START

STOP
CHANGE MANAGEMENT

They CAN because they think that

THEY CAN
 Any movement from state n1 to state n2 is
called as change
 Change management (or change control)' is

the process during which the changes of a

system are implemented in a controlled
manner by following a pre-defined
framework/model with, to some extent,
reasonable modifications
 ANTICIPATORY CHANGES: Planned changes
based on expected situations
 REACTIVE CHANGES:changes made in
response to unexpected situations
 INCREMENTAL CHANGES: subsystem
adjustments required to keep organisations
afloat
 STRATEGIC CHANGES: altering overall
shape or direction of the organisation.
 REACTIONS ARE
◦ NEGATIVE PERCEPTION
◦ POSITIVE PERCEPTIONS
 External Changes  Internal changes
◦ Economy ◦ Organisational
◦ Technology changes
◦ Laws and ◦ Workforce change
regulations ◦ Change in attitude
◦ Market requirement ◦ Equipment change.
◦ Labor market
 Making an impact
on
Functional Coping Optimise economic
environment
with Environment variables effecting
the organisation

Social Mission Simultaneous achievement

within & outside of multiple objectives
the organisation
Need For
Change
Growth demands change
Maintain position
of excellence

Release of Potential energy

Optimise technological
variables affecting
the organisation
Maintain balance and
optimisation of subsystems
in the organisation
The
Change Social/
Political
Environment
B
Wheel A

Technology Competitors
H C

Customers C
Demographics
G

Economics Owners/
F Shareholders
E
 Trigger - the need for change;
opportunities, threats Project initiation
 Vision - how change addresses the
triggers; desired future condition;
challenges and motivation for the
intervention Design and development
 Conversion - converting people to sign
up to the idea Implementation
 Maintenance and renewal - managing
mid-term change Roll-out; ‘tool kit’
Entitlement  Descriptions  Root cause
◦ People Expect to be ◦ Increases in pay
promoted, protected
levels are non
and provided for.
contingent
◦ They want, feel they
deserve more ◦ Things work
◦ They focus on according to time
threats to stability schedule, not
and security
performance
◦ There is little
percieved need to
change the way
things are done.
Compliance  Descriptions  Root cause
◦ They do what is ◦ Increases in pay are
expected and seek
based on achieving
clarity of goals.
specific personal
◦ There is limited
goals
desire to take risks
or to do things ◦ Consequences
differently primarily are
◦ They focs on actions extinction and
of the leader. negative
reinforcement
◦ The focus is on
threat or prevailing
practices
achieveme  Descriptions  Root cause
nt ◦ They do what is
necessary to achieve
desired results.
◦ They chalenge
conventional
practices, unless
they work
◦ They focus on task to
be done
◦ Measurement is used
to identify winners
◦ Feedback is welcomed
because it is used to
aid improvements
◦ Positive reinforcement
exists at a greater
level than other
consequences
 stability

Learning,
Comfort and
acceptance and
control
commitment

Looking
bckward Looking
forward
Fear anger Enquiry,
and experimentatio
resistance n and
discovery

chaos
 Readiness for variable pay
◦ Should the incentive payout be included in
employee benefit.
◦ How should overtime be handled
◦ Who determines the performance levels and the
payout, credibility and ownership.
◦ How should the incentive plan be integrated
with other plans.
◦ How should changes in competitive strategy,
windfalls and cave ins be handled
◦ How do you handle inclusions and exclusions
◦ How do you consider team as well as individual
performance.
 Why are you doing this? (Am I at fault?)
 What do I do differently? (will it be worth
the effort)
 What will you be taking away?( what do I
have to give in exchange)
 If we are truly successful will you take it
away? (is this just a more sophisticated
way to punish us?)
 Are you sincere and committed to make
this work
 Positive change
◦ Unreasonable optimism
◦ Reality shock
◦ Constructive direction
 Negative change
◦ Denial
◦ Humor
◦ Growing self doubt
◦ Destructive negativity
 Bargaining and
rationalising

Defeat

Celebration
every
breath

Acceptance
Elation
Anxiety and
confusion
Fear

Relapse
Guilt Depression Hostility
 Surprise
 What is in it for me
 Complacency
 Wrong timing
 Inertia
 Emotional side effects
 Lack of trust
 Fear of failure
 Personality conflicts
 Unfreeze
 Change
 Refreeze
Unfreezing
Necessity of change
◦ Nature of change needed
◦ Methods planned to achieve the change
◦ Needs of those affected
◦ Ways that progress will be planned and monitored
 Changing
This is the process of devising and implementing the change:
◦ Define the problem
◦ Identify solutions
◦ Devise appropriate strategy to implement change
◦ Implement solutions
 Refreezing
This is the process of maintaining the momentum of change:
◦ Locking in the changes
◦ Stabilising the situation
◦ Building relationships
◦ Consolidating the system
◦ Evaluation and support
◦ Preventing any going back to the old ways
 Allowing the process to be understood
 Providing milestones for evaluating

progress towards the change

 Investigate the balance of power involved in
an issue
 Identify the key stakeholders on the issue
 Identify opponents and allies
 Identify how to influence the target groups
 There are three types of change
 Identity change
Coordination change
Change in control
 There are three change makers
Change strategist
Change implementer
Change recepient
 There are three theories of change
Greiner’s model- evolution and revolution
Tushman, Newman and Romanelli model convergence
and upheaval
Kurt Lewin’s Model
 Three types of change:
◦ Identity change: involves fundamental change in
relationship with the environment.
 Needs formal contract between stakeholders– legal
compliances—focus on tangible assets--- has high
cooperation and integration cost.

◦ Coordination change: involves changing structures and

culture
Blended mix of thoughtful reorganising vs mindless
downsizing, building networks.

◦ Change of control: breaking and making contracts

Financial control, careful debt management, create
environment for fresh thinking
 Three key change makers

Role & mindset Orientation to Action Focus Organisational Dominant

change level stages of
involvement

Visionary Corp. Ext. Ends Top Unfreezing

View Environment
Change
strategist

Translator Dept. Internal Means Middle Change

Change View Coordination
implementer

User opertional Distribution of Personal Bottom Refreezing

power and benefits
Change
proceeds
Recipient
Tushman, Newman and Romanelli model
convergence and upheaval
Organisational Transformation occurs in short discontinuous bursts
of changes.
Small changes in single domain of organisational activity will not
lead to functional transformation.

Major changes are likely to occur when (a) performance declines,

(b) environment changes, and © leadership changes.
Long periods of small changes is interrupted by brief period of
discontinuous radical change.
To change continuously is core competency to most successful
companies.
Change= dissatisfaction *vision* first steps> resistance to change Beckhard, harris
Resistance force low-- high

No Change Discontinuous Change

Sporadic change Continuous change

CHANGE FORCE Low--High

 Focussed Radical Revolutionary
Change Change
Magnitude of change
low --- high

Moderate
Evolutionary change
change But comprehensive

Breadth of change Low----- high

 Totally imposed Negotiated total
package package
low --- high
Level of influence

Imposed piecemeal Negotiated piecemeal

package package

Bariers to change Low----- high

 Dissatisfaction with the status quo.
 RECREATE INCREMENTAL
Ex relationship breaking, UTI to AXIS Bank
 A vision on how things could be.
 A plan of action
What needs to be done, how, who, what and when, what
cost, what time frame, how much ROI
 A structure to support change effort
Clarify roles, establish change sponsor, identify a change
champion/ change agent, identify target group.
 Reinforcement that shapes and celebrates
progress
1976, Steve Job
and Steve Woz
started Apple 1
in their garage
1984, Sculley joins in, failure
of Macintosh and Lisa, rise
of IBM, backlog of inventory,
shortage of memory chip,
Job was fired due to
disagreement, mass
acquittals at apple dispite
growth
1977 Apple 2 with 4 After Steve Woz died in an
GB RAM, expandable air crash, Jeff Raskin,
to 48 GB, basic introduced low priced
programming, later Macintosh and high priced
with Apple soft Lisa
Michael 1996 steve Job merges
Spindler Next with Apple, canned
unsuccessful projects
like Newton, cyberdog
Gil Amelio and opendoc, changed
and license policy of
Macintosh, leadership
leadership
style, changed the music
failures industry by launch of I
 Tuning: continuous betterment, kaizen
 Adaptation
 Reorientation also called frame bending
 Re creation also called frame breaking/ Re-

engineering.
 Nadler and Tushman
1. Sense of urgency not created or sustained.
2. Leaders are not equipped with the tools they need to
make the changes: coalition is not there, vision is not
defined
3. Vision is not communicated and obstacles are not
identified/ removed.
3. First major change comes too slowly. Small changes
are not built.
4. Change is celebrated too soon and the urgency is
diminished.
5. Communications are not sustained, either noting
progress or inviting increased participation.
6. Leaders don't "walk the talk."
7. Coalition is not fully empowered-task forces, steering
committees.
8. Change is not built and embedded in corporate culture
 Identify degree of involvement.
*All hands on the High level support
Degree of deck and sponsorship
commitment
and
involvement

Delegation and
empowerment

low Delegate and do it

Imperatives of change

 Creatively design reinforcers: shape up and

satiation
 Quality

TIME
Issue
Management
Cost

Acceptance
Promoters

Hidden opponents
Hidden promoters

Opponent
Behavior
ATTITUDE

N
ga e
ive

t
it

iv
os
Management of e
p
Power and
Perceptions
politics management
and beliefs