BMA5405: Managing Change Session: Special term 2, 2009/2010 Instructor: E-mail: Office location Class location Associate Professor Audrey Chia audreychia@nus.edu.sg BIZ2, 03-12 TBA Objectives This course aims to: - Deepen your understanding of the nature of organizational change - Increase your knowledge of the theoretical frameworks that can be used to think about and analyze change, and build your ability to apply those frameworks; - Provide some insights into the processes of organizational change; and - Sharpen your skills for leading, managing and implementing organizational change. Course description The course is designed around six modules, corresponding to each of the six weeks of the term. We begin by examining the forces for change in organizations and the nature of organizational change. Next, we critically evaluate the prescription that a vision should form the basis for organizational change. In the third module, we assume the position of change agents and consider how change can be implemented while being mindful of culture, psychological contracts and other features of the organizational context. We then switch positions in the fourth module and assume the role of recipients of change, trying to understand how they respond. In the fifth module, we reflect on the personal aspects of leading change. We conclude by addressing the need for continuous change in organizations. 1 Textbook and other resources We will use a variety of learning resources. The main text is Managing Change: Cases and Concepts by T. Jick and M. Peiperl. We will use the 2nd edition, published in 2003 by McGraw-Hill. Cases from the text will be supplemented by others that depict change situations in Asia-Pacific contexts. To gain different perspectives, you will also read journal articles which provide illustrative cases and experience-based reflections on the relevant topics. The articles are available for download from e-reserve in IVLE. Syllabus and Schedule The course is organized around six major themes, one for each week. Below is an outline of each theme and the corresponding assignments. Module 1: What change? Why change? Types of change Levels of analysis Forces for change Different theoretical approaches to change Organization theory Management Organizational development An overview: Why do some change efforts fail? Critical success factors. Assignment 1a: Reading: Introduction, p. xv Reading: Introduction to module 1, Forces for change Case: Change Classic: Changing the culture at British Airways, p. 26. Questions: 1. What was life like at the “old” British Airways? What was difficult about making change? 2. What were the critical factors in its successful transformation? 3. Will it be harder or easier to make future changes (such as cost cutting)? Case: British Airways update, 1991-2000 Reading: Re-energizing the mature corporation, p. 44. (Do a post class reading): Kotter, John P., “Leading change: Why transformation efforts fail” Harvard Business Review, Mar-Apr 1995:59-67. Available on IVLE e-reserve list. 2 Assignment 1b: Case: Haier: Taking a Chinese company global Questions: 1. Why was Haier so successful in China? 2. Was Haier’s decision to globalize into developed markets early on a good strategy? 3. Can Haier build on its success in niche products to become a dominant global brand in high-end white goods? 4. Is Haier’s “two thirds” strategy a viable or wise approach? Reading: A note on the organizational implications of globalization Reading: Cultivating the world Module 2: From vision to reality Visions: bogus, or necessary? Process of creating and communicating a vision Using the vision to inspire change What else do we need besides a vision? Assignment 2a: Reading: Introduction to module 2, Changing the game Case: Dr Reddy’s Laboratories Ltd: Chasing a daring vision Questions: 1. Why has Dr Reddy’s been successful? 2. How realistic is its new vision? 3. Can it become a $1 bil. Company by 2008? 4. What organizational and people challenges must Prasad and his team address in order to meet the goals for 2008? How can these challenges be met? Reading: Meeting the challenge of disruptive change. Assignment 2b Case: Charlotte Beers at Ogilvy and Mather Worldwide (A) Questions: 1. What is Charlotte Beers trying to accomplish as CEO of O&M Worldwide? 2. What is your assessment of the vision? 3. Evaluate the process by which Beers and her team created the vision 4. What are the key challenges that Beers faces, at the end of the case? Reading: Why change programs don’t produce change Reading: The time is ripe for unorthodox newcomers 3 Module 3: Implementing change, keeping the context in mind Culture Psychological contracts Social compacts Models of change implementation Processes for managing change Assignment 3a : Reading: Introduction to module 3, Implementing change Case: Nissan Motor Company Pte. Ltd., 2002. Questions: 1. What accounted for the success of the Nissan Revival Plan? How much of that can be attributed to Ghosn’s actions/behaviours? 2. Towards the end of the case, what is the situation that Ghosn faces at Nissan? What should his next course of action be? 3. What qualities/behaviours are most needed to be a successful change agent? Reading: Implementing Change Reading: Strebel, Paul. “Why Do Employees Resist Change?” Harvard Business Review, May-June 1996: 86-92. Available on IVLE e-reserve list. Assignment 3b Change management simulation: Mutari. Reading: The notes and instructions will be printed and distributed the week before. You should read these before coming to class or you will not be able to take part in the simulation. Module 4: Recipients of change Responding to changes that one has no control over The role of politics in change Learning to anticipate and cope with change Assignment 4a Reading: Introduction to module 4, The recipients of change Case: Donna Dubinsky at Apple Computer Questions: 1. Why was Donna Dubinsky initially successful at Apple? 2. Place yourself in Dubinsky’s position. Why did she respond the way she did to the JIT proposal? 3. What do you think she should have done differently and why? Be specific. Reading: The recipients of change Reading: Jeanie Daniel Duck, “Managing Change: The Art of Balancing” Harvard Business Review, Nov-Dec 1993: 109-119. Available on IVLE e-reserve list. 4 Assignment 4b Case: Wellcome Israel Questions: 1. What is Ofra Sherman’s predicament? How did she get into it? 2. How would you evaluate her actions to date? 3. What is likely to happen next? 4. What, then, should Sherman do? Reading: Changing the deal while keeping the people Reading: Back to square zero: The post corporate career (Case analysis assignment, worth 35% of your final grade, is due on June 5) Module 5: (a) Leading change: Personal aspects (b) Continuous change Value-based leadership Expectations of change leaders Managing the personal side of change Second order change Change as a constant Learning organisms, learning organizations Assignment 5a Case: Leading Culture Change at Seagram Questions: 1. Why did Seagram need to change? Why did it use a values based approach? 2. How well has the change been accomplished, according to information provided in the case? 3. How would you respond to the challenges listed at the end of the case? 4. How feasible or important is it for a multi-national and multicultural organization to have one set of values worldwide? Reading: Why change programs don’t produce change Optional reading: Graham, Ginger L. “If You Want Honesty, Break Some Rules.” Harvard Business Review, Apr 2002: 42-47. Available on IVLE e-reserve list. 5 Assignment 5b Reading: Introduction to module 6, Continuous change Case: Singapore Airlines: Changing to stay ahead Questions: 1. What have been the key factors behind the success of Singapore Airlines (SIA)? 2. How has SIA’s success become vulnerable? 3. As the boss of ground crew at Denpasar and Manila, what advice would you give them? How would you respond to Denver’s complaint letter? 4. Which of the two approaches at the end of the case would you support? Why? What do world class organizations need to do to stay ahead? Reading: Change, stability and renewal: The paradoxes of self organizing systems. Module 6: Learning from our projects Assignment 6a and 6b Project presentations and reports are due during this session. Each group will present its project. Every project will be peer-reviewed. The class schedule may be amended when necessary, for example, to take advantage of other opportunities for learning. Learners’ responsibilities Each change incident can make you better able to meet the next one, if you learn from it. Using the same principle, this course takes an experiential, interactive approach. You will assume the role of a change agent or change manager, and think and act accordingly. To gain the most from this course, it is imperative that you be prepared for all classes. You should have completed the cases and readings and other assignments for the week, before coming to class. You will be responsible for participating actively in case discussions, critiques, debates or project work. In terms of attitude, be willing to question, think critically and learn from others. Outside of classes, my main mode of communication with the class will be via IVLE and e-mail. It will be your responsibility to check your NUS mailbox regularly, and to also read the announcements, updates and other materials uploaded to the IVLE. Assessment Preparation and participation 30% Case analysis 35% Project 35% 6 A. Preparation & participation 30% You will be assessed on the quality of your comments, questions and contributions to class discussions and learning. B. Case analysis 35% This is to be done individually, and without any help from others. You are free to submit your analysis anytime before the deadline and are encouraged to plan your work schedule so that you will have enough time to complete the case analysis. Submissions must be done electronically on IVLE. Late submissions will be marked down substantially. Please remember to type your name in your document and to name the document as: (yourname)case.doc. No case gives complete information. You may have to make certain reasonable assumptions. State clearly what your assumptions are and be sure that you can defend them. Do not make more assumptions than necessary. In all your answers, be specific, refer to the facts of the case and be sure that you can justify your conclusions. Your analysis should not exceed 2500 words. Remember this is a word limit and not a requirement so your answers may be shorter than this. If you are not satisfied with your grade, you may ask for your analysis to be re-graded, giving detailed and substantial justifications for your request. Bear in mind that if I accept your request and your case is re-graded, it can be given the same grade, a higher grade or a lower grade than originally assigned. C. Project and presentation 35% In this assignment, you will do independent project investigating a specific case of organizational change. The case should contain insights into the complexities of managing change and the difficulties that organisations and their employees face during change processes. Requirements Based on your project, you will write a case study and make a presentation. Both are due at the last class session. In class, you should submit a hard copy of the report. You should also upload to the IVLE project workbin the following items: (a) the soft copy of the report and (b) any other materials you used during the presentation – e.g., slides. 7 To write the project report, refer to the guide given below. Subject You will do an in-depth case study of a specific case of organizational change, and present your findings to the class. Read widely and think about your own work experience to identify possible cases for presentation. Make sure that the case you have selected is substantial and interesting. The case can be about an organization that you read about from secondary sources such as newspapers, journals and the web. In the past, students have written about topics such as the mergers between HP and Compaq and Rover and Mini, or the change leadership of Rudy Giuliani in New York City after 9/11. The approach in this type of case would be to analyse the situation using relevant concepts and models, to draw learning points from the case and to suggest how the change might have been better managed. The project can also be based on your past or present experiences. For example, you may write about a change that you are currently experiencing in your organization. The approach in such ongoing cases would be to assume the position of a consultant or change leader. You should analyse the situation using relevant concepts and models, make proposals or recommendations and draw learning points from the case. You should use the web, media, books and journals, library and other resources to write the case. You are also encouraged to conduct fieldwork and interviews of the relevant organization or individuals to collect data for the case. Project report (in the form of a case study) You may use the following questions as a guide to writing the case report. What is the company’s background? (Make this brief. Any other information that is interesting but not directly useful to the case can be shown in an appendix). What was the change about? Why did it take place? What did it aim to achieve? How was it planned? What were the organisational systems involved? Who were the main organisational members/units in this case? Concentrate on analysing how the change was managed. What was done well and what could be done better? How would you have gone about making the change? What are the main learning points from this case? A hard copy of the report should be submitted to me at the end of the last class session. 8 Writing the report The main text should not exceed 4000 words. Aside from the main text i.e., the case, your report should also include a complete list of references naming all the sources that you used. You may also any other appendices you judge necessary. The reference list and appendices will not count towards the length limit. You may use any standard referencing and citation style: see http://www.lib.nus.edu.sg/lion/s/citation.html. Just be consistent – adopt one style and use it throughout. Another good writing reference is the booklet, “Writing with Sources” by Gordon Harvey of the Harvard Expository Writing Programme – go to http://www.fas.harvard.edu/~expos/index.cgi?section=resources and click on the link for “Writing with Sources”. Type your case using double spacing, one-inch margins and font size 12. Check grammar and spelling. Credits At the end of your report, please give a short description how each group member contributed to the project. Presentation Plan for a presentation that lasts 20 minutes. This will be followed by questions from the class. Focus on the main points – don’t repeat everything in the report. You may use any format for the presentation: role play, debate, seminar, interaction with the class, etc. Be as creative as you like. Bring a copy of whatever you have read in preparation for this case, to class. Also bring interview transcripts and whatever data you have collected. You will need it to answer questions and verify facts. Peer review a) At the last class of the semester, you will be asked to do a peer evaluation of the performance and contribution of all the members in your project group. b) In addition, every group’s presentation will be peer reviewed by others in the class based on the following criteria: Clarity Ability of the group to draw learning points from the case Degree to which the presentation provoked further thinking and ideas General quality of the presentation. Enjoy working on the project and presentation! Academic honesty Please acknowledge all references and sources that you use in your work. This is not just good manners but also academic honesty. 9