Chapter 2

Change Management

A. Planned Change
Planned change or developmental change is undertaken to improve the current way of
operating. It is a calculated change, initiated to achieve a certain desirable output/performance
and to make the organization more responsive to internal and external demands.
o Enhancing employees’ communication skills
o technical expertise
o building teams
o restructuring the organization
o introducing new technologies
o introducing new products and services
o challenging the incentive system
o improving employee welfare measures and the like fall into this category.
This type of change, where the future state is being consciously chosen, is not as threatening.
However, it does require a system/subsystem level (techno-social) support to survive.

B. What is Change
Change is a constant, a thread woven into the fabric of our personal and professional lives.
Change occurs within our world and beyond — in national and international events, in the
physical environment, in the way organizations are structured and conduct their business, in
political and socioeconomic problems and solutions, and in societal norms and values.

C. What is Change Management

Change management is a systematic approach to dealing with the transition or transformation
of an organization’s goals, processes or technologies.

D. Theory of Planned Change

 Lewin’s Change Model

One of the earliest models of planned change was provided by Kurt Lewin. Lewin’s
model provides a general framework for understanding organizational change.
Kurt Lewin suggests that efforts to bring about planned change in an organisation should
approach change as a multistage process. This model of planned change is made up of three
steps:
o Unfreezing
o Change/Moving
o Refreezing

 Unfreezing
 This step usually involves reducing those forces maintaining the organization’s behaviour at its
present level. Unfreezing is sometimes accomplished through the process of “psychological
disconfirmation”
By introducing information that shows discrepancies between behaviors desired by organization
members and those behaviours currently exhibited, members can be motivated to engage in
change activities.

 Moving
This step shifts the behaviour of the organization, department, or individual to a new level. It
involves intervening in the system to develop new behaviors, values, and attitudes through
changes in organizational structures and processes.

 Refreezing
This step stabilizes the organization at a new state of equilibrium. It is frequently accomplished
through the use of supporting mechanisms that reinforce the new organizational state, such as
organizational culture, rewards, and structures.

2. Action Research Model

Action research model is traditionally aimed both at helping specific organizations implement
planned change and at developing more general knowledge that can be applied to other
settings.
It places heavy emphasis on data gathering and diagnosis prior to action planning and
implementation, as well as careful evaluation of results after the action, is taken.
The Action Research Model involves eight steps for planned change management.

 Problem Identification
This stage usually begins when an executive, senses that the organization has one or more
problems that might be solved with the help of an OD practitioner.
 Consultation with a Behavioral Science Expert
During the initial contact, the OD practitioner and the client carefully assess each other.
 Data Gathering and Preliminary Diagnosis
This step is usually completed by the OD practitioner, often in conjunction with organization
members. It involves gathering appropriate information and analyzing it to determine the
underlying causes of organizational problems.
 Feedback to a Key Client or Group
Because action research is a collaborative activity, the diagnostic data are fed back to the
client, usually in a group or work team meeting.
The feedback step, in which members are given the information gathered by the OD
practitioner, helps them determine the strengths and weaknesses of the organization or unit
under study.
 Joint Diagnosis of the Problem
At this point, members discuss the feedback and explore with the OD practitioner whether
they want to work on identified problems.
 A close interrelationship exists among data gathering, feedback, and diagnosis because the
consultant summarizes the basic data from the client members and presents the data to
them for validation and further diagnosis.

 Joint Action Planning

Next, the OD practitioner and the client members jointly agree on further actions to be
taken. At this stage, the specific action to be taken depends on the culture, technology, and
environment of the organization; the diagnosis of the problem; and the time and expense of
the intervention.
 Action
This stage involves the actual change from one organizational state to another. It may
include installing new methods and procedures, reorganizing structures and work designs,
and reinforcing new behaviours.
Such actions typically cannot be implemented immediately but require a transition period as
the organization moves from the present to a desired future state.
 Data Gathering After Action
Because action research is a cyclical process, data must also be gathered after the action has
been taken to measure and determine the effects of the action and to feed the results back
to the organization. This, in turn, may lead to re-diagnosis and new action.

3. Positive Model
The positive model focuses on what the organization is doing right. It helps members
understand their organization when it is working at its best and builds off those capabilities to
achieve even better results.
The positive model focuses on what the organization is doing right. It helps members
understand their organization when it is working at its best and builds off those capabilities to
achieve even better results.

5 Stages of Positive Model are:

 Initiate the Inquiry
This first phase determines the subject of change. It emphasizes member involvement to
identify the organizational issue they have the most energy to address.
For example, members can choose to look for successful male-female collaboration (as opposed
to sexual discrimination), instances of customer satisfaction (as opposed to customer
dissatisfaction)

 Inquire into Best Practices

This phase involves gathering information about the “best of what is” in the organization.
For example, If the topic is organizational innovation, then members help to develop an
interview protocol that collects stories of new ideas that were developed and implemented in
the organization.

 Discover the Themes

 In this third phase, members examine the stories, both large and small, to identify a set of
themes representing the common dimensions of people’s experiences.
For example, the stories of innovation may contain themes about how managers gave people
the freedom to explore a new idea, the support organization members received from their
coworkers, or how the exposure to customers sparked creative thinking.

 Envision a Preferred Future

Members then examine the identified themes, challenge the status quo, and describe a
compelling future.
Based on the organization’s successful past, members collectively visualize the organization’s
future and develop “possibility propositions”—statements that bridge the organization’s current
best practices with ideal possibilities for future organizing.

 Design and Deliver Ways to Create the Future

The final phase involves the design and delivery of ways to create the future. It describes the
activities and creates the plans necessary to bring about the vision. It proceeds to action and
assessment phases similar to those of action research described previously.

E. Steps in planned change

1. Identification of the need

The need for recognition happens at a higher level of the organization, which involves senior
management. They are the ones who recognize that there is a need to change.
The change may be necessitated due to external or internal forces, and the senior management
determines it.
2. Develop goals of change
Goals that change are necessary to be defined before the starting of the planned change.
Evaluation of both threats as well as opportunities should be done, and the required changes in
specific terms should be determined like the changes required for the product, culture, etc.
Specific goals should be designed for them.
3. Change agent
The change agent, as the name suggests, is the one who drives change in the organization. He
may be internal or external. The change agent should realize the things which need a change, be
it a product, culture, or other things in the organization.
He is expected to be open to suggestions and ideas and also should support the execution of the
suggestions into daily practice.
4. Analysis of the current situation
In this step, an analysis of the existing situation is performed. The change agent, which is
selected, gathers data about the organization’s current situation. This data gathering has only
one intention, which is to help the existing employees prepare.
To push the employees to adopt the change, the negative feedback of the existing situation
must be imparted on them. This will motivate them to shun the existing situation and go to
adopt the new change, which is planned.
5. Select the implementation method
Now that the current method is analyzed and evaluated, different possible methods of
implementation would be presented. Once all the queries are solved, the chosen plan is
selected for the implementation.
Managers ensure that they are self-motivated towards the change. They visit organizations that
have implemented new ideas, talk to people who have different views and ideas, and do
everything needed to stay motivated for the change since they are the ones who will drive the
change in their respective teams.
6. Developing a plan
As the name suggests, in this step, planning takes place. Specifics of the plan such as what,
where, and how is determined in this step, and the plan is expected to act like a GPS map
providing direction for the organization.
If there are any events or activities which would drive the change, then such events should be
timed to integrate the change process. Department-wise or person-wise responsibility is
delegated to accomplish their respective objectives.
7. Implementation of the selected plan
There could be multiple plans in the process, some of which may be rejected and is one of which
will be selected. After all the queries are answered, the plan is put into effect. Everyday
problems faced by employees during the implementation of change can dilute the excitement of
the change.
It is the responsibility of the managers to maintain the excitement for the change by providing
the required resources to their employees.
They can also ask employees to develop new skills, and reiterate the change by having a strong
support system for those employees who drive the change in their teams or themselves.
8. Follow-up and evaluation
The goals which were defined before the initiation of the change process are compared to the
results which are obtained and changes if any, are done in the implementation process to obtain
the desired results.
If necessary, a follow up should be done to determine the completion since a positive result is
expected by implementing the planned change.

F. Resistance to Change
a. Organizational Resistance
Organizational inertia is the tendency for an organization as a whole to resist change and want
to maintain the status quo. Companies that suffer from inertia become inflexible and can’t adapt
to environmental or internal demands for change. Some of the signs that organizational inertia
is in play are through internal power struggles, poor decision-making processes and bureaucratic
organizational structures.

Organizational cultures and reward systems can foster resistance or acceptance of change. A
culture that promotes high levels of trust and cooperation lays the foundation for employees
and their acceptance and instigation of change. If employees are punished for honest mistakes,
if new ideas aren’t rewarded, and managers aren’t prepared for daily issues with proper
training, then that organization is ripe for change resistance.
 Timing of change can also play a role in organizational inertia. If the organization is still
recovering from a large-scale change in organizational structure, that would not be the time to
introduce a new information management system. Employees will be likely to resist the change
and turmoil that goes along with a second change. Thinking about the order and timing of a
planned change can help managers avoid employee resistance.

b. Group Resistance
We talked about groups in an earlier module, and we learned that when groups start to work
well together, it’s because they’ve established norms and cohesion. Central norms in a group
can be difficult to change, because they involve the group’s identity. Any change to them is likely
to be resisted, as group members will work to protect each other and preserve the group. If a
group is used to practicing centralized decision making and suddenly they’ve been told to use a
decentralized style of decision making, they’re likely to resist, because it goes against their
norm.

Group cohesion can affect the acceptance of change. If a cohesive group has been disbanded in
favor of a different kind of team structure, the group’s desire to stick together may make them
resistant to change. But just as group cohesion can work against change, it can also work for
change. A cohesive group looking to implement change can typically overcome any one
individual member’s resistance to it.

c. Individual Resistance
People resist change because they fear the consequences. Change means learning new habits
and facing new situations. Learning new skills comes with the uncertainty of being able to
master those skills. It’s easy to see why change can seem threatening. Furthermore, if
individuals sense that there will be economic insecurity or risk regarding the change, or if they
don’t trust management, this could further add to the resistance.
Sometimes, individual traits can make one change resistant. Culture, personality and prior
experiences can contribute to one’s level of acceptance where change is concerned.

G. How to overcome resistance to Change

a. Education and communication. If there is fear of the unknown, organizations shouldn’t
compound that with a lack of information. Face-to-face meetings, newsletters, and updates can
often help reduce those fears. A disadvantage of this, though, is the ability to communicate to
manage change effectively to large numbers of people.
b. Participation and involvement. People who participate in change are less likely to resist it.
Managers can involve employees in the change process, creating an ownership around it that
minimizes resistance. The disadvantage of this approach is that it’s somewhat time consuming
and managers do have to relinquish some control over change implementation.
c. Facilitation and support. Facilitation and support requires active listening and counseling. These
methods can be highly effective when dealing with individual resistance, but are time consuming
and run a high risk of failure.
d. Negotiation and agreement. This approach recognizes the role and power of others in the
success of the change effort. Trade-offs and incentives are offered in exchange for acceptance.
This is a relatively easy way to deal with resistance but can be expensive and lead to more
negotiation.
e. Manipulation and cooperation. Changing employees focus and attention to other issues can be
a quick and easy way to minimize resistance to change, but it can lead to mistrust and
resentment on behalf of those manipulated.
f. Explicit and implicit coercion. If there’s no time and no choice, managers can rely on force to
push past change. This method is quick and effective, but it doesn’t build commitment.

H. Steps for Effective Change Process

STEP 1: MOTIVATING CHANGE
Organizational change involves moving from the known to the unknown. Because the
future is uncertain and may adversely affect people's competencies, worth, and coping
abilities, organization members generally do not support change unless compelling
reasons convince them to do so. This requires attention to two related tasks: creating
readiness for change and overcoming resistance to change.

Creating Readiness for Change

One of the more fundamental axioms of OD is that people's readiness for change
depends on creating a felt need for change. This involves making people so dissatisfied
with the status quo that they are motivated to try new work processes, technologies, or
ways of behaving. The following three methods can help generate sufficient
dissatisfaction to produce change:
1. Sensitize organizations to pressures for change.
2. Reveal discrepancies between current and desired states.
3. Convey credible positive expectations for the change.

STEP 2: CREATING A VISION

The second activity in leading and managing change involves creating a vision of what
members want the organization to look like or become. Generally, a vision describes the
core values and purpose that guide the organization as well as an envisioned future
toward which change is directed. It provides a valued direction for designing,
implementing, and assessing organizational changes. The vision also can energize
commitment to change by providing members with a common goal and a compelling
rationale for why change is necessary and worth the effort.

Step 3: DEVELOPING POLITICAL SUPPORT

Managing the political dynamics of change includes the following activities:
 Assessing Change Agent Power
  Identifying Key Stakeholders
 Influencing Stakeholders

Step 4 : MANAGING THE TRANSITION

Implementing organizational change involves moving from the existing organization
state to the desired future state. There are three major activities and structure to
facilitate organizational transition: activity planning, commitment planning, and change-
management structures.

Step 5 : SUSTAINING MOMENTUM

The following five activities can help to sustain momentum for carrying change through
to completion: providing resources for change, building a support system for change
agents, developing new competencies and skills, reinforcing new behaviors, and staying
the course

I. Change Strategies
According to the classic model developed by Bennis, Benne, and Chinn (1960), three strategies
can be used to facilitate change. The characteristics of the change agent and the amount of
resistance encountered will determine which of the following strategies should be used.
 Power-coercive strategies are based on the application of power through legitimate authority
(Sullivan, 2012). Little effort is used by the nurse leader to enforce change, and staff has no
ability to alter the course of the change process. Power-coercive strategies can be used when
change is critical, time is limited, there are high levels of resistance, and there may be little or no
chance of reaching organizational consensus (Sullivan, 2012).
 Empirical-rational strategies assume that providing knowledge is the most powerful
requirement for change (Sullivan, 2012). This strategy assumes that people are rational and will
act in their own self-interest when they understand that change will benefit them. It can work
well if the change is perceived as reasonable or beneficial for individuals.
 Normative-reeducative strategies assume that individuals act in accordance with social norms
and values that influence their acceptance of change (Sullivan, 2012). The nurse leader focuses
on individual’s behavioural motivators such as roles, attitudes, feelings, and their interpersonal
relationships as an effective way to implement change in the health care environment.