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Chapter 1818OrganizationalOrganizational
Change andChange and
DevelopmentDevelopment
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Chapter Objectives
Appreciate the forces that lead to
organization change and the various
impediments to change that arise duringthe change process
Distinguish between evolutionary and
revolutionary change and identify the main
types of each of these kinds of changeprocesses
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Chapter Objectives
Discuss the main steps involved in action
research and identify the main issues that
must be addressed to manage the changeprocess effectively
Understand the process of organization
development and how to use various
change techniques to facilitate the changeprocess
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Opening Case: Toyota is a Master at
Managing Change
Why is change important at Toyota?
Lean production
Kaizen
Change management provided differential
advantage over major competitors
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What is Organizational Change?
Movement of an organization away from its
present state and toward some desired
future state to increase its effectiveness Reengineering
TQM
Innovation Restructuring
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Table 18.1 Forces for and
Impediments to Change
Forces for Change
Competitive
Economic andpolitical
Global
Demographic and
social Ethical
Impediments
Power and conflict
Differences infunctional orientation
Mechanistic structure
Organizational culture
Group norms Uncertainty/ insecurity
Habit
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Lewins Force-Field Theory of Change
Forces resist change
Forces push change
Performance levels
P1 = Balance
P2
Increase forces for change, reduce forces for change, or
both
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Insert Figure 19.1 here
Figure 18.1 Lewins Force-Field
Theory of Change
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Instruments of Evolutionary
Change
Socio-technical systems theory
Total quality management
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Instruments of Revolutionary Change
Reengineering
Restructuring
Innovation
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A strategy for generating and acquiringknowledge that managers can use todefine an organizations desired futurestate and to plan a change program that
allows the organization to reach thatstate
Managing Change: Action Research
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Figure 18.3 Steps in Action Research
1. Diagnosing organization
2. Determining desired state
3. Implementing action
4. Evaluating action
5. Institutionalizing action
research
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Implementing Action
Identify possible impediments to change
Decide who will be responsible
External change agents
Internal change agents
Decide specific change strategy
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Change Agents
External
Outside consultants
who are experts atmanaging change
Internal
Managers from
within theorganization who are
knowledgeable
about the situation
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Types of Change
Top-down
Implemented by
managers at a high-level in organization
Result of radical
restructuring and
reengineering
More resistance
Bottom-up
Implemented by
employees at lowlevels and rises over
time
All levels involved in
change process
Less resistance
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A series of techniques and methodsthat managers can use in their action
research program to increase the
adaptability of their organization.
Organization Development
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OD Techniques to Deal with
Resistance to Change
Education and Communication
Participation and Empowerment
Facilitation
Bargaining and Negotiation
Manipulation
Coercion
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OD Techniques to Promote Change
Counseling
Sensitivity Training
Process Consultation
Team Building
Intergroup Training
Total OrganizationalInterventions
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