HRM 601 Organizational Behavior

1. HRM 601 Organizational Behavior Session 14 Organizational Change & Development

2. The Need for Change in Organizations • Change as a survival tactic -- if the organization does not keep pace the changing technology, consumer demands, and effective business processes, they will lose their competitive edge.

3. The Learning Organization • Organizations that acquiring and applying knowledge to help cope with and adapt to change. • Knowledge acquisition • Information distribution • Information interpretation • Organizational memorization

4. Planned Change • Changes in products or services • Changes in size or structure • Changes in administrative structures • Changes in technology

5. Unplanned Change • Government regulation • Economic competition • Performance Gaps

6. Areas of Organizational Change • Goals and strategies • Technology • Job design • Structure • Processes • People

7. The Change Process Unfreezing (Facing the Problem) Moving (Creating a New State) Status Quo Refreezing (Maintaining the Change New State

8. Individual Barriers to Change • Economic fears • Fear of the unknown • Fear of social disruptions • Effort • Fear of loss of power and autonomy • Commitment to the old position

9. Organizational Barriers to Change • Structural inertia • Work group norms • Threat to existing balance of power • History of change efforts gone wrong • Boards of Directors

10. Overcoming Resistance to Change • Informing about pressures for change • Pointing out discrepancies between current state and desired one • Convey positive expectations for change

11. What is Organizational Development? • It is the application of social science techniques to plan change in organizational settings for the purpose of enhancing organizational effectiveness and the development of individuals.

12. Underlying Values • Concept of people • Concern for science • Democratic principles • The helping relationship

13. Potential Conflicts with OD • Conflict with profit making • Conflict with managerial prerogatives

14. Organizational Level Diagnosis Transformation Strategy Design Factors Culture Inputs General Environment Industry Structure Outputs Performance Productivity Satisfaction

15. Group Level Diagnosis Transformation Group Design Factors Inputs Organization Design Factors Culture Strategy Outputs Team Effectiveness Productivity, Satisfaction

16. Individual Level Diagnosis Transformation Job Design Factors Inputs Group Design Factors Personal Characterist- ics Outputs Individual Effectiveness Productivity, Satisfaction

17. After Diagnosis • Feeding back the information • Choosing interventions • Managing change • Institutionalizing change

18. Team Building • Improved group processes • Communication • Goal clarification • Role clarification • Task orientation

19. Survey Feedback • Small meetings to feedback survey results • Meetings used to formulate change • Managers conduct meetings to indicate commitment

20. Employee Involvement • Quality of worklife • Quality circles • Total quality management

21. Re-Engineering • Job redesign • Teamwork • Work performed by most appropriate person • Advanced information technologies used

22. OD Effectiveness • More impact on organizational than individual outcomes • Works better for white collars than blue collars • Works better if multiple techniques are used • Technological change shows more positive outcomes

23. Measurement Problems • Difficult to isolate cause of outcomes since OD efforts often involve multiple changes • May be the result of Hawthorne effects • Change may be due to maturation or passage of time and not intervention

24. Ethical Issues • The role of the OD practitioner • Who’s values

25. Continuing Issues • Importance of learning and knowledge • Impact of technology • Managing the remote work force