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BA 4226 Managing Organizational Change What changes in organizations. Instructor: Çağrı Topal. Types of organizational change. First-order or incremental Continuous and small-scale Anticipation and fine-tuning Reaction and adaptation Second-order or transformational
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BA 4226Managing Organizational ChangeWhat changes in organizations Instructor: Çağrı Topal
Types of organizational change • First-order or incremental • Continuous and small-scale • Anticipation and fine-tuning • Reaction and adaptation • Second-order or transformational • Discontinuous and large-scale • Anticipation and reorientation • Reaction and re-creation
First-order change-subtypes • Change as the taking of individual iniatives • Going beyond jobs • Change as the development of local routines • Going beyond routines
Second-order change-subtypes • Delayering • Networks and alliances • Outsourcing • Disaggregation • Empowerment • Flexible work groups • Short-term staffing • Reduction of internal and external boundaries
Second-order change-magnitude • Type 1: professionalization • Type 2: revitalization • Type 3: renewal
In-between changes • Mid-range organizational change • Punctuated equilibrium • Robust transformation • Jolts • Step functions • Oscillation
Implications • Change types may not be neatly categorized • Multiple types of changes may occur simultaneously or nested and interrelated • Small changes may have larger unanticipated consequences • Inertial forces may prevent adaptive changes • Change and stability is intertwined • Change may add on torather than remove current practices • Incremental change is not always less risky
Downsizing challenges • Employee retention • Avoiding hard landings • Minimizing political behavior and loss of teamwork • Survivor syndrome • Communication • Due diligence • Cultural adjustment • Choice of restructuring technique
Technological change challenges • Goal synthesis • Choice of technology • Identifying political barriers • The IT team • Communication • Time frame • Contingency planning
Mergers and acquisitions challenges • Cost savings • Cultural adjustment • Balancing change and continuity • Due diligence • Employee retention • Contingency planning • Power structure • Communication