MGT CH.18 NOTES

Two features of OD that are important to note:

-aims to increase organizational effectiveness -has an important underlying value or orientation: it supports human potential, development, and participation in addition to performance and competitive advantage

the essential activities of leading change are summarized:

1. Establishing a sense of urgency 2.Creating the guiding coalition 3.Developing a vision and strategy 4.Communicating the change vision 5.empowering broad based action 6.generating short term wins 7.consolidating gains and producing more change 8.anchoring new approaches in the culture

4 key factors to achieving sustained greatness:

1.Strategy 2.Execution 3.Culture 4.Structure

Jim Collins book Good to Great shows the

Level 5 Hierarchy

peer pressure

a team can sometimes band together in opposition even if one might not be fully opposed

genius of the and

ability to achieve multiple objectives simultaneously

level 5 executive

builds enduring greatness through a paradoxical blend of personal humility and professional will

level 4-effective leader

catalyzes commitment to and vigorous pursuit of a clear and compelling vision, stimulating higher perofmrnace standards

level 2-contributing team member

contributes individual capabilities to the achievement of group objectives and works effectively with others in a group setting

Org. Development is not directly concerned with

economic, financial, or technical aspects of the organization

different assessments

employees receive different and usually less information that management receives

Strategy

focused on customers, continually fine-tuned based on marketplace changes, and clearly communicated to employees

execution

good people, with decision making authority on the front lines, doing quality work and cutting costs

world-class companies create

high-value products and earn superior profits over the long run

surprise

if the change is sudden unexpected, or extreme, resistance may be the initial reaction

Reasons for resistance to change:

inertia, timing, surprise, peer pressure

force-field analysis

involves identifying the specific forces that prevent people from changing and the specific forces that will drive people toward change

organization change

involves introducing and sustaining multiple policies, practices, and procedures across multiple units and levels

organizational development

is a systemwide application of behavioral science knowledge to develop, improve, and reinforce the strategies, structures, and processes that lead to organization effectiveness

performance gap

is the difference between actual performance and the performance that should or could exist

Level 5 Hierarchy:

level 1-highly capable individual level 2-contributing team member level 3-competent manager level 4-effective leader level 5-level 5 executive

level 1 highly capable individual

makes productive contributions through talent, knowledge, skills, and good work habits

structure

making the organization easy to work in and easy to work with, characterized by cooperation and the exchange of information and knowledge throughout the organization

management tactics

management may attempt to force the change and may fail to address concerns; or provide the necessary resources, knowledge, or leadership

education and communication approach

management should educate people about upcoming changes before they occur

facilitation and support

management should make the change as easy as possible for employees and support their efforts

explicit and implicit coercion

managers use force to make people comply with their wishes; sometimes you have to lay down the law

unfreezing stage

mangement realizes that its current practices are no longer appropriate and the company must break out of (unfreeze) its present mold by doing things differently

proactive

means anticipating and preparing for an uncertain future

reactive change

means responding to pressure after a problem has arisen

refreezing

means strengthening the new behaviors that support the change, involves implementing control systems that support the change, applying corrective action when necessary, and reinforcing behaviors and performance that support the agenda

inertia

not wanting to change the status quo, the old ways of doing things are comfortable and easy, so people don't want to shake things up and try something new

culture

one that motivates, empowers people to innovate, rewards people appropriately, entails strong values, challenges people, and provides a satisfying work environment

level 3-competent manager

organizes people and resources toward the effective and efficient pursuit of predertimened obj.

misunderstanding

people can resist change if they don't fully understand it

______ are the key to successful change

people, they must be motivated to change

timing

poor timing, can be a reason for resist to change; busy/under stress

organizational ambidexterity

refers to being able to achieve multiple objectives at the same time

Change-specific reasons for resistance

self interest, misunderstanding, different assessments, management tactics,

manipulation and cooptation

some managers use more subtle covert tactics to implement change cooptation-involves giving resisiting individual a desirable role in the change process

self interest

some people care less about the organizations best interest than they do about their own best interests

core values of several organizations that were built to last:

strong core values, driven by goals, change continuously, do not focus on beating the competition; they focus on beating themselves

adapters

take the current industry structure and its future evolution as givens

participation and involvement

the people who are affected by the change should be involved in the changes design and implementation

tyranny of the or

this refers to the belief that things must be either A or B and cannot be both ex.belief that you must choose between either growth or stability etc..

moving

to institute the change, begins with establishing a vision of where the company is heading

shapers

try to change the structure of their industries, creating a future competitive landscape of their own design

motivating people to change often requires three basic stages:

unfreezing, moving to institute the change, and refreezing

negotiation and rewards

when necessary and appropriate, management can offer concrete incentives for cooperation with the change