Flashcards in Chapter 13 Deck (37):
Nature of Organizational Change
Forces for Change
Any substantive modification to some part of the organization
Ex: work schedules, machinery, employees
Forces for Change
External forces in the organization's general and task environments that force the organization to alter the way in which it competes.
Internal forces inside the organization that cause it to change its structure and strategy; some internal forces are responses to external pressures.
Is designed and implemented in an orderly and timely fashion in anticipation of future events.
Change that is a piecemeal response to events and circumstances as they develop.
Steps in the Change Process (Lewin Model)
Individuals must be shown why the change is necessary.
The change itself is implemented
Involves reinforcing and supporting the change so that it becomes a permanent part of the system.
People resist change because of:
Uncertainty about the extent and effect of change.
Threats to self-interests and power and influence.
Different perceptions of change effects and outcomes.
Feelings of loss in disrupted social networks, power, security, and familiarity with existing procedures.
Overcoming Resistance to Change
Encourage active participation in the change process.
Provide education and communication about the change process.
Facilitate the change process.
Facilitating the change process
Making only necessary changes.
Announcing changes in advance.
Allowing time to adapt to change.
The radical redesign of all aspects of a business to achieve major gains in cost, service, or time.
Need to Reengineering
Entropy is a normal process leading to system decline.
Approaches to Reengineering
Recognizing the need for change and acting on it with a sense of urgency.
Starting with a clean slate helps open up the process.
A planned, organization-wide effort, managed from the top, that is intended to increase organizational effectiveness and health through interventions in the organization's processes using behavioral science knowledge.
Small changes over time rather than one big massive change.
Employees desire to grow and develop.
Employees have a strong need to be accepted.
Individuals will influence the organization and the organization will influence the individuals.
Organization Development Techniques
Life and Career Planning
Coaching and Counseling
Planning and Goal Setting
The effectiveness of OD varies.
It focuses on updating employee skills on a continual basis, rather than reaching a point where the obvious need for change exists.
OD's goal is to minimize the magnitude of future changes by recognizing small changes that can take place over time.
The managed effort of a organization to develop new products or services or new uses for existing products or services.
The Innovation Process
Development Stage of The Innovation Process
Organization evaluates, modifies, and improves on a creative idea.
Application Stage of The Innovation Process
Organization uses developed idea in design, manufacturing, or delivery of new products, services, or processes.
Launch Stage of The Innovation Process
Organization introduces new products or services to the marketplace.
Growth Stage of The Innovation Process
Demand for new product or service grows.
Maturity Stage of The Innovation Process
Most competing organizations have access to the idea.
Decline Stage of The Innovation Process
Demand for an innovation decreases, and substitute innovations are developed and applied.
Forms of Organizational Innovation
Radical vs. Incremental
Technical vs. Managerial
Product vs. Process
Fundamentally changes that nature of competition in an industry.
A new product, service, or technology developed by an organization that completely replaces the existing products, service, or technology in an industry.
Doesn't significantly affect competition in an industry.
A new product, service, or technology that modifies an existing one.
A change in the physical appearance or performance of a product or service, or the physical processes through which a product or service is manufactured.
Changing the management process by which products and services are conceived, built, and delivered to customers.
A change in the physical characteristics or performance of existing products or service or the creation of brand-new products or services.
A change in the way a products or service is manufactured, created, or distributed.
Reasons for failing to innovate
Lack of resources
Failure to recognize opportunities
Resistance to change
Promoting Innovations in Organizaitons
Using the reward system
Having a supportive organizational culture
Intraprenuership in larger organizations