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1

Unit 1
Organizational Change

2

Unit 1. Organizational Change
Content
• Planned organizational change
• Change agents
• Dynamics of resistance to change
• Planned change
• Quality work life

3

Organizational Development-(OD)
• Organization development is the applied
behavioral science discipline dedicated to
improving organizations and the people in
them through the use of the theory and
practice of planned change

4

Organizational Development- OD
Meaning
• The process for teaching people how to solve the
problems take advantage of opportunities and learn to
do that better and better overtime
• A collection of change methods that try to improve
organizational effectiveness and employee well being
• A systematic process for applying behavioural science
principles and practices in organizations to increase
individual and organizational effectiveness

5

Organizational Development- OD
Introduction
• The field is based on knowledge from behavioral
science disciplines such as psychology, social
psychology, sociology, anthropology, system theory,
organizational behaviour, organizational theory and
management
• OD practitioners are consultant trained in the theory
and practice of organization development with
knowledge from the underlying behavioral sciences
• OD programs are long term, planned sustained efforts

6

Organizational Development- OD
Goals
• Two major goals of OD programs are –
1. To improve the functioning of individuals,
teams, and total organizational
2. To teach organizational members how to
continuously improve their own functioning

7

Organizational Development- OD
Deals with..
• OD deals with the gamut of ‘people problems’, ‘work
system problems,’ in organization such as-
• Poor morale, low productivity, poor quality, inter
personal conflict, inter group conflict, unclear in
appropriate goals, in appropriate leadership styles,
poor team performance, in appropriate organization
structure, poorly designed task, inadequate response
to environmental demands, poor customer relations,
inadequate alignment among the organizations
strategy, structure, culture and process etc.,

8

Organizational Development- OD
Deals with..
• In case individuals, teams and organizations
are not realizing their potential, OD can
improve the situation

9

Forces of change
• Nature of workforce
• Technology
• Economic shocks
• Competition
• Social trends
• World politics

10

Planned change,
Resistance to change
• Planned change: Change activities that are
intentional and goal oriented
• Change agents: the individual/ group acts as
catalysts and assume as responsible for
managing change activities

11

Organizational Change
Managers must be
prepared to handle both
Planned Change -
change resulting from
a deliberate decision to
alter the organization
Unplanned Change -
change that is imposed
on the organization and
is often unforeseen

12

Resistance to Change
• Fear of the unknown
• Fear of loss
• Fear of failure
• Disruption of interpersonal relationships
• Personality conflicts
• Politics
• Cultural assumptions and values

13

External Forces for Change
Globalization Workforce
Diversity
Changing
Technology
Ethical
Behavior

14

Mixed gender at
work place
Workforce will
grow in diversity
Globalization
Workforce
Diversity
Organizations must rethink
the most efficient ways to
Use resources
Disseminate/gather information
Develop people
Mental
Change
Structural
Change
&

15

Technological
Change
Changes
in work
relationships
Changes in
organizational
structure
Treatment
Ethical
Other Organizations
Customers
Environment
Society
Changing
Technology
Ethical
Behavior

16

Dealing with
Resistance to Change
• Communication
– details
– rationale
• Participation in the process
– ownership
– commitment
• Empathy and support

17

Dealing with
Resistance to change- contd
• Resistance to change is positive, if it leads to
open discussion and debate
• if seen resistance as threat can lead to
dysfunctional conflict
• Resistance doesn’t necessarily surface in
standardized ways
• It can be implicit, immediate or deferred
• Change agents need to think through full
implications- rapid/ transformational change

18

Reactions to Change & Managerial Interventions
Reaction
Disengagement
psychological withdrawal from
change
Disidentification
feeling that one’s
identity is being
threatened by change
Disenchantment
feeling negativity or
anger toward a change
Disorientation
feelings of loss and confusion due to
change
Expression
Withdrawal
Sadness, worry
Anger
Confusion
Managerial Intervention
Confront, identify
Explore, transfer
Neutralize, acknowledge
Explain, plan

19

Overcoming resistance to change
• Education and communication
• Participation
• Building support and commitment
• Develop positive relationships
• Implementing changes fairly
• Manipulation and cooptation
• Selecting people who accept change
• Coercion

20

Politics of change
• Major impediments of change: long years of
service in the organization

21

Kurt Lewin -1890-1947
A German-American
psychologist, known as
one of the modern
pioneers of social,
organizational, and
applied psychology in the
United States

22

Lewin’s Three Step Change Model

23

Lewin’s Three Step Change Model
1. Unfreezing - involves encouraging individuals
to discard old behaviors by shaking up the
equilibrium state that maintains the status quo
2. Movement - new attitudes, values, and
behaviors are substituted for old ones
3. Refreezing - involves the establishment of new
attitudes, values, and behaviors as the new
status quo

24

Applying Lewin’s Model to the
Organization
• Unfreezing: the organization eliminates
rewards for current behavior
• Moving: the organization initiates new options
and explains their rationale
(justification/logic)
• Refreezing: organizational culture & formal
reward systems encourage the new behaviors

25

John Kotter
• Harvard Business
School
• Built on Lewin’s three-
step model
• He began listing
common failures that
manager’s make when
trying to initiate
change

26

Kotter’s eight step plan for
implementing change
1. Establish a sense of urgency by creating a compelling reason for why change is
needed
2. From a coalition (union) with enough power to lead 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

27

Quality Work life-QWL
Meaning
• Refers to the overall quality of an individual's
life
• Used to describe the broader job-related
experience an individual has

28

Quality Work life
Definition
• 1. “QWL is a process of work organisations which
enable its members at all levels to actively;
participate in shaping the organizations
environment, methods and outcomes. This value
based process is aimed towards meeting the twin
goals of enhanced effectiveness of organisations
and improved quality of life at work for
employees. ”
• —The American Society of Training and
Development

29

Quality Work life
Definition
• “The overriding purpose of QWL is to change
the climate at work so that the human-
technological-organisational interface leads to
a better quality of work life.”
• -Luthans

30

Quality Work life
• QWL is concerned with taking care of the
higher-order needs of employees in addition
to their basic needs. The overall climate of
work place is adjusted in such a way that it
produces more humanized jobs.

31

Quality Work life
• QWL is viewed as that umbrella under which
employees feel fully satisfied with the working
environment and extend their wholehearted
cooperation and support to the management
to improve productivity and work environent.

32

Quality Work life
Benefits
• i. Positive employee attitudes toward their
work and the company
• ii. Increased productivity and intrinsic
motivation
• iii. Enhanced organizational effectiveness and
competitive advantage

33

To improve the QWL:
1. Recognition of work life issues:
• Issues related to work life should be
addressed by the company to deal with the
problems of empoyees-why people are not
happy, do they need training, why employee
morale is poor and numerous other issues
• If these are addressed properly, they will be
able to build, “People-Centred Organisations”.

34

To improve the QWL:
2. Commitment to improvement:
• QWL can be improved if the staff is committed to
improvement in productivity and performance
• This issue can be taken by the board through staff
recognition and support programmes. Board should
prepare QWL reports on periodic basis to boost the system
• They can also introduce reward system which will be of
help to them.

35

To improve the QWL:
3. Quality of work life teams:
4. Training to facilitators:
5. Conduct focus groups:
6. Analyse information from focus group:
7. Identify and implement improvement
opportunities:
8.Flexible work hours:
9. Autonomy to work:

36

Quality Work life
• Hackman and Oldham (1976) described as
psychological growth needs as a significant
variable of Quality of working life. There are five
needs are identified :
1. Skill variety
2. Task Identity
3. Task significance
4. Autonomy
5. Feedback

37

Quality work life- Applications
• Regular assessment of Quality of Working Life can potentially
provide organisations with important information about the welfare
of their employees, such as job satisfaction, general well-being,
work-related stress and the home-work interface
• The National Institute of Clinical Excellence (NICE) emphasises the
core role of assessment and understanding of the way working
environments pose risks for psychological wellbeing through lack of
control and excessive demand.
• The emphasis placed by NICE on assessment and monitoring
wellbeing springs from the fact that these processes are the key
first step in identifying areas for improving quality of working life
and addressing risks at work

38

Quality work life-activities and
concerns
• Nadler and Lawler list the types of QWL activities as participative
problem-solving, work restructuring, innovative reward systems and
improving the work environment.
• Davis and Newstrom could perceive a wide range of QWL activities
as open communications, equitable reward systems, a concern for
employee-job security, and participation in job designs
• According to him, emphasis should be placed on employee skill
development, the reduction of occupational stress and the
development of more co-operative labour management relations.

39

Thank You!!

More Related Content

Org. change &development/ od

  • 2. Unit 1. Organizational Change Content • Planned organizational change • Change agents • Dynamics of resistance to change • Planned change • Quality work life
  • 3. Organizational Development-(OD) • Organization development is the applied behavioral science discipline dedicated to improving organizations and the people in them through the use of the theory and practice of planned change
  • 4. Organizational Development- OD Meaning • The process for teaching people how to solve the problems take advantage of opportunities and learn to do that better and better overtime • A collection of change methods that try to improve organizational effectiveness and employee well being • A systematic process for applying behavioural science principles and practices in organizations to increase individual and organizational effectiveness
  • 5. Organizational Development- OD Introduction • The field is based on knowledge from behavioral science disciplines such as psychology, social psychology, sociology, anthropology, system theory, organizational behaviour, organizational theory and management • OD practitioners are consultant trained in the theory and practice of organization development with knowledge from the underlying behavioral sciences • OD programs are long term, planned sustained efforts
  • 6. Organizational Development- OD Goals • Two major goals of OD programs are – 1. To improve the functioning of individuals, teams, and total organizational 2. To teach organizational members how to continuously improve their own functioning
  • 7. Organizational Development- OD Deals with.. • OD deals with the gamut of ‘people problems’, ‘work system problems,’ in organization such as- • Poor morale, low productivity, poor quality, inter personal conflict, inter group conflict, unclear in appropriate goals, in appropriate leadership styles, poor team performance, in appropriate organization structure, poorly designed task, inadequate response to environmental demands, poor customer relations, inadequate alignment among the organizations strategy, structure, culture and process etc.,
  • 8. Organizational Development- OD Deals with.. • In case individuals, teams and organizations are not realizing their potential, OD can improve the situation
  • 9. Forces of change • Nature of workforce • Technology • Economic shocks • Competition • Social trends • World politics
  • 10. Planned change, Resistance to change • Planned change: Change activities that are intentional and goal oriented • Change agents: the individual/ group acts as catalysts and assume as responsible for managing change activities
  • 11. Organizational Change Managers must be prepared to handle both Planned Change - change resulting from a deliberate decision to alter the organization Unplanned Change - change that is imposed on the organization and is often unforeseen
  • 12. Resistance to Change • Fear of the unknown • Fear of loss • Fear of failure • Disruption of interpersonal relationships • Personality conflicts • Politics • Cultural assumptions and values
  • 13. External Forces for Change Globalization Workforce Diversity Changing Technology Ethical Behavior
  • 14. Mixed gender at work place Workforce will grow in diversity Globalization Workforce Diversity Organizations must rethink the most efficient ways to Use resources Disseminate/gather information Develop people Mental Change Structural Change &
  • 15. Technological Change Changes in work relationships Changes in organizational structure Treatment Ethical Other Organizations Customers Environment Society Changing Technology Ethical Behavior
  • 16. Dealing with Resistance to Change • Communication – details – rationale • Participation in the process – ownership – commitment • Empathy and support
  • 17. Dealing with Resistance to change- contd • Resistance to change is positive, if it leads to open discussion and debate • if seen resistance as threat can lead to dysfunctional conflict • Resistance doesn’t necessarily surface in standardized ways • It can be implicit, immediate or deferred • Change agents need to think through full implications- rapid/ transformational change
  • 18. Reactions to Change & Managerial Interventions Reaction Disengagement psychological withdrawal from change Disidentification feeling that one’s identity is being threatened by change Disenchantment feeling negativity or anger toward a change Disorientation feelings of loss and confusion due to change Expression Withdrawal Sadness, worry Anger Confusion Managerial Intervention Confront, identify Explore, transfer Neutralize, acknowledge Explain, plan
  • 19. Overcoming resistance to change • Education and communication • Participation • Building support and commitment • Develop positive relationships • Implementing changes fairly • Manipulation and cooptation • Selecting people who accept change • Coercion
  • 20. Politics of change • Major impediments of change: long years of service in the organization
  • 21. Kurt Lewin -1890-1947 A German-American psychologist, known as one of the modern pioneers of social, organizational, and applied psychology in the United States
  • 22. Lewin’s Three Step Change Model
  • 23. Lewin’s Three Step Change Model 1. Unfreezing - involves encouraging individuals to discard old behaviors by shaking up the equilibrium state that maintains the status quo 2. Movement - new attitudes, values, and behaviors are substituted for old ones 3. Refreezing - involves the establishment of new attitudes, values, and behaviors as the new status quo
  • 24. Applying Lewin’s Model to the Organization • Unfreezing: the organization eliminates rewards for current behavior • Moving: the organization initiates new options and explains their rationale (justification/logic) • Refreezing: organizational culture & formal reward systems encourage the new behaviors
  • 25. John Kotter • Harvard Business School • Built on Lewin’s three- step model • He began listing common failures that manager’s make when trying to initiate change
  • 26. Kotter’s eight step plan for implementing change 1. Establish a sense of urgency by creating a compelling reason for why change is needed 2. From a coalition (union) with enough power to lead 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
  • 27. Quality Work life-QWL Meaning • Refers to the overall quality of an individual's life • Used to describe the broader job-related experience an individual has
  • 28. Quality Work life Definition • 1. “QWL is a process of work organisations which enable its members at all levels to actively; participate in shaping the organizations environment, methods and outcomes. This value based process is aimed towards meeting the twin goals of enhanced effectiveness of organisations and improved quality of life at work for employees. ” • —The American Society of Training and Development
  • 29. Quality Work life Definition • “The overriding purpose of QWL is to change the climate at work so that the human- technological-organisational interface leads to a better quality of work life.” • -Luthans
  • 30. Quality Work life • QWL is concerned with taking care of the higher-order needs of employees in addition to their basic needs. The overall climate of work place is adjusted in such a way that it produces more humanized jobs.
  • 31. Quality Work life • QWL is viewed as that umbrella under which employees feel fully satisfied with the working environment and extend their wholehearted cooperation and support to the management to improve productivity and work environent.
  • 32. Quality Work life Benefits • i. Positive employee attitudes toward their work and the company • ii. Increased productivity and intrinsic motivation • iii. Enhanced organizational effectiveness and competitive advantage
  • 33. To improve the QWL: 1. Recognition of work life issues: • Issues related to work life should be addressed by the company to deal with the problems of empoyees-why people are not happy, do they need training, why employee morale is poor and numerous other issues • If these are addressed properly, they will be able to build, “People-Centred Organisations”.
  • 34. To improve the QWL: 2. Commitment to improvement: • QWL can be improved if the staff is committed to improvement in productivity and performance • This issue can be taken by the board through staff recognition and support programmes. Board should prepare QWL reports on periodic basis to boost the system • They can also introduce reward system which will be of help to them.
  • 35. To improve the QWL: 3. Quality of work life teams: 4. Training to facilitators: 5. Conduct focus groups: 6. Analyse information from focus group: 7. Identify and implement improvement opportunities: 8.Flexible work hours: 9. Autonomy to work:
  • 36. Quality Work life • Hackman and Oldham (1976) described as psychological growth needs as a significant variable of Quality of working life. There are five needs are identified : 1. Skill variety 2. Task Identity 3. Task significance 4. Autonomy 5. Feedback
  • 37. Quality work life- Applications • Regular assessment of Quality of Working Life can potentially provide organisations with important information about the welfare of their employees, such as job satisfaction, general well-being, work-related stress and the home-work interface • The National Institute of Clinical Excellence (NICE) emphasises the core role of assessment and understanding of the way working environments pose risks for psychological wellbeing through lack of control and excessive demand. • The emphasis placed by NICE on assessment and monitoring wellbeing springs from the fact that these processes are the key first step in identifying areas for improving quality of working life and addressing risks at work
  • 38. Quality work life-activities and concerns • Nadler and Lawler list the types of QWL activities as participative problem-solving, work restructuring, innovative reward systems and improving the work environment. • Davis and Newstrom could perceive a wide range of QWL activities as open communications, equitable reward systems, a concern for employee-job security, and participation in job designs • According to him, emphasis should be placed on employee skill development, the reduction of occupational stress and the development of more co-operative labour management relations.

Editor's Notes

  1. Change Agent - the individual or group who undertakes the task of introducing and managing a change in an organization