Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc. 1 Chapter 13 Managing Change and Innovation

Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc. 2 What is Change? Alterations in people Alterations in structure Alterations in technology

Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc. 3 Categories of Change (Exhibit 13-1) STRUCTURE Authority relationships Coordinating mechanisms Job redesign Spans of control PEOPLE Attitudes Expectations Perceptions Behaviour TECHNOLOGY Work processes Work methods Equipment

Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc. 4 External Forces of Change Marketplace Government laws and regulations Technology Economic

Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc. 5 Internal Forces of Change Corporate strategy The workforce Technology and equipment Employee attitudes

Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc. 6 The “Calm Waters” Metaphor Unfreezing Changing Refreezing Lewin’s Three-Step Process

Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc. 7 Lack of Stability The “White- Water Rapids” Metaphor Lack of Predictability Virtual Chaos Constant Change

Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc. 8 Entrepreneurs and Change Context facing entrepreneurs is dynamic change Opportunities and problems Entrepreneur acts as catalyst

Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc. 9 Resistance to Change Fear of losing something of value Individual Resistance Belief that change Is not good for organization Fear of unknown

Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc. 10 Reducing Resistance to Change Education and communication Participation Facilitation and support Negotiation Manipulation and co-optation Coercion

Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc. 11 Organization Development Planned, long-term, organization- wide change initiative that focuses on values and beliefs

Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc. 12 Stressors Personal Personality Family Finances Organizational Task demands Role demands Interpersonal Structure Leadership STRESS

Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc. 13 Ways to Reduce Stress Proper match of employees to job Clear expectations Employee assistance programs Wellness programs

Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc. 14 What Is Creativity? Combining new ideas in unique ways or making unusual connections What Is Innovation? Process of taking creative idea and making into a useful product, service, or method of operation

Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc. 15 Characteristics of an InnovativeCulture Ambiguity ExternalControls Impractical RiskConflict OpenSystems Ends/Means

Robbins et al., Fundamentals of Management, 4th Canadian Edition ©2005 Pearson Education Canada, Inc. 16 Entrepreneurs and Innovation Key characteristic Supportive culture Need to be able to do something with ideas