Chapter 13 Organizational Change

Product Innovation

A change in the physical characteristics or performance of existing products or service or the creation of brand-new products or services.

Process Innovation

A change in the way a product or service is manufactured, created, or distributed.

Organizational development

A planned, organization-wide effort, managed from the top, that is intended to increase organizational effectiveness and health through interventions in its processes using behavioral science knowledge.

Innovation Process

Development, application, launch, growth, maturity, and decline.

Organizational Development Techniques

Diagnostic Activities, Team Building, Survey Feedback, Education, Intergroup activities, Third-party peacemaking, technostructural activities, process consultation, Life and career planning, coaching and counseling, planning and goal setting.

Intrapreneurs

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

process consultation

observation and recommendations from an expert on improving interpersonal processes.

diagnostic activities

quizzing workers and examining archives to determine the causes of problems.

coaching and counseling

recommendations to workers and managers on performance improvements.

Innovation

The managed effort of an organization to develop new products or services or new uses for existing products or services.

survey feedback

using surveys to measure perceptions

inter group activities

working to improve the relationship between two or more groups

third-party peacemaking

intervention from an outside party in resolving a conflict between others

Radical Innovation

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

Incremental Innovation

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

Organizational change

Any substantive modification to some part of the organization.

Managerial Innovation

Change the management processes in an organization

Technical Innovation

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

OD(Organizational Development) Assuptions

Employees desire to grow and develop. Employees have a strong need to be accepted. Individuals will influence the organization and the organization will influence individuals.

Reactive change

Is a piecemeal response to events and circumstances as they develop.

Planned Change

Is designed and implemented in an orderly and timely fashion in anticipation of future events.

Reasons for Failure to Innovate

Lack of resources Failure to recognize opportunities Resistance to change

Reengineering

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

Promoting Innovation in Organization

Use a reward system Have a supportive organizational culture Encourage intrapreneurship in larger organizations

technostructural activities

change the organization design and/or prevailing technology.

Unfreezing

first step in lewin model, Individuals must be shown why the change is necessary.

team building

fostering good interpersonal relations and participation

life and career planning

helping employees formal personal and career goals.

planning and goal setting

teaching the mechanics of the decision-making process.

refreezing

third step in lewin model, Involves reinforcing and supporting the change so that it becomes a permanent part of the system.

education

training in "people" skills