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week 13 - Chapter 16 .docx

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Teal Mc Ateer

Chapter 16 – Organizational Change, Development, and Innovation Some Quotes • He who rejects change is the architect of decay. The only human institution which rejects progress is the cemetery. ~Harold Wilson – principle of loose coupling • Change is inevitable - except from a vending machine. ~Robert C. Gallagher • All change is not growth, as all movement is not forward ~Ellen Glasgow – All learning is change, but not all change is transformational (i.e. growth) Why do Organizations Change? 1. External sources of pressure (i.e.“E” & “T” issues; global competition; deregulation; advanced technologies all bringing about changes in structure and strategy) 2. Internal sources of pressure (i.e. “P” issues; lower productivity; internal conflict; strikes; high absenteeism and turnover bringing about changes in structure and strategy) **What Organizations Can Change  Goals and strategies  offer new product line, new service  Technology  moving from L to R or R to L  Job design  alter task, identity, autonomy, variety, etc.  Structure  flatten, decentralize, increase formalization, narrow span of control, etc.  Processes  altering how work is to be done  Culture  macro-level project to shift beliefs, norms, etc.  People  recruiting and selection systems, reward and recognition systems, etc.  Three important points about the areas that organizations can change (3 difficulties relating to change): 1. Change in one area very often calls for changes in other areas (the domino effect, ripple effect, spider web effect) E.g., change policy affects how things are done elsewhere  Intended vs. emergent (plans not going the way intended) 2. Change in most areas require serious attention be given to people (culture eats strategy for breakfast – people might resist against strategy) E.g., often resist change 3. Change requires employees to learn new skills and change their attitudes (what’s in it for me?) E.g., learn new computer software  Breakdown to breakthrough **Psychological Dynamics of Change (How we Change) 1. Sense of loss – change ALWAYS associated with loss 2. Lack of clarity – brain races, confusion 3. Self preservation – what’s in this for me? 4. Personal (in the gut then to head) – low vs. high emotional intelligence 5. Loss in performance – failure is expected – let people fall, support them to rise from it Definition of Change • A variation or alteration… passing from one state or form to another • A disruption of expectations • The important change is not the physical equipment, technology change, rather it’s what happens inside a person’s head. • Change = cognitive dissonance **Stages of Transition: Individual Change  Change Process  can be o Endings  Neutral zone  Beginnings  Kurt Lewin’s Model 1. Unfreeze (can be voluntary or involuntary)  The recognition that some current state of affairs is unsatisfactory (need for change)  Present structure, task design, technology ineffective, member skills  Employee attitude surveys, customer surveys, and accounting data are often used to anticipate problems and initiate change before crises are reached (anticipate resistance) 2. Change  The implementation of a program or plan to move the organization or its members to a more satisfactory state.  Change efforts can range from minor to major.  80% of time we try to change, but go back to bad habits 3. Refreeze  The condition that exists when newly developed behaviours, attitudes, or structures become an enduring part of the organization.  The effectiveness of the change is examined and the desirability of extending change further can be considered.  Transformation has happened Learning Organization  Systems and processes for creating, acquiring and transferring knowledge to modify and change its behavior to reflect new knowledge and insights  Vision/support  leader must communicate clear vision of strategy and goals  Culture  LO has culture that supports learning; knowledge/info sharing, risk-taking  Learning systems/dynamics  employees challenged to think, solve problems, make decisions; “learning by doing”  Knowledge management/infrastructure  systems and structure to acquire, code, store and distribute important info and knowledge that it available to those who n
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