Organizational Change

Any alterations in the people, structure, or technology of an

organization
Characteristics of Change
Is constant yet varies in degree and direction
Produces uncertainty yet is not completely unpredictable
Creates both threats and opportunities
Managing change is an integral part
of every managers job.

Types of Organizational Change

Anticipatory changes: planned changes based on expected
situations.
Reactive changes: changes made in response to unexpected
situations.
Incremental changes: subsystem adjustments required to keep
the organization on course.
Strategic changes: altering the overall shape or direction of the
organization.

Three Categories of Change

STRUCTURAL
Changing an organization
organizations structural components or its structural design

TECHNOLOGICAL
Adopting new equipment, tools, or operating methods that displace old skills and
require new ones
Automation: replacing certain tasks done by people with machines
Computerization

PEOPLE
Changing attitudes, expectations, perceptions, and behaviors of the workforce
Forces for Change

EXTERNAL FORCES

Marketplace
Governmental laws and regulations
Technology
Labor market
Economic changes

INTERNAL FORCES
Changes in organizational strategy

Workforce changes

New equipment

Employee attitude
Sources of Individual Resistance to Change

Selective
information Habit
processing

Individual
Resistance
Security
Fear of
the unknown

Economic
factors

Sources of Organizational Resistance to Change

Threat to established Structural

resource allocations inertia

Threat to established Organizational Limited focus

power relationships Resistance of change

Threat to Group
expertise inertia
Change Agents
Persons who act as catalysts and assume the responsibility for
managing the change process.

Types of Change Agents

Managers: internal entrepreneurs
Nonmanagers: change specialists
Outside consultants: change implementation experts

Overcoming Resistance to Change

Education and Communication
This tactic assumes that the source of resistance lies in
misinformation or poor communication.
Participation
Prior to making a change, those opposed can be brought
into the decision process.
Facilitation and Support
The provision of various efforts to facilitate adjustment.
Negotiation
Exchange something of value for a lessening of
resistance.
Manipulation and Cooperation
Twisting and distorting facts to make them appear more
attractive.
Coercion
The application of direct threats or force upon resisters.
 Force Field Analysis - Kurt Lewin
Kurt Lewin's Force Field Analysis is a powerful strategic tool used to understand what's needed
for change in both corporate and personal environments.

Kurt Lewin wrote that "An issue is held in balance by the interaction of two opposing sets of
forces - those seeking to promote change (driving forces) and those attempting to maintain
the status quo (restraining forces)". This is much the same as the experiment we just did and
is summarised in the diagram below.

So before change the force field is in equilibrium between forces favourable to change and
those resisting it. Lewin spoke about the existence of a quasi-stationary social equilibrium.
For change to happen the status quo, or equilibrium must be upset either by adding
conditions favourable to the change or by reducing resisting forces.

What Kurt Lewin proposes is that whenever driving forces are stronger than restraining
forces, the status quo or equilibrium will change.

Now that's useful. Especially if we apply this to understanding how people move through
change and why they resist change.

There will always be driving forces that make change attractive to people, and restraining
forces that work to keep things as they are.

Successful change is achieved by either strengthening the driving forces or weakening the
restraining forces.
The force field analysis integrates with Lewins three stage theory of change as you work
towards unfreezing the existing equilibrium, moving towards the desired change, and then
freezing the change at the new level so that a new equilibrum exists that resists further
change.

Using the Force Field Analysis

Lewin's force field analysis is used to distinguish which factors within a situation or
organisation drive a person towards or away from a desired state, and which oppose the
driving forces.

These can be analysed in order to inform decisions that will make change more acceptable.

'Forces' are more than attitudes to change. Kurt Lewin was aware that there is a lot of emotion
underlying people's attitude to change.

To understand what makes people resist or accept change we need to understand the values
and experiences of that person or group.

Developing self awareness and emotional intelligence can help to understand these forces that
work within us and others. Its the behaviour of others that will alert you to the presence of
driving and restraining forces at work.

The following steps are a guide to using the force field analysis.

1. Define the change you want to see. Write down the goal or vision of a future desired
state. Or you might prefer to understand the present status quo or equilibrium.
2. Brainstorm or Mind Map the Driving Forces - those that are favourable to change.
Record these on a force field diagram.
3. Brainstorm or Mind Map the Restraining Forces - those that are unfavourable to, or
oppose change. Record these on the force field diagram.
4. Evaluate the Driving and Restraining forces. You can do this by rating each force,
from 1 (weak) to 5 (strong), and total each side. Or you can leave the numbers out
completely and focus holistically on the impact each has.
5. Review the forces. Decide which of the forces have some flexibility for change or
which can be influenced.
6. Strategise! Create a strategy to strengthen the driving forces or weaken the restraining
forces, or both.

If you've rated each force how can you raise the scores of the Driving Forces or lower
the scores of the Restraining Forces, or both?

7. Prioritise action steps. What action steps can you take that will achieve the greatest
impact? Identify the resources you will need and decide how to implement the action
steps.

Hint: Sometimes it's easier to reduce the impact of restraining forces than it is to
strengthen driving forces.
ORGANIZATIONAL DEVELOPMENT (OD)
Techniques or programs to change people and the nature and quality of
interpersonal work relationships.
Organizational Development
Planned change programs intended to help people and organizations
function more effectively.
Techniques or programs to change people and the nature and quality
of interpersonal work relationships.
OD Values
Respect for people
Trust and support
Power equalization
Confrontation
Participation
Organizational Development Techniques
LEARNING
Any relatively permanent change in behavior that occurs as a result of experience.

Learning
Involves change
Is relatively permanent
Is acquired through experience
Theories of Learning
Classical Conditioning
A type of conditioning in which an individual responds to some stimulus that would not ordinarily produce such a
response.
Key Concepts
Unconditioned stimulus
Unconditioned response
Conditioned stimulus
Conditioned response
Classical Conditioning (Ivan Pavlov)
Several types of learning exist. The most basic form is associative learning, i.e., making a new association
between events in the environment. There are two forms of associative learning: classical conditioning (made
famous by Ivan Pavlovs experiments with dogs) and operant conditioning.

Pavlovs Dogs
In the early twentieth century, Russian physiologist Ivan Pavlov did Nobel prize-winning work on digestion.
While studying the role of saliva in dogs digestive processes, he stumbled upon a phenomenon he labeled
psychic reflexes. While an accidental discovery, he had the foresight to see the importance of it. Pavlovs
dogs, restrained in an experimental chamber, were presented with meat powder and they had their saliva
collected via a surgically implanted tube in their saliva glands. Over time, he noticed that his dogs who begin
salivation before the meat powder was even presented, whether it was by the presence of the handler or
merely by a clicking noise produced by the device that distributed the meat powder.

Fascinated by this finding, Pavlov paired the meat powder with various stimuli such as the ringing of a bell.
After the meat powder and bell (auditory stimulus) were presented together several times, the bell was used
alone. Pavlovs dogs, as predicted, responded by salivating to the sound of the bell (without the food). The
bell began as a neutral stimulus (i.e. the bell itself did not produce the dogs salivation). However, by pairing
the bell with the stimulus that did produce the salivation response, the bell was able to acquire the ability to
trigger the salivation response. Pavlov therefore demonstrated how stimulus-response bonds (which some
consider as the basic building blocks of learning) are formed. He dedicated much of the rest of his career
further exploring this finding.

In technical terms, the meat powder is considered an unconditioned stimulus (UCS) and the dogs salivation is
the unconditioned response (UCR). The bell is a neutral stimulus until the dog learns to associate the bell with
food. Then the bell becomes a conditioned stimulus (CS) which produces the conditioned response (CR) of
salivation after repeated pairings between the bell and food.
Operant Conditioning
A type of conditioning in which desired voluntary behavior leads to a reward or prevents a punishment.
Key Concepts
Reflexive (unlearned) behavior
Conditioned (learned) behavior
Reinforcement
Social-Learning Theory
People can learn through observation and direct experience.

Key Concepts
Attentional processes
Retention processes
Motor reproduction processes
Reinforcement processes

Social Learning Theory (Bandura)

Originator: Albert Bandura
Key Terms: Modeling, reciprocal determinism

People learn through observing others behavior, attitudes, and outcomes of those behaviors. Most human
behavior is learned observationally through modeling: from observing others, one forms an idea of how new
behaviors are performed, and on later occasions this coded information serves as a guide for action.
(Bandura). Social learning theory explains human behavior in terms of continuous reciprocal interaction
between cognitive, behavioral, and environmental influences.

Necessary conditions for effective modeling:

1. Attention various factors increase or decrease the amount of attention paid. Includes
distinctiveness, affective valence, prevalence, complexity, functional value. Ones characteristics (e.g.
sensory capacities, arousal level, perceptual set, past reinforcement) affect attention.
2. Retention remembering what you paid attention to. Includes symbolic coding, mental images,
cognitive organization, symbolic rehearsal, motor rehearsal
3. Reproduction reproducing the image. Including physical capabilities, and self-observation of
reproduction.
4. Motivation having a good reason to imitate. Includes motives such as past (i.e. traditional
behaviorism), promised (imagined incentives) and vicarious (seeing and recalling the reinforced
model)
Bandura believed in reciprocal determinism, that is, the world and a persons behavior cause each other,
while behaviorism essentially states that ones environment causes ones behavior, Bandura, who was
studying adolescent aggression, found this too simplistic, and so in addition he suggested that behavior causes
environment as well. Later, Bandura soon considered personality as an interaction between three components:
the environment, behavior, and ones psychological processes (ones ability to entertain images in minds and
language).

Behavior Modification (OB Mod)

The application of reinforcement concepts to individuals in the work setting.

Shaping Behavior
Systematically reinforcing each successive step that moves an individual closer to the desired response.
Key Concepts
Reinforcement is required to change behavior.
Some rewards are more effective than others.
The timing of reinforcement affects learning speed and permanence.
Types of Reinforcement
Positive reinforcement
Providing a reward for a desired behavior.
Negative reinforcement
Removing an unpleasant consequence when the desired behavior occurs.
Punishment
Applying an undesirable condition to eliminate an undesirable behavior.
Extinction
Withholding reinforcement of a behavior to cause its cessation.

A-B-Cs of Behavior Modification

Five Step Problem-Solving Model (OB Mod)

1. Identify critical behaviors

2. Develop baseline data

3. Identify behavioral consequences

4. Develop and apply intervention

5. Evaluate performance improvement

A contingent workforce is a provisional group of workers who work for an organization on a non-permanent
basis, also known as freelancers, independent professionals, temporary contract workers, independent
contractors or consultants. Contingent Workforce Management (CWM) is the strategic approach to
managing an organization's contingent workforce in a way that it reduces the company's cost in the
management of contingent employees and mitigates the company's risk in employing them.

Advantages and Disadvantages of using Contingent Workers

Advantages Disadvantages
Flexibility in type and amount of labor resources Loyalty to employer or company
Save costs in benefits and tax Disturbs organizations core morale and culture
Immediate access to expertise not present internally Training costs
Savings in long-term compensation costs

Power and politics

Power and Influence in the Workplace

The Meaning of Power

Power is the capacity of a person, team, or organization to influence

others.

The potential to influence others

People have power they dont use and may not know they possess

Power requires one persons perception of dependence on another

person

Model of Power in Organizations

Legitimate power

Agreement that people in certain roles can request certain behaviors of

others

Based on job descriptions and mutual agreement from those expected to

abide by this authority

Legitimate power range (zone of indifference) is higher in high power

distance cultures

Reward power

Ability to control the allocation of rewards valued by others and to

remove negative sanctions

Operates upward as well as downward

Coercive power
 Ability to apply punishment

Exists upward as well as downward

Peer pressure is a form of coercive power

Expert power

Individuals or work units capacity to influence others by possessing

knowledge or skills that they value

Employees gaining expert power over companies in knowledge economy

Referent power

Occurs when others identify with, like, or otherwise respect the person

Associated with charismatic leadership

CONTINGENCIES OF POWER
Substitutability
Centrality
Discretion
Visibility

INFLUENCING OTHERS
Influence is any behavior that attempts to alter someones attitudes or behavior
Applies one or more power bases
Process through which people achieve organizational objectives
Operates up, down, and across the organizational hierarchy
Types of Influence (Tactics)
Silent Authority
Following requests without overt influence
Based on legitimate power, role modeling
 Common in high power distance cultures
Assertiveness
Actively applying legitimate and coercive power (vocal authority)
Reminding, confronting, checking, threatening
Exchange
Promising or reminding of past benefits in exchange for compliance
Negotiation is integral to this strategy
Networking relates to exchange influence
CoalitionFormation
Group forms to gain more power than individuals alone
1. Pools resources/power
2. Legitimizes the issue
3. Power through social identity
UpwardAppeal
Appealing to higher authority
Includes appealing to firms goals
Formal alliance or perception of alliance with higher status person

Ingratiation/ Impress. Mgt.

Ingratiation
Increasing liking/similarity to target
Flattering, helping, seeking advice
Impression Management
Actively shaping our public images
Way we dress, padding rsum
Persuasion
Using logic, facts, emotional appeals to gain acceptance
Depends on persuader, message content, message medium, audience
Information Control
Manipulating others access to information
Withholding, filtering, re-arranging information

Consequences of Influence Tactics

Organizational Politics
Behaviors that others perceive as self-serving tactics for personal gain at the expense of other
people and possibly the organization.
Work-Related Stress and Stress Management
What is Stress?
An adaptive response to a situation that is perceived as challenging or threatening to the
persons well-being.
What are Stressors?
Stressors are the causes of stress -- any environmental condition that places a physical or
emotional demand on the person.
Interpersonal Stressors
Considered the most common group of workplace stressors
Include:
Team dynamics
Organizational politics
Bad bosses
Workplace violence
Psychological and sexual harassment
Psychological Harassment
Repeated and hostile or unwanted conduct, verbal comments, actions or gestures, that
affect an employee's dignity or psychological or physical integrity and that result in a
harmful work environment for the employee
Sexual Harassment
Unwelcome conduct
-- detrimental effect on work environment or job performance
Quid pro quo
employment or job performance is conditional on unwanted sexual relations
Hostile work environment
an intimidating, hostile, or offensive working environment
Minimizing Harassment
1. Develop policies and culture of a more respectful workplace
2. Screen job applicants for past incidents where they have harassed others
3. Use multi-source (360-degree) feedback to identify harassing behavior
4. Develop a trustworthy conflict resolution process
Role-Related Stressors
Role conflict
Incongruity or incompatibility of expectations associated with the persons role
Occurs when two roles conflict with each other
Occurs when personal values conflict with work roles
Role ambiguity
uncertain task and social expectations
Work overload
increased hours and intensity
Task Control Stressors
Stress increases when employees lack control over:
How and when tasks are performed
Pace of work activity
Low task control is a higher stressor when job also has high responsibility
Org & Physical Environment Stressors
Organizational
Most prevalent is downsizing, which affects layoff survivors
reduced job security
chaos of change
additional workloads
guilt of having a job as others lose theirs
Physical Environment
Due to excessive noise, poor lighting and hazards
Work-Nonwork Stressors
Time-based conflict
due to business travel, inflexible and/or rotating work schedules
for women -- still do most household chores
Strain-based conflict
work stress affects home, and vice versa
Role behavior conflict
incompatible work and family roles
Individual Differences in Stress
1. Different threshold levels of resistance to stressor
2. Use different stress coping strategies
3. Perceive the situation differently
Knowledge and skill
Natural optimism and confidence (resilience)
Individual Differences: Resilience
Capability of individuals to cope successfully in the face of significant change,
adversity, or risk
Personality traits
extroversion, low neuroticism, internal locus of control, high tolerance of
change, and high self-esteem
Adaptability to stressors
high emotional intelligence
good problem-solving skills
productive coping strategies
Inner strength/sense of purpose
Workplace spirituality

Consequences of Stress
Physiological Behavioral Psychological
Heart disease Lower job performance Job dissatisfaction
Ulcers More accidents Low commitment
Highblood pressure Faulty decisions Exhaustion
Headaches Higher absenteeism Depression
Sleep disturbances Workplace aggression Burnout
Remove the Stressor
Stress audits -- investigate sources of stress
Change corporate culture and reward system
Provide environment that supports empowerment
Person-job matching
Work-life balance initiatives
Work-Life Balance
Flexible work time
Job sharing
Teleworking
Personal leave
Childcare support
Withdraw from the Stressor
Permanent withdrawal
Remove employees from jobs not aligned with their competencies
Temporary withdrawal
Coffee/lunch breaks
Karaoke breaks (photo)
Sabbaticals
Other Stress Mgt Strategies
Change stress perceptions
Self-confidence, self-leadership
Control stress consequences
Relaxation and meditation
Fitness and wellness programs
Social support
Emotional and informational