Ogc chap 2
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Transcript of Ogc chap 2
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ORGANIZATIONAL CHANGE (4TH ED.)Barbara Senior & Stephen Swailes
Chapter 2: the nature of organizational change
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LEARNING OBJECTIVESBy the end of this chapter, you will be able to: describe and discuss the multi-dimensional
nature of organizational change; analyze change situations in terms of the
different types of change experienced; explain limitations to the ‘common-sense’
approach to managing change arising from cultural, political and leadership influences;
critically evaluate the theoretical perspectives relating to the types of change that organizations experience.
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TYPES OF CHANGE
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PACE AND SCOPE OF CHANGE
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FOUR TYPES OF CHANGE
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FINE-TUNING TO CORPORATE TRANSFORMATIONDefining the scale of changeScale type 1: Fine tuningScale type 2: Incremental adjustmentScale type 3: Modular transformationScale type 4: Corporate transformation
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PREDICTABLE CHANGE
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A TYPICAL LIFECYCLE PATTERNIllustration 2.8
1. The entrepreneurial stage2. The collective stage3. The formalization stage4. The elaboration stage
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COMPLEXITY THEORY
1. Chaos Theory2. Dissipative Theory3. Complex Adaptive Systems
Three implications of applying complexity theory to organizations:4. Need more democracy in equalization of
power5. A continuous approach based on self-
organization to improving products and process
6. Need the presence of order-generating rutles.
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DIAGNOSING CHANGE SITUATIONSLooking for breakpoints: Typical indicators Competitors Customers Distributors SuppliersWhen several of these are in place, all that is needed is a player, or event, to trigger the breakpoint.
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DIAGNOSING CHANGE SITUATIONSLooking for breakpoints: DivergenceDivergence is more difficult to anticipate because it is based on new offering that does not yet exist. If the following are in place, the industry is ready for a new offering that breaks with the past.Customers: restless customersNew entrants: restless customers attract new
entrantsCompetitors: experiment with new offerings or
look elsewhere for profitsSuppliers: new resources and technology a source
of divergent breakpointDistributors: lag behind because they have to
adapt to the new offering
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DIAGNOSING CHANGE SITUATIONS
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DIAGNOSING CHANGE SITUATIONS
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DIAGNOSING CHANGE SITUATIONSHard (difficult) and soft (messy) problems
Difficulties are bounded
Messes are unbounded