Chapter 14: Organizational Change
What causes change?
Mergers, acquisitions, divestitures, global competition, management, organizational structure.
Forces for change
Nature of the workforce: ex more Competition: ex global competitors
cultural diversity Social trends: ex internet chat rooms
Technology World politics: ex war
Economic shocks: ex rise&fall of stocks
Change agents: people who act as catalysts and assume the responsibility for managing change activities
Approaches to managing change
Lewin’s three-step model:
Unfreezing: change efforts to overcome the pressures of both individual resistance and group conformity
o Driving forces: forces that direct behavior away from the status quo
o Restraining forces: forces that hinder movement away from the status quo
Moving: efforts to get employees involved in the change process
Refreezing stabilizing a change intervention by balancing driving and restraining forces
Kotter’s eight-step plan for implementing change
1. Establish a sense of urgency. 5. Empower others to act.
2. Form a coalition. 6. Develop short-term “wins.”
3. Create a new vision. 7. Consolidate improvements.
4. Communicate the vision. 8. Reinforce changes
Action research: a change process based on the systematic collection of data and then selection of a change action
based on what the analyzed data indicate
provids a scientific method for managing planned change
diagnosis, analysis, feedback, action, and evaluation
Appreciative inquiry: an approach to change that seeks to identify the unique qualities and special strengths of an
organization, which can then be built on to improve performance
Resistance to change
Feeling uninformed about what was happening
Lack of communication and respect from one’s