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MNG3702 Kotter's Change Model

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This is Kotter’s Change Model to be studied in conjunction with the other study materials. Once understood your chances of passing this module is greatly enhanced.

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  • August 30, 2020
  • 5
  • 2018/2019
  • Exam (elaborations)
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Kotter's 8-Step Change Model
Implementing change powerfully and successfully

Change is the only constant.
- Heraclitus, Greek philosopher

What was true more than two thousand years ago is just as true today. We live in a world
where "business as usual" IS change. New initiatives, project-based working, technology
improvements, staying ahead of the competition - these things come together to drive
ongoing changes to the way we work.

Whether you're considering a small change to one or two processes, or a systemwide change
to an organization, it's common to feel uneasy and intimidated by the scale of the challenge.

You know that the change needs to happen, but you don't really know how to go about doing
delivering it. Where do you start? Whom do you involve? How do you see it through to the
end?

There are many theories about how to "do" change. Many originate with leadership and
change management guru, John Kotter. A professor at Harvard Business School and world-
renowned change expert, Kotter introduced his eight-step change process in his 1995 book,
"Leading Change." We look at his eight steps for leading change below.

Step One: Create Urgency

For change to happen, it helps if the whole company really wants it. Develop a sense of
urgency around the need for change. This may help you spark the initial motivation to get
things moving.

This isn't simply a matter of showing people poor sales statistics or talking about increased
competition. Open an honest and convincing dialogue about what's happening in the
marketplace and with your competition. If many people start talking about the change you
propose, the urgency can build and feed on itself.

What you can do:

 Identify potential threats, and develop scenarios showing what could happen in the
future.
 Examine opportunities that should be, or could be, exploited.
 Start honest discussions, and give dynamic and convincing reasons to get people
talking and thinking.
 Request support from customers, outside stakeholders and industry people to
strengthen your argument.

Kotter suggests that for change to be successful, 75% of a
company's management needs to "buy into" the change. In other
words, you have to really work hard on Step One, and spend

, significant time and energy building urgency, before moving onto
the next steps. Don't panic and jump in too fast because you don't
want to risk further short-term losses - if you act without proper
preparation, you could be in for a very bumpy ride.

Step Two: Form a Powerful Coalition

Convince people that change is necessary. This often takes strong leadership and visible
support from key people within your organization. Managing change isn't enough - you have
to lead it.

You can find effective change leaders throughout your organization - they don't necessarily
follow the traditional company hierarchy. To lead change, you need to bring together a
coalition, or team, of influential people whose power comes from a variety of sources,
including job title, status, expertise, and political importance.

Once formed, your "change coalition" needs to work as a team, continuing to build urgency
and momentum around the need for change.

What you can do:

 Identify the true leaders in your organization.
 Ask for an emotional commitment from these key people.
 Work on team building within your change coalition.
 Check your team for weak areas, and ensure that you have a good mix of people from
different departments and different levels within your company.

Step Three: Create a Vision for Change

When you first start thinking about change, there will probably be many great ideas and
solutions floating around. Link these concepts to an overall vision that people can grasp
easily and remember.

A clear vision can help everyone understand why you're asking them to do something. When
people see for themselves what you're trying to achieve, then the directives they're given tend
to make more sense.

What you can do:

 Determine the values that are central to the change.
 Develop a short summary (one or two sentences) that captures what you "see" as the
future of your organization.
 Create a strategy to execute that vision.
 Ensure that your change coalition can describe the vision in five minutes or less.
 Practice your "vision speech" often.

Step Four: Communicate the Vision

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