Leading Change

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BSAD 535 – Managing Human Resources Leading Change

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Leading Change in Organisations

Transcript of Leading Change

Page 1: Leading Change

BSAD 535 – Managing Human Resources

Leading Change

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Group Members

1

Elizabeth Makota2

4

Simbarashe Mazorodze3

Moses Jimu

Walter Busangavanye

5 Clements Muvami

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Introduction

The rate of change is not going to slow

down anytime soon. If anything, competition

in most industries will probably speed up

even more in the next few decades.”

John P. Kotter

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What is Change?What is not happening that should be

happening?

What is happening that should not be happening?

What is happening that could happen better?

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Change Defined

An alteration in people , structure or technology.

To cause to be different or to undergo transformation.

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a) Reengineering,

b) restructuring,

c) downsizing,

d) right-sizing,

e) mergers,

f) acquisition,

g) new technology,

h) new markets,

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a) new customer demands,

b) new government regulations, global competition

c) and vacillating world economy all add up to change.

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Change has no boundaries, it knows no time limit. It cuts across every political divide, economic sector and all social classes

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Change is constant and unstoppable and so powerful that no one can detour it, except the all mighty God, for he was the same yesterday, is the same today and will ever be the same forever

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Thus change is constant and inevitable.

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Change can be classified into two categories namely:1.unplanned change and 2.planned change.

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Unplanned change is forced on an organization by external environment.

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Planned change results from deliberate moves/attempts by management to improve organizational operations, such as quality improvement.

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Change brings emotions, stress, frustrations and other ill feelings to human kind.

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The ozone layer is under threat due to environmental changes caused by pollution in the atmosphere. This has resulted in persistent droughts, heat waves and floods wrenching human lives and others.

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In conclusion, Jack Welch once said:

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“one big lesson that I have learned is that change has no constituency. People like the status quo. They like the way it was. When you start changing things the good old days

look better and better.” - Managing Change in a changing world, page 20, by Professor Baidya

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The Three Phases of planned Change

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Three Phases of Planned Change (Lewin, 1951)

1. Unfreezing

2. Changing

3. Refreezing

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Driving & Restraining Forces

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Unfreezing

This is the first phase in implementing change. It consists of creating a strong enough desire for changing the old, unwanted culture or behaviours.

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Unfreezing

If the “pain” of doing the same unwanted behaviours is not strong enough, there will be no desire felt within the organization to change.

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Unfreezing

The change agents need to make a strongly felt reason to change. Some examples might be the threat of closure due to more efficient competitors, or better products that serve a need better.    

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Changing

This second phase is where the new culture, behaviours, way to do things is put in place. It is important that any infrastructure needed to support the new change be thought out and in place.

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Changing

If this does not happen, the organization will resist the new change and will either fall back to the old way or even a hybrid of the old and new ways that may be worse for the organization.

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Changing

This phase may require training in the new methods, new equipment, resources, etc… It is important that these be met. 

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Refreezing

The third phase in the three step approach of Lewin is the Refreezing phase. This is the phase where the new changes, behaviours, etc…  are made to be the new daily norms of the organization.

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Refreezing

I have this referred to as “standardize” in the quality assurance field and this is where you make the new behaviours part of the “standard’ method of operating.. 

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Refreezing

Some effective methods of doing this are by linking rewards to the new behaviours. I have experienced companies that tie these types of things into regular reviews as well reinforcing it there as well. 

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Organisational Change

Organizational change can be one of the toughest tasks that leadership can face. People are resistant to change by nature unless the need to change is strong enough. At times, company management may have to create a situation (real or perceived by the workforce) to start the process.

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Managing the planned change process

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Introduction

Change occurs when a company makes a transition from its current state to some desired future state. Managing change is the process of planning and implementing change in organizations in such a way as to minimize employee resistance and cost to the organization while simultaneously maximizing the effectiveness of the change effort.

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Steps in Planned Change

Once managers and an organization commit to planned change, they need to create a logical step‐by step approach in order to accomplish the objectives. Planned change requires managers to follow an eight‐step process for successful implementations, which is illustrated below:

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Steps in Planned Change

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1. Recognise the need for Change

Recognition of the need for change may occur at the top management level or in peripheral parts of the organization. The change may be due to either internal or external forces.

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2. Develop the goals of the changeRemember that before any action is

taken, it is necessary to determine why the change is necessary. Both problems and opportunities must be evaluated. Then it is important to define the needed changes in terms of products, technology, structure, and culture.

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3. Select a change agent.The change agent is the person who

takes leadership responsibility to implement planned change. The change agent must be alert to things that need revamping, open to good ideas, and supportive of the implementation of those ideas into actual practice.

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4. Diagnose the current climate.In this step, the change agent sets

about gathering data about the climate of the organization in order to help employees prepare for change.

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4. Diagnose the current climate.Preparing people for change requires

direct and forceful feedback about the negatives of the present situation, as compared to the desired future state, and sensitizing people to the forces of change that exist in their environment.

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5. Select an implementation method. This step requires a decision on the

best way to bring about the change. Managers can make themselves more sensitive to pressures for change by using networks of people and organizations with different perspectives and views,

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5. Select an implementation method. Cont...dvisiting other organizations

exposed to new ideas, and using external standards of performance, such as competitor's progress.

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6. Develop a planThis step involves actually putting

together the plan, or the “what” information. This phase also determines the when, where, and how of the plan. The plan is like a road map. It notes specific events and activities that must be timed and integrated to produce the change. It also delegates responsibility for each of the goals and objectives

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7. Implement the planAfter all the questions have been

answered, the plan is put into operation. Once a change has begun, initial excitement can dissipate in the face of everyday problems. Managers can maintain the momentum for change by providing resources, developing new competencies and skills, reinforcing new behaviours, and building a support system for those initiating the change.

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8.Follow the plan and evaluate itDuring this step, managers must

compare the actual results to the goals established in Step 4. It is important to determine whether the goals were met; a complete follow‐up and evaluation of the results aids this determination. Change should produce positive results and not be undertaken for its own sake.

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Summary.Change is natural, of course. Proactive

management of change to optimize future adaptability is invariably a more creative way of dealing with the dynamisms of industrial transformation than letting them happen willy-nilly. That process will succeed better with the help of the company's human resources than without.

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Recognising resistance to change

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Resistance to Change

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One of the best recent articles on the subject of change was published in 1986 by Sara Fine. One of Fine’s most relevant points is that resistance to change is inevitable, and management must be prepared to respond to it (Fine, 1986).

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Resistance to change

Organizational change causes individuals to experience a reaction process (Kyle, 1993). Scott and Jaffe (1988) describe the process as consisting four phases, namely: Initial denial, resistance, gradual exploration and eventual commitment.

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Causes of Resistance

1. A lack of awareness of why the change was being made.

The number one reason employees resist change is a lack of awareness of why the change was being made.

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Causes of Resistance

2. A lack of involvement in the change. Managers who are not told why change is

happening and their input is not solicited, ultimately result in resistance to the change

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Causes of Resistance

3. Failure to Prove Change is Needed Resistance to change also occurs when

managers fail to convince employees that the change is needed. Change should only be implemented when a performance gap exists, that is, when people become highly dissatisfied with some aspect of a task or process

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Causes of Resistance

4. General Uncertainty about the Effects of Change / Fear of the Unknown.

There is always general uncertainty which people experience when a major change is announced. The literature of librarianship, of management, and of personnel psychology shows that employees respond better to change when management consciously tries to ease employee fears in a number of ways (Werbel, 1983; Weinbach, 1986; Malinconico, 1983).

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Causes of Resistance

5. Failure to Tie Values to the Change Another reason that employees resist change

is that management often forgets to emphasize the positive aspects of the change on professional values. Unfortunately, some managers fail both to keep employees informed of the organisation’s values

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Causes of Resistance6. Failure to Commit Sufficient Resources

to the Change Increased resistance to change can also result

when managers do not follow through by committing sufficient resources to the change. Fine (1986, p. 92) suggests that it is not uncommon for resources (particularly personnel resources) to be overextended or with- drawn just when staff is experiencing the greatest stress of change.

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Causes of Resistance7. Fear of Change Due to Social

Consequence One other major type of employee fear is

caused when the potential social consequences of the change are not anticipated and allowed for.

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Causes of Resistance8.Uncertainly about Job PerformanceAnother reason for employee fear of change is

uncertainty about new work-related expectations associated with job performance.

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Causes of Resistance9.Failure to Create a Climate Conducive

to Change General resistance to change may also result

when managers fail to create a positive climate where change can flourish. The best illustration of this might be a library where management allows employees little participation and in fact does not encourage new ideas in any way.

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Symptoms of Resistance to ChangeThe symptoms of resistance are observable

and often overt - such as:complaining, not attending key meetings, not providing requested information or

resources,or simply not adopting a change to process or

behaviour.

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Symptoms of Resistance to ChangeOvert (Obvious) Signs

1.Vocal complaints by employees

2.Engaging in a work slowdown

3.Threatening a strike

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Symptoms of Resistance to ChangeCovert (Secretive) Signs

1.Loss of loyalty to organization

2.Lack of motivation

3.Increased errors

4.Increased absenteeism and unexplained illnesses.

5.Low productivity.

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Overcoming Resistance

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Do change management right the first timeMuch of the resistance faced by projects can

be avoided if effective change management is applied on the project from the very beginning.

While resistance is the normal human reaction in times of change, good change management can mitigate much of this resistance

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Consider the following change management activitiesUtilize a structured change management

approach from the initiation of the projectActive and visible participation by senior

leadersAdvocacy by management levels including

middle managers and front-line supervisorsCommunications that describe the need for

change, the impact on employees and the benefits to the employee (answering "What's in it for me?" or WIIFM)

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Expect itDo not be surprised by resistance! Even if the solution a project presents is a

wonderful improvement to a problem that has been plaguing employees, there will still be resistance to change.

Comfort with the status quo is extraordinarily powerful.

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Address it formallyManaging resistance should not be solely a

reactive tactic for change management practitioners.

There are many proactive steps that can be used to address and mitigate resistance that should be part of the change management approach on a project

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In Phase 1 - Preparing for change:During the creation of the change

management strategy, anticipated points of resistance and special tactics are generated based on the readiness assessments that are part of this phase.  

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In Phase 2 - Managing change:The resistance management plan is one of the

five change management plans created - along with the communication plan, sponsorship roadmap, coaching plan and training plan.   

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In Phase 3 - Reinforcing change:In the final phase of the process, feedback is

collected to understand employee adoption and compliance with the new workflows and processes prescribed by the change.

Evaluating this feedback allows the team to identify gaps and react to resistance that may still be occurring.

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Identify the root causesManaging resistance is ineffective when it

simply focuses on the symptoms. While they are more evident, focusing on

symptoms will not yield results. To be effective at managing resistance, you

must look deeper into what is ultimately causing the resistance.

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A final note on resistance to changeresistance is ultimately an individual

phenomenon. While benchmarking and analysis can identify

broadly the root causes for resistance, it is important to ultimately address

resistance by individuals at the individual level

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Engage the "right" resistance managersThe "right" resistance managers in an

organization are the senior leaders, middle managers and front-line supervisors.

The change management team is not an effective resistance manager. Project team members, Human Resources or Organization Development staff is not effective resistance managers either.

Ultimately, it takes action by leadership in an organization to manage resistance.

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Leading Organisational Change

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Introduction

Revered Jessie Jackson said in a political context: “You cannot lead where you won’t go,

and teach what you don’t know”.

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What is leading change then?

Leading change is the process of initiating and achieving the smooth implementation of change by planning and introducing it systematically, allowing for the possibility of it to be resisted or at least to be misunderstood. Professor John P Kotter.

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Why lead change?Jack Welch, former CEO of General Electric

said,

“When the rate of change outside an organization is greater than the rate of change inside, the end is near”

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Why lead change?In other words and to some extend the

organizations are lacking initiators of change. In such scenarios it is not business as usual.

Someone has to lead change, that is to say INTIATING AND MAKING CHANGE HAPPEN (facilitating change).

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Steps to successful Change

Professor Kotter established 8 steps to successful change further to the models and

steps explained earlier on by my co-presenters. These are:

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Steps to successful ChangeStep 1. Establishing a sense of urgencyStep 2. Create a guiding coalitionStep 3. Develop a vision and strategyStep 4. Communicate the change visionStep 5. Empower broad-based actionStep 6. Generate short-term winsStep 7. Consolidate gains and produce more

changeStep 8. Anchor new approaches in the culture

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Steps to successful Change

Professor Kotter stresses that his eight stages are a process and not a checklist, and that “successful change of any magnitude goes through all eight stages … skipping even a

single step or getting too far ahead without a solid base almost always creates problem”.

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1. Establish a sense of urgency

Process of initiating change involves the identification of where change is required. A sense of urgency that change is really needed should be established. This urgency drives the initiator to start the facilitating process. This urgency is necessary to unfreeze people or employees for the next step.

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2. Forming a powerful guiding coalition

Assembling a group with enough power to lead the change effort.

Encourage the group to work together as a team

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3. Creating a vision

Creating a vision to help direct the change effort

Developing strategies for achieving that vision

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4. Communicating the visionUsing every vehicle possible to communicate

the new vision and strategies.Teaching new behaviors by example of

guiding the coalition.“If you can’t communicate the vision to

someone in five minutes or less and get a reaction that signifies both understanding and interest, you are not yet done with this part of the transformation process”. Kotter

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5. Empowering others to act on the vision

Getting rid of obstacles to change

Changing systems or structures that seriously undermine the vision

Encouraging risk taking and nontraditional ideas, activities, and actions

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6.Plan for creating short term wins

Planning for visible performance improvements

Creating those improvements

Recognizing and rewarding employees involved in the improvements

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7. Consolidating improvements and producing still more change

Using increased credibility to change systems, structures, and policies that do not fit the vision

Hiring, promoting, and developing employees who can implement the vision

Reinvigorating the process with new projects, themes, and change agents

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8. Institutionalizing new approaches

Articulating the connections between the new behaviors and corporate success

Developing the means to ensure leadership development and succession

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Conclusion

Without change we will not be what we are today. We will not be enjoying all the things we are enjoying. Globalization (and its advantages) could not have been possible.

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ConclusionThe aim or objectives of change is to increase

organizational capabilities and effectiveness.

If we fail to recognize that there is change taking place at a fast rate outside our organizations and thus lead change in our organizations accordingly – by establishing the right sense of urgency – the end is near.

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Q & A