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Chapter 16

Chapter 16 – The Concept of Organizational Change.pdf

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Chapter 16The Concept of Organizational Change The way in which changes are implemented and managed is crucial to both customers and members Why Organizations Must ChangeTwo basic sources of pressure to change external and internal sources Internal forces for change occur in response to organizational changes that are designed to deal with the external environment When threat is perceived organizations unfreeze scan the environment for solutions and use the threat as a motivator for change If organizations seem paralyzed by threat they behave rigidly and exhibit extreme inertiaChange requires resources and some modification of routines and processes If the latter two prerequisites are not met inertia will occur Organizations in a dynamic environment show more change to be effective than those operating in more stable environments Relationships Among Environmental Change Organizational Change and Organizational EffectivenessWhat Organizations Can ChangeGoals and Strategies Change strategies to reach these goals Technology Job Design Can redesign individual groups of jobs Structure Functional to product form Formalization and centralization can be manipulated Tallness spans of control and networking with other firms can be manipulated Also includes modification in rules policies and procedures Processes Basic processes by which work is accomplished can be changedCulture Culture change is critical failure to change may result in the failure of organizational change programs A fundamental aspect of organizational changePeople Content hire new employees can be changed and existing membership can be changed in terms of skills and attitudes by various training and development methods A change in one area often calls for changes in others Changes in goals strategies technology structure process job design and culture almost always require organizations give serious attention to people changes Necessary skills and favourable attitudes should be fostered before these changes are introduced
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