Organizational Change and Conflict: Challenges and Opportunities for Organizational Ombuds Tom Ward, MPA University Ombudsman for Staff Clemson University Overview Why this topic? Organizational change – complexity and ramifications Motivation for change Types of organizational change Common resistance in designing, implementing and managing change The role of the organizational ombudsman Q&A/discussion Organizational Change and Conflict: Challenge and Opportunity 2 1 Why this topic? Changes within organizations often create predictable tensions and conflict(s). Organizational ombudsmen can help minimize the negative impact of tensions and conflict(s). Organizational Change and Conflict: Challenge and Opportunity 3 Organizational Change: Complexity and Ramifications Organizational change is often overcomplicated by bad execution and lack of clarity and a plan. Organizational Change and Conflict: Challenge and Opportunity 4 2 Organizational Change: Complexity and Ramifications “Organizations don't change. People do, or they don't” “If staff don't trust leadership, don't share the organization's vision, don't buy into the reason for change, and aren't included in the planning, there will be no successful change – regardless of how brilliant the strategy.”1 Change Management Wisdom Strategy, Planning, and Communication During Change By Susan M. Heathfield Organizational Change and Conflict: Challenge and Opportunity 5 The Challenge for Successful Organizations: Esprit de Corps Morale of a group, a term used for the capacity of people to maintain belief in an institution or a goal. The capacity of a group of people to pull together persistently and consistently in pursuit of a common purpose, particularly in times of stress or controversy. Organizational Change and Conflict: Challenge and Opportunity 6 3 Motivation for Organizational Change What influences an organization to make changes? External factors/forces Internal factors/forces How do organizations go about designing change processes? What role can an organizational ombudsman play throughout a change process? Organizational Change and Conflict: Challenge and Opportunity 7 Types of Organizational Change Changes in ownership/control Company reorganization/restructuring Changes in management Changes in type, use and conditions of employees Changes in consultation Change in influence of trade unions Change in customer expectations Changes in quality management issues Change in market conditions/competition Change in legislation/government policy/regulation Changes in technology Organizational Change and Conflict: Challenge and Opportunity 8 4 Common reasons why people resist change8 Perceptions: people perceive the risk of changing is greater than whatever the consequence is of not changing. Familiarity: People feel connected to the “old way”. Beliefs: People genuinely believe that the proposed change is a bad idea. Organizational Change and Conflict: Challenge and Opportunity 9 Common Factors Leading to Resistance2 What are some of the common factors that lead to resistance to organizational change?3 Lack of consistent, quality communication Lack of understanding of change initiative and rationale Management inconsistency Management relationships: Leaders may lose confidence in change process if business results are disappointing. Sustainability gets challenged by change in personnel and length of time to institute change Confidence and trust Management style Employee relationships: Participation Organizational Change and Conflict: Challenge and Opportunity 10 5 Organizational Culture Change: Research Findings3 Why is organizational culture important? Organizational culture change represents the second most prevalent type of organizational change (28+%). (source: Smith, 2003 3) Culture change usually occurs in combination with other types of change.2 Organizational Change and Conflict: Challenge and Opportunity 11 Organizational Culture Change: Research Findings3 Only @ 19 % of culture change efforts have positive outcomes. Success is more likely when sponsors of the change effort are perceived to be organizational leaders other than executive (President, CEO/COO, etc.) Competition, customer input and complaints are common reasons for change. Success most highly correlates with the following perceptions: change and innovation are rewarded, the change effort was kept small and manageable, a dedicated, capable project team was assigned to the project, there was visible support from the sponsor throughout the project, and progress was tracked and publicized. Failure correlated most strongly correlates with ineffective, missing or conflicting leadership and a clash with the existing culture. Organizational Change and Conflict: Challenge and Opportunity 12 6 Organizational Change: Learning from Research3 Two items of significance related to success of culture change: the change was part of your stated business strategy, and change and innovation are rewarded in your organization. Culture change should be closely related to business strategy. Managers showed limited awareness of many of the most significant success factors and barriers to culture change. The role of the sponsor of change effort is critical in: Positioning the culture initiative as part of the business strategy Developing sustaining support for the change among key executives and stakeholders Organizing resources and protecting project commitments from other organizational priorities, Communication throughout a change process is critical to developing and maintaining stakeholder support. How can OO’s use this information in their practice to bring value to their organizations? Organizational Change and Conflict: Challenge and Opportunity 13 Organizational Change: Learning from Research3 Executive and departmental leadership should be on the same page in support of the change. Executive leadership controls strategy and resources while middle management coordinates deployment of resources to accomplish strategic objectives. Given low success rates, developing viable contingency strategies to use if/when barriers are encountered. Planning should emphasize keeping change manageable: Phasing the change effort. Involving the management hierarchy. Determine “successive approximation” targets. Succession planning How can OO’s use this information in their practice to bring value to their organizations? Organizational Change and Conflict: Challenge and Opportunity 14 7 Q&A/Discussion Questions Discussion Evaluation Organizational Change and Conflict: Challenge and Opportunity 15 References 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 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