Ch. 10 MGT
After Mary's Gifts and Cards surveyed its customers, it discovered that its customers preferred the company's competition more than 70% of the time. The most frequently cited reason was customer service. This information will be most helpful to introduce to her employees during which stage of Lewin's change model?
Changing In the changing stage, employees need to be given the tools for change: new information, new perspectives, new models of behavior. Managers can help here by providing benchmarking results, role models, mentors, experts, and training.
Innovation happens in a "Eureka!" moment and it can be systematized. T/F
False Two myths about innovation are that it happens in a "Eureka!" moment and that it can be systematized.
Adaptive change is the introduction of a practice that is new to the organization. T/F
False Adaptive change is reintroduction of a familiar practice—the implementation of a kind of change that has already been experienced within the same organization. Innovative change is the introduction of a practice that is new to the organization.
Sparkling Clean, Inc. is considering implementing a system that will pay its cleaning workers based on the number of completed residential jobs, coupled with satisfactory ratings on random inspections to ensure quality. This system is new to the organization, an example of __________ change.
innovative Innovative change is the introduction of a practice that is new to the organization. This form of change involves moderate complexity, cost, and uncertainty. It is therefore apt to trigger some fear and resistance among employees.
Which of the following sequences best describes how a manager can foster innovation in an organization?
recognize problems, gain allies, overcome resistance, execute well If you're going to not just survive but prevail as a manager, you need to know how to make innovation happen within an organization. Four steps for doing so are (1) recognize problems, (2) gain allies, (3) overcome employee resistance, and (4) execute well (see Figure 10.4).
An emotional or behavioral response to real or imagined threats to an established work routine is known as _____.
resistance to change Resistance to change is an emotional/behavioral response to real or imagined threats to an established work routine. Resistance can be as subtle as passive resignation and as overt as deliberate sabotage.
Firms such as General Motors and McDonald's actively collect information about customer preferences and try to address them in their new products. This reflects __________.
shareholder, customer, and market changes Firms such as General Motors and McDonald's actively collect information about customer preferences and try to address them in their new products. This reflects shareholder, customer, and market changes.
Organizational development managers and consultants follow a moving vehicle model. T/F
False Like physicians, OD managers and consultants follow a medical-like model; that is, they follow the rules of evidence-based management. They approach the organization as if it were a sick patient, using diagnosis, intervention, and evaluation: "diagnosing" its ills, "prescribing" treatment or intervention, and "monitoring" or evaluating progress.
Innovation can be easily systematized. T/F
False Lots of people believe that innovation can be systematized, or made a codified and standardized process that can be designed to always yield fruitful results. Obviously, if this could be done, many companies would be doing it. The problem with innovation, however, is that there are too many challenges associated with it, which makes success unpredictable.
Radical innovation creates products, services, or technologies that don't exist yet. T/F
False Radical (transformational) innovation creates products, services, or technologies that don't exist yet.
When a manager is trying to foster innovation, the first thing he or she should do is work to overcome employee resistance. T/F
False The first step in fostering innovation is to recognize problems and opportunities, and devise solutions.
OD intervention strategies that are successful in one country are highly likely to be successfully applied in other countries. T/F
False OD effectiveness is affected by cross-cultural considerations. Thus, an OD intervention that worked in one country should not be blindly applied to a similar situation in another country.
Walmart's implementation of RFID, a type of technology that allows it to improve inventory tracking, is an example of a(n) ______ change.
Proactive Proactive change or planned change involves making carefully thought-out changes in anticipation of possible or expected problems or opportunities as in Walmart's use of RFID.
The management department at a local university began posting all assignments and other class materials to a course management website instead of creating a packet for students to purchase each term. This is a ______ innovation.
Process A process innovation is a change in the way a product or service is conceived, manufactured, or disseminated. Here, the university changed the way class materials were delivered.
A managerial innovation that improves the efficiency of a company's cross-functional teams would be considered a ______ innovation.
Process You may need to improve the process by which the product or service is created, manufactured, or distributed; this is generally a managerial innovation. A process innovation is a change in the way a product or service is conceived, manufactured, or disseminated.
Researchers working on hydrogen fuel cells hope that this could be a(n) ______ innovation, leading to a clean, renewable energy source, and reducing dependence on depleting fossil fuels with their adverse impact on the global environment.
Radical Radical innovation is the creation of products, services, or technologies that replace existing ones.
________ is an emotional/behavioral response to real or imagined threats to an established work routine.
Resistance to change Resistance to change is an emotional/behavioral response to real or imagined threats to an established work routine. Resistance can be as subtle as passive resignation and as overt as deliberate sabotage.
Disruptive innovation is a process by which a product or service takes root initially in simple applications at the bottom of a market and then relentlessly moves up market, eventually displacing established competitors. T/F
True
Which of the following is an example of a force for change originating outside the organization?
Social and Political Pressures Forces for change that originate outside the organization include demographic characteristics, market changes, technological advancements, and social and political pressures.
Managers hoping to foster innovation must gain allies by communicating their vision. T/F
True
The value of Kotter's steps for leading organizational change is that they provide specific recommendations about behaviors that managers need to exhibit to successfully lead organizational change. T/F
True
Which of the following is not a recommended way to manage innovation and change?
Prevent failure at all cost.
_____________ is the set of techniques used for implementing planned change to make people and organizations more effective.
Organizational development (OD)
A consultant with a background in behavioral sciences who can be a catalyst in helping organizations deal with old problems in new ways is known as a _____.
change agent Often OD is put into practice by a person known as a change agent, a consultant with a background in behavioral sciences who can be a catalyst in helping organizations deal with old problems in new ways.
The organizational development (OD) process has three steps: ____, ____, and ____.
diagnosis, intervention, and evaluation The organizational development (OD) process has three steps: diagnosis, intervention, and evaluation.
Which of the following is the factor that most reduces an organization's ability to learn from failure?
employees who blame others for failure One factor that reduces an organization's ability to learn from failure is employees that blame failures on a person when the causes are internal processes, external events, or even themselves.
Which of the following is not an inside force that indicates organizational change might be needed?
increased competition Inside forces that indicate the need for change in the organization include employee problems such as stress, job dissatisfaction, absenteeism and turnover, and conflict between managers and employees. Competition is an outside force.
The creation of products, services, or technologies that modify those that already exist is called ______ innovation.
incremental Incremental innovations modify existing products, services, or technologies.
In the Internet Age, retailers like Amazon and Apple are not constrained by physical shelf space and can offer consumers a much wider variety of products; yet small sales, one or two rather than millions of items at a time, can produce big profits. This is an example of __________.
the marketplace becoming more segmented and moving toward more niche products In the Internet Age, retailers like Amazon and Apple are not constrained by physical shelf space and can offer consumers a much wider variety of products; yet small sales, one or two rather than millions of items at a time, can produce big profits. This is an example of the market place becoming more segmented and moving toward niche products.
In the ______ stage of Kurt Lewin's change model, managers try to instill in employees the motivation to change, encouraging them to let go of behaviors that are resistant to innovation.
unfreezing In the unfreezing stage, managers try to instill in employees the motivation to change, encouraging them to let go of attitudes and behaviors that are resistant to innovation.
Which of the following is not a way to encourage innovation?
withholding raises and promotions when innovation attempts don't work out Organizations have to develop ways to make innovation happen, including providing the right culture, the appropriate resources, and the correct reward system. People should not be punished when their attempts to innovate don't work out or else they won't attempt new projects in the future.
Which of the following is not an interacting factor that affects the level of resistance to change?
Gender of the change agent Resistance can be considered to be the interaction of three causes: (1) employee characteristics, (2) change agent characteristics, and (3) the change agent-employee relationship. The characteristics of the employees and change agent consist of their individual differences, actions and inactions, and perceptions of change.
Teachers Credit Union has decided that tellers must rotate through a new weekend shift on Saturday afternoons since several of its financial competitors have recently begun to offer additional hours to customers. This is a(n) ______ change.
innovative Innovative change is the introduction of a practice that is new to the organization. This form of change involves moderate complexity, cost, and uncertainty. It is therefore apt to trigger some fear and resistance among employees.
When a grocery store chain adopts a new practice of its competitors by staying open 24 hours a day, requiring employees to work flexible schedules, it is considered a(n) ______ change.
innovative Innovative change is the introduction of a practice that is new to the organization. It is apt to trigger some fear and resistance among employees. For example, should a grocery store decide to adopt a new practice of competitors by staying open 24 hours a day, requiring employees to work flexible schedules, it may be felt as moderately threatening.
Which of the following is not one of the four steps for fostering innovation?
issue a mandate: change or leave Four steps for fostering innovation are to (1) recognize problems and opportunities and devise solutions; (2) gain allies by communicating your vision; (3) overcome employee resistance and empower and reward them to achieve progress; and (4) execute well by effectively managing people, groups, and organizational processes and systems in the pursuit of innovation.
Resistance to organizational change is considered to be the interaction of three causes. These causes can be generally described as employee characteristics, change agent characteristics, and _____.
the change agent-employee relationship Resistance to change is an emotional/behavioral response to real or imagined threats to an established work routine. Resistance can be as subtle as passive resignation and as overt as deliberate sabotage. Resistance can be considered to be the interaction of three causes: (1) employee characteristics, (2) change agent characteristics, and (3) the change agent-employee relationship.
Which of the following is not one of Scott Berkun's seeds of innovation for organizations?
philanthropy Scott Berkun, author of The Myths of Innovation, has identified six seeds of innovation, the starting point for organizational innovation. They are hard work in a specific direction, hard work with direction change, curiosity, wealth and money, necessity, and a combination of seeds.
Links Cable Network has decided to offer a one-hour appointment window for customers needing installation or repair of its service, which will require the company to have several technicians on call. Links hopes this practice will give it an advantage over the competition, none of which have adopted such a practice. It is introducing a(n) ______ change.
radically innovative Radically innovative change involves introducing a practice that is new to the industry.
During December at Toys For Tiny Tots, employees know that they are generally required to work different schedules, weekends, and often with overtime to support the holiday shopping season. This is an example of a(n) ______ change.
adaptive Adaptive change is reintroduction of a familiar practice, or the implementation of a kind of change that has already been experienced within the same organization.
Kotter proposed which of the following for organization change?
eight steps for leading organizational change **Learn the 8 steps that koter proposed **
"What shall we do about the problem?" is the question that would most likely be asked during the ______ stage of OD.
treatment or intervention "Treatment" or intervention is the attempt to correct the diagnosed problems, when we ask "What shall we do about it?"
Inside forces for change include which of the following?
Low productivity and turnover Inside forces for change include employee problems such as low productivity or turnover, as well as managers' behavior.
To explain how to initiate, manage, and stabilize planned change, Kurt Lewin developed a model with three stages. They were _______.
Unfreeze, change, an refreeze To explain how to initiate, manage, and stabilize planned change, Kurt Lewin developed a model with three stages—unfreeze, change, and refreeze.
Employees resist change for all the following reasons except _____.
Faith in change agent's intentions The top reasons employees resist change are (1) individuals' low predisposition toward change; (2) surprise and fear of the unknown; (3) climate of mistrust; (4) fear of failure; (5) loss of status or job security; (6) peer pressure; (7) disruption of cultural traditions or group relationships; (8) personality conflicts; (9) lack of tact or poor timing; and (10) nonreinforcing reward systems.
The two co-founders of Network Appliance, a data-storage firm in Sunnyvale, California, were feuding with each other because one founder couldn't stick to his decisions, which drove the other founder crazy. A(n) ____________ began working with the warring executives in separate sessions to solve the problem.
organizational behavior specialist The two co-founders of Network Appliance, a data-storage firm in Sunnyvale, California, were feuding with each other because one founder couldn't stick to his decisions, which drove the other founder crazy. An organizational behavior specialist began working with the warring executives in separate sessions to solve the problem.