ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Micro-Organizational Behavior: Organizational Change

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Organizational Change The movement of an organization away from its present state and toward some desired future state to increase its effectiveness.The movement of an organization away from its present state and toward some desired future state to increase its effectiveness.

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Forces for Change Competitive forcesCompetitive forces Economic and political forcesEconomic and political forces Global forcesGlobal forces Demographic and social forcesDemographic and social forces Ethical forcesEthical forces

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Impediments to Change OrganizationalOrganizational –Power and conflict –Differences in functional orientation –Mechanistic structure –Organizational structure

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Impediments to Change GroupGroup –Group norms –Group cohesiveness –Groupthink and escalation of commitment

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Impediments to Change IndividualIndividual –Uncertainty and insecurity –Selective perception and retention –Habit

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Lewin’s Force-Field Theory of Change The theory that organizational change occurs when forces for change strengthen, resistance to change lessens, or both occur simultaneously.The theory that organizational change occurs when forces for change strengthen, resistance to change lessens, or both occur simultaneously.

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Lewin's Force-Field Theory of Change

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Evolutionary Change versus Revolutionary Change Evolutionary Change - Change that is gradual, incremental, and narrowly focused.Evolutionary Change - Change that is gradual, incremental, and narrowly focused. Revolutionary Change - Change that is rapid, dramatic, and broadly focused.Revolutionary Change - Change that is rapid, dramatic, and broadly focused.

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Evolutionary Change I Socio-technical Systems Theory: Ideas about how organizations should choose specific kinds of control systems that match the technical nature of the work process.Socio-technical Systems Theory: Ideas about how organizations should choose specific kinds of control systems that match the technical nature of the work process.

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Evolutionary Change II Total Quality Management (T.Q.M.): An ongoing and constant effort by all of an organization’s functions to find new ways to improve the quality of the organization’s goods and services.Total Quality Management (T.Q.M.): An ongoing and constant effort by all of an organization’s functions to find new ways to improve the quality of the organization’s goods and services.

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Deming’s Principles of T.Q.M. Create constancy of purpose toward improvement of product and service, with the aim of becoming competitive, staying in business, and providing jobs.Create constancy of purpose toward improvement of product and service, with the aim of becoming competitive, staying in business, and providing jobs. End the practice of awarding business on the basis of price tag. Instead, minimize total cost.End the practice of awarding business on the basis of price tag. Instead, minimize total cost.

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Deming’s Principles of T.Q.M. Adopt the new philosophy. Western management must awaken to the challenge, learn its responsibilities, and take on leadership for change.Adopt the new philosophy. Western management must awaken to the challenge, learn its responsibilities, and take on leadership for change. Cease dependence on inspection to achieve quality. Eliminate the need for inspection on a mass basis by building quality into the product.Cease dependence on inspection to achieve quality. Eliminate the need for inspection on a mass basis by building quality into the product.

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Deming’s Principles of T.Q.M. Improve constantly and forever the system of production and service, to improve quality and productivity and thus constantly decrease costs.Improve constantly and forever the system of production and service, to improve quality and productivity and thus constantly decrease costs. Institute training on the job.Institute training on the job.

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Deming’s Principles of T.Q.M. Institute leadership. The aim of leadership should be to help people, machines, and gadgets do a better job. Management leadership, as well as leadership of production workers, needs overhauling.Institute leadership. The aim of leadership should be to help people, machines, and gadgets do a better job. Management leadership, as well as leadership of production workers, needs overhauling. Drive out fear, so that everyone may work effectively for the company.Drive out fear, so that everyone may work effectively for the company.

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Deming’s Principles of T.Q.M. Break down barriers between departments. People in research, design, sales, and production must work as a team, to foresee problems in production and in use that may be encountered with the product or service.Break down barriers between departments. People in research, design, sales, and production must work as a team, to foresee problems in production and in use that may be encountered with the product or service.

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Deming’s T.Q.M. Principles Eliminate slogans, exhortations, and targets for the work force asking for zero defects and new levels of productivity. The bulk of the causes of low quality and low productivity belong to the system and thus lie beyond the power of the work force.Eliminate slogans, exhortations, and targets for the work force asking for zero defects and new levels of productivity. The bulk of the causes of low quality and low productivity belong to the system and thus lie beyond the power of the work force.

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Deming’s Principles of T.Q.M. Eliminate work standards on the factory floor; substitute leadership.Eliminate work standards on the factory floor; substitute leadership. Eliminate management by objective, management by numbers, and numerical goals; substitute leadership.Eliminate management by objective, management by numbers, and numerical goals; substitute leadership.

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Deming’s Principles of T.Q.M. Remove barriers that rob the hourly workers of their right to pride of workmanship. The responsibility of supervisors should focus on quality.Remove barriers that rob the hourly workers of their right to pride of workmanship. The responsibility of supervisors should focus on quality. Remove barriers that rob people in management and in engineering of their right to pride of workmanship.Remove barriers that rob people in management and in engineering of their right to pride of workmanship.

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Deming’s Principles of T.Q.M. Institute a vigorous program of education and self-improvement.Institute a vigorous program of education and self-improvement. Put everybody in the company to work to accomplish the transformation. The transformation is everybody’s job.Put everybody in the company to work to accomplish the transformation. The transformation is everybody’s job.

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Revolutionary Changes Revolutionary Change I: ReengineeringRevolutionary Change I: Reengineering Revolutionary Change II: RestructuringRevolutionary Change II: Restructuring Revolutionary Change III: InnovationRevolutionary Change III: Innovation

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Lewin’s Three-Step Change Process Unfreeze the organization from its present stateUnfreeze the organization from its present state Make the desired type of changeMake the desired type of change Refreeze the organization in a new desired state.Refreeze the organization in a new desired state.

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Lewin's Three-Step Change Process

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. The Steps in Action Research

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. Organizational Development A series of techniques and methods that managers can use in their action research program to increase the adaptability of their organization.A series of techniques and methods that managers can use in their action research program to increase the adaptability of their organization.

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. O.D. Techniques to Deal with Resistance to Change Education and CommunicationEducation and Communication Participation and EmpowermentParticipation and Empowerment FacilitationFacilitation Bargaining and NegotiationBargaining and Negotiation ManipulationManipulation CoercionCoercion

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. O.D. Techniques to Promote Change Counseling, Sensitivity Training, and Process ConsultationCounseling, Sensitivity Training, and Process Consultation Team Building and Intergroup TrainingTeam Building and Intergroup Training Organizational Confrontation Meeting and use of Managerial GridOrganizational Confrontation Meeting and use of Managerial Grid

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. O.D. Term Sensitivity Training - an O.D. technique that consists of intense counseling in which group members, aided by a facilitator, learn how others perceive them and may learn how to deal more sensitively with others.Sensitivity Training - an O.D. technique that consists of intense counseling in which group members, aided by a facilitator, learn how others perceive them and may learn how to deal more sensitively with others.

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. O.D. Term Process Consultation - an O.D. technique in which a facilitator works closely with a manager on the job to help the manager improve his or her interaction with other group members.Process Consultation - an O.D. technique in which a facilitator works closely with a manager on the job to help the manager improve his or her interaction with other group members.

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. O.D. Term Team Building - an O.D. technique in which a facilitator first observes the interactions of group members and then helps them become aware of ways to improve their work interactions.Team Building - an O.D. technique in which a facilitator first observes the interactions of group members and then helps them become aware of ways to improve their work interactions.

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. O.D. Term Intergroup Training - an O.D. technique that uses team building to improve the work interactions of different functions or divisions.Intergroup Training - an O.D. technique that uses team building to improve the work interactions of different functions or divisions.

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. O.D. Term Organizational Confrontation Meeting - an O.D. technique that brings together all of the managers of an organization to confront the issue of whether the organization is effectively meeting its goals.Organizational Confrontation Meeting - an O.D. technique that brings together all of the managers of an organization to confront the issue of whether the organization is effectively meeting its goals.

ILRCornellILRCornell Copyright 1999 by Brent Smith, Ph.D. O.D. Term Managerial Grid - a matrix that O.D. facilitators use to characterize an organization's managerial style in terms of its managers’ concern for people and concern for production.Managerial Grid - a matrix that O.D. facilitators use to characterize an organization's managerial style in terms of its managers’ concern for people and concern for production.