BUS 2090 Chapter Notes - Chapter 12: Learning Organization, Organizational Learning, Organizational Culture

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16 Aug 2016
April 1st, 2016. BUS2090 Unit 12-Chapter 16
Organizational Change, development and Innovation
16.1 The Concept of Organizational Change
oorganizations can change: goals and strategies (expansion, introduction of new
products, and the pursuit of new markets) technology (online portal access,
moving from rigid) job design (redesign) structure (formalization and
centralization can be manipulated) process, culture (important for competitive
advantages) people (content can be changed through revised hiring process).
oThe Change Process: unfreezing is the recognition that some current state of
affairs is unsatisfactory, realization that the present structure is ineffective as are
attitudes. Change is the implementation of a program or plan to move the
organization or its members to a more satisfactory state, skills training program,
empowering the workforce. Refreezing is the condition that exists when newly
developed behaviours, attitudes or structures become an enduring part of the
organization (relatively temporary)
16.2 The Learning Organization
oorganizational learning is the process through which an organization acquires,
develops and transfers knowledge throughout the organization. Organizations
learn through knowledge acquisition involving interpretation of information that
already exists but is external. Second, organizations learn through knowledge
development, dialogue and experience.
oLearning organization is an organization that has systems and processes for
creating, acquiring and transferring knowledge to modify and change its
behaviour to reflect new knowledge and insights. 4 key dimensions for a learning
organization: vision/support (clear vision and strategies to get there) culture
(supporting of learning) learning systems/dynamics (learning by doing) and
knowledge of management and infrastructure (code, storing of info) learning
organizations are 50% more likely to have higher levels of profitability
16.3 The Change Process and issues associated
oDiagnosis is the systematic collection of information relevant to impending
organizational change. Provides information that contributes to unfreezing by
showing that a problem exists. Once unfreezing happens, further diagnosis can
occur and determine what needs to be implemented. Relatively routine
diagnosis may be handled through existing channels. For more complex, non-
routine problems one must seem change agents which are experts in the
application of behavioural science knowledge to organizational diagnosis and
change, brings independent, objective perspective to diagnosis while working
with people who are about to undergo change. The importance of careful
diagnosis is crucial as proper diagnosis clarifies problems and suggests what
should be changed and the strategy to implement that change without
oResistance is overt or covert failure by organizational members to support a
change effort. Common reasons for the cause of resistance include: politics
and self interest, low individual tolerance for change, lack of trust, different
assessments of the situation, strong emotions and a resistance organizational
culture. These all fall under 2 major themes: change is unnecessary due to a
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