Change Flashcards
Why businesses change
In order to compete and gains. Competitive advantage
Change is driven by competition
Change can be triggered externally
New tech New materials Changes in consumer tastes and beliefs Legislation and gov policies Changes in stakeholder expectations Changes in trading conditions
Etc
Change can be triggered internally
Implementing a new business model Getting bigger/smaller New product/service design innovations Changes in performance and morale Appointment of new senior staff Office and factory relocation Innovations in the manufacturing process Inadequate skills(more training)
Etc
What can change
Objectives
Culture
Behaviour
Values
Etc
Depth of change
Fine tuning (shallow) Restructure Reallocate resources Improve business planning Change leaders Change definition of success Change the mission, vision (deep) Paradigm shift. (Deepest)
Types of change
Adaptation-non paradigmatic- implemented through staged initiatives
Reconstruction -non paradigmatic- faster and more dramatic
Evolution -paradigmatic- changes through different stages and interrelated initiatives
Revolution - paradigmatic - change and fundamental change through simultaneous initiatives on many fronts and often in a short time
Lewins three phase model for a change process
Unfreezing
Moving/ change
Freezing
Negatives to change
Resistance to change (misunderstanding and lack of trust )
Inability of individuals to change
Survivor syndrome
Initiative decay
Inability to sustain change initiative fatigue
Context of change
Context of change
External context
Internal context
+
Substance of change
+
Politics of change
External and internal activity
= the change process
McKinsey 7-a framework
Hard elements
Structure
Strategy
Systems
Soft elements Staff Skills Style (culture - organisational and management ) Superordinate goals (shared values
7-s some observations
Useful in remembering key factors and their relationships
Recognises that organisations are not just structure
Hard elements are (usually) feasible and easy to identify
Soft elements (usually) less easy to identify and manage
If one Element changes then it’ll effect the others
Many organisations focus on hard systems
Effective organisations achieve a “fit” between all 7 elements (diagnostic model for organisational effectiveness )
Conclusion
Change is triggered from inside or outside
Change is driven by the need to win by staying ahead of competition
Change is a process based around context and is about people
How to tell if change is successful
Measure the intended change effects and the connected but unintended effects
Uses a tool such as the balanced score card
Financial measures
Customer performance measures
Internal operational measures
Measure of innovation and learning
Some techniques for monitoring and evaluating change process
Quantitative data-sales figures productivity etc
Qualitative data- focus groups, management by walking about
Dawson’s 10 general lessons
1) no simple universal prescriptions on how to manage change
2) change strategies must be sensitive to people and context
3) major change takes time
4) different people experience change in different ways
5) we can learn from all change experiences
6) employees need to be trained in new methods and procedures
7) communication must be ongoing and consistent
8) change strategies must be tailored to fit the substance and context
9) change is a political process
10) change involves the complex interaction of often contradictory process
