low-level, temporary tasks
