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z Supervision Chapter 5 Managing Change and Innovation Copyright © 2010 by The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin

Chapter Five Managing Change

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The chapter discusses various ways that companies manage change and encourage innovation within the work force.

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Page 1: Chapter Five Managing Change

zSupervision

Chapter 5

Managing Change and Innovation

Copyright © 2010 by The McGraw-Hill Companies, Inc. All rights reserved.McGraw-Hill/Irwin

Page 2: Chapter Five Managing Change

5-2

Change and the Supervisor

Most changes in an organization are initiated at the upper levels of management.

Changes can occur gradually or suddenly. In either case, there can be serious

repercussions for the supervisor. The supervisor must introduce the change

and oversee its successful implementation.

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Figure 5.1 - Types of Change Affecting the Supervisor

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Reactions to Change

Employees who cannot foresee how change will affect them will resist it.

Change that is not compatible with the needs and aspirations of employees will be resisted.

Change that will happen regardless of employee objections will be resisted, then accepted.

If change is in the employees’ best interests, resistance will be minimal.

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Resistance to Change

Even open-minded people will resist change, especially when change affects their jobs.

Resistance may be explicit or subtle.

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Resistance to Change (cont.)

Most frequently encountered barriers to change: Fear of the unknown. Threat to job or income. Fear that skills and expertise will lose value. Threats to power. Inconvenience. Threats to interpersonal relations.

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Reducing Resistance to Change

The supervisor is responsible for communicating the employees’ feelings and reactions to middle management.

The supervisor must: Cope with employee anxiety and fear. Create a positive environment.

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Reducing Resistance to Change (cont.)

Build trust. Discuss upcoming changes. Involve the employees in the changes. Make sure the changes are reasonable. Avoid threats. Follow a sensible time schedule. Implement the changes in the most logical

place.

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Begin an implementation by explaining the five W’s and an H: What is the change. Why the change is needed. Whom the change will affect. When the change will take place. Where the change will occur. How the change will take place.

Reducing Resistance to Change (cont.)

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Figure 5.4 - Strategies for Overcoming Resistance to Change

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Minimizing the Time to Implement a Change

The longer it takes to implement a change, the greater the negative impact.

Factors that specifically affect the time required to successfully implement a change: Communication. Engagement. Support.

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Lewin’s Force Field Theory

States that two sets of forces impact any change: Forces that resist the change. Forces that encourage the change.

Which is the best approach-Increasing the driving forces for change? Or Decreasing the restraining forces?

Most managers try to increase the driving force because they have more control over them.

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Figure 5.5 – Change Model

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Managing Innovation

Innovation - Refers to doing new things; involves implementing the new idea.

Innovation is an organization’s best sustainable source of growth, competitive advantage, and new wealth.

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Managing Innovation (cont.)

Robert Tucker believes that organizations must embrace four principles: Innovation must be comprehensive. There must be a systematic, organized, and

continual search for new opportunities. Everyone must be involved in the innovation

process. An organization must work constantly on

improving its climate for innovation.

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The Learning Organization

Learning organization - An organization skilled at creating, acquiring, and transferring knowledge, and in modifying behavior to reflect the new knowledge.

Peter Senge has identified five principles for creating a learning organization. Systems thinking, personal mastery, mental

models, shared vision, and team learning.