Theories and approaches of change management – Lecture notes
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Lecture 1: 4-8 sept, Burnes 1&2 and Smith 1&3
- Why change and what is change?
o Staff shortages, economic downturn, war,
organisational failure, climate change, changing
demands from customers, covid 19, digitalization,
globalization, new entrants etc.
- Why do organisations change?
o Internal vs environmental opportunities or
threats
o Political, economic, socio-cultural, technological
or for non-rational reasons?
o Organisations change to become more effective
(but what is effective?).
- What is organisational change?
o From initiation to an end state, top-down, leader
centric, disruptive
o Fuzzy, ambiguous with no obvious beginning or
end. Multi-faceted, continuous
- Should we focus on individual, group, or
system change?
o Focus on the interacting levels of
individual, groups, or the organization as a
whole?
o For each change, it is depending on the
change project and there are different
approaches
- Individual perspective school:
o Behaviorists: see behavior as result from
individual interaction with environment. All behavior is learned, individual is passive and just
react on external data. Humans are conditioned by expecting consequences. To change
behavior, change the conditions that cause it (like classical approach: human as machines).
o Gestalt Field psychologists: individual behavior is product of environment and reasons. Learning
is process of changing insights, expectations or thought patterns. Not only action and response
is important, but also individual interpretations.
- Group dynamics school:
o Bringing about change through teams and work groups: people in organization work in groups,
therefore individual behavior must be seen, modified and changed in light of the group’s
practices and norms.
o Group behavior is function of group environment. To bring about change, focus should be on
influencing and changing group’s norms, roles and values.
o Group dynamics school is very influential in theory and practice of change management.
Because organizations see themselves more as comprising groups than collective of individuals.
- Open system school:
, o
Sees organizations as an entity: number of interconnected subsystems. Change in one part
influences other parts of a system and overall performance. But also see organizations as open
systems, open to interact with the environment and open internally: subsystems interact with
each other.
o Emphasis on the overall synergy: overall business strategy.
o 4 principals of organization subsystems:
Organizational goals and values of the subsystem
Technical subsystem: combination of knowledge, techniques and technologies which
organizations requires to function
Psychosocial subsystem: organizational climate and culture
Managerial subsystem: spans entire organization: responsible for directing an organization and
attains its objectives.
o 3 factors of open system school:
Subsystems are interdependent: if one part changes, then take into account the consequences
for other subsystems.
Training is unlikely to succeed on its own because it concentrates on individuals
To be successful, organizations should tap and direct energy and talent of their workforce
positive reinforcement.
- Conclusions:
o All schools (except behavioral) are in sharp contrast with mechanistic approach of the classical
school. They provide many aspects of modern paradigm (learning, teamwork).
o Each school is focused on different aspects of organizational life and has therefore different
implications for change that take place and how it is managed.
o Each school sees itself as the most effective, but they are complementary approaches
- Will there be resistance, and why?
o Change is initiated by those in power
o Change readiness
o Depends on individual factors, the nature of change and the process of change
o Resistance can be perceived as negative, positive or neutral
o Four theories on resistance according to Burners CH.1:
Cognitive dissonance
The depth of intervention
The psychological contract
Dispositional resistance
o Four main resons for resistance to change according to Kotter & Schlesinger:
Self-interest
Different assessment of the situation
Low tolerance for change and inertia
Misinformation and misunderstanding
- Who should be change agents?
o Line managers? Executives? Experts/Consultants? Subjects of change
themselves?
o Depends on the type of change, theory/philosophy towards change
- Is change always good (case 1), and how often and how much change?
o Incremental
o Punctuated equilibrium
o (Continuous) Transformation
o Disruptive