HRM 511- Organisational Behavior

Research Paper on Organisational Change Management

Due Date- 29th June 13.

Submitted to-Tarun Chaturvedi. Submitted by-Haresh Gurnasinghani.

Section-1

Enrollment No-P301312CMG529

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Abstract.

The issue of managing organizational change is of key importance within management theory

and practice. A number of lawsuits have shown that attempts to 'manage' organizational change

frequently failed . Therefore the aim of my paper is to find why does the failure almost occur?

Additionally, this paper's objective is to provide discussion and find reply to the following

questions:which specific aspects of change are currently impacting most on practicing managers?

How do they react to change? How are they so careless with them? And how successful are their

efforts? How do the problems identified and solutions described, relate to the theory and research

on organizational change? What kind of organizations is the most adapted to changes? The

findings suggest that most companies’ operational strategies and structures reflect past business

realities—making organizational inertia one of the most significant obstacles to change .

However, it is noted that leadership and management skills, such as visioning, prioritizing,

planning, and providing feedback rewarding success, are key factors in any successful change

initiative. It culminates with a final paper and oral presentation's conclusions, implications and

suggestions for further research.

Introduction.

What Are Organizational Change and organizational Change Management? Change has several

meanings, but for the purposes of this paper, change—or, more precisely, organizational

change—will be defined this way:

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Organizational change is the implementation of new procedures or technologies intended to

realign an organization with the changing demands of its business environment, or to capitalize

on business opportunities. In addition, organizational change management is the process of

recognizing, guiding, and managing these human emotions and reactions in a way that minimizes

the inevitable drop in productivity that accompanies change. Organizations have to deal with

new technology, and with upgrades to existing technology. They have to cope with

reorganizations, process improvement initiatives, and mergers and acquisitions. Which specific

aspects of change are currently impacting most on practicing managers? How do they generally

respond to change? How are they dealing with them? And how successful are their efforts? How

do the problems identified and solutions described, relate to the theory and research on

organizational change? Mergers, acquisitions, new technology, restructuring and downsizing are

all factors that contribute to a growing climate of uncertainty. The manager who moves straight

into why the change is best for everyone and how business is going to be conducted disregards

the human nature element - the emotions that are normal and natural for anyone feeling

threatened by change to fail. At every step in the process of implementing an organizational

change, a good manager will ask him/herself “How might I react to these changes “? As the

organization implements the changes though, the reality of the change becomes present and

employees may either resist the changes or start to adjust to the changes depending on the

individual. The employee who continues to resist, remains angry and is labeled as “difficult” is

feeling more threatened and may need some one-to-one time with the manager to discuss the

changes or at some point, may need clarification from the manager about performance

expectations in light of the changes. There trigger external and internal for organizational

change.

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Motivation

Against a backdrop of rapid technological development, a growing knowledge workforce and the

shifting of accepted work practices, change is becoming an ever-present feature of organizational

life. However, whilst many organizations appreciate the need for change, as many as 70% of the

change programs do not reach their intended outcomes. In response to the increasing importance

organizational change, there is a growing body of literature looking at the concept and processes

of change management and factors that contribute to its success. Drawing from a wide range of

disciplines and theoretical perspectives this literature has been described as abounding in

complexities and containing many contradictory and confusing theories and research findings.

Any occupation in today's fast-moving environment that is looking for the pace of change to slow is likely

to be sorely disappointed. In fact, businesses should embrace change. Change is important for any

organization because, without change, businesses would probably lose their competitive edge and fail to

meet the needs of what most hope to be a growing base of loyal customers.

Purpose.

Organizational change management is a framework for managing the effect of new business

processes, changes in organizational structure or cultural changes within an enterprise. Simply

put, organizational change management addresses the people side of change management.

A systematic approach to organizational change management is beneficial when change

requires people throughout an organization to learn new behaviors and skills. By formally

setting expectations, employing tools to improve communication and proactively seeking ways

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to reduce misinformation, stakeholders are more likely to buy into a change initially and remain

committed to the change throughout any discomfort associated with it.

However since change is the only thing which is constant in this day to the day changing

environment, this topic is selected to understand why 70% percent organizations failed to

achieve their desired outcomes.

Literature Review.

1) Research on Organizational Change in Public Organization by Sergio Fernandez (Indiana

University) and Hal G. Rainey (University of Georgia).

The variety of theoretical perspectives summarized in the online version of this article presents a

rather confusing picture, but it provides insights into the nature of organizational change, and in

particular, the causes of change and the role of managers in the change process. Some of the

theories downplay the significance of human agency as a source of change (e.g., Scott 2003).

Conversely, other theories view managers purposeful action as driving change, although

environmental, cognitive, and resource constraints place limits on such activity. These major

theoretical perspectives illustrate researchers conflicting views about the causes of change in

organizations, especially the mental ability of managers to bring about change. Despite the

conflicts among theorists, however, a significant body of research indicates that managers often

do make change happen in their establishments. Public sector studies also offer evidence of the

vital role that public managers play in bringing about organizational change. Noting that

managers can effect change tells us little, however, about whether an intended change actually

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occurs and about the best strategies for effecting change. Fortuitously, a stream of research exists

that contains various models and frameworks, many of them loosely based on Lewin ’ s (1947)

steps or phases of change. These studies identify the process of implementing change within

organizations and point to factors contributing to success develop specific strategies for gaining a

future end state. Some research on private organizations indicates that it is easier to convince

people of the need for change when leaders craft a vision that offers the hope of relief from stress

or discomfort even suggest implanting dissatisfaction with the current state of affairs in order to

become members of the organization to embrace change. To convince people of the need for and

desirability of change and to begin the process of “ unfreezing ” the organization, suggest

employing effective written and oral communication and forms of active participation among

employee. Further from this research I understand, that successful implementation of new

programs depends on top management’s ability to disseminate information about the change and

convince employees of the urgency of change.

2) Organizational Change Management Powers Document Information Transformation.Source-

http://www.ricoh-usa.com

Research on Japanese company manufacturing xerox machines and printing machines. (RICOH).

Shows a new model of behavioral change management was developed called as a Prosci

ADKAR Model In support of getting desired business results.

The Prosci ADKAR Model represents five goals of individual change that must be accomplished

for a successful transformation.

• Awareness of the need to shift;

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• Desire to participate and support the change;

• Knowledge of how to change (and what the change looks like);

• Ability to implement the change on a day-to-day basis;

• Reinforcement to keep the change in place

Awareness – Understanding Why Change is Needed

Before people will accept change, they need to be aware of a compelling need for it. Senior

management plays a key role in clearly and consistently communicating why transforming

information management will further corporate strategic goals and why this initiative is to be

supported across all Line of business. Benefits are further reinforced at the Line of business

level by respected domain experts and Line of business managers. As a member of the change

management team, a marketing communications specialist is well-equipped to develop an

internal communication plan that helps promote awareness and lower the risk of employee

alienation.Internal communication tools may include:

• Official branded email announcements endorsed by top management (using company-specific

branded themes (e.g., “brand” the change--Better, Faster and Greener)

• “Did you know” pamphlets

• Lobby/break room posters

• Branded Post-it notes

Note: it is important to plan ahead and measure awareness before, during and after

transformation to determine whether communication plans are forming or need tweaking.

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Desire to participate and support the change;

Once awareness of why a change is beneficial has been planted, people need to be motivated to

particulate in the change on a personal level. Everyone in a business creates and uses

documents--it is intrinsic to the way people in virtually any role do their jobs. Habits are

ingrained and seldom given a second thought—it takes personal effort to change them. No

technology can effectively enforce a willingness to embrace new processes. The only way for

real change to happen is to satisfactorily answer one important question: “What’s in it for

me?”Some of the positive effects of transforming business critical document processes include

making knowledge workers’ jobs easier—more effective and, arguably, more employable. But

new processes and technologies frequently involve a learning curve, and this can promote

insecurity about whether they will win. It is important the benefits of change need to be

perceived as greater than this insecurity and the natural resistance to change.

Knowledge – What do you need to know to succeed

Because they have participated in designing the transformation of the current state to the “desired

state,” those same Line of business domain experts and managers are in the best position to help

design a plan for developing and transferring skills to the rest of the constitution. These SMEs

can work together with the marketing communications specialist or other resources on the

change management team, to design and implement a training program. Some examples of

programs for knowledge transfer may include: Formal on-site training Self-paced online training

and self-help documents“Cheat sheets”Decision trees for Help Desk responses these tools must

be in place before building the awareness and desire to participate. They will be part of the

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 process to help people believe they have what they need to succeed, making the transformation

seem less daunting.

Ability to enforce the change on a day-to-day basis;

People need time to acquire new skills and behaviors. A plan for evaluating the success of

knowledge transfer, of proficiency in new processes, should set realistic expectations over a

reasonable period of time. Measurement of key performance indicators (KPIs) will reveal not

only the progress of an individual’s abilities but also the improvement in overall performance in

meeting program objectives, staying on schedule and staying on budget.

Interestingly, while new processes and technologies part of a transformation may call for new

performance measures, KPIs should be retained and leveraged as much as possible--like cost per

page or customer service response time. This provides a certain level of comfort and sense of

continuity throughout the organization.

Reinforcement to keep the change in place:

Reinforcement actually does more than sustain a changed process; it creates a culture of

continuous improvement. A culture of continuous improvement looks beyond the initial

transformation, for further opportunities for cost savings, greater innovation, and improved

customer service. There are three steps to reinforcing change: collecting and analyzing

feedback; diagnosing gaps and managing resistance, implementing corrective actions and

celebrating successes. The change management plan for this phase should include

 The means for listening to employees and gathering feedback;

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 Auditing compliance with new processes, systems and roles; an independent, ISO-like audit will

provide un-biased feedback to help reinforce new processes;

 Analyzing the ongoing effectiveness of change management

The collection and analysis of feedback on the performance of the transformation will help

identify root causes and pockets of resistance to the use of new procedures and technologies—

and these, in turn, inform the development of corrective action plans that enable sponsors and

stakeholders to handle resistance, and extend the initial benefits.

3) Center for Understanding Organisational Change Management.

By- Matt Barnar & Naomi Stoll, National Centre for Social Research.

Within the literature, one of the most influential positions which I came through is known as

‘planned approaches’ to change that of Lewin (1952, in Elrod II and Tippett, 2002) who argued

that change involves a three stage process: firstly, unfreezing current behavior; secondly, moving

to the new behavior; and, finally, refreshing the new behavior. The three-step model was

assumed for many years as the dominant framework for understanding the process of

organizational change (Todnem, 2005). Since its formulation, the hypothesis have been reviewed

and modified, with the stakes being divided to create more specific steps. For example, Bullock

and Batten (1985) developed a four stage model consisting of exploration, planning, action and

integration.

Despite its popularity, Lewin’s original theory has been criticized for being based on small scale

samples, and more importantly the fact that it is based on the premise that organizations work

under constant conditions that can be taken into consideration and planned for. As a consequence

of such criticisms an alternative to planned approaches to organizational change was developed

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that is known as the ‘emergent approach’. An emergent approach to organizational change sees

change as so rapid and unpredictable that it cannot be done from the top downwards. Rather, it is

argued, change should be seen as a process of learning, where the organization responds to the

internal and external environmental changes.

A key point emerging from the review is that the literature is consistent in indicating that change

isn’t a single, continuous process, but rather is broken down into a number of different steps. The

implication of this is that managers will need to consider what strategies, in terms of

communication, training, reinforcement etc., are appropriate for the different stages, rather than

settling on a single approach that can be used throughout the procedure, and at the same time

remain flexible and reactive to changes as they occur. This of course will require more effort and

preparation time, but the reward is likely to be that change happens more smoothly and

efficiently. While planning these strategies, managers need to consider the nature of the

psychological contract the organization has with employees and how the changes they are

introducing might alter its balance. Crucially, if the balance is altered, managers need to consider

how to rebalance it if they want to avoid resistance that could undermine the process.

Nevertheless, the situation is further complicated by an awareness that even where employees are

not personally resistant to change, a wide range of other factors can prevent the change from

taking place or being sustained, and these also need to be taken into account.

4) Organizational Change: Motivation, Communication, and Leadership Effectiveness.

By : Ann Gilley, Jerry W. Gilley and Heather S. McMilla.

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This research indicates that numerous variables have an impact on a leader’s effectiveness. This

study explores the behaviors associated with leadership effectiveness in driving change. The

findings confirm previous research that identifies change effectiveness skills while isolating the

specific leader behaviors deemed most valuable to implementing change: motivation and

communication, further this research also focuses on Lewin’s three stage change model and

compares with Ulrich’s seven step model and Kotter’s Eight steps Model, also this research

focuses more on leadership skills and abilities for effecting change in organizations. Which

further focuses on factors like Coaching,Communicating,involving others, motivating, rewarding

others and promoting teamwork.

5) Organizational Change Management: A critical review

Queen Margaret University College, Edinburgh, UK .

From this research paper we can clearly see that change is an ever present factor that affects all

systems. There is a clear consensus that the pace of change has never been greater in the current

continuously evolving business environment. Therefore a successful management of change is a

highly demanded skill. However the management of organizational change currently tends to be

reactive, discontinuous and adhoc with a failure rate of 70 % of all change programs initiated.

This may Indicate a basic lack of valid framework of how to successfully implement and manage

organizational change, since what is currently available is a wide range of contradictory and

confusing theories and approaches, which are mostly lacking empirical evidence and often based

on unchallenged hypothesis regarding the nature of contemporary organizational change

management.

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By providing a current review of change management theories and approaches, this research has

made an attempt to highlight the need for a new and pragmatic framework for change

management. In order to build such a framework it is recommended that further exploratory

studies of the nature of change and how it is being made should be conducted. Such studies

would arguably identify critical success factors for the management of change. This research also

suggests that methods of measuring of organizational change should be designed in order to

appraise the value of any new framework suggested.

6) Change Management In High Performance Organizations as a Result Of Regulatory Shocks.

This research report analyses the impact of a regulatory change ('shock') on a public service

organization. Dependent upon the nature of the organization, various steps are undertaken to

absorb the shock. Since health care organizations are high performance entities and are a system

of interrelated medical care units, they need to apply theoretical frameworks that assist in change

management of large organizations. Currently there are a number of frameworks which can

achieve this. In this paper, I will analyze two system change frameworks and propose a new

approach based on these two frameworks.

In this research we have seen two models to handle change in system which are

The Star Model.

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The Star Model is based on the premise that a system level change requires attention to six

distinct areas of the organization/system. The individual vertices on the star work in tandem with

each other but not all areas are equally important all the time. According to Golden and Martin

(2004), there are six ideas implicit in the model and they are as follows.

1. Organizational problems are not because of lazy, dumb, unskilled people. Rather, it is the

entire system that is weak and this weakness is reflected in the attitude of its employees.

2. There is no single correct way to create a system. A systems construction is based on the

requirements for change, its previous configuration and the external elements which are present

in the proposed systems ecosystem.

3. All points on the star are not equally important in re-designing the system. The level of

importance for each area is dependent on the kind of change that is being pursued.

4. The model is dynamic in nature and changing the conditions around one area of the star could

lead to changes in some other area(s). Therefore it is advisable to be cognizant of this fact before

making sweeping changes based on the star.

5. Health care leaders can indirectly influence their systems by using the areas on the star.

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6. There is always a cultural backlash to all changes and tackling that is an important step

And the other model for change management is

COGHLAN & MCAULIFFE'S MODEL FOR LARGE SYSTEM CHANGES

This model is based on a five phase approach which happen in a sequence:

1. Determining the need for change.

2. Defining the desired future state.

3. Assessing the present in terms of the desired future to ascertain the alterations to be made.

4. Implementing the change and managing the transition.

5. Consolidation and sustaining the variety.

Though the model calls each of the five items it investigates a phase, they can also be considered

questions that are asked of the organization's management while going through change planning.

Although both the models are much effective for High Performance Organizations and are very

less useful for other companies.

7) Challenges Facing Change Management.

Mildred Golden Pryor

Sonia Taneja

John Humpheys

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 Donna Anderson

Lisa singleton

This research paper focuses on different change management models which are still relevant for

21st century. The problems are not with their relevancy or their worth. The problems and

challenges facing organizational leaders, organizational development experts and researchers

relate to the speed and complexity of change required today. This article addresses selected

change management models and research, their relevance in today’s global economy and the

challenges facing organizational leaders and researchers in terms of their application and

anticipated outcomes. We also suggest a relatively new strategic model as well as novel

applications of existing change management models and theories.

Various Change Management Models are,

 The Action Research Model/Theory (Collier, 1945; Lewin, 1946; French, 1969; Schein, 1980);

 Lewin’s Three-Step Model (Lewin,1945; Lewin,1951);

 Schein’s Extension of Lewin’s Change Model (Schein, 1980);

 The Lippit, Watson and Westley model of planned change which expanded Lewins Three-

Step

 Model to a Five-Phase Model (Lippit, Watson, and Westley 1958);

 Kotter’s Strategic Eight-Step Model (Kotter, 1996);

 Mento, Jones and Dirmdofer’s Twelve-Step Model (Mento, Jones and Dirmdofer’s 2002);

 Jick’s Ten-Step Model (Jick, 2003; Jick, 2001); and

 Shield’s five-step model (Schield, 1999)

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The change management models that have been discussed in this article are still relevant and can

be used as they have been in the past, with one exception – the speed at which the steps, stages,

or phases of the models occur. This era is one of rapid change, sophisticated communication and

technological systems and variables that make preparation for the future complex and fast-paced.

In order to be able to be a winner in this type of environment, processes and relationships must

be streamlined, non-value-added activities must be eliminated and people at all levels in

organizations must be empowered to rapidly make decisions and held accountable for those

decisions.

Discussion.

Starting with my analyses for the subject, In today’s ever changing world change is only constant

and our turbulent environment offers new opportunities that can be seized by those who

continuously develop their levels of expertise and learning methods. If we desire to be among

those who directs the currents of change, we must accept learning as a lifelong process, in which

our patterns of basic assumptions. m. . E paradigms play an important role. Such paradigms

change constantly during interactions with the changes taking place in an environment, so that

the contemporary paradigm of a successful post-modern society and organizations differs

significantly from its predecessors.

What further I analyzed about organizational changes are.

1-Changes cannot be predicted – they can only be anticipated.

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2-Owing to the fact that change is inevitable, the themes related to overcoming resistance to

change that were topical a decade ago, are giving way to new ones.

3-In these times of turbulent change that we live in, change has become the rule.

4-Carrying out changes is painful and risky task, which entails about all much hardwork.

5-If an organization wants to survive, it must even encourage change.

6-In times of rapid structural changes, those directing the changes will be the only one to survive.

7-One of the primary challenges of management in the 21st century is the restructuring of

organizations into conductors of change- as they need to understand the opportunities inherent in

change.

There is a comparative analysis of various models for organizational change management with

regards to situations or CHANGE organizations are facing.

Furthermore, the research showed a positive relationship between organizational commitment

and positive attitudes to change confirming evidence from the literature showing that

organizational commitment is one of the most significant determinants of successful

organisational change. The more employees identify with their organizations the higher their

commitment to their constitution and the greater their willingness to accept organizational

change. The present study has several practical implications for managers and organizations

facing organizational change. First, it was shown that good and effective work relationships are

very important in organizational change. Handling conflicts, building supportive work

relationships, communicating effectively all contribute to the formulation of positive attitudes to

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change and, therefore, to the success of a change program. Second, organizations need to

examine the extra workload which organizational change may create.

Conclusion.

With this I conclude in a today’s world of constant, complex change, organizational leaders who

react rapidly and responsibly are successful. The organizational leaders who anticipate and

invent the future are even more successful because they are the leaders in their organizations and

their industries. The establishments that do not survive are those that are run by people who give

way to invent the future or even adapt to change. Empirical research should be conducted to

assess the extent to which organizations have developed an agile system that can continually

reinvent itself. This inquiry should investigate what parts of the system are missing or inadequate

aligned in order to predict how capable the organizations are in terms of organizational

transformation. And also It is clear that the potential to increase market competitiveness and

growth is within the control of an organization’s leadership. It is through the deliberate and

disciplined action of management that organizations effectively implement change initiatives that

cultivate success. Effective leaders engage their motivation and communication skills and

translate these into explicit behaviors to influence change initiatives positively. Organizations

and their leaders who fail to recognize the importance of these skills will become another

statistic in the failure rates of change.

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References.

Organisational Behaviour Textbook 13th Edition Ch-19.

http://epublications.bond.edu.au

http://glennschool.osu.edu

www0.dmst.aueb.gr

http://www.sjm06.com

http://www.ricoh-usa.com

http://ro.uow.edu.au

http://www.bristol.ac.uk

http://academia.edu

http://www.performancexpress.org

http://www.thinkingexponentially.com

http://www.bristol.ac.uk/cubec/

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