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SNT7

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CHAPTER

SEVEN

ORGANIZATIONAL
CULTURE & CHANGE
ORGANIZATIONAL CULTURE
A shared pattern of beliefs, assumptions and
expectations held by organization members

The organization’s personality


The environment, norms, roles, values
and physical cues of an organization
HOW CULTURE BEGINS
1) Founders hire and keep employees who think and feel the same way they do
2) Founders indoctrinate and socialize these employees to their way of thinking
3) The founders’ own behavior acts as a role model for employees to adapt

FUNCTIONS OF CULTURE
1) Distinguishes one organization from the others
2) Conveys a sense of identity for its members
3) Serves as a sense-making and control mechanism
4) Generates commitment to something larger than self-interest
HOW EMPLOYEES LEARN CULTURE
STORIES
Narratives of significant events or actions of people that convey
the spirit of the organization
RITUALS
Repetitive sequences of activities that express and reinforce the
values of the organization
SYMBOLS
Physical assets, logo, color that distinguishes the organization
LANGUAGE
Acronyms and jargon of terms, phrases and words that has
specific meanings to an organization
KEEPING CULTURE ALIVE
SELECTION
Selecting candidates that have the criteria to fit in the
organization’s culture
Provide information to candidates about the organization

TOP MANAGEMENT
Top management as the role model and influencer to
establish behavioral norms that are adopted by others

SOCIALIZATION
The interaction process that helps new employees adapt
to the organization’s culture
ORGANIZATIONAL CHANGE
Organizations have to change from time to time due to internal (expanding
products, change in management etc) and external factors (technology,
politics, social trends, economy factors etc).

RESISTANCE TO CHANGE
1) Fear of the unknown
2) Reluctance to change the present way of doing things
3) Insecurity and the fear of failure or being obsolete
4) Change associated to just doing more work
OVERCOMING RESISTANCE TO CHANGE

METHOD HOW TO USE


Communicate the desired changes and the reason for the
Education changes
Involve potential resisters in designing and implementing the
Participation change
Facilitate Provide training and emotional/technical support
Offer incentives for making the change through discussions
Negotiation and consultation
Threaten with punishment or loss of promotion opportunities,
Coercion or transfer for those who cannot or will not change.
LEWIN’S THREE-STEP CHANGE MODEL

UN-FREEZING MOVEMENT RE-FREEZING


Efforts to overcome New attitudes, values Stabilizing a change
the pressures of both and behavior are by balancing driving
individual resistance substituted for the old and restraining forces
and group conformity ones. Training are
provided to assist in
changing the
employees to fit the
desired change
KOTTERS’S 8) Make It Stick
8-STEP PLAN IMPLEMENT AND SUSTAIN
CHANGE
(For Implementing Change) 7) Don’t Let Up

6) Create Short Term Wins

ENGAGE AND ENABLE


CHANGE 5) Enable Action

4) Communicate Buy-In

3) Get The Vision Right

2) Build Guiding Teams CREATE CLIMATE FOR


CHANGE

1) Increase Urgency
KOTTER’S 8-STEP PLAN
1) Establish a sense of urgency by creating a compelling reason for why
change is needed
2) Form a coalition with enough power to lead the change
3) Create a new vision to direct the change and strategies for achieving the
vision
4) Communicate the vision throughout the organization
5) Empower others to act on the vision by removing barriers to change and
encouraging risk taking and creative problem solving
6) Plan for, create, and reward short-term “wins” that move the organization
toward the new vision
7) Consolidate improvements, reassess changes, and make necessary
adjustments in the new programs
8) Reinforce the changes by demonstrating the relationship between new
behaviors and organizational success.

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