7. Religare Securities.doc

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In Partial Fulfillment of Requirement for the Award of MBA

Submitted By

Jyoti Sankar DhirRegd. No. : 23/600/09

Roll No. : 0!B"6#$

DDCE, SAMBALPUR UNIERSI!"

MBA-09 SUMMER TRAINING REPORT 1


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DECLARATION

I Jyoti Sankar Dhir, studying in NICE, Talcher, under DDCE,

Sambalpur, declare that the project titled A Study on Change

Management with respect to Religare Securities Limited, Talcher has

been complied by me in partial fulfillment for award of MBA during the

year 2009-2011.

I further declare that this project report has not been

submitted to any university or institution for award of any degree or

diploma.

Jyoti Sankar Dhir

Roll No. : 10MBA647



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CERTIFICATE

This is to certify that the summer training report titled A

study on the change management with respect to Religare

securities Ltd. submitted by Jyoti Sankar Dhir, Enrollment

No: 23/600/09 in partial fulfillment of MBA has been carried

out under my guidance and supervision.

Satyabrata Sahu



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ACKNOWLEDGEMENT

I would like to take this opportunity to express my deep gratitude to all

those who came out of their way to help me during the course of the

project.

I hereby take this opportunity to thank the Religare Securities Ltd. for

permitting me to do this project work. I am greatly indebted to my project

head and I express my hearty thanks to my Guide, Mr.Umesh Pujari, and

Marketing faculty ofNICE, Talcherfor his kind help in completion of the

project.

Here by I would also like to express my sincere gratitude to Mr. Ajay

Agarwal BM - Religare, Talcher, for sharing his priceless time and

experience with me and helping me out in various situations.

I am grateful to express my sincere thanks to the entire staff and

distribution team of Religare Securities Ltd., Talcher, for his help and

suggestion through out the project and offering his valuable tips during

the time of working on this taining.

Finally, I thank my parents who have constant inspiration to me

throughout my life. It would not have possible for me to reach this stage

without their support, thanks for my family and friends for their moral

support.



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CONTENTS

Ch- 1 Introduction

1.1 Background

1.2 Justification

1.3 Need of the study

1.4 Objective of the study

1.5 Hypothesis

1.6 Methodology

1.7 Scope & limitation

Ch- 2 About the Company

Ch 3Change Management

3.1 Importance

3.2 Consultant & change management

3.3 Benefit

3.4 ADKAR model

Ch 4Content & process of change mangement

4.1 Change process

4.2 Change process as problem solving & finding

Ch -5 Strategy

5.1 Factor

5.2 Handling change management

5.3 Resopnsibility

5.4 Successful step for change management

Ch- 6 Principle

Ch- 7 Features & Benefits

7.1 Scope change7.2 Configuration change

7.3 All other change

Ch 8Questinnare

Ch- 9 Conclusion

9.1 Suggestion



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competitor) or establishing coping mechanisms for responding to changes

in the workplace (such as new policies, or technologies). Terry Paulson,

the author ofPaulson on Change, quotes an uncle's advice: "It's easiest to

ride a horse in the direction it is going." In other words, don't struggle

against change; learn to use it to your advantage.

In a computer system environment, change management refers to a

systematic approach to keeping track of the details of the system (for

example, what operating system release is running on each computer

and which fixes have been applied).

1.2 JUSTIFICATION OF THE STUDY

Management is understood to be a set of processes that can keep a

complicated system of people and processes running optimally and

produce organizational effectiveness.However,the dynamics of

environment make the system further complicated because

organizational effectiveness cannot be static due to the constant need to

change the processes to remain competitive.Restructering,reengineering

growth plan,diversification of business interests,and re-skilling of

employee,are part of change processes with the objective of making the

business remain vibrant and competitive.Change is ubiquitous in any

organizational setting.

Though human diposition to change is one of trepidation, it entails

growth and new opportunities threat to existing business means an

opportunity for innovation and expansion of the business empire.

Looking from this perspective, change is a blessing in disguise rather



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than a tgreat.Change challenges the best of human endeavor and instills

excitement.Here, a word of caution is warranted.Though change is a

natural phenomenon, people do not easily adopt to it .Fear of the

unknown always lurks in the human mind. We need a proper

understanding of the human psyche and should seek to implement

change only when people are change ready.Peoples minds are a sine qua

non for the change process to succeed.

1.3 Need of the Study:-

The proposed study would examine the trends of change management

adopted by Religare and the relative merits associated with Religare.

The study would also possibly try to reveal the relative strength of

change management and its benefit for Religare, Sambalpur.As a part

of the Management thesis the outcome of the study would be

presented to Religare, Sambalpur, The outcomes of the study could be

utilized by Religare for further planning.

1.4 Objectives of the Study:-

The study would examine the following objectives.

To analyze the change management adopted by Religare,

Sambalpur

Understanding the present change management of Religare.

Understanding the effectiveness of the change management

Religare, Sambalpur



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To find out the pros and cons of the change management Religare,

Sambalpur

To analysis the factors those are influencing the change

management adopted by Religare, Sambalpur

To estimate the preference pattern of the employee due to change


To explain the trends and future options of the change


1.5 Hypotheses:-

Following hypotheses would be laid down to examine the above

objectives.

Religare used modern methods of change management in their

company.

Employees of Religare are benefited by the change management of

their company.

1.6 Methodology:-

The proposed study for the final analysis would require secondary as well

as primary data. Secondary data would be obtained from the official

website of Religare, and the companys published /unpublished Reports.

Also refered different book and collected data about change management.

On the other hand primary data would be obtained from a cross section



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of 15 employees and interact with Branch manager of Religare,

Sambalpur.

1.7 Scope and limitations of the study

While working in any project we face many types of limitations. In this

project I face some problems like:

The employee of the organization having heavy work scheduled, so

they not able to provide sufficient time.

As it is a stock broking house I faced time problem also. At any

time I cannot visit to their office.

Some of their HR policies are confidential; they do not disclose it to

the public. In this time we face problem. It is called biasness

problem.

Non availability of resources is also one of the important factors

here



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CHAPTER- 2

2.1 ABOUT THE COMPANY

Religare, a Ranbaxy-promoted group company, is one of Indias largest

and fastest-growing integrated financial services institutions. The

company offers a diverse and holistic bouquet of services and wishes to

be seen as a true Investment Gateway Of India. Its service platter

ranges from equities, commodities, and insurance to wealth advisory,

portfolio management services, personal finance services, investment

banking and institutional broking services. In terms of its client and

business interface the services are broadly clubbed into three key

business verticals - Retail, Wealth Management, and the Institutional

spectrum. Religare Enterprises Ltd is the holding company for all its

businesses, structured and operated through various subsidiaries.

Religare Securities Limited (RSL) is one such vibrant and fast growing

subsidiary of Religare.

RSL is a leading equity and securities firm in India. The major activities

and offerings of the company today are equity broking, depository

participant services, portfolio management services (PMS), institutional

broking services & research, investment banking and corporate finance.

The company has recently unveiled its online investment portal armed

with a host of revolutionary features in order to broaden the range of

services offered to its investors.www.religareonline.com, the companys

investment portal is a platform that is sure to change the online investing

landscape in India with unique features such as Trade Rewards reward

http://www.religareonline.com/http://www.religareonline.com/


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Focus on minimizing investment risk by following rigorous

valuation disciplines.

Capital preservation.

Selling discipline and use of Derivatives to control volatility.

Overall to enhance absolute return for investors.

Our Schemes

Panther

The Panther portfolio aims to achieve higher returns by taking aggressive

positions across sectors and market capitalizations. It is suitable for the

High Risk High Return investor with a strategy to invest across sectors

and take advantage of various market conditions.

Tortoise

The Tortoise portfolio aims to achieve growth in the portfolio value over a

period of time by way of careful and judicious investment in

fundamentally sound companies having good prospects. The scheme is

suitable for the Medium Risk Medium Return investor with a strategy to

invest in companies which have consistency in earnings, growth and

financial performance.

Elephant



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The Elephant portfolio aims to generate steady returns over a longer

period by investing in Securities selected only from BSE 100 and NSE

100 index. This plan is suitable for the Low Risk Low Return investor

with a strategy to invest in blue chip companies, as these companies

have steady performance and reduce liquidity risk in the market.

Caterpillar

The Caterpillar portfolio aims to achieve capital appreciation over a long

period of time by investing in a diversified portfolio. This scheme is

suitable for investors with a high risk appetite. The investment strategy

would be to invest in scrips which are poised to get a re-rating either

because of change in business, potential fancy for a particular sector in

the coming years/months, business diversification leading to a better

operating performance, stocks in their early stages of an upturn or for

those which are in sectors currently ignored by the market.

Leo

Leo is aimed at retail customers and structured to provide medium to

long-term capital appreciation by investing in stocks across the market

capitalization range. This scheme is a mix of moderate and aggressive

investment strategies. Its aim is to have a balanced portfolio comprising

selected investments from both Tortoise and Panther. Exposure to

Derivatives is taken within permissible regulatory limits.

The Religare Edge



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We serve you with a diligent, transparent & process driven approach and

ensure that your money gets the care it deserves.

No experts, only expertise.PMS brought to you by Religare with its

solid reputation of an ethical and scientific approach to financial

management. While we offer you the services of a Dedicated Relationship

Manager who is at your service 24x7, we do not depend on individual

expertise alone. For you, this means lower risk, higher dependability and

unhindered continuity. Moreover, you are not limited by a particular

individuals investment style.

No hidden profits.We ensure that a part of the broking at Religare

Portfolio Management Services is through external broking houses. This

means that your portfolio is not churned needlessly. Using more broking

firms gives us access to a larger number of reports and analysis,

enabling us to make better, more informed decisions. Furthermore, your

portfolio is customised to suit your investment objectives.

Daily disclosures.Religare Portfolio Management Services gives you

daily updates on your investment. You can pinpoint where your money is

being invested, 24x7, instead of waiting till the end of the month to keep

track.

No charge till you profit*.So sure are we of our approach to Portfolio

Management that we do not charge you for our services, until your

investments start showing profit. With customized investment options

Religare Portfolio Management Services invites you to invest across five

broad portfolios to suit your investment needs.



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Changes through M&A

Religares Asset Management JV with AGEON:

The proposed venture would be able to leverage on the extensive

distribution network of Religare, its local insights, and the strong

processes and global investment expertise of AEGON. Mr. Nanavati,

CEO, Religare AEGON AMC said Both the partners are committed to the

business and the JV will start with an initial equity capital of Rs. 100

crores, as per the Shareholders agreement (as against the minimum

regulatory requirement of Rs. 10 crores). In-line with their existing

business philosophy, the AMC will focus on creating wide reach across

India especially in Tier II and Tier III cities, with an initial target of

opening at least 100 branches in the first 3 years of operations and

offering the entire range of products across the clients asset allocation

spectrum.

Religare-IndusInd Bank Join hands:

The tie-up, though a holistic and integrated partnership, will initially

focus on seamlessly offering Religares internet trading services platform

to the Banks customers, to be eventually followed by a roll-out of the

entire spectrum of Religares services to the Banks customers. The

internet trading facility will be part of a value-added 3-in-1 offering for

the banks savings account customers, offering them a savings and a DP

account from the Bank along with an internet trading account, powered

by Religare. Both parties have pledged to work closely and leverage each

others strengths to eventually ensure Customer Delight. Religare with



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its state-of-the-art, value-added, 360-degree portal and IndusInd with its

network, ethos and customer-centric approach plan to capitalize on the

fast-growing phenomenon of internet trading and seamlessly cater to the

convenience-and value-seeking, cash-rich and time-poor new-age

consumers.



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CHAPTER- 3

CHANGE MANAGEMENT

Change management can be defined as the process of managing

changes that occur because of an event. These changes can be

attributed to technological changes including new processes or

organizational changes including restructuring and mergers.

3.1 Importance Of change management In Religare:

While management design and implement strategies that deliver

improvement in performance, they often neglect one key area for

success. Managing the change Change management is important

because understanding this change and its effect on the

organization and its people minimizes disruptive aspects and

enhances positive opportunities in the change process. These

opportunities can include containing costs, realigning resources

and respond more quickly to customer demands.

3.2 Change management and Consultants:

When employing change management consultants they will

evaluate the organizations business environment and its capacity

to change. It can then help them identify, plan and introduce where

change will need to be implemented. By using experience gained in

dealing with other firms change strategy can provide the benefit of



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implementing the change effectively and quickly with strategies to

manage and cope throughout the transition.

3.3 Benefits of hiring consultants:

Provide companies smooth progression from the old situation to

new with minimum disruption to morale, output or image.

Consultants provide executive management and staff support

for morale issues and concerns caused by changes

Consultants help to identify any gaps or problems in existing

change management plan.

Consultants manage public relations so to provide public the

correct perception of the change

3.4 The ADKAR Model Implemented in Religare:

Change management has been developed over a period of time and

one of the models that have played an influence in change

management is the ADKAR model. ADKAR was a model developed

by Prosci. In this model, there are five specific stages that must be

realized in order for an organization or an individual to successfully

change. They include:

Awareness- An individual or organization must know why aspecific change or series of changes are needed.As it is to

creat awareness among the staff of the company that as

there is no HR department in the company.So it is would be

best if there is a HR department in the company.By getting a



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HR department in the company the employee would be best

guided and promoted by the HR persons.So that can get the

best training and development session,reward and

recognision,performance appraisal,and also the attrition rate

would also be lesser.

Hence, for the training and all the industry or corporation

awareness is the must.

The leadership skill,interpersonal skill,systematic thinking

and understanding performance ,knowledge of intervention

all these things are to be considered for the betterment of the

employees.

Desire- Either the individual or organizational members must

have the motivation and desire to participate in the called for

change or changes .After creating the awareness among the

employees regarding the change ,it is to be observed that whether

there is a desire with in them or not. That means it is the employee

who will be benefited by the process afterwards.Hence they should

take the initiative for the change in at the company and take the

further steps for the betterment of the process.

Knowledge- Knowing why one must change is not enough; anindividual or organization must know how to change. In Religare

learning knowledge include the following characterstics.

A belief that system thinking is fundamental.



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A climate that encourages, rewards & enhances indivisual &

collective learning.

A view that holds surprise, mistake & failure as learning

oppurtunity.

The team mission is for the staff.

Faith without knowledge & vision is merely presumption.

Without initiative, knowledge, vision & faith are just a dream.

To aquare knowledge there must be vision & creation. Knowledge is

fundamental to vision. For this the Religare team has to be an

unifixed mission.

Ability- Every individual and organization that truly wants to

change must implement new skills and behaviors to make the

necessary changes happen.

Again one thing is to be observed in the company that is the

attrition rate is to be reduceded. If the attrition rate is 30%, it is

both a negative sign for the company & the employees. Like the

company is investing a cost for the advertisement for the

recuitment process of the candidate, hiring the consultant for the

suggestion, getting done the interview again paying salary to the

empolyees after recuitment them & the training & all for them.

For all this, the company is paying a lot bur again after nine

month to one year the employee are shifting from the existing

company to the other. So for all this the existing company like



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Religare is lossing a lot. But if in this case a pre-planned HR

department is there everything should get normal & attrition rate

also may decrease from 30% to 20%.

The cost of employee turn over is 40% - 100% of an employees

anuual salary.

The lost productivity, recuitement cost, training cost, reduced

effeciency in transition & time should be under observation.

Empolyee attrition is running wild todays tight labor market.

However the companies that keeps their employees have found that

but matters most is not the pay, benefit or perks but the quality of

the relationship between there empolyee & their direct supervisior.

Reinforcement- Individuals and organizations must be reinforced

to sustain any changes making them the new behavior, if not; an

individual or organization will probably revert back to their oldbehavior.

Organizational Change Management In Religare:

Organizational change management takes into consideration both

the processes and tools that managers use to make changes at an

organizational level. Most organizations want change implemented

with the least resistance and with the most buy-in as possible. For

this to occur, change must be applied with a structured approach

so that transition from one type of behavior to another organization

wide will be smooth.



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Management's Role in the Organizational Change

In most cases, management's first responsibility is to identify

processes or behaviors that are not proficient and come up with

new behaviors, processes, etc that are more effective within an

organization. Once changes are identified, it is important for

managers to estimate the impact that they will have to the

organization and individual employee on many levels including

technology, employee behavior, work processes, etc.

At this point management should assess the employee's reaction to

an implemented change and try to understand the reaction to it. In

many cases, change can be extremely beneficial with lots of

positives; however certain changes do sometimes produce a

tremendous amount of resistance. It is the job of management to

help support workers through the process of these changes, which

are at times very difficult. The end result is that management must

help employees accept change and help them become well adjusted

and effective once these changes have been implemented.

In thinking about what is meant by change management, at least

four basic definitions come to mind:

1. The task of managing change.

2. An area of professional practice.

3. A body of knowledge.

4. A control mechanism.



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The Task of Managing Change

The first and most obvious definition of change management is

that the term refers to the task of managing change. The obvious is

not necessarily unambiguous. Managing change is itself a term

that has at least two meanings.

One meaning of managing change refers tothe making of changes

in a planned and managed or systematic fashion. The aim is to more

effectively implement new methods and systems in an ongoing

organization. The changes to be managed lie within and are

controlled by the organization. (Perhaps the most familiar instance

of this kind of change is the change control aspect of information

systems development projects.). However, these internal changes

might have been triggered by events originating outside the

organization, in what is usually termed the environment. Hence,

the second meaning of managing change, namely, the response to

changes over which the organization exercises little or no control(e.g.,

legislation, social and political upheaval, the actions of competitors,

shifting economic tides and currents, and so on). Researchers and

practitioners alike typically distinguish between a knee-jerk or

reactive response and an anticipative or proactive response.

An Area of Professional Practice

The second definition of change management is "an area of

professional practice."



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There are dozens, if not hundreds, of independent consultants who

will quickly and proudly proclaim that they are engaged in planned

change, that they are change agents, that they manage change for

their clients, and that their practices are change management

practices. There are numerous small consulting firms whose

principals would make these same statements about their firms.

And, of course, most of the major management consulting firms

have a change management practice area.

Some of these change management experts claim to help clients

manage the changes they face the changes happening to them.

Others claim to help clients make changes. Still others offer to help

by taking on the task of managing changes that must be made. In

almost all cases, the process of change is treated separately from

the specifics of the situation. It is expertise in this task of

managing the general process of change that is laid claim to byprofessional change agents.

A Body of Knowledge

Stemming from the view of change management as an area of

professional practice there arises yet a third definition of change

management: the content or subject matter of change management.

This consists chiefly of the models, methods and techniques, tools,

skills and other forms of knowledge that go into making up any

practice.



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The content or subject matter of change management is drawn from

psychology, sociology, business administration, economics,

industrial engineering, systems engineering and the study of

human and organizational behavior. For many practitioners, these

component bodies of knowledge are linked and integrated by a set

of concepts and principles known as General Systems Theory

(GST). It is not clear whether this area of professional practice

should be termed a profession, a discipline, an art, a set of

techniques or a technology. For now, suffice it to say that there is a

large, reasonably cohesive albeit somewhat eclectic body of

knowledge underlying the practice and on which most practitioners

would agree even if their application of it does exhibit a high

degree of variance.

A Control Mechanism

For many years now, Information Systems groups have tried to rein

in and otherwise ride herd on changes to systems and the

applications that run on them. For the most part, this is referred

to as version control and most people in the workplace are

familiar with it. In recent years, systems people have begun to refer

to this control mechanism as change management and

"configuration management." Moreover, similar control mechanisms

exist in other areas. Chemical processing plants, for example, are

required by OSHA to satisfy some exacting requirements in the



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course of making changes. These fall under the heading of

Management of Change or MOC.

CHAPTER - 4

CONTENT AND PROCESS Of Change Management:

Organizations are highly specialized systems and there are many

different schemes for grouping and classifying them. Some are said

to be in the retail business, others are in manufacturing, and still

others confine their activities to distribution. Some are profit-

oriented and some are not for profit. Some are in the public sector

and some are in the private sector. Some are members of the

financial services industry, which encompasses banking,

insurance, and brokerage houses. Others belong to the automobile

industry, where they can be classified as original equipment

manufacturers (OEM) or after-market providers. Some belong to the

health care industry, as providers, as insureds or as insurers.

Many are regulated, some are not. Some face stiff competition,

some do not. Some are foreign-owned and some are foreign-based.

Some are corporations, some are partnerships, and some are sole

proprietorships. Some are publicly held and some are privately

held. Some have been around a long time and some are newcomers.Some have been built up over the years while others have been

pieced together through mergers and acquisitions. No two are

exactly alike.



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The preceding paragraph points out that the problems found in

organizations, especially the change problems, have both a content

and a process dimension. It is one thing, for instance, to introduce

a new claims processing system in a functionally organized health

insurer. It is quite another to introduce a similar system in a health

insurer that is organized along product lines and market segments.

It is yet a different thing altogether to introduce a system of equal

size and significance in an educational establishment that relies on

a matrix structure. The languages spoken differ. The values differ.

The cultures differ. And, at a detailed level, the problems differ.

However, the overall processes of change and change management

remain pretty much the same, and it is this fundamental similarity

of the change processes across organizations, industries, and

structures that makes change management a task, a process, and

an area of professional practice.

4.1 The Change Process

The Change Process as Unfreezing, Changing and Refreezing

The process of change has been characterized as having three basic

stages: unfreezing, changing, and re-freezing. This view draws

heavily on Kurt Lewins adoption of the systems concept of

homeostasis or dynamic stability.

What is useful about this framework is that it gives rise to thinking

about a staged approach to changing things. Looking before you

leap is usually sound practice.



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What is not useful about this framework is that it does not allow for

change efforts that begin with the organization in extremis (i.e.,

already unfrozen), nor does it allow for organizations faced with

the prospect of having to hang loose for extended periods of time

(i.e., staying unfrozen).

In other words, the beginning and ending point of the unfreeze-

change-refreeze model is stability which, for some people and

some organizations, is a luxury. For others, internal stability spells

disaster. A tortoise on the move can overtake even the fastest hare if

that hare stands still.

4.2 The Change Process as Problem Solving and Problem

Finding

A very useful framework for thinking about the change process is

problem solving. Managing change is seen as a matter of moving

from one state to another, specifically, from the problem state to the

solved state. Diagnosis or problem analysis is generally

acknowledged as essential. Goals are set and achieved at various

levels and in various areas or functions. Ends and means are

discussed and related to one another. Careful planning is

accompanied by efforts to obtain buy-in, support and commitment.

The net effect is a transition from one state to another in a planned,

orderly fashion. This is the planned change model.

The word problem carries with it connotations that some people

prefer to avoid. They choose instead to use the word opportunity.



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For such people, a problem is seen as a bad situation, one that

shouldnt have been allowed to happen in the first place, and for

which someone is likely to be punished if the guilty party (or a

suitable scapegoat) can be identified. For the purposes of this

paper, we will set aside any cultural or personal preferences

regarding the use of problem or opportunity. From a rational,

analytical perspective, a problem is nothing more than a situation

requiring action but in which the required action is not known.

Hence, there is a requirement to search for a solution, a course of

action that will lead to the solved state. This search activity is

known as problem solving.

From the preceding discussion, it follows that problem finding is

the search for situations requiring action. Whether we choose to

call these situations problems (because they are troublesome or

spell bad news), or whether we choose to call them opportunities(either for reasons of political sensitivity or because the time is ripe

to exploit a situation) is immaterial. In both cases, the practical

matter is one of identifying and settling on a course of action that

will bring about some desired and predetermined change in the

situation.

The Change Problem

At the heart of change management lies the change problem, that

is, some future state to be realized, some current state to be left

behind, and some structured, organized process for getting from



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introduce self-managed teams in Department W? How do we

change over from System X to System Y in Division Z? How do we

move from a mainframe-centered computing environment to one

that accommodates and integrates PCs? How do we get this

organization to be more innovative, competitive, or productive? How

do we raise more effective barriers to market entry by our

competitors? How might we more tightly bind our suppliers to us?

How do we reduce cycle times? In short, the initial formulation of a

change problem is means-centered, with the goal state more or less

implied. There is a reason why the initial statement of a problem is

so often means-centered and we will touch on it later. For now, lets

examine the other two ways in which the problem might be

formulated as what or as why questions.

Change as a What Problem

As was pointed out in the preceding section, to frame the change

effort in the form of how questions is to focus the effort on

means. Diagnosis is assumed or not performed at all.

Consequently, the ends sought are not discussed. This might or

might not be problematic. To focus on ends requires the posing of

what questions. What are we trying to accomplish? What changes

are necessary? What indicators will signal success? What

standards apply? What measures of performance are we trying to

affect?

Change as a Why Problem



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Ends and means are relative notions, not absolutes; that is, something is

an end or a means only in relation to something else. Thus, chains and

networks of ends-means relationships often have to be traced out before

one finds the true ends of a change effort. In this regard, why

questions prove extremely usefu



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CHAPTER-5

Four Basic Change Management Strategies

Strategy Description

Empirical-

Rational

People are rational and will follow their self-

interest once it is revealed to them.

Change is based on the communication of

information and the proffering of incentives.

Normative-

Reeducative

People are social beings and will adhere to

cultural norms and values. Change is based

on redefining and reinterpreting existing

norms and values, and developing

commitments to new ones.

Power-Coercive People are basically compliant and will

generally do what they are told or can be

made to do. Change is based on the exercise

of authority and the imposition of sanctions.



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Strategy Description

Environmental-

Adaptive

People oppose loss and disruption but they

adapt readily to new circumstances. Change

is based on building a new organization and

gradually transferring people from the old

one to the new one.

5.1 Factors in Selecting A Change Strategy

Generally speaking, there is no single change strategy. You can

adopt a general or what is called a "grand strategy" but, for any

given initiative, you are best served by some mix of strategies.

Which of the preceding strategies to use in your mix of strategies is

a decision affected by a number of factors. Some of the more

important ones follow.

Degree of Resistance. Strong resistance argues for a

coupling of Power-Coercive and Environmental-Adaptive

strategies. Weak resistance or concurrence argues for a

combination of Empirical-Rational and Normative-

Reeducative strategies.

Target Population.Large populations argue for a mix of all

four strategies, something for everyone so to speak.



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The Stakes. High stakes argue for a mix of all four strategies.

When the stakes are high, nothing can be left to chance.

The Time Frame.Short time frames argue for a Power-

Coercive strategy. Longer time frames argue for a mix of

Empirical-Rational, Normative-Reeducative, and

Environmental-Adaptive strategies.

Expertise. Having available adequate expertise at making

change argues for some mix of the strategies outlined above.

Not having it vailable argues for reliance on the power-coercive

strategy.

Dependency. This is a classic double-edged sword. If the

organization is dependent on its people, management's ability

to command or demand is limited. Conversely, if people are

dependent upon the organization, their ability to oppose or

resist is limited. (Mutual dependency almost always signals a

requirement for some level of negotiation.)

5.2 HANDLING CHANGE MANAGEMENT

The honest answer is that you manage it pretty much the same way

youd manage anything else of a turbulent, messy, chaotic nature,

that is, you dont really manage it, you grapple with it. Its more a

matter of leadership ability than management skill.

The first thing to do is jump in. You cant do anything about it

from the outside.



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A clear sense of mission or purpose is essential. The simpler

the mission statement the better. Kick ass in the

marketplace is a whole lot more meaningful than Respond

to market needs with a range of products and services that

have been carefully designed and developed to compare so

favorably in our customers eyes with the products and

services offered by our competitors that the majority of

buying decisions will be made in our favor.

Build a team. Lone wolves have their uses, but managing

change isnt one of them. On the other hand, the right kind of

lone wolf makes an excellent temporary team leader.

Maintain a flat organizational team structure and rely on

minimal and informal reporting requirements.

Pick people with relevant skills and high energy levels. Youll

need both.

Toss out the rulebook. Change, by definition, calls for a

configured response, not adherence to prefigured routines.

Shift to an action-feedback model. Plan and act in short

intervals. Do your analysis on the fly. No lengthy up-front

studies, please. Remember the hare and the tortoise.

Set flexible priorities. You must have the ability to drop what

youre doing and tend to something more important.

Treat everything as a temporary measure. Dont lock in until

the last minute, and then insist on the right to change your

mind.



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Ask for volunteers. Youll be surprised at who shows up. Youll

be pleasantly surprised by what they can do.

Find a good straw boss or team leader and stay out of his or

her way.

Give the team members whatever they ask for except

authority. Theyll generally ask only for what they really need

in the way of resources. If they start asking for authority,

thats a signal theyre headed toward some kind of power-

based confrontation and that spells trouble. Nip it in the bud!

Concentrate dispersed knowledge. Start and maintain an

issues logbook. Let anyone go anywhere and talk to anyone

about anything. Keep the communications barriers low,

widely spaced, and easily hurdled. Initially, if things look

chaotic, relax they are.

The task of change management is to bring order to a messy

situation, not pretend that its already well organized and

disciplined.

5.3 Responsibility for managing change

The employee does not have a responsibility to manage change - the

employee's responsibility is no other than to do their best, which is

different for every person and depends on a wide variety of factors

(health, maturity, stability, experience, personality, motivation, etc).

Responsibility for managing change is with management and



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executives of the organisation - they must manage the change in a

way that employees can cope with it. The manager has a

responsibility to facilitate and enable change, and all that is implied

within that statement, especially to understand the situation from

an objective standpoint (to 'step back', and be non-judgemental),

and then to help people understand reasons, aims, and ways of

responding positively according to employees' own situations and

capabilities. Increasingly the manager's role is to interpret,

communicate and enable - not to instruct and impose, which

nobody really responds to well.

5.4 John P Potters 'eight steps to successful

change'Adopted By Religare:

John Potters highly regarded books 'Leading Change' (1995) and

the follow-up 'The Heart Of Change' (2002) describe a helpful model

for understanding and managing change. Each stage acknowledges

a key principle identified by Kotter relating to people's response and

approach to change, in which peoplesee,feeland thenchange

.Potters eight step change model can be summarised as:

1.Increase urgency- inspire people to move, make objectives

real and relevant.

2.Build the guiding team- get the right people in place with

the right emotional commitment, and the right mix of skills

and levels.



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CHAPTER-6

10 Principles of Change Management

Tools and techniques to help companies transform quickly

No single methodology fits every company, but there is a set of

practices, tools, and techniques that can be adapted to a variety of

situations. What follows is a Top 10 list of guiding principles for

change management. Using these as a systematic, comprehensive

framework, executives can understand what to expect, how to

manage their own personal change, and how to engage the entire

organization in the process.

1. Address the human side systematically.Any significant

transformation creates people issues. New leaders will be asked to

step up, jobs will be changed, new skills and capabilities must be

developed, and employees will be uncertain and resistant. Dealing

with these issues on a reactive, case-by-case basis puts speed,

morale, and results at risk. A formal approach for managing change

beginning with the leadership team and then engaging key

stakeholders and leaders should be developed early, and adapted

often as change moves through the organization. This demands as

much data collection and analysis, planning, and implementation

discipline as does a redesign of strategy, systems, or processes. The

change-management approach should be fully integrated into



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company is headed in the right direction, and whether they want to

commit personally to making change happen. They will look to the

leadership for answers. The articulation of a formal case for change

and the creation of a written vision statement are invaluable

opportunities to create or compel leadership-team alignment.

Three steps should be followed in developing the case: First,

confront reality and articulate a convincing need for change.

Second, demonstrate faith that the company has a viable future

and the leadership to get there. Finally, provide a road map to guide

behavior and decision making. Leaders must then customize this

message for various internal audiences, describing the pending

change in terms that matter to the individuals.

A consumer packaged-goods company experiencing years of

steadily declining earnings determined that it needed to

significantly restructure its operations instituting, among other

things, a 30 percent work force reduction to remain competitive.

In a series of offsite meetings, the executive team built a brutally

honest business case that downsizing was the only way to keep the

business viable, and drew on the companys proud heritage to craft

a compelling vision to lead the company forward. By confronting

reality and helping employees understand the necessity for change,

leaders were able to motivate the organization to follow the new

direction in the midst of the largest downsizing in the companys



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history. Instead of being shell-shocked and demoralized, those who

stayed felt a renewed resolve to help the

5. Create ownership.Leaders of large change programs must

overperform during the transformation and be the zealots who

create a critical mass among the work force in favor of change. This

requires more than mere buy-in or passive agreement that the

direction of change is acceptable. It demands ownership by leaders

willing to accept responsibility for making change happen in all of

the areas they influence or control. Ownership is often best created

by involving people in identifying problems and crafting solutions. It

is reinforced by incentives and rewards. These can be tangible (for

example, financial compensation) or psychological (for example,

camaraderie and a sense of shared destiny).

At a large health-care organization that was moving to a shared-

services model for administrative support, the first department to

create detailed designs for the new organization was human

resources. Its personnel worked with advisors in cross-functional

teams for more than six months. But as the designs were being

finalized, top departmental executives began to resist the move to

implementation. While agreeing that the work was top-notch, the

executives realized they hadnt invested enough individual time in

the design process to feel the ownership required to begin

implementation. On the basis of their feedback, the process was

modified to include a deep dive. The departmental executives



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worked with the design teams to learn more, and get further

exposure to changes that would occur. This was the turning point;

the transition then happened quickly. It also created a forum for

top executives to work as a team, creating a sense of alignment and

unity that the group hadnt felt before.

6. Communicate the message.Too often, change leaders make the

mistake of believing that others understand the issues, feel the

need to change, and see the new direction as clearly as they do. The

best change programs reinforce core messages through regular,

timely advice that is both inspirational and practicable.

Communications flow in from the bottom and out from the top, and

are targeted to provide employees the right information at the right

time and to solicit their input and feedback. Often this will require

over communication through multiple, redundant channels.

In the late 1990s, the commissioner of the Internal Revenue

Service, Charles O. Rossotti, had a vision: The IRS could treat

taxpayers as customers and turn a feared bureaucracy into a

world-class service organization. Getting more than 100,000

employees to think and act differently required more than just

systems redesign and process change. IRS leadership designed and

executed an ambitious communications program including daily

voice mails from the commissioner and his top staff, training

sessions, videotapes, newsletters, and town hall meetings that

continued through the transformation. Timely, constant, practical



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end-state or desired culture, and devising detailed plans to make

the transition.

Company culture is an amalgam of shared history, explicit values

and beliefs, and common attitudes and behaviors. Change

programs can involve creating a culture (in new companies or those

built through multiple acquisitions), combining cultures (in

mergers or acquisitions of large companies), or reinforcing cultures

(in, say, long-established consumer goods or manufacturing

companies). Understanding that all companies have a cultural

center the locus of thought, activity, influence, or personal

identification is often an effective way to jump-start culture

change.

A consumer goods company with a suite of premium brands

determined that business realities demanded a greater focus on

profitability and bottom-line accountability. In addition to

redesigning metrics and incentives, it developed a plan to

systematically change the companys culture, beginning with

marketing, the companys historical center. It brought the

marketing staff into the process early to create enthusiasts for the

new philosophy who adapted marketing campaigns, spending

plans, and incentive programs to be more accountable. Seeing

these culture leaders grab onto the new program, the rest of the

company quickly fell in line.



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9. Prepare for the unexpected.No change program goes

completely according to plan. People react in unexpected ways;

areas of anticipated resistance fall away; and the external

environment shifts. Effectively managing change requires continual

reassessment of its impact and the organizations willingness and

ability to adopt the next wave of transformation. Fed by real data

from the field and supported by information and solid decision-

making processes, change leaders can then make the adjustments

necessary to maintain momentum and drive results.

A leading U.S. health-care company was facing competitive and

financial pressures from its inability to react to changes in the

marketplace. A diagnosis revealed shortcomings in its

organizational structure and governance, and the company decided

to implement a new operating model. In the midst of detailed

design, a new CEO and leadership team took over. The new team

was initially skeptical, but was ultimately convinced that a solid

case for change, grounded in facts and supported by the

organization at large, existed. Some adjustments were made to the

speed and sequence of implementation, but the fundamentals of

the new operating model remained unchanged.

10. Speak to the individual.Change is both an institutional

journey and a very personal one. People spend many hours each

week at work; many think of their colleagues as a second family.

Individuals (or teams of individuals) need to know how their work



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will change, what is expected of them during and after the change

program, how they will be measured, and what success or failure

will mean for them and those around them. Team leaders should be

as honest and explicit as possible. People will react to what they see

and hear around them, and need to be involved in the change

process. Highly visible rewards, such as promotion, recognition,

and bonuses, should be provided as dramatic reinforcement for

embracing change. Sanction or removal of people standing in the

way of change will reinforce the institutions commitment.

Most leaders contemplating change know that people matter. It is

all too tempting, however, to dwell on the plans and processes,

which dont talk back and dont respond emotionally, rather than

face up to the more difficult and more critical human issues. But

mastering the soft side of change management neednt be a

mystery.



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CHAPTER-7

Change Management features and benefits

Change Management helps you manage, audit and coordinate

simple and complex change projects across your IT environment.

You can fully customize the flow of activities in a change workflow

and ensure that tasks are completed in the right order by the right

people.

Change Management is a process-based tool to address the domain

of change management as defined by ITIL. Using the flexible

capabilities of this tool, you can manage change in an orderly,

efficient way. You can:

Design and implement efficient procedures for the

distribution and installation of changes to IT systems.

Ensure that the configuration items (CIs) being changed are

traceable and secure.

Create RFC types that represent the kinds of changes that

occur in your environment.

Create process workflow templates that contain the specific

steps that are required for your RFC types.

Assign roles to ensure that a change process workflow is

started, managed, and implemented by the right people in

your organization.



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If you have Release Process Manager installed, coordinate

between the change and release processes to assign RFCs to

releases.

Plan your change implementations to include specific tasks

that are appropriate for each change.

For every CI that is being changed, view a timeline of the

change, along with information about the associated RFC and

the impact of the change on business systems, business

applications, and service-level agreements (SLAs).

Verify change history for audit and compliance purposes.

Properly assess the impact of a change.

Achieve complete visibility into which CIs have changed

The change process begins when a Change Requester submits an

RFC. A Change Manager accepts and categorizes the new RFC,

applying a process workflow template to organize and manage the

workflow. The workflow consists of activities, each of which

contains one or more tasks.

The following figure illustrates the change process and provides

basic information about the roles that are involved in each step.



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Processworkflowtemplates

When a newly submitted RFC is accepted and categorized, the

Change Manager who performs this step associates a process

workflow template with the change. This template sets forth

the activities and tasks that are required to complete the

change.

RFCStates

As an RFC progresses through the activities and tasks of the

http://publib.boulder.ibm.com/infocenter/tivihelp/v10r1/topic/com.ibm.ccmdb.doc/chm/c_chm_proctemplates.htmlhttp://publib.boulder.ibm.com/infocenter/tivihelp/v10r1/topic/com.ibm.ccmdb.doc/chm/c_chm_rfcstates.htmlhttp://publib.boulder.ibm.com/infocenter/tivihelp/v10r1/topic/com.ibm.ccmdb.doc/chm/c_chm_proctemplates.htmlhttp://publib.boulder.ibm.com/infocenter/tivihelp/v10r1/topic/com.ibm.ccmdb.doc/chm/c_chm_rfcstates.html


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workflow, it changes statewhen key actions, such as

acceptance, approval, and implementation, are performed.

These topics list and describe RFC states.

t's said that the only constant in the world is change. One can make a

great plan, but you can't account for every potential change that may

occur. The longer your project is, the more likely one'll be dealing with

changes. Since it can't predict every change, the best that one can do is

that manage the changes that do happen.

There are three aspects of change that can occur on a project.

7.1. Scope change



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This is the most important change to manage. Scope is defined at two

levels -- high-level scope describes the boundaries of the project and the

major deliverables to be built; Low-level scope is defined through your

approved requirements.

The purpose of scope change management is to identify change and

manage it effectively. It also protects the project team from changes made

after the commitments to schedule and budget are agreed to. In other

words, the project team committed to a deadline and budget based on

the high-level and detailed scope definition. If the deliverables change

during the project (and usually this means that the client wants

additional items), the estimates for cost, effort, and duration may no

longer be valid. If the sponsor agrees to include the new work into the

project scope, the project manager has the right to expect that the

current budget and deadline will be modified (usually increased) to reflect

this additional work. This process ultimately brings the appropriate

information to the project sponsor and allows the sponsor to decide if the

modification should be approved based on the business value and the

impact to the project in terms of cost and schedule.

7.2. Configuration change.

Configuration management is the the identification, tracking and

managing of all the assets of a project, and the characteristics (metadata)

of the assets. (In some organizations this process is more narrowly



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defined to mean only the management of the physical assets.) In most

projects, configuration management doesn't come into play. However if

your project uses or builds a large number of components, parts,

artifacts, equipment, and so on, configuration change management could

be very important.

7.3. All other changes.

Your project may experience changes that don't necessarily fall under

scope change management or configuration management. These changes

can be grouped into a general change management category. For

instance, let's say one of your team members leaves and needs to be

replaced. This would not be an example of scope change or configuration

change. It's a general change. In this case, you may need to document

the fact that a resource change occurred, determine the impact of the

change, and put a plan in place to manage the change. In many respects,

you'll follow a similar process to that of a scope change request.

One of the key differences between general change management and

scope change management is that you expect that if a scope change is

requested and approved, you will change your budget and schedule to

accommodate the change. You should not have that same expectation for

non-scope related changes. For example, in the example above when a

team member needed to be replaced, there was definitively a change, and

there will probably be an impact on the project. However, there is no

expectation that this change will result in an approved schedule or

budget change.



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As a project manager, you should focus on making sure that you manage

scope change, which is a primary culprit when projects have problems.

However, you should be aware that your project may need to have a

configuration management and general change management process as

well. Managing all these aspects of change may save you countless hours

of trouble.

The six levers of change

Markets & customers

Products & services

Organisation

Processes

People & culture

Technology

So, to the six organisational dimensions.

Broadly, there are six dimensions to any organisation

- Products and services

- Markets & Customers

- Organisation

- People and culture

- Processes

- Technology / systems

So far so simple but, what is often overlooked is that change in one

dimension will

usually lead to change in one or more of the other dimensions.



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In an IT implementation, technology, as a lever of change, must interact

with all

others in order to achieve sustainable performance improvements over

the long

term.

A system implementation will come up against a companys culture. A

technology

project on the scale of a company-wide Oracle or SAP implementation is

not just a

technical event, it is a cultural event.

Guiding principles of managing people through change

Use all the levers of change

Understand how people will respond to change

Summon a strong mandate and build a powerful

case for change

Know your stakeholders

Communicate

Involve people

Lead

Build skills

In the time available, I think these headings broadly cover the areas you

simply have to have

covered when thinking about the people dimension of change projects.

The areas are:

1. Use all the levers of change. Technology is only one lever of

organisational change. I will talk



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about the other five levers and how they are all pretty much

interdependent.

2. Understand how people respond to change. I will talk about how

individuals respond to change,

based on research carried out into bereavement counselling, now theres

one to look forward to. Just

knowing how people might react is a significant step in managing that

reaction more effectively.

3. Summon a strong mandate and build the case for change. I will talk

about the importance of drive

and focus, and of actually selling the need for change to those who will

be affected by it.

4. Stakeholder management. I will talk about who they might be, and

present a model for tracking

and managing them throughout the lifecycle of the project.

5. Communicate. Speaks for itself but we will look at the appropriateness

of some of the methods in

more detail.

6. Involvement. The holy grail of change managers.

7. Leadership. Without this, I think youll agree, projects are sunk.

8. Skills. A run through of the importance of skilling people up, not just

technically, but

behaviourally too.

The six levers of change

Markets & customers

Products & services



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Organisation

Processes

People & culture

Technology

So, to the six organisational dimensions.

Broadly, there are six dimensions to any organisation

- Products and services

- Markets & Customers

- Organisation

- People and culture

- Processes

- Technology / systems

So far so simple but, what is often overlooked is that change in one

dimension will

usually lead to change in one or more of the other dimensions.

In an IT implementation, technology, as a lever of change, must interact

with all

others in order to achieve sustainable performance improvements over

the long

term.

A system implementation will come up against a companys culture. A

technology

project on the scale of a company-wide Oracle or SAP implementation is

not just a

technical event, it is a cultural event.



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CHAPTER-8

QUESTIONNAIRE(Data collected would be kept confidential and used for my survey

only)

1.How much number of employees is working here?

2.How you make the division of employee?

3.Have you used change management system in Religare?

4.What is the importance of change management system in

Religare

5.What are the modern methods of change management

system in Religare?

6.What are the procedures or process of evaluation?7.Define the impact of change management system in

productivity?

8.Is it costlier for your organization?

9.Have you adopt any new innovative methods for change

management system?

10.Are the employees satisfied by the change management

methods used by your organization?



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CHAPTER-9

CONCLUSION:

9.1 SuggestionforChange Management:

Build your companys values into your form.

Assure ongoing communication during development.

Train all employees.

Use the result.

Monitor and revise the program.



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9.2 FINDINGS

By evaluating the change management methods of Religare. We found

that change management carried by the organization Religare has proved

to be beneficial for increasing the productivity of the organization. They

used different methods of performance appraisal and mostly used

traditional methods of change management . The increasing number of

productivity and man power of the organization it is due to change

management methods. They design good change management methods

according to work culture of their organization.



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9.3CONCLUSION

change management carried by the organization Religare has

proved to be beneficial for increasing the productivity of the

organization. The different types of change management used in the

organization and different incentives scheme provided to the

organization under change management has led to boost the activity

the employees there by increasing the production of the organization.

As change management method is the best and effective evolution tool

to evaluate the performance of employee of any organization so

Religare also use change management methods to evaluate its

employee. change management is a means of telling a subordinate

how he is doing and a suggesting needed change in his behavior,

attitude, skills or job knowledge letting him know where he stands

with the boss and is also being increasingly used as a basis for the

coaching and counseling of the individual by the supervisors.



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Bibliography

Books Referred:

Journal

Article about Performance Appraisal system published by

times of India

Human Resource Book

Companys Manuals

Study Book of ICFAI

Web Portals Visited:

www.mahanadicoal.nic.in

www.google.co.in

www.wikipedia.com
http://www.google.co.in/http://www.google.co.in/

7. Religare Securities.doc

Documents

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