1. Leading Change and Innovation
Chapter 4
Leading Change and Innovation
Copyright© 2013 Pearson Education Inc. publishing as Prentice Hall Leadership In Organizations

2. Learning Objectives
After studying this chapter, you should be able to:
Understand the different reasons for resisting change.
Understand the psychological processes involved in making major changes.
Understand how to develop an appealing vision for the organization.
Copyright© 2013 Pearson Education Inc. publishing as Prentice Hall Leadership In Organizations

3. Learning Objectives (Cont.)
Understand how to implement a major change in an organization.
Understand the characteristics of a learning organization.
Understand how leaders can increase learning and innovation in organizations.
Copyright© 2013 Pearson Education Inc. publishing as Prentice Hall Leadership In Organizations

4. Understand the different reasons for resisting change
Learning Objective 1
Understand the different reasons for resisting change
Copyright© 2013 Pearson Education Inc. publishing as Prentice Hall Leadership In Organizations

5. Reasons for Resisting Change
No clear justification for change
Feasibility of proposed change
Unsuccessful earlier change efforts
Lacking self-confidence
Tangible cost/benefit
Individual loss
Inconsistency with individual values
Lack of trust
Copyright© 2013 Pearson Education Inc. publishing as Prentice Hall Leadership In Organizations

6. Learning Objective 2
Understand the psychological processes involved in making major changes
Copyright© 2013 Pearson Education Inc. publishing as Prentice Hall Leadership In Organizations

7. Lewin’s Change Model Unfreeze Change Refreeze
Copyright© 2013 Pearson Education Inc. publishing as Prentice Hall Leadership In Organizations

8. Change Reaction Stages
Denial
Anger
Mourning
Adaption
Copyright© 2013 Pearson Education Inc. publishing as Prentice Hall Leadership In Organizations

9. Influence of Prior Change Experience
General Self-Confidence
“Inoculation” hypothesis
Less resilience hypothesis
Copyright© 2013 Pearson Education Inc. publishing as Prentice Hall Leadership In Organizations

10. Understand how to develop an appealing vision for the organization
Learning Objective 3
Understand how to develop an appealing vision for the organization
Copyright© 2013 Pearson Education Inc. publishing as Prentice Hall Leadership In Organizations

11. Developing a Vision Qualities of an effective vision
Simple and idealistic
Appeals to values
Emphasizes future objective
Challenging
Realistic
Addresses what is important
Focused but not confining
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12. Elements of a Vision Mission Statement Value Statement Slogans
Strategic Objectives
Project Objectives
Copyright© 2013 Pearson Education Inc. publishing as Prentice Hall Leadership In Organizations

13. Guidelines for Vision Development
Key stakeholders
Shared values and ideals
Strategic objectives with wide appeal
Relevant elements in the old ideology
Link vision to core competencies
Continually assess and refine the vision
Copyright© 2013 Pearson Education Inc. publishing as Prentice Hall Leadership In Organizations

14. Understand how to implement a major change in an organization
Learning Objective 4
Understand how to implement a major change in an organization
Copyright© 2013 Pearson Education Inc. publishing as Prentice Hall Leadership In Organizations

15. Implementing Change Determine what to change Systems Dynamics
Responsibility
Pace and Sequencing
Copyright© 2013 Pearson Education Inc. publishing as Prentice Hall Leadership In Organizations

16. Guidelines for Implementing Change
Create urgency
Communicate vision
Identify supporters and opponents
Build coalition
Use change agents
Make symbolic changes
Copyright© 2013 Pearson Education Inc. publishing as Prentice Hall Leadership In Organizations

17. Guidelines for Implementing Change (Cont.)
Prepare people for change
Deal with stress
Provide early successes
Monitor progress
Communicate progress
Demonstrate optimism
Copyright© 2013 Pearson Education Inc. publishing as Prentice Hall Leadership In Organizations

18. Understand the characteristics of a learning organization
Learning Objective 5
Understand the characteristics of a learning organization
Copyright© 2013 Pearson Education Inc. publishing as Prentice Hall Leadership In Organizations

19. Collective Learning and Innovation
Internal creation
External acquisition
Knowledge Diffusion
Learning Organizations
Copyright© 2013 Pearson Education Inc. publishing as Prentice Hall Leadership In Organizations

20. Learning Objective 6
Understand how leaders can increase learning and innovation in organizations
Copyright© 2013 Pearson Education Inc. publishing as Prentice Hall Leadership In Organizations

21. Guidelines for Increasing Learning and Innovation
Appreciation
Learning at various levels
Mental models
Leverage learning
Knowledge sharing
Innovation goals
Reward entrepreneurial behavior
Copyright© 2013 Pearson Education Inc. publishing as Prentice Hall Leadership In Organizations