CHANGE MANEGEMENT

Change Management

Change management is a systematic approach to dealing with change, both from the perspective of
an organization and on the individual level. A somewhat ambiguous term, change management has
at least three different aspects , including: adapting to change, controlling change, and effecting
change. A proactive approach to dealing with change is at the core of all three aspects. For an
organization, change management means defining and implementing procedures and/or
technologies to deal with changes in the business environment and to profit from changing
opportunities.

Successful adaptation to change is as crucial within an organization as it is in the natural

world. Just like plants and animals, organizations and the individuals in them inevitably
encounter changing conditions that they are powerless to control. The more effectively you
deal with change, the more likely you are to thrive. Adaptation might involve establishing a
structured methodology for responding to changes in the business environment (such as a
fluctuation in the economy, or a threat from a competitor) or establishing coping mechanisms
for responding to changes in the workplace (such as new policies, or technologies).

Terry Paulson, the author of Paulson on Change, quotes an uncle's advice: "It's easiest to ride
a horse in the direction it is going." In other words, don't struggle against change; learn to use
it to your advantage.

2) In a computer system environment, change management refers to a systematic approach to

keeping track of the details of the system (for example, what operating system release is
running on each computer and which fixes have been applied).

Organizational Change Management

Organizational change management takes into consideration both the processes and tools that
managers use to make changes at an organizational level. Most organizations want change
implemented with the least resistance and with the most buy-in as possible. For this to occur,
change must be applied with a structured approach so that transition from one type of
behavior to another organization wide will be smooth.

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Management's Role in the Organizational Change

In most cases, management's first responsibility is to identify processes or behaviors that are
not proficient and come up with new behaviors, processes, etc that are more effective within
an organization. Once changes are identified, it is important for managers to estimate the
impact that they will have to the organization and individual employee on many levels
including technology, employee behavior, work processes.

 Individual Level
Employees should be directly involved in the change process, which shall motivate and
reduce resistance. Extra incentives should be made available to further encourage and reward
compliance. Support networks should be established as a means to reinforce the change
theory. Appendix 1 Maslow's Hierarchy of Needs depicts the theory of psychological needs,
values of authority, hierarchy and rationality, security needs.

The model consists of many levels. Maslow argues that once the basic level of Air food water
are met the next “hierarchical” or “rational” need is for safety. An organization must
concentrate on invoking a sense of “Belonging” to the organization by keeping them
informed, involved and sharing the success.

“Esteem by others” should be achieved by promoting team work and the occasional
appraisals by management.

GROUP LEVEL CHANGE MANAGEMENT:-

A special group is usually responsible for the change management process and the
implementation of changes resulting from that process. Such a group may consist of CM
practitioners (if related to configuration management), but if the change affects the
organization, this group more likely will consist of designated senior members from different
functions of the organization or enterprise. 

Business-Level Change Management (BLCM) can be interpreted in a number of ways.

BLCM may be viewed as an enterprise activity that includes executive and senior
management who make top-level business decisions such as new or revised project
management systems, enterprise resource planning systems, financial management systems,
business direction, marketing philosophy, re-branding, process improvement initiatives, and
so forth. BLCM could also be considered a project-level and system-level activity that
manages changes to system development or to systems in operation that are managed by a
program or project manager, or by customers or users of the system.

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Organizational Change Management

Organizational change management takes into consideration both the processes and tools that
managers use to make changes at an organizational level. Most organizations want change
implemented with the least resistance and with the most buy-in as possible. For this to occur,
change must be applied with a structured approach so that transition from one type of
behavior to another organization wide will be smooth.

Management's Role in the Organizational Change

In most cases, management's first responsibility is to identify processes or behaviors that are
not proficient and come up with new behaviors, processes, etc that are more effective within
an organization. Once changes are identified, it is important for managers to estimate the
impact that they will have to the organization and individual employee on many levels
including technology, employee behavior, work processes, etc.

At this point management should assess the employee's reaction to an implemented change
and try to understand the reaction to it. In many cases, change can be extremely beneficial
with lots of positives; however certain changes do sometimes produce a tremendous amount
of resistance. It is the job of management to help support workers through the process of
these changes, which are at times very difficult. The end result is that management must help
employees accept change and help them become well adjusted and effective once these
changes have been implemented.

types of change management method

I was putting together examples of change management methods for a potential client and
realized that there are really three types that have different applications:

The first type is the large scale change process.  For example, Lewin’s Unfreeze > Change
> Refreeze concept, or John Kotter’s eight-stage method in his book Leading Change.  The
large scale change process tells the global organizational steps to take, such as building a
sense of urgency, developing a vision, or creating small wins to gain momentum.  They
provide guidance and set expectations for how change unfolds effectively in an organization.

The second type is the analysis tool, which helps you decide what needs changing.  Force-
field analysis, in which you examine the forces pushing for and against change, is one
example.  Gap analysis is another.  The Change Starts Here workbook is an example of an
analysis tool that helps you determine what to change.  In general, these tools help you
identify or diagnose the barriers you need to overcome, or the strengths on which you should
build.

The third type of change management method helps you overcome the barriers to change. 
They are situation specific or topical.  For example, using the principles in Patrick Lencioni’s
Five Dysfunctions of a Team might help fix an ineffective leadership team.  The Beyond Buy-
in workbook provides steps to raise leadership support for your initiative. 

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Resistance to change is the action taken by individuals and groups when they perceive that a
change that is occurring as a threat to them.

Key words here are 'perceive' and 'threat'. The threat need not be real or large for resistance to
occur. 

In its usual description it refers to change within organizations, although it also is found
elsewhere in other forms. Resistance is the equivalent of objections in sales and disagreement
in general discussions.

 The nature of opposition: knowing your 'enemies' in change.

 The resistance zoo: the animals and their styles of resistance.
 Signs of resistance: spotting subtle signals of dissent.
 Dealing with resistance: a range of methods may be used.

Individual Resistance

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Individual sources of resistance to change reside in basic human characteristics such as

perceptions, personalities, and needs. The following summarizes five reasons why individuals
may resist change.

HABIT As human beings, we're creatures of habit. Life is complex enough; we don't need to
consider the full range of options for the hundreds of decisions we have to make every day.
To cope with this complexity, we all rely on habits or programmed responses. But when
confronted with change, this tendency to respond in our accustomed ways becomes a source
of resistance. So when your department is moved to a new office building across town, it
means you're likely to have to change many habits: waking up ten minutes earlier, taking a
new set of streets to work, finding a new parking place, adjusting to the new office layout,
developing a new lunchtime routine, and so on.

SECURITY People with a high need for security are likely to resist change because it
threatens their feeling of safety. When General Dynamics announces personnel cutbacks or
Ford introduces new robotic equipment, many employees at these firms may fear that their
jobs are in jeopardy.

ECONOMIC FACTORS Another source of individual resistance is concern that changes will
lower one's income. Changes in job tasks or established work routines also can arouse
economic fears if people are concerned that they won't be able to perform the new tasks or
routines to their previous standards, especially when pay is closely tied to productivity.

FEAR OF THE UNKNOWN Changes substitute ambiguity and uncertainty for the known. If,
for example, the introduction of word processors means that departmental secretaries will
have to learn to operate these new pieces of equipment, some of the secretaries may fear that
they will be unable to do so. They may, therefore, develop a negative attitude toward working
with word processors or behave dysfunction ally if required to use them.

SELECTIVE INFORMATION PROCESSING Individuals shape their world through their

perceptions. Once they have created this world, it resists change. So individuals are guilty of
selectively processing information in order to keep their perceptions intact. They hear what
they want to hear. They ignore information that challenges the world that they've created. To
return to the secretaries who are faced with the introduction of word processors, they may
ignore the arguments that their bosses make in explaining why the new equipment has been
purchased or the potential benefits that the change will provide them.

Organizational Resistance

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Organizations, by their very nature, are conservative. They actively resist change. You don't
have to look far to see evidence of this phenomenon. Government agencies want to continue
doing what they have been doing for years, whether the need for their service changes or
remains the same. Organized religions are deeply entrenched in their history. Attempts to
change church doctrine require great persistence and patience. Educational institutions, which
exist to open minds and challenge established doctrine, are themselves extremely resistant to
change. The majority of business firms, too, appear highly resistant to change.

Six major sources of organizational resistance have been identified.

STRUCTURAL INERTIA Organizations have built-in mechanisms to produce stability. For

example, the selection process systematically selects certain people in and certain people out.
Training and other socialization techniques reinforce specific role requirements and skills.
Formalization provides job descriptions, rules, and procedures for employees to follow. The
people who are hired into an organization are chosen for fit; they are then shaped and directed
to behave in certain ways. When an organization is confronted with change, this structural
inertia acts as a counterbalance to sustain stability.

LIMITED FOCUS OF CHANGE Organizations are made up of a number of interdependent

subsystems. You can't change one without affecting the others. For example, if management
changes the technological processes without simultaneously modifying the organization's
structure to match, the change in technology is not likely to be accepted. So limited changes
in sub systems tend to get nullified by the larger system.

GROUP INERTIA Even if individuals want to change their behaviour, group norms may act
as a constraint. An individual union member, for instance, may be willing to accept changes
in his job suggested by management. But if union norms dictate resisting any unilateral
change made by management, he's likely to resist.

THREAT TO EXPERTISE Changes in organizational patterns may threaten the expertise of

specialized groups. The introduction of decentralized personal computers, which allow
managers to gain access to information direct¬ly from a company's mainframe, is an example
of a change that was strongly resisted by many information systems departments in the early
1980s. Why? Because decentralized end-user computing was a threat to the specialized skills
held by those in the centralized information systems departments.

THREAT TO ESTABLISHED POWER RELATIONSHIPS Any redistribution of decision-

making authority can threaten long-established power relationships within the organization.
The introduction of participative decision making or self-managed work teams is the kind of
change that is often seen as threatening by supervisors and middle managers.

THREAT TO ESTABLISHED RESOURCE ALLOCATIONS Those groups in the

organization that control sizable resources often see change as a threat. They tend to be
content with the way things are. Will the change, for instance, mean a reduction in their
budgets or a cut in their staff size? Those that most benefit from the current allocation of
resources often feel threatened by changes that may affect future allocations.

Change management - the systems and tools for managing change

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The purpose of defining these change management areas is to ensure that there is a common
understanding among readers. Tools or components of change management include:

 Change management process

 Readiness assessments
 Communication and communication planning
 Coaching and manager training for change management
 Training and employee training development
 Sponsor activities and sponsor roadmaps
 Resistance management
 Data collection, feedback analysis and corrective action
 Celebrating and recognizing success

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. Based on Prosci's research of the most effective and commonly applied change,
most change management processes contain the following three phases:

Phase 1 - Preparing for change (Preparation, assessment and strategy development)

Phase 2 - Managing change (Detailed planning and change management implementation)

Phase 3 - Reinforcing change (Data gathering, corrective action and recognition) .

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Figure 1 - Change Management Process

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It is important to note what change management is and what change management is not, as
defined by the majority of research participants.

Change management is not a stand-alone process for designing a business solution.

Change management is the processes, tools and techniques for managing the people-side of
change.

Change management is not a process improvement method.

Change management is a method for reducing and managing resistance to change when
implementing process, technology or organizational change.

Change management is not a stand-alone technique for improving organizational

performance.

Change management is a necessary component for any organizational performance

improvement process to succeed, including programs like: Six Sigma, Business Process
Reengineering, Total Quality Management, Organizational Development, Restructuring and
continuous process improvement.

Change management is about managing change to realize business results.

Organizational development is a systematic, integrated and planned approach to improving
the effectiveness. Organizational development can be defined as top managements supported
long-term effort to improve an organization’s problem-solving and renewal process, through
an effective and collaborative diagnosis and management of organization culture. In other
words, organizational development is a change effort that is planned, focused on an entire
organization or a large subsystem, aimed at enhancing organizational effectiveness, and
based on planned interventions made with the help of a change agent or third party who is
well versed in behavioral sciences.

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Objectives of Organizational Development:

As objectives of organizational development are framed keeping in view specific situations,
they vary from one situation to another. In other words, these programs are tailored to meet
the requirements of a particular situation. But broadly speaking, all organizational
development programs try to achieve the following objectives:

 Making individuals in the organization aware of the vision of the organization.

Organizational development helps in making employees align with the vision of the
organization.
 Encouraging employees to solve problems instead of avoiding them.
 Strengthening inter-personnel trust, cooperation, and communication for the
successful achievement of organizational goals.
 Encourage every individual to participate in the process of planning, thus making
them feel responsible for the implementation of the plan.
 Creating a work atmosphere in which employees are encouraged to work and
participate enthusiastically.
 Replacing formal lines of authority with personal knowledge and skill.
 Creating an environment of trust so that employees willingly accept change.

According to organizational development thinking, organization development provides

managers with a vehicle for introducing change systematically by applying a broad selection
of management techniques. This, in turn, leads to greater personal, group, and organizational
effectiveness.

Organizational Development Process:

The organizational development process consists of three major steps: diagnosis, intervention
and evaluation. These steps are similar with the planned change process, since organizational
development is actually a specialized type of change effort. An organizational development
process is most likely to be initiated when top management believes that there are
deficiencies in the way the overall organization is functioning.

Diagnosis: The first step involves diagnosis of the present situation. Change agents collect
the required information through interviews, questionnaires, internal documents, records, and
reports. Usually, a diagnostic strategy is developed using two or more methods of data
collection after their respective strengths and weaknesses have been considered.

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Intervention: After the situation is diagnosed, organizational development interventions or

change strategies can be designed and implemented with the help of a change agent. Some of
the organizational development intervention techniques are:

 Process consultation: This is concerned with interpersonal relations and functioning

of work groups. The organizational development change agent observes the group and
gives feedback regarding dysfunctions in areas of decision making, handling conflicts,
and communication patterns.
 Team building: This technique is used to help work groups become effective in
performing their tasks. The organizational development consultant helps in assessing
group tasks, member roles, and strategies for accomplishing work tasks.
 Third-party intervention: Here, organizational development consultants help the
parties concerned to resolve their differences through techniques like problem solving
and conciliation.
 Survey Feedback: In survey feedback, data gathered through survey questionnaires
and personal interviews are analyzed, tabulated into understandable form and shared
with those who first supplied the information. Survey feedback lets people know
where they stand in relation to others on important organizational issues thus helping
them resolve conflicts in a constructive manner. Effective feedback should be
relevant, understandable, descriptive, verifiable, and inspiring.
 Techno structural activities: This technique is used to improve work technology and
organization structure. It is intended to help employees evaluate themselves and to
make appropriate changes in task design, work methods, and organization structure.
 Skill development: This technique is used to help employees identify their
shortcomings and overcome their deficiencies. It is used to improve performance in
areas such as delegation, problem solving conflict resolution, and leading.

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Bibliography
http://www.robabdul.com/individual-and-organisational-barriers-to-change-management-
resistance.asp

www.cmcrossroads.com/.../12793-business-level-change-management

http://www.buzzle.com/articles/organizational-development.html

http://en.wikipedia.org/wiki/Organization_development

http://www.toolpack.com/tools.html

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