Chapter 10 - Types and forms of organisational change Flashcards
Organisational change
The process by which organisations move from their current or present state to some desired future state to increase their effectiveness.
Goal of planned change
To find new ways of using resources and capabilities to increase value creation.
What are the 4 different levels that organisational change aim to improve effectiveness?
Human resources
Functional resources
Technological capabilities
Organisational capabilities
Typical kinds of change efforts directed at human resources:
Investment in training and devklopmentent activities
Socialising employees into the culture of the company
Changing the norms and values to motivate the workforce
Ongoing examination of promotion and reward systems
Changing the top management team
Forces for change
Competitive forces
Economic forces
Political forces
Global forces
Demographic forces
Social forces
Ethical forces
Resistances to change
Organisational level
Functional level
Group level
Individual level
Resistances to change for organisational level
Structure
Culture
Strategy
Functional level
Differences in subunit orientation
Power and conflict
Group level
Norms
Cohesiveness
Groupthink
Individual level
Cognitive biases
Uncertainty and insecurity
Selective perception and retention
Habit
Force field theory
A theory of organisational change that argues that two sets of opposing forces within an organisation determine how change will take place
To get an organization to change, managers must find a way to increase the forces for
change, reduce resistance to change, or do both simultaneously
Evolutionary change:
Change that is gradual incremental, and specifically focused.
Revolutionary change
Change that is sudden, drastic, and organization-wide
What are the three types of ways of revolutionary change?
Re-engineering
Restructuring
Innovation
What are the three types of ways of revolutionary change?
Sociotechnical systems theory
Total quality management
Creation of flexible work groups
Three guidelines for performing re-engineering successfully are
- Organise around outcomes, not tasks.
- Have those who use the output of the process perform the process.
- Decentralize decision-making to the point where the decision is made.
Restructuring
A process by which managers change task and authority relationships and redesign organisational structure and culture to improve organisational effectiveness.
Downsizing:
The process by which managers streamline the organisational hierarchy and lay off managers and workers to reduce bureaucratic costs
Innovation
The process by which organizations use their skills and resources to develop new
goods and services or to develop new production and operating systems so they
can better respond to the needs of their customers
Lewin’s three-step change process
- Unfreeze the organisation from its present state.
- Make the desired type of change.
- Refreeze the organization in a new desired state.
E-engineering
Companies’ attempts to use all kinds of information systems to improve their performance.
Action research
A strategy for generating and acquiring knowledge that managers can use to define an organisation’s desired future state and to plan a change program that allows the organisation to reach that state.
Organizational development
A series of techniques and methods that managers can use in their action research program to increase the adaptability of their organisation
The goal of OD is to
Improve organisational effectiveness and to help people in organisations reach their potential and realise their goals and objectives
Sensitivity training
An OD technique that consists of intense counselling in which group members, aided by a facilitator, learn how others perceive them and may learn how to deal more sensitively with others
Process consultation
An OD technique in which a facilitator works closely with a manager on the job to help the manager improve his or her interactions with other group members.
Team building
An OD technique in which a facilitator first observes the interactions of group members and then helps them become aware of ways to improve their work interactions.
Intergroup training
An OD technique that uses team building to improve the work interactions of different functions or divisions
Organisational mirroring
An OD technique in which a facilitator helps two interdependent groups explore their perceptions and relations in order to improve their work interactions
Organisational confrontation meeting
An OD technique that brings together all of the mangers of an organisation at a meeting to confront the issue of whether the organisation is meeting its goals effectively.
Total quality management
Is an ongongin and constant effect by an organisation’s functions to find new ways to improve the quality of the organisational’s goods and services.
Tactics that mangers can use to reduce resistance to change
Education and communication
Participation and empowerment
Facilitation
Bargaining and negotiation
Manipulation
Coercion
