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Copyright ©2012 Pearson Education, Inc. Publishing as Prentice Hall14-1

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1. A working definition of changing an organization

2. An understanding of the relative importance of change and stability to an

organization

3. Some ability to recognize what kinds of changes should be made within an

organization

4. An appreciation for why the people affected by a change should be

considered when the change is being made

5. Some facility at evaluating change

6. An understanding of how organizational change and stress are related 

7. Insights concerning how to handle conflict as a factor related to

organizational change

8. Knowledge about virtuality as a vehicle for organizational change

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Defining Changing an Organization

• The Importance of Change

Think list:

1. Can a machine be used to do a better or faster job?

2. Can the fixture now in use be improved?

3. Can handling of materials for the machine be improved?

4. Can a special tool be used to combine the operations?

5. Can the quality of the part being produced be improved

by changing the sequence of the operation?

6. Can the material used be cut or trimmed differently

for greater economy or efficiency?7. Can the operation be made safer?

8. Can paperwork regarding this job be eliminated?

9. Can established procedures be simplified?

Change Versus Stability

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The Change Agent

Determining What Should Be Changed

1. People factors:

 AttitudesLeadership skills

Communication skills

 All other characteristics of human resources

2. Structural factors:Organizational controls

3. Technological factors:

Equipment or processes that assist in performance of members’

 jobs

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The Kind of Change to Make

• Technological change

• Structural Change

Describing Structural Change

1. Clarifying and defining jobs

2. Modifying organizational structure to fit organization’s

communication needs

3. Decentralizing organization to:

Reduce the cost of coordination

Increase the controllability of subunits

Increase motivation

Gain greater flexibility

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The Kind of Change to Make (continued)

• People Change

Describing People Change: Organization Development (OD)

Grid OD

The Ideal Style

Main Training Phases The Status of Organization Development

Weaknesses:

1. The effectiveness of an OD program is difficult to evaluate

2. OD programs are generally too time consuming

3. OD objectives are commonly too vague

4. Total costs of OD program are difficult to gauge when the program starts

5. OD programs are generally too expensive

Improve quality of OD efforts:

1. Systematically tailor OD programs to meet organization’s specific needs 

2. Continually demonstrate exactly how people should change their behavior 

3. Conscientiously change organizational reward systems

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Individuals Affected by the Change

Resistance to Change

Reducing Resistance to Change

1. Avoid surprises

2. Promote real understanding

Will I lose my job?

Will my old skills become obsolete?

 Am I capable of producing effectively under the new system?

Will my power and prestige decline?

Will I be given more responsibility than I care to assume?

Will I have to work longer hours?

Will it force me to betray or desert my good friends?

3. Set the stage for change

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Reducing Resistance to Change (continued)

4. Make tentative change

Test reactions to the new situation

 Acquire more facts on which to base attitudes and

behavior toward the change

Review and modify some preconceptions

Less likely to regard the change as a threat

Evaluate method of change and make any

necessary modifications

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Evaluation of the Change

 Additional change is justified if it will accomplish:

1. Further improve the means for satisfying someone’s economic

wants

2. Increase profitability

3. Promote human work for human beings

4. Contribute to individual satisfaction and social well-being

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Defining Stress

The Importance of Studying Stress

Damaging psychological and physiological effects

Major cause of employee absenteeism and turnover 

Can affect the safety of other workers or even the

public

 A very significant cost to organizations

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Managing Stress in Organizations

• Understanding How Stress Influences Worker Performance

• Identifying Unhealthy Stress in Organizations

Observable symptoms of undesirably high stress levels:

Constant fatigueLow energy

Moodiness

Increased aggression

Excessive use of alcohol

Temper outbursts

Compulsive eating

High levels of anxiety

Chronic worrying

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Managing Stress in Organizations (continued)

• Helping Employees Handle Stress

Prevent initial development of unwanted stressors:

1. Create an organizational climate that is supportive of individuals

2. Implement stress management courses

3. Make jobs interesting

4. Design and operate career counseling programs

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Defining Conflict

Strategies for Settling Conflict1. Compromising

2. Avoiding3. Forcing

4. Resolving

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Defining a Virtual Organization

Degrees of Virtuality

The Virtual Office

• Defining a Virtual Office

Occasional Telecommuting

Hoteling

Tethered in Office

Home-Based, Some Mobility

Fully Mobile

• Reasons for Establishing a Virtual Office

• Challenges to Managing a Virtual Office

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All rights reserved. No part of this publication may be reproduced, stored in aretrieval system, or transmitted, in any form or by any means, electronic,

mechanical, photocopying, recording, or otherwise, without the prior written permission of the publisher. Printed in the United States of America.

Copyright ©2012 Pearson Education, Inc. publishing asPrentice Hall