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Allentown Materials Corp. (B). Evaluation of a Change Effort Did the managers select the right design solutions? Is the organization design changing in a way demanded by its environment?. Allentown Materials Corp. (B). Evaluation of a Change Effort
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Allentown Materials Corp. (B) • Evaluation of a Change Effort • Did the managers select the right design solutions? Is the organization design changing in a way demanded by its environment?
Allentown Materials Corp. (B) • Evaluation of a Change Effort • Are the methods by which the changes implemented effective in getting the commitment of people in the organization?
Recommendations for Change • Increase integration by developing a project organization • Identify and develop integrators in marketing • Identify project teams for each project composed of appropriate level people • Top Team becomes Resource Allocation Team (RAT) • Quarterly project reviews with RAT • Eliminate present product review meetings • Are the methods by which the changes implemented effective in getting the commitment of people in the organization?
Recommendations for Change • Communicate new project organization to division • Develop interpersonal competence of people to function in new organization • Train integrators • Develop effective project teams • Team-building for top management • Training and development in conflict management • Are the methods by which the changes implemented effective in getting the commitment of people in the organization?
Recommendations for Change • Improve group/functional relations through special Inter-group Problem Solving Meetings • Top team to develop objectives and strategies for the division • Stronger, more personal
Year Resistors 1990 1 1991 0 1992 4 1993 0 1994 6 Capacitors 0 0 0 0 3 Allentown EPD: New Products
Styles1992 Forcing 3.1 Smoothing 3.0 Constructive 2.9 1994 2.8 2.5 3.5 Allentown EPD: Conflict Resolution Styles
Allentown EPD 1994 • What did we miss?
What is a Successful Change? • The future state is reached • Performance in the future state meets or exceeds expectations • Transition costs are managed and false starts are minimized • The organization is capable of continuing to change and improve
Change Readiness • Ch = (D x F x P) > C • Ch = Change • D = Dissatisfaction with the status quo • F = Clear model or vision of future state • P = Planned process for managing change • C = Cost of change to individuals and groups