Managing Organizational Change: Strategic Planning and Organizational Development Chapter 16

Learning Objectives Characterize the prevalence of the change process in organizations. Understand what, exactly, is changed when organizational change comes about, and the forces responsible for unplanned organizational change. Describe what is meant by strategic planning and the types of strategic changes that organizations make.

Learning Objectives Identify the ten steps in the strategic planning process. Explain why people are resistant to organizational change and how this resistance may be overcome. Identify and describe the major organizational development techniques that are used today.

Unplanned Change Forces Shifting Employee Demographics Performance Gaps Government Regulation Global Competition Fluctuating Economic Conditions Advances in Technology

Strategic Planning The process of formulating, Implementing, and evaluating decisions that enable an organization to achieve its objectives

Strategic Planning Is Deliberate Occurs When Current Objectives Can No Longer Be Met New Organizational Objectives Requires New Strategic Plans

Strategic Planning Targets Products and Services Organizational Structure Downsizing Rightsizing Outsourcing

Various Competitive Strategies

Individual Barriers to Change Economic Insecurity Fear of the Unknown Threats to Social Relationships Habit Failure to Recognize Need for Change

Organizational Barriers to Change Structural Inertia Work Group Inertia Threats to Existing Balance of Power Previously Unsuccessful Change Efforts

Overcoming Organizational Change Resistance Shape Political Dynamics Identify and Neutralize Change Resisters Educate the Workforce Involve Employees in the Change Efforts Reward Constructive Behaviors Take the Situation into Account

Create a Learning Organization Establish Commitment to Change Adopt an Informal Organizational Structure Develop an Open Organizational Culture

Organizational Development Appreciative Inquiry Discovery Dreaming Designing Delivering

Organizational Development Action Labs Quality of Work Life Programs Work Restructuring Quality Circles

Organizational Development Effectiveness More Effective Among Blue-Collar Workers Enhanced by Using Technique Combination Depends on Degree of Top Management Support