2 - Change Management
2 - Change Management
CHANGE
AND
STRATEGIES OF CHANGE
Change Management
• Change management is an approach to shifting or
transitioning individuals, teams & organisations from a current
state to a desired future state.
• Change management is the process, tools & techniques to
manage the people-side of change to achieve the required
business outcome(s)
Change Management Process
• The change management process is the sequence of steps or activities
that a change management team or project leader would follow to
apply change management to a project or change.
• Change management processes contain the following three phases:
• Phase 1 - Preparing for change
• Phase 2 - Managing change
• Phase 3 - Reinforcing change
Change Management Process
Change Management Process
1) Preparing for change (Assessment)
• Identifying the problem: Opportunity that necessitates change (symptoms)
• Data collection: Gathering structural, technological and people information
and effects of these elements on the process
• Data analysis: Summarizing the data ( advantages, dis-advantages, risks, and
consequences)
• Strategic determination: Identifying possible solutions, barriers, strategies
• Decide if the change is necessary.
• Make others aware of the need for the change.
• SWOT analysis and basic 4 forces models: (environmental forces
,organizational forces , task demand , personal need.)
Change Management Process (Contd.)
2) Managing change (Planning and Implementation)
• State goal and specific measurable objectives and also the time allotted.
• Establishing the who, how, what, and when of change.
• Allocating resources, budget and evaluation methods.
• Plan for resistance management.
• Identify areas of support & resistance.
• Include every one in the planning that will be affected.
• Establish target dates for implementation.
• Develop appropriate strategy for alteration.
• Be available to support others through the process.
• Evaluate the change then modify if necessary.
Change Management Process (Contd.)
3) Reinforcing change (Evaluation)
• Determining effectiveness of change.
• Achieved objectives and benefits - qualitative as well as financial
and the documented evidences of being achieved.
• Stabilize the change: - taking measures to reinforce and maintain
the change.
Kurt Lewin’s Change Management Process
• Lewin provides a social-psychological view of the change process.
• He sees behavior as a dynamic balance of forces working in opposing
directions .
• Driving forces facilitate change because they push persons in the desired
direction .
• Restraining forces impede change because they push persons in the
opposite direction.
• Status quo level is the person in balanced state or state of equilibrium
between 2 forces.
Kurt Lewin’s Change Management Process
Unfreeze
• The existing equilibrium. Motivate persons by getting them ready for
change and increase willing to change .
• Build trust and recognition for the need to change.
• Actively participate in identifying problems and generate alternative
solutions.
• Is the development through problem awareness of a need for change.
Moving
• Work toward change by identifying the problem or the need for
change.
• Explore the alternatives,
• Defining goals & objectivities
• Plan how to accomplish the goal &
• Implement the plan for change.
• Get persons to agree that the status quo is not beneficial to them.
Refreezing
• Does the integration of the change happened into ones personality &
consequently stabilization of the change happened?
• Then reinforce the new patterns of behavior. (Positive change)
• New level of equilibrium.
• Frequently person tries to return to old behavior after the change effort
ceases.(Negative change)
Types of Change
• There are two types of change in an organization:
- Planned change and
- “Emergent” change
• Planned change - refers to initiatives that are driven “top-down” in
an organization.
• Emergent” change - refers to a situation in which change can
originate from any level in the organization.
Areas of Change in an Organisation
• Strategic
• Structural
• Process-oriented and
• People-centered
Strategic Change
• Sometimes in the course of normal business operation it is necessary
for management to adjust the firm's strategy to achieve the goals of
the company, or even to change the mission statement of the
organization in response to demands of the external environments.
• Adjusting a company's strategy may involve changing its fundamental
approach to doing business: the markets it will target, the kinds of
products it will sell, how they will be sold, its overall strategic
orientation, the level of global activity, and its various partnerships
and other joint‐business arrangements.
Structural Change
• Organizations often find it necessary to redesign the structure of the
company due to influences from the external environment.
• Structural changes involve the hierarchy of authority, goals, structural
characteristics, administrative procedures, and management systems.
• Almost all change in how an organization is managed falls under the
category of structural change.
• A structural change may be as simple as implementing a no‐smoking
policy, or as involved as restructuring the company to meet the customer
needs more effectively.
Process‐oriented Change
• Organizations may need to reengineer processes to achieve optimum
workflow and productivity.
• Process‐oriented change is often related to an organization's
production process or how the organization assembles products or
delivers services.
• The adoption of robotics in a manufacturing plant or of laser‐scanning
checkout systems at supermarkets are examples of process‐oriented
changes.
People‐centered Change
• This type of change alters the attitudes, behaviors, skills, or performance
of employees in the company.
• Changing people‐centered processes involves communicating,
motivating, leading, and interacting within groups.
• This focus may entail changing how problems are solved, the way
employees learn new skills, and even the very nature of how employees
perceive themselves, their jobs, and the organization.
• Some people‐centered changes may involve only incremental changes
or small improvements in the process.
Reasons for Change