MGMT Chapter 10
Kotter's Eight Steps
1. Establish a sense of urgency 2. Create the guiding coalition 3. Develop a vision and a strategy 4. Communicate the change vision 5. Empower broad-based action 6. Generate short-term wins 7. Consolidate gains and produce more change 8. Anchor new approaches in the culture
Four Steps for Fostering Innovation
1. Recognize problems and opportunities and devise solutions 2. Gain allies by communicatingyour vision 3. Overcome employee resistance, and empower and reward them to achieve progress 4. Execute well by effectively managing people, groups, and organizational processes and systems in the pursuit of innovation
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
Disruptive Innovation
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
At the Big Peaches Department Store, employees generally know that during annual inventory, they are required to work overnight shifts. This is an example of _____ change. A. Adaptive B. Reactive C. Innovative D. Proactive
A. Adaptive
Three Kinds of Change
Adaptive change, innovative change, radically innovative change
Resistance to Change
An emotional/behavioral response to real or imagined threats to an established work routine
Technology
Any machine or process that enables an organization to gain a competitive advantage in changing materials used to produce a finished product, not just computer technology
Fred, an OD consultant, is designing a survey of employee attitudes to be given to workers at the Lemon Automobile Company. Fred is in the ____ stage of OD. A. Intervention B. Diagnosis C. Evaluation D. Process Consultation
B. Diagnosis
Wendy's created display screens at its drive-thru windows that show customers their orders and prices. This is an example of a _____ innovation. A. Product B. Process C. Adaptive D. Reactive
B. Process
Production Innovation
Change in the appearance or performance of a product or the creation of a new one
Process Innovation
Change in the way a product is conceived, manufactured, or disseminated
Unfreezing
Create the motivation to change
Forces for Change: Outside the Organization
Demographic characteristics, technological advancement, shareholder, customer and market changes, social and political pressures
The OD Process
Diagnosis, Intervention, Evaluation
Model of Resistance to Change
Employee characteristics, resistance to change, change agent characteristics/change agent-employee relationship
Seeds of Innovation
Hard work in a specific direction, hard work with direction change, curiosity, wealth and money, necessity, combination of seeds
Evaluation
How well has the intervention worked?
Forces for Change: Inside the Organization
Human resource concerns, managers' behavior
Two Myths about Innovation
Innovation happens in a "Eureka!" moment, innovation can be systematized
Proactive Change
Involves making carefully thought-out changes in anticipation of possible or expected problems or opportunities, also called planned change
Adaptive Change
Least threatening, reintroduction of a familiar practice
Reactive Change
Making changes in response to problems or opportunities as they arise
OD's Uses
Managing conflict, revitalizing organizations, adapting to mergers
The Effectiveness of OD
Multiple interventions, management support, goals geared to both short and long term results, OD is affected by culture
Changing
New information, models and procedures
Organizational Development
Set of techniques for implementing planned change to make people and organizations more effective
Innovative Change
Somewhat threatening, introduction of a practice that is new to the organization
Refreezing
Support and reinforce the change
Transformational Innovations
The invention of breakthrough products or services that don't exist yet and that are aimed at creating brand new markets and customers
Core Innovations
The optimizing of products or services for existing customers
Lewin's Change Model
Unfreezing, changing, refreezing
Radically Innovative Change
Very threatening, involves introducing a practice that is new to the industry
Diagnosis
What is the problem?
Intervention
What shall we do about it?, an attempt to correct the diagnosed problem