Process Perspective

Refers the state of alignment between the internal components of this system. For instance, the alignment
between the manufacturing technology of organization and the available skill set of the workforce.

For example the alignment between the organization’s strategy and the opportunities and threats
presented by the external environment.

Change models
Teleological theory:- based on the organizations are adoptive during their cycle life, they consider the
change as un folding cycle of goal formulation, implementation, evaluation and learning, this theory
depend on the rationality of both organizations and managers. Thus, the teleological theory considers the
organization can learn and are adoptive.

Dialectical Theory: Focus on conflicting goals between the different groups and state the change in terms
of confrontation and balance power between the opposite groups. This theory consider change as
political.

Cycle life theory: - refers that the change among the organizations are generated based on the necessary
and deterministic change.

Based on the above theories the organizations process change is involving a set of events, decisions and
actions that are connected in sequence.

The ordering of stages

The cycle life theory is prescriptive the order of stages rather than Teleological theory, it is describe the
order of stage is go through seven stages of organizations maturity, starting from new venture till declining
and return back with new life, each stages have a set of criteria based on the effectiveness of the
organization to change.

Reactive Sequences

Refers to the change as a generated event from a conflict between a different groups with differ goals,
this change will attempting to create a vision which may avoid the conflict by creating a new path way as
alternative path.

Self- reinforcing sequence

Occurs when the change generates a positive feedback that reinforce the change at the early stages to be
in the same direction. The self-reinforcing sequence driven by the following: increase return, psychological
commitment, cognitive biases and Path dependence.

- Cognitive biases: - refers to the change managers have their own implicit model about how the
events goes, this model push the managers to develop decisions and persist with goals that may
unfit purpose.

The cognitive biases may generates foolish decisions based on the motives, that lead the change managers
to tend to believe to his implicit model, in addition to the depending of the groupthink without give the
free space of disagree advocate, any limitation for this free space may lead the participants avoid the
engagement (devil advocate) through those critical events.

Path dependence: - shows the change as a result of critical events that triggers the self-reinforcing
practices.

Chapter 2

Lewins Theory: - the change process has three consequently phases starting from Unfreeze which
disturbed the equilibrium phase between the driving force and restraining force, to create a recognize
need of change, Secondly the Change phase; it happening according to the new vision centered on the
unfreeze phase so it moves to the new goals, finally; the Freeze phase which means sustain the new
situation through resume the equilibrium forces.

Key Steps in change process

- Recognizing the need for change by scanning the Recognition and

external and internal events. starting the
The managers fails to recognize the need of process
change usually, because they pay insufficient

Leading and managing the people issues

attention to what is happening in the wider
environments that is called The Boiled frog
syndrome.
Diagnosis
- Diagnosing what needs to be change go through
two stages, Evaluate the current situation of the Learning
organization (what are wrongs), in addition to
where the organization might be in the future. Planning

Implementation
and reviewing
progress

Sustaining the
Chapter 4

Failure of recognize the need of change leads to the following Failures:-

- Scanning the internal and external events that has a sever consequence to the
organization for instance the Boiled frog syndrome.
- Promotes the reactive approach to change.
- Planning and involving the others in the change process.

Those failures are due to the following reasons: -

- Lack of diversity and experience of the top team

- The trap of success
- Strong commitment to their ideology that marginalized the dissenting views.

How to build trust toward change?

The management encounter many challenge during the change journey. One of the main challenge is
the cynicism toward change which has a sever consequent in the organization, for instance, lack of
trust from employees. The challenge to build employee trust starting from Transparent commitment
this will give the employee the lead to know the reasons for the change, it’s impact and goals it’s seek
to achieve. Secondly, Short-term goals will enhance the employee morale, by celebrating to achieve
the short goals this will encourage the employees to believe in the change. Furthermore, leading by
example by model a positive attitude toward the change yourself. Leader who show commitment to
new direction inspire confidence in others.

How to change employee with personality external locus of control toward believe of change
To help employees with an external locus of control embrace change, leaders should offer consistent
support. By linking specific tasks to the success of the change and setting clear, achievable goals,
employees can see how their actions directly contribute to positive outcomes. Empowering them to
make decisions and solve problems within their roles fosters a sense of control and confidence. While
training focused on resilience and adaptability supports a growth mindset. Together, these strategies
encourage a gradual shift toward a more internally driven belief in the power of their actions to shape
successful change.

The Burke-Litwin causal model of organizational performance and change is framework that
illustrates how different factors drive organizational change, with a focus on both transformational
and transactional elements. Transformational elements in this model include larger, strategic factors
that significantly impact the entire organization, such as organizational mission and strategy,
leadership, and organizational culture. Transactional elements, on the other hand, involve day-to-day
operations and structures that support routine functioning, like management practices. While
transformational changes are more fundamental and long-term, transactional elements are often
easier to modify and address immediate, operational aspects of performance. The model emphasizes
that changes in transformational elements lead to shifts in transactional elements, creating a causal
chain that affects individual and organizational performance.

How could organizations select the proper diagnostic model from the following (implicit,
holistic (Mckinsey 7S & Burke-Litwin model) and component models during the
organizational change?
When selecting a diagnostic model during organizational change, organizations should consider the
depth and type of change they aim to achieve. For subtle or culturally influenced shifts, an implicit
model can help capture unspoken dynamics. If the goal is a comprehensive transformation that aligns
structure, culture, and strategy, holistic models like the McKinsey 7S or Burke-Litwin model are ideal,
as they examine interconnected factors across the organization. For more targeted adjustments in
specific areas, component models focusing on particular elements can efficiently address localized
issues without requiring a full-scale change. The choice depends on the change's scope, complexity,
and whether broad or focused insights are needed.

Why there are different outcomes when organization apply the Holistic models at Egypt?
While the Burke-Litwin model is a complex model that illustrates the causal relationship between the
different elements like transformational and transactional elements, this model will face obstacles.

The Egyptian organizations will face obstacles in using this model during the diagnostic model of the
organizational change. This model does not contain a crucial element that organizations face in the
Egyptian market, like the level of connection which can influence the organization’s performance. If
an organization has a high level of connections, this will affect the competitive playground (unfair
competition), and vice versa.

In addition to the lack of governmental transparency and data, for instance, the inflation rate, growth
rate—these elements will change the organization’s performance.

The above elements are not included in the diagnostic model like the Burke-Litwin model.

So that, the diagnostic model will not work properly to address its goal.

What are motives leads management to change nowadays?

In today’s business dynamic leads the companies to move forwards and sustain quick response. There
are different motives for instance, the technological advancement such as the digital transformation,
which pushes the organization to be move forwards to stay competitive, in addition to, the market
pressures for example increased globalization compel the companies to stay agile to compete at the
global market, furthermore, the social and environment expectations forced the organization to
sustainable and quick social response. These motives drives the change through the entire
organization.
The Path-Goal Theory is a leadership framework that posits that a leader’s effectiveness is
influenced by their ability to adapt behaviors to fit their team’s needs and the organizational
environment. According to this theory, leaders can employ various behaviors depending on what
best motivates their team. Environmental factors and employee characteristics play a
significant role in determining which leadership style will be most effective. Leaders who align
their approach to fit both the situational context and the individual needs of their employees can
ultimately boosting leadership effectiveness and team performance.

Chapter 10: Power, Politics, and Stakeholder Management

Politics in Organizations (political arenas)

Organizations are not harmonious entities; they are arenas where individuals and groups seeking
personal objectives. Political behavior often increases during change because stakeholders may
either defend the status quo or seek to exploit new opportunities. Leaders must acknowledge and
address these political dynamics to manage resistance effectively.

Understanding Power and Influence

Power is the ability to influence others, not limited to those in formal positions of authority. It
often comes from relying on others or having others rely on you. —resources, expertise, or
relationships that one party controls and another values. Leaders can increase their influence by:
Acquiring and Exercising Power and Influence
1. Building a Strong Reputation
 A leader's reputation for delivering successful change is critical.
 Stakeholders are more likely to trust and follow leaders they perceive as competent and
reliable.
 To build this reputation, leaders should:
o Develop the skills necessary for effective change management.
o Consistently communicate their successes and value to stakeholders.

2. Increasing Others’ Dependence on the Leader

 By making others aware of their dependence on them for critical resources such as:
o Information, contacts, or decision-making authority.
 Steps to increase dependence include:
o Identifying what stakeholders value most and ensuring these needs are met through
the leader.
o Creating a perception that the leader is essential for achieving desired outcomes.
 This should be done in a cooperative way to prevent pushing stakeholders away or making
them look for other options.

How can leaders ethically increase stakeholders' dependence on them while fostering trust and
collaboration within an organization?
Increasing others’ dependence on a leader can be ethical when it is driven by genuine intentions
to support stakeholders and achieve shared organizational goals. When leaders provide critical
resources they demonstrate responsibility and trust. The ethical approach ensures that
stakeholder’s feel valued and included in the process, emphasizing collaboration rather than
control. Transparency plays a key role here, as it builds credibility and reinforces the leader’s role
as a reliable partner rather than a designing authority figure.
However, the line between ethical and unethical behavior lies in the leader’s intent and execution.
If the leader intentionally withholds resources or creates a false sense of responsibilities to
maintain control, this approach becomes exploitative and undermines trust.
When implemented with honesty and respect, this strategy will strengthens the leader-stakeholder
relationship
3. Minimizing the Leader’s Dependence on Others
 To reduce vulnerability, leaders must understand and manage their dependencies.
 This involves:
o Identifying critical resources needed from others.
o Finding alternative sources for these resources to reduce reliance on any single
individual or group.

4. Building Collaborative Relationships

 Collaboration fosters trust and goodwill, making it easier to influence others.
 Leaders can achieve this by:
o Identifying mutual goals with stakeholders.
o Offering support to stakeholders in exchange for their cooperation.

5. Negotiating Advantageous Agreements

 Effective negotiation is based on mutual benefits and interdependence.
 Leaders should:
o Clearly understand what they can offer stakeholders and what they need in return.
o Aim for win-win solutions that align the goals of all parties involved.
o Avoid framing negotiations as zero-sum games (where one party’s gain is another’s
loss), as this can create unnecessary conflict.

Avoiding Heavy-Handed Tactics

 While leveraging power, leaders must avoid coercive or manipulative behaviors, such as:
o Withholding resources as a threat.
o Bluffing or deceiving stakeholders about their dependency.
 Such tactics may work temporarily but can damage trust and cooperation in the long run.

By mastering these strategies, leaders can effectively navigate the political complexities of
organizational change, influence key stakeholders, and secure the resources and support needed
for successful implementation. Let me know if you need additional details or examples!

Stakeholder Management
Stakeholders are individuals or groups affected by or capable of influencing change. Leaders must:

1. Identify stakeholders and assess their power and attitudes (e.g., using stakeholder grids).
2. Understand stakeholder motivations—normative (ethical) versus instrumental (pragmatic).
3. Use frameworks like resource dependence theory, prospect theory, and organizational life
cycle models to guide decisions.
Key Stakeholder Strategies
 Convert blockers (opposers with power) into sponsors through information, inclusion, or
negotiation.
 Empower supportive stakeholders by involving them in decision-making.
 Minimize the influence of blockers by challenging their arguments or sidelining them in
the process.
 Build coalitions of support to create a critical mass for change.
 Address evolving stakeholder dynamics as circumstances shift during the change process.

Ethical Considerations

Ethics-based stakeholder theories emphasize considering all stakeholders' intrinsic values, even if
it doesn't directly serve organizational interests. Alternatively, instrumental theories focus on
stakeholders who affect organizational goals, particularly financial performance.

Case Applications

Examples include hospital mergers and organizational restructuring. These cases highlight the
importance of understanding stakeholder concerns and balancing immediate and long-term
priorities.

Final Insights

Effective change management requires a nuanced understanding of power, politics, and

stakeholder dynamics. Leaders should anticipate shifts in stakeholder priorities and relationships,
adjusting their strategies to maintain support and minimize resistance.

Question:

How can leaders in Egyptian companies use strategies for acquiring and exercising power and
influence to implement organizational changes, such as transitioning to digital operations or
restructuring teams?

Answer:

In Egyptian companies, where organizational change often involves navigating hierarchical

structures and addressing resistance, leaders can effectively acquire and exercise power and
influence by leveraging the following strategies:

1. Build a Reputation for Competence

 Context in Egypt: In traditional workplaces, trust in a leader’s ability often determines
acceptance of change. Leaders should consistently demonstrate their competence by
delivering small, visible wins during the change process.
 Example: A manager implementing a digital transformation in a manufacturing company
can showcase early successes, such as improving one department’s efficiency with a new
system, to build credibility with stakeholders.
2. Increase Stakeholders’ Dependence
 Context in Egypt: Many employees and departments rely on centralized decision-making.
Leaders can position themselves as critical enablers by controlling access to key resources
like technology, training, or connections with influential external partners.
 Example: During a team restructuring, a leader might offer specialized training to
employees, ensuring they rely on the leader’s support to adapt and thrive in their new roles.

3. Minimize Personal Dependency

 Context in Egypt: Leaders may face challenges from influential figures or groups, such
as unions or senior managers, who hold power in traditional hierarchies.
 Approach: To mitigate this, leaders can identify alternative resources or allies within the
company, reducing over-reliance on any one group.
 Example: A leader in a logistics firm may seek new partnerships with suppliers to reduce
dependency on an internal team that resists changes in procurement practices.

4. Build Collaborative Relationships

 Context in Egypt: Trust and collaboration are highly valued, especially in culturally tight-
knit organizations. Leaders can foster goodwill by engaging stakeholders in open dialogue
and co-developing solutions.
 Example: A CEO introducing hybrid work models might hold town hall meetings with
employees to address concerns and collaboratively design a flexible schedule, gaining their
trust and support.

5. Negotiate Win-Win Agreements

 Context in Egypt: Employees often prefer tangible benefits tied to change initiatives.
Leaders should frame negotiations as mutually beneficial, aligning organizational goals
with individual or group incentives.
 Example: A manager transitioning a sales team to a new CRM system might negotiate
higher commissions or better performance-based bonuses for employees who adopt the
system.

Shaping Implementation Strategies

Organizational change requires a well-thought-out strategy. Many leaders assume that past
successful strategies will work again, but this isn’t always the case. This chapter emphasizes
understanding different approaches to change, assessing the situation, and using a tailored strategy
for implementation.

Change Strategies

There are three primary strategies for implementing change:

1. Push vs. Pull:

o Push Strategies: Relies on external motivation, such as authority or formal rules,
to enforce change.
 o Pull Strategies: Focuses on internal motivation by inspiring people to voluntarily
commit to the change.
2. Revolutionary vs. Evolutionary:
o Revolutionary Change: Involves dramatic, transformational shifts that break
existing frameworks (e.g., mergers or major restructurings).
o Evolutionary Change: Involves gradual, incremental adjustments to improve
processes over time.
3. Emergent vs. Blueprint:
o Emergent Strategies: Changes evolve naturally in response to circumstances, with
less initial planning.
o Blueprint Strategies: Changes are planned and executed in a structured way, with
clear goals and timelines.

Economic/Technical vs. Organizational Development (OD) Strategies

1. Economic/Technical Strategies:
o Focus on profitability and efficiency.
o Involve top-down directives to improve processes, technology, or structures.
o Examples include restructuring, upgrading IT systems, and improving product
lines.
o Strength: Delivers quick financial results.
o Weakness: Can harm morale if employee needs are neglected.
2. Organizational Development (OD) Strategies:
o Focus on human factors like trust, leadership, and communication.
o Uses participative methods to involve employees in decision-making.
o Strength: Builds long-term commitment and teamwork.
o Weakness: Requires time and may not be suitable for urgent situations.
3. Balanced Strategies:
o Combines both economic and OD perspectives.
o Aims for quick results while fostering long-term organizational capabilities.

Contingency Perspective in Choosing Strategies

The best strategy depends on the situation. Key factors include:
1. Environmental Stability:
o In stable environments, evolutionary change may work.
o In unstable environments, revolutionary or transformational strategies might be
necessary.
2. Urgency of Change:
o Urgent changes may require directive strategies.
o When time allows, collaborative approaches can be more effective.
3. Support for Change:
o High support allows for participative approaches.
o Resistance may require a more directive strategy.
4. Clarity of Desired Future State:
o Clear goals favor directive strategies.
o Uncertainty may require collaborative and emergent approaches.
Egyptian Context Question and Answer

Question:

How can Egyptian organizations, particularly public institutions, effectively implement change
strategies to address challenges like digital transformation or restructuring?

Answer:

In the Egyptian context, where many organizations operate within hierarchical structures and
resource constraints, a combined approach may be most effective:

1. Assess the Situation:

o Identify environmental stability (e.g., technological readiness or market
conditions).
o Determine urgency and stakeholder support.
2. Apply a Balanced Strategy:
o Use Economic Strategies to address immediate needs, such as upgrading
infrastructure or restructuring inefficient departments.
o Integrate OD Strategies to build trust, improve leadership, and foster
communication, ensuring long-term commitment.
3. Tailor the Approach:
o For urgent changes like implementing new IT systems in government offices, a
directive push strategy can drive compliance.
o For cultural shifts, such as introducing collaborative decision-making, use pull
strategies to involve employees and gain their buy-in.
4. Focus on Communication and Trust:
o Leaders should communicate a compelling vision, linking the benefits of change
(e.g., better citizen services) to organizational goals.
o Building trust through transparency and involvement ensures better acceptance of
changes.
5. Pilot and Scale:
o Test changes on a small scale (e.g., pilot programs in a few government offices)
before rolling them out nationwide.

By combining these strategies, Egyptian organizations can achieve short-term improvements while
laying the foundation for sustainable success. Let me know if you'd like clarification or additional
details!

Question:

How can an Egyptian company manage the transition phase effectively when implementing a
new technology system while maintaining current operations?

Answer:
In the Egyptian context, managing a technology transition requires balancing ongoing operations
with the development of the new system. Here’s how it can be done:

1. Appoint a Transition Manager:

o Select a manager with sufficient authority to allocate resources and the respect of
both technical teams and operational staff.
o Example: A telecom company transitioning to 5G technology should appoint a
leader familiar with both legacy systems and emerging technologies.
2. Identify Key Tasks:
o Use tools like the Awakishi diagram to map tasks such as training employees,
installing new hardware, and phasing out the old system.
3. Develop a Flexible Plan:
o Given potential uncertainties, the company should use an iterative approach,
reviewing progress after each implementation phase.
4. Address Systemic Changes:
o Ensure HR, performance evaluations, and company culture align with the new
technology.
o Example: If introducing a customer relationship management (CRM) tool, update
job roles and reward employees who adapt quickly.
5. Schedule Activities and Allocate Resources:
o Use critical path analysis to prioritize tasks.
o Allocate budgets for training, software licenses, and technical support.
6. Reward and Motivate Employees:
o Implement incentives for employees who adopt the new system effectively, such
as recognition programs or financial bonuses.
7. Gather Feedback:
o Conduct regular surveys and team meetings to track progress and address
resistance or challenges early.

By following these steps, Egyptian companies can navigate the complexities of transitioning to
new systems without disrupting ongoing operations. Let me know if you need more examples or
clarification!

Using Technical Experts to Solve Problems:

1. Frederick Taylor and Scientific Management:
 Core Idea: The early focus of scientific management was on breaking tasks into smaller
parts and specifying the best way to perform each task.
 What This Led To:
o The use of methods engineers to identify the most efficient way to complete
tasks.
o Time and motion analysts were used to set standard times for each step of a task.
o Experts were brought in to improve performance across different areas.

2. When Are Experts Needed?

 Situations Where Experts Are Used:
o When there is an occasional need for specific expertise within the business.
 o When cutting-edge expertise with in-depth knowledge and wide experience is
required.
o When there is an urgent need to deliver a solution quickly.

3. Problems Associated with Using Experts:

 Ignoring Local Knowledge: Experts might overlook the valuable insights and
knowledge that employees within the organization already have.
 Reluctance to Share Knowledge: Employees may hesitate to share their experiences
and insights with the expert.
 Resistance to Change: Employees might resist the expert’s recommendations or
solutions.
 Overdependence: Employees may become overly reliant on the expert instead of
developing their own problem-solving skills.

Groups Working with Their Own Problems:

1. Involving People in Change:
 People accept change more easily when they are part of the planning and implementation
process.
 Found that a person's behavior and attitudes are influenced by the group they belong to.
This means it’s often more effective to target groups rather than individuals when trying
to bring about change.

2. Principles for Designing Group-Based Interventions:

 Strong 'We': For a group to drive change, its members need to feel a strong sense of
belonging. This unity makes the group more effective in influencing behavior.
o Group Cohesion: When members find their group attractive or valuable, they are
more likely to follow its influence.
o Prestige of the Group: Members with higher status or respect within the group
have a stronger ability to influence others.
o Group Norms: If someone tries to change an individual or part of a group in a
way that goes against the group's norms, the group will strongly resist the change.

Summary: Groups are powerful tools for driving change because people are more influenced by
the groups they belong to. To succeed, change efforts should focus on building a strong group
identity, aligning the system as a whole, and ensuring that pressure for change comes from
within the group.

Factors to Consider When Selecting Interventions

Diagnosed Problem:

 The nature of the problem determines the type of intervention:

1. Transformational Change: Targets system-wide elements like mission, strategy,
leadership, and culture.
 2. Incremental Change: Focuses on localized changes, such as structure, tasks, and
roles, with a narrower scope.
 Diagnosed issues can be categorized into:
o Human Process Issues: Relate to communication, problem-solving, leadership,
etc.
o Techno-structural Issues: Involve job design, coordination, and technology.
o Human Resource Issues: Include recruitment, development, and motivation.
o Strategic Issues: Focus on market engagement, product development, and
competitive strategies.

Level of Change Target:

 Change targets can be at:
1. Individual Level: Addressing personal skills or competencies.
2. Group Level: Improving teamwork or dynamics.
3. Intergroup Level: Resolving conflicts between teams.
4. Organizational Level: Aligning strategy and culture.
5. Trans-organizational Level: Collaborating with external entities like partners or
suppliers.

Depth of Intervention:
 Surface-Level Interventions: Deal with observable behaviors and roles (e.g., job
design).
 Deep Interventions: Address emotions, attitudes, and interpersonal dynamics (e.g.,
counseling or group discussions).

Implementing Change

This chapter provides a detailed exploration of how organizations move from planning to action
when implementing change. The implementation phase is not just about executing a plan; it
involves constant adjustments, addressing resistance, and ensuring alignment among
stakeholders. Below is a breakdown of the chapter’s key points:

1. Nature of Implementation

 Implementation involves translating plans into actions.

 Straightforward Changes: In some cases, changes are small, the endpoint is clear, and
there’s little resistance because people see the benefits.
 Complex Changes: Often, implementation is iterative:
o Changes unfold in incremental steps.
o Each step must be reviewed to confirm if it worked and whether the direction of
the change is still valid.
o Resistance or unforeseen challenges may require modifications to the initial plan,
blending implementation with ongoing diagnosis and planning.
2. Factors Influencing Successful Implementation

The success of any change effort depends on several factors:

a. Quality of Diagnosis

 A thorough diagnosis helps identify opportunities or threats and specify change goals.
 Challenges affecting diagnosis quality:
o Complexity of issues.
o Fragmentation in data collection.
o Incomplete or inaccessible information.
o Pressures to complete the process quickly.

b. Communication

 Clear, unambiguous communication minimizes confusion, anxiety, and mistrust.

 Ambiguity leads stakeholders to assume the worst, fueling resistance and rumors.
 Best Practices:
o Provide realistic and honest information about what the change entails.
o Use strategies like newsletters, hotlines, and regular meetings to keep employees
informed and involved.

c. Stakeholder Management

 Change can threaten the interests of some stakeholders, leading to resistance.

 Leaders must understand the political dynamics and actively engage stakeholders to
secure their commitment.

d. Alignment and Coordination

 Complex changes involve multiple projects led by different managers.

 Fragmentation can cause confusion, waste, and misaligned priorities.
 Leaders must foster a shared sense of direction to ensure coordinated efforts.

e. Trust and Fairness

 Employees are less likely to resist when they feel treated with respect and fairness.
 Procedural Justice: Fair decision-making processes reduce dysfunctional behaviors,
even if the outcomes are unfavorable.

f. Socioemotional Support

 Change disrupts the status quo, causing uncertainty and insecurity.

 Providing emotional support and showing genuine concern for employees' well-being
helps them adapt more easily.