Aprll 27 2006 LlS380 Sprlng 2006 1

WhaL ls CrganlzaLlonal Change?

W An alLeraLlon of an organlzaLlon's
envlronmenL sLrucLure culLure Lechnology
or people
A consLanL force
An organlzaLlonal reallLy
An opporLunlLy or a LhreaL
W Change agenL
A person who lnlLlaLes and assumes Lhe
responslblllLy for managlng a change ln an
organlzaLlon
oLLer's LlghLSLep Model
W oLLer's elghLsLep model ls one of Lhe
besL known
1 LsLabllsh Lhe need for urgency
2 Lnsure Lhere ls a powerful change group Lo
gulde Lhe change
3 uevelop a vlslon
4 CommunlcaLe Lhe vlslon
3 Lmpower Lhe sLaff
6 Lnsure Lhere are shorLLerm wlns
7 ConsolldaLe galns
8 Lmbed Lhe change ln Lhe culLure
Change
Management
Approach
kotter's L|ghtStep
Mode|
Cther nstep
mode|s
Nstep mode|
|ssues
Change
Management vs
Crgan|zat|on
Deve|opment
Cont|ngency
Approaches
rocessua|
Approach
82
Aprll 27 2006 LlS380 Sprlng 2006 3
lorces for Change
External Forces nternal Forces
Competition Laws and
regulations
Strategy modifications
New technologies New equipment
Labor market shifts New processes
Business cycles Workforce composition
Social change Job restructuring
Compensation and
benefits
Labor surpluses and
shortages
Employee attitude
renLlce Pall 2002
OrganizationaI Change: An InternationaI
Phenomenon
1 2 3 4 S 6 7 8
1 2 3 4 S 6 7 8
ercentage of kespondents by Country
Internat|ona|
expans|on
keduct|on |n
emp|oyment
Mergers
d|vest|tures
acqu|s|t|ons
Ma[or
restructur|ng
nungary
Mex|co
S korea
Germany
Un|ted States
Iapan
%Source anLen 8 1991)
Changing PeopIe: Some Basic Changing PeopIe: Some Basic
Steps Steps
kecogn|z|ng the
need for change
Attempt|ng to
create a new state
of affa|rs
Incorporat|ng the changes
creat|ng and ma|nta|n|ng a
new organ|zat|ona| system
Step 1 Unfreez|ng
Step 3 kefreez|ng
Step 2 Chang|ng
lorce lleld Analysls
Change lnlLlaLlve
eg new l1 sysLem
new servlce developmenL
worklng condlLlons
pay sLrucLure
aLlenL saLlsfacLlon
programme
1echnologlcal advanLage
new markeLs
Workforce skllls developmenL
lorces for
Change
Lqulllbrlum lorces 8eslsLlng Change
lear of change
Skllls gap
Cames/ollLlcs
'yes buL' 'harrled'
CopyrlghL 2003 renLlcePall
187
unfreezlng
W Pelp people accepL
LhaL change ls
needed because
Lhe exlsLlng
slLuaLlon ls noL
adequaLe
CopyrlghL 2003 renLlcePall
188
Changlng
W lnvolves
rearranglng of
currenL work norms
and relaLlonshlps Lo
meeL new needs
CopyrlghL 2003 renLlcePall
189
8efreezlng
W 8elnforces Lhe
changes made so
LhaL Lhe new ways
of behavlng
become sLablllzed