Nature of organizational change, factors, planned change, change agent, process, the resistance of change, conclusion

2. NATURE OF ORGANIZATIONAL
CHANGE
Organizational change is about the
process of changing an organization’s,
•strategies,
•processes,
•procedures,
•technologies, and
•culture as well as the effect of such
changes on the organization

3. FACTORS AFFECTING
ORGANIZATIONAL CHANGE
• EXTERNAL FACTORS:
Technology: a change in technology makes the
organization less cost effective and its
competitive position weakens ,therefore it
should adopt new technology.
Marketing condition: any
changes in the competitors
marketing strategy ,forces the
organization to change its own
strategy so as to maintain its
market position.

4. – Social changes: social changes refer to the change
in peoples behavior due to forces like level of
education ,etc.. ,it is required to make adjustment
in organizations working so that it matches with
people.
– Political and legal changes: any changes in political
and legal factors may affect the organization
operation.

5. • INTERNAL FACTORS:
– Changes in the managerial personnel: when old
managers are replaced by new managers ,each
new manager bring his own ideas .the result is
that the organization has to change accordingly.
– Deficiency in Existing organization : deficiency may
be in the form of lack of coordination and
cooperation ,to remove these deficiency changes
need to be brought in organization.

6. PLANNED CHANGE

7. Human response to change
• People may totally deny the
change: If this happens the
organization may gradually lose
its effectiveness.
• People may ignore the change:
Managers may temporarily ignore
the change with the expectation
that the problems will soon
disappear.
• People may resist the change:
Resistance may be emotional,
economical, personal, and social.

8. CHANGE AGENT:
• Is anyone who has the skill and power to
stimulate, facilitate, and coordinate the
change effort.
• Change agents may be either external or
internal.

9. ROLE OF CHANGE AGENTS:
• Consulting: The purpose is to help employees find
solutions to problems through analysis of valid
data.
• Training: To provide organization members with a
new set of skills- the ability to retrieve, translate
and use new data to solve future problems.
• Research: The manager may train the members in
skills needed for valid evaluation of the
effectiveness of action plans that have been
implemented.

10. Process of planned change in
organization
Need for
change
Development of
goals of change
Selection of
change agent
Diagnosis
Selection
intervention
method
Development of
a plan
Planning for
implementation
Follow-up and
evaluation

11. 1. Recognize 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.

12. 2. Develop the goals of the change.
• Remember 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.

13. 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.

14. 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. Preparing the 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.

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

16. 6. Develop a plan.
• This 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.

17. 7. Implement the plan.
• After 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
behaviors, and building a support system for
those initiating the change.

18. 8. Follow the plan and evaluate it.
• During 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.

19. 1. Job Loss
2. Poor Communication and Engagement
3. Lack of Trust
4. The Unknown
5. Poor Timing
Resistance to change.

20. • Job loss is a major reason that employees
resist change in the workplace. In any
business, there are constantly going to be
things moving and changing, whether it is due
to the need for more efficiency, better
turnaround times, or the need for the
employees to work smarter. With all these
needs comes the opportunity for the company
to downsize or create new jobs, and this is
where the fear of job loss comes into play.
1. Job Loss

21. • This is another crucial reason why employees
oppose change. If the process of what needs to
be changed, how it needs to be changed and
what success would look like cannot be
communicated, then resistance should be
expected. Employees need to understand why
there is a need for change, because if they are
just thrown the notion that what they have been
used to for a long time is going to be completely
renovated, with that will come much backlash.
2. Poor Communication and
Engagement

22. • Trust is a vital tool to have when running a
successful business. In organizations where
there is a lot of trust in management, there is
lower resistance to change. Mutual mistrust
between management and employees will
lead to the company going into a downward
spiral, so trust is a must.
3. Lack of Trust

23. • We already mentioned communication, and a
lack of it causes employees to feel like they don’t
know what’s going on. If companies are
constantly experiencing times where the future is
unknown, there is also a good possibility that
employees won’t respond to change well. When
the thought of change is brought up in this case,
it would come as a surprise, leading to employees
being caught off guard, which makes the situation
much worse.
4. The Unknown

24. • Timing is one of the biggest problems when it
comes to change. A lot of the time, it’s not the
act itself that creates the resistance, but how
and when it is delivered.
5. Poor Timing

25. 1. Overcome opposition
2. Effectively engage employees
3. Implement change in several stages
4. Communicate change effectively
Overcoming resistance to change

26. An explanation for why the change is needed is
always a good idea. By helping employees better
understand why a change is important for the
company, it’s easier to get them on board with the
change, and it can also encourage them to become
an advocate for change. With this, an explanation of
“what’s in it for me?” helps employees see the big
picture and the benefits of the change, instead of
only giving them a narrow view of what is to
happen in the near future.
1. Overcome opposition

27. Ask employees probing questions: Is the change
working? What can we do to make it work
better? Do employees have any questions or
concerns? These are all great questions to ask,
but if feedback is going to be collected, it
actually needs to be read and utilized. These
answers can be used to change the plan
accordingly, and show employees that their
ideas and concerns are being heard.
2. Effectively engage employees

28. Change doesn’t happen all at once. Companies
should first prepare for the change, then take
action on the change and make a plan for
managing the change, and third, support the
change and assure that all is going as planned
3. Implement change in several stages

29. The best way that you as an employer can
communicate change is to explicitly tell employees
what is going on. Using a blend of formal and
informal communication allows you to ensure that
all employees receive the news about the change in
some way or another. With all the communication
outlets such as email, company intranets, town
halls, and face-to-face meetings, the message is
going to get across the company. Employing several
different ways to communicate change helps
explain the vision, goals and expectations for what
needs to happen and why.
4. Communicate change effectively

30. • Companies of all types constantly experience
change, because as industries grow, businesses
have to evolve. Changes such as switching to a
new HR plan can affect your business in every
way, but that doesn’t necessarily mean that it has
to change for the worst. Change needs to be
dealt with in an effective and responsible
manner, and if done correctly, it will seriously
benefit the company and make it a smooth
transition.
Conclusion

31. • Presented to:
– Dr. Subhashish Chatterjee
• Presented by:
– Bhavin Zanje
– Komal Panchal
– Divya Chandana
– Pritesh Jain
– Maitri Patel