CH HA A PP TT EE R R C 8 Consequences Stewart L. Tubbs McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 2 Consequences • • • • • McGraw-Hill Solutions to Problems Changes in Interpersonal Relations Improved Information Flow Organizational Change Review of the Systems Approach © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 3 Solutions to Problems • Quality of Solutions – Groups have the potential to make better-quality decisions than the same individuals would make if working alone. • In those instances when group performance does not surpass individual performance, the group process has been counterproductive. McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 4 Solutions to Problems • Quality of Solutions – Teams can help increase value: • By performing the same function at a lower cost. • By increasing function while reducing costs. • By increasing function while increasing costs by a proportionally smaller amount. • By decreasing function while decreasing cost by a proportionally greater amount. – It has been found that groups are better at solving complicated tasks requiring reasoning and elimination of poor solutions. McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 5 Solutions to Problems • Quality of Solutions – Groups are altering their form with changes in geography, tighter budgets, increased technology, and the global search for the very best subject matter experts. – Virtual groups have evolved and specific teams skills and dynamics are necessary to achieve high quality solutions. McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 6 Solutions to Problems • Acceptance of Solutions – For solutions to be effective, they must be of high quality and they must be accepted by those who must carry them out. McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 7 Solutions to Problems • Acceptance of Solutions Three types of problem situations can be identified: – Problems requiring high quality but low acceptance are best solved by persons with a high level of technical knowledge and expertise. – Problems requiring high acceptance but low quality may include all individuals who may be affected by the results of the decision. – Problems requiring high quality and high acceptance should utilize problem-solving groups. McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 8 Solutions to Problems • Acceptance of Solutions – People generally are resistant to changes that affect their lives, especially if these changes are initiated by others. – Group decision making and “people involvement” can be powerful assets in increasing satisfaction and overcoming resistance to change. McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 9 Solutions to Problems • Acceptance of Solutions – There are several factors to remember in overcoming resistance to change. • People will accept changes that they have a part in planning. • Changes will be accepted if they do not threaten our security. • Changes will be more readily accepted when people are involved in gathering the facts that indicate the need for change. • Greater acceptance and commitment will result when the changes are kept open to further revision based on the success or failure of the new procedures. McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 10 Solutions to Problems • Acceptance of Solutions – For long-term success, teams must function in a responsible manner, and management must possess a high degree of trust and confidence in the system. McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 11 Changes in Interpersonal Relations • Meetings designed to share perceptions of one another to inform each other of particular problems can potentially clear up and reduce areas of misperception and misunderstanding. • Cohesion is a result of group interaction, but it in turn influences other things • Small group interaction has the potential of increasing interpersonal relations and cohesiveness. McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 12 Changes in Interpersonal Relations • Team Building – Larson and LaFasto (1989) identified eight dimensions of team excellence: 1. Clear, evaluating goal 2. Results-driven structure 3. Competent team members 4. Unified commitment 5. Collaborative climate 6. Standards of excellence 7. External support and recognition 8. Principled leadership McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 13 Changes in Interpersonal Relations • Team Building – Heathfield (2005) offers twelve tips for successful team building: 1. 2. 3. 4. 5. 6. McGraw-Hill Clear expectations Context Commitment Competence Charter Control © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 14 Changes in Interpersonal Relations • Team Building – Heathfield (2005) offers twelve tips for successful team building: 7. 8. 9. 10. 11. 12. McGraw-Hill Collaboration Communication Creative Innovation Consequences Coordination Cultural Change © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 15 Changes in Interpersonal Relations • Virtual Team Building – Virtual groups and teams can benefit fro team building. – Virtual teams cuts down on travel costs and saves money. McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 16 Improved Information Flow • Communication in small groups can result in an increased knowledge level and increased coordination among group members based on the sharing of information. • Rogers (1995) finds that some people by nature are earlier adopters of new ideas whereas others are more resistant to change. McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 17 Improved Information Flow • Another factor is the tendency for subgroups to form so that information that passes between groups is restricted. – Lawrence and Lorsch (1969) have referred to problems of this nature as differentiationintegration problems. McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 18 Improved Information Flow • Adopter Categorization on the Basis of Innovativeness McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 19 Organizational Change • The Ten Commandments of Implementing Changes: 1. Analyze the organization and its need for change. 2. Create a shared vision and common direction. 3. Separate from the past. 4. Create a sense of urgency. 5. Support a strong leader role. McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 20 Organizational Change • The Ten Commandments 6. Line up political sponsorship. 7. Craft an implementation plan. 8. Develop enabling structures. 9. Communicate, involve people, and be honest. 10. Reinforce and institutionalize change. McGraw-Hill © 2007 The McGraw-Hill Companies,Source: Inc. AllJick, rights 1993, reserved. p. 195. Slide 21 Organizational Change • Peter Drucker (1999) has offered the following advice for leaders on managing change: 1. Introduce change on a small scale. 2. Budget for change. 3. Balance change and continuity. McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 22 Organizational Change McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 23 Organizational Change • The Strategic Doom Cycle McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 24 Organizational Change— Practical Tips Hitchcock and Willard (1995) offer the following practical tips for using teams to help create organizational change. – The business concept must be viable. – Recognize that the right to make a decision is separate from the competency to implement it. – Clarify what decisions should be made at certain levels, and establish a mechanism to move decisions among these levels. McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 25 Organizational Change— Practical Tips • Hitchcock and Willard – Codify the principles that will guide you, and establish a mechanism to hold everyone accountable for carrying out those principles. – Devise a system for resolving conflicts and differences. – Establish an equitable way for distributing profits or rewards that is consistent with the egalitarian nature of democracy. McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 26 Organizational Change • Rogers (1995) and his colleagues found that people accept change along a distribution that is a bell-shaped curve. – – – – – McGraw-Hill Innovators Early adopters Early majority Late majority Laggards © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 27 Review of the Systems Approach • Four potential consequences of group interaction are: (1) solutions to problems, (2) changes in interpersonal relations, (3) improved information flow, and (4) organizational change. • Small group interaction must be viewed as a system of interrelated variables in which a change in any one variable creates changes in the other variables in the system. McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All rights reserved. Slide 28 Review of the Systems Approach • Information flow may be improved as a result of interaction; but with a highly structured communication network and authoritarian leadership, communication flow might actually diminish. • Numerous studies have shown that it takes a comprehensive (systems) approach to successfully create large-scale organizational change. McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All rights reserved.