OD and Change
The Message Is Clear - Change Or Disappear
“There’s no off season anymore” - Nolan Ryan
“You miss 100% of the shots you never take” - Wayne Gretsky “Somebody has to do something, and its just incredibly pathetic that it has to be us.” - Jerry Garcia, the Grateful Dead
CHANGE - AN ONGOING PROCESS
Companies no longer have a choice, they must change to survive. Unfortunately, people tend to resist change. It is not easy to change an organization, let alone an individual. This puts increased pressure on management to learn the subtleties of change. This final chapter was written to help managers navigate the journey of change.
FORCES OF CHANGE
• How do organizations know when they should change?
• What cues should an organization look for?
Organizations encounter many different forces for change. These forces come from external sources outside the organization and from internal sources. This section examines the forces that create the need for change. Awareness of these forces can help managers determine when they should consider implementing an organizational change.
External forces for change originate outside the organization. Because these forces have global effects, they may cause an organization to question the essence of what business it is in and the process by which products and services are produced. There are four key external forces for change: demographic characteristics. technological advancements, market changes, and social and political pressures. Each is now discussed.
1. Demographic Characteristics
(1) the workforce is more diverse and
(2) there is a business imperative to effectively manage diversity. Organizations need to effectively manage diversity if they are to receive maximum contribution and commitment from employees.
2. Technological Advancements
Both manufacturing and service organizations are increasingly using technology as a means to improve productivity and market competitiveness. Manufacturing companies, for instance, have automated their operations with robotics, computerized numerical control (CNC), which is used for metal cutting operations, and computer-aided design (CAD). CAD is a computerized process of drafting and designing engineering drawings of products. Companies have just begun to work on computer- integrated manufacturing (CIM). This highly technical process attempts to integrate product design with product planning. control. and operations In contrast to these manufacturing technologies, the service sector of the US economy is using office automation. Office automation consists of a host of computerized technologies that are used to obtain, store, analyze, retrieve, and communicate information.
“The factory of the future will have only two employees, a man and a dog. The man will be there to feed the dog. The dog will be there to keep the man from touching the equipment.” Warren Bennis
3. Market Changes
The emergence of a global economy is forcing US companies to change the way they do business. Companies are having to forge new partnerships with their suppliers in order to deliver higher quality products at lower prices.
4. Social and Political Pressures
These forces are created by social and political events. Managers thus may need to adjust their managerial style or approach to fit changing employee values. Political events can create substantial change. For example, the collapse of both the Berlin Wall and communism in Russia created many new business opportunities. Although it is difficult for organizations to predict changes in political forces, many organizations hire lobbyists and consultants to help them detect and respond to social and political changes.
Internal forces for change come from inside the organization. These forces may be subtle, such as low morale, or can manifest in outward signs, such as low productivity and conflict. Internal forces for change come from both...
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