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Organizational BehaviorBUS-542
Instructor: Erlan Bakiev, Ph.D.
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Chapter 16
Organizational Change
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Essentials of Organizational Behavior, 11/e
Stephen P. Robbins & Timothy A. Judge
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After studying this chapter, you should be able to:
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1. Identify forces that act as stimulants to change.2. List the sources for resistance to change.3. Compare the four main approaches to managing
organizational change.4. Demonstrate two ways to create a culture of
change.5. Describe the causes and consequences of work
stress.6. Explain global differences in organizational
change and stress.
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Forces that Stimulate Change
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Sources of Resistance to Change
Habit Security Economic Factors Fear of the Unknown Selective Information
Processing
Structural Inertia Limited Focus of Change Group Inertia Threat to Expertise Threat to Established
Power Relationships and Resource Allocations
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Individual Organizational
People tend to resist change, even in the face of evidence of
its benefits.
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Overcoming Resistance to Change16-6
1. Education and Communication2. Participation3. Building Support and
Commitment4. Implementing Changes Fairly5. Cooptation6. Selecting People who Accept
Change7. Coercion
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Approaches to Managing Organizational Change
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Lewin’s Three-Step Model of Change
Kotter’s Eight-Step Model of the Change Process
Organizational Development
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Lewin’s Three-Step Model16-8
Unfreezing can be achieved by: Increase driving forces that direct
behavior away from the status quo Decrease restraining forces that
hinder movement from the existing equilibrium
Combine the two above approaches
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Kotter’s Eight-Step Plan1. Create
urgency2. Form coalition3. Create new
vision4. Communicate
the vision
5. Empower others6. Reward “wins”7. Consolidate
improvements
8. Reinforce the change
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Unfreezing
MovementRefreezing
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Organizational Development
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A collection of planned-change interventions that seek to improve organizational
effectiveness and employee well-beingBased on humanistic-democratic values:
Respect for People Trust and Support Power Equalization Confrontation Participation
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OD Interventions16-11
Sensitivity Training Changing behavior through unstructured group
interaction Survey Feedback
Gathering data and acting on it Process Consultation
Using outside consultants Appreciative Inquiry
Discovering what the organization does right
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Stimulating a Culture of Innovation Innovation is a
new idea applied to initiating or improving a product, process or service.
Sources of innovation included: structure, culture, human resources.
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Idea Champions16-13
Managers who actively and enthusiastically promote an idea, build support, overcome resistance, and ensure that innovation is
implemented Have high self-confidence, persistence, energy,
and acceptance of risk Use inspiration and vision to gain commitment Have decision-making discretion
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Work Stress16-14
Dynamic condition in which an individual is confronted with an opportunity, constraint, or demand related to what is desired and for which the outcome
is perceived to be both uncertain and important Types:
Challenge Stress – may improve performance Hindrance Stress – comes from obstacles to achieving
goals – mostly negative
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Managing Stress
Employee Selection Organizational
Communication Goal-setting
Programs Job Redesign
Counseling Time
Management Physical Activity
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Organizational Personal
Managers have no direct control on personal stress and there are ethical considerations
about intruding into employees’ personal lives
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Global Implications16-16
Is managing change culture bound?1. Do people believe change is possible?
Yes, when people believe they control their environment
2. If it’s possible, how long will it take to bring about? Short-term focus cultures want fast results
3. Is resistance to change greater in some cultures than in others? Yes, traditional cultures resist change
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Global Implications Continued16-17
4. Does culture influence how change efforts will be implemented? Yes, high power distance cultures are
autocratic5. Do successful idea champions do things
differently in different cultures? Yes, idea champions modified techniques
based on cultureDoes stress vary across cultures?
The conditions that lead to stress may vary, but the personality effects, outcomes, and reduction methods do not
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Implications for Managers16-18
The need for change encompasses almost aspects of OB
The real world is turbulent, requiring organizations and their members to undergo dynamic change if they are to perform at competitive levels
Managers must continually act as change agents
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Keep in Mind…16-19
Organizations and their members tend to resist change
It is unlikely that anyone approach to managing change we best in every situation
Changes often stressful, but not all stress is harmful
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Summary16-20
1. Identified forces that act as stimulants to change.2. Listed the sources for resistance to change.3. Compared the three main approaches to
managing organizational change.4. Described the causes and consequences of work
stress.5. Described characteristics of a learning
organization.6. Explained global differences in organizational
change and stress.