365935674-Overcoming-Resistance-to-Change-2.pptx

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1. Overcoming Resistance to CHANGE Reference: An Experiential Approach to Organization Development, Seventh Edition, by Donald R. Brown and Don Harvey Karen Alcesto Norhanna P. Paporo MPSM 2017-2018 Organizational Development & Leadership Dr. Yvette Batar

2. Learning Objectives Identify the forces within individuals and organizations that cause resistance to change programs. Recognize strategies that can increase the motivation to change. Diagnose the forces driving and resisting organization change. Experience reactions to a change situation. Overcoming Resistance to CHANGE

3. Case Study : Toys Are Mattel The Toy Industry is going through radical change. Mattel has history of nearly falling apart every decade since the 1970s. CEO Eckert  spearheaded Mattel to redefine core business. Better control inventory Streamline manufacturing Develop more toys in-house Expand overseas as toys mature in the U.S. Overcoming Resistance to CHANGE

4. Change + Reinvent Many organizations are being forced to radically change. Organizations face major challenges in managing change. It was observed that organizations need the capacity to adapt quickly People are more focused on most serious challenges. Large scale changes often incur significant problems & challenges. Overcoming Resistance to CHANGE

5. Change PERSONAL LEVEL Overcoming Resistance to CHANGE ORGANIZATIONAL LEVEL

6. Changes on Personal Level Set patterns of behavior Defined relationships with others. Work procedures and job skills. Overcoming Resistance to CHANGE

7. Changes on Organizational Level Policies Procedures Organization structures Manufacturing processes Work flows Overcoming Resistance to CHANGE

8. Life Cycle o f Resistance to Change Overcoming Resistance to CHANGE Only few people see the need for change. Resistance appears massive. Phase 1 Forces for & against change become identifiable. Change more thoroughly understood. Novelty of change tends to disappear Phase 2 Direct conflict & showdown bet. Forces. This phase probably means life/death to change Phase 3 Remaining resistance seen as stubborn. Possibility that resisters will mobilize support to shift balance of power Phase 4

9. Life Cycle o f Resistance to Change Overcoming Resistance to CHANGE Resisters to change are as few and as alienated as were advocates in the first phase Phase 5

10. Overcoming Resistance to CHANGE Major Factors affecting Success of Change/ Change Factors Success of Change Evaluation of Change Impact on Culture Advocates of Change Degree of Change Time Frame

11. Advocates of Change Person leading change program is often most important force for change. Internal or external Organizational Development practitioners may be brought in to assist. Overcoming Resistance to CHANGE

12. Degree of Change Is change minor or major? The greater the degree of change, the m ore difficult it is to implement Overcoming Resistance to CHANGE

13. Time Frame Greater chance of success if change is gradual and in longer time frame. Some organizations only change for survival, which depends on radical change introduced swiftly. Overcoming Resistance to CHANGE

14. Impact on Culture The greater the impact on existing culture, the greater the resistance and difficulty to implement change. Overcoming Resistance to CHANGE

15. Evaluation on Culture Standards of performance developed to measure change and impact on organization. Overcoming Resistance to CHANGE

16. A Change Model Overcoming Resistance to CHANGE Two major considerations in organizational change are: degree of change and the impact on the organization’s culture.

17. A Change Model Overcoming Resistance to CHANGE The degree of change and the impact on the existing culture are shown in the change model in Figure 6.2. The larger the area, the greater the resistance. Minor change, major impact on culture Minor change, minor impact on culture Major change, minor impact on culture Major change, major impact on culture 3. Some resistance is likely. Good mgt. can probably overcome it

18. Driving Forces toward Acceptance of Change Driving forces are anything that increases organization to implement proposed change. Driving forces include: Dissatisfaction with present situation External pressures toward change. Overcoming Resistance to CHANGE

19. Momentum T oward Change Once change underway, certain forces tend to push change along. Those involved probably become committed. When money is committed to start a change, organization likely will want to continue. Change in one part of the organization may set off chain reaction in other parts. Overcoming Resistance to CHANGE

20. Motivation by Management Manager/ CEO should not be overlooked as a motivating force. More experienced and senior managers may have been involved in other planned change programs, but for some employees this may be the first planned change program. Overcoming Resistance to CHANGE

21. Our Changing World: Globalization of World’s Businesses Globalization has occurred for hundreds of years but it was only recently that it experienced exponential growth. Reasons for growth/increase: Improvements in communications and transportation More efficient global banking systems Surpluses in capital in US, Japan, Europe Worldwide lowering of trade barriers. Overcoming Resistance to CHANGE

22. Restraining Forces Blocking Implementation of Change Uncertainty regarding change/ comfort zone Fear of unknown. Disruption of routine Loss of benefits (“what’s in it for me?”) Threat to security Threat to position power Redistribution of power Disturb existing social networks Conformity to norms & culture Overcoming Resistance to CHANGE

23. Driving Forces and Restraining Forces Act inTandem Effective change programs increase driving forces and decreases restraining forces. Force-field analysis model (Please refer to Chapter 5) is useful way to view driving and restraining forces. Overcoming Resistance to CHANGE

24. Strategies to lessen Resistance Education and communication Create a vision Participation and involvement of members Facilitation and support Negotiation and agreement Leadership Reward systems Explicit and implicit coercion Climate conducive to communications Power strategies Overcoming Resistance to CHANGE

25. OD in Practice: How Dupont shortened its Stove-pipes Industrial Polymers Division (IPD) shows how DuPont can change Products “out-dated” Problems included low morale and low productivity Top and middle management understood the need to improve Overcoming Resistance to CHANGE

26. OD in Practice: How Dupont shortened its Stove-pipes Only major change would improve division. Forces for change include: People aware of average performance They had desire to turn things around Widely held belief that survival of division and personnel hung in balance Overcoming Resistance to CHANGE

27. OD in Practice: How Dupont shortened its Stove-pipes Vision statement was developed by employees. Plans made to implement team efforts and self-management No customary “stove-pipe” hierarchy of supervisors and no formal departments Overcoming Resistance to CHANGE

28. Keywords and concepts Driving forces – increases client system to implement proposed change Employee stock ownership plan (ESOP) – grant stock/ non-stock options to broad section of employees. Gain sharing – reward system that recognizes value of specific group Knowledge-based pay – reward system based on the knowledge or skills a worker has Open-book management – employees see company’s financial records to analyze problems for themselves Overcoming Resistance to CHANGE

29. Keywords and concepts Power strategies – technique for lessening resistance to change that uses power structure in an organization Profit-sharing – uses the performance of business to calculate employee pay Restraining forces – forces that block implementation of a change program Overcoming Resistance to CHANGE