1. Week 12 – Organizational Change
MGT ORGANIZATIONAL BEHAVIOR
Dr. K. A. S. P. Kaluarachchi
Senior Lecturer
Department of Management and Organization Studies
Faculty of Management and Finance
University of Colombo

2. Learning Outcomes At the end of this lesson, you will be able to:
Define the concept of organizational change
Identify types of organizational changes
Identify resistances to organizational change and how to manage them
Illustrate and describe an approach to organizational change
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3. Define Organizational Change
Organizational change refers to any alteration of: people
structure, or
technology in an organization
It is making things different
Someone who acts as a catalyst and assumes the responsibility for managing the change process is recognized as the change agent
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4. Types of Organizational Changes
(1) Changing structure – includes any alteration in structural variables such as reporting relationships, coordination mechanisms, employee empowerment, or job redesign
(2) Changing technology – encompasses modifications in the way work is performed or the methods and equipments used
(3) Changing people – refers to changes in attitudes, expectations, perceptions, and behavior of individuals or groups (OD) 4 4 4 4
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5. Types of Organizational Change…
Organizational Development (OD) is the term used to describe change methods that focus on people and the nature and quality of interpersonal work relationships
A technique for assessing attitudes and perceptions, identifying discrepancies in these, and resolving he differences by using survey information in feedback groups
A method of changing behavior through
unstructured group interaction
Sensitivity
training
Activities that help members learn how each member thinks and works
Team
building
Survey
feedback
More effective
interpersonal
work
relationships
Inter-group
development
Changing the attitudes, stereotypes, and perceptions hat work groups have about each other
Process
consultation
An outside consultant helps the manager understand how interpersonal processes affect the way work
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- Popular OD techniques - 5 5

6. Resistances to Organizational Change
Individual Sources
Organizational Sources
Habits – when confronted with change, the tendency to respond our accustomed ways becomes a source of resistance
Structure – formalized regulations which have been stabilized act as counterbalance to sustain change
Security – people assume change threatens their feeling of safety
Dependence – interdependence among subsystems hinder the actions of change
Economic reasons – people are concerned that they won’t be able to perform the new task when pay is considered to evaluate performance
Group norms – even if individuals want to change their behavior, group norms may act as a constraint
Fear for the unknown – change substitutes ambiguity and uncertainty for the unknown
Threat to expertise – changes in organizational patterns may threaten the expertise of specialized groups
Selective perception – people hear what they want to hear and they ignore information that challenges the world they have created
Threat to power – change can threaten long-established power relationship within the organization
Resource limitation – the needed change can be limited with the available resources
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7. Overcoming Resistances to Change
Education and communication – helps employees see the logic of OC Participation – individuals feel difficult to resist a change decision in which they participated Building support and commitment – change agents can offer a range of supportive efforts to reduce resistance Implementing changes fairly – make sure employees see the reason for the change, and perceive that the changes are being implemented consistently and fairly 7 7 7 7
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8. Overcoming Resistances to Change…
Manipulation and cooptation – distorting facts to make them appear more attractive. Cooptation is a form of both manipulation an participation Selecting people – selecting people who score high on accepting and facilitating the change process Coercion – the application of direct threats or force on the resisters 8 8 8 8
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9. Approaches to Managing Organizational Change
Lewin’s Three-Step Model
Unfreezing
Movement
Refreezing
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10. Approaches to Managing Organizational Change…
Unfreezing - the status quo; changing to overcome the pressures of both individual resistance and group conformity Movement – to a desired end state; a change process that transforms the organization from status quo to the desired state Refreezing – the new change to make it permanent; stabilizing a change intervention by balancing driving and resisting forces 10 10 10 10
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11. Questions and Answers ??//
Thank you very much!
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