organisational change mod- 01 final.pptx

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    MODULE

    01

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    Intergroup conflictOrganization

    Interpersonal conflicts

    Low productivity

    Poor alignment to organizations strategy

    Start Point

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    How to implement change

    Hiring new employees- changing the work

    Purchasing new technologychanging the

    work method

    Rearranging the work station-changing

    work station

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    Meaning of organizational change

    Companyor organizationgoing through a transformation. Organization changeoccurs whenbusinessstrategiesor major sectionsof an organization are

    altered. Also known as reorganization, restructuringand turnaround

    Organisational change is defined as change that has an impact on the

    way that work is performed and has significant effects on staff.

    This could include changes:

    -In the structure of an organisation

    - To organisational operation and size of a workforce- To working hours or practices

    - In the way roles are carried out

    - To the the scope of a role that results in a change to the working

    situation, structure, terms and conditions or environment.

    http://www.businessdictionary.com/definition/company.htmlhttp://www.businessdictionary.com/definition/organization.htmlhttp://www.businessdictionary.com/definition/transformation.htmlhttp://www.businessdictionary.com/definition/business.htmlhttp://www.businessdictionary.com/definition/strategy.htmlhttp://www.businessdictionary.com/definition/section.htmlhttp://www.businessdictionary.com/definition/reorganization.htmlhttp://www.businessdictionary.com/definition/restructuring.htmlhttp://www.businessdictionary.com/definition/turnaround.htmlhttp://www.businessdictionary.com/definition/turnaround.htmlhttp://www.businessdictionary.com/definition/restructuring.htmlhttp://www.businessdictionary.com/definition/reorganization.htmlhttp://www.businessdictionary.com/definition/section.htmlhttp://www.businessdictionary.com/definition/strategy.htmlhttp://www.businessdictionary.com/definition/business.htmlhttp://www.businessdictionary.com/definition/transformation.htmlhttp://www.businessdictionary.com/definition/organization.htmlhttp://www.businessdictionary.com/definition/company.htmlhttp://www.businessdictionary.com/definition/company.html
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    Characteristics of change

    Process not an event

    Fast especially in competitive scenario

    Can be directive or participative Natural or adaptive

    Independent on organization environment or

    culture

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    Forces for change

    External forces Internal forces

    1.Government 1. Nature of work force

    2.Technology 2.System dynamics

    3.Economic 3.Inadequacy of admin process

    4.Social trends 4.Individual or group speculation

    5.Competition 5.Structure focused change

    6.Customers 6.Technological change

    7.World politics 7.Resource constraints

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    Definition of OD

    Organization Development is an effort

    (1) planned,

    (2) organization-wide, and

    (3) managed from top, to

    (4) increase organization effectiveness and health through

    (5) planned interventions in organizations processes,using behavioral-scienceknowledge.

    Beckhard, 1969

    Organization development is a planned process of change in an organizations

    culture through the utilization of behavioral science technologies, research, andtheory.Burke, 1994

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    Planned organizational change

    Planned change :Intended, purposeful attempt or proactive plan by

    an individual (change agent) or group to createsomething new Well thought out, deliberate, initiated and

    coordinated, require well developed leadership.Require visions and expert planning skills. Vision isyour future goal, the painting of what you want it tobe. An organization will never be better than thevision that guides it, different than a mission.

    Unplanned change or change by driftoccurswithout any control or effort

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    Planned organizational change -cont

    A deliberate, systematic change effort

    Change organizational design, information systems, jobdesign, and peoples behavior

    Although managers try to follow a plan, the change does

    not always move smoothly

    The change effort often hits blockages, causing managersto rethink their goals and plan

    Phases

    Define the desired future state of the organization

    Diagnose the present state of the organization Move the organization to the desired future state

    A change agenthelps managers to bring about plannedchange. An external or internal consultant

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    Change agent

    Change agent a person skilled in the

    theory and implementation of planned

    change, synonymous with the phrasechange facilitator, usually an outsider

    (because theyre not biased and the

    organization wont have as muchresentment for the outsider)

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    Courtesy of CHC Helicopter Corp.

    Change Agents

    Anyone who possesses enough

    knowledge and power to guide

    and facilitate the change effort

    Change agents apply

    transformational leadership

    Help develop a vision

    Communicate the vision

    Act consistently with the vision

    Build commitment to the vision

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    EX MPLE

    British irways

    Back in 1981, British Airways brought on board a newchairperson. When this chairperson started, he noticed that thecompany was very inefficient and was wasting a lot ofvaluable resources. To make the organization more profitable,this chairperson decided to restructure the entire organization.He realized that the best way to do this was through changemethodology management plan.

    Systematically, the company began reducing its workforce. But,before this was done, through his change managementleadership, the chairman gave the company the reasons for therestructuring and privatization of the company in order to

    prepare them for the upcoming change. Thus, through

    leadership and communication, he directed his companythrough a difficult time that could have been disastrouswithout effective change management resistancecommunication.

    http://www.brighthubpm.com/change-management/15306-change-management-methodology-for-beginners/http://www.brighthubpm.com/change-management/15306-change-management-methodology-for-beginners/http://www.brighthubpm.com/change-management/34940-overcoming-resistance-ignorance-and-denial-in-change-management/http://www.brighthubpm.com/change-management/34940-overcoming-resistance-ignorance-and-denial-in-change-management/http://www.brighthubpm.com/change-management/34940-overcoming-resistance-ignorance-and-denial-in-change-management/http://www.brighthubpm.com/change-management/34940-overcoming-resistance-ignorance-and-denial-in-change-management/http://www.brighthubpm.com/change-management/34940-overcoming-resistance-ignorance-and-denial-in-change-management/http://www.brighthubpm.com/change-management/34940-overcoming-resistance-ignorance-and-denial-in-change-management/http://www.brighthubpm.com/change-management/34940-overcoming-resistance-ignorance-and-denial-in-change-management/http://www.brighthubpm.com/change-management/34940-overcoming-resistance-ignorance-and-denial-in-change-management/http://www.brighthubpm.com/change-management/34940-overcoming-resistance-ignorance-and-denial-in-change-management/http://www.brighthubpm.com/change-management/34940-overcoming-resistance-ignorance-and-denial-in-change-management/http://www.brighthubpm.com/change-management/34940-overcoming-resistance-ignorance-and-denial-in-change-management/http://www.brighthubpm.com/change-management/15306-change-management-methodology-for-beginners/http://www.brighthubpm.com/change-management/15306-change-management-methodology-for-beginners/http://www.brighthubpm.com/change-management/15306-change-management-methodology-for-beginners/http://www.brighthubpm.com/change-management/15306-change-management-methodology-for-beginners/http://www.brighthubpm.com/change-management/15306-change-management-methodology-for-beginners/http://www.brighthubpm.com/change-management/15306-change-management-methodology-for-beginners/http://www.brighthubpm.com/change-management/15306-change-management-methodology-for-beginners/http://www.brighthubpm.com/change-management/15306-change-management-methodology-for-beginners/http://www.brighthubpm.com/change-management/15306-change-management-methodology-for-beginners/
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    Courtesy National Board of Antiquities, Finland

    Continuous Change at Nokia

    Nokia has

    continually adapted

    to its changing

    environment. The

    company began as a

    pulp and paper mill

    in 1865, then moved

    into rubber, cable wiring, and computer monitors. In the1980s, Nokia executives sensed an emerging market for

    wireless communication. Today, Nokia is a world leader in

    cellular telephones.

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    Resistance to change

    Sources of resistance to change

    Ignorance: a failure to understand the

    situation or the problem

    Mistrust: motives for change are consideredsuspicious

    Disbelief: a feeling that the way forward will

    not work

    Power cut : a fear the source of influence and

    control will be eroded

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    Loss: change as unacceptable personal cost

    Inadequacy: the benefits from the change are

    not seen as sufficient

    Anxiety: fear of being unable to cope up with

    the new situation

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    Figure: Reasons for resistance to change

    Inertia, timing, surprise, peer pressure

    Resistance to change

    Self-interest, misunderstanding,different assessment

    General resistance

    Specific resistance

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    General reasons to resistance to

    change

    Inertia

    The tendency to remain

    unchanged. The old way of

    doing things arecomfortable and easy, so

    people do not want to

    change or try something

    new.

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    General reasons to resistance to

    change

    Resistance may

    occur when the

    change isunexpected or

    sudden for

    employees. .

    Surprise

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    General reasons to resistance to

    change

    Peer pressure

    Individuals may resist a

    change when the team

    resists, even if theindividual does not

    strongly oppose the

    change.

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    Self-interest

    Individuals may resist a

    change if they feel it will

    cause them to lose

    something.

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    Misunderstanding

    Employees may resist

    a change because they

    do not fully

    understand its purpose

    or benefits even if it

    will benefit them.

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    Different assessment

    Employees andmanagement maysee the change andits advantages in adifferent way.

    Management maysee change asincreased efficiencywhile employeesmay see only thecosts of it.

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    Causes of resistance to change

    Threat of power on an individual level:It is more likely that managerswill

    resist changes that will decrease their power and transfers it to their

    subordinates

    Increasing the control on the employees: Organizational changes can

    increase the managerial control on the employees, and this process can

    produce employees to become resistant to that proposals

    Threat of comfort: Organizational changes in many case results in

    personal discomfort and make employees life more difficult. Each new

    task requires forgetting the old methods of doing the job and learning new

    things that lead to waste of energy, and causes dissatisfaction

    Reallocation of resources: With organizational changes, some groups,

    departments or sectors in the organization can receive more resources

    why other will lose.

    http://www.entrepreneurshipinabox.com/1197/manager/http://www.entrepreneurshipinabox.com/493/11-ways-how-to-keep-the-best-employees/http://www.entrepreneurshipinabox.com/493/11-ways-how-to-keep-the-best-employees/http://www.entrepreneurshipinabox.com/1197/manager/
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    Too much dependence of others: This dependence isbased on current support that they receive frompowerful individuals.

    Misunderstanding the process :When employees notunderstand the process, they usually assume somethingbad. This will cause resistance to change

    Fear of unknown: Organizational change in many caseslead to uncertainty and some dose of fear

    Previous Experience : experience simply will tell themthat more change processes in the past have beenunsuccessful.

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    Specific approaches to managing

    resistance to change

    Education and communication

    Participation and involvement

    Facilitation and support Negotiation and rewards

    Forcing and coercion

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    Quality of Work Life-Origin of the concept

    After Industrial Revolution,the importance of humanfactor reduced because of thevast mechanization. Various

    problems like jobdissatisfaction, boredom,absenteeism, lack ofcommitment etc came up.

    Most mgt theories gaveemphasis on production,manipulating the skills of theemployees

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    Meaning

    It means having a work-environment where an employeesactivities become more important by implementing procedures

    or policies that make the work less routine and more rewardingfor the employee

    There exists a relationship between Q.W.L and productivity

    DefinitionQ.W.L is any conscious effort for improving workingconditions, work content, and its safety, security, wages and

    benefits, etc.

    Q.W.L can be said to be all the original inputs which aim atimproving the employees satisfaction and enhancingorganizational effectiveness

    Q.W.L is a concern not only to improve life at work, but alsolife outside work

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    Q.W.L = The sum total of physical (working

    conditions), psychological and economic

    factors which affect the job.

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    Objectives of Q.W.L To improve the standard of living of the employees

    To increase the productivity

    To create a positive attitude in the minds of the employees

    To increase the effectiveness of the organization (Profitability,

    goal accomplishment etc.)

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    Factors affecting Quality of Work Life

    Some people consider Q.W.L as theexistence of a certain set of originalconditions and practices. Theyagree that high Q.W.L exists when

    Democratic management practicesare prevalent in the organization

    When employees jobs areenriching

    They are treated with dignity andsafe working conditions are present

    Others equate Q.W.L with theimpact of working conditions on theemployee's well-being

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    Countries that practiced Q.W.L initially

    Sweden

    Denmark

    Holland

    Switzerland

    Australia

    USA

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    Companies practicing Quality of Work Life

    General Motors

    Ford Motors with UAW

    XEROX

    IBM

    BHEL

    TISCO

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    Measuring of Q.W.L

    Questionnaires and interviews are relevant here. In

    General Motors the management gives a

    questionnaire of 16 critical dimensions of Q.W.L to

    its employees each year. The responses are then usedto measure the employees perception of their work

    life.

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    Barriers to Q.W.L

    Resistance to change both mgt and employees

    There is a general perception that Q.W.L implementation willcost much to the organization

    Continuous increase in Q.W.L may result in less productivity,

    i.e., after a certain level the productivity will not increase inproportion to the increase in Q.W.L