4 the Change Process
Transcript of 4 the Change Process
-
8/14/2019 4 the Change Process
1/64
Session 4
The change process
-
8/14/2019 4 the Change Process
2/64
Planning and preparation for
change Once a manager or a group of managers has
been convinced that change is necessaryand that accurate diagnosis has been made
of the cause requiring change, preparation forthe changes can begin.
-
8/14/2019 4 the Change Process
3/64
-
8/14/2019 4 the Change Process
4/64
Planning and preparation for change
Such planning calls for attention to severalissues:
Timing Building support Communication Participation Incentives
-
8/14/2019 4 the Change Process
5/64
Timing
Managers are often tempted to initiate something
quickly, especially if the need for change seemsexceptionally strong.
Acting too quickly can lead to changes that are not
well planned and that fail because they lacksufficient support.
On the other hand, waiting too long time to make
necessary changes can also be a recipe for failure.
Right timing is crucial and critical to success.
-
8/14/2019 4 the Change Process
6/64
Building Support One of the most quarantees for successful implementation is to
build support for change in advance.
Requires especially careful consideration of who will be affectedby the changes and how they will likely react.
This means that managers need to have a clear understanding of
the situation and circumstances in which the changes will takeplace if they are to increase the probability of success.
It also means that this kind of analysis, in turn, must be followedwith support-building activities by the manager.
How? Through Communication Participation Incentives
-
8/14/2019 4 the Change Process
7/64
Communication
A key step in building support for major
changes is to communicate about them inadvance to those who will be affected.
Cooperation is likely to be enhanced andmore people understand:
The reasons for the changes The ways those changes are likely to impact
them.
-
8/14/2019 4 the Change Process
8/64
Communication
Examples of communication such as:
Explained the proposed change to allemployees
Required hours of training in problem solving Goal setting
Conflict management
Set up scheduled meetings both individualgroups and with the entire workforce.
-
8/14/2019 4 the Change Process
9/64
Communication
In contrast if the reasons for changes cannot
be clearly communicated, they may not havehigh probability of success.
Seldom do change fail because of too muchcommunication
But likely to encounter difficulty when too littleinformation is provided.
-
8/14/2019 4 the Change Process
10/64
Communication
Particularly important in using communicationto build support for proposed changes is toprovide a compelling rationale for changes.
Those affected need to know the specificobjectives of the changes and how thoserelate to the larger goals and values of the
unit or total organization.
-
8/14/2019 4 the Change Process
11/64
Communication
Also important in communication is to focus
special attention on those who are likely to beinfluenced in shaping the attitudes of theircolleagues.
In other words, extra effort spent oncommunication with opinion leaders(thosewhoknows)can be good investment.
-
8/14/2019 4 the Change Process
12/64
Participation
During the planning stage, obtaining the
participation of those to be affected bychanges can help build later support for thosechanges.
Participation can build trust because thoseinitiating the changes, in effect, are allowing
themselves to be influenced about how andwhen to make the changes.
-
8/14/2019 4 the Change Process
13/64
Participation Use of participation is not cost free.
It takes time and effort on the managers part.
Participation may backfire if participantssuggestions and requests are diverge widely frommanagers goal.
Furthermore, if those asked to participate sense thattheir input is not really wanted and that management
is only going through the motion, this can quicklylead to feeling of being manipulated. In such cases participation has eroded rather than support
for change.
-
8/14/2019 4 the Change Process
14/64
Participation
Nevertheless, participation should be least beconsidered as a viable approach.
The real issue is whether the failure to use
participation creates more problems for thechanges than will the use of participation. The answer is often yes.
-
8/14/2019 4 the Change Process
15/64
Incentives
Other factor that can help build support for change
is to emphasize incentives for those who will beaffected.
Simply communicating how the change itself will
directly affect them in a positive way can oftenincrease support.
Examples are: Installation of new equipment to make work easier. Or reorganization to provide clearer direction. Or additional training to add to an employees skills.
-
8/14/2019 4 the Change Process
16/64
Incentives Providing incentives may involve conferring
benefits directly to those affected.
This could include eithernon-monetaryincentives such as:
A better accessed facilities. a more desirable working conditions.
Or the use of some form of monetary incentivessuch as increased compensation for increasedresponsibilities.
-
8/14/2019 4 the Change Process
17/64
Incentive
Managers should consider some important cautions
when using incentives to generate change.
One is that providing incentives to those likely to beaffected may make them feel they are being bought
over.
Thus use if incentives for change, especially
monetary incentive, can potentially createskepticism and cynicism of managers motives andthus, increase resistance to changes.
-
8/14/2019 4 the Change Process
18/64
Incentive Furthermore, offering explicit incentives one
time for a change may increase theprobability that those affected will expectincentives any time a new change is made inthe future.
Therefore, introducing incentives as a way forbuilding support for change is not something
that should be done lightly and withoutconsideration of possible serious, thoughunintended, side effects.
-
8/14/2019 4 the Change Process
19/64
Implementation Choices
Where planning for change leaves off andimplementation of change begins, it is often difficultto specify because the process is more or lesscontinuous.
Implementing change involves several criticalchoices for managers:
Choices of approach Choices of amount Choices of rate
-
8/14/2019 4 the Change Process
20/64
Implementation of choices
Choice of approaches (we discussed that
earlier) involves these options:
Technology
Structure Culture Strategy
Process People
-
8/14/2019 4 the Change Process
21/64
Choice of approach To initiate the change process, one or more
of these focuses need to be selected.
The choice depends in large part on theobjectives to be accomplished, which in turn
are linked to the problems identified in theassessment of the need to change.
For e.g. if the major problems is outdatedequipment, then obviously changing thetechnology will be the approach of choice.
-
8/14/2019 4 the Change Process
22/64
Choice of approach
However if the problem is one sluggish
growth in sales compared with competitors,then choice of approach is not so self-evident.
It could be that the organization is not sufficientlymarket-oriented, which could indicate a need forchange in the culture of the organization.
-
8/14/2019 4 the Change Process
23/64
Choice of amount
Either :
Small
Moderate Major
-
8/14/2019 4 the Change Process
24/64
Choice of amount
Even after managers have decided what
approaches to take and have started toimplement those choices, they must alsoconfront another set of issues:
How much change should take place?
That is, how comprehensive should the change
be affected? When change is too little, the benefits are not
likely to outweigh the costs involved.
-
8/14/2019 4 the Change Process
25/64
Choice of amount Changes can be too massive or too small
Although managers may be tempted to make bigchanges, once they decide to make change, theyoften overlook the potential costs.
Very large changes are sometimes what is calledfor, especially when major changes are occurring inthe units or organizations environment.
Studies showed that companies that engaged in burst ofvery large changes rather than a series of small,incremental changes were better able to cope with anextremely volatile environment.
-
8/14/2019 4 the Change Process
26/64
Choice of amount
Any change can cause resistance and big
changes can cause immense resistance.
Thus too great a change, in effect, can create
more chaos and more problems.
When this happen, no change at all would have
been better than change that was made.
-
8/14/2019 4 the Change Process
27/64
Choice of amount
Another aspect of the amount of change that
needs to be considered is the frequency ofchanges.
In these times ofcompetitive pressure andrelative turbulence in many organizationalenvironments, change must be implemented
much more often than in the past. In some sense, change is a more or less constantcondition
-
8/14/2019 4 the Change Process
28/64
Choice of amount If specific changes, especially those of at least moderate
size, are made continually, organization members can
get mentally exhausted.
Imagine, for example, that you are a member of a salesdepartment in a large, geographically dispersedcompany:
First management decides that sales department datashould be centralized and install a new datainformation system linking all geographic region.
Next, management institutes a team structure linkingsales with marketing and R & D personnel for newprojects.
-
8/14/2019 4 the Change Process
29/64
Choice of amount
Each of these changes, by itself, may improve
customer satisfaction and employee performance.
However, if they all occur with a short space of time,you might not have time to adjust to any one changebefore finding yourself in the midst of a new change.
Therefore, the frequency of changes must be
considered along with their size to gauge the effectson those who will have to respond.
-
8/14/2019 4 the Change Process
30/64
Choice of amount
The lessons for managers is that great care
must be taken in deciding how much changeshould be implemented.
Potential problems exist in making too smallor not enough change.
Similarly, there can be potential dangers inmaking too large or too many changes.
-
8/14/2019 4 the Change Process
31/64
Choice of amount
In particular instances, however, one of these
extremes may in fact be the best alternatives.
The general guideline, therefore, is that the
amount of change should fit the severity ofthe problems.
This should be determined by sound analysisof the strength of the need for change.
-
8/14/2019 4 the Change Process
32/64
Choice of rate Just as the amount and frequency of change represent important
choices in making changes, so does the rate of change.
If the pace ofchange is too slow, conditions that created theneed for it in the first place may again shift significantly.
Diverted back to square one
Also change that is too slow can frustrate many people, whowant to see at least some early and tangible results for theirefforts.
See e.g that follows
-
8/14/2019 4 the Change Process
33/64
Choice of rate
For e.g. suppose a company spent several months
putting together new work teams and trainingemployees in decision-making techniques, groupprocesses, conflict resolution techniques and use ofcomputerized performance tracking.
Then, however, suppose it delayed installing thenew equipment and software.
Employees would likely be frustrated by not being able toput their new knowledge and skills to immediate use.
-
8/14/2019 4 the Change Process
34/64
Choice of rate
Change that is too rapid can also cause major problems.
Whether the change is primary technological, structural,procedural or some other focus, people need to adapt tothe rate.
Rate that are excessively fast can exceed the typicalpersons ability to cope and thus, increase resentmentand resistance.
It has been suggested that in situation of rapid change,the work experience may be so stressful and sodamaging to a persons self-identity as to trigger violentbehavior.
-
8/14/2019 4 the Change Process
35/64
Choice of rate
Just as the rate of speed of a car can be
increased or decreased depending on theroad conditions, so can the rate of change inorganizational settings.
Just as in a car, if the rate is changed toooften or too drastic, it can be veryuncomfortable for those required to adapt.
This in turn can reduce confidence in theperson responsible for the changes.
-
8/14/2019 4 the Change Process
36/64
Resistance to change Although almost any change carries with it a
seed of resistance, managers are oftensurprised, and frequently disappointed by it.
Some degree of resistance may be inevitablein organizational changes but overcomingthat resistance is not easy.
In this section, we examine some of thereasons for resistance and some generalapproaches for dealing with it.
-
8/14/2019 4 the Change Process
37/64
Reasons for Resistance
Change embodies potential risks and threatsfor those affected.
They think they know how to size up thoserisks and threats in their present situation, butthey are uncertain what they will be in the
changed situation.
-
8/14/2019 4 the Change Process
38/64
Reasons for resistance
Within the overall context, some more specific
reasons for resisting change can be identified:
Inertia (feeling of unwillingness to do anything)
People in organization get comfortable with their presentways of doing things.
Even if they perceive no increase in risk, people simply findit easier to do thingsthe way they always have rather than
to operate or behave differently.
Ingrained and over-learned habit die hard.
-
8/14/2019 4 the Change Process
39/64
Reasons for resistance
Mistrust
Even if those proposing change emphasizepositive future consequences, people often
doubt that they will actually occur.
Such skepticism is especially magnified if
change occurs in an existing climate ofmistrust or if previous change effort havefailed.
-
8/14/2019 4 the Change Process
40/64
Reasons for resistance
Lack of information
A third contributing factor to resistance tochange can be a lack of adequate information
about both the need for the change and whatits effects are likely to be.
Even a seemingly small change such as a minor
reorganization of a specific unit can produceopposition, often of a subtle nature, simplybecause basic information was not provided.
-
8/14/2019 4 the Change Process
41/64
Reasons for resistance
Anticipate Consequences
Another reason for resistance can be straightforward assessment of expected gains and lossesby those affected.
In other words, employees determine what is best forprotection of their self-interests.
Those affected by the change may considerpossible loss of status or influenced, which may beignored or underestimates by the managers who areinstigating the change.
-
8/14/2019 4 the Change Process
42/64
Dealing with resistance to change
There are no quick fix to reduce or eliminateresistance.
However, that does not mean that nothingcan be done and therefore, having aframework for analyzing the resistance canbe helpful.
-
8/14/2019 4 the Change Process
43/64
Dealing with resistance to change
Force Field Analysis
One very useful way of looking at theproblem of resistance is what is called aforce field analysis as proposed bypsychologist Kurt Lewin.
The uses of the concept of equilibrium, a condition
that occurs when the forces for change , thedriving forces, are roughly balanced by forcesopposing change , the restraining forces,. (pleasesee hand-out material for description)
-
8/14/2019 4 the Change Process
44/64
Force field analysis
If we apply this analysis to typical
organizational changes, we see thatmanagers basically have two choices:
Add more force for change, such as putting morepressure on subordinates to conform to newprocedures OR
Reduce the resistance forces, such as convincinginformal leaders that they will benefit from change.
-
8/14/2019 4 the Change Process
45/64
Force field analysis
The basic problem with increasing the driving
forces is that this often results in increasingthe opposing forces.
Therefore, Lewin analysis suggests thatweakening restraining may be the moreeffective way to bring about change.
-
8/14/2019 4 the Change Process
46/64
Kurt Lewins force field theory
According to Kurt Lewins theory, everybehavior is the result of an equilibriumbetween driving forces, which push forchange and restraining forces, which resist
change and strive to maintain the status quo.
Forces of resistance include the existing
organization culture, individual employeesself-interests and differing perceptions oforganization goals and strategies.
-
8/14/2019 4 the Change Process
47/64
Force field theory
In Lewins view, people find it difficult, if not
impossible, to change long-established attitudes andbehavior.
Even if they do make changes, they will soon return to theirold ways if the new ways are not reinforced.
To prevent this, Lewin suggest a three-step process:
Unfreezing existing behavior patterns Using a change agent to help employees identify with and
internalize new attitudes, values and behavior Refreezing to lock in the new behavior patterns.
-
8/14/2019 4 the Change Process
48/64
Force field theory
Unfreezing making the need for change so
obvious that the individual, group or organizationcan readily see and accept that change must occur.
Change agent the individual leading or guiding theprocess of change in an organization situation.
Refreezing transforming a new behavioral pattern
into the norm through reinforcement and supportmechanisms.
-
8/14/2019 4 the Change Process
49/64
Dealing with resistance to changeNegotiation
Negotiating too early with those who mayresist could be wasted effort because theissues to be negotiated or the degree ofresistance may not yet be clear.
If resistance is primary due to lack of
information, entering into negotiations toomay only increase resistance, thusstrengthening a restraining force.
-
8/14/2019 4 the Change Process
50/64
Negotiation
People may resist managers negotiation
efforts since they feel they cannot makeintelligent decisions about offers orcounteroffers because they lack sufficient
information.
Information is crucial under the negotiation table.
Managers should have sufficient and reliableinformation.
-
8/14/2019 4 the Change Process
51/64
Participation
Participation may be very effective in
defusing some resistance, or even identifyingvalid reasons why the change might not work,but it can be a costly use of everyones time
and can be risky for managers because theoutcomes are hard to predict.
For e.g. in a setting in which past change efforts
have failed or have hurt employees (e.g., through
layoffs), asking peoples participation may not
seem legitimate.
i i
-
8/14/2019 4 the Change Process
52/64
Communication
Communication can be relatively inexpensive
but if it comes too late, it may not have mucheffect.
For e.g. communicating and emphasizing toemployees that a firms profit have droppedsharply, after layoffs have already beenannounced, may seem like an after-the-factattempt to justify the layoffs action
may only result in increased levels of mistrustand resistance in the future.
F ili i
-
8/14/2019 4 the Change Process
53/64
Facilitation Facilitation and support would be welcomed by those
who might not want to go along with the changes but the
costs can be substantial.
For e.g GE hires consultants to help with its workoutprogram, a series of town meetings in which managers
and employees meet for frank discussions of thebusiness and to find solution to key problems
These consultants cost about $5000 to $10000 per dayin fees plus expenses.
At that rate, it doesnt take many days to rack up sizablebill.
C i
-
8/14/2019 4 the Change Process
54/64
Coercion
Coercion, such as threatening transfer or denyingfuture
promotions, is risky and not design to lessen resistancebut it may overcome resistance in short term.
For this to work, management must have the power to
follow through with threats and the threats must be ofsufficient magnitude to motivate compliance on thepart of employees.
In extreme situations, managers have no other choicebut if this option is chosen, managers need torecognize that it will be highly likely to increasemistrust and resistance to change effort in the future.
C i
-
8/14/2019 4 the Change Process
55/64
Coercion (means compel or force) A final point to be made about dealing with resistance to change
is that managers should recognize that the amount and nature of
resistance may be very useful diagnostic tools to gauge whetherthe change is appropriate and will actually bring about desiredresults if implemented.
To put this another way, managers need to listen to resistance
and determine whether they have accurately assessed the needfor change and the process of implementation.
Just because resistance arises certainly does not mean that theproposed change must be abandoned or postponed.
Thus understanding the need for change is important.
E l ti f h t
-
8/14/2019 4 the Change Process
56/64
Evaluation of change outcomes
Once change has been carried out, whether the entire
organization or within one unit, managers need to evaluate theoutcomes.
If the effect of changes are not appraised in some manner,managers have no way of knowing whether additional changes
are needed and also whether the particular approachesimplemented should be use again in similar circumstances.
To carry out the evaluation process, three steps are required:
Data collection. Comparison of outcomes against goals. Feedback of results.
D t ll ti
-
8/14/2019 4 the Change Process
57/64
Data collection
Data must be collected to evaluate the
outcomes of change essentially come in twoforms:
Objective or quantitative data Subjective or attitude data
Both types can be useful to the manager whohas implemented change.
D t ll ti
-
8/14/2019 4 the Change Process
58/64
Data collection For e.g after introducing major new information technology, a
manager could evaluate by measuring changes in output per
employee, speed of respond to customers, accuracy in reports,attitudes of employees users within the organization, and attitudesof clients who dealwith employees using the new technology.
It is important to keep in mind that thecollection of different sets of data to measurechange outcomes may well require significantcosts.
Therefore, not every type of data that could becollected should be collected.
-
8/14/2019 4 the Change Process
59/64
Data collection But the point is that significant sources of data
should not be overlooked.
The more types of data that can be collected,
the more likely the analysis of the effects will beinformative.
Date should be collected at periodical intervalsto measure the lasting power of the change.
C i f t i t
-
8/14/2019 4 the Change Process
60/64
Comparisons of outcomes againstgoals Collection of data is only a first step in
evaluating outcomes.
The crucial next step is the comparison of
those outcomes against goals and variousbenchmarks or standards set in advance ofthe change.
Without those goals and standards,interpretation of the data will be almostmeaningless.
-
8/14/2019 4 the Change Process
61/64
Feedback of results
-
8/14/2019 4 the Change Process
62/64
Feedback of results A final step in evaluating outcomes is communication of the finding
to those who are involved with or affected by the change.
Failure to provide feedback can leave subordinates and otheremployees with a sense of frustration.
They may even question a managers motives for not supplying it.
It can also produce an element of distrust, making it even harder tocarry out successfully changes in future.
Managers can provide feedback to both superiors and subordinatesin a variety of ways:
Written report Direct oral reports Briefings Discussion with small groups
Feedback of results
-
8/14/2019 4 the Change Process
63/64
Feedback of results
No one method is more effective than others.
The key point is that in nearly all cases, some
feedback about the effects of changes isbetter than no communication at all.
-
8/14/2019 4 the Change Process
64/64
End of lecture.