Managing Organizational

Change

Chapter 16

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Learning Objectives

1. Characterize the prevalence of the change process in organizations.

2. Understand what, exactly, is changed when organizational change comes about, and the forces responsible for unplanned organizational change.

3. Describe what is meant by strategic planning and the types of strategic changes that organizations make.

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Learning Objectives

4. Identify the ten steps in the strategic planning process.

5. Explain why people are resistant to organizational change and how this resistance may be overcome.

6. Identify and describe the major organizational development techniques that are used today.

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Change Targets

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Changing People

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Change Magnitude

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Unplanned Change Forces

Shifting employee demographics

Performance gaps

Government regulation

Global competition

Fluctuating economic conditions

Advances in technology

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Strategic Planning

The process of formulating,

implementing, and evaluating

decisions that enable an

organization to achieve its

objectives

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Strategic Planning

Is deliberate

Occurs when current objectives can no longer be met

New organizational objectives require new strategic plans

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Strategic Planning Targets

Products and services

Organizational structure Downsizing

Rightsizing

Outsourcing

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Strategic Planning Process

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Various Competitive Strategies

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Individual Barriers to Change

Economic insecurity

Fear of the unknown

Threats to social relationships

Habit

Failure to recognize need for change

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Organizational Barriers to Change

Structural inertia

Work group inertia

Threats to existing balance of power

Previously unsuccessful change efforts

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Resistance to Change Factors

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Overcoming Organizational Change Resistance

Shape political dynamics

Identify and neutralize change resisters

Educate the workforce

Involve employees in the change efforts

Reward constructive behaviors

Take the situation into account

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Sell the Need for Change

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Create a Learning Organization

Establish commitment to change

Adopt an informal organizational structure

Develop an open organizational culture

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Organizational Development

Management by Objective

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Organizational DevelopmentSurvey Feedback

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Organizational DevelopmentAppreciative Inquiry

Discovery

Dreaming

Designing

Delivering

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Organizational Development

Action labs

Quality of work life programs Work restructuring

Quality circles

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Organizational DevelopmentEffectiveness

More effective among blue-collar workers

Enhanced by using technique combination

Depends on degree of top management support

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National Values and Organizational Development

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Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall 16-25