Change Management
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Transcript of Change Management
By dr. desai
We are interested in approaches to planning and implementing the changes required to achieve or shape strategic objectives
We need to investigate the theoretical foundations of change management
Three main theories underpin approaches to change management with varying focus on the individual, group and organisation-wide issues
Four generic perspectives on strategy development
1. Classical and to some extent systemic perspectives see change management initiatives arising from and contributing to the achievement of an organisation’s strategy
2. Evolutionary and processual perspectives see strategy to a large extent as arising from day to day decisions (changes) that an organisation makes in attempting to adapt to and cope with environmental and other pressures and constraints
The planned approach to change (dominated change management since mid-1940s; views organisational change as a process of moving from one fixed state to another through a series of predictable and pre-planned steps
The emergent approach (since 1980s) starts by assuming that change is a continuous, open-ended and unpredictable process of aligning and realigning an organisation to its changing environment
Neither approach is suitable in all situations
Three schools of thought on which change management stands
1. The individual perspective school2. The group dynamics school3. The open systems school
The individual perspective school
Behaviour results from an individual’s interaction with their environment; all behaviour is learned and the individual is a passive recipient of external and objective data; behaviour that is rewarded tends to be repeated and is modified by reinforcing stimuli (the behaviourist view)
An individual’s behaviour is the product of environment and reason; learning is a process of gaining or changing insight, outlooks, expectations or thought patterns, and the individual must come to terms with themselves (the Gestalt-Field view)
The Group Dynamics school
Emphases bringing organisational change through teams or work groups rather than individuals
Individual behaviour must be seen, modified or changed in the light of group prevailing practices and norms
A group is never in a “steady state of equilibrium” but in a continuous process of mutual adaptation
The focus of change must be at group level and should concentrate on influencing and changing group norms, roles and values
The Open Systems school The primary reference point is the organisation in its
entirety Organisations are composed of interconnected sub-systems Change in one part will have an impact on other parts The system is open to and interacts with the external
environment, and internally sub-systems interact with each other
Need therefore clearly defined lines of co-ordination and interdependence so the overall business objectives are collectively pursued
Training as a change mechanism unlikely to succeed on its own
The planned approach
The action research modelThe three-step modelThe phases of planned change model
Action Research A collective approach to solving social and organisational
problems The goal is to make action more effective action refers to:
Programmes and interventions designed to solve a problem or improve a condition
Systematically collecting research data about an ongoing system relative to an objective, goal or need of that system
Taking action by altering selected variables within the system based on data and hypotheses
Evaluating the results of actions by collecting more data
Action Research The effective approach to solving organisational problems
is through a rational, systematic analysis of the issues The change process must become a learning process Usually involves three distinct groups – the organisation
(one or more senior managers), the subject (people from the area where the change is to take place) and the change agent (a consultant who may or may not be a member of the organisation)
The three groups form the “learning community” where the research is carried out and the problem solved
The Three-step model Change towards a higher level of group performance is
frequently short-lived, and a group may soon revert to previous patterns
A successful change project should (according to Lewin, 1958) involve three steps:1. Unfreezing the present level (may required a confrontation)2. Moving to the new level (team building or other
development)3. Refreezing the new level (vital, stabilisation and ensure new
ways of working safe from regression)
Phases of planned change (Bullock and Batten 1985)
1. Exploration phase (explore, awareness of need for change, decide whether to make specific changes, and if so, commit resources to planning the changes)
2. Planning phase (understanding the problem or concern, collect information, establish change goals, design appropriate actions, getting decision-maker approval and support for proposed changes)
3. Action phase (implementation of changes, to move to desired state, arrangements to manage the change process, evaluations, feedback)
4. Integration phase (commences once changes successfully implemented, consolidates, stabilises, reinforcing new behaviours through feedback and reward systems, diffusion and training managers to monitor changes constantly and seek to improve them)
Emergent Approach to Organisational Change Relatively new and lacks an agreed set of methods and
techniques Stresses the developing and unpredictable nature of
change Views change as a process that unfolds through the
interplay of multiple variables (context, political processes etc) within an organisation
Argues there is no simple prescription for managing organisational transitions successfully
So less dependent on detailed plans and more an understanding of the complexity of the issues concerned and identifying a range of available options
Pettigrew and Whipp (1993) model of strategic and operational change
Five interrelated activities:
1. Environmental assessment2. Leading change3. Coherence4. Linking strategic and operational change5. Developing human resources
To achieve a climate receptive to change needs four conditioning factors:
1. The extent to which key players in the organisation are prepared to champion environmental assessment techniques that increase openness
2. The degree to which assessment occurs and how effectively it is integrated with central business operations
3. The extent to which environmental pressures are recognised
4. The structural and cultural characteristics of the organisation
Organisational structure (crucial role in defining how people relate to each other and in influencing the momentum for change; how effective in changing depends on recognising informal as well as formal aspects)
Organisational culture (argued that the management of change is essentially a cultural and cognitive phenomenon; change has to be part of “the way we do things around here”)
Organisational learning (willingness to change often stems from feeling there is no alternative, learning stems from effective communications from the top and promotion of self-development and confidence, this in turn encourages commitment to and shared ownership of the organisation’s vision, actions and decisions necessary to respond to the external environment)
Managerial behaviour (change requires radical change in managerial behaviour)
Emergent Change: Summary
Organisational change is a continuous process of experiment and adaptation aimed at matching an organisation’s capabilities to the needs and dictates of a dynamic and uncertain environment
This is best achieved through a multitude of mainly small-scale incremental changes, over time leading to major reconfiguration and transformation of the organisation
The role of managers is not to plan or implement change but to create or foster an organisational structure and climate which encourages and sustains experimentation and risk-taking, and develop a workforce that will take responsibility for identifying the need for change and implementing it
Managers are expected to become facilitators and responsible for developing a collective vision and common purpose, which gives direction to the organisation and judges the appropriateness of any proposed change
The key organisational activities to enable this to happen successfully are:
1. Information-gathering (about external environment, internal objectives and capabilities)
2. Communication (transmission, analysis and discussion of information)
3. Learning (ability to develop new skills, identify appropriate responses and draw knowledge from their own and others’ past and present actions)