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HW TO MANAGE CHANGE EFFECTIVELY BY T.M.JAYASEKERA.

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Presentation on theme: "HW TO MANAGE CHANGE EFFECTIVELY BY T.M.JAYASEKERA."— Presentation transcript:

1 HW TO MANAGE CHANGE EFFECTIVELY BY T.M.JAYASEKERA

2 WHAT HAPPENS WHEN TECHNICAL CHANGES ARE MADE CAN PEOPLE MANGE TO COPE WITH THIS CHANGE HOW HAVEORGANIZATIONS CONFRONTED PEOPLE ISSUES THAT CONFRONTED MAJOR CHANGE PROGRAMMES WHAT ROLE DO PERSONNEL SPECIALISTS PLAY WHY DO THEY STILL SEEM TO BE MARGINAL

3 THE OUTCOME OF TECHNICAL CHANGE IT WILL IMPACT ON EMPLYEES AND THEIR CONTRACTS JOBS CHANGE TRAINING IS REQUIRED REDEPLOYED OR MADE REDUNDANT

4 THE OUTCOME OF TECHNICAL CHANGE Tough managers may talk of automate or liquidate or re-engineer or obliterate with TINA There Is No Alternative is what they normally say

5 THE OUTCOME OF TECHNICAL CHANGE Technological change is inevitable to sustain competitive advantage and from it follow the most inevitable People change

6 THE OUTCOME OF TECHNICAL CHANGE However be aware that management has a range of choices about objectives – whose are they? What is the real substance of the technical change and the competitive threat Why is technical change wanted and introduced in the first place

7 THE OUTCOME OF TECHNICAL CHANGE There are choices about the nature and extent of implementation Communication, the scope of consultation and the type of negotiation the power skills that may be brought to bear effects on work design, job content, organization and supervision

8 THE OUTCOME OF TECHNICAL CHANGE The nature and quality of management decision making comes under the spotlight in situations of technical change I know six honest serving me. I taught them all I knew. The names are what and why and how and where and when and why

9 THE OUTCOME OF TECHNICAL CHANGE The matter of gender arises also particularly if we consider whether women are caught out differently than men in situations of technical change As heavy manual male dominated industries have declined and service industries expanded some groups of men have been adversely affected

10 THE OUTCOME OF TECHNICAL CHANGE Consider the situations where women may get trapped in to certain types of work Therefore we may have to consider whether women are well represented as men in the high tech industries Would women respond differently in situations of technical change

11 UK experience In the early 80s Rupert Murdock's move in to a new modern integrated technology printing plant at Wapping Miners dispute of 1982 Slow introduction of IT in to general practitioner surgeries IT based learning in schools The organizational responses to the internet- The dot.com boom

12 Is technical change guided by usually guided by consistent management objectives We argue that management decisions over technical change reflect rational attempts to chose the best option in the circumstances with available information

13 TYPES OF DECISIONS what is rational to one group or individual may be irrational to another

14 POLITICS BEHIND TECHNICAL CHANGE OBJECTIVES CAN BE DIVIDED ACCROSS FUNCTIONAL LEVELS Strategic Operating Control These are the direct ones But there are others such as empire building? etc

15 Substituting of people by technology Deskilling?- Replacing the man with the machine Development of ATMs Laptop with internet access Who got axed – Middle and Junior levels Ex: Robotics

16 HUMAN AND ORGANIZATIONAL ISSUES 1. SUBSTANTIVE STRATEGIC EMPLOYMENT CONTROL 2. PROCEDURAL ISSUES AND FORMS OF INVOLVEMENT

17 STRATEGIC ISSUES COMMUNICATION AND SHARING TO PROMOTE RTHE COMMITTMENT OF INDIVIDUALS AND GROUPS TO CHANGE TO MINIMIZE ADVERSE EFFECTS N MEMBERS OF THE ORGANIZATION AND TO SUPPORT THEM IN REALIZING THE OPPORTUNITIES THAT THE CHANGES MAY BRING TO THE ORGANIZATION AND MEMBERS INTEGRATE THE NEEDS OF THE INDIVIDUAL WITH THE NEEDS OF THE ORGANIZATION ABOUT THE ATTITUDES SKILLS AND KNOWLEDGE

18 DEMOCRATIC PARTICIPATIVE ISSUES Organizational change is always political Therefore there will be always winners and losers Therefore those directly affected by change must be consulted They must be involved There will have to be a win win situation Involving employees have mixed blessings as some may disagree challenge seek status quoand may claim rights

19 PROS AND CONS OF PARTICIPATION ADVANTAGES Job holders have detailed knowledge of their jobs Employees understand the aims of change better It will create a feeling of ownership It will direct energy in to support for and away from opposition

20 PROS AND CONS OF PARTICIPATION DISADVANTAGES Too many cooks spoil the broth It may be counter cultural to have wider participation It may assume a management inclination to move through fostering and waiting for commitment rather than strategic direction and imperative action Involvement may bring more uncertainty and instability

21 PROS AND CONS OF PARTICIPATION More complex the change is more the more functions structural hierarchies and subsystems will be affected this suggests not to seek for participation If it is required then a formal approach with timelines are needed There may be occassions wher the quality of the decision may be more important than the acceptance of it

22 ROLE AND CONTRIBUTION OF PERSONNEL MANAGEMENT How and when are human and organizational issues arising from technological change considered at the strategic level and for that matter at other points To what extent the management function most associated with the people aspect of management – the personnel department involved in decisions concerning technical change

23 but what happens is that --- little evidence of personnel people being present where the change is taking place the occurrence of tech change did not lead to the development of a specialist personnel function In manufacturing there was a marginal role for personnel specialists over the management of technical change Where organizational change only was involved fuller and earlier personnel involvement was more likely absence of personnel involvement was reflected in a low level of employee involvement in technical change

24 why this happened--- Personnel lacked visibility and muscle they were weakly represented at the highest levels of decision making

25 why this happened--- According to Daniel early involvement of personnel specialists in technological change helps to promote worker acceptance of change

26 exercise Assume a devils advocate role and answer to this Business processes and practices are made and operated by people, working as individuals or or in groups. They use technologies as tools to produce goods and services It is their efforts that determine the success or failure of investments in technology further they know intrinsically what benefits are actually being delivered The actual benefits of tech investments cannot be perceived directly or in their own. Only when technology is coupled with human resources can the benefits be perceived

27 exercise Technology and knowledge are human creations and they can be managed only by giving people the primary role Technology is not a magic dust. It takes educated committed and imaginative individuals with technology to Aadd value and transform an enterprise

28 HRM and Change HRM refers to approaches to the management of the human Resources of the firm and more specifically to an approach that is distinct from conventional personnel management HRM is more unitarist proactive and less procedurally bound and institutionalized approach than personnel management

29 HRM and Change Contribution of HRM services in high technology based organizations are not really so

30 HRM and Change For HRM business need is Central customer oriented and integrated There is a central role for HR Missions and Policies in overall business strategy Line management have a key role in implementing HR policies

31 Key levers for facilitating change stress Having the right staff, in the right jobs, at the right level of competence in the right place at the right time Individualization of employment relations with flexible reward packages New forms of work organization and control particularly project teams part time job sharing etc High level competencies learning training and development

32 modes of intervention by HR specialist Changemaker Regulator Adviser Handmaiden

33 Modes of intervention by HR specialist According to research former HRM approach is evident in the management of change In large unionized firms HR specialiust acted as a regulator Because of the Human Res Mgmt approach human and organizational issues receive more attention

34 Broader view of HRM represents Employment planning Direct communication with employees Employee feelings Employment terms Employment cost benefits Employee development Decision Making

35 According to Chartered Institute of Personnel and Development There is a direct correlation between strategic HRM and economic success Employees are now seen not as a cost centre subject to periodic reductions but as major organizational asset they create value reduce cost and ensure success

36 Business strategy- HRM integration does seem to offer a broader range of solutions to complex organizational problems in a changing environment It ensures that human financial and technological resources are given attention in setting objectives and assessing implementation capabilities In contributions to rather than being subordinate to strategic decisions. It must be aligned with corporate strategy

37 Implementing Technical change Change strategies Participative evolution- Collaborative and consultative Modes Forced evolution – Directive /coercive modes Charismatic Transformation-Collaborative and consultative Modes Dictatorial transformation – Directive /coercive modes

38 determinants as to which approach will fit a particular context the degree of consensus that exist over the need for change the amount of time available to effect change before its absence becomes a survival threatening condition Incremental change is luxury and many cannot afford It is the transformational change that is needed to arrest a business decline

39 what external/internal environmental circumstances would be most appropriate for employing each of these four strategies when is collaborative strategy? When should the stakeholders are consulted ? Time involved? Consensus of all? When is manipulation ?

40 Expertise of the change agent to manage complex contemporary change Change agent has to address three agendas 1. Content agenda 2. Control agenda 3. Process agenda

41 Expertise of the change agent to manage complex contemporary change Change agent has to assess and manage their personal vulnerability which is high where project goals change frequently project generates complex organizational interdependencies responsibility of change is ambiguous Senior management is either hostile or indifferent

42 Expertise of the change agent to manage complex contemporary change Change agents require expertise in diagnosis evaluation and judgmental capabilities and the capacity to manage unfolding logics in problem solving ownership and legitimation as change takes place

43 Expertise of the change agent to manage complex contemporary change In vulnerable change projects legitimation will be the key area

44 Expertise of the change agent to manage complex contemporary change Effective change management for vulnerable projects require a public performance based on the rational linear model of change and a backstage performance with much behind the scenes action

45 The expertise of change agent is based on Type of change – Change management Task Radical change to core processes - High hazzle High vulnerability Radical change to peripheral processes Moderate Hazzle Low Vulnerability Incremental change to core processes – Low hazzle moderate vulnerability Incremental change to peripheral processes – Low hazzle low vulnerability

46 Most appropriate change agent in high vulnerability contexts may well be one with limited technical background in the content and control but with string process skills

47 Most appropriate change agent in high vulnerability contexts may well be one with limited technical background in the content and control but with string process skills

48 Articulating and defining a project Trial able Reversible Divisible Concrete Familiar Congruent Sexy

49 Countering counter implementation strategies Divert Resources Exploit inertia and conformity Keep goals vague and complex Keep people in the dark Deal with the people issues later attitude Great idea- lets do it properly Dissipate energies

50 countering strategies will seek to reduce change agents influence and credibility spread damaging rumors External Change agent should keep a low profile Remain non commital Not declaring res8istance to change publicly

51 countering countervailing efforts Define clear direction and objectives Go for a simple phased programme appoint some one else as a fixes facilitator Look for resistance Use good face to face communication explain the reasons Build personal credibility co-opt support early exploit a crisis Have a meaningful steering commiuttee

52 Power Skills Power skills for managers to get things done Do a stake holder analysis to caste light on goals of the change programme and who the change agent is Groups/people who are significant in achieving or blocking the change their views and how they will react to the programme their power bases the change agents power base Power skills

53 Power skills that are used / not used in a given situation action steps/proposals to get things moving and done Process agenda

54 Backstaging Manipulation facilitates change through creative use of language changing systems and structures building alliances threats to gain support through delayering / withdrawing rewards Promotion or other career advancencement to the blockers freezing out Amplifying the estimated negative effects pointing the support of senior management

55 conclusion role of Human Resources in technological change is very important It is reactive as well as proactive Greatest happiness to greatest number should be the key

56 OD - what is it? It tries to understand how to manage planned change in organizations

57 OD - what is it? It is a planned system wide effort managed from top with the assistance of a change agent that uses behavioural science knowledge to improve organizational effectiveness

58 Action research Most OD activities rely on action research as the primary blue print for planned change It is a data based problem oriented process that diagnoses the need for change introduces the OD activity and then evaluate and stabilizes the desired changes

59 The action research approach to organization development Diagnose need for change Gather data Analyze data and decide intervention objectives Introduce intervention Implement desired incremental or quantum change Evaluate and stabilize change Determine effectiveness of change and refreeze new conditions

60 What is sensitivity training It is an unstructured agendaless session in which participants become more aware through their interactions of how they affect others and how others affect them

61 What is sensitivity training Here a small group of people meet face to face often for a few days to learn more about themselves and their relations with others Learning occurs as participants disclose information about themselves and receive feedback from others during the session

62 Goals of sensitivity training Making people increasingly aware of and sensitive to emotional reactions and expressions in themselves and others Increasing the ability of participants to perceive and to learn from the consequences of their actions through attention to their own and others feelings stimulating the clarification and development of personal values and goals consonant with a democratic and scientific approach to problems of social and personal decisions and actions

63 Goals of sensitivity training Developing concepts and theoretical insights which will serve as tools in linking personal values goals and intentions to actions consistent with these inner factors and with the requirements of the situation fostering the achievement of behavioural effectiveness in transactions with the participants environment

64 Interacting process variables in sensitivity training Growth in effective membership Learning how to learn Learning how to give help Becoming sensitive to group processes

65 What is grid training Six phases Laboratory seminar training Team development Inter group development Organizational goal setting Goal attainment Stabilization

66 Survey feed back It is survey conducted by way of questionnaires and feed back the data to those who generated them

67 Survey feed back Areas covered leadership Organizational climate Satisfaction

68 Other methods Team building Third party peacemaking process consultation transactional analysis

69 Business Strategy and HRM In order to get the strategy implemented they need right people in the right place at the right time at the right cost labour factor of production should give value for money

70 To get value for money from labour Firm should grow with People it has or it can get hold of at the times of need the behaviour of its members should not jeopardy the firm people in the organization must be members and who want to perform for it with effort and creative ingenuity Organization in turn should value its members and their contribution

71 To get value for money from labour If organization does not demonstrate such value materially and socially then members will become detached Therefore strategy requires long term goals broad programmes and allocations to achieve these

72 To get value for money from labour Each programme represent policy for action Funds assets people must be allocated to these programmes This is not a one time affair Every time we employ someone this has to be resourced

73 What are human resource strategies To contain trade union influence? recruiting the best? Keeping costs down becoming flexible and lean but empowering them with the best training rewards and equipment to do the job Pg how do you feel about these statements which ones are straight foreword/ Which ones are contradictory


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