Change Management

Change Management
STRATEGIC INTERVENTIONS
Managing a change process is as vital as the change
itself.
In recent years, management scholars have explored
the possibilities of employing the techniques of
Organization Development (OD) to effect desired
organizational changes. Properly diagnosing the
change environment allows for the application of
such strategic intervention techniques as role
playing, team development, survey feedback, process
consultation, among others
Strategic Interventions
1.Technostructural interventions
These focus on improving the organizational
effectiveness and human development by focusing
on technology and structure
Technostructural interventions the following:
organizational structure, organization systems,

business process redesign, space and physical
settings, socio-technical systems, change
management, job design / enrichment, competencybased management, knowledge management and
organizational learning
2.Management and Leadership Development

Interventions
These types of OD interventions aim to improve
organizational performance by increasing
effectiveness of formal and informal leaders
Their use is wide spread, and almost all
organizations have programs in place to identify,

measure, and improve the quality of their leaders.
Kormanik (2005) includes the following examples:
executive and professional development, mentoring,
coaching, action learning, action science, MBO,
succession planning, 360 degree feedback,
participative management, technical / skills training
3.Team Development and Group Processes

Interventions
Aim at improving different aspects of a group
performance, such as goal setting, development of
interpersonal relations among team members, role
clarification and analysis, decision making, problem
solving, and communities of practice, among other
4. Individual / Interpersonal Process

Aim at improving organizational performance by
developing specific skills of individuals.
The most common examples of this type of
interventions are learning strategies, life transitions,
mentoring, and interpersonal communications,
among other.
NEED FOR CHANGE

There are several factors that indicate the need for
change in an organisation.
Changes in the Market

Changes in customers taste , requirements,
competition and others indicate the need for an

organisation to change its approach or
products/services
Economic Down Down

Changes in GDP growth reduces the purchasing
power of consumers. Other factors like inflation,

Changes in interest rates in an economy also
triggers change in an organisation.
Other factors
Competition
Budget constraints /pressure
Changes in regulation / legislation
Changes in Technology
Changes in organisation size itself
Mergers and acquisition
Restructuring operations
Resources implication
As a result of changes in an organisation, the
following may a rise.

Restructuring of organisation.
Interviewing and hiring new staff/ consultants
Training of the staff.
New physical assets i.e. equipments , buildings or
machines and hence attracting additional costs to the
organisation.
LEADING STAKEHOLDERS IN DEVELOPING A STRATEGY FOR

CHANGE
Change of any type affect different types of
stakeholders.
The effect will depend on the interest and the power
of the stakeholder.
Stakeholder analysis
It is the process of identifying the individuals or
groups that are likely to affect or be affected by a

proposed action, and sorting them according to their
impact on the action and the impact the action will
have on them
This information is used to assess how the interests
of those stakeholders should be addressed in a

project plan, policy, program, or other action
Benefits of doing stakeholder analysis

Stakeholder analysis helps with the identification of
the following:
Stakeholders' interests
Potential risks
Key people to be informed about the project during
the execution phase
Negative stakeholders as well as their adverse effects
on the project
Groups of stakeholders
Primary stakeholders : are those ultimately affected,
either positively or negatively by an organization's

actions.
Secondary stakeholders : are the intermediaries,
that is, persons or organizations who are indirectly
affected by an organization's actions.
Key stakeholders : (who can also belong to the first
two groups) have significant influence upon or
importance within an organization
Methods of Stakeholder Mapping
Based on power to influence

Stakeholder expectations based on value hierarchies
According to potential for threat and potential for
cooperation
STAKEHOLDER CIRCLE
The Stakeholder Circle is designed to enhance
the management of a business unit, organizational

activity, or project's stakeholder community to the
benefit of the stakeholders and the activity. It is a
proven methodology supported by robust,
easy to use tools.
STEPS IN STAKEHOLDER CIRCLE

1. Identify the stakeholders
who are likely to be affected by

the change
2. Prioritise the stakeholders
according to the need of the
change
Map the stakeholder in terms of

power and interest
4. Develop engagement strategy
with the stakeholders
3.
5.Optimise the support of the
stakeholders
6.Monitor the changes
METHOD OF INVOLVING STAKEHOLDERS
1. Having communications with
individual stakeholder/ consultations

2.Group meetings
3. Team building
4.Coaching
5. Delegation of responsibilities.
RESISTANCE TO CHANGE
Most people don't like change because
they don't like being changed. When

change comes into view, fear and
resistance to change follow often
despite its obvious benefits
People fight against change because they:

fear to lose something they value, or
don't understand the change and its
implications, or
don't think that the change makes sense, or
find it difficult to cope with either the level
or pace of the change.3
Organisational barriers to change
Structural inertia
Existing power structures
Resistance from work groups
Failure of previous change
initiatives
Individual barriers to change
Tradition and set ways:

Loyalty to existing relationships
Failure to accept the need for change
Insecurity
Preference for the existing arrangements
Break up of work groups
Different person ambitions
Fear of:
Loss of power
Loss of skills
Loss of income
The unknown
Redundancy
Inability to perform as well in the new situation
STRATEGIES FOR MANAGING RESISTANCE

1. Have open communication or be open.
2.Education all stakeholders involved.
3.Involve all stakeholders
4.Have forums to discuss pertinent issues as regards
to change.
5. Have a system of giving feedback to stakeholders
6. Create a sense of ownership from the stakeholders
7. Have change champions
8. Communicate the vision for change.

9. Ensure there is support from all stakeholders.
10. Focus on the positive benefits of change
11. Ensure there is training programmes necessary
for successful implementation.
CHANGE IMPLEMENTATION
A successful change implementation leads to.
Business Process Re-engineering.
Learning Organisation
Delayering
Kaizan
Right sizing
Matrix organisation
Network organisation
BUSINESS PROCESS RE-ENGINEERING

Business Process Reengineering (BPR) involves the
fundamental rethinking and radical redesign of

business processes to achieve dramatic
improvements in critical contemporary measures of
performance such as cost, quality, service and speed
A reengineered organization is process oriented,

where:
Processes are identified and named,
2) Everyone is aware of the processes they are
involved in,
3) Process measurement, i.e. monitoring and control,
is performed
LEARNING ORGANISATION
A learning organization is the term given to a
company that facilitates the learning of its members

and continuously transforms itself.
Learning organizations develop as a result of the
pressures facing modern organizations and enables

them to remain competitive in the business
environment.
A learning organization has five main features;

systems thinking, personal mastery, mental
models, shared vision and team learning.
BENEFITS OF LEARNING ORGANISATION

Maintaining levels of innovation and remaining
competitive
Being better placed to respond to external pressures
Having the knowledge to better link resources to
customer needs
Improving quality of outputs at all levels
Improving corporate image by becoming more
people oriented
Increasing the pace of change within the
organization
KAIZEN
Refers to activities that continually improve all
functions, and involves all employees from the CEO

to the assembly line workers
It also applies to processes, such as purchasing and
logistics, that cross organizational boundaries into

the supply chain
By improving standardized activities and processes,
kaizen aims to eliminate waste
The five main elements of kaizen
Teamwork
Personal discipline
Improved morale
Quality circles
Suggestions for improvement
DELAYERING
Delayering is a term in management and
corporate restructuring that refers to a planned

reduction in the number of layers of a
management hierarchy
The purpose is to give the organization a flatter
structure and thereby push decision-making down to

lower managerial levels
The assumption is that this will produce quicker
decision-making by managers who are closer to their

customers and more in touch with their competitive
environment
The reasoning behind delayering lies in the belief
that as organizations grow they become

cumbersome, bureaucratic, and inflexible
Moreover, they can be stultified by rules and
procedures, slow decision-making processes, and a

lack of creativity
Managing Conflict
Conflict involves incompatible behaviors; one person
interfering, disrupting, or in some other way making

anothers less effective
A. Understanding Competitive and Cooperative
Conflicts
1. Competitive Conflicts
Competitive Conflicts occur when two parties believe
that they are right and the other one is wrong and
will not agree in the middle.
A win-lose situation
These conflicts can ruin a relationship and lead to a
dysfunctional, destructive outcome.
2. Cooperative Conflicts
Cooperative Conflicts occur when two parties agree to

compromise to end a conflict, each party may need to
give up something to get something in return.
A win-win situation
These conflicts build trust for the future and allows
parties to accomplish their present goals together
MAESURES TO MONITOR PROGRESS

It is important to monitor the progress that change is
achieving. Some of the method to use are:

Goal based Evaluation
Process based evaluation
Outcome based evaluation
Regular reports
Meetings
Quality circles
Progress reviews
Deadlines
progress

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Change Management

Managing a change process is as vital as the change

Technostructural interventions the following:

organizational structure, organization systems,

2.Management and Leadership Development

Their use is wide spread, and almost all

organizations have programs in place to identify,

3.Team Development and Group Processes

4. Individual / Interpersonal Process

NEED FOR CHANGE

Changes in the Market

competition and others indicate the need for an

Economic Down Down

power of consumers. Other factors like inflation,

following may a rise.

LEADING STAKEHOLDERS IN DEVELOPING A STRATEGY FOR

Change of any type affect different types of

groups that are likely to affect or be affected by a

This information is used to assess how the interests

of those stakeholders should be addressed in a

Benefits of doing stakeholder analysis

either positively or negatively by an organization's

Methods of Stakeholder Mapping

Based on power to influence

the management of a business unit, organizational

STEPS IN STAKEHOLDER CIRCLE

who are likely to be affected by

Map the stakeholder in terms of

5.Optimise the support of the

METHOD OF INVOLVING STAKEHOLDERS

1. Having communications with

individual stakeholder/ consultations

they don't like being changed. When

People fight against change because they:

Organisational barriers to change

Individual barriers to change

Tradition and set ways:

STRATEGIES FOR MANAGING RESISTANCE

8. Communicate the vision for change.

for successful implementation.

BUSINESS PROCESS RE-ENGINEERING

fundamental rethinking and radical redesign of

A reengineered organization is process oriented,

company that facilitates the learning of its members

Learning organizations develop as a result of the

pressures facing modern organizations and enables

A learning organization has five main features;

BENEFITS OF LEARNING ORGANISATION

functions, and involves all employees from the CEO

It also applies to processes, such as purchasing and

logistics, that cross organizational boundaries into

By improving standardized activities and processes,

kaizen aims to eliminate waste

The five main elements of kaizen

corporate restructuring that refers to a planned

The purpose is to give the organization a flatter

structure and thereby push decision-making down to

The assumption is that this will produce quicker

decision-making by managers who are closer to their