Change is the spice of life.

It occurs everywhere It occurs all the time It occurs at increasing frequency as time advances Change Agent: Are people who act as catalyst & take on the responsibility of managing change

Factors of change External factors 1. Change in Marketing conditions 2. Technological Change 3. Social Changes 4. Political & Legal Changes Internal factors 1. Change in Managerial Personnel 2. Deficiency in existing Organization

 Any change in any part affects the entire organization. Change brings about a new equilibrium. People resist change. In change the role of managers is two fold-pro-active & reactive. Response to change is unpredictible & uncertain-Individual & Group response.

 Planned chage is the deliberate design & implementation of a structural innovation, a new policy or goal, or a change in operating philosophy, climate or style.

Technology-related Changes Task-related Changes Structure-related Changes People-related Changes

 Environmental adaptation

Individual adaptation
Structural adaptation Technological adaptation Task adaptation

PROCESS OF PLANNED CHANGE

Identifying need for change Elements to be changes Planning for change Assessing change forces Actions for change Unfreezing Changing Refreezing

 CHANGE: Making things different.

PLANNED CHANGE: Change activities that are intentional & goal oriented.
CHANGE AGENT: Persons who act as catalysts & assume the responsibility for managing change activities.

 Individual-level Change (Understanding yourself as an

Instrument of change)

Group-level Change

Organization-level Changes

SOURCES OF INDIVIDUAL RESISTANCE TO CHANGE

SELECTIVE INFORMATION PROCESSING

HABIT

INDIVIDUAL RESISTANCE

SECURITY

FEAR OF THE UNKNOWN

ECONOMIC FACTORS

SOURCES OF ORGANIZATIONAL RESISTANCE TO CHANGE

THREAT TO ESTABLISHED RESOURCES ALLOCATIONS

STRUCTURAL INERTIA

ORGANIZATIONAL RESISTANCE

LIMITED FOCUS OF CHANGE

THREAT TO ESTABLISHED POWER RELATIONSHIPS

THREAT TO EXPERTISE

GROUP INERTIA

 Education & Communication

Participation Facilitation & Support Negotiation

Manipulation
Coercion

THE SIX-STAGE CHANGE PROCESS

FOLLOWING UP ON THE CHANGE

IMPLEMENTING THE CHANGE

PLANNING THE CHANGE

DIAGNOSING THE PROBLEM RECOGNIZING THE NEED FOR CHANGE

BECOMING AWARE OF THE PRESSURE FOR CHANGE

 Evolutionary Change (Strategy & Structure, TQM-People, Processes, Systems & Management)

Revolutionary Change (Re-engineeringBusiness Processes, Management & Measurements, Jobs & Structures & Values & Beliefs)