Chapter 19 - Organizational Change & Stress Mgmt - BB

Chapter 19 - Organizational Change & Stress Mgmt - BB -...

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Organizational Change and Stress Management Chapter NINETEEN
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Forces for Change E X H I B I T 19–1 Force Examples Nature of the workforce More cultural diversity Aging population Many new entrants with inadequate skills Technology Faster, cheaper, and more mobile computers On-line music sharing Deciphering of the human genetic code Economic shocks Rise and fall of dot-com stocks 2000–02 stock market collapse Record low interest rates Competition Global competitors Mergers and consolidations Growth of e-commerce
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Forces for Change E X H I B I T 19–1 (cont’d) Force Examples Social trends Internet chat rooms Retirement of Baby Boomers Rise in discount and “big box” retailers World politics Iraq–U.S. war Opening of markets in China War on terrorism following 9/11/01
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Managing Planned Change Goals of Planned Change: Improving the ability of the organization to adapt to changes in its environment. Changing the behavior of individuals and groups in the organization. Change Making things different. Planned Change Activities that are  intentional and goal  oriented. Change Agents Persons who act as  catalysts and assume the  responsibility for managing  change activities.
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Resistance to Change Forms of Resistance to Change Overt and immediate Voicing complaints, engaging in job actions Implicit and deferred Loss of employee loyalty and motivation, increased errors or mistakes, increased absenteeism
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Sources of Individual Resistance to Change E X H I B I T 19–2
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Sources of Organizational Resistance to Change E X H I B I T 19–2 (cont’d)
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Overcoming Resistance to Change Tactics for dealing with resistance to change: Education and communication Participation Facilitation and support Negotiation Manipulation and cooptation Selecting people who accept change Coercion
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The Politics of Change Impetus for change is likely to come from outside change agents. Internal change agents are most threatened by their loss of status in the organization. Long-time power holders tend to implement only incremental change. The outcomes of power struggles in the organization will determine the speed and quality of change.
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Lewin’s Three-Step Change Model Unfreezing Change efforts to overcome  the pressures of both  individual resistance and  group conformity. Refreezing Stabilizing a change  intervention by balancing  driving and restraining forces. Driving Forces Forces that direct behavior  away from the status quo. Restraining Forces Forces that hinder movement  from the existing equilibrium.
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Lewin’s Three-Step Change Model E X H I B I T 19–3
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Unfreezing the Status Quo E X H I B I T 19–4
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Kotter’s Eight-Step Plan for Implementing Change E X H I B I T 19–5 1. Establish a sense of urgency by creating a compelling reason for why change is needed.
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