Lecture 3 Flashcards
What are the pressures for organisational change?
Indsustry life cycle
Growing international independence
Changes in societal and political values
Regulations
Technological advances
Firm’s aspirations
What are the stages in the integrative life cycle model
Entrepreneurial stage: need more people (acquiring legitimacy)
Collectivity stage (need for stability and structure)
Formalisation and control stage (need for balance)
Elaboration stage (focus on efficiency and innovation)
Why can change be difficult
Because they can be trapped in everyday routines and schemas, because it disrupts the status quo, because they prefer exploitation over exploration and because of conformity
Where can resistance from change come from?
Lack of trust
Different assessments
Self-interest
Low tolerance for change
How to overcome resistance?
Through weakening inertia
How can you weaken inertia
Through creating a sense of crisis, establishing stretch targets and separating exploration units
How does the process of planned change look?
Unfreezing (rationale for change, pressure, psychological safety)
Moving: actual shifts
Refreezing: new evaluation, reward and penalty systems, new hiring and promotion to reinforce change
What are the strategies for change?
6: FEPMEN:
Facilitate
Educate
Participate
Manipulate
Explicit coercion
Negotiation
Characteristics of Facilitating
When: fear
Pros: best for fear
Cons: time and costly
Characteristics of Educating
When: lacking info
Pros: people will help
Cons: time consuming
Characteristics of participating
When: you need resistors
Pros: quality improves when resistors brought in
Cons: time consuming and expensive
Characteristics of manipulating
When: only option
Pros: quick and easy
Cons: problems when people realise
Characteristics of explicit coercion
When: speed needed, power welded
Pros: quick
Cons: risking anger
Characteristics of negotiation
When: when someone stands to lose out
Pros: quick and easy
Cons: might require monetary incentives
