Organizational Change Management

1. Organizational Change Management (Change Resistance Management) By : Noor Arafat & Farah Bustami

2. What is Organizational Change? • It includes the management of changes to the organizational culture , business processes, physical environment, job design, responsibilities, staff skills ,knowledge and policies , procedures. • It is generally considered to be an organization-wide change, as opposed to smaller changes such as adding a new person.

3. What is resistance to change ? • Resistance to change is the act of opposing or struggling with modifications or transformations that alter the status quo in the workplace.

4. Employee resistance The top-four reasons for employee resistance were : 1. Lack of understanding around the vision and need for change. • Employees did not clearly understand why the change was happening, nor did they have adequate knowledge regarding the change itself. Employees did not have the answer to the questions “what’s in it for me?” or "Will I have a job?," "How will it impact my daily work?," "How will I benefit from the change?".

5. The top-four reasons for employee resistance : 2.Comfort with the status quo and fear of the unknown. • The current processes and systems seemed fine to the employees, and they were opposed to the change since it forced them out of their comfort zone. Uncertainty and fear of the new system compounded the desire of employees to continue with the “old way” to which they had grown accustom.

6. The top-four reasons for employee resistance : 3.Opposition to the new technologies, requirements and processes introduced by the change. • Employees were opposed to changes that increased the performance and process measurement of their work. The change was seen as adding unwanted work, responsibility and accountability

7. The top-four reasons for employee resistance : 4.Fear of job loss. • Some employees felt that the change would eliminate the need for their job, while others were unsure of their own abilities and skills in the new environment.

8. Manager resistanceThe top-four reasons for manager resistance to change were : 1.Loss of power and control • Changes often eliminated something the manager had control of or introduced something that the manager would not have control over and some participants indicated that the change was even perceived as a personal attack on the managers.

9. The top-four reasons for manager resistance to change were : 2.Lack of skills and experience needed to manage the change effectively. • Managers were fearful of the new demands that would be placed on them by the business change. Several skill areas were identified as areas of concern. First, managers were uncomfortable with their role in managing the change. Some feared recrimination while others did not have the experience or tools to effectively manage their employees’ resistance. Managers also were concerned about the demands and responsibilities placed on them by the new business processes, systems or technologies.

10. The top-four reasons for manager resistance to change were : 3.Fear of job loss. • Managers felt that the business change would ultimately impact their own job security. Middle management is often the victim of large-scale business change. One participant reaffirmed this fear:   “They were eliminated in the change, so no resistance was recorded.”

11. The top-four reasons for manager resistance to change were : 4.Disagreement with the new way. • They did not feel that the solution was the best approach to fixing the problem. They had this skepticism about the need for change ( they were not convinced of the need for change ).

12. Questions we need to ask ourselves after doing a change : • Was it successful? Did it go smoothly? • What were your feelings early on? Later? • What did the people around you say about it?

13. Life Cycle of Resistance to Change The response to change tends to move through a life cycle of 5 phases: Phase 1. • Only few people who see need for change. • Resistance appears massive Phase 2. • Forces for and against change become identifiable. • Change more thoroughly understood. • Novelty of change tends to disappear.

14. Phase 3. • Direct conflict and showdown between forces. • This phase probably means life or death to change. Phase 4. • Remaining resistance seen as stubborn. • Possibility that resisters will mobilize support to shift balance of power. Phase 5. • Resisters to change are as few and as alienated as were advocates in first phase.

15. Major Factors Affecting Success of Change : • Advocates of change • Degree of change • Time frame • Impact on culture • Evaluation of change.

16. Major Factors Affecting Success of Change :

17. Major Factors Affecting Success of Change : • Advocates of Change Person leading change program is often most important force for change. Internal or external OD practitioners may be brought in to assist. • Degree of ChangeIs change minor or major? The greater the degree of change, the more difficult it is to implement. • Time FrameGreater chance of success if change is gradual and in longer time frame. Some organizations only chance for survival depends on radical change introduced swiftly.

18. Major Factors Affecting Success of Change : • Impact on CultureThe greater the impact on existing culture, the greater the resistance and difficulty to implement change. • Evaluation onCulture Standards of performance developed to measure change and impact on organization.

19. Two major considerations in organizational change are : • Degree of change. • Impact on organization’s culture.

21. Minor change, minor impact on culture. Resistance will be at lowest level and success will be most probable. • Minor change, major impact on culture. Some resistance can be expected. • Major change, minor impact on culture. Some resistance is likely. Good management can probably overcome it. • Major change, major impact on culture .The greatest resistance can be predicted. The probability of success is low.

22. Strategies to Lessen Resistance : • Do change management right the first time • Expect it • Address it formally • Identify the root causes • Engage the �right� resistance managers • Education and communication. • Create a vision. • Participation and involvement of members.

23. Strategies to Lessen Resistance : • Facilitation and support. • Negotiation and agreement. • Leadership. • Reward systems. • Explicit and implicit coercion. • Climate conducive to communications. • Power strategies.

24. The End