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Explore the forces driving major organizational change, from globalization to e-business and increased competition. Learn about the Eight-Stage Model of Planned Organizational Change, range of change strategies, and characteristics of innovative organizations and creative individuals. Understand the resistance to change and the stages in the creative process. Discover tools and methods to lead and adapt to change effectively within your organization.
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Chapter 16 Leading Change
Ex. 16.1 Forces Driving the Need for Major Organizational Change Globalization, technological change, e-business, increased competition, changing markets More threats More domestic competition Increased speed International competition More opportunities Bigger markets Fewer barriers More international markets More large-scale change in organizations Reengineering Horizontal organizing – teams Networks Quality programs New technologies and products Mergers, joint ventures Consortia Virtual and global teams Strategic change Cultural change Learning organization
Ex. 16.2 The Eight-Stage Model of Planned Organizational Change 8. Institutionalize changes in the org. culture 1. Establish a sense of urgency 7. Consolidate gains, create greater change 2. Form a powerful guiding coalition 3. Develop a compelling vision and strategy 6. Generate short-term wins 5. Empower employees to act on the vision 4. Communicate the vision widely
Ex. 16.3 A Range of Everyday Change Strategies Disruptive self-expression Variable-term opportunism Private Leader working alone Public Leader working with others Verbal Jujitsu Strategic alliance-building
Personal Compact The reciprocal obligations and commitments that define the relationship between employees and the organization • Reasons people resist change: • Self-interest • Uncertainty • Different assessments and goals
Downsizing Intentionally reducing the size of a company’s workforce
Innovation Terms Creativity • The generation of new ideas that result in improved efficiency and effectiveness of the organization Idea Incubator • A safe harbor where ideas from employees throughout the organization can be developed without interference from company bureaucracy or politics
Innovation Terms (contd.) Corporate Entrepreneurship • Internal entrepreneurial spirit that includes values of exploration, experimentation, and risk taking Idea Champions • People who passionately believe in a new idea and actively work to overcome obstacles and resistance
Ex. 16.4 Characteristics of Innovative Organizations and Creative People
Ex. 16.5 Stages in the Creative Process Recognition of problem/opportunity Evaluation and implementation Information gathering Insight Incubation