MGMT 309 Chapter 12

"own no tools; we make no products. We're contract manufacturers for other people who bring their ideas to us."

Jeff Applegate company

The most effective technique for overcoming resistance to change?

Participation

A new product, service, or technology that modifies an existing one

incremental innovation

Process that consists of developing, applying, launching, growing, and managing the maturity and decline of creative ideas?

organizational innovation process

A new product, service, or technology that completely replaces an existing one

radical innovation

Sun Microsystems, for example, adopted a very short-range planning cycle to be best prepared for environmental changes. This is an example of:

technological changes

Three reasons a firm will fail at innovation:

-lack of resources -failure to recognize opportunities -resistance to change

The Lewin Model

1) unfreezing—individuals who will be affected by the impending change must be led to recognize why the change is necessary. 2) the change itself must be implemented 3) refreezing involves reinforcing and supporting the change so that it becomes a part of the system.

Bullock, Accenture

ADP operates according to the "self-sustaining and scalable business model" -"not-for-profit" business-within-a-business model

A top-level manager who approves of and supports a project. This person may fight for the budget needed to develop an idea, overcome arguments against a project, and use organizational politics to ensure the project's survival.

A sponsor

As traditional barbershops and beauty parlors are replaced by hair salons catering to both sexes, for example, the hybrid orga- nizations have to develop new methods for handling appointments and setting prices. This is an example of:

A change in the work processes

Is a one-time expense—a short-term loss meant to save money in the long run.

A restructuring charge

This is a period of high eco- nomic performance for an organization because demand for the product or service is often greater than supply.

Application Growth

the stage at which an organization introduces new products or services to the marketplace.

Application launch

The radical redesign of all aspects of a business to achieve major gains in cost, service, or time.

Business process change (reengineering)

The sequence of logging and verifying claims, requesting checks, getting countersignatures, and mailing checks could be altered in several ways, such as combining the first two steps or routing the claims through one person while another handles checks. This is an example of:

Changes in the work sequence

Com- panywide processes—such as materials management, production planning, order manage- ment, and financial reporting—can all be managed via:

ERP enterprise resource planning

If a customer in Rome can place an order that is to be produced in Ireland, schedule it to be shipped via air cargo to Rome, and then have it picked up by a truck at the airport and delivered to the customer's warehouse by a specified date. This would be done using what system?

ERP enterprise resource planning

What system starts by identifying the key processes that need critical attention?

ERP enterprise resource planning

Managers use questionnaires, opinion or attitude surveys, interviews, archival data, and meetings to assess various characteristics of the organization. This Analyzes the current condition of an organization. This is an example of?

Diagnostic activities in organizational development

What was Kmart a victim to?

Entropy—a normal process leading to system decline.

The Japanese organizations eventually came to dominate the worldwide market for 35 mm cameras because of what?

Excelling at process innovation

GM needs to cut costs, it has excess capacity, and the plant has outmoded production facilities. At the same time, there is resistance from the UAW, concern for workers being put out of their jobs, and a feeling that the plant might be needed again in the future. GM might start by convincing the UAW that the closing is necessary by presenting profit and loss figures. This is an example of:

Force-field analysis

Develop new products or services, or new uses for existing products or services.

Innovation

the stage during which demand for an innovation decreases and substitute innovations are developed and applied.

Innovation Decline

The stage at which most organizations in an industry have access to an innovation and are applying it in approximately the same way.

Innovation Maturity

Involves the evaluation, modification, and improvement of creative ideas. Transform a product or service with only modest potential into a product or service with significant potential.

Innovative Development

the stage in which an organization takes a developed idea and uses it in the design, manufacturing, or delivery of new products, services, or processes.

Innovative application

improving the relationships between two or more groups. designed to promote cooperation or resolve conflicts that arose as a result of interdependence.

Intergroup activities

As sociocultural values shift workers' attitudes toward their jobs may also shift—and workers may demand a change in working hours or working conditions. In such a case, even though the force is rooted in the external environment, the organization must respond directly to the internal pressure it generates

Internal forces/change

Similar to entrepreneurs except that they develop new businesses in the context of a large organization

Intrapreneurs

Helps employees formulate their personal goals and evaluate strategies for integrating their goals with the goals of the organization.

Life and career planning

changes in the management process by which products and services are conceived, built, and delivered to customers. -Reengineering or business process change

Managerial innovations

This activity typically focuses on "sensitivity skills"teaches people to be more considerate and understanding of the people they work with.

OD educational activity

the set of values, beliefs, and symbols that help guide behavior. Supports Innovative activity

Organizational Culture

Google, for instance, allows employees to use 20 percent of their time (one day per week) to work on their own side projects in order to foster innovation. This is an example of

Organizational Culture supporting innovative activity

a planned effort that is organization-wide and managed from the top, intended to increase organizational effectiveness and health through planned interventions in the organization's process, using behavioral science knowledge?

Organizational Development

Boeing recently installed a new automated production system at one of its plants, employees were trained to operate new equipment, the compensation system was adjusted to reflect new skill levels, the span of management for supervisors was altered, and several related jobs were redesigned. This is an example of what?

Organizational change

Due to intense competition for talent from competitors, Microsoft has increased its employees' compensation by shifting a portion of their stock awards to their base salaries, as well as boosting funding for bonuses and stock awards to reward its top performers. This is an example of:

Organizational change involving Human Resources

Employees have a desire to grow and develop, employees have a strong need to be accepted by others within the organization, the total organization and the way it is designed will influence the way individuals and groups within the organization behave. This is an assumption of?

Organizational development

An OD consultant observes groups in the organization to develop an understanding of their communication patterns, decision- making and leadership processes, and methods of cooperation and conflict resolution to improve the observed processes.

Process Consultation

Changes in the way products or services are manufactured, created, or distributed.

Process Innovations

The implementation of robotics is an example of what?

Process innovation

Middle manager who learns about the project and becomes committed to it. He or she helps overcome organizational resistance and convinces others to take the innovation seriously.

Product Champion

Changes in the physical characteristics or performance of existing products or services or the creation of brand-new products or services.

Product Innovations

Yellow Roadway Corporation has transformed itself from on old-line trucking company into a modern and competitive freight delivery firm. This is an example of:

Reengineering (business process change)

the dramatic over-hauls of Apple to shift away from personal com- puters to other digital devices is an example of?

Reengineering (business process change)

each employee responds to a questionnaire intended to measure perceptions and attitudes

Survey feedback

An OD consultant might interview team members to determine how they feel about the group; then an off-site meeting could be held to discuss the issues that surfaced and iron out any problem areas or member concerns. This is an example of?

Team Building

the serial replacement of the vacuum tube with the transistor, the transistor with the integrated circuit, and the integrated circuit with the microchip has greatly enhanced the power, ease of use, and speed of opera- tion of a wide variety of electronic products. This is an example of:

Technical Innovations

Changes in the physical appearance or performance of a product or service, or of the physical processes through which a product or service is manufactured.

Technical innovations

Caterpillar faced a massive workforce reduction. The first step (unfreezing) was convincing the United Auto Workers to support the reduction. Then, 30,000 jobs were eliminated (implementation). Then, Caterpillar worked to improve its damaged rela- tionship with its workers (refreezing) This is an example of Cat using what model?

The Lewin Model

The person who actually conceives of and develops the new idea, product, or service by means of the creative process.

The inventor

The means by which it encourages and discourages certain behaviors by employees.

The reward system

Often when one clothing store advertises a sale, others on the block follow suit, this is an example of

The task environment

What is one of Amazon's radical innovations?

The use of drones such as this one to deliver products to customers the same day as their order.

Most often used when substantial conflict exists within the organization. Uses a variety of mediation or negotiation techniques to resolve any problems.

Third-party Peacemaking

the biggest cause of employee resistance to change is:

Uncertainty

a primary reason for the problems that organizations often face is failure to

anticipate or respond properly to changing circumstances. -change can be internal or external

Organization development is concerned with ...

changing attitudes, perceptions, behaviors, and expectations.

What systems link virtually all facets of the business, making it easier for managers to keep abreast of related developments?.

enterprise resource planning: ERP— a large-scale information system for integrating and synchronizing the many activi- ties in the extended enterprise.

These changes derive from an organization's general and task environment:

external forces

Reactive change

is a piecemeal response to circumstances as they develop.

Organization change

is any substantive modification to some part of the organization - can involve virtually any aspect of an organization

Planned change

is change that is designed and implemented in an orderly and timely fashion in anticipation of future events.

Correll believed that the accident rate was far too high and set out on a major change effort to improve things. -what did he develop to educate workers on safety? This is an example of?

multistage change program intended to educate workers about safety, Planned change

Making only necessary changes, announcing those changes well in advance, and allowing time for people to adjust to new ways of doing things can help reduce resistance to change. This is an example of:

overcoming resistance to change by Facilitation

First, caterpillar educated UAW representatives about the need for and potential value of the planned changes. Then management told all employees what was happening, when it would happen, and how it would affect them individually. This is an example of:

overcoming resistance to change by education and communication

employee complaints, declines in productivity or turnover, court injunctions, sales slumps, or labor strikes might trigger?

reactive change

A manager may make a decision and recommend a plan for change on the basis of her own assessment of a situation. Others in the organization may resist the change because they do not agree with the manager's assessment or they perceive the situation differently. This is an example of:

resistance to change due to defferent perceptions

Many changes involve altering work arrangements in ways that disrupt existing social networks. Because social relationships are important, most people resist any change that might adversely affect those relationships. This is an example of:

resistance to change due to feelings of loss

A modification in a firm's operations or structure, usually as a result of financial pressure.

restructuring

What was the problem that led Kodak to bankruptcy?

they thought their technology and their patents were more valuable than they really were. -failed to recognize that digital was a "huge opportunity"

Managers at Sears developed a plan calling for a new type of store. They would be smaller than a typical Sears store and would not be located in large shopping malls. they would be located in smaller strip centers. They would carry clothes and other "soft goods," but not hardware, appliances, furniture, or automotive products. When executives in charge of the excluded product lines heard about the plan, they raised such strong objections that the plan was cancelled. This is an example of:

threatened self-interests