Transcript Ch 6 Overcoming Resistance to Change

Chapter 6
Overcoming Resistance
to Change
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 1
Learning Objectives (part 1 of 2)

Identify forces within individuals and
organizations that cause resistance to
change.

Recognize strategies that can increase
motivation to change.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 2
Learning Objectives (part 2 of 2)

Diagnose forces driving and resisting
organization change.

Experience reactions to a change situation.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 3
Toys Are Mattel (part 1 of 2)
The toy industry is going through radical
change.
Mattel has history of nearly falling apart every
decade since the 1970s.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 4
Toys Are Mattel (part 2 of 2)
CEO Eckert moving Mattel to redefine core
business.
•
Better control inventory
•
Streamline manufacturing
•
Develop more toys in-house.
Expand overseas as toys mature in the U.S.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 5
Change and Reinvent (part 1 of 2)
Many organizations being forced to radically
change.
Organizations face major challenge in
managing change.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 6
Change and Reinvent (part 2 of 2)
Organizations need capacity to adapt quickly.
People are focus of most serious challenges.
Large scale changes often incur significant
problems and challenges.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 7
Changes on Personal Level
Set patterns of behavior.
Defined relationships with others.
Work procedures, and job skills.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 8
Changes on Organizational Level
Policies.
Procedures.
Organization structures.
Manufacturing processes.
Work flows.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 9
Life Cycle of Resistance to
Change (part 1 of 5)
The response to change tends to move through
a life cycle of 5 phases:

Phase 1.
Only few people who see need for
change.
Resistance appears massive.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 10
Life Cycle of Resistance to
Change (part 2 of 5)

Phase 2.
Forces for and against change become
identifiable.
Change more thoroughly understood.
Novelty of change tends to disappear.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 11
Life Cycle of Resistance to
Change (part 3 of 5)

Phase 3.
Direct conflict and showdown between
forces.
This phase probably means life or death
to change.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 12
Life Cycle of Resistance to
Change (part 4 of 5)

Phase 4.
Remaining resistance seen as stubborn.
Possibility that resisters will mobilize
support to shift balance of power.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 13
Life Cycle of Resistance to
Change (part 5 of 5)

Phase 5.
Resisters to change are as few and as
alienated as were advocates in first
phase.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 14
Major Factors Affecting
Success of Change

Advocates of

Impact on culture
change

Evaluation of

Degree of change

Time frame
change.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 15
Figure 6.1
Change Factors
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 16
Advocates of Change
Person leading change program is often most
important force for change.
Internal or external OD practitioners may be
brought in to assist.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 17
Degree of Change
Is change minor or major?
The greater the degree of change, the more
difficult it is to implement.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 18
Time Frame
Greater chance of success if change is gradual
and in longer time frame.
Some organizations only chance for survival
depends on radical change introduced swiftly.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 19
Impact on Culture
The greater the impact on existing culture,
the greater the resistance and difficulty to
implement change.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 20
Evaluation on Culture
Standards of performance developed to
measure change and impact on
organization.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 21
A Change Model (part 1 of 5)
Two major considerations in organizational
change are:

Degree of change.

Impact on organization’s culture.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 22
Figure 6.2
Change Model
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 23
A Change Model (part 2 of 5)
Quadrant 1
Minor change, minor impact on culture.
Resistance will be at lowest level and success
will be most probable.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 24
A Change Model (part 3 of 5)
Quadrant 2
Minor change, major impact on culture.
Some resistance can be expected.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 25
A Change Model (part 4 of 5)
Quadrant 3
Major change, minor impact on culture.
Some resistance is likely.
Good management can probably overcome it.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 26
A Change Model (part 5 of 5)
Quadrant 4
Major change, major impact on culture.
The greatest resistance can be predicted.
The probability of success is low.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 27
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.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 28
Momentum Toward 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 organization may set off
chain reaction in other parts.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 29
Motivation by Management
Manager or advocate of change becomes
motivating force.
Top management’s encouragement can
motivate change.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 30
Our Changing World:
Globalization of World’s Business?
(part 1 of 3)
Globalization has occurred for hundreds of
years but recently experienced exponential
growth.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 31
Our Changing World (part 2 of 3)
Reasons for Increase Include:
•
Improvements in communications and
transportation.
•
More efficient global banking systems.
•
Surpluses in capital in US, Japan, Europe.
•
Worldwide lowering of trade barriers.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 32
Our Changing World (part 3 of 3)
Statistics of globalization include:
•
By 2000 number of MNCs above 63,000.
•
1,000 largest MNCs account for 80% of
world’s industrial production.
•
MNCs are based all over world:
US 37%.
Japan 21%.
Europe 25%.
Also based in developing countries.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 33
Restraining Forces Blocking
Implementation of Change
(part 1 of 2)

Uncertainty regarding change.

Fear of unknown.

Disruption of routine.

Loss of benefits.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 34
Restraining Forces Blocking
Implementation of Change
(part 2 of 2)

Threat to security.

Threat to position power.

Redistribution of power.

Disturb existing social networks.

Conformity to norms and culture.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 35
Driving Forces and Restraining
Forces Act in Tandem
Effective change programs increase driving
forces and decrease restraining forces.
Force-field analysis model (see Ch 5) is useful
way to view driving and restraining forces.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 36
Strategies to Lessen Resistance
(part 1 of 2)

Education and communication.

Create a vision.

Participation and involvement of members.

Facilitation and support.

Negotiation and agreement.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 37
Strategies to Lessen Resistance
(part 2 of 2)

Leadership.

Reward systems.

Explicit and implicit coercion.

Climate conducive to communications.

Power strategies.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 38
OD In Practice:
How Dupont Shortened
Its Stove-pipes (part 1 of 3)
Industrial Polymers Division (IPD) shows how
DuPont can change.
Products “out-dated.”
Problems included low morale and low
productivity.
Top and middle management understood need
to improve.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 39
OD in Practice (part 2 of 3)
Only major change would improve division.
Forces for change included:

People aware of average performance.

They had desire to turn things around.

Widely held belief that survival of division and
personnel hung in balance.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 40
OD in Practice (part 3 of 3)
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.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 41
Keywords and Concepts

Driving forces - increases client system to
implement proposed change.

Employee stock ownership plan (ESOP) grant stock or stock options to broad section
of employees.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 42

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.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 43

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.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 44
Preparations for Next Chapter
(part 1 of 2)

Read Chapter 7.

Complete Step 1 of OD Skills Simulation 7.1,
form teams of six, and assign roles.

Complete Steps 1 and 2 of OD Skills
Simulation 7.2.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 45
Preparations for Next Chapter
(part 2 of 2)

Read and prepare for Step 1 of OD Skills
Simulation 7.3.

Read and analyze Case: The OD Letters.
An Experiential Approach to Organization Development 7th edition
Chapter 6
Slide 46