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Chapter 12

Chapter 12. Organizational Change and Learning. Learning Objectives. Describe four types of organizational change. Explain the planning process for organizational change. Identify four methods of organizational change. Describe how innovation relates to organizational change.

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Chapter 12

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  1. Chapter 12 Organizational Change and Learning

  2. Learning Objectives • Describe four types of organizational change. • Explain the planning process for organizational change. • Identify four methods of organizational change. • Describe how innovation relates to organizational change. • Discuss how learning organizations foster change.

  3. Organizational Change • Organizational change refers to any transformation in the design or functioning of an organization.

  4. Degree of Change • Radical change occurs when organizations make major innovations in the ways they do business.

  5. Unfreezing Unfreezing Transitioning Refreezing Three Stages of Radical Change(adapted from Figure 12.1)

  6. Degree of Change (cont) • Incremental change is an ongoing process of evolution over time, during which many small adjustments occur routinely.

  7. Timing of Change • Reactive change occurs when an organization is forced to change in response to some event in the external or internal environment. • Anticipatory change occurs when managers make organizational modifications based on forecasts of upcoming events or early in the cycle of a new trend.

  8. Types of Organizational Change(adapted from Figure 12.2) Small Adjustments Incremental Reactive Change Incremental Anticipatory Change Degree of Change Radical Anticipatory Change Radical Reactive Change Major Transformation Timing of Change Before Major Shifts in the Environment After Major Shifts in the Environment

  9. The Process of Organizational Change(adapted from Figure 12.3) 2. Determine the Performance Gap 1. Assess the Environment 3. Diagnose Organizational Problems 7. Monitor the Changes 6. Anticipate Resistance and Take Action to Reduce 4. Articulate and Communicate a Vision for the Future 5. Develop and Implement an Action Plan

  10. Methods for Creating Change(adapted from Figure 12.4) Technological Change Organizational Redesign Job Redesign Organizational Development

  11. How to Set Up a Focus Group Discussion(adapted from Figure 12.5) The facilitator explains the topic to be discussed, the role of the scribe, and how the organization will use the results of the focus group discussion. The participants come prepared to discuss a specific topic. If confidentiality is a concern, participants are chosen from different units of the organization, not the same work group. The scribe takes notes about what is said, but not who says it.

  12. Organizational Change and Innovation • Innovation is the process of creating and implementing a new idea. • Types of innovation • Technical innovation refers to the creation of new goods and services. • Process innovation involves creating a new way of producing, selling, and/or distributing an existing good or service. • Administrative innovation occurs when creation of a new organization design better supports the creation, production, and delivery of goods and services.

  13. Learning Organizations • A learning organization has both the drive and the capabilities to modify or transform itself and improve its performance continuously.

  14. Shared Leadership Characteristics of a Learning Organization(adapted from Figure 12.6) Culture of Innovation Customer-Focused Strategy The Learning Organization Organic Organization Design Intensive Use of Information

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