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Chapter 13 Managing Change and Innovation

Chapter 13 Managing Change and Innovation - Chapter 13...

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Chapter 13 Managing Change and Innovation ANNOTATED OUTLINE 1. INTRODUCTION Change and change management are important aspects of the manager’s job. Chapter Thirteen focuses on ways to manage change effectively and to promote innovation in an organization. 2. WHAT IS CHANGE? Organizational change is defined as any alteration of people, structure, or technology in an organization. Instead of trying to eliminate change, managers must realize that change is always present and that they should seek ways to manage change successfully. 3. FORCES FOR CHANGE Both external and internal forces create the need for change. A.External forces creating the need for change come from various sources: 1. The marketplace 2. Government laws and regulations 3. Technology 4. Labor markets 5. The economy B. Internal forces creating change usually originate from the internal operations of the organization or from the impact of external changes. These internal forces include: 1. Changes in strategy 2. Changes in the workforce 3. New equipment 4. Changes in employee attitudes C. The Manager as Change Agent Change requires a catalyst. The manager may act as a change agent — someone who acts as a catalyst and assumes the responsibility for managing the change process. 4. TWO VIEWS OF THE CHANGE PROCESS Two very different metaphors can be used to describe the change process. A.The calm waters metaphor characterizes the process of change as being like a ship crossing a calm sea. The calm waters metaphor can be illustrated by Lewin’s three-step process for change. (See Exhibit 13-1 and PowerPoint slide 13- 8. )
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1. Unfreezing the equilibrium is the first step. Unfreezing the equilibrium can be accomplished in one of three ways. a. Increasing driving forces, which are forces that direct behavior away from the status quo. b. Decreasing restraining forces, which are forces that hinder movement from the existing equilibrium. c. Combining the two approaches.
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Chapter 13 Managing Change and Innovation - Chapter 13...

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