Change Mgmt Launchpad)

8/6/2019 Change Mgmt Launchpad)

1/17

Dr. B. K. Mukherjee / [email protected] 1

Launchpad - PGeMBA

Change Management

Prof. Dr. B. K. MukherjeeBE(Chem), DMS, Ph.D(Bus. Admin.)

MIE, CE(I), LMIIChE, MIMA


2/17


Change

The only constant feature in life is Change.

Change is necessary for life; in fact, change is allaround people in the seasons, in theirsocialenvironment, in theirbiological processes, and in

theirwork organizations.

There is nothing in a caterpillarthat tells you its goingto be a butterfly. -- Buckminster Fuller

Beginning with the first few moments of life, a personlearns to meet change by being adaptive. A personsvery first breath depends upon the ability to adaptfrom one environment to another.


3/17


The Nature of Change

Changes have been taking place overthousands ofyears, but the present day changes have been more

rapid, more complex, more turbulent and more

unpredictable than ever before.

Therefore, the question is not whether what is current

will become obsolete, but how soon.

The ever-accelerating rate of Change : Future Shock

by Alvin Toffler(1984). Society is in a state of flux.

Kenneth Boulding : concept of the 800th lifetime.

Inability to cope results in dysfunctionalbehaviourin

individuals.


4/17


Quotable Quotes

There are only two things certain in life:Death and Taxes -- English

Humorist

However, there is a third : Change

Change alone is eternal, perpetual andimmortal. -- Arthur Schopenhauer

There is nothing more powerful than an ideawhose time has come.

-- Victor Hugo


5/17


The 800th Lifetime It is estimated that Modern Man is about

50,000 years old. Assuming an average life-span of 62 years, this is his 800th lifetime.

Out of these 800, Man has spent fully 650lifetimes in the caves! (approx. 40,000 years).

Written language: 6 lifetimes; The printed word (Gutenberg): 4 lifetimes; Accurate measurement of time (Pendulum): 3

lifetimes; Use ofPower(Steam/Electricity): 2 lifetimes; Everything elseduring last lifetime.


6/17


Causes of ChangeSome of the notable changes that have been witnessed in the last

decade or so may be attributed to:

Globalization of Markets: Companies competing in internationalmarkets and local companies exposed to foreign competition, eg,General Motors, the worlds biggest carmaker and Daimler-Chrysler, the global No.5 carmaker are jointly working on newtechnologies to develop hybrid cars for fuel savings and reducedemissions to combat Japanese companies like Toyota and Honda.

Indian auto mfrs (Premier, HindMotor, Tata Motors) have alsoreacted in their own ways.

Technological changes: influencing both products andprocesses, eg. Warehouse-sized computer of the 1940s can todaybe housed on a silicon chip the size of a babys fingernail. CAD,CAM, Optical fibres, etc. have revolutionised design,

manufacturing, communication, and so on, eg. NOKIA, Intel. Changing Customer preferences:Less brand loyalty. More

choosy, more demanding and betterinformed. Media explosion isdriving needs and desires of customers who now have moreoptions available before them (Shops/Stores v/s Malls).


7/17Dr. B. K. Mukherjee / [email protected] 7

Causes of Change (contd.) Political realignments:changes in political scenarios and

formation ofeconomic blocks, eg. break-up of former USSR,

formation of EU and emergence of China as economic

superpower.

Changing Demographics: leading to a decline in work ethics,

more younger people, significant socio-economic changes

(nuclear, one-child families, changing sexual and family mores,

greater number ofwomen in the workforce), and so on.

Organizational restructuring: more than ever before.

Organizations are being downsized, resized, flattened, and so

on. Alliances are being formed and mergers are on the rise.

Organizations and employees are under constant pressure to

masternew challenges, use new tools, and keep up withchanging systems and technologies.

The list is endless. Change is everywhere, regardless ofcountry,

culture and corporation. It is sweeping through our lives and

institutions whether we want it or not.



What is Change?

In a very general sense, Change is defined as to make or become

different, give or begin to have a different form, eg. Japan in1945 v/s Japan today, Americans trying to learn from Japanesehow to retain competitiveness in global markets.

Change also means dissatisfaction with the old and belief in thenew, because of perceived deficiencies in an existing system

when compared with a better system.Deficiency may also be the inability of a system to respond to

environmental pressures and technological impacts.

Understanding Change: Past successes do not guaranteecontinued success. That makes it imperative for organizations(and individuals) to understand change in all its complexity,

reorganize orrestructure themselves periodically in tune withthe changing business environment.

In an organizational situation, the forces for change may comefrom the external environment, from within the organization, orfrom the individuals themselves.



The Change processKURT LEWINS FIELD FORCE THEORY (1951)

states that organizations may be in a state ofequilibrium, as a result of adynamic balance of forces pushing for change on the one hand and forces

resisting change by trying to maintain the status quo on the other.

In initiating change, the tendency is to increase the driving forces, which

usually also increases resistance by strengthening the resisting forces.

INTERVENTION1. Unfreezing2. Changing

3. Refreezing

Compe

tition

New

technology

Compl a

cenc

y

Fear

Unkno

wn

reason

s

forcha

nge

Lossof

benefit s

orpower

Driving forces

Present stateof equilibrium

New state

Resisting forces

New

po

licy



The Change process (contd.)

KURT LEWINS THREE-STEP CHANGE PROCESS

According to Lewin, successful change can be planned and requires

a) Unfreezing the status-quo orequilibrium state in an organization bycreating motivation for change. The need for change is made soobvious that individuals and teams can easily recognize and acceptit. It can be achieved by increasing the driving forces, which areforces that direct behaviouraway from the status quo, by decreasing

the restraining forces, which are forces that resist change andpush behaviourtoward the status quo, or by combining the twoapproaches.

b) The Change itself, which may occur through assimilationofnewinformation, exposure to new concepts, or development of a differentperspective, thereby leading to adoption ofnew values, attitudes and

behaviourby the individuals or teams..c) Refreezing: The new practices are locked into place by supporting

and reinforcing mechanisms so that they become the new norm, thuspreventing people from reverting back to the old status quo.

Thus, Lewins three-step process treats change simply as a break in theorganizations equilibrium state.



Managing ChangeTo survive and eventually to prosper, an organization must monitor

its external environment and align itselfwith changes that occur,or tend to occur.

There are various ways to respond to the forces of change. One

approach is simply to react to a crisis. Unfortunately, this is

usually not the most effective response.

Another approach is to deliberately plan for, implement and

manage change. This may require new objectives orpolicies,

organizational rearrangements, or a change in leadership style

and organizational culture. Ultimately, this seems to be the core

factorthat separates successful organizations from

unsuccessful ones.

Successful organizations do not believe in changeper se but in

proactive (rather than reactive) change, radical when required,

and reinvent themselves as and when necessary.



Organizational Culture

Just as individuals have personalities, so do organizations. Just as tribal

cultures have totems and toboos that dictate how each member will acttoward fellow members and outsiders, organizations have cultures thatinfluence employee actions toward clients, competitors, bosses, peersand subordinates.

Defn:A system of shared meaning within an organization that determines,in large degree, how employees act.(Robbins and Coulter).

An organizations culture conveys important perceptions, assumptions andnorms governing values, activities and goals it tells employees howthings are done, whats not done, and whats important.

In every organization there are systems orpatterns ofvalues, symbols,rituals, myths and practices that have evolved over time. This culture the way we do things around here -- influences how employees

conceptualize, define, analyse and resolve issues.Culture is something people acquire through livingand from those around:

one is not born with it. Individuals perceive organizational culture on thebasis of what they see, hearorexperience within the organization. Ittakes time and sometimes rather harrowing experiences, eitherpersonal orobserved in the case of others, to acquire this culture.


13/17


Organizational Culture (contd.)THE SOURCE OF CULTURE

Largely based on what has been done before and the degree of successachieved with those endeavours.

The original source of culture usually reflects the vision ormission of the

organizations founders and the biases on how to carry out the idea.

The founders establish the early culture by projecting an image of what the

organization should be. They are not constrained by previous customs

or approaches.

Employees learn culture through Stories, Rituals, Material symbols and

Language/Jargon.

HOW CULTURE AFFECTS MANAGERS

Culture is ofparticular relevance to managers because it constrains what

they can and cannot do and these constrains are rarely explicit. Theyare not written down and hardly ever spoken about. But they exist, eg.

Look busy even if youre not.

If you take risks and fail around here, youll pay dearly for it.

Pedigree is more important than degree.


14/17


15/17


Management of Change

The managers options for change essentially fall into three categories:

In order to successfully manage change, managers must build into theorganization

an awareness of change,

an ability to forecast change, and

an attitude ofwelcoming change.

Structure Departmentalization, chain of comma span of control, job redesign, delegat

structural design, etc.

ProcessesWork methods,

systems,equipments, etc.

AttitudesPerceptions,expectations,

Behaviour, etc.

Organisation


16/17


Management of Change (contd.)Some guidelines for managing change: Experience has shown that change

is more acceptable

when it is understood than when it is not;

when it does not threaten security than when it does;

when those affected have helped create it than when it has been

externally imposed;

when it is carried out rationally and systematically, rather than

erratically or based on personal whims;

when it has been planned/expected than when it is sudden/abrupt;

when it follows a series ofsuccessful changes than when it follows a

series offailures;

when it is inaugurated after the previous change has been assimilated,

than when it is inaugurated during the confusion of some other majorchange;

to people new on the job than to people old on the job;

to people who share in the benefits of change than to those who dont;

if the organization has been trained to accept change.


17/17


Business Process Re-engineering

Change Mgmt Launchpad)

Documents

Transcript of Change Mgmt Launchpad)