2 how did employees react to the change and what were

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2. How did employees react to the change and what were the underlying reasons?Resistance to change: emotional response to real or perceived threatsfear•Individuals‘ natural character•Surprise / fear of unknown•Climate of mistrust•Fear of failure•Loss of status•Peer pressure•Disruption of group relationshipsConsequences of resistance to changeIf organization can‘t overcome employees resistanceextreme consequencesReactions can be overt (strike), subtle, implicit, immediate or deferredSometimes very difficult see (sabotage)Data pointsoTardiness (Verspätung), more (sick) leave (mehr Krankenstand)oHigher turnover2. how did employees react to the change?Holocracy brought chaos and misperceptionsNo hierarchacy, even though there was hierarchy. (Only in a different form)No managers that employees felt they could refer to
Summary Digital Transformation & Organizational Development71Confusion about how to get the job doneWhen they wanted consultation there was noneFrustration of multiple mandatesEmployees felt like the human element was lost completelynumerous mandates, endless meetings, confusion about who did what260 people total exodus82% remaining3.What could management have done differently?-There is never a good time to make a transition and we probably hesitated too long. So if Icould do anything differently, I would do it earlier. Tony Hsieh-Implementing the change more slowlymany small initiatives (Lean Change Management)incremental iterative step by step process, unfreezechangerefreeze-Management should havegone for a complete unfreeze, reshape, refreeze approach-Not overwhelming the organization-Show the clear advantage and need/purpose for the changechange is required, notoptional and this in a constant manner-Even more active communication & engagement of all employees-Communication critical part of implementing change.Zappos could have designed astructured communication (more active communication) plan to present the idea ofholacracy to its employees.open and transparent communication-Management could have worked to arrive at consensus.ensure that all the stakeholdersand team members agreed to its goals and expectations-Development of proper transition plan-Proper coaching should be given to employees to adapt the new procedure-Change should have realistic schedule since the fastest way to lose credibility is to changethe schedule without a good reason.-Some rewards should be linked with the change process to motivate the employees toaccept the change faster-Adapt holacracy more to Zappos itself rather than seeing holacracy and its theory at theultimate bible-Cleaning the company from the people, who are skeptical helped to retain the engagedemployees right from the beginningooption for buyout from beginning of changeonurture the right culture from early steps-the change of structure was intented to remove any hierarchies in terms of people!

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Term
Fall
Professor
N/A
Tags
Marketing, The Bible, The 7 Habits of Highly Effective People, Digital Transformation Organizational Development

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