Managing Change & Stress

What is Change? Definition: “Any event that occurs when something passes from one stage to another.” Organizational Change: “Any alterations in the people, structure, or technology of an organization.”

Categories of change Structure: Technology: People:

Forces For Change External forces Internal forces

External Forces “Forces outside the organization” Marketplace: Introduction of companies Change in behavior of competitors New ads technology Governmental Laws & Regulations: Environmental Laws.

Technology: Computers New Plants Labor markets: Economic changes: Inflation Deflation

Internal Forces: “Forces inside the organization” Changes in organizational strategy New equipment Employee attitudes

Planned Change: Change Agent: Change activities that are intentional and goal-oriented. Change Agent: Person who act as catalysts and assume the responsibility for managing change activities.

Approaches to managing Organizational Change The Calm Waters Metaphor White-Water Rapids Metaphor Approaches

The Calm Waters Metaphor This process consists of three steps Unfreezing the status quo Changing to a new state Refreezing to make the change permanent

White-Water Rapids Metaphor The lack of environmental stability Managers manage change actively to survive

Kotter’s Eight-Step Plan for Implementing Change Establish a sense of urgency by creating a compelling reason for why change is needed. Form a coalition with enough power to lead the change. Create a new vision to direct the change and strategies for achieving the vision. Communicate the vision throughout the organization. Empower others to act on the vision by removing barriers to change and encouraging risk taking and creative problem solving. Plan for, create, and reward short-term “wins” that move the organization toward the new vision. Consolidate improvements, reassess changes, and make necessary adjustments in the new programs. Reinforce the changes by demonstrating the relationship between new behaviors and organizational success.

Change Management. “Controlling the change for the benefit of the organization carried out by manager acting as change agents or by non-managers experts of the field.”

Why people resist Change? Individual Sources Organizational Sources.

Individual Sources. Personality Perception Habit Security Economic Factors Fear of unknown. Threat to power and influence .

Organizational Sources. Organizational Design Organizational Culture Resource limitation Fixed Investment Group Inertia. Threat of expertise. Threat of established power relationship. Threat to established resource allocations

Overcoming resistance to change Education & Communication Participation Facilitation & Support Negotiating Manipulation & Cooptation. Selecting people who accept change. Coercion.

Issues in Managing Change Changing Organizational Cultures Understanding the Situational forces A dramatic crises occurs The Organization is young and small The Culture is weak

Handling Employee Stress due to Change

Stress: “The Physical and Psychological tension an individual feels when confronted with extraordinary demands or opportunities.”

Environmental factors. Potential Sources Consequences Individual Differences. Perception. Job Experience. Social Support. Belief in locus of control. Self-efficacy. Hostility. Environmental factors. Economic uncertainty. Political uncertainty. Technological change. Physiological Symptoms.. Headaches. High Blood Pressure. Heart Disease. Psychological Symptoms.. Anxiety. Depression. Decrease in job satisfaction. Organizational factors. Task Demand. Role Demand. Interpersonal demand.. Experienced Stress Behavioral Symptoms.. Productivity. Absenteeism. Turnover. Personal factors. Family problem. Economic Problems. Personality. A Model of Stress

Stressors: The Causes of stress Work related stressors Physical Environment Stressors Role related stressors Interpersonal stressors Organizational stressors Non-work stressors Time based conflict Strain based conflict Role behavior conflict

Work Related Stressors Physical Environmental Stressors Some stressors are found in the physical environment such as, Excessive Noise, Poor Lightening and Safety Hazards etc Role Related Stressors Role related stressors include conditions where employees have difficulty understanding, reconciling or performing the various roles in their lives. Role conflict an employee may have two roles that are in conflict with each other or may receive contradictory messages from different people about how to perform a task. Role ambiguity when employees are uncertain about their job duties, performance expectation, level of authority and other job conditions Workload work under load – receiving too little work or having tasks that do not sufficiently use your talents. Work overload is a more common stressors these days. Task control employees are more stressed when they perform their tasks and the pace of their activity

Interpersonal Stressors Interpersonal stressors include ineffective supervision, office politics and other conflicts that people experience Workplace violence/Workplace Bullying Organizational Stressors Mergers of a company, Downsizing, Survivors of lay offs

Non-work Stressors Time Based Conflict Strain Based Conflict Many employees have to contend with time based conflict – the challenge of balancing the time demanded by work with family and other non-work activities Strain Based Conflict This conflict occurs when stress from one domain spills over to the other. Relationship problems, financial difficulties and loss of a loved one usually top the list of non work stressors. Role Behavior Conflict Occurs when people are expected to enact different work and non work roles.

Managing Work Related Stress Remove Stressors Stress Management Strategies Receive Social Support Withdraw from The Stressors Control Stress Consequences Change Stress Perception

Managing Work Related Stress Remove the stressors The main cause of the stress should be investigated and removed Role related stressors can be minimized Empower employees Open communication with employees to reduce ambiguities Work-life balance initiative Flexible work time Job sharing Telecommuting Personal leave programs Childcare facilities

Withdraw from the stressors Removing the stressors may be ideal solution, but it is often not feasible. An alternative strategy is to permanently or temporarily remove employees from the stressors. Permanent withdrawal occurs when employees are transferred to jobs that better fit their competencies and values Change stress perception Stress can be minimized by changing perceptions of situation by strengthening self efficacy and self esteem Control the consequences of stress Physical exercise reduces the physiological consequences of stress by helping employees to lower their respiration rate, muscle tension, heart beat and stomach acidity Receive social support Social support refers to a person’s interpersonal transaction with others and involves providing either emotional or informational support to buffer the stress experience

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