pompresentation-final-180222201839.pptx ob

organisational behavior

1. Organizational Change

2. Topics to be Discussed Organizational Change Forces for Change Case Study – General Motors Planned vs Unplanned Change Case Study – Coca Cola Resistance to Change Dealing with Resistance Case Study – Uber Approaches to Change Management Case Study – Merger of ING Vysa and Kotak Mahindra Bank

3. Agenda of the Presentation

4. Organizational Change Organisational c hanges can be Reactive OR P roactive : In structure of an organisation In organisational operation/ size of workforce In technology & working practices In the way role are carried out In terms & condition or environment “Organizational change refers to a modification or transformation of the organisation’s structure, process or goods for desired future growth.”

5. Forces for Change Forces External Forces Technology Marketing Condition Globalization Social & Political Changes Internal Forces Crisis Managerial Personnel Work Climate/ Environment Deficiencies in existing system

6. Case Study

7. OUR COMPANY VISION GOES BEYOND BUILDING BETTER VEHICLES General Motors

8. History & Heritage of General Motors At the turn of the 20th century there were fewer than 8,000 automobiles in America, many of them powered by steam or electricity, others had gasoline engines.  An unexpected turnout at the first New York Auto Show in 1900, showed the magnitude of the public’s fascination with the automobile. General Motors was founded by William “Billy” Durant on September 16, 1908 . At its inception GM held only the Buick Motor Company, but in a matter of years would acquire more than 20 companies including Oldsmobile, Cadillac, and Oakland, today known as Pontiac .

9. Change at General Motor General motor till 1920 it was becoming the world largest motor manufacturing company. But with emerging of the Japan’s automakers the company felt threatened, specially the emerging of Toyota Japan, who with great extent disturbed the profitability of the GM, especially in the North American market During 2009 the company had faced a bankruptcy and had closed several brand and sold out to china based company

10. Case Study – Planned and Unplanned change PLANNED CHANGES General Motors Paid high salaries to his employees to about $74 as compared to its rival. UNPLANNED CHANGE: General Motors was greately affected by Japan based Toyota. This became sudden & unforeseen threat to General Motors profitability.

11. REASON AND FORCES FOR CHANGE OF GM

12. Change Management Process of General Motor

13. Planned & Unplanned Changes

14. Planned Changes and Unplanned Change PLANNED CHANGE Change resulting from a deliberate decision to alter the organization Companies that wish to move from a traditional hierarchical structure to one that facilitates self-managed teams must use a proactive, carefully orchestrated approach. UNPLANNED CHANGE Not all changes are planned. Unplanned change is imposed on the organization and is often unforeseen. E.g. Changes in government regulations and changes in the economy, Responsiveness to unplanned change requires tremendous flexibility and adaptability on the part of the organizations. Managers must be prepared to handle both planned and unplanned forms of change in organizations.

15. Changes In Product or Services Changes In Administration System Changes In Organizational Size & Structure Introduction Of New Technology Planned Organization Changes

16. Changing Employee Behaviour / Demographics Performance Gaps Government Regulation Economic Competition in the Global Arena U nplanned Organization Changes

17. Case Study

18. Experiencing Strategic OB Coca-Cola Is Finding a New Fizz Coca-Cola is changing its culture, and also adapting its product line to better satisfy the demand of customers. What are your thoughts about the steps they are taking regarding these changes? Do you think the new innovations and changes will have a positive or a negative impact on their existing brands? Why? What other changes would you suggest to help them remain competitive?

19. CUSTOMER DRIVEN CHANGE AT CONTINENTAL AIRLINES CONTINENTAL AIRLINES EXECUTIVES CREATED AN URGENCY TO CHANGE BY LISTENING TO CUSTOMERS & COMMUNICATING THEIR CONCERNS TO EMPLOYEES.CUSTOMER DRIVEN CHANGE MOTIVATES EMPLOYEES TO ENGAGE IN CONTINOUS CHANGE.

20. Resistance to Change

21. Resistance to Change in an Organization Resistance to change is the act of opposing or struggling with modifications or transformations that alter the status quo in the workplace .

22. Resistance to Change in an Organization Early signs of resistance Gossip Testing Collectivism of resistance Individual action Collective action

23. Resistance to Change in an Organization Visibility of resistance Covert resistance Overt resistance Activity of resistance Passive resistance Active resistance

24. Com mon reasons why people resist change Loss of Job Bad Communication Strategy Shock and Fear of the Unknown Loss of Control Lack of Competence Poor Timing

25. C om mon reasons why people resist change . Lack of Reward Office Politics Loss of Support System Former Change Experience Empathy and Peer Pressure Lack of trust and support

26. Dealing With Resistance

27. Case Study

28. Uber – Resistance to Change Ugly war is being fought by “traditional” taxi companies against a new form of competition from Uber and other ride-sharing services Historically taxis have fought for their place in the urban transportation spectrum by staging strikes and paralysing cities Evaluation of the change Taxi industry’s resistance to the rise of Uber and similar services is a futile attempt to put the brakes on innovation. Traditional taxi drivers are complaining about Uber’s “illegal” activities, saying their drivers don’t have official permits and can’t charge by the kilometre since they don’t have meters. This is a perfect example of industry players being prisoners of an old way of thinking and entrenched in the defence of an aging system. Uber succeeding because it is responding to customers’ needs and offering a unique and innovative experience. Investors took notice: the company has an estimated value of $17 billion (R182bn) after an influx of funds in June.

29. Approaches to Change

30. Approaches - Change Management Approach for a Change Appoint Change Agent Determine what should be changed Kind of Change Individual Affected by Change Evaluation of the change

31. Change Vs Stability Stability and change, both are important Stability complements change

32. What’s changed in an organization? People – attitudes, leadership skills, communication skills Structure – Organizational Controls, policies and procedures Technology – types of equipment or process that assist organization members in performance if their job

33. Kind of Change Structural Change Clarifying and defining jobs Change Org structure do meet communication needs De-centralizing organization to meet cost People Change Organizations development Training Reduce Resistance to change Technological Change Deploy tool to increase effectiveness

34. Evaluation of the Change To gain insight into how change itself might be modified to further increase organization effectiveness To determine where steps taken to make the change need to modified to increase effectiveness To watch signs that further indicate change is necessary.

35. Case Study

36. CASE STUDY MERGER OF ING VYSYA BANK WITH KOTAK MAHINDRA BANK

37. ORGANISATIONAL CHANGE IN CASE OF MERGER Kotak decided to expand their business by acquiring ING Vysya Bank since ING Vysya Bank had a stronger presence in South India while Kotak had an extended franchise in the West and North India. The merger created a large financial institution with a vast national footprint. Together, the new entity will have over 1,200 branches and 1,900 ATMs across the country and will become India’s 4th largest private sector bank.

38. RESISTANCE FACED FROM ING VYSYA BANK EMPLOYEES Threatened to go on strike on January 7 — the day on which the ING Vysya Bank was to seek shareholders’ nod to approve the Rs 15,000-crore merger deal. S A Sridhar from the ING Vysya Bank officers’ association said a “tri-partite agreement” between Kotak Mahindra Bank (KMB), ING Vysya Bank, and employees and officers, be signed which will lay out all points in detail. The new management at Kotak Mahindra Bank does not have a Union and believes in outsourcing its work. What will be the fate of our employees after the merger? ING employees and officers wanted internal MoUs to continue post-merger, and also stressed that perks and benefits decided by industry body IBA be continued

39. APPROACHES- EFFECTIVE CHANGE MANAGEMENT

40. CONCLUSION