Change Management

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Starter Question
 Think of a time when you successfully made a significant
change in your life. What did you do that helped make
the change successful?
 Activity: Change management methodologies jig-saw
Organizational Change Is Central to OD
Organizational change differs on several dimensions:
 Planned vs. Unplanned
 Planned changes are intentional
 Unplanned are in response to context changes (e.g., crisis)
 First-order vs. Second-order
 First-order = incremental changes within an existing framework
 Second-order = transformational changes that change the framework
 Episodic vs. Continuous
 Episodic change represents infrequent change that occurs during
specific periods of time
 Continuous change reflects that belief that things are always changing
Change can occur at multiple levels:
-Individual -Group/Team -Organization -Inter-organization
Making Change Happen
Types of organizational change activities:
 Catalytic interventions assist members in making changes
 Data presentations and analysis, decision explanations, etc.
 Acceptant activities help members discover and disclose their
ideas and feelings about the change(s)
 Outside consultant facilitating “bitch sessions”
 Confrontation interventions allow members to challenge
cultural and normative practices
For a change to be successful, one or more must be present:
 Relative advantage of the proposed change over the status quo
 Compatibility of the change(s) with the culture
 Complexity of the changes(s) matches the organization’s ability
 Trialability in that change(s) can be rolled back
 Observability so that the benefit(s) of the change(s) are seen
Change Management Process
Case for
change
Taking
charge
Cascade
Align
Report Process
Execute & revise review
Feedback
Process Goals/Objectives
 Develop and implement actionable long and short-term
strategies and tactics
 Measure results and progress
 Review progress and corrections as necessary
 Engage all stakeholders and plan for transition management
Appreciative Inquiry is another process for achieving change:
 Discovery – collect information/data on the good and the bad
 Dream – share visions for the future
 Design – collaboratively construct future vision and actions
 Destiny – empower at the grossroots level to attain the vision
SMART Objectives for Change
Specific
Is it clear, understandable, and well defined?
Measurable
Can the result of the objective be quantified?
Aligned
 Does the objective fit with the higher-level direction
and commitments to action?
 Are interdependencies identified and addressed?
Relevant
 Is this a high impact driver of achieving the higherlevel direction and commitments to action?
 Do I have the necessary authority, knowledge, and
skill to accomplish the objective?
Time-Based
Is a start date and completion date assigned?
SMART Objectives Come from a SWOT
Strengths
Weaknesses
Opportunities
Threats
Individual-level Change Example
Opportunities
Initiative
Increase the number of distance learning classes
Stretch Goals
Each course listing has a distance learning equivalent
Metrics
Ratio of distance learning classes per course offering
Personal Commitments
Deans commits to % increase in distance learning classes
per academic year
Results and Feedback
30 new distance learning classes added
Change through Alignment
Strategy
Defend the Core:
Latest & Greatest
Technology & Services
Aggressively Grow SoHo: Solutions for
Starting and Running a Successful Business
Top 100 Best
Companies to
Corporate
Work for
Values
Values
Fanatical Customer
Respect for the
IndividualFirst
Customer
Service
Respect
Excellence in
Execution
Passion
to Succeed
Transformation
InitiativesInitiatives
Invest
Shop
Customer Focus
Winning Culture
Profitable Growth
Areas of Focus
• Customer Experience
• Build CompUSA Brand
Success Metrics
Reduce Turnover 20%
Improve EE Index 10%
Improve Diversity Index 10%
Compelling Work Environment
Committed, Involved Employees
Diversity in Action
• TM Training,
Fastest Growing Segments
Dev., in
and
Engagement
All Markets
• Best-in-Class TM
• Drive
Margins
Lowest
Cost Structure
• Drive Growth
in the Industry
• Drive Cash Flow
Grow Revenue $400 Million
Profitable Sales Velocity
Right Product, Right Time
Customer Service
COMMITMENTS
TO ACTION
Reduce Expenses $100
Million
Forces Resisting Change
Internal and External Forces for Change
 External: outside the
organization
 Demographic
characteristics
 Technology
 Market changes
 Social and political
pressure
 Internal: inside the
organization
 Human resource
problems/prospects
 Managerial
behavior/decisions
4
Why People Resist Change
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An individual’s predisposition to change
Surprise and fear of the unknown
Climate of mistrust
Fear of failure
Loss of status or job security
Peer pressure
Disruption of cultural traditions or group relationships
Personality conflicts
Lack of tact or poor timing
Nonreinforcing reward systems
5
Overcoming Resistance to Change
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Education and Communication: This method is best when employees either have
no information or incorrect information. Once persuaded, people will help implement
the change but it can be time consuming.
Participation and Involvement: This method is best if managers initiating the
change don’t have the information to design the change or if people have power to
resist. People who participate will be committed to get the change rolling and they will
share any information they have relevant to the change. This approach can be time
consuming especially if an inappropriate change is implemented.
Facilitation and Support: This is best to use when people are having difficulty
adjusting to the change so they resist it. No other approach works as well for
employees with adjustment problems. It can be time consuming and expensive and the
method could still fail.
Negotiation and Agreement: If a group will obviously lose if the change is
implemented and this group has the power to resist change, then this method is best.
It is a relatively easy way to avoid resistance. It might also be expensive and if those
resisting catch on to your negotiation tactics, they may try to negotiate to avoid the
change all together.
Manipulation and Co-optation: This approach is best if everything else fails or is
too expensive to implement. It can be a quick and inexpensive way to solve problems.
It might lead to more problems if people feel manipulated.
Explicit and Implicit Coercion: If speed is of the essence than this approach is
best. It works quickly and can overcome resistance. It can however be risky if people
become angry at the initiators of the change.
7
Planning and Benefits
Planning: is the process of setting goals and deciding how
to achieve them.
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Planning helps you check on your progress.
Planning helps you coordinate activities.
Planning helps you think ahead.
Above all, planning helps you cope with uncertainty.
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The Planning Process
Mission
Statement
Vision
Statement
Strategic
Planning
Tactical
Planning
Operational
Planning
Goals
Goals
Goals
Action
plans
Action
plans
Action
plans
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