Organizational Development & Change Psychology 350J CONTACT INFORMATION: Professor: Office: Phone: Email: Office Hours: Maritza R. Salazar 145 E. 12th Street, Office 2, Claremont, CA 91711 7-3716 Maritza.Salazar@cgu.edu Mondays 9am-11:50am COURSE SCHEDULE: Semester Spring 2016 Meeting day, time: Mondays 9am-11:50am Course Location: COURSE DESCRIPTION: This course is designed to provide students with an in-depth understanding of organizational development and change. Recommending, planning, managing, surviving, and evaluating change are challenges that concern all types of organizations. Given the evolving needs of the workforce, the ability of organizations to gain and maintain a competitive advantage in today’s rapidly changing environmental context relies on the capability to adapt. The objective of this course is to help you develop skills to analyze and address management challenges and opportunities as you lead organizational change externally as a consultant or internally as a manager. We will look at theoretical perspectives on the factors that facilitate and inhibit organizational change. Additionally, you will acquire tools to conduct organizational diagnosis in order to design and develop strategic change programs/interventions. We will discuss topics such as how to enter a site, what the role of a change consultant is, and how to lead the implementation of an organizational change effort. Effectively facilitating organizational change involves different activities, contingent on a variety of organizational and external factors. Special attention will be paid to the organization’s external operating environment and the role of the organization’s strategy and structure. We will also discuss how management and leadership can help to minimize the losses that are often inevitable when change is both necessary and disruptive. COURSE REQUIREMENTS: The format of this class is a combination of lecture, discussion and experiential learning. You must come to class prepared to critically discuss and integrate the material. Our classroom climate should be one that is supportive, inclusive, and conducive to learning. In this class, it is very important to be respectful of others' voices. Each class, you are expected to listen carefully to each other's insights and to offer your own insights into the readings. Our class will be an open 1 learning environment through which our understanding of the issues will become enriched by multiple perspectives. COURSE EVALUATION: Grades in this class will be assigned based on class participation (10%), individual written work (10%), team cases (20%), organizational analysis paper & presentation (30%) and midterm (15%) and final exam (15%). Class participation. This class will be run like a seminar and participation will count for a large percentage of your grade (10%). As such, it is critical that you carefully read all of the assigned articles and come to class prepared to offer your own insights into the material. Your active participation helps me to evaluate your overall performance as a student (as well as making the class more interactive and engaging for all of us). The quality of your participation is more important than the quantity. Given our limited amount of time together, talking without positively contributing to the discussion will result in a lower grade for in-class contributions. Individual written work. Each week you will be assigned a case. Please submit at least a brief 1-3 double-spaced page document with your thoughts on the various case questions. You will be assigned a credit point for all of the assignments that you submit and these points will contribute to your class participation grade (10%). You do not have to submit an individual case when team written assignments are due. Team written work. Working in teams is a critical part of most managerial work. To reflect the importance of team- based work and to sharpen your skills in this area, each team will prepare one team assignment and two short case analysis papers. 1. Your first team assignment is to answer the questions for the “Slade Plating” case. (Class 3) 2. Your second team assignment is to complete the case questions for the Johnsonville Sausage case. (Class 6) 3. Your team assignment is a recommendation for the “SMA: Micro-Electronics Product Division” case. (Class 10) Most of the grade is for the quality of your analysis, and the remainder for the recommendations you make. In addition to turning in a written case analysis, I will ask some of the teams to present their recommendations for these cases in class. Please be prepared to explain your team’s recommendation to the class. Submit your assignments electronically on Canvas on the day before we meet at 5pm to discuss the case. Name your electronic file with the following naming convention: “[submitter] [case]”. For example, if the XYZ team submitted the Slating case, they would name their file 2 “XYZ Slating” Organizational Analysis. The nature and details of this project will be discussed in specific handouts that will come later. The purpose of this assignment will be to provide you with an opportunity to get your hands dirty and to experience organizational change and development. Midterm and Final Exams. A cumulative in-class exam that covers all readings and lectures (PowerPoint slides) will be taken at the middle and the end of the semester (15% each). The exam will consist of short answers, longer essays, and potentially a case application. The midterm will take place on 3/21 and the final will take place on 5/9 during the class. DISABILITY ACCOMMODATIONS: Claremont Graduate University has a procedure for students with disabilities who wish to obtain accommodations or auxiliary aids for this course. If you have a disability for which you wish to obtain an accommodation or auxiliary aid for this course please contact Gabriella TempestosoBednar at (909) 607-0789. She will then contact me after your request to assistance. ATTENDANCE: Students are expected to attend all classes. Students who are unable to attend class must seek permission for an excused absence from the course director or teaching assistant. Unapproved absences or late attendance for three or more classes may result in a lower grade or an “incomplete” for the course. If a student has to miss a class, he or she should arrange to get notes from a fellow student and is strongly encouraged to meet with the teaching assistant to obtain the missed material. SCIENTIFIC AND PROFESSIONAL ETHICS: The work you do in this course must be your own. Feel free to build on, react to, criticize, and analyze the ideas of others but, when you do, make it known whose ideas you are working with. You must explicitly acknowledge when your work builds on someone else's ideas, including ideas of classmates, professors, and authors you read. If you ever have questions about drawing the line between others' work and your own, ask the course professor who will give you guidance. Exams must be completed independently. Any collaboration on answers to exams, unless expressly permitted, may result in an automatic failing grade and possible expulsion from the Program. GRADING: 93-100 90-92 88-89 83-87 80-82 78-79 A AB+ B BB+ 3 73-77 70-72 C+ C- IN-CLASS BEHAVIOR: 1. 2. 3. 4. 5. As mentioned above, arrive on time. With the exception of class discussions, talking during lectures and presentations is impolite. Leaving during class is disruptive. Don't do it except for emergencies. Please turn off cell phones during class. No texting during class. Laptop computers may be used for note taking only! Email and IM can be done after class!! ONE FINAL NOTE: If you find that you are having some trouble in class (e.g. with contribution, assignments, other team members, etc.), I want to know about it as soon as possible. I will do my best to help students who, despite a sincere and solid effort, are experiencing difficulty. I do NOT want to hear about such problems at the end of the semester, or after you have received final grades. At that point, there is little I can do. REQUIRED TEXTBOOKS: 1. Cummings, T.G. & Worley (2008) Organizational Development and Change (10th Edition). Mason, Ohio: Thompson South-Western. 2. Articles: A selection of articles on specialized topics is assigned on the class schedule and available via our canvas course site and library databases. 3. Chapters and Handouts: A selection of chapters, articles, and handouts will be posted on canvas for student access. OVERVIEW OF TOPICS AND READING Class 1 - 1/25 : Course Overview & Introduction to Organizational Change Reading: 1. Cummings & Worley: Chapter 1 & 2 Class 2 -2/1: The Role of the Consultant & Entering/Contracting Strategies Reading: 1. Cummings & Worley: Chapter 3, 4 4 2. Schein (1990). A general philosophy of helping: Process Consultation, Sloan Management Review. Case: Berg, “Failure at Entry” (AMW Case) 1. Did Berg mess up? If so, how? 2. What are the lessons for other change agents? 3. Be prepared to role-play alternative entry situations In-Class Exercise: Interviewing simulation Class 3- 2/8: Diagnosing Organizations Reading: 1. Cummings & Worley: Chapter 5, 6 & 7 2. Harrington, Michael. (2005). Diagnosis: Approaches and Methods. In Harrington, Michael Diagnosing Organizations: Methods, Models & Processes. Thousand Oaks: Sage Publications. Case: Slade Plating 1. If you were brought in as a consultant, what would you want to do to make an accurate diagnosis? 2. With the limited information available to you, what is your diagnosis? Why? 3. What recommendations would you make to help this organization? Class 4 -2/15: Mechanistic/Bureaucratic Reading: 1. Cummings & Worley: Chapter 8 2. Morgan (2006) Organizations as Machines (pp. 11-31). 3. Beer, M. & Nohria, N. Cracking the Code of Change. Harvard Business Review, MayJun 2000, 78(3), Issue 3, p133 4. Luecke, R., & Hall, B. J. (2006). Performance management: Measure and improve the effectiveness of your employees. Harvard Business Press. See Chapter - Motivation: The Not-So-Secret Ingredient of High Performance. Case & Video: Lincoln Electric 1. How would you describe Lincoln's approach to the organization and motivation of their employee? 2. What role do you think this approach has played in Lincoln's performance over the last 5 25 years? Have any other factors been more important? What factors will be critical to Lincoln's continued success? 3. What recommendations would you make to Mr. Willis? 4. What is the applicability of Lincoln's approach to motivation to other companies and situations? Why do not more companies operate like Lincoln? Class 5 - 2/22: Designing Interventions and Strategic Change Reading: 1. Cummings & Worley: Chapter 9 & 20 2. Kotter, J. & Schlesinger, L. (2008).Choosing strategies for change. Harvard Business Review. #RO807M-PDF-ENG. Case: Southwest Airlines- Using Human Resources for Competitive Advantage (A) Stanford University 1. What is Southwest’s strategy? How would it answer the question, “What business are we in?” Why has it been successful for so long? 2. Can its success be replicated by a competitor? Why or why not? 3. How does Southwest’s system for managing people link to the execution of its strategy? Class 6- 2/29: Human Relations Reading: 1. Cummings & Worley: Chapter 15 & 16 2. Morgan, G. (2006). Organizations as Organisms (pp. 33-38). Thousand Oaks, CA: Sage Publications. Case & Video: Johnsonville Sausage 1. What are the key differences between Johnsonville’s “old” philosophy and its “new” philosophy? 2. How did the change occur? What were the key factors in successfully changing JS? 3. Should JS take on the Palmer business? Why or why not? 4. Be ready to discuss the pros and cons of top down versus bottom up change. Class 7 -3/7: Leading Change - Creating a Vision and Establishing Urgency Reading: 1. Cummings & Worley: Chapter 10 6 2. Collins & Porras, “Building your company’s vision” Harvard Business Review, 74, p.65. 3. Bass, B. (1990). From transactional to transformational leadership. Learning to share the vision. Organizational Dynamics, 18(3), pp. 190-32. 4. Carton, A. M., Murphy, C., & Clark, J. R. (2014). A (blurry) vision of the future: How leader rhetoric about ultimate goals influences performance. Academy of Management Journal, 57(6), 1544-1570. Video Case (In-Class): Burt’s Bees (no homework). 3/14: SPRING BREAK Class 8 - 3/21: MIDTERM EXAM Class 9 - 3/28: Human Processes Reading: 1. Cummings & Worley: Chapter 12 & 13 2. Frost, P. and Robinson, S. (1999). The toxic handler: Organizational hero-and casualty. Harvard Business Review, 77(4), 96-107. 3. Rothstein, L. (1992). The Case of the Temperamental Talent, Harvard Business Review, 70, p.16. 4. Gratton, L., Voigt, A., & Erickson. T. (2007). Bridging faultlines in diverse teams. MIT Sloan Management Review, 22-29. Case: Henry Tam and the MGI Team Case 1. What is your evaluation of the MGI team’s process? What were the causes of the team’s process problems? 2. What could Henry have done earlier to avoid the team’s process problems? 3. At the end of the case, what actions could Henry have taken to improve the team’s effectiveness? Class 10 – 4/4 Work Design & Technostructural Change Interventions Reading: 1. Cummings & Worley: Chapter 14 2. Nohria, N. (1991). Note on organization structure. Harvard Business School Publishing, Boston. 7 3. Casio, W. (2002). Strategies for responsible restructuring. Academy of Management Executive, 16(30: 80-91. Case: SMA: Micro-Electronic Products Division 1. Analyze MEPD’s environment and strategy and how these are affecting the division. How are MEPD’s environment and strategy different from those of other divisions of SMA, and how are these differences affecting the division’s performance? 2. Assess MEPD’s approach to differentiation and integration. What linking mechanisms do they use, and how effective are these? Analyze other structural dimensions and how they might be contributing to the problems being experienced. 3. What should MEPD do (especially structurally) to address the problems you have identified? Class 11 - 4/11: Organizational Lifecycle and Consulting (GUEST LECTURER: DICK STRAYER) Reading: 1. Casio, W. (2002). Strategies for responsible restructuring. Academy of Management Executive, 16(30: 80-91. 2. Charlie O. Trevor and Anthony J. Nyberg (2008). Keeping Your Headcount When All About You Are Losing Theirs: Downsizing, Voluntary Turnover Rates, and The Moderating Role of HR Practices. Academy of Management Journal. 51:2 259-276; 3. Badrtalei, J., & Bates, D. L. (2007). Effect of organizational cultures on mergers and acquisitions: The case of DaimlerChrysler. International Journal of Management, 24, 303-317. 4. Flamholtz, E. & Randel, Y. (2002) Growing Pains: Transitioning from an Entrepreneurship to a Professionally Managed Firm. Jossey-Bass, Inc. San Francisco, CA. Chapter 2. In-Class Case: TBD Class 12- 4/18: Performance & Talent Management Interventions Reading: 1. Cummings & Worley: Chapter 17, 18 2. Latham, G. Almost, J., Mann, S., & Moore, C. (2005). New development in performance management. Organizational Dynamics, 34(1): 77-87. 3. Hegstad, C. & Wentling, R (2004) The development and maintenance of exemplary formal mentoring programs in Fortune 500 companies. Human Resource Development Quarterly, 15(4): 421-448. 8 Case: Leading Change at Simmons (A) 1. What are the challenges faced by Simmons in December 2001? How has Charlie Eitel’s leadership affected the company in his first six months as CEO? 2. What is Eitel attempting to accomplish with the Great Game of Life program? What is the premise of the GGOL program? How is it supposed to help Simmons or other companies? 3. Should Simmons roll out the GGOL program? If so, how, and how would you justify the $7.2 million investment to the New York investors? If not, why not, and what would you do instead? Be specific. Class 13 -4/25 Managing Workforce Diversity Reading: 1. Cummings & Worley: Chapter 19 2. Gratchev, M. (2001) “Making the Most of Cultural Differences.” Harvard Business Review, pp.28-30. 3. Cox, T. Jr. & Blake, S. D. (1991). Managing cultural diversity: Implications for organizational competitiveness. Academy of Management Executive, 5(3), 45-56. 4. Bezrukova, K., Jehn, K., & Spell, C. (2012). Reviewing Diversity Training: Types of Programs, and The Attention They Get. Academy of Management Learning & Education Case: IBM’s diversity strategy: Bridging the workplace and the marketplace. 1. 2. 3. 4. Please describe the U.S.-based IBM diversity initiative. How did it progress over time? What factors were central to the successful implementation of a major change initiative? Is diversity management at IBM a source of competitive advantage? Why or why not? How could Childs effectively apply the U.S. model to other countries? What factors would need to be considered in Europe? In China? Class 15 – 5/2 Presentations Class 16 -5/9 Final Exam 9