1. Allentown Materials Corp. (B) n Evaluation of a Change Effort Ê Did the managers select the right design solutions? Is the organization design changing in a way demanded by its environment?

2. Allentown Materials Corp. (B) n Evaluation of a Change Effort Ë Are the methods by which the changes implemented effective in getting the commitment of people in the organization?

3. Recommendations for Change n Increase integration by developing a project organization – Identify and develop integrators in marketing – Identify project teams for each project composed of appropriate level people n Top Team becomes Resource Allocation Team (RAT) – Quarterly project reviews with RAT – Eliminate present product review meetings Ë Are the methods by which the changes implemented effective in getting the commitment of people in the organization?

4. Recommendations for Change n Communicate new project organization to division n Develop interpersonal competence of people to function in new organization – Train integrators – Develop effective project teams – Team-building for top management – Training and development in conflict management Ë Are the methods by which the changes implemented effective in getting the commitment of people in the organization?

5. Recommendations for Change n Improve group/functional relations through special Inter-group Problem Solving Meetings n Top team to develop objectives and strategies for the division n Stronger, more personal

6. Allentown EPD: New Products n YearResistors n 19901 n 19910 n 19924 n 19930 n 19946 n Capacitors n 0 n 3

7. Allentown EPD: Conflict Resolution Styles n Styles1992 n Forcing 3.1 n Smoothing 3.0 n Constructive2.9 n 1994 n 2.8 n 2.5 n 3.5

8. Allentown EPD 1994 n What did we miss?

9. What is a Successful Change? n The future state is reached n Performance in the future state meets or exceeds expectations n Transition costs are managed and false starts are minimized n The organization is capable of continuing to change and improve

10. Change Readiness n Ch = (D x F x P) > C n Ch = Change n D = Dissatisfaction with the status quo n F = Clear model or vision of future state n P = Planned process for managing change n C = Cost of change to individuals and groups