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Managing Strategic Change

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MANAGING

STRATEGIC
CHANGE
STRATEGIC CHANGE
MANAGEMENT

• allows companies to carefully and rssponsibly make needed

changes

• it is the process of managing change in a structured, thoughtful

way in order to meet organizational goals, objectives and

missions.
TYPES OF STRATEGIC CHANGE

Strategy
• Restructuring Formulation

• Reengineering
Environmental
• Innovation
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RESTRUCTURING

In some situations, organizations may need to reorganize aspects of

their company to remain competitive. This process is known as

restructuring. These changes often aim to make the organization more

efficient or profitable.
REENGINEERING

When pursuing change through reengineering, organizations focus on

redesigning their business processes and related systems to improve

performance. Business processes represent the tasks that help reach

organizational goals or deliver offerings to customers.


INNOVATION

Organizations can also pursue strategic change through innovation,

which refers to using skills and resources to develop new ideas or

improve existing offerings. This process enables organizations to meet

customers' new and changing demands.


"It is not the strongest or the
most intelligent who will
survive but those who can
best manage change"

Charles Darwin
DIMENSIONS • Content of Change
OF STRATEGIC
• Process of Change
CHANGE
• Context of Change
CONTENT OF CHANGE

This focuses on objectives, purposes, and goals of the strategy. Change


as content looks at organizational parameters before and after an event
in the life of the organization. Here, we try to understand what the
possible antecedents and consequences of the change could have been.
PROCESS OF CHANGE

Change as process is concerned with understanding the actual change as


it unfolds, including the role of the manager as a change agent. It refers
to the way the change in content occurs e.g. the speed, sequence of
activities, decision-making and communication systems deployed, and
the resistance encountered.
CONTEXT OF CHANGE

The context of change is the situation surrounding the organization –


the playing field from where the forces of change emanate and where
the change is accomplished. “
STEPS OF STRATEGIC
CHANGE

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1. Determine the need for change

When pursuing strategic change, an organization must identify what


must change. In some situations, the necessary change may seem
apparent to leaders immediately.
Environmental
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2. Perform a stakeholder analysis

Organizations consist of stakeholders with various interests and roles.

While planning strategic change, you should analyze how it will

impact these different groups.


Environmental
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3. Build support for change

Now that you understand your stakeholders, you can begin building

support for the strategic change you want to make. There are several

methods you may use to accomplish this goal, which involves educating

and motivating others. One way is to create a sense of urgency.


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4. Create a change network

Establishing a change management team or network can help make the


implementation smoother. The team should include individuals who have the
power and skills required to introduce the change. This team makes up part of
a change network, often serving as a liaison between various stakeholders and
Environmental
ensuring that everyone understands the change and its goals.
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5. Prepare a change management plan

Now that you have identified the necessary change and the
individuals to guide its implementation, you can develop a plan and
assign activities. A change management plan provides direction for
your team during this process.
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6. Identify and manage obstacles

The implementation process may not always go exactly as planned. Again,


developing contingency plans can prepare your team to navigate potential
challenges. When you encounter additional obstacles or issues, you need to
stay flexible and adjust your plan as needed. Obstacles may also come in the
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form of resistance from stakeholders.
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7. Evaluate the change

Once your team implements the change, monitor its impacts to determine its
effectiveness. You can compare pre- and post-change processes or situations
to assess the differences. Depending on the change, you may have data to
provide information regarding performance or financial results.
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FORCES OF CHANGE

Changing
customer Political Economic
demands

Global
Technology Government
competition
CHALLENGES OF
IMPLEMENTING
CHANGE
IMPORTANT ASPECT
OF SUCCESSFUL
CHANGE
BEST PRACTICE
CHANGE
MANAGEMENT
PRINCIPLES
• At all times involve and agree support from people within system (e.g.
environment, processes, culture, relationships, behaviours- whether
personal or organizational
• Understand where you/the organization is at the moment (status quo)
• Understand where you want to be, when, why and what the measures
will be for having got there
• Plan development towards above in appropriate achievable
measurable stages
• Communicate, involve, enable and facilitate involvement from
people, as early and openly and as full as possible.
CHANGE -is used to help outline, describe and

MANAGEMENT simplify the process of change


within a business or organization.
MODELS
Any kind of change in an office process can be
disruptive to productivity and employee motivation.
Following a specific plan, whether it’s one method or
a combination of methods, will ensure that your
WHY IS IT employees are all following the same guidelines and
IMPORTANT TO USE?
share the same expectations. A solid plan will also
help you avoid unexpected costs or last-minute
adjustments.
1. Lewin's change management model

Lewin's change management model was developed in the 1940s by Kurt Lewin,
a physicist. His theory of change management involved three steps, a system of
transition that he connected to the likeness he observed in melting ice cubes. He
described organizational change as having three distinct phases: unfreeze, change
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and refreeze.
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2. ADKAR model

This model was created by Jeffrey Hiatt, and his goal with this model was to offer an
effective approach to facilitating change on an individual basis, as oftentimes changes
within a professional organization become less of a focus than the reactions
employees have toward them. Each part of the ADKAR acronym represents how the
model works to initiate change on this individual level: awareness, desire, knowldge,
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ability and reinforcement.
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3. Kotter's 8-step change model

This change management model was developed by John Kotter after he


experienced significant organizational transitions. The model he
developed focuses on the employees experiencing the organizational
Environmental
changes.
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4. Kubler-Ross change curve

Even though this change model is known as "the five stages of grief," it
can be an effective approach to outlining your change processes because
it can break down each stage of transition and how individuals process
change in general. The five stages in this model include: denial, anger,
Environmental
bargaining, depression and acceptance.
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4. Kubler-Ross change curve

Even though this change model is known as "the five stages of grief," it
can be an effective approach to outlining your change processes because
it can break down each stage of transition and how individuals process
change in general. The five stages in this model include: denial, anger,
Environmental
bargaining, depression and acceptance.
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5. McKinsey 7s model

This was initially developed in the 1970s by Thomas Peters and Robert Watermen,
two men at the McKinsey consulting firm. This model illustrates how the different
parts of a business or organization work in tandem. According to this model, there
are seven key elements that every organization possesses. These seven elements
include: strategy, structure, shared values, system, staff, style and skills.
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6. PDCA change management model

This model can also be called "the Deming wheel," or "control cycle." The
PDCA model was developed by William Deming during the 1950s, and its
acronym stands for "plan," "do," "check" and "act," which serves as a
model for a cyclical and continuous implementation of change and
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development.
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7. Nudge theory

This theory is a less structured approach to change that focuses on the


employee’s perspective and encourages employees to make changes for their
own benefit, as well as for the benefit of the company. In this way,
management nudges employees to make changes themselves. This theory also
encourages management to be open to feedback from employees.
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8. Bridges Transitional model

This model was developed by William Bridges and it focuses on the


emotional impact of making changes. The model offers three stages:
endings, neutral zone, new beginnings.
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GROUP 1 REPORTERS

THANK SISON, ANGELI SHANE


SALINAS, JOELLA

YOU! MANGGAD, ELYMAR


PASALO, KRISTINE
BAUTISTA, FRANCHESKA ANDREA

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