9erobbins_ppt13

8/2/2019 9erobbins_ppt13

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ninth edition

STEPHEN P. ROBBINS

PowerPoint Presentation by Charlie CookThe University of West Alabama

MARY COULTER

2007 Prentice Hall, Inc.All rights reserved.

Managing Change

and Innovation

Chapter

13


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2007 Prentice Hall, Inc. All rights reserved. 132

What Is Change?

Organizational Change

Any alterations in the people, structure, or technologyof an organization

Characteristics of Change

Is constant yet varies in degree and directionProduces uncertainty yet is not completely

unpredictable

Creates both threats and opportunities

Managing change is an integral partof every managers job.


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Forces for Change

External Forces

Marketplace

Governmental lawsand regulations

Technology

Labor market

Economic changes

Internal Forces

Changes inorganizationalstrategy

Workforce changesNew equipment

Employee attitudes


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Exhibit 132 Three Categories of Change


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Types of Change

Structural

Changing an organizationsstructural components or itsstructural design

Technological

Adopting new equipment,tools, or operating methodsthat displace old skills andrequire new ones

Automation: replacingcertain tasks done bypeople with machines

Computerization

People

Changing attitudes,expectations, perceptions,and behaviors of theworkforce

Organizationaldevelopment (OD)

Techniques or programs tochange people and thenature and quality of

interpersonal workrelationships.


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Managing Resistance to Change

Why People Resist Change

The ambiguity and uncertainty that change introduces

The comfort of old habits

A concern over personal loss of status, money,authority, friendships, and personal convenience

The perception that change is incompatible with thegoals and interest of the organization


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Book Summary

Leading ChangeBy John P. KotterHarvard Business School Press,1996


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Leading ChangeBy John P. Kotter

1. Create a Sense of Urgency

2. Create a Guiding Coalition & Mobilize Commitment

3. Develop and Communicate a Shared Vision

4. Empower Employees to Make the Change5. Generate Short-term Wins

6. Consolidate Gains and Produce More Change

7. Anchor the New Ways of Doing Things in the CompanyCulture

8. Monitor Progress and Adjust the Vision as Required


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Exhibit 135 Strategies for Managing Cultural Change

Set the tone through management behavior; top managers,

particularly, need to be positive role models.

Create new stories, symbols, and rituals to replace thosecurrently in use.

Select, promote, and support employees who adopt the newvalues.

Redesign socialization processes to align with the new values.

To encourage acceptance of the new values, change the rewardsystem.

Replace unwritten norms with clearly specified expectations.

Shake up current subcultures through job transfers, jobrotation, and/or terminations.

Work to get consensus through employee participation andcreating a climate with a high level of trust.


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Issues in Managing Change

Handling Employee Stress

Stress

The adverse reaction people have to excessive pressureplaced on them from extraordinary demands, constraints, oropportunities.

Functional Stress

Stress that has a positive effect on performance.

How Potential Stress Becomes Actual Stress

When there is uncertainty over the outcome. When the outcome is important.


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The Relationship Between Stress & JobPerformance

Level of Stress

P

erformance

Low High

Low

High

OptimalStress/Performance


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Issues in Managing Change (contd)

Reducing Stress

Engage in proper employee selection

Match employees KSAs to jobs Tasks, Duties, andResponsibilities (TDRs)

Use realistic job interviews for reduce ambiguity

Improve organizational communications

Develop a performance planning program

Use job redesign

Provide a counseling program

Offer time planning management assistance

Sponsor wellness programs


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Stimulating Innovation

Creativity

The ability to combine ideas in a unique way or tomake an unusual association.

Innovation

Turning the outcomes of the creative process intouseful products, services, or work methods.


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Deliberate Bureaucracy Busting

Citicorp managers stay fresh by shuffling the

deck once in a while, and we do it when wearent in trouble. Reorganize on the crest of the

wave, not when youre down in the trough.Richard Huber, Citicorp CEO

Every three years or so, a company should be

put on trial for its life every product, process,

technology, service, and market.Peter Drucker


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Exhibit 13.11

InnovationVariables

Chapter 10

Capital commitment

Deming: Drive fear out of the workplace.

Q: The reward/remuneration system??


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Creating the Right Environment for

Innovation

Structural Variables

Adopt an organic structure

Make available plentiful resources

Engage in frequent interunit communication

Minimize extreme time pressures on creativeactivities

Provide explicit support for creativity


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Innovation (contd)

Cultural Variables

Accept ambiguity

Tolerate the impractical

Have low external controls

Tolerate risk taking

Tolerate conflict

Focus on ends rather than meansDevelop an open-system focus

Provide positive feedback


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Innovation (contd)

Human Resource Variables

Actively promote training and development to keepemployees skills current.

Offer high job security to encourage risk taking.

Encourage individual to be champions of change.

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