organisational change and_developmenet

ORGANISATIONAL

CHANGE AND DEVELOPMENT

Presented To : Dr.Puja Khatri

Group members

Aditya Birla Bhumika Ratan

Lal Bhadur

Manohar Lal

ORGANIZATIONAL CHANGE Organizational change is the process by which

organization move from their present state to some desired future state to increase effectiveness.

When an organization system is disturbed by some internal or external forces change frequently occur or any alteration which occur in the overall work environment of an organization.

CHARACTERSTICS OF O.C.

Change happen for the pressure of both internal and external forces in the organization.

Change in any part of the organization affect the whole organization.

Change may affect people , structure, technology, and other element of the organization.

Change also affect the rate of speed and degree of significance of the organization.

Change may be reactive or proactive.

THE EVOLUTION OF STARBUCKS

In the beginning they had only just a shop that sold some selected coffee beans.

As Starbucks growing, they realized that the informal techniques were not sufficient and needed to have a more formalized with people and places.

Now Starbucks was the biggest coffee chain network in the world with more than 15000 shops in over 44 countries. And they grown too fast.

They adopting the Italian culture and make some important changes in organization.

Howard Schultz

Dave Olsen

Dawn PinaudExploring Behavior in Action

CHANGE FORCES

INTETRNAL FORCES

Work forceManagerial personnelManagement structureAvoid developing inertia

External Forces

TechnologyMarketing conditionsSocial changesPolitical forces

Change forces

INTERNAL PRESSURES FOR CHANGE

Work force

Managerial personnel

Avoid developing inertia

Management structure

EXTERNAL PRESSURES FOR CHANGE

Technological advances

Marketingconditions

Socialchanges

PoliticalForces

ManagerialAdvice

COMPANIES’ RESPONSES TO PRESSURES FOR “GREEN” POLICIES AND PRACTICES

Taking as it positive way:

It create a healthy image in customers.It help in cost cutting.Energy saving in the office.Help in reducing carbon in environment.

CHANGE AGENTS

A Persons in organization responsible for managing change activities.

Can be managers or non managers, current employees, newly hired employees or outside consultants.

PROCESS OF PLANNED CHANGE

Kurt Zadek Lewin (September 9, 1890 – February 12, 1947) was a German-American psychologist, known as one of the modern pioneers of  social, organizational, and applied psychology in the United States.

Lewin is often recognized as the "founder of social psychology" and was one of the first to study group dynamics and organizational development.

PROCESS OF PLANNED CHANGE (LEWIN’S CHANGE MODEL)….

PROCESS OF PLANNED CHANGE

Unfreezing RefreezingMoving

• Provide rationale for change

• Create minor levels of guilt/anxiety about not changing

• Create sense of psychological safety concerning change

• Provide information that suspects proposed changes

• Bring about actual shifts in behavior

• Implement new evaluation systems

• Implement new hiring and promotion systems

Kurt Lewin

COCA-COLA TAGLINES/SLOGANS

Coca-Cola is changing its culture, andalso enhance its product line to bettersatisfy the demand of customers.

SPEED OF CHANGE

Criteria toConsider

Urgency

Degree of support

Amount and complexity of change

Competitive environment

Knowledge and skills available

Financial and other resources

RESISTANCE TO CHANGE

Four Factors

Organizational Resistance

Group Resistance

Effort to block new ways of doing things

Individual Resistance

Individual Resistance

•Below are stated some reasons why people resists changes. Some of these appear to be rational or emotional. These reasons are:-

•Economic factors•Habits•Insecurity•Lack of communication•Extend of change•Psychological factors•Social factors

Group Resistance

Most organizational changes have impact on formal groups in the organization the main reason

why the groups resists change is that they fear that their cohesiveness

or existence is threatened by it.

Organizational ResistanceOrganizational resistance means the change is resisted at the level of the organization itself.

Some organization are so designed that they resist new ideas, this is specifically true in case of

organization which are conservative in nature. Majority of the business firm are also resistance to

changes. The major reason for organizational resistance are:-

•Threat to power•Group inertia•Organizational structure •Threat to specialization•Resource constants•Sunk costs

Communication

MINIMIZING RESISTANCE TO CHANGE Highest priority and first

strategy for change Improves urgency to

change Reduces uncertainty

(fear of unknown) Problems -- time

consuming and costly

Communication

MINIMIZING RESISTANCE TO CHANGE Provides new knowledge

and skills Includes coaching and

action learning Helps break old routines

and adopt new roles Problems -- potentially

time consuming and costly

Training

Communication

MINIMIZING RESISTANCE TO CHANGE Increases ownership of

change Helps saving face and

reducing fear of unknown

Includes task forces, search conferences

Problems -- time-consuming, potential conflict

Training

Employee Involvement

Communication

MINIMIZING RESISTANCE TO CHANGE When communication,

training, and involvement do not resolve stress

Potential benefitsMore motivation to

changeLess fear of unknownFewer direct costs

Problems -- time-consuming, expensive, doesn’t help everyone

Training

Employee Involvement

Stress Management

Communication

MINIMIZING RESISTANCE TO CHANGE

When people clearly lose something and won’t otherwise support change

Influence by exchange-- reduces direct costs

ProblemsExpensive Increases compliance, not

commitment

Training

Employee Involvement

Stress Management

Negotiation

Communication

MINIMIZING RESISTANCE TO CHANGE

When all else fails Assertive influence Firing people --

radical form of “unlearning”

ProblemsReduces trustMay create more

subtle resistance

Training

Employee Involvement

Stress Management

Negotiation

Coercion

ORGANIZATION DEVELOPMENT (OD)

Planned change Long range change Problem solving Team building Feedback

A planned, organization-wide, continuous process designed to

improve communication, problem solving, and learning through the application of behavioral science

knowledge

PROCESS OF ORGANIZATION DEVELOPMENT Problem Identification and Diagnosis Planning strategy for change Intervening in the system Evaluation

ORGANIZATION DEVELOPMENT INTERVENTIONS Survey feedback Process consultation Sensitivity training The managerial grid MBO (Management by Objectives) Team building Job enrichment