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68 Cards in this Set

  • Front
  • Back
Reactive change (pg. 310)
Making changes in response to problems or opportunities as they arise.
-"putting out fires"
Proactive change (pg. 311)
or planned change, involves making carefully thought out changes in anticipation of possible or expected problems or opportunities.
Technology (pg. 313)
is not just computer technology; it is any machine or process that enables an organization to gain a competitive advantage in changing materials used to produce a finished product.
Organizational development (OD) (pg. 315)
a set of techniques for implementing planned change to make people and organizations more effective.
-OD focuses specifically on people in the change process.
-often put into practice by a person known as a CHANGE AGENT
-can help revitalize organizations
Change agent (pg. 315)
a consultant with a background in behavioral sciences who can be a catalyst in helping organizations deal with old problems in new ways.
Intervention (pg. 316)
aka "treatment" is the attempt to correct the diagnosed problems.
Creativity (pg. 318)
the process of developing something new or unique.
Seeds of innovation (pg. 319)
the starting point for organizational innovation.
6 seeds of innovation
1.) hard work in a specific direction
2.) hard work with direction change
3.) curiosity
4.) wealth and money
5.) necessity
6.) combination of seeds
Product innovation (pg. 320)
a change in the appearance or the performance of a product or a service or the creation of a new one.
Process innovation (pg. 320)
is a change in the way a product or service is conceived, manufactured, or disseminated.
incremental innovations (pg. 320)
the creation of products, services, or technologies that modify existing ones.
Radical innovations (pg. 320)
the creation of products, services, or technologies that replace existing ones.
Resistance to change (pg. 325)
an emotional/behavioral response to real or imagined threats to an established work routine.
-can be as subtle as passive resignation and as overt as deliberate sabotage.
Adaptive change (ch. 326)
reintroduction of a familiar practice.
-lowest in complexity, cost and uncertainty.
-ex. during annual inventory week, a department store may ask its employees to work 12 hours a day instead of the usual 8.
Innovative change (pg. 326)
the introduction of a practice that is new to the organization.
-moderate complexity, cost, and uncertainty. Therefore is apt to trigger some fear among employees.
-ex. should a department store decide to adopt a new practice of competitors by staying open 24 hours a day, requiring employees to work flexible schedules, it may be felt as moderately threatening.
Radically innovative change (pg. 326)
involves introducing a practice that is new to the industry, not just an organization
-bc it is the most complex, costly, and uncertain, it will be felt as extremely threatening to managers confidence and emplyees job security.
-ex. a department store converting some of its operations to e-commerce may encounter anxiety among its staff, especially those fearing being left behind.
Ten reasons employees resist change
1.) individuals predisposition toward change
2.) surprise and fear of the unknown
3.) climate of mistrust
4.) fear of failure
5.) loss of status or job security
6.) peer pressure
7.) disruption of cultural traditions or group relationships
8.) personality conflicts
9.) lack of tact or poor timing
10.) nonreinforcing reward systems
benchmarking (pg. 328)
a process by which a company compares its performance with that of high-performing organizations.
a few super trends shaping the future of business
1.) The marketplace is becoming more segmented and moving toward more niche products.
2.) More competitors are offering targeted products, requiring faster speed-to-market.
3.) Some traditional companies may not survive radically innovative change
4.) China, India and other offshore suppliers are changing the way we work.
5.) Knowledge, not information, is becoming the new competitive advantage
Forces originating outside the organization
1.) demographic characteristics
2.) market change
3.) technological advancements
4.) social and political pressures
Demographic characteristics of outside forces
-age
-education
-skill level
-gender
-immigration
market changes in outside forces
-mergers and acquisitions
-domestic and international competition
-recession
technological advancements of outside forces:
-manufacturing automation
-office automation
social and political pressures of outside forces:
-leadership
-values
Forces originating inside the organization
1.) employee problems
2.) managers behavior
Employee problems for inside forces:
1.) unmet needs
2.) job dissatisfaction
3.) absenteeism and turnover
4.) productivity
5.) participation/suggestions
Managers behavior for inside forces:
1.)conflict
2.) leadership
3.) reward systems
4.) structural reorganization
4 areas that are subject to change as the organization continually tries to adapt to internal and external pressures:
people, technology, structure, and strategy.
forms of changing people: Perceptions
Perceptions-employees may feel they are underpaid for what they do. Managers might be able to show that pay and benefits are comparable or superior to those offered by competitors.
forms of changing people: attitudes
it may be up to management to try to change the culture and the attitudes by using educational techniques to show why the old labor wars should become a thing of the past.
forms of changing people: performance
should an organization pay the people who contract to wash its windows by the hour? by the window? or by the total job?
forms of changing people: skills
altering or improving skill levels is often an ongoing challange, particularly these days, when new forms of technology can change an organizations way of doing business, as we describe next.
4 steps in the organizational development:
1.) diagnosis
2.) intervention
3.) evaluation
4.) feedback
Organization development process
-(1)diagnosis
managers use some combination of questionaires, surveys, interviews, meetings and direct observation in the identification of peoples attitudes and problem areas of performance is the main focus.
Organization development process
-(3)evaluation
-is needed to see if it has done any good. Answers may lie in hard data about absenteeism, turnover, grievances, and profitability, which should be compared with earlier characteristics. The change agent can use questionnaires, surverys, interviews, and the like to assess changes in employee attitudes.
Organizational development can be used for what 3 matters?
managing conflict, revitalizing organizations, and adapting to mergers
Organizational development approach the organization as if it were a sick patient using:
diagnosis, intervention, and evaluation
OD (organizational development) is most apt to be successful under the following circumstances:
1.) multiple interventions
2.) management support
3.) goals geared to both short and long term results
4.) OD is affected by culture
2 myths about innovation:
1.) innovation happens in a "Eureka!" moment-happens in a bolt-from-the-blue moment of discovery
2.) innovation can be systematized-made a codified and standardized process that can be designed to always yield fruitful results.
ways organizations develop or encourage innovations:
1.) shaping the organizational culture
2.) the appropriate resources
3.) the correct reward system
Four steps in fostering innovation:
1.) Recognize problems and opportunities and devise solutions
2.) Gain allies by communicating your vision
3.) Overcome employee resistance and empower and reward them to acheive progress.
4.) Execute well by effectively managing people, groups, and organizational processes and systems in the pursuit of innovation
Resistance to change can be considered to be the interaction of three causes:
1.) employee characteristics
2.) change agent characteristics
3.) the change agen-employee relationship.
ex. an employees resistance is partly based on his or her perception of change, which is influenced by the attitudes and behaviors exhibited by the change agent and the level of trust between change agent and the employee.
Details you will need to communicate to gain support:
-showing how the product or service will be made
-showing how potential customers will be reached.
-demonstrating how you'll beat your competitors
-explaining when the innovation will take place.
Resistance can be considered to be the interaction of 3 causes:
1.) employee characteristics
2.) change agent characteristics
3.) the change agent employee relationship
Kurt Lewin developed a model with 3 stages to explain how to initiate, manage, and stabilize planned change:
Unfreezing, changing, refreezing
"Unfreezing"
Creating the motivation to change.
-encouraging employees to let go of attitudes, and behaviors that are resistant to innovation. For this to take place, employees need to become dissatisfied with the old way of doing things. Managers also need to reduce the barriers to change during this stage
"Changing"
Learning new ways of doing things.
- employees need to be given the tools for change: New information, new perspectives, new models of behavior. Managers can help here by providing benchmarking results, role models, mentors, experts, and training.
"Refreezing"
Making the new ways normal
- employees need to be helped to integrate the changed attitudes and behavior into their normal ways of doing things. Managers can assist by encouraging employees to exhibit the new change and then through additional coaching and modeling, by reinforcing the employees in the desired change.
John Kotter's 8 steps for leading organizational change
1.) Establish a sense of urgency
2.) Create the guding coalition
3.) develop a vision and a strategy
4.) communicate the change vision
5.) empower broad-based action
6.) generate short term wins
7.) consolidate gains and produce more change
8.) anchor new approaches in the culture

-steps 1-4 represent unfreezing
-steps 5-7 represent changing
-step 8 represents refreezing
6 methods for managing employee resistance to change
1.) education and communication
2.) participation and involvement
3.) facilitation and support
4.) negotiation and rewards
5.) manipulation and cooptation
6.) explicit and implicit coercion
4 steps for fostering innovation:
-recognize problems and opportunities. Devise solutions
-execute well
-Overcome employee resistance. Empower and reward them to achieve progress
-Gain allies by communicating your vision
When the two co-founders of network appliance, David Hitz and Michael Malcolm were driving eachother crazy how did they use OD techniques to solve the problem?
an organization behavioral specialist began working with each executive in separate sessions to solve the problem
considered to be the newest source of competitive advantage for companies competing in the global economy:
knowledge
Kotters 8 steps for leading organizational change are a valuable guideline for managers who are leading change because:
they include specific recommendations for specifically changing behaviors when all steps are followed
Internal forces for change affecting organizations
-may be subtle, such as low job satisfaction, or more dramatic, such as constant labor management conflict.

common organizational response to employee problems, such as job dissatisfaction and high absenteeism:
redesigning job responsibilities, reducing employees role conflicts, and dealing with work overload, to mention a few matters
transforming whole industries and changing the way we work, including reducing wages, and increasing the profits of some businesses
outsourcing and globalization
key aspects of execution
-discussing hows and whats
-using questioning
-analysis
-follow-through to achieve the results promised and ensure accountability.
Execution requires organizations to effectively manage _____, ______, and ______ in the pursuit of innovation
-people
-groups
-organizational processes and systems
Organizational development (OD) can help in what 3 ways?
1.) opening communication
2.) fostering innovation
3.) dealing with stress
marketplace becoming more segmented and moving toward more niche products:
ex. in the internet age, retailers like amazon.com and apple computer are no constrained by physical shelf space and can offer consumers a much wider variety of products, yet small sales, one or two rather than millions of items at a time, can produce big profits
____ is emerging as a powerful competitive weapon as more and more companies become proficient and bringing products and services to market
speed
proper first step after deciding how to handle a problem or opportunity:
develop and communicate your vision
is analytic and involves problem solving and abstract reasoning. It is becoming the new competitive weapon and is commonly required by managers, salespeople, professionals and financial analysts
knowledge work
a company that rewards employees that contribute to innovative change with bonuses is engaging in which aspects of fostering innovation?
overcome employee resistance
a company that takes prospective buyers to tour foreclosed homes is an example of a company _______ _______ by turning a problem into a solution.
fostering innovation
somone continually has problems with an employees work behavior. Employee is simply not focused on customer service. Manner in which manager handles this challenge represents what?
an internal force for change