Week 9| Organisational change Flashcards
Why should we study organisational change?
- Organizational change is a constant
- Organizations operate in a dynamic environment
- Understanding how to interpret and respond factors that drive and resist change is an essential management skill
- Wherever your career takes you, you will always be expected to implement changes
What are the seven stages of the organizational model?
- Forces initiating change
- action of change agent
- What is to be changed : culture: norms, strategy- decisions, structure- organization
- Type of intervention
- Unfreeze >change>refreeze
- Organizational effectiveness
7 Feedback (then circulates back to the first stage)
What internal and external forces are there within forces that initiate change?
External forces:
- socio-cultural factors (spotify)
- shifts in market tastes/preferences
- technological factors: digital technology, R&D intensity
- Economic factors: inlfation, income levels
- Political and legal factors: standards on safety environment, labor practices (Aus thing)
internal forces:
- performance outcome: employee absenteeism, shareholder activism (shell)
- Internal processes: ineffective decision making, cumbersome procedures
- new strategy: objectives, products, markets. businesses
- new management philosophy: culture/vision
In the second stage what are the roles of the change agent?
- identify and interpret forces causing the change
- diagnose the problem
- decide objectives
- generate solutions
- champion the change
- implement change (unfreeze > change> refreeze)
- ,monitor, review results and get feedback
What needs change?
Power: perhaps your company has too much top-down decision making
Communication: Perhaps your company is withholding important info from its employees
Culture: perhaps your company has fallen prey to greed
strategy: perhaps your company has fallen behind technologically
What are the differences between the two types of intervention?
Evolutionary intervention:
- stays relatively stable
- changes individuals or departments
- Makes the most of existing of existing structure and management
- incrementally change existing production technology
- improve existing products
Revolutionary intervention:
- seek new equilibrium
- transform entire organization
- create new structure and management
- adopt radically new production technology
- introduce path breaking new products
What are the two types of interventions that lie on the x-axis of the intervention scale? What are the four groups of interventions?
Unplanned and planned: time to anticipate the change
Evolutionary -> revolutionary lie on the y-axis MAGNITUDE OF CHANGE
Unplanned > planned (x-axis)
Chaotic: highly unplanned and highly revolutionary e.g. terrorist attack, covid-19
Transitory: evolutionary and unplanned e.g. strike, sudden change in commodity prices, mechanical breakdown
Systematic: Revolutionary and planned e.g., major new technology, deregulation, entry into a major new market
Adaptive: planned, evolutionary e.g. updating computer systems
What does Lewin’s three step model demonstrate?
Unfreeze > change > refreeze
What are some ways to overcoming resistance to change?
Championing change:
- Learning and communication: reduce misinformation
- involvement and participation: enhance commitment, enhance quality of change decision
- Facilitation, support, stress and management: reduce anxiety and fear
- Negotiation: reducing and overcoming change
During the refreezing stage, what are some ways to support permanent change?
Rewards and allocation: rewards that meet expectations and are aligned with new priorities
Transformed leadership: person with power and authority to provide legitimacy for the change
coalition, social networks: in groups, members accept and support the change
effective transformation of new information: people need to know what is expected of them
diffusion in the change effort: widespread change carries greater legitimacy
What are the six silent killers within an organisation? what are the corresponding organisational fitness profile for them as well?
six silent killers:
- Management style is either too top down or too laissez/ faire
OFP: Partnership forged to include upper and lower management
- Unclear strategy/ conflicting priorities
OFP: top management develops a common business direction - Ineffective senior management team
OFP:
team is involved in change process - Poor vertical communication
OFP:
Communication designed at lower levels about strategy and barriers - Poor horizontal coordination
OFP: New roles, responsibilities and structures to get people to work together - Inadequate skills at lower level
OFP: skills developed at lower levels via coaching training etc