Managing Organizational Change - PowerPoint PPT Presentation

Loading...

PPT – Managing Organizational Change PowerPoint presentation | free to download - id: 5392f6-NDllO



Loading


The Adobe Flash plugin is needed to view this content

Get the plugin now

View by Category
About This Presentation
Title:

Managing Organizational Change

Description:

Managing Organizational Change From Gray & Larson Project Management: The Managerial Process Types of Organizational Cultures Control cultures Drive for ... – PowerPoint PPT presentation

Number of Views:164
Avg rating:3.0/5.0
Slides: 46
Provided by: eleo81
Category:

less

Write a Comment
User Comments (0)
Transcript and Presenter's Notes

Title: Managing Organizational Change


1
Managing Organizational Change
2
(No Transcript)
3
(No Transcript)
4
Achieving Sustained Competitive Advantage
  • 1. Adapting to change in external trends,
    internal capabilities and resources

2. Effectively formulating, implementing
evaluating strategies
5
Adapting to Change Key Strategic Management
Questions
  • What kind of business should we become?
  • Are we in the right fields
  • Are there new competitors
  • What strategies should we pursue?
  • How are our customers changing?

6
Contingency Approaches
  • Huys Contingency Approach categorizes change
    into 4 ideal types
  • The commanding intervention
  • Short-term and rapid
  • senior executives
  • Downsizing, outsourcing, divesting
  • The engineering intervention
  • Medium-term and relatively fast
  • Analysts
  • Changing work design and operational systems
  • The teaching intervention
  • Long-term and gradual
  • Consultants
  • Work practices and behaviours
  • The socializing intervention
  • Long-term and gradual
  • Participative experiential learning,
    self-monitoring
  • Democratic organizational practices

8-6
7
Contingency Approaches
  • Contingency approaches remain less common than
    change management approaches. Suggested reasons
    include
  • Achieving fit may be difficult due to differing
    perceptions of the conditions in which the fit is
    sought
  • Contingency approaches require greater analysis
    and decisions by managers the prescriptiveness
    of change management models may be attractive to
    managers
  • Contingency approaches focus on leadership style
    rather than a specific set of actions
  • The use of different change styles at different
    times may raises questions in the minds of staff
    as to the credibility of senior management.
  • There is a question about what is contingent to
    managing change

8-7
8
Why Organizations Change
  • External forces for change
  • e.g. new technology
  • e.g. geopolitical environment
  • Internal Forces for change
  • e.g. a new CEO
  • e.g. growth cycle
  • Forces for stability
  • Think Do we really need this change? what are
    the likely returns (economic, other) of this
    change?

1-8
9
What Changes in Organizations
  • Common types of changes
  • Mergers and acquisitions
  • Downsizing
  • Technological changes
  • Proactive Vs. reactive changes
  • Scale of change
  • Incremental
  • transformational

1-9
10
Diagnosis for Change
  • Organization models to assess where changes are
    needed in an organization
  • Strategy
  • Structure
  • Operations
  • Culture
  • Management behaviours and mindsets
  • Employee behaviours and mindsets
  • Communication
  • Reward mechanisms
  • Modes of interaction
  • Component analysis tools to assess the changes
    needed in each part of the organization
  • E.g. force-field (strategy), PESTEL
    (environment), cultural web (culture)
  • Assessing readiness to change

1-10
11
Resistance to Change
  • Why do people resist to change
  • Experiences with past change
  • Discomfort with uncertainty
  • Lack of conviction that change is needed
  • Perceived negative effect on interests
  • Lack of clarity as to what is expected
  • Belief that the timing is wrong
  • Managing resistance
  • The resistance cycle
  • The power of resistance

1-11
12
Implementing Change
  • Implementation method is important A good idea
    for change may be badly managed and fail.
  • How much do we involve people
  • When things will be done
  • Two main approaches
  • Organization development (OD)
  • Appreciative Inquiry
  • Change Management
  • Contingency approaches

1-12
13
Linking Vision and Change
  • Content of meaningful visions
  • Process by which visions are emerged
  • Three dilemmas
  • Does vision drive change or emerge during change?
  • Visions help or hinder change?
  • Vision belongs to organizations or to leaders?

1-13
14
Sustaining Change
  • Actions to sustain change
  • Redesign roles and reward systems
  • Measure progress
  • Celebrate
  • Fine-tune

1-14
15
1-15
16
MCKINSEYS 7S FRAMEWORK
17
McKinsey 7-S Model
  • Strategy
  • Structure
  • Systems
  • Style
  • Staff
  • Skills
  • Superordinate goals

18
McKinsey 7-S Model
  • Strategy
  • Structure
  • Systems
  • Style
  • Staff
  • Skills
  • Superordinate goals

The Hard Ss
The hard elements are factual and easy to
identify. They can be found in strategy
statements, corporate plans, organization charts,
and other documentation
19
McKinsey 7-S Model
  • Strategy
  • Structure
  • Systems
  • Style
  • Staff
  • Skills
  • Superordinate goals

The Soft Ss
The soft elements are difficult to describe since
they are continuously developing and changing.
They are highly determined by the people at work
in the organization.
20
7-S Model The Hard Ss
  • Strategy
  • Actions a company plans in response to or in
    anticipation of changes in its external
    environment
  • Structure
  • Basis for specialization and coordination,
    influenced primarily by strategy and by
    organization size and diversity
  • Systems
  • Formal and informal procedures that support the
    strategy and structure (Systems are more powerful
    than they are given credit)

21
Strategy Formulation

Vision Mission
External Opportunities Threats
Internal Strengths Weaknesses
Long-Term Objectives
Alternative Strategies
Strategy Selection
22
Organizational Structure
  • Organization Chart
  • formal reporting relationships
  • levels in hierarchy
  • spans of control
  • departmentalization
  • Systems to facilitate
  • coordination
  • communication
  • integration

23
Structural Designs
  • Functional Structure
  • Can adapt functional structure with horizontal
    linkages
  • Divisional Structure
  • Geographical Structure
  • Matrix Structure
  • Horizontal Structure / Product Line Structure
  • Hybrid Structure

24
Other Organizational Forms
  • Joint Ventures
  • Licensing agreements
  • Strategic Alliances
  • Consortia
  • Virtual organizations
  • Global (transnational) Work Teams

25
Virtual Teams
  • Virtual Teams are characterized by
  • Distributed locations of team members
  • Use of information technology to accomplish tasks
  • Effective when
  • Communication collaboration skills are high.
  • Trust among team members is high
  • Organizations are increasing their use of virtual
    teams
  • Potential for improvement in virtual team
    management is huge

26
Information Linkages
  • Vertical Information Linkages
  • Hierarchy
  • Rules and plans (i.e. budget)
  • Horizontal Information Linkages
  • Information systems
  • Liaison role
  • Task force
  • Integrator role (i.e. Project manager)
  • Cross-functional teams

27
Systems various elements
  • Communications practice and system
  • Management reporting system
  • Approval process
  • Planning/budgeting system
  • Rewards system including appraisal
  • Rules

28
From Tasks to Structure
  • Tasks define jobs
  • Jobs define skills required
  • Skills (and other considerations) define staff
  • Over time skills change as staff gains knowledge
    and experience, and as technology and corporate
    infrastructure mature
  • Collection of jobs basis for structure

29
Job design considerations
  • Do they have the necessary skills and knowledge
    to fulfill proposed / expanded job requirements?
  • What are the needs of the incumbent or the rest
    of your workforce in general?
  • Monetary
  • Growth
  • Socialization

30
THE SOFT Ss
31
7-S Model The Soft Ss - 1
  • Style / Culture The culture of the
    organization, consisting of
  • Organizational culture the dominant values,
    beliefs and norms which develop over time and
    become relatively enduring features of
    organization life
  • Management style what managers do rather than
    what they say (where they spend their time and
    attention, what they allow, what they reward,
    etc)
  • Staff
  • Skills
  • Shared values / Superordinate goals

32
7-S Model The Soft Ss - 2
  • Style / Culture
  • Staff
  • The people/human resource management ways of
    shaping basic management values, processes used
    to develop managers, ways of introducing new
    employees and managing careers, socialization
    processes
  • Skills
  • Distinctive competencies what the company does
    best, ways of developing or shifting competencies
  • Shared values / Superordinate goals
  • Guiding concepts, fundamental ideas around which
    a business is built simple, usually stated at
    abstract level, have great meaning inside the
    organization, although outsiders may not see or
    understand them

33
Organizational Culture
  • Culture is to organizations what personality is
    to individuals
  • All companies have cultures
  • Culture by default
  • Culture by design thoughtful choices based on
    values and core beliefs
  • How does a company consciously create its culture?

34
From Gray Larson Project Management The
Managerial Process
35
Types of Organizational Cultures
  • Control cultures Drive for predictability
    and order
  • Collaboration cultures Pursue close
    relationship with customers
  • Competence cultures Pursue excellence and
    innovation
  • Cultivation cultures Pursue life enrichment
    for customers and employees

36
Organizational Culture
  • Observable Evidence
  • Symbols
  • Ceremonies
  • Stories
  • Behaviors
  • Language
  • Dress
  • Underlying Roots
  • Values, Assumptions, Beliefs, Attitudes, Feelings

37
Culture in practice
  • Conflict management
  • Relationship or interpersonal conflict
  • Task / process conflict
  • Functional vs. dysfunctional conflict
  • Factors goal incompatibility, limited resources,
    differences
  • Power the capacity to influence behavior
  • Positional power rewards/consequences, control
    of resources, information and decision control
  • Personal power expert, referent (based on
    identification and admiration)
  • Politics the use of power to influence decisions

38
Management vs. Leadership
  • Planning vs. Setting the
    budgeting direction
  • Organizing vs. Aligning
    people staffing
  • Controlling vs. Motivating
    people problem solving

Management is about coping with complexity
Leadership is about coping with change
39
(No Transcript)
40
McKinsey 7-S Model
  • Strategy
  • Structure
  • Systems
  • Style
  • Staff
  • Skills
  • Superordinate goals
  • Effective organizations achieve a harmony
    between these seven elements if one element
    changes, then this will affect all the others

41
McKinsey 7-S Model
  • The 7-S Model can be a valuable tool to
    initiate change processes and to give them
    direction i.e. determine current state and ideal
    state of each element, and develop action plans
    to close the gaps
  • Strategy
  • Structure
  • Systems
  • Style
  • Staff
  • Skills
  • Superordinate goals

42
McKinsey 7-S Model
  • In change processes, many organizations focus
    their efforts on the hard Ss however, the soft
    factors can make or break a successful change
    process. All factors must be accounted for.
  • Strategy
  • Structure
  • Systems
  • Style
  • Staff
  • Skills
  • Superordinate goals

43
McKinsey 7-S Model
  • Strategy
  • Structure
  • Systems
  • Style
  • Staff
  • Skills
  • Superordinate goals
  • Interrelated
  • Equilibrium
  • Foundation of corporate culture
  • Levers available to management

44
Executing Change Seven Key Considerations
  • Strategic Intent
  • Substance
  • Scale
  • Scope/Breadth
  • Speed
  • Sequence
  • Style

45
  • Strategic Intent
  • Substance
  • Scale
  • Scope/Breadth
  • Speed
  • Sequence
  • Style

Precise Broad
Soft Ss Hard Ss
Small Large
Isolated
Organization-wide
Slow Fast
Hard Soft Soft Hard
Top Down Bottom Up
About PowerShow.com