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SYNDICATE REPORTONCHANGE MANAGEMENT
Engr. Muhammad Tanveer AbidBy
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CHANGE MANAGMENT
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SELF INTRODUCTION
. NAME . MUHAMMAD TANVEER ABID
. QUALIFICATION
.B.Sc (ELECTRICAL) FROM U.E.T LAHORE IN 2001 & MBA (Executive) FROM AIOU IN 2013.
. JOINED MEPCO . MARCH 2002
. PRESENT POSTING
. Addl: EXECUTIVE ENGINEER, MEPCO S/Div DAHRANWALA
. WORK EXPERIENCE
. 13 YEARS in MEPCO
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Self-assessment can motivate change. Fear of self-knowledge can
prevent it.”—Walter Turnow
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SEGMENTS COVERED
INTRODUCTION
REASONS OF CHANGE
CONCEPTS OF CHANGE
MODELS
RESPONSES TO CHANGE
CHANGE PROCESS
CASE STUDY
CONCLUSION & RECOMMENDAT
IONS
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OVERVIEW OF CHANGE
It has never been more true that today and tomorrow will be a time of constant and rapid change. Managers and leaders need the skills to help their people and organizations navigate the rocky and chaotic shoals of change. Without the proper tools and understanding of how to lead change, you will be unable to prevent your organizations from being destroyed on the sharp edges of ambiguity and chaos.
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CHANGE MANAGEMENTChange management is a systematic approach to dealing with change, both from the perspective of an organization and on the individual level.
Change management is an approach to transitioning individuals, teams, and organizations to a desired future state.
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CHANGE MANAGEMENT
Prosci’s Definition:
Change management is the application of a structured process and set of tools for leading the people side of change to achieve a desired outcome.
10 REASONS FOR CHANGE
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REASONS FOR CHANGE
External Forces For Change
Market situation or market place Technology Government laws and regulations Economics
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REASONS FOR CHANGE
Internal Forces For Change
Corporate strategy Workforce Technology and equipment Employee attitudes
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ORIGINS OF CHANGE MANAGEMENT
Change management was originated in the 1950's
modern forms of management were introduced
e.g. teamwork, autonomous groups “war” between followers of top-down change approaches bottom-up change approaches
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BASICS OF CHANGE MANAGEMENT
Correct understanding of the organizations that want or need to be changed.
Correct understanding of the people who are willing or forced to change effectively.
Realization of change understanding the dynamics of change.
15 CONCEPTS OF CHANGE MODELS
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CONCEPTS OF CHANGE MODELS
George Box, a statistician said, "essentially, all change models are wrong, but some are useful”.
Role of Organizational change management (OCM).
The complex and unpredictable human behavior.
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CONCEPTS OF CHANGE MODELS
Prosci’s ADKAR Model
Developed in 1998 by Prosci.
ADKAR, A goal-oriented change management model.
Focus on team activities.
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CONCEPTS OF CHANGE MODELS
Benefits1. It encapsulates the business/process dimension
of change and the individual dimension of change2. Provides a clear management checklist to
manage change
Limitations1. Misses out on the role of Leadership and
principles of program management to create clarity and provide direction to change
Prosci’s ADKAR Model
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CONCEPTS OF CHANGE MODELS
McKinsey 7-S Model
To facilitate organizational change.
To help implement new strategy.
To identify how each area may change in a future.
To facilitate the merger of organizations.
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CONCEPTS OF CHANGE MODELS
BENEFITS1. Examines the likely effects of future within an
organization.2. Align department and processes during a merger or
acquisition. 3. Determines how best to implement a proposed strategy.
LIMITATIONS1. The external environment is not mentioned, although
others variable exists & only the most crucial variables are depicted in this model.
2. The notion of performance & effectiveness is not made explicit.
McKinsey 7-S Model
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CHANGE MANAGEMENT MODELS
Establish a Sense of Urgency
Form a powerful, guiding coalition
Develop a vision & Strategy
Communicate the vision Remove Obstacles & empower action
Plan and create short-term wins
Kotter's 8-Step Change Model
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CHANGE MANAGEMENT MODELS
BENEFITS1. Focus on buy-in of employees as the focus for
success2. Clear steps which can give a guidance for the
process3. Fits well into the culture of classical hierarchies LIMITATIONS1. The model is clearly top-down, it gives no room for
co-creation or other forms of true participation.2. Can lead to frustrations among employees if
the stages of grief and individual needs are not taken into consideration.
Kotter's 8-Step Change Model
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CHANGE MANAGEMENT MODELS
Bullock And Batten’s Phases Of Planned Change
Exploration phase Planning phase Action phase Integration phase
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CHANGE MANAGEMENT MODELS
Bullock And Batten’s Phases Of Planned Change
Benefits1. An individual’s reaction to change is well captured,
this forms a good foundation to develop communication strategy
Limitations1. Not all change is bad. This model assumes the
worst reaction to change.2. It is difficult to identify the transition between
stages. 3. Difficult to apply to a group
25 RESPONSE TO CHANGE
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RESPONSE TO CHANGE
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ORGANIZATIONAL RESPONSE TO CHANGE
Time Needed For Different Personalities To Change Innovators and Early Adaptors – Short time to change
and join the organization. Intellectuals – need more time to process. Will
eventually come along. Late adaptors – Need more time to change. Traditionalists/Diehards – Will hold out to the end
until they have to change.
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POSITIONAL RESPONSE TO CHANGE
Top Management Isolated at the top and may underestimate the
impact of change. Avoid communication in fear they do not have the
answers. Depend on Middle-Managers to make change
happen.
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POSITIONAL RESPONSE TO CHANGE
Middle Management Squeeze between Top Management and Workers. Feel pressure to make change happen. Often feel deserted, blamed or misunderstood
when there is resistance to change.
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POSITIONAL RESPONSE TO CHANGE
Workers Often feel attacked that they are not doing a good
job when changes are made. Many respond with anger, frustration, and
confusion. Become afraid to take risks or be innovative.
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PEOPLE’S RESPONSE TO CHANGE
People Respond Differently To Change Based On: Skills Knowledge Attitudes Motivation Experiences Personality
32 THE CHANGE PROCESS
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THE CHANGE PROCESS
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THE CHANGE PROCESS
Initiating A Top-Down Change
External expert for a strategy audit Process analysis Elimination of all non value-increasing
activities Optimisation of all activities
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THE CHANGE PROCESS
Initiating A Bottom-Up Change
Responsibilityfor managing change Change management process Dealing with the change Scope
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CHANGE MANAGEMENT PROJECTS
Change Strategies And Approaches
Directive strategies Expert strategies Negotiating strategies Educative strategies Participative strategies
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REASONS OF CHANGE PROCESS FAILURE
Not every change process is successful A 60% to 80% of change processes fail due
to Insufficient Problem Awareness Insufficient Communication Unprofessional Stakeholder Management Lack of Control Allowing too much complacency Failing to create a sufficiently powerful
guiding coalition
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REASONS OF CHANGE PROCESS FAILURE
Underestimating the power of vision
Permitting obstacles to block the new vision
Failing to create short-term wins Declaring victory too soon Neglecting to anchor changes
firmly in the corporate culture
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CHANGE MANAGEMENT PROJECTS
Bringing Change To Success
Building a Business Case Determining Organizational
Readiness Reaching more people – better
communication Involvement of the
Stakeholders Review the Change
40 CASE STUDY OF PTCL
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PRIVATIZATION OF PTCL
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PRIVATIZATION OF PTCL
In 1991 Govt. decided to privatize PTCL, by selling 26% shares with management rights.
In 1994 12% of its shares were divested. In 1994 Govt. issued 1 million
exchangeable vouchers, equal to 100 million shares of Rs.10each for Rs.3 billion .
In September 1994 five million vouchers has been issued to 31 international investors for $ 900 million
HISTORY
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PRIVATIZATION OF PTCL Cont…
In 1997 notes of $150 million were issued to international investors which were convertible to “A” class ordinary shares, which were equal to 3.3% of total share capital.
In 1998 Govt. hire M/s Goldman International to provide advisory services.
According to M/S Goldman Report, PTCL handed over to “Etisalat”, they purchased 26% shares with management rights.
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DIFFERENT RESPONSES TO CHANGE
Resistance by the Employees.
Resistance by Social groups.
Resistance from Political Parties.
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DIFFERENT RESPONSES TO CHANGE
Ptcl Had To Face Very High Resistance Due To:
Less magnitude of communication was found between the employees and the administration.
The incentives given to the employees were not enough to make them feel heard.
The job cuts were far beyond the limits and still the employees are in fear of losing the jobs.
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DECISIONS TAKEN BY PTCL MANAGEMENT
VSS (voluntary separation scheme) program was launched.
Equal employment opportunities was facilitated.
fresh blood from the market was inducted. T & D department organized a
comprehensive six months “Urgent Training Needs” program in technical and managerial fields to enhance soft skills.
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BRIGHTER SIDE
More customers and subscribers are heading
toward the company, thus making it profitable.
PTCL introduced new technology in some areas.
Improve customer services.
48 CONCLUSION & RECOMMENDATIONS
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CONCLUSION Change is inevitable. Forces for change comes either from
within and outside the firm. Today, trend is toward learning
organizations. Managers should think of change, as
having four elementsI. The forces for changeII. The perceived need for change III. The initiation of changeIV. The implementation of change
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RECOMMENDED STEPS TO HANDLE RESISTANCE
i. Address the “human side” systematicallyii. Start from the topiii. Involve every layeriv. Make the formal casev. Create ownershipvi. Communicate the messagevii. Assess the cultural landscapeviii. Address culture explicitlyix. Prepare for the unexpectedx. Speak to the individual
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RECOMMENDATIONS Organization should be designed for creativity,
encouraging change agents, and establishing changes. Technology changes should be accomplished
through a bottom-up approach. Structural changes should be initiated in a top-
down fashion.
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RECOMMENDATIONS Executive managers should familiarise
themselves with the toolbox of change management.
If you wish to remould your company or organization, first make sure you really want the change and get enthusiastic about the opportunities.
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