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Unit 13 Study Notes

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31 views3 pages

Unit 13 Study Notes

Uploaded by

Nathefa Layne
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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UNIT 13 : MANAGING CHANGE AND INNOVATION

Why are successful companies continuously innovating?

 Successful companies embrace continuous innovation to remain competitive and profitable. For
example, tech companies are developing smarter computers that can configure themselves, handle heavy
workloads, and proactively resolve problems, helping them stay ahead of the competition.

What are the two main types of planned change in organizations?

 Incremental Change: Step by step improvements in operational and work processes across different
parts of the company.
 Transformational Change: Complete redesign and renewal of the entire organization.

What is a product change?

 A product change refers to alterations in the organization's product or service outputs, driven by the
need to adapt to shifts in markets, technology, and competition. It’s often used as a key way to innovate
and stay relevant.

What is a technology change?

 A technology change involves altering the organization’s production processes to improve efficiency.
It’s focused on enhancing how work is done, making production more effective or cost-efficient.

What are structural changes in an organization?

 Structural changes include modifications in the organization’s design and management, such as
alterations in hierarchy, goals, administrative procedures, management systems, and organizational
culture.

Why is changing people and culture important during organizational change?

 Changes in structure, technology, and products cannot be successful without addressing the human
element. Cultural and behavioural shifts are necessary to ensure the organization adapts and that
employees embrace new ways of working.

What is the three-stage process for achieving behavioural and attitudinal change in organizations?

The three stages, proposed by Organization Development (OD) experts, are:

 Unfreezing: Making people aware of the need for change.


 Changing: Introducing new behaviours and skills, and guiding employees in their application.
 Refreezing: Ensuring that the new behaviours and values become ingrained in the organization’s
culture and everyday operations.

What forces drive organizational change?


 There are both environmental forces (such as changes in customer preferences, competition,
technology, economic conditions, and the international arena) and internal forces (like performance
gaps, outdated procedures, or new ideas) that necessitate change.

What is a performance gap?

 A performance gap is the disparity between an organization’s existing performance levels and the
desired performance outcomes. It can indicate that current processes or outcomes are not meeting
expectations.

What is the initiating change stage?

 The initiating change stage involves developing ideas to address perceived needs for change.

This includes:

 Search: Learning about current developments inside or outside the organization that could address the
need.
 Creativity: Generating novel ideas that could fulfil the need or offer new opportunities.

What is an idea champion?

 An idea champion is an individual who sees the need for change and actively advocates for productive
changes within the organization, helping to drive the change process forward.

What is a new-venture team?

 A new-venture team is a separate unit within an organization responsible for developing and initiating a
major innovation. These teams typically operate with greater autonomy and focus on breakthrough
projects.

What is a skunkworks group?

 A skunkworks group is an informal, highly autonomous, and often secretive team focused on
developing breakthrough ideas or innovations that may disrupt the current business model.

What are some common reasons for resistance to change?

Resistance can arise from:

 Self-interest: Fear of personal loss or job insecurity.


 Lack of understanding and trust: Employees may not understand the change or trust its purpose.
 Uncertainty: Fear of the unknown or lack of information about future changes.
 Different assessments and goals: Stakeholders may have different views on the need for or impact of
change.

What is force-field analysis in the context of change management?


 Force-field analysis is a model that explains change as the result of competing driving forces (which
push for change) and restraining forces (which resist change). To implement change, organizations must
weaken or eliminate the restraining forces.

How does force-field analysis help in managing change?

 By analysing both the driving and restraining forces, managers can focus on strengthening the driving
forces and removing or reducing the restraining forces, which helps make change more successful.

What tactics can managers use to overcome resistance to change?

Common tactics for overcoming resistance include:

 Communication: Providing clear information about the change and its benefits.
 Education: Training employees to understand and implement the change.
 Participation: Involving employees in the change process to gain buy-in.
 Negotiation: Offering incentives or compromises to those who resist change.
 Coercion: Using authority or formal bargaining to enforce change, particularly when there is strong
resistance.

When is coercion used in change management?

 Coercion is typically used when a crisis exists, top management support is strong, and other methods
(such as communication and negotiation) have failed. It’s often used in situations that require quick and
decisive action.

What is the importance of top management support in implementing change?

 Strong support from top management is crucial for successfully implementing change. It provides the
authority, resources, and guidance needed to push through any obstacles and ensure that employees feel
confident in the change process.

How can managers smooth the implementation process of change?

 Managers can ease the implementation process by communicating clearly with employees, providing
adequate training, and involving them closely in the change process. Engaging employees early and
continuously helps reduce resistance and fosters a more collaborative environment.

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