study Guide
c0ntents
Topic 1 Mapping the terrain of organisational change and development …………. 5
Before you get started …………………………………………… ………………………………………………………….. 5
what is organisational change? ……………………………………………………………………………………………. 5
what is organisational transformation? ………………………………………………………………………………… 6
what is organisation development? ……………………………………………………………………………………… 7
References …………………………………………… ………………………………………………………………………… ll
Topic 2 The nature of change …………………………………………………………………………………………….. 13
what prompts organisations to change? ………………………………………………………………………………… l3
A word about discontinuous change ……………………………………………………………………………………. l5
References …………………………………………… ………………………………………………………………………….. l9
Topic 3 Models of organisational change …………………………………………………………………………….. 21
Topic 4 Recognising and diagnosing the need for change ……………………………………………………… 27
Topic 5 Managing personal transitions ………………………………………………………………………………….31
Resistance …………………………………………… …………………………………………………………………………..36
Topic 6 Politics, power and leadership …………………………………………………………………………………..39
Politics and power …………………………………………… …………………………………………………………………39
Leadership …………………………………………… ……………………………………………………………………………4o
Ethics and the change leader …………………………………………………………………………………………………45
References …………………………………………… ……………………………………………………………………………46
Topic 7 communicating change and motivating others ……………………………………………………………..47
communication and resistance to change ……………………………………………………………………………….. 47
Topic 8 The learning connection ……………………………………………………………………………………… ……51
organisational learning …………………………………………………………………………………………………………. 5l
Individual learning ……………………………………………. ……………………………………………………………….. 57
Topic 9 strategies for change ………………………………………………………………………………………………….59
Role of vision in organisation change …………………………………………………………………………………….. 59
Topic 1o lnterventions ……………………………………………………………………………………. …………………….61
Intervention types …………………………………………… ………………………………………………………………….. 6l
Topic 11 Evaluating and sustaining change ……………………………………………………………………………..65
Evaluation …………………………………………… …………………………………………………………………………….. 65
sustaining change …………………………………………… …………………………………………………………………… 66
Topic 1 Mapping the terrain 0f 0rganisati0nal change and devel0pment .
organisational transformation (oT)
. explain six change approaches that include organisational development (oD)
. appreciate the parent disciplines of each approach.
Materials required
Textb00k
Introduction and overview, chapter 3, cPatterns of change’ and chapter 4, cRecognising the Need or opportunity for change’.
Readings
l.l
HRD and oD’ ) Human Resource Management
l.2 cacioppe, R & Edwards, M 2oo5, cseeking the holy grail of organisational development’, Leadership and organization Development Journal
sl.3 Buchanan, D & Dawson, PMB 2oo7, cDiscourse and audience: organizational change as multi-story process, Journal of Management studies
Bef0re y0u get started
Take some time to quickly read the introduction and overview as it will give you a place to commence your understanding of the component parts of such enquiry as well as an understanding of the text layout. what is 0rganisati0nal change?
that alters the status quo or new ways of organising and working.
Most theorists do seem to agree that organisational change encompasses the individual, the group and the organisation, with some also envisaging the inter-organisational (i.e. networked organisations). Most theorists agree that organisational change can involve:
. techn0structural interventi0ns such as restructuring of the organisation, downsizing, work design and degrees of employee involvement
. strategic interventi0ns such as environmental change, mergers or acquisitions, networks and alliances
. human res0urce management interventi0ns such as performance management, rewards, career planning and human resource development.
organisational change management is broadly informed by the parent social science disciplines of economics, strategy, psychology, sociology, management and organisational behaviour.
Palmer et al. (2oo8) suggest that there are six methods of implementing change:
. organisation development
. appreciative enquiry
. sense-making approaches
. change management
. contingency approaches
. processual approaches.
what is 0rganisati0nal transf0rmati0n?
Given the discontinuous nature of change, discussed in the next topic, the concept and practice of organisation transformation (oT) has entered the oD/change literature. oT is aimed at changing the basic culture of an organisation aligning the culture with the organisation’s strategies, design elements and external environment. organisational transformation requires radical changes in how members of the organisation perceive, think and act.
environmental and external discontinuities such as changes in legal, political economic or technological conditions, product life cycles, company size or strategy or executive turnover, and has several properties namely:
.
tuning or incremental change and involve changes to values, power and expertise as well as structure, . change involves a new organising paradigm _ this may involve a change from a ccommand’ to a at the level where the decision is implemented, matrix structures and teamwork
. change is driven by senior management and line managers _ these managers envision the change through developing the strategic direction, energise the organisation and enable the change to occur. In some organisations cummings and worley (2oo5) suggest that externally recruited executives are three times more likely to initiate transformational change than existing executives
. continuous learning and change _ innovation and learning are the trademarks of transformational change. You will be familiar with the terms learning organisation and organisational learning, which will be discussed in Topic 7.
Auth0r’s 0pini0n
organisational learning or restructuring can occur without the involvement of transformational change. It leader has been challenged by literature on shared leadership since to invest the visioning and responsibility for implementation of transformational change to one person is an almost inhuman task in large, complex
Topjc 1 Mappjnq the terrajn of orqanjsatjonal chanqe and development 7 advent of a new cEo can herald yet another new direction, resulting in change fatigue and a questioning of any real progress (see Fashion Pressures in the next topic).
whatever we call it, change is with us at the personal, group and organisational levels and is well worth analysing with all our critical faculties at work.
what is 0rganisati0n devel0pment?
while you will encounter the six change interventions, of which oD is one, in a later topic it is worthwhile considering that nature of oD here and the debate between some oD and oc practitioners.
oD is an incremental, business process improvement method that has been around for quite some time. system wide application and transfer of behavioural science knowledge to the planned development, improvement, and reinforcement of the strategies, structures and processes that lead to organisational following:
organization’s processes using behavioural science knowledge
(Beckhard l969) oD is a system wide process of data collection, diagnosis, action, planning, intervention and evaluation aimed at (l) enhancing congruence among organizational structure, process, strategy, people, and culture; (2) developing new and creative organizational solutions; and (3) developing the organizations self renewing capacity. It occurs through the collaboration of organizational members working with a change agent using behavioural science theory, research and technology.
(Beer l98o) attesting to oD’s place in history.
l. oD applies to changes in the strategy, structures and/or processes of an entire system such as an 2. oD is based on the application and transfer of behavioural science knowledge including concepts around leadership, groups and work design as well as strategy, organisational structure and design, and international perspectives.
cumming and worley (2oo5) also suggest that this factor distinguishes oD from change management and organisation change, which they claim are more about management consulting, change management neglects the personal and social aspects of a system. Please keep this assertion in mind as you continue with this topic.
3. oD is concerned with managing planned change as an adaptive process for planning and implementing change rather than a blueprint for how things should be done.
4. oD involves the creation and reinforcement of change and has a longer-term goal of stabilising and institutionalising new activities within an organisation.
5.
problems.
behavioural science and its major concern is the transfer of knowledge and skill so that the system is
a more humanistic perspective. More recent concepts such as the learning organisation could be seen as In contrast, organisational change and change management are seen by cummings and worley (2oo5) as focussing more narrowly on cost, quality and schedule. All oD involves some type of change management but change management may not involve oD. organisational change has a broader application and can include structural, technical and managerial changes.
As you will see the text for this unit (Hayes 2ol4) appears to agree with this overall perspective, citing oD as It is interesting to note that a number of contemporary texts such as those cited in the recommended reading list for this unit focus more on organisational change management than oD. However contemporary oD and organisational change management texts follow very similar structures, examining the diagnosis of change, models, strategies, interventions and evaluation.
Training Laboratories in the usA, which developed sensitivity and leadership training for groups and studied group dynamics. while T-groups have declined as an oD intervention, their techniques are still used in team-building activities. Many of you may have experienced such activities including the widely used MBTI, for example.
At the same time Kurt Lewin commenced using action research and survey feedback to research behaviour in organisations. Lewin’s (l952) oD model involved:
. unfreezing , in which present forces that are compelling individuals to act in a certain way are weakened so that change can occur
. m0ving
benchmarking from another organisation
. refreezing
collection, data feedback, action planning, implementation and follow up _ data collection to map, measure Likert conceptualised organisations as having four types of management systems:
. exploitative authoritative systems _ autocratic, top down approach/leadership, employee motivation based on punishment and reward, downwards communication, decision making at the top . benevolent authoritative systems _ similar to system l, but more paternalistic, employees allowed a little more communication/interaction but within boundaries set by management
. consultative systems _ increased employee interaction and communication, employees consulted but . participative group systems _ designed around group methods of decision-making and supervision, high degree of member involvement and participation. Two way and lateral communication, work groups set goals, make decisions and improve methods resulting in high levels of quality, productivity and member satisfaction.
Blake and Mouton’s Managerial Grid organisation Development (l98l) was developed around research on l98 organisations in the usA, Britain and Japan and they found that the two greatest impediments interventions around this grid based on a one week seminar when individuals assessed their leadership because it is somewhat inward looking to the organisational groupings and does not acknowledge the however are still in use today.
Topjc 1 Mappjnq the terrajn of orqanjsatjonal chanqe and development 9 Productivity and Quality of work Life (QwL) was another oD approach that originated in Europe in the l95os based on the work of the Tavistock Institute in London and research in countries such as Norway and high levels of worker autonomy, task variety and feedback led to increased work satisfaction and productivity _ good for the individual and the organisation. some QwL interventions focussed on the individual while others focussed on job design and enrichment, self managed teams and labour-management committees. It fell out of favour somewhat in the l97os but was revived when Japanese productivity and management methods came to be seen as giving that country’s production a competitive advantage. Hence workplace democracy, reward systems, management styles and the physical work environment were also included in this approach. Today QwL is seen mostly as employee involvement and the emphasis in some organisations on how employees can contribute to making the organisation more productive and competitive.
The great debate – 0D vs 0c
oc proponents (see cummings and worley 2oo5; Hughes 2oo6; and Palmer et al. 2oo8).
As can be seen from the above description of oD and its genesis it appears to be quite benign. However, more recent critiques of oD highlight the disconnect between the humanistic rhetoric of oD and the ethics of Hughes (2oo6) also reports on a study undertaken by wirtenberg et al. in 2oo4 with 6,ooo members of the organisation Development Network. Members saw the strengths of oD as systematic orientation, change management, teamwork leadership development and values. weaknesses included lack of distinctiveness and more to do with the practitioners themselves. oD has undergone some soul searching in recent years. previ0us learning and behaviour, while transformation focuses more on the desired future
isolate lo factors in the transformational exercise they undertook with the chicago Tribune newspaper: . overview of management
. interpersonal skills
. leadership
. team building and team-oriented leadership
. situational leadership
. problem solving
. time management and delegation
. performance management system
. coaching
. summary and integration.
Action research, mentioned above, is another tool of oD. simply put this method is action or problem- centred and is a collaborative process which involves the clients in the research steps of:
. diagnosing
. action planning
. action taking
. evaluating
. specifying learning
. taking further action.
clearly those of the psychological/psychotherapeutic tool, in which an almost medical model of diagnosis and treatment exists.
Palmer et al. (2oo8) suggest that change management models are supplanting oD, however oD practices oD in three ways:
. change management has a broader scope than oD as it examines not only human performance and development but also issues such as technology, operations strategy and the human processual interactions with these elements.
.
includes skills relating to strategy and organisational practices.
. change management is based on the premise that through structural changes new behaviours emerge rather than the oD premise that changing individual attitudes and ideas comes before structural change.
Auth0r 0pini0n
Looking at the two approaches from a fairly simplistic angle it could be said that oD with its roots in behavioural sciences is about changing people through coaching and facilitation and then changing the organisation, whereas change management approaches appear to be more about changing organisations in response to external or internal drivers and then changing the people to be in synergy with these changes. I would suggest that the organisational change many of us have experienced in recent years may have had individuals supporting them in adapting to the change.
As organisations become more technologically complex and more networked across the globe in a context that is more politically, socially and economically complex it seems that multiple change approaches may need to be called on depending on circumstances. open systems theory (allowing resources such as material or information to enter or leave the system, sucking in resources from outside or giving out more than they take in ( http:yywww.calresco.orgyglossary.htm#o) and complexity theory (the study of how critically interacting components self-organise to form potentially evolving structures exhibiting a hierarchy of emergent system properties ( http:yywww.calresco.orgyglossary.htm#c) help understand these complex environments. cPure’ oD, which was developed before much of this more recent theorising, may thus be r Textbook
r Readings 1.1 and 1.2
Access the Ruona and Gibson Reading l.l to gain an appreciation of how oD (and I would also argue organisational change management) are becoming much more aligned to HRM and HRD. It is appropriate now to approach cacioppe and Edwards Reading l.2 that integrates a number of oD approaches.
It is important to note that some change theorists have moved the change debate along to contextual matters such as increasing environmental concerns, international co-operation between governments, international trade and social justice agreements, increased questioning of the neo-liberal economic model and the post-modern view of consumerism and a concern for a new social contract with their stakeholders, focus on human sustainability, cultural diversity,
Topjc 1 Mappjnq the terrajn of orqanjsatjonal chanqe and development 11 values based action, ecological sustainability with proactive leadership and strategy built into advantage and discuss both the incremental and transformational paths. You will encounter some of their thinking later in this unit.
If you would like to read an alternative and more critical review of change management and organisational development, Reading sl.3 explains that there is always more than one view of point of including this reading is to signal that although the cstandard’ management thinking about oc and oD has been presented in this topic, there are other views.
Activity 1.1
How applicable is Lewin’s three-phrase organisational change model for contemporary organisations?
Activity 1.2
You have just been appointed as HRM Director to an inadequately performing Australian is a technological follower rather than a leader. Drawing from the concepts of organisational development and organisational transformation would you adopt oD or oT? why?
References
perspective’, Australasian Journal of Environmental Management
Blake, R.R & Mouton, Js, l98l cManagement by Gridr principles or situationalism: which?’ Group & organization Management
Journal of Management studies
cummings, T & worley, c, 2oo5, organization development and change
ohio.
Dunphy, D l996, corganizational change in corporate settings’, Human Relations
Frame, R.M, Nielsen, wR & Pate, LE l989, ccreating excellence out of crisis: organizational transformation at the chicago Tribune’,
Greiner, LE & cummings, TG 2oo4, cwanted oD more alive than dead!’
science
Hughes, M 2oo6, change management, chartered Institute of Personnel & Development.
Palmer, I, Dunford, R & Akin, G 2oo9, Managing organizational change: A multiple perspectives approach , McGraw-Hill Irwin New York.
Applied Behavioral science
Topic 2 The nature 0f change
. analyse the external and internal factors that contribute to organisational change
. explain discontinuous change
. discuss diversity and sustainability.
Please read the news and business sections of a national paper in your country of residence with an eye to absorbing articles on corporate/organisational change.
Materials required
Reading
2.l Journal of organizational change Management
what pr0mpts 0rganisati0ns t0 change?
Palmer et al. (2oo8) discuss environmental and organisational pressures for change.
. fashion pressures _ a company may copy the successful changes in another organisation in the mimetic isomorphism
the result of the adoption management fashions without critical analysis of their applicability to the organisation and its stage of development. In recent decades total quality management and corporate culture of the l98os have given way to re-engineering, horizontal corporations and agile strategies of the l99os. You may like to think about the management fashions of the early part of the 2oth century . mandated pressures _ compliance with environmental, occupation health and safety and anti- discrimination may be a pressure for an organisation to change. Palmer et al. (2oo8) cite the case in the usA where chevron Texaco paid out us$l76 million in a racial discrimination lawsuit brought diversity management led to great organisational change
. geopolitical pressures _ these may be the result of immediate crises such as september ll, 2ool and sARs where there was downsizing of organisations associated with the travel industry. Longer-term geopolitical changes such as the political and economic expansion of the European union have caused some multinational corporations to revise their operations into independent, country based . market decline pressures _ declining markets put organisations under a great deal of pressure to change and innovate. changes in the telecommunications industry attest to this
. hypercompetition pressures _ again the computer, telecommunications and automotive industries are
with a product or service all illustrate organisational responses to change pressure
. reputation and credibility pressures _ following scandals in several countries over corporate governance issues and corruption (for example Enron in the usA and HIH in Australia) many organisations have reviewed their board structures and practices to ensure the corporate governance in organisations.
a Activity 2.1
what are some of the major factors forcing organisations to make regular changes to their structure and management operating practices ?
environment pressures might have forced this change, and in what way?
.
. integration and collaboration pressures _ mergers and acquisitions as well as the need to create change
.
each other in the marketplace. For instance, a company with a number of hotel chains may need human resource practices and the way business units are set up
. new broom pressures _ new cEos tend to wish to make their mark and do so in product practices
. power and political pressures _ power struggles between the cEo and chair or members of the result in pressures to change personnel, structures and business processes.
In addition there are both forces for change and forces for stability/inertia within organisations. . the adaptability of the organisation to its environment _ cthe ball game’s changed so we need to as well’
. the containment of costs _ cthe way we’ve been doing business is unsustainable’
. less hierarchy but greater control through performance targets _ cdevolve responsibility to those close to the customer’ (empowerment, self-managed teams)
.
Forces for stability/inertia include:
. institutionalism of current practices though power structures and past successes _ cwhen it’s broke . sustained advantage _ cwe’ve always been number one’
. organisational social capital where the trust among workers becomes an organisational asset _ cour people are our best asset’
. need for predictability _ cwe’ve always done it this way and it works’.
we could also add to the above list, structural inertia and people’s ccomfort zones’.
Topjc 2 The nature of chanqe 15 A w0rd ab0ut disc0ntinu0us change
To say that we are living in a period of discontinuous change is to state the obvious, however, any discussion of change within organisations must acknowledge the wider societal changes which interact with and sometimes precipitate organisational change.
a Activity 2.2
Before continuing to read this study Guide consider the technological, societal, technological, You may have considered such macro-changes as the increasing number of women in the workforce and the part-time nature of much work today. You may have considered unemployment and especially the concerns about youth employment in many countries as well as concerns for ageing workforces and skills shortages. You may have considered the changing relationship 2os!) and between people and the institutions such as the church or government. You may have considered the acknowledgement of diversity yet the seeming resurgence of racial intolerance. You may have considered changes in work practices due to technology and the disappearance of certain jobs as well as the emergence of others. or you may have considered the Asian tiger economies and the emergence of china as an economic powerhouse whose needs in minerals and primary products have boosted the economies of other countries including Australia. You may have considered globalisation pressures and the rampant consumerism of many societies. All of these factors are illustrative of the nature and pace of change.
At the micro-level you may have considered changes to your own job design and work processes, a merger or acquisition resulting in changes in culture and business processes. You may have In relation to the workforce, Handy (l995) has suggested that the number of people in full-time jobs in the western world would be less than half the adults of working age. Handy (l995) had built on Atkinson’s of the casual or contract workers who can be bought in if needed then discarded. Another leaf comprises what he calls the cportfolio people’ who build up a portfolio of skills and then gain other work and move from job to job. In the Australian context, Limerick and cunnington (l993) have referred to these type of jobs that we do ourselves that were once undertaken by service workers _ think automatic tellers, self-serve petrol stations, Internet banking and shopping.
the average supermarket stocked 5,ooo lines, of which 3,ooo were food. Now the average supermarket stocks well over l9,ooo lines of which lo,ooo are food. consumerism may be said to be the new entertainment of the 2lst century and is seen as graphically in shanghai and Hong Kong as in New York or sydney. instigated by management in response to future threats that may have the potential to undermine viability. Many organisations now engage in cfuturing’ and adjust their strategies accordingly. hierarchies or delayering as it is sometimes called, has resulted from the pressures of increased competition,
structuring into the classical organisational pyramid. He also claims that specialisation of tasks and skills Flattened hierarchies, Mcconnell claims, led to increased communication and decision-making devolved downsizing, rightsizing, reorganising or re-engineering was a painful process. Middle managers, those redundancies or early retirements.
these changing world market conditions has largely been through micro economic reform, the restructure of organisations and the workforce. During a period of unprecedented turbulence in the l99os, Australia restructured many of its enterprises and more recently we have seen the emergence of cnew’ organisational Limerick and cunnington (l993) also provide two useful models of Australian organisations that explain changes taking place in organisational structures due to deregulation, opening the Australian economy, globalisation and the rising economic importance of Asia, competition pressures, growth in a knowledge Figures 2.l and 2.2.
Figure 2.1 The conventional model of organisational choice
managed in mechanistic ways.
bureaucratic, insular, rule bound, hierarchical, male dominated and ethnocentric. In their quest for what was done.
Topjc 2 The nature of chanqe 17 As things began to change, organisations tried to remain competitive by becoming more responsive to Limerick and cunnington go on to argue that we have now entered a period of discontinuous change _ a period when changes are being changed. In an environment of turbulence, organisations need to respond to emerged that is based on:
. loosely coupled systems _ small not tightly connected independent business units
. strategic alliances _ subcontractors/outsourcers
. strategic networks _ network organisations.
Figure 2.l shows the form of cnew’ organisations in periods of discontinuous change and their relationship to models of the past decades.
Figure 2.2 organisational choice: towards networks and strategic alliances
focused on forming a web of alliances both within the organisation and beyond. It encourages the small organisation inside the large one, the autonomous unit that collaborates with other sections working across business units on particular projects. In addition to the removal of internal barriers that prevent or discourage collaboration, new organisations collaborate with organisations outside their walls. strategic alliances have now become a popular feature of the new organisation at a regional, industry or . focusing on developing the units’ own distinctive competencies
. sharing expertise, competencies and best practice
.
other units
.
services
. market synergies, in the form of new markets, shared distribution channels, promotion activities and the like.
r Reading 2.1
discontinuous change. Is change inevitable? Much of the literature on organisations would assert that this is the case, however the reading argues that there are also powerful opposing forces for inertia in organisations, particularly if you take the long view.
Auth0r 0pini0n – a w0rd ab0ut diversity
Dunphy et al. (2oo3) highlight diversity as one of the important factors in sustainable organisations. one of the main changes in western workforces is that they are becoming more diverse regarding gender, sexual Four recurring issues that face contemporary organisations are:
. keeping and gaining market share
. cost savings
. increased productivity
. better quality of management.
As markets become increasinly diverse and competition for market share escalates, managers who diversity amongst an organisation’s decision makers is the best way to ensure that the organisation has the capacity to capture diverse markets and provide adequate client service.
An organisation’s ability to represent its shareholders and clients is a major issue in market place competitiveness. A manager who is of the same sex or ethnic background as the customer may have greater credibility because of the implied shared experience, and consequently greater understanding, empathy and honesty. shared experiences include speaking another person’s language, rearing children or simply having terms of preparing people for senior management roles as any conventionally recognised work experience. Many organisations, both public and private sector, now recognise that their ethics and values are becoming as important as their products and service. Increasingly, corporate attitudes to the environment, the local community or the workforce, are becoming critical aspects of an organisation’s public image, and therefore its future competitiveness. Having a reputation as a fair and just employer, that actively recruits, trains and promotes a diverse group of people, has enhanced the public image of companies such as Argyle Diamonds, Besides contributing to a positive public image, these companies also build workforce reputations that attract employment of women managers, are considered to be innovative and dynamic in their approach to other areas of the organisation.
Increasingly, evidence is forthcoming that promoting diversity in management will ultimately result in cost savings. costs associated with recruiting, training, relocating and replacing employees, along with remuneration, are a major expense for most organisations, and usually represent at least 5o per cent to 7o per cent of their budgets. Because organisations with reputations for advancing non-traditional managers may be sought out by non-traditional recruits, costs associated with searching for job candidates are reduced. aware of incentives that will both attract high potential managers and retain their services over the longer working population ages.
Topjc 2 The nature of chanqe 19 Many organisations are also acknowledging that implementing strategies, which recognise and part-time and out-sourcing employment options, working from home and work-based child care can ensure such issues are implicated in the types of organisational change you will encounter in the next topic. References
crisis in organizations’, Journal of organizational change Management)
Handy, c l995, , Random House, New York.
Limerick, D, cunnington, B & crowther, F l993, Managing the new organisation: A blueprint for networks and strategic alliances, Business and Professional Publishing, sydney.
Palmer, I, Dunford, R & Akin, G 2oo9, Managing organizational change: A multiple perspectives approach , McGraw-Hill Irwin New York.
Topic 3 M0dels 0f 0rganisati0nal change . analyse change in the light of a range of theoretical models
.
Materials required
Textb00k
chapter l cProcess Models of change, and chapter 2 cLeading change: A Process Perspective’. Readings
s3.l Abrahamson, E 2ooo, cchange without pain’, Harvard Business Review
3.2 Morgan, G l997, Images of organization
3.3 Karp, T & TI Helg? 2oo9, cReality revisited: leading people in chaotic change’, Journal of Management Development)
change models it is useful to step back and examine how organisations grow.
l97os change in organisations in the usA was more likely to be incremental and infrequent but that has all changed. In Australia and some other countries this situation may have continued well into the l98os. local routines and the institution of small-scale change due to individual initiatives.
. Type l occurs when an organisation moves form an entrepreneurial to a professional management structure (for instance the transformation of Apple computers from an entrepreneurial company under its founder to a much larger professional company under a new cEo).
. Type 2 transformation involves revitalising an already established company. In the l99os compaq computers, in the face of changing customer needs, downsized, changed its operational systems, and lowered its production coast and price points.
. Type 3 transformational change involves a visionary change in the fundamental business of the beans to a worldwide chain of cafes.
changing the organisation’s identity while building on its still relevant strengths.
Palmer et al. (2oo8) cite a study of management texts that found eight common occurrences in organisational change:
. delayering
. networks/alliances
. outsourcing
. disaggregation (breaking the organisation into smaller business units)
. empowerment (mechanisms to give employees the authority and resources to take action) .
.
. reduction of internal and external boundaries (to encourage open system thinking and communication).
As evidenced in Limerick and cunnington (l993), the pattern of incremental change so well managed by cclassical’ organisation development (oD) interventions in the l97os and early l98os has changed. It is now one of discontinuous change thus making oD as a sole intervention less applicable.
Limerick and cunnington (l993) presented the model of transformative change as cthe’ blueprint for the .
. not all organisations entered the period of discontinuous change with the same need for change/ .
successful leadership.
Dunphy and stace (l99l) proposed a situational model of organisational change, which accommodates the above issues and allows for an organisation to move from one type of change to another depending on outside forces and internal needs.
l. of the match between the organisation’s strategy, structure, people and processes. individual and group commitment to the existing company mission
2. incremental adjustment
3. m0dular transf0rmati0n in which radical change is focused on one or more departments or divisions within the organisation. For example major restructuring of a department, or the introduction of divisions
4. c0rp0rate transf0rmati0n in which change is corporation wide and is a radical departure from current business strategy, structure, work processes. For instance, reformed organisational mission . c0llab0rative _ participation by employees in important decisions about the organisation’s future and about the change strategies
. c0nsultative _ consultation with employees about ways to bring about organisational change, not about direction setting
. Directive _ managerial authority used to set direction and determine change strategies . c0ercive _ managers or key executives impose or force change on key groups within the organisation. organisation (62 per cent) had engaged in the last three years in modular transformation, while 32 per cent had engaged in incremental adjustment, 8 per cent in corporate transformation and none had engaged in
Topjc 3 Models of orqanjsatjonal chanqe 23 which appears below:
Figure 3.1 Four change strategies
Dunphy and stace (l99l) concluded that:
.
. corporate change transformation is the most common change strategy used when an organisation .
modular transformation.
lncremental change strategies Transformative change strategies collaborative/
consultative models
1. Participative evolution 2. charismatic change strategies needs minor adjustment, or is out
interest groups factor change
is little time for extensive participation but there is support for radical change within the organisation
Directive/coercive
models
3. Forced evaluation 4. Dictatorial transformation
needs minor adjustment, or is out
interest groups oppose change
is no time for extensive participation and no support within the organisation for radical change is vital to organisational Figure 3.2 A typology of change strategies and conditions for their use
Dunphy and stace (l993) have also theorised that organisational change takes place on two levels: l. corporate level _ directive or coercive from an individual or executive group at the top in setting direction, goals and strategies
2. business unit level _ consultative at lower levels in the organisation between managers and employees in implementing goals and strategies.
More recently again, Dunphy et al. (2oo3) have analysed both incremental and transformational change, arguing that some organisations that are in steady state with few external pressures can move to sustainability through the incremental pathway. on the other hand, they suggest that the transformational pathway is l. Know where you are now
2. Develop the vision
3. Identify the gap
4. Assess the readiness for change
5. set the scene for action
6.
7. Move beyond compliance
8. Establish the performance criteria for ccompliance plus’
9. Launch and manage the transformational change program
lo. Maintain the rage.
interest is Dunphy et al.’s (2oo3) discussion of the virtues and pitfalls of the incremental path. a Activity 3.1
models applied, and in what way? Given the following recommendations from Dunphy and stace, was this the right choice for the situation?
of them.
objectivities w .managers need to be skilled in the art of reading and understanding organisational life. Metaphor encourages us to think and act in new ways. It extends the horizons of new insight and creates new possibilities.
al’s. (l997) Images of organisation is recommended. In summary the metaphors are:
.
. organisations as organisms _ living systems existing in a wider environment on which they depend . organisations as brains _ a holographic system
. organisations as culture _ a system of knowledge, ideology, values, laws and day-to-day ritual . organisations as political systems _ systems of authority, power and superior-subordinate relations . organisations as psychic prisons _ people are chained so that they cannot move
Topjc 3 Models of orqanjsatjonal chanqe 25 .
the organization must respond
. organisations as instruments of domination _ exploitation by authority or power.
r Reading 3.2
considered a landmark.
Bolman and Deal (2oll) suggest that there are four cframes’ through which organisational change can be understood and managed:
. the structural frame involves the structural forms and functions of the organisation, restructuring, tasks and linkages of small groups, team structure and performance
. the human resource frame involves theories of human personality, motivation and performance, the role of hr in developing and empowering employees and the interpersonal dynamics and management styles of employees
. the political frame involves thinking of organisations as political arenas with power circulating and coalitions forming, the manager as politician
. the symbolic frame involves understanding organisations as cultures with their own symbols and processes.
r Reading 3.3
which a range of tools can be rationally and logically applied is almost guaranteed to lead to from real organisations (mostly in the l99os) give us some useful categories for slotting various changes into, they perhaps imply a greater degree of certainty and predictability than what creally’ unpredictability, uncertainty and ambiguity. You could say that all our attempts to study and Auth0r’s 0pini0n
structure but the underlying symbolic Frame issues are not addressed then the mismatch could lead to forms of resistance. similarly if the values undergo change in the symbolic Frame but HR practices still You will meet these concepts again in Topic 6 when leadership is discussed.
. core values focus and awareness
. high levels of trust throughout the hierarchy
. strong commitment to tasks and objectives at all levels of the hierarchy
. a compelling vision for the future of the organisation
.
. innovation
. open communication and exchange of opinion
. co-operation throughout the ranks
. resourcefulness at all levels of the hierarchy
. communication to manage perceptions and beliefs
. chigh tech’ and chigh touch’
. an attitude of setting the trend rather than reacting to a trend set by others.
change.
References
perspective, Australasian Journal of Environmental Management) vol. l3 ‘
organizational change for corporate sustainability, Routledge, organizational change for corporate sustainability, Routledge, London and New York.
Bolman, L & Deal, TE 2oll, Reframing organizations. Artistry) choice and Leadership, 4 th edn, Jossey-Bass, san Francisco.
Dunphy, D 2oo3. corporate sustainability: challenge to managerial orthodoxies. Journal of the Australian and New zealand Academy of Management) 9 ‘ 2.
Human relations) vol. 46 ‘ no. Dunphy, Dc & stace, D l99l, strategies for organisational transition , centre for corporate change, Australian Graduate school of Management, university of New south wales.
Limerick, D & cunnington, B l993, Managing the new organisation: A blueprint for networks and strategic alliances, Business and Professional Publishing, sydney.
Morgan, G l997, Imaginization: New Mindsets for seeing) organizing) and Managing, ERIc. Patching, A & waitley, D l996, , KHL Printing, singapore.
Library management) vol. 32 ‘
27 Topic 4 Rec0gnising and diagn0sing the need f0r change . recognise signals of the need for change
. apply a range of tools for diagnosing the need for organisational change
.
. discuss the role of change management and the need to change in organisation failure.
Materials required
Textb00k
chapter 4 and 5, cRecognising the need for change and starting the change process’, and cstarting the change, chapter 7, cDiagnosis’ and chapter 8, cGathering and interpreting information for diagnosis’. Readings
s4.l Karp, T 2oo5, cunpacking the mysteries of change: mental modelling’, Journal of change Management, s4.2 Palmer, Dunford and Akin 2oo6, chapter 5, cDiagnosis for change’, in Managing organizational change: a multiple perspectives approach
4.3 Adamson, B & Kwolek, s 2oo8, cstrategy, leadership and change: the North York General Hospital transformation journey’, Healthcare Quarterly
4.4 south African Journal of Economic and Management sciences
Auth0r’s 0pini0n
At the time of writing the Ford motor company is in the news as the 8o-strong Ford family (descendants of Henry Ford who developed the model-T Ford in the early years of the 2oth century in the usA) is taking along with competition from Japanese manufacturers of smaller, more economical vehicles mean that Ford larger vehicles and the family’s hold on the chairmanship of the Board and the management structure of the great press for organisations to be more cgreen’ and reduce their carbon footprint. sustainability is the an organisation needs to be planning for its next change just as it is peaking in its current success. Inertia, perseveration and a blind spot to the need for change can be the traps of success. IBM’s turnaround has taken its place in the pantheon of corporate giants’ history. It will be interesting to watch developments at Ford to see if such a turnaround occurs.
r Textbook
chapter 5 illustrates this succinctly. Please read this chapter now.
needed:
l.
2. why is the change taking place _ planned and wide-ranging in relation to internal or external factors or emergent smaller scale experimentation and adaptation by managers?
3.
expressing concerns?
4. what has been the recent organisational history of change _ a long period of stability or many changes recently taking place?
5. How is this change being communicated _ both top down and bottom up answering the question cwhat is going to happen to me?’?
6. what is the scale and scope of the change _ in one part or all of the organisation, small or large scale? 7. what are the temporal aspects of this change _ timeframe and pace of change?
8. who is managing the change, and how is it being managed _ internal or external change agents, planned, driven or evolved change?
9. what would be a successful outcome of this change? Has senior management articulated the desired outcome?
lo.
support the change?
r Readings s4.1, s4.2 and chapter 7 (Textbook)
Reading s4.l uses the concept of mental models to recognise the need for change. methodologies may be used.
once a diagnostic model has been chosen _ and this very much depends on the resources available, the type way oc adopts some of the data gathering and feedback of oD.
r Textbook
analysed. As with all research triangulation where several sources of data are gathered, analysed and compared to produce a rich picture is preferable to relying on one source of data alone. r Reading 4.3
change and shows that what we teach about how to do it well can work in practice. Although, drawing on some of the earlier topics, you could question whether this is only one view of the success of change in this organisation and consider whether there were other stakeholders who a case study of an organisation that has handled a threat well, compared, for example, to how
Topjc 4 Recoqnjsjnq and djaqnosjnq the need for chanqe 29 r Reading 4.4
we don’t talk much about organisation failure, despite the fact that most small businesses fail in their early years, and we have witnessed spectacular failures of large organisations. It could literature review, extracts some themes in organisation failure and serves as a timely reminder of how organisations need to change to at least avoid failure (which might not equate to success but certainly avoids a lot of pain).
a Activity 4.1
Resistance to change is a complex response by employees when confronted with the possibility of unwelcome changes to their working lives. It is based on employee beliefs about the change (for example, there will be job cuts); emotions (such as anxiety, anger); and behaviours (for example, absenteeism, reduced work quality, undermining the changes). conduct a search on the topic of resistance, identifying a range of employee response types encompassing beliefs, emotions and behaviours. what can you conclude about the way people respond to the possibility of unwelcome changes to their working lives? As organisations gather and interpret this information what can HR managers do to anticipate and minimise resistance to change?
References
Hughes, M 2oo6, change Management: A critical Perspective, wimbledon: cIPD Publishing.
31 Topic 5 Managing pers0nal transiti0ns .
. identify how this can be managed
. synthesise three views on resistance to change in a critical analysis
. consider alternate ideas about resistance to change, readiness for change and generational preparedness.
Materials required
Textb00k
chapter l3, csupporting others through change’.
Readings
5.l Human Resource Management International Digest
s5.2 Breu, K & Brenwell, M l999, cModelling individual transition in the context of organisational transformation’, Journal of Management Development) vol. l8, no. 6.
5.3 Frahm, J & Brown, K 2oo7, cFirst steps: linking change communication to change receptivity’, Journal of organizational change Management
change hits us all and many individuals have a strong emotional reaction to change, asking the question, work identity, sense of self-worth, economic security, social life and other personal attributes so little wonder it is such an important and sensitive topic. In this topic we examine individual responses to change. organisational leaders of others who are also experiencing change. It links to the later topics on motivation and managing change.
r Textbook
Read chapter l3 of your textbook as an introduction to this topic. It provides the basic, well- accepted theory about what change means for individuals. senior management, change managers and change agents would be well advised to understand that this is what happens to employees, a clich7 in management that good technical people in the hard organisation functions of IT, people values is also needed and this is a unique skill that few individuals and organisations
possess. some of the most successful organisations today are also rated amongst the top ten best organisation success. clearly then managers must be good at managing people. Mishra and spreitzer (l998) describe how survivors respond to organisational change, including downsizing widely as general responses to organisational change:
. the fearful resp0nse : the walking wounded _ these people feel totally disempowered, are worried and . the 0bliging resp0nse : the faithful followers _ these people are similar to the walking wounded in that they believe that they do not have the personal resources to adequately cope with the changes _ however, they co-operate with the changes, follow orders and are committed and loyal _ in some ways they exhibit calm and relief that they are still in the organisation and do not rock the boat . the cynical resp0nses : the carping critics _ these people believe that they have the personal resources to cope with the change but feel personally threatened that they will be harmed _ therefore, they are active and destructive in their response and their behaviour is characterised by anger, moral outrage, cynicism, badmouthing and retaliation
. the h0peful resp0nse : the active advocates _ these people believe they have the resources to cope with the change and do not feel threatened _ on the contrary they look optimistically on the change, and their behaviour is characterised by hope, excitement, problem solving and taking initiative. source: Mishra and spreitzer l998 Figure 5.1 Archetypes of survivor response
Topjc 5 Manaqjnq personal transjtjons 33 wanous, Reichers and Austin (2ooo) discuss cynicism about organisational change and acknowledge the for successful change, and blame placed on cthose responsible’ for lacking the motivation and/or the ability suggest that management needs to confront cynicism through:
. clearly communicating the change
. managing the attributions about the slow pace of change
. fully explaining past failures
.
does not happen once but is experienced frequently. It is not uncommon for those in organisations to discuss their second, third or more restructuring or transformational change initiative.
In their BoHIcA model Binney and williams (l995) discuss how many workers have been BoHIcAed . expl0rers
needed but not all the time _ can be seen by others as zealots
. pi0neers _ relatively small group _ right behind explorers _ strongly endorse new concepts as fundamental good sense _ wait to see what happens to the explorers _ move in quickly to assist explorers if they are not killed by the politics of the organisation
. settlers _ larger grouping _ about 65 per cent of workforce _ not against new ideas but have been BoHIcAed before and are wary _ some have been explorers or pioneers in the past but have become more conservative in embracing new ideas _ want proof that new principles and practices will work . later t0 leavers _ a small but vocal group _ resistant to proposed change, happy with status quo, will move when they see it is politically unsafe not to
. stay at h0mes _ will not budge and will openly resist _ may leave the organisation or become very It should not however be assumed that the same people are always the pioneers or stay at homes. It depends Palmer et al. (2oo8) describe the well-known resistance cycle of four psychological stages derived from other sources such as grief counselling, the problem solving cycle and so on:
.
. resistance (the past is mourned and stress levels rise and active resistance emerges)
.
. commitment (cI can see there are good things in this, for me too’).
+
_
High
expectations
Much better
than before
x
Realisation of
complexity
Light at the end
of the tunnel
Time
Despair
Typical program
THE cLAssIc cHANGE cuRvE
Figure 5.2 The classic change curve
a Activity 5.1
spreitzer (l998); wanous, Reichers and Austin (2ooo); and Palmer et al. (2oo8). To do this, look for where the three sources say the same thing (i.e. overlaps and commonalities) and where there is no agreement between their points. one way to do this is to create a three-column table, one
Topjc 5 Manaqjnq personal transjtjons 35 Mishra and spreitzer
(1998)
wanous’ Reichers
and Austin (2000)
Palmer et al.
(2008)
Your comment or observation The stay at homes – will not
budge and will openly resist.
May leave the organisation
Even more negative than the walking wounded in column 1 – these people are even likely to leave
The fearful response:
the `wolking woundedl –
disempowered, worried
fearful – withdrawn, passive
and procrastinating
The obliging response: the
`foithful followersl – similar
to gwalking wounded’ –
however, they co-operate
with the changes, follow
orders and are committed
and loyal -do not grock the
boat’
The cynical responses:
thel corping criticsl – have
the personal resources to
cope but feel personally
threatened, are active
and destructive – anger,
moral outrage, cynicism,
badmouthing and retaliation
The hopeful response: the
`octive odvocotesl – believe
they have the resources
to cope – do not feel
threatened -optimistically
hope, excitement, problem
solving and taking initiative
commitment (gl can see
there are good things in this,
for me too’)
The explorers – a small
endorse a new idea. They
seek immediate change.
They are needed but not all
the time. can be seen by
others as zealots
A step forward – i.e. even more positive than just the hopeful response in r Reading 5.1
redundancies. It explains the cycle of grief through which both victims and survivors may move.
Resistance
Resistance is intimately connected to how individuals, teams and thus the organisation respond to change. such as customers or suppliers may also resist change, especially if it is far reaching.
Palmer et al. (2oo8) present a range of reasons about why people resist change including: . discomfort with uncertainty _ remember too that certain cultures are more averse to uncertainty than others, as are certain personality types
.
friendship networks, autonomy, pay and job security
. attachment to the established ways of doing things _ as these make individuals feel knowledgeable and secure _ change makes us all learners again
. lack of conviction that change is needed _ only some people in the organisation have the perspective that change is needed
.
management and this change is not the one that is needed _ better communication or new management is
. poor experience of change management in the past.
number of signs that evidence resistance to change including:
. being critical (although this is not to say that all change should be accepted uncritically _ there is always room for informed critique)
. ridiculing
. sabotaging
. blaming or accusing
. intimidating or threatening
. manipulating
. distorting facts
. undermining
. starting rumours
. agreeing verbally but not following through.
Kotter and schlesinger (2oo8) are the classic source for informing us about seven strategies for overcoming resistance to change:
. education and communication _ can be used when resistance is due to lack of information or mis-information
. participation and involvement _ can be used when resistance is a reaction to a sense of exclusion form the process
. facilitation and support _ may be used when resistance is due to anxiety and uncertainty . negotiation and agreement _ may be used when resistors are in a strong position to undermine the change
. manipulation and cooptation _ where other forms above are too resource intensive or time- consuming. ( Auth0r 0pini0n _ this is included from the reference but would not be recommended on ethical grounds)
. selecting people who accept change _ certain individuals’ personality characteristics render them more willing to accept change
. explicit and implicit coercion _ where the change recipients have little capacity to resist or where survival of the organisation is paramount. (Again, this alternative is not recommended on ethical grounds.)
Topjc 5 Manaqjnq personal transjtjons 37 it is quite clear that HR personnel in an organisation have valuable skills to contribute.
Auth0r’s 0pini0n
management fads and that some individuals need to make their name (or secure their promotion) through instigating change.
A clearly articulated reason for the change supported by well informed discussion is one way that leaders can set the scene for change and communicate a sense of urgency, purpose, direction and commitment that Palmer et al. (2oo8) counsel respect for those who resist allied to not counterattacking and learning as much as possible about the resisters’ stated and real reasons for resistance.
r Reading s5.2
individuals cope with radical change and uses the practical example of East German managers. own organisational change situation!
r Reading 5.3
and tackles change fatigue. In doing so, it recognises that constant and frequent change has been on the organisation agenda for at least a decade. Individual and organisation experience cmoved on’ from the material we learned in the l97os and l98os. New, better, more inclusive and more empowering ways of managing change and its impact on individuals are needed. one idea a Activity 5.2
Are You Ready to Manage Five Generations of workers?
which generation do you belong to? Boomers? Net Gen? Gen Y, Gen x?, Gen Next? Gen D (the digital natives)? Traditionalists _ born before l945 (also called the veterans, Matures, the silent Generation and the Greatest Generation); Baby Boomers _ born between l946 and l964; Generation x _ born between l965 and l98o; Millennials _ born between l98l and l999 (also one opinion is that the younger the individual, the more open to change. what do you think? Is resistance to change a feature of Boomers? Is receptivity to change a feature of Gen Y (or their replacements)? Is it just that right now Boomers are older (ageing) and Gen Y are younger? Is it that whoever the older generation is, in a particular point of time, are seen as staid, conservative and change resistant?
For further information on the multigenerational workforce have a look at:
Australian Human Rights commission, National prevalence survey of age discrimination in the workplace, Government of Australia. Available from: <https:yywww.humanrjghts.gov.auyour-workyage-djscrjmjnatjony publications/national-prevalence-survey-age-discrimination-workplace>. [24 April 2ol5]. Mejsterp jc & wjllyerd , K 2oo9, Are You Ready to Manage Five Generations of workers? Available from: . [24 April 2ol5].
2o15 Intergenerational Report, Government of Australia. Available from: <http:yy d3v4mnyz9ontea.cloudfront.nety2o15_lGR.pdf> . [24 April 2ol5].
References
Binney, c & williams, c l995, Leading into the future, London: Nicholas Brealey.
Kotter, JP & schlesinger, LA 2oo8, cchoosing strategies for change’, Harvard business review) vol. 86, no. 7/8, empowerment, justice, and work redesign’, Academy of management Review) vol. 23 ‘
Palmer, R. Dunford, R & Akin, G 2oo8, Managing organizational change, Boston, MA: McGraw-Hill Irwin. wanous, JP, Reichers, AE & Austin, JT 2ooo, ccynicism about organizational change measurement, antecedents, and correlates’, Group & organization Management) vol. 25 ‘
39 Topic 6 P0litics’ p0wer and leadership . analyse the roles of organisational power and politics, leadership, motivation and resistance in the change process.
Materials required
Textb00k
Management’.
Readings
6.l Bruhn, J 2ool, cLearning from the politics of a merger: when being merged is not a choice’, Health care Manager
6.2 Linstead, s, Brewis, J & Linstead, A 2oo5, cGender in change: gendering change’, Journal of organizational change Management
s6.3 Mccarthy, J, o’connell, D & Hall, D 2oo5, cLeading beyond tragedy: the balance of personal identity and adaptability, Leadership and organization Development Journal
s6.4 Nielson, w, Nykodyn, N & Brown, D 2oo5, Reading 4o cEthics and organizational change’, in French, w, Bell, c & zawacki, R, organization Development and Transformation , 6th edition, McGraw-Hill P0litics and p0wer
organisations are open systems and thus have many stakeholders. A government department not only has government of the day, its clients and the taxpayers of the country in which it operates. A private enterprise as stakeholders, and is also beholden to the laws and regulations of the government of the country in which it is situated.
sometimes there are internal politics and power struggles and these were alluded to earlier. sometimes the r Textbook and Reading 6.1
chapter lo of the text overviews the politics inherent in organisations and the management of politics.
Leadership
r Textbook
Leading and Managing People . Before embarking on this section read chapter 9 from your text.
Keeping call of the balls in the air’ within an organisational change scenario is not for the faint hearted and this may well be one of the reasons that there is now such emphasis on leadership not only at the top of conceptual distinction should be familiar to those who have studied the unit, Leading and Managing People. Modern leadership has evolved from historical antecedents and various types of leadership have been in the l97os and moving to the present. some students will have encountered similar material in the unit, Leading and Managing People.
during the l93os. unlike traditional and Taylorist views of organisations as mechanistic and bureaucratic, Barnard saw organisations as social systems that require human cooperation (Barnard l968). Leadership was a separate function, requiring vision and energy. what, then, distinguishes leadership from management?
Mintzberg (l973) showed how the level of authority was related to the control of daily work routines. senior executives were shown to spend more time on planning and leading than on organising and controlling. decisions.
Management versus leadership
similarities in management and leadership practices are based on extensive consulting and research experience, and provide a framework for much of today’s leadership research. Bass (l986) makes the following distinctions in the roles of manager and leader:
Leaders facilitate interpersonal interaction and positive working relations; they promote structuring management functions can potentially provide leadership; all the leadership activities can contribute to management.
leadership functions in a clear and unambiguous fashion.
Jackson (2ooo) questions whether the traditional ways of exercising control are suitable for cthe emerging paradigm of the knowledge era’ and argues that there are seven fundamentals to leading an organisation _ Exploiting ideas
_ Encouraging shared visions and values
_ Fostering self-discipline
_ Building commitment
_ Fostering teamwork
_ Dispersing power and leadership
_ championing a new approach to change.
Topjc 6 PoljtjcsJ power and leadershjp 41 of research evidence suggests that these include high activity and energy levels, with relevant task and intellectual competencies; aggressiveness and assertiveness; initiative; emotional balance and tolerance for stress as well as self-control and extroversion. Interestingly, some of the more frequently observed personal values of leaders are integrity, ethical conduct, task orientation, achievement orientation, competitiveness, independence, objectivity and inner direction.
research literature. He found that studies reveal that leaders perform similar functions such as motivating and reinforcing, communicating, planning and co-ordinating, problem solving, networking, informing inter-related.
among management and leadership skills and attributes. In particular Kotter (l999) showed that managers fundamentally create consistent and orderly results through the historical functions of planning and change and help an organisation adapt to changing environments by establishing direction (vision), aligning people to the vision (communication) and motivating and inspiring people to achieve that vision (appealing to values and sense of recognition).
what is required of managers [in the Fourth Blueprint organisation, capable of adapting to the judgment to choose the right skill at the right time.
other studies of leadership, from cultural perspectives and from looking at work-related outcomes, add to or the (unethical) use of fear. You can see how in leading change that all of these sources of power may be of leadership to the subject of organisation change.
leadership fails to take into account situational and other contingency factors. Nonetheless, Bolman and Deal (l99l) analysed the literature on leadership written in the l98os and found only one common thread No other characteristic is universal, but several appear repeatedly. one that is explicit in some and the use of symbols. Another characteristic mentioned in many studies is commitment or passion. Good important than doing the task well, and they communicate that belief to others. still a third frequently mentioned characteristic is the ability to inspire trust and build relationships. we found that honesty Beyond the ability to establish and communicate a vision and the capacity to inspire trust, consensus of followers, and courage, to name only a few.
Bolman and Deal (l99l) also discussed several other aspects of leadership:
. the c0ntext 0f leadership
what they can do
. leadership as a relati0nship ,
constituents
. leadership and p0siti0n , in which the two are not necessarily synonymous.
leadership and analyses leader behaviour in terms of the four frames (structural, human resource, political and symbolic) that you encountered earlier in this unit.
change leadership styles
(l99l)
four styles as follows:
. c0aches _ lead developmental transitions through democratic processes
. captains _
expertise
. charismatics _
change
. c0mmanders _ lead organisational turnarounds by tough decisive actions, overriding any resistance to change.
Limerick and cunnington (l993) argue that the era of discontinuous change calls for a charismatic leadership style, which brings about organisational transformation. In a discussion of ccharisma’ (l993, that there may be opportunities for individuals to learn (and to teach) how to act in ways that make them charismatic i.e. ccharisma’ is not considered to be an inherent trait but a learnable skill.
leadership) or whether better outcomes are achieved when these two styles are divided between two top implementing a change program focused on service improvement by creating front line problem-solving from heroic leadership. In particular, they suggest that the splitting of task from relationship management is the optimum way of achieving implementation of change and then making it work.
(where the whole focus is on one individual who creates the vision and brings the organisation with them through the transformation).
change in organisations.
Bolman and Deal (l99l) critique some of the popular theories of leadership, including the Managerial Grid dichotomy ignores other aspects, such as the importance of managing the organisation’s structural, political
Topjc 6 PoljtjcsJ power and leadershjp 43 and symbolic dimensions, as well as relationships between peers and managing up. Bolman and Deal also . telling (high task/low relationship)
. selling (high task/high relationship)
. participating (low task/high relationship)
. delegating (low task/low relationship).
In this context, ctask’ involves the extent to which a leader spells out the responsibilities of individuals selects the style depending on a (subjective) judgment of the maturity of the subordinates. Apart from the already-discussed problem of focusing exclusively on the task/people dimensions, the Hersey model does not, in Bolman and Deal’s view, distinguish between support for a person and support for an action. If a leader gives high direction and low support to unwilling workers what would motivate them to improve? Furthermore, if one directs and controls unwilling workers they will tend to expect that kind of behaviour perspectives:
. the structural leader achieves success by operating as an architect whose style is to analyse and design focus is management detail and whose style is formal command _ we could also add to this a critique of senior management who only change the organisation structure without also changing the culture. do things around here’?
. the human res0urces leader nurtures interpersonal relationships, and when successful, acts as a catalyst for creating an organisation whose success derives from empowered, highly committed, be weaklings who have abdicated their responsibilities
. p0litical leadership seeks to manage the organisation’s environment by advocacy, building support takes’ style, and the leader labelled a con artist
. the symb0lic leadership style inspires, creates meaning, interprets experience, seizes attention by by csmoke and mirrors’ or illusions.
Bolman and Deal (2oo3) summarise their discussion by arguing that the four frames are an historical leader. However, they claim that none of the modes are a complete recipe for a successful leadership style. combine styles into an integrated, comprehensive powerful style.
Gender’ leadership and change
with the changing demographics of both the workforce and the population in general it is reasonable to expect that increasing numbers of female workers will eventually result in more women in leadership positions. what can be said about the concept of women and leadership? Is there a uniquely cfeminine’ style of leadership? Most discussion of leadership has tended to be gender-blind. Leadership is assumed to be a
r Reading 6.2
Reading 6.2 rightly argues that gender is rarely raised as an issue in change management. Drawing on real-world results from change managers it shows how change is a gendered process in organisations. In a topic on power and politics it is appropriate to look at this issue. the viewpoint of the leaders’ ctheory in use’ of the mechanics of employee change, has the following to say about this issue:
of actions generated from contextual information about the leaders’ “theory in use”. First, leader development can no longer be separated from the context in forums such as general management programs. Neither leaders nor employees learn through lists of prescriptions presented out of context. “theory in use”. Learning may occur best when leaders are empowered to collect information rather than when presented with “how to” solutions. when they are guided in their collection by a comprehensive awareness of the relevance of context to learning.
Auth0r 0pini0n
within the concept of successful organisational change it appears that there has been an evolution in thinking regarding management. Management is now about developing worker commitment not through construct in identity formation (e.g. Leidner 2oo6).
contemporary manager is required to have more than technical skills and needs a repertoire of people organisation. In doing so the manager is complicit in the practices that govern the work identity and striving together the actual practices of leadership/management are not unproblematic.
leaders to communicator/enabler types:
.
having risen through the ranks, possessing a local focus, having a paternalistic view of the workforce and operating in a stable environment.
. In the 8os/9os the manager/leader could still be conceptualised as male and Anglo-celtic, but was likely to be a graduate, career oriented within the same industry or organisation, travelling more overseas on business, operating in an increasingly turbulent environment with a view of the workforce as a stakeholder in the business.
. compared to previous years, there is a greater likelihood of the manager/leader of the early 2lst with a global focus, having increased travel and overseas assignments, managing a workforce in operating in an environment of rapid change.
Topjc 6 PoljtjcsJ power and leadershjp 45 in leadership and management skills and to foster enterprise commitment to management development in Australia was reported by the Industry Taskforce on Leadership and Management in its Enterprising Nation (l995) paper (commonly known as the cKarpin Report’).
l. the need for enhanced people skills
2. better strategies for knowledge-based competition
3. the need for a global orientation and international business skills
4. decreasing the role of the state in management education
5. greater cconnectedness’ within the Australian economy
6. addressing gender issues
7. the need for targeted interventions.
happened to management and management development in this time.
Ethics and the change leader
It is rather surprising that most texts and articles on organisational change pay scant attention to the ethics of change. Hughes (2oo7) is one of the few authors who suggest that the essence of cultural change programs involves changing not only how people act but also how they think thus exercising a form of control over individuals without them realising it. In addition, he cites examples of explicit and implicit coercion as styles of managing resistance to change.
cummings and worley (2ol4) discuss the professional values of leaders and change agents and the need for and technical ineptness (the change job is beyond the capabilities of the leader but the person does not admit this).
r Readings s6.3 and s6.4
and strategy in an ethical way and calls on some concepts that have been covered already such as strategy and power. It also covers concepts such as organisational learning, which you will meet in Topic 8.
a Activity 6.1
for the trees. Fullan (2oll) established a new set of underlying assumptions to guide the would-be . Practice drives practice and theory
.
.
in order to illustrate how it can be used to gain insights about leadership and related learning approaches that will help current and future leadership manage the change process.
References
Barnard, cI l968, , Harvard university Press.
Bass, BM l986, cLeadership: Good, better, best’ organizational dynamics) vol. l3 ‘
Bass, BM l999, cTwo decades of research and development in transformational leadership’ European journal of work and organizational psychology) vol. 8 ‘
Bass, BM & Avolio, BJ l993, Transformational leadership and organizational culture, Public administration quarterly ‘
Bolman, LG & Deal, TE 2oo3. Reframing leadership. Business leadership ‘
cummings, T & worley, c 2ol4, organization development and change, cengage learning, sydney. Dunphy, Dc & stace, D l99l, strategies for organisational transition , centre for corporate change, Australian Graduate school of Management, university of New south wales.
Human relations) vol. 46 ‘ no. Fullan, M 2oll, change leader: Learning to do what matters most, John wiley & sons, New York and London. Journal of change management) vol. 7 ‘ school Leadership & Management) vol. 2o ‘
Kotter, JP l999, John P. Kotter on what leaders really do, Harvard Business Press.
Kotter, JP 2oo8, , simon and schuster, New York. Leidner, R 2oo6, cIdentity and work’ social theory at work ‘
Limerick, D & cunnington, B l993, Managing the new organisation: A blueprint for networks and strategic alliances, Business and Professional Publishing, sydney.
california management review) vol. l6. no.2. Posner, Bz & Kouzes, JM l988, cRelating leadership and credibility’, Psychological reports) vol. 63 ‘ no. 2, waldersee, R & Eagleson, G l996, , Australian Graduate school of Management, university of New south wales.
Yukl, G l989, cManagerial leadership: A review of theory and research’ Journal of management) vol. l5 ‘ no.
47 Topic 7 c0mmunicating change and m0tivating 0thers . analyse the role of communication and motivation in organisational change
. consider a critical analysis of cynical cspin’ about change
. describe a case study of successful change communication.
Materials required
Textb00k
chapter ll, ccommunicating change’ and chapter l2, cMotivating others to change’.
Readings
7.l
change programmes: a case study of post-acquisition integration’, strategic change
s7.2 Nilakant, v & Ramnarayan, s 2oo6, chapter 4, cMobilising support’, in change Management _ Altering Mindsets in a Global context, Response Books, New Delhi.
s7.3 o’Neill, A & Jabri, M 2oo7, cLegitimation and group conversational practices: implications for managing change’, Leadership & organization Development Journal
s7.4 wing, M 2oo5, cEnabling collaboration at IBM’, scM
c0mmunicati0n and resistance t0 change
Topic 5 examined resistance to change. some of this resistance can be attributed to fear through lack of information, lack of communication regarding a clear vision, lack of participative processes and lack of not only reside at the top of organisations.
Hughes (2oo7) explores three communication concepts. Firstly, he explores communication processes. As conferencing, telephone, face to face communication and even hard copy. It is usually top-down but depending on the openness of all levels of management, it can be more bottom-up than in the past. Auth0r 0pini0n
beyond management or those in the know to also deliberately cleak’ or csuggest’ some information. while this may be seen as readying the organisation for change and setting up a situation of urgency, it can also
lower down in the organisational hierarchy who have less power.
c0mmunicati0n c0ntent
Hughes (2oo7) then discusses communication content, the actual information conveyed in relation through the public news media rather than from their own cEo or senior management). c0mmunicati0n barriers
Finally, Hughes discusses communication barriers including organisational silence, which can have quite r Textbook
Read chapter ll of your text.
A number of these issues are taken up by Hayes in chapter ll of the text. He also examines issues r Reading 7.1
following a merger and acquisition are explored .
including:
. using negative words to describe what will happen if the change does not occur
.
. creating attention through using multiple media or symbols such as slogans, pictures, music . displaying appropriate body language, facial expressions to communicate their emotional commitment
. conveying a message that is congruent with what is known of the behaviour and demeanour of senior management
. showing decisions to be fair and following recognised procedures
. using appropriate celebrations to reinforce the positive aspects of the change.
Palmer et al. (2oo8) have also analysed several theorists’ suggestions on ways to communicate change. what communication about the change will occur. (Author opinion _ I would add communication about how the change will be assessed/evaluated/how the organisation’s members will know whether the change has been successful.)
Palmer et al. (2oo8) also maintain that the type of communication depends on the type of change. For instance an incremental change can depend on face-to-face communication and wide involvement over commands compliance. A charismatic transformation may entail more personalised communication with a high level of symbolic content.
Topjc 7 communjcatjnq chanqe and motjvatjnq others 49 planning stage a more consultative communication style with elements of inspirational and logical communication styles would be appropriate. At the enabling stage the above with the inclusion of a supportive style would be appropriate. At the launching stage maintaining stage inspirational and supportive communication styles would be appropriate (Palmer et al. 2oo8). creating a common language, selling the change in positive language, using stories and metaphors all help to create an optimistic perspective on the change process.
Auth0r 0pini0n
align with the culture, values or people’s lived experience of what is going on in the workplace. People who Motivating others to change can also be sincere and for the good of individuals as well as the organisation. view of the external environment and internal imperatives.
r Reading s7.2, Reading s7.3 and Textbook
Turn to and read Readings s7.2 and s7.3 and chapter l2 of your text.
support for the change and should be read now.
from conventional organisation change concepts and ideas. It explains how for real change to come about, the new state of the organisation _ for example _ becoming a customer-focused organisation _ must be embedded in the organisation at the level of everyday conversation, where rightly argues that if communication about change is just something that senior management manipulation and emphasises how communicating about change must be authentic. r Reading s7.4
Turn to and read Reading s7.4. Here is a quick view from leadership of the role of communication in the turnaround at IBM.
a Activity 7.1
c0mmunicati0n and change
It could be argued that you cannot over-communicate when you are asking your organisation to change. As a change management practitioner identify a broad range of suggestions about how to communicate well during any organisational change.
51 Topic 8 The learning c0nnecti0n . analyse the role of individual and organisational learning in the change process.
Materials required
Textb00k
chapter l9, cTraining and Development’.
Readings
s8.l Blackman, D & Henderson, s 2oo5, cwhy learning organisations do not transform’,
organization
s8.2
Journal of workplace Learning
s8.3 Harrison, M. 2oo4, cusing the four HRD stages for organisational renewal’
Development
8.4 vakola, M, soderquist, KE et al. 2oo7, ccompetency management in support of organisational change’, International Journal of Manpower)
8.5 Andrews, J, cameron, H & Harris, M 2oo8, cAll change? Managers’ experience of organizational change in theory and practice’, Journal of organizational change Management
organisational learning is one of the key factors in maintaining change and working towards organisational sustainability. Individual learning appears to be a key to employees’ resilience in the face of change and ability to creinvent’ themselves as organisational change and change in the labour market require new competencies and capabilities.
0rganisati0nal learning
organisations against the fast-moving pace of discontinuous change. It is in this context that most of the discussion of organisational learning seems to be taking place. corganisational learning’ can be contrasted with such concepts as corganisational change’ (which suggests movement from the status quo), corganisational development’ (which suggests innovative, progressive change) and corganisational adaptation’ Giordano (l996) provides a useful overview of organisational learning, reviewing some of the perspectives learning is a process which links improved performance with acquisition of knowledge, there is no agreement on the nature of this process. she summarises the positions of various theorists in the following table:
Table 8&1
Author(s)
conceptualization of
learning unifying idea or approach
Main contribution or argument
shrivastava
(1983)
Learning as:
. Adaptation
. Assumption sharing
. Knowledge of action-
outcome relationships
. lnstitutionalized
experience
Development of a typology of
learning systems, organized
according to two dimensions:
. lndividual-organizational
. Evolutionary-Design
Typology of learning systems: . one man institution . Mythological learning system
. lnformation seeking culture
. Participative learning system
. Formal management system
. Bureaucratic learning system
Fiol & Lyles
(1985)
Learning as the process of
improving actions through
better knowledge and
understanding
change, adaptation)
Distinction between whigher order” and wlower order” learning
Analysis of contexual factors . culture
. strategy . structure . Environments Levitt & March
(1988)
Learning as encoding
inferences from history into
routines that guide behavior
Emphasis on the organizational
rather than the individual level
Based on the tradition of
behavioral theories of decision-
making: population-ecology
theories of organizational change
Analysis of learning from direct experience, interpretation of experience and experience of others critique of organizational learning as a form of intelligence Huber
(1991)
Learning as change in range
of potential behaviors
critical review of the literature
based on four contructs:
. Knowledge Acquisition
. lnformation Distribution
. lnformation lnterpretation
. organizational Memory
Analysis of the 5 subprocesses of the knowledge acquisition process:
. congenital Learning . Experiential Learning . vicarious Learning . Grafting . search And Noticing Dodgson
(1993)
ubiquitous
Need to focus on both
processes and outcomes
Literatures assessed according to
insights into:
. Learning goals
. Learning processes
. Factors impeding or facilitating
learning
Argues for the transfer of analytical concepts from psychology (individual learning metaphor) to understand oL processes organisational learning is based on the concept of cdouble loop learning’, developed by Argyris and schon (l978). Double loop learning involves questioning the assumptions on which the organisation is acting. In contrast, single loop learning is short term, and involves behavioural responses to similar situations; as such, it may be appropriate for routine activities or quick responses to emergencies. It is, however, inadequate when faced with totally new or complex circumstances, where only a re-examination of underlying theories of action will suggest a future direction (Argyris l983). corganisational learning’ is described as the processes, which involve detection and correction of errors (reviewing theories of action) through either single or double loop learning. Revising theories of action without fundamentally changing organisational values
Topjc 8 The learnjnq connectjon 53 is an example of single loop learning, while double loop learning occurs when detection and correction of errors involves changes to theories of action, which alter the organisation’s underlying norms, policies and Figure 8&1 single and double loop learning
problem doesn’t happen again. second-order problem solving includes making changes to the system, policy, problems and thus implement double loop learning or second-order problem solving.
one simple example includes where an employee’s email system doesn’t provide quick or easy access to program.
but remember the adage _ for want of a nail w the battle was lost. Also, in today’s extreme competition organisation with great customer service, and the also rans.
smith (l998) distinguishes between cadaptation’ _ cthe process of adjustment to changing circumstances’ _ and corganisational learning’, which he claims is ca much deeper process, involving the development of insights and knowledge over a long period of time and the ability to assess critically the assumptions on term survival of organisations and cites the fate of the swiss watch industry when confronted with new technology of the electronic watch and Japanese competition.
various authors (e.g. Giordano l996; Dunphy, Turner & crawford l996; Argyris & schon l978) point out that discussion of corganisational learning’ needs to be considered in the context of whether the term is viewed
as a metaphor, or whether it is considered as describing a real-world situation. Are organisations capable of learning in the same sense as living entities can be said to learn? Is organisational learning merely the sum total of the learning of the individuals who comprise that organisation or is there a capacity for organisations the organisational theory that one espouses _ are corganisations’ simply collections of individuals who co- operate because of shared social, economic, political, etc. purposes; or do corganisations’ exist independently of their members who share these purposes? If the former, then organisations will be seen as learning behavioural paradigm, assume that organisations themselves are systems, which can learn. whatever view is taken on this issue, it seems clear that, at a minimum, the concept of organisational learning must involve some capacity to transmit lessons from one generation to the next, sometimes categorised as entailing corganisational memory’.
w organizations are seen as learning by encoding of inferences from history into routines that guide and technologies around which organizations are constructed and through which they operate. It also includes the structure of beliefs, frameworks, paradigms, codes, culture and knowledge that buttress, elaborate, and contradict the formal routines. Routines are independent of the individual actors who execute them, and are capable of surviving considerable turnover in individual actors.
fruitful to consider:
w three levels of complexity, each of which has distinctive processes and dynamics:
. individual learning, entailing processes as “basic” as developing the skills to carry out the activities needed in the organization, and less predictable processes that can generate novel ways of framing problems or radical innovations:
.
points of view (mental models), are required;
. “network” learning, entailing the processes through which organizational routines are produced performance of the organization as a whole
the quality and timeliness of information fed into the process, and the cquality of “thinking” (whether factors in the learning process. she goes on to argue that:
Due to personnel turnover, organizational learning is more vulnerable than individual learning to the loss of precious and costly lessons from the past, therefore there is a need to pay more attention to the intentional management of the organizational memory, within the constraint that what has been changed situation and therefore must be “unlearned” as quickly as possible.
Notwithstanding the tangled issues involved in the concept of organisational learning, there is a wealth of literature about the learning organisation, a related, but by no means totally overlapping, concept. . He used the metaphor of the organisation with learning disabilities. Rankin (l993) summarises his position as follows: . I am my position _ people confuse their identities with the work they do
. the enemy is out there _ we have the propensity to blame someone or something outside ourselves . the illusion of taking charge _ we delude ourselves through busy pro-activity into thinking we are in charge. More important is to see how we contribute to our own problems
Topjc 8 The learnjnq connectjon 55 .
. the parable of the boiled frog _ if threatened changes are small enough, incremental and gradual then we do no notice them _ as with the previous point, we need to slow down enough to see the important but subtle changes
. the delusion of learning from experience _ while we learn best from experience, in most organisations we do not directly experience the consequences of many of our most important decisions _ cycles are hard to see and learn from when they last longer than a year or two
. the myth of the management team _ the management team usually only has the appearance of a from learning.
senge characterises a learning organisation as one that is ccontinually expanding its capacity to create its future’. Field (l995) describes a learning organisation in terms of the presence of three elements: a) there is the capacity for double loop learning; b) attention is paid to learning how to learn; and c) key aspects of the adopt structures and strategies to encourage learning’.
It can be seen from the above discussion that the learning organisation, like organisational learning, is by that links the capacity of the organisation to meet changing environments to its deliberate focus, both structurally and culturally, on learning.
Easterby-smith and Lyles (2oll) sound a cautionary note that much of what is written about learning organisations is based on case studies of organisations which have achieved (supposedly) successful outcomes as a result of implementing action research programs, a key strategy within learning organisations. perspectives on the achievements within the organisations.
Much has been written on how to create a learning organisation.
disciplines:
. personal mastery _ a commitment to lifelong learning
. mental models _ exposing and challenging assumptions
. shared vision _ striving for agreed, common goals, which create a shared identity and destiny for members
. team learning _ self-managed, insightful learning and complex problem-solving within and across groups
. systems thinking _ a discipline for cseeing wholes'; for cseeing interrelationships rather than linear change rather than snapshots’.
integrates and unites the others. He advocates that organisational training be focused on encouragement and support for systems thinking.
. practices _ what you do
. principles _ guiding ideas and insights
. essences _ the state of being, displayed by those who have high levels of mastery in the practices and principles.
change and learning takes place in three stages:
.
.
maintain these under stress
. values and operating assumptions _ we internalise new values and assumptions and can maintain these in new, stressful and ambiguous situations.
give examples of each via case studies:
l.
2. a detailed, measurable action plan
3. the rapid sharing of information
4. inventiveness
5. the ability to implement the plan.
Marquardt (l996) follows senge (l99o) in emphasising systems thinking and developing a model of a total and technology. He describes each subsystem, how it can be optimised and how it interfaces with the other subsystems, then presents a case study of how that subsystem functions within a successful learning as described in the following reading.
In an article, which uses the Israeli Air Force as a case study, Popper and Lipshitz (l998) distinguish between has both a structural and a cultural dimension. Learning by organisations requires corganisational learning mechanisms (oLMs)'; these are structures, which encourage organisational learning and values, which . c0ntinu0us learning _ the apex of the hierarchy and central to organisational survival . valid inf0rmati0n _ essential for learning
. transparency _ a willingness to be subjected to evaluation
. issues 0rientati0n _ focus on the message, not the messenger
. acc0untability _ individuals accepting responsibility for own actions, and for learning from actions. More recently other authors (e.g. senge, 2ol4) have began to question the adequacy of the existing learning organisation paradigm as a response to the challenges of the ever-changing organisational environment, ccompetence’ and ccapability’.
Hughes (2oo6) maintains that organisational learning can occur from both change management success and failures. Learning from success may involve identifying the key success factors such as commitment, social and cultural communication, tools and methodology and interactions as well as such criteria as sales data, revenue data, customer satisfaction, progress against schedule and unanticipated consequences (and on as many organisations are involved in change cycles or a series of changes and improving process is highly relevant.
Learning from change management failure is just as important, according to Hughes (2oo6) as failure management failures, including many based around Total quality management and downsizing but also states that it is an organisational taboo to discuss or write about failed change initiatives. He suggests that the reason for some of these failures could be methods not properly understood or only partly applied, bureaucratic control rather than a mobilisation of commitment, change based around cost cutting rather than strategic restructuring.
A n0te 0f cauti0n and auth0r’s 0pini0n
It should be recognised that some author’s have problematised the concept of the learning organisation and organisational learning. Hughes (2oo6) highlights the issues:
Topjc 8 The learnjnq connectjon 57 .
.
consulting experience not research
.
may be less used in the early part of the 2lst century concepts such as corporate knowledge, knowledge management, systems thinking, communication and organisational power and politics do have currency. about how the organisation is travelling and in what direction.
Reading 8.2 examines organisational change/learning in a public sector organisation.
r Reading s8.1
Turn to Reading s8.l what can you learn from this reading about the learning organisation and its role in change?
lndividual learning
Hughes (2oo6) maintains that individual learning was somewhat lost in the rhetoric of the learning organisation and that what individual learning occurs is narrow.
organisations have moved form a narrow view of training, traditional divisions of labour and task demarcation to workplace or enterprise learning, an appreciation of skills formation, a new balance of skills, integration of skills and knowledge sharing.
r Textbook
Turn to and read chapter 2l of your text. It covers a number of elements in the area of training and development. Training and development per se do not constitute a learning organisation but they may at least be one necessary precondition.
Human Resource Development, covers this area in depth. It is important to note, however, that many organisations may not have the large HR or learning and development functions that they did in the early l99os and line managers have picked up some of these HR accountabilities. As organisations have for) their own learning. In some organisations training and development focus on legislative compliance matters such as occupational health and safety and technology upskilling and other forms of development are given less focus.
r Reading s8.2
Turn to and read Reading s8.2.
It is not contradictory to note that where a HR function does exist in organisations, there has been a move to making the function more strategic rather than administrative or reactive. Given what you have learned
thus far in the unit and also given the following topics on interventions and evaluating change, it is clear that r Readings s8.3, 8.4 and 8.5
Turn to and read Readings s8.3, Reading 8.4 and 8.5.
Reading 8.4 shows how individual learning and required competencies at the operational level contrast with the somewhat intangible and amorphous concepts of the learning organisation in that it provides concrete details of what behaviour is required from individuals in an overall schema of organisation change.
Reading 8.5 looks at how useful learning about change (such as in this unit) is for managers. a Activity 8.1
whereas the concept of the organisational learning is easily understood by academics, applying the learning organisation to improve company practices and performance may present a applying the concept of the learning organisation may not be understood by executives and managers. consider your own organisation or one you are familiar with. Determine how to begin a change process focused on becoming a learning organisation to increase their competitive capability.
References
Argyris, c & schon, D l978, organizational learning: A theory of action approach , Addision wesley, Reading, MA.
Dodgson, M l993, corganizational learning: a review of some literatures’, organization studies) vol. l4 ‘ no. Mahler, J & Posner, P 2ol4, cPerformance movement at a crossroads: information, accountability and learning’, International Review of Public Administration) vol. l9 ‘
Marquardt, MJ l996, Building the learning organization , New York, McGraw-Hill companies. Popper, M & Lipshitz, R l998, corganizational learning mechanisms a structural and cultural approach to organizational learning’, vol. 34 ‘
learning organisation model to enhance university library and IT client service’,
Journal) vol. 63 ‘
Measuring Business Excellence) vol. l, no.
senge, PM 2ol4, , crown Business.
Tortorella, GL, Marodin, GA, Fogliatto, Fs & Miorando, R 2ol4, cLearning organisation and human resources management practices: an exploratory research in medium-sized enterprises undergoing a lean implementation’ International Journal of Production Research ‘
wick, cw & Le?n, Ls l995, cFrom ideas to action: creating a learning organization’ Human Resource Management) vol. 34 ‘
59 Topic 9 strategies f0r change . discuss the range of change strategies and their appropriate application.
Materials required
Textb00k
chapter l4 cshaping the implementation strategy’ and chapter l5 cDeveloping a change plan’ Reading
9.l walsh, P 2oo5, cDealing with the uncertainties of environmental change by adding scenario planning to the strategy reformulation equation’, Management Decision
R0le 0f visi0n in 0rganisati0n change
Palmer et al. (2oo8) maintain that having a clear strategic vision is the key to organisational change and that clear vision enables boards to evaluate how well organisational leaders are doing their jobs and identify gaps . content (what the vision is and says)
. context (where it is used and by whom)
. process (how it emerges and who has input into it.
In Good strategyyBad strategy, Richard Rumelt (2ol2) distinguishes bad strategy from good and makes the l. A “diagnosis” that explains the nature of the challenge, identifying which aspects of the situation are critical and the obstacles to be overcome _ a critical version of “what’s going on here?”
2. A “guiding policy” for dealing with the challenge _ an overall approach to cope with or overcome the 3. A set of “coherent actions” are required to carry out the guiding policy.
In contrast, bad strategy is more than the absence of good strategy. Bad strategy is long on goals and short on policy or action. Rumelt lists three manifestations of bad strategy:
l. w ] to create the 2. Failure to face the challenge or come to grips with the fundamental obstacles and problems standing in the organisation’s way.
3. Mistaking goals for strategy.
a Activity 9.1
Have you ever created and communicated a vision? If not, try now to develop one for your position or work unit, based on the seven ideas given above.
context of the organisation such as rigid organisations (few available resources and lack of acceptance of the need to change), bold organisations (low resources but a high acceptance of the need for change), over- managed organisations (high resources and little acceptance of the need for change _ past success and stable environment) and liberated organisations (high availability of resources and high acceptance that change is needed).
.
. pump-priming approach whereby the cEo provides visionary ideas and gets selected individuals and groups in the organisation to develop them
. facilitation approach whereby participative processes engaging a wide range of people in the organisation develop the vision.
. the intuitive
_ scenario generation, the use of metaphor and imagery is common in this approach _ this broadly follows oD but may produce individual visions that are out of step with the organisations’ or industries’ core business
. the analytical approach analyses who is served by the organisation, what it does, why it focuses on and strategies it does not pay very much attention to underlying values, culture and may thus lack the inspirational message
. the benchmarking approach examines the organisations competitors and what they do well and how this can be surpassed _ this approach may be limiting because it aligns with competitors and does not examine new or radical directions.
Auth0r 0pini0n
one of the concerns around visions is that they can become rigid and outdated as the context changes. visions can also be cjust hot air’ or over vague, unrealistic and meaningless slogans. when the underlying culture is at odds with the vision there can be disconnect between what is said and what actually happens. r Textbook and Reading 9.1
Turn to and read chapters l4 and l5 of your textbook and Reading 9.l.
that should help strategy formulation.
control during change.
References
strategic Direction , vol. 28, no. 8.
61 Topic 1o lnterventi0ns on completion of this topic you should be able to:
. analyse the range of change interventions
. identify their appropriate application.
Materials required
Textb00k
chapter l6, cTypes of Interventions’.
Readings
slo.l csix sigma in action: overcoming barriers to organizational change’, 2oo8, Development and Learning in organizations
lo.2 Jones, JP & seraphim, D 2oo8, cTQM implementation and change management in an unfavourable environment’, Journal of Management Development
lo.3 Tsai, c-F & Yen, Y-F 2oo8, A model to explore the mystery between organizations’ downsizing and strategic human resource management, Journal of organizational change Management, vol. 2l, lnterventi0n types
Palmer et al. (2oo8) suggest that there are six major intervention types:
. organisation development
. Appreciative enquiry
. sense-making approaches
. change management
. contingency approaches
. Processual approaches.
cummings and worley (2ool) typology. You will note that Bolman and Deal (2oo3) have a similar typology with the addition of the symbolic Frame.
r Textbook
Turn to and read chapter l6 of your text.
organisati0n devel0pment
and is probably more suited to incremental change. oD is planned, the top of the organisation is committed mission, it is action oriented, long-term, focuses on groups and teams and uses experience-based learning to change attitudes and behaviour. oD is based on humanistic, democratic and developmental values (Palmer some of the critique of oD has already been covered. However, it is also critiqued on the grounds that it is usA centric and its values are not universalist. oD is seen as linear, progressive, goal oriented, based on creating disequilibrium, planned and managed by people separate from the change itself (consultants) while confucian/Taoist assumptions about change are that it is cyclical, a harmonious movement from one state to another, based on equilibrium, observed and followed by involved people (Palmer et al. 2oo6). oD strategies are incremental in nature and can involve search conferences where representatives from a issue in its current form, design the future of the issue reorganisation and formulate strategy. management sessions, search meetings with stakeholders as well as members of the organisations and planned interventions, all of which may be regarded as problem-solving techniques.
an oD approach.
Acti0n research may also be regarded as an oD intervention as it involves organisational members a perspective on action research.
All of the above may be regarded as problem-solving techniques. In contrast, appreciative inquiry may be the organisation, building on that knowledge to help envision the future, designing what should be to attain sense-making appr0aches provide an alternative approach to oD and are based on three change assumptions:
. Inertia _ planned change is needed to disrupt the forces that are preventing the organization from changing
. standardised change is needed and needs to be driven by motion and experimentation, implementation in novel ways and updating knowledge and reviewing organizational requirements and respectful, candid interaction
. unfreezing of the inertia
to observe the inertia and blockages then rebalances and then unfreezes to enable further innovation. Examples of sense-making may be in the introduction of a cultural change program to the Balanced scorecard approach. sense-making approaches deal with identity construction, social sense-making and plausibility, and may be said to be incremental in approach.
Topjc 1o lnterventjons 63 change management appr0aches have already been covered in the leadership topic. Here I will simply suggest Kotter’s (l995) eight-step change management model:
l. Establish the need for urgency
2. Ensure that there is a powerful change group to guide the change
3. Develop a vision
4. communicate the vision
5.
6. Ensure that there are short-term wins
7. consolidate gains
8. Embed the change in the culture.
c0ntingency appr0aches follow the Dunphy and stace model you encountered earlier and is based on the level and scale of change, To recap, the style of change management can be collaborative, consultative, corporate transformation. Medium to high performance organisations are likely to use consultative and Another contingency approach categorises four ideal types:
. commanding change intervention is where the time period is short, abrupt and rapid _ the organisation is in trouble and senior management need to act quickly in a directive way
. engineering intervention focuses on medium-term, relatively fast change perspective and is assisted by experts who assist in changing work and operational systems
.
consultants to examine their work practices
. socialising intervention focuses on change through participative process and experiential learning. Auth0r 0pini0n
contingency approaches are more nuanced than others and recognize the stage of development and management styles in organisations. However, they have been critiqued on the grounds that it is easier to change their management styles depending on the contingency. other models may also be preferred because Pr0cessual appr0aches assume that change unfolds over time depending on the context the organisation is in theory and involves a problem sensing stage, a development of concern stage and acknowledgement and understanding of the problem stage, a planning and acting stage and a stabilising stage. what distinguishes it from a change management step by step approach is some of the underlying assumptions that change is not linear, strategies will need to be adapted as the change itself changes over time, taken for granted assumptions need to be questioned, training and development programs need to be aligned with the desired changes, communication should occur in context, political processes will be central and change involves High performance management and business process engineering may be regarded as component of processual approaches but not as complete processual processes in their own right.
which contingency approach in Dunphy and stace’s model best describes each case study.
r Readings s1o.1, 1o.2
Reading slo.l is a good explanation of various change interventions such as six sigma and continuous improvement as well as case studies from organisations.
Reading lo.2 is a very interesting case study about introducing TQM in a culture that would levels of literacy, top-down management, command and control characterised the organisation, all of which are the opposite of what is required for successful TQM. still, the TQM worked, as gives impressive statistics for improvement such as reduced waste and so on, which are usefull examples for the later topic on evaluating change.
r Reading 1o.3
of downsizing, and more important, from a humanistic perspective, how organisations can do it more responsibly.
65 Topic 11 Evaluating and sustaining change on completion of this topic you should be able to:
. discuss the role of evaluation of change and sustainability of change.
Materials required
Textb00k
chapter 26, cReviewing and Keeping the change on Track’ and chapter 27 cMaking change stick’, and chapter 28 cspreading the change’.
Readings
ll.l cummings, T & worley, c 2oo5, chapter ll, cEvaluating and Institutionalising organisation Development Interventions’, in organisational Development and change)
ll.2
Development and Learning in organizations
sll.3 J?rgensen, HH, owen, L & Neus, A 2oo9, cstop improvising change management!’, strategy & Leadership
sll.4 McGreevy, M 2oo9, cwhy change works sometimes’, Industrial and commercial Training, vol. 4l, no. Evaluati0n
Henderson and Macadam (l998) suggest that many evaluation models do not evaluate the impact of changes analysis of people (e.g. job satisfaction) and situation (e.g. organisational climate). cummings and worley (2oo5) suggest also that evaluation is not just an end-on activity but especially in oD and other participative and evolving interventions such as sense-making should occur as formative evaluation right through the change process.
r Reading 11.1
cummings and worley discuss modes of evaluating and mainstreaming organisational change interventions.
sustaining change
Palmer et al. (2oo8) maintain that change can be seen as having been mainstreamed when the cchange’ is involve:
.
. the redesign of reward systems so they are congruent with the values, structure and direction of the changes
.
the changed culture, structure and business processes
. senior management acting consistently with advocated actions and modelling the new desired behaviours and goal activities
. encouraging voluntary acts of initiative by painting broad brush change goals and empowering those nearer the delivery of the changes to determine the details of what is to be done
. measuring progress as the change progresses but being aware of the limitations of measurement .
r Textbook and Readings 11.2, s11.3 and s11.4
Read chapter 27 and 28 of your text and then Readings ll.2, sll.3 and sll.4. Reading ll.2 gives a simple approach to evaluating change that, due to its simplicity, may be more likely to be implemented and thus ensure at least some post-change learning occurs. Reading sll.3 draws on practical real-life experience of cEos to examine how successful they easy to read statistics and several good ideas.
Reading sll.4 complements the two readings in terms of practical focus and good data. It would be a good idea to synthesise the three studies, fo
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