Chapter 6 Overcoming Resistance to Change

Chapter 6
Overcoming Resistance to
Change
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 1
Learning Objectives
• Identify forces that cause resistance to
change.
• Recognize strategies that can increase
motivation to change.
• Diagnose forces driving and resisting
organization change.
• Experience reactions to a change
situation.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 2
Change and Reinvent (part 1 of 2)
• Many organizations being forced to
change radically.
• Organizations face major challenge in
managing change.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 3
Change and Reinvent (part 2 of 2)
• Organizations need capacity to adapt
quickly.
• People focus of most serious
challenges.
• Large scale changes incur significant
problems and challenges.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 4
Changes on Personal Level
• Set patterns of behavior.
• Defined relationships with others.
• Work procedures and job skills.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 5
Changes on Organizational
Level
•
•
•
•
•
Policies.
Procedures.
Organization structures.
Manufacturing processes.
Work flows.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 6
Life Cycle of Resistance to
Change (part 1 of 5)
Response to change tends to move
through 5 phases:
• Phase 1: Change Introduced.
– Only few people who see need for change.
– Resistance appears massive.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 7
Life Cycle of Resistance to
Change (part 2 of 5)
• Phase 2: Forces Identified.
– Forces for and against change identified.
– Change more thoroughly understood.
– Novelty of change tends to disappear.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 8
Life Cycle of Resistance to
Change (part 3 of 5)
• Phase 3: Direct Conflict.
– Direct conflict and showdown between
forces.
– This phase probably means life or death to
change.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 9
Life Cycle of Resistance to
Change (part 4 of 5)
• Phase 4.
– Remaining resistance seen as stubborn.
– Possibility resisters will mobilize to shift
balance of power.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 10
Life Cycle of Resistance to
Change (part 5 of 5)
• Phase 5.
•
Resisters to change are as few and as
alienated as were advocates in first
phase.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 11
Leading Change: Major Factors
Affecting Success of Change
• Advocates of
change.
• Degree of
change.
• Time frame.
• Impact on
culture.
• Evaluation of
change.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 12
Figure 6.1
Change Factors
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 13
Advocates of Change
• Person leading change often most
important force for change.
• OD practitioners may be brought in to
assist.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 14
Degree of Change
• Is change minor or major?
• The greater the change, the more
difficult to implement.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 15
Time Frame
• Greater chance of success if:
– Change is gradual.
– Longer time frame.
• Some organizations only chance for
survival depends on:
– Radical change.
– Introduced swiftly.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 16
Impact on Culture
• The greater the impact on existing
culture:
– The greater the resistance and
– The more difficult it is to implement
change.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 17
Evaluation on Culture
• Standards of performance developed.
• Designed to measure:
– Degree of change and
– Impact on organization.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 18
A Change Model (part 1 of 5)
• Two major considerations in
organizational change are:
– Degree of change.
– Impact on organization’s culture.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 19
Figure 6.2
Change Model
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 20
Change Model (part 2 of 5)
Quadrant 1
• Minor change, low impact on culture.
• Resistance at lowest level.
• Success most probable.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 21
Change Model (part 3 of 5)
Quadrant 2
• Minor change, high impact on culture.
• Some resistance can be expected.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 22
Change Model (part 4 of 5)
Quadrant 3
• Major change, high impact on culture.
• Some resistance likely.
• Good management can probably
overcome resistance.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 23
Change Model (part 5 of 5)
Quadrant 4
• Major change, high impact on culture.
• Greatest resistance can be predicted.
• Probability of success low.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 24
Driving Forces Toward
Acceptance of Change
• Driving forces:
– Anything that increases organization to
implement change.
– Vary in intensity depending on situation.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 25
Driving Forces for Change
(part 1 of 5)
•
•
•
•
Dissatisfaction with present situation.
External pressures toward change.
Momentum toward change.
Motivation by management.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 26
Driving Forces for Change
(part 2 of 5)
• Dissatisfaction with present situation.
– Intense dissatisfaction with present
situation provides motivation.
– Some members are aware of need for
improvement.
– Being average not good enough.
– Stockholder demands for change.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 27
Driving Forces for Change
(part 3 of 5)
• External pressures toward change.
– Forces outside of organization (example:
market conditions).
– New technologies and methods
implemented to remain competitive.
– New legal requirements.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 28
Driving Forces for Change
(part 4 of 5)
• Momentum toward change.
– Once change underway, forces push it
along.
– Those involved tend to become committed.
– Money previously already spent on change
provides motivation.
– Change in one part of organization may set
off chain reaction.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 29
Driving Forces for Change
(part 5 of 5)
• Motivation by management.
– Manager or advocate of change becomes
motivating force.
– Top management’s encouragement can
motivate change.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 30
Restraining Forces Blocking
Change (part 1 of 2)
•
•
•
•
•
Uncertainty regarding change.
Fear of unknown.
Disruption of routine.
Loss of benefits.
Threat to security.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 31
Restraining Forces Blocking
Change (part 2 of 2)
•
•
•
•
Threat to position power.
Redistribution of power.
Disturb existing social networks.
Conformity to norms and culture.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 32
Driving Forces & Restraining
Forces Act in Tandem
• Effective change programs:
– Increase driving forces.
– Decrease restraining forces.
• Force-field analysis model useful to
view driving and restraining forces.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 33
Strategies to Increase
Motivation (part 1 of 2)
•
•
•
•
Climate conducive to change.
Clearly articulated vision.
Effective communications.
Leadership of managers.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 34
Strategies to Increase
Motivation (part 2 of 2)
•
•
•
•
Participation of members.
Reward systems.
Negotiation, agreement, and politics.
Power strategies.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 35
OD Application
Five Phases of
Resistance to Change
• Change tends to move through a life
cycle.
• Environmental movement over 40 years
illustrates phases.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 36
• PHASE 1 – Change Introduced.
– Environmental movement began to grow in
1970s.
– The forces for change were small.
• PHASE 2 – Forces Identified.
– By 1980s forces for and against change
became organized.
• PHASE 3 – Direct Conflict.
– Clean Air Act of 1990 brought opposing
groups into direct confrontation.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 37
• PHASE 4 – Residual Resistance.
– Opposing groups continued to have
conflicts.
– Resistance became less intense through
first decade of 2000s.
• PHASE 5 – Change Established.
– World generally sees environmental
responsibility as a necessity.
– Disagreements persist in how to implement
changes.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 38
OD Application
The World of Business
• Globalization has occurred for hundreds
of years.
• Recently experienced exponential
growth.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 39
• Reasons for increase include:
– Improvements in communications and
transportation.
– More efficient global banking systems.
– Surpluses in capital for some countries.
– Worldwide lowering of trade barriers.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 40
• Multinational companies (MNCs) based
all over the world.
– MNCs emerging in larger numbers in
developing countries.
• MNCs help create markets by
employing workers worldwide.
• Trend for MNCs to blend into countries
and adapt local culture.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 41
Table 6.1
Fortune Top Global 500 Companies
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 42
Keywords and Concepts
• Driving forces.
– Increases client system to implement
proposed change.
• Employee stock ownership plan.
– Grant stock or stock options to broad
section of employees.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 43
• Gain sharing.
– Reward system that recognizes value of
specific group.
• Knowledge-based pay.
– Reward system based on the knowledge or
skills of workers.
• Open-book management.
– Employees use financial records to
analyze problems.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 44
• Profit-sharing.
– Uses the performance of business to
calculate employee pay.
• Restraining forces.
– Forces that block implementation of
change program.
• Vision.
– Describes desired future state for
organization.
– Can provide members with mental image
of future.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 45
OD Skill Simulation 6.1
Downsizing in Enigma Co.
• Purpose.
– Examine how you attempt to influence
others.
– Understand relationship between
acceptance and rejection of change.
– Consider how change situations are
influenced.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 46
OD Skill Simulation 6.2
Driving and Restraining
Forces
• Purpose.
– Help you further understand the diagnosis
process.
– Experience overcoming resistance to
change.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 47
OD Skill Simulation 6.3
Strategies for Change
• Purpose.
– Experience a change situation where you
attempt to change another person.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 48
Preparations for Next Chapter
• Read Chapter 7.
• Prepare for OD Skill Simulation 7.1.
– Complete Step 1.
– Prior to class, form teams of eight
members and select roles.
• Read and analyze Case: The Farm
Bank.
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 49
An Experiential Approach to Organization Development 8 th edition
Copyright ©2011 Pearson Education, Inc. Publishing as Prentice Hall
Chapter 6
Slide 50