ORGANIZATIONAL BEHAVIOR S T E P H E N P. R O B B I N S W W W. P R E N H A L L. C O M / R O B B I N S T E N T H E D I T I O N © 2003 Prentice Hall Inc. All rights reserved. PowerPoint Presentation by Charlie Cook

© 2003 Prentice Hall Inc. All rights reserved.19–2 AFTER STUDYING THIS CHAPTER, YOU SHOULD BE ABLE TO: 1.Describe forces that act as stimulants to change. 2.Summarize the sources of individual and organizational resistance to change. 3.Summarize Lewin’s three-step change model. 4.Explain the values underlying most OD efforts. 5.Identify properties of innovative organizations. 6.List characteristics of a learning organization. L E A R N I N G O B J E C T I V E S

© 2003 Prentice Hall Inc. All rights reserved.19–3 AFTER STUDYING THIS CHAPTER, YOU SHOULD BE ABLE TO: 7.Define knowledge management and explain its importance. 8.Describe potential sources of stress. 9.Explain individual difference variables that moderate the stress–outcome relationship. L E A R N I N G O B J E C T I V E S (cont’d)

© 2003 Prentice Hall Inc. All rights reserved.19–4 Forces for Change E X H I B I T 19-1a

© 2003 Prentice Hall Inc. All rights reserved.19–5 Forces for Change (cont’d) E X H I B I T 19-1b

© 2003 Prentice Hall Inc. All rights reserved.19–6 Managing Planned Change Goals of Planned Change: Improving the ability of the organization to adapt to changes in its environment. Changing the behavior of individuals and groups in the organization. Goals of Planned Change: Improving the ability of the organization to adapt to changes in its environment. Changing the behavior of individuals and groups in the organization.

© 2003 Prentice Hall Inc. All rights reserved.19–7 Resistance to Change  Forms of Resistance to Change –Overt and immediate Voicing complaints, engaging in job actions –Implicit and deferred Loss of employee loyalty and motivation, increased errors or mistakes, increased absenteeism

© 2003 Prentice Hall Inc. All rights reserved.19–8 Sources of Individual Resistance to Change E X H I B I T 19-2

© 2003 Prentice Hall Inc. All rights reserved.19–9 Sources of Organizational Resistance to Change E X H I B I T 19-40

© 2003 Prentice Hall Inc. All rights reserved.19–10 Overcoming Resistance to Change Tactics for dealing with resistance to change: Education and communication Participation Facilitation and support Negotiation Manipulation and cooptation Coercion Tactics for dealing with resistance to change: Education and communication Participation Facilitation and support Negotiation Manipulation and cooptation Coercion

© 2003 Prentice Hall Inc. All rights reserved.19–11 The Politics of Change  Impetus for change is likely to come from outside change agents.  Internal change agents are most threatened by their loss of status in the organization.  Long-time power holders tend to implement only incremental change.  The outcomes of power struggles in the organization will determine the speed and quality of change.

© 2003 Prentice Hall Inc. All rights reserved.19–12 Lewin’s Three-Step Change Model

© 2003 Prentice Hall Inc. All rights reserved.19–13 Lewin’s Three-Step Change Model E X H I B I T 19-5

© 2003 Prentice Hall Inc. All rights reserved.19–14 Unfreezing the Status Quo E X H I B I T 19-6

© 2003 Prentice Hall Inc. All rights reserved.19–15 Action Research Process Steps: 1.Diagnosis 2.Analysis 3.Feedback 4.Action 5.Evaluation Process Steps: 1.Diagnosis 2.Analysis 3.Feedback 4.Action 5.Evaluation Action research benefits: Problem-focused rather than solution-centered. Heavy employee involvement reduces resistance to change. Action research benefits: Problem-focused rather than solution-centered. Heavy employee involvement reduces resistance to change.

© 2003 Prentice Hall Inc. All rights reserved.19–16 Organizational Development OD Values: 1.Respect for people 2.Trust and support 3.Power equalization 4.Confrontation 5.Participation OD Values: 1.Respect for people 2.Trust and support 3.Power equalization 4.Confrontation 5.Participation

© 2003 Prentice Hall Inc. All rights reserved.19–17 Organizational Development Techniques

© 2003 Prentice Hall Inc. All rights reserved.19–18 Organizational Development Techniques (cont’d)

© 2003 Prentice Hall Inc. All rights reserved.19–19 Organizational Development Techniques (cont’d)

© 2003 Prentice Hall Inc. All rights reserved.19–20 Organizational Development Techniques (cont’d) Team Building Activities: Goal and priority setting. Developing interpersonal relations. Role analysis to each member’s role and responsibilities. Team process analysis. Team Building Activities: Goal and priority setting. Developing interpersonal relations. Role analysis to each member’s role and responsibilities. Team process analysis.

© 2003 Prentice Hall Inc. All rights reserved.19–21 Organizational Development Techniques (cont’d) Intergroup Problem Solving: Groups independently develop lists of perceptions.Groups independently develop lists of perceptions. Share and discuss lists.Share and discuss lists. Look for causes of misperceptions.Look for causes of misperceptions. Work to develop integrative solutions.Work to develop integrative solutions. Intergroup Problem Solving: Groups independently develop lists of perceptions.Groups independently develop lists of perceptions. Share and discuss lists.Share and discuss lists. Look for causes of misperceptions.Look for causes of misperceptions. Work to develop integrative solutions.Work to develop integrative solutions.

© 2003 Prentice Hall Inc. All rights reserved.19–22 Organizational Development Techniques (cont’d) Appreciative Inquiry (AI): Discovery: recalling the strengths of the organization. Dreaming: speculation on the future of the organization. Design: finding a common vision. Destiny: deciding how to fulfill the dream. Appreciative Inquiry (AI): Discovery: recalling the strengths of the organization. Dreaming: speculation on the future of the organization. Design: finding a common vision. Destiny: deciding how to fulfill the dream.

© 2003 Prentice Hall Inc. All rights reserved.19–23 Contemporary Change Issues for Today’s Managers: Stimulating Innovation Sources of Innovation: Structural variablesStructural variables Organic structuresOrganic structures Long-tenured managementLong-tenured management Slack resourcesSlack resources Interunit communicationInterunit communication Organization’s cultureOrganization’s culture Human resourcesHuman resources Sources of Innovation: Structural variablesStructural variables Organic structuresOrganic structures Long-tenured managementLong-tenured management Slack resourcesSlack resources Interunit communicationInterunit communication Organization’s cultureOrganization’s culture Human resourcesHuman resources

© 2003 Prentice Hall Inc. All rights reserved.19–24 Contemporary Change Issues for Today’s Managers: Creating a Learning Organization Characteristics: 1.Holds a shared vision 2.Discards old ways of thinking. 3.Views organization as system of relationships. 4.Communicates openly. 5.Works together to achieve shared vision. Characteristics: 1.Holds a shared vision 2.Discards old ways of thinking. 3.Views organization as system of relationships. 4.Communicates openly. 5.Works together to achieve shared vision.

© 2003 Prentice Hall Inc. All rights reserved.19–25 Contemporary Change Issues for Today’s Managers: Creating a Learning Organization

© 2003 Prentice Hall Inc. All rights reserved.19–26 Contemporary Change Issues for Today’s Managers: Creating a Learning Organization Fundamental Problems in Traditional Organizations: Fragmentation based on specialization.Fragmentation based on specialization. Overemphasis on competition.Overemphasis on competition. Reactiveness that misdirects attention to problem-solving rather than creation.Reactiveness that misdirects attention to problem-solving rather than creation. Fundamental Problems in Traditional Organizations: Fragmentation based on specialization.Fragmentation based on specialization. Overemphasis on competition.Overemphasis on competition. Reactiveness that misdirects attention to problem-solving rather than creation.Reactiveness that misdirects attention to problem-solving rather than creation.

© 2003 Prentice Hall Inc. All rights reserved.19–27 Contemporary Change Issues for Today’s Managers: Managing a Learning Organization Establish a strategy Redesign the organization’s structure Reshape the organization’s culture Managing Learning

© 2003 Prentice Hall Inc. All rights reserved.19–28 Contemporary Change Issues for Today’s Managers: Knowledge Management (KM) Why KM is important: Intellectual assets are as important as physical assets. When individuals leave, their knowledge and experience goes with them. A KM system reduces redundancy and makes the organization more efficient. Why KM is important: Intellectual assets are as important as physical assets. When individuals leave, their knowledge and experience goes with them. A KM system reduces redundancy and makes the organization more efficient.

© 2003 Prentice Hall Inc. All rights reserved.19–29 Contemporary Change Issues for Today’s Managers: Culture-Bound Organizations Questions for culture-bound organizations: 1.Do people believe change is even possible? 2.How long will it take to bring about change in the organization? 3.Is resistance to change greater in this organization due to the culture of the society in which it operates? 4.How will the societal culture affect efforts to implement change? 5.How will idea champions in this organization go about gathering support for innovation efforts? Questions for culture-bound organizations: 1.Do people believe change is even possible? 2.How long will it take to bring about change in the organization? 3.Is resistance to change greater in this organization due to the culture of the society in which it operates? 4.How will the societal culture affect efforts to implement change? 5.How will idea champions in this organization go about gathering support for innovation efforts?

© 2003 Prentice Hall Inc. All rights reserved.19–30 Work Stress and Its Management

© 2003 Prentice Hall Inc. All rights reserved.19–31 Work Stress and Its Management

© 2003 Prentice Hall Inc. All rights reserved.19–32 Too Much Work, Too Little Time E X H I B I T 19-8

© 2003 Prentice Hall Inc. All rights reserved.19–33 Potential Sources of Stress  Environmental Factors –Economic uncertainties of the business cycle –Political uncertainties of political systems –Technological uncertainties of technical innovations –Terrorism in threats to physical safety and security

© 2003 Prentice Hall Inc. All rights reserved.19–34 Potential Sources of Stress  Organizational Factors –Task demands related to the job –Role demands of functioning in an organization –Interpersonal demands created by other employees –Organizational structure (rules and regulations) –Organizational leadership (managerial style) –Organization’s life stage (growth, stability, or decline)

© 2003 Prentice Hall Inc. All rights reserved.19–35 Potential Sources of Stress (cont’d)  Individual Factors –Family and personal relationships –Economic problems from exceeding earning capacity –Personality problems arising for basic disposition  Individual Differences –Perceptual variations of how reality will affect the individual’s future. –Greater job experience moderates stress effects. –Social support buffers job stress. –Internal locus of control lowers perceived job stress. –Strong feelings of self-efficacy reduce reactions to job stress.

© 2003 Prentice Hall Inc. All rights reserved.19–36 Consequences of Stress High Levels of Stress Physiological Symptoms Behavioral Symptoms Psychological Symptoms

© 2003 Prentice Hall Inc. All rights reserved.19–37 A Model of Stress E X H I B I T 19-10

© 2003 Prentice Hall Inc. All rights reserved.19–38 Inverted-U Relationship between Stress and Job Performance E X H I B I T 19-11

© 2003 Prentice Hall Inc. All rights reserved.19–39 Managing Stress  Individual Approaches –Implementing time management –Increasing physical exercise –Relaxation training –Expanding social support network

© 2003 Prentice Hall Inc. All rights reserved.19–40 Managing Stress  Organizational Approaches –Improved personnel selection and job placement –Training –Use of realistic goal setting –Redesigning of jobs –Increased employee involvement –Improved organizational communication –Offering employee sabbaticals –Establishment of corporate wellness programs