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1、Organizational Change Processes in China Dr. Geert W.J. HelingMaastrichtApril, 2002Program (1) IntroductionBasics of Change Current trends in China Fundamental issues in Organizational Change Phases in Change Processes: a model of ChangeDiagnosis: instruments and methodsDesigning a Change ProgramStr
2、ucturing a Change ProgramProgram (2)Dynamics of ChangeInterventionsImplementationResistance and how to handle itRole and position of Change agentsCase presentationsIntegrationBasics of ChangeWhat is change?Different ways of conducting changeContext of organizational changeResponses to ChangeCurrent
3、trends in ChinaPolitical shift towards more Market orientationBoosting production and economyOpening up to international marketEntrance to WTOFrom inward to outward orientationNew identity in global politics“Organizations that are able to conduct changes faster and more effectively than their compet
4、itors have better chances to survive.WTO and ChinaConsequences ?AdvantagesDisadvantagesThreatsOpportunitiesTime scopePETS-dimensionsIssues in Chinese businessStructureCultureLeadership & ManagementNew versus OldDifferences with western style businessDevelopmentEtc. .Fundamental Issues in Organizatio
5、nal ChangeTypes of changeWays of changingDimensions of Change ProgramsResponses to ChangeCore principlesTypes of ChangeImprovementInnovationTransformationTwo ways of changingImposed ChangeEasyQuickShort termResistance Evoked ChangeComplexLong termCommitmentSustaining Dimensions of Change ProgramsStr
6、ategic considerationsTechnical preferencesEconomic/Financial DimensionSocial (HR) considerationsCultural aspectsSmall versus Large ScaleType of businessSize of organizationUrgency of problems (need) History of organizationMaturity of peopleAttitude of Top Management Responses to changesqueezedTop-ma
7、nagementMiddle managementWorking floor/employeesresistantisolatedCore principles (1)(How to make it work)Use Goal orientationThere must be Clarity about:problem situationGoalsCriteria for successOrganizationPlanningControlMake a Good diagnosisSeek informationSummarizeAnalyze Feedback Core principles
8、 (2)(How to make it work)Use Systems thinking: always keep the whole system in mindStructuresBehaviorCultureUse participation for commitmentBetter decisionsStimulate motivationIdentification with organizationCore principles (3)(How to make it work)Give support in order to stimulate self-managementUs
9、e feedbackTrainingFacilitate communicationGive supportDelegate authorities for use of resourcesManage the Process of ChangeAnalyse process continuouslyDeal with resistance and conflictsUse flexible planningCore principles (4)(How to make it work)Communicate intensivelyCommunicate, communicate, commu
10、nicateCarefully select key-personswho are potential alliesWho are opinion leadersWho will show resistanceWho can be a leaderPhases of a Change ProgramStep 0: determine internal and external pressure/demands for changeStep 1: Make up diagnosisStep 3: Determine vision and strategyStep 4: Action Planni
11、ng: design and develop the Change ProgramStep 5: Structure the Change ProcessStep 6: Determine Change dynamicsStep 7: Determine Change Strategies and MethodsStep 8: ImplementStep 9: Evaluate and Adjust/CorrectGoals Culture Structure Technology Behaviour & ProcessesOutputGroup PerformanceIndividualPe
12、rformanceQuality of Working ConditionsGroup compositionStructureTechnologyIndividualcharacteristicsGroup BehaviourProcessesCultureIndividual attitudesMotivationConvictionsSourcesSourcesHuman ResourcesOrganizationlevel GrouplevelIndividuallevelENVIRONMENT Source: Harrison, 1978, p. 51ENVIRONMENT= inf
13、luence= feedbackInternal/external pressure/demandsleading to change Step 0Evaluate Change Results Step 7Determine Change Strategies and Implementation methodologies Step 6Determine theChange Dynamics Step 5Structure theChange Process Step 4Design and Develop Step 3Determine Vision And StrategyStep 2
14、Draw up diagnosis Step 1ChangeGoalsChangeSituation ChangeStrategyChange EffectivenessOrganizational ExpertiseChange Management ExpertiseSource: Cozijnsen & Vrakking, 1996.General DirectorLHCCpmmunist PartysOmplementation PanelDeputu General DirectorDeputy General DirectorDeputy General DirectorWeavi
15、ng PlantDueing PlantGarment PlantKnitting PlantSupport Units & ServicesAdministrationFinance Dept.Import-Export Dept.Materials Dept.R&D CentrePlanning & Sales Dept.Legend:Officially designed reporting lineDelegated tasks to DGD by the GD, But are subject to frequent changesOrganisation Chart of LHCD
16、iagnostic Instruments7 S - modelOrganization Matrix modelManagement Effectiveness AnalysisEtc. .StructureStaffStyleSkillsSystemsShared ValuesStrategyHard variablesSoft variablesThe 7-S modelBox 1: Goals and methodsCore activitiesStrategic planningMarketingFinancingetc.Box 2: Internal Structure (Task
17、s & authorities)OrganigramTask / project descriptionsNeed for informationProceduresetc.Box 3: Knowledge and skillsFunction needsRecruitmentKnow-how Salary systemetc.Box 4: StakeholdersCEO / Board of directorsPressure groupsCustomers EmployeesFinancieretc.Box 5: Decision takingInformal structure Part
18、icipation in decision takingReview of resultsConsultationNegotiationsetc.Box 6: AutonomyRoom for actionPersonal perspectiveStatusIndividual interestsetc.Box 7: Organizational ClimateVisionCommitmentElan House style etc.Box 8: Co-operationProblem solving Team-play Co-ordination of ideas Meeting style
19、s etc.Box 9: AttitudeCreativity FellowshipTrust Dedication etc.Management Effectiveness AnalysisMeasures behavior + effectivenessScientific approachQuestionnaire (111 items)21 behavioural setsSituation dependentStrategic + Feedback profilesIndividual + group analyses Vision and Strategy?Designing a
20、Change ProgramGrow or a Roll-out model TimingNeed & wantSkills (ability) attitude (culture)Change CompetenceInfrastructureStrategic ComponentOrganizationalSuccessInstitutionalComponentHumanResourcesComponentChange PolicyChange CapacityLeading PotentialSpeedWillingnessInfrastructure of Change Compete
21、nceSource: Cozijnsen & Vrakking, 1995Competing Values Framework: Organizational Effectiveness (Quinn model 1) FlexibilityExternalInternalControl open systems modelRational goal modelInternal process modelHuman relations modelMeans: cohesion, moraleEnds: human resource developmentMeans: planning, goa
22、l settingEnds: productivity, efficiencyMeans: flexibiity, readinessEnds: growth, resource acquisitionMeans: information management, communicationEnds: Stability, controlQuinn model 24 conditions for changing behaviourneedwantbeing allowedcanRoll-out changePreparationPlanningTransition structuresImpl
23、ementation (= rolling-out)RewardGrow or Process ChangePreparationPlanningTake first stepCheck and CorrectTake next stepEtc. .TerminateDynamics of Change Pain and desire Losses and gains Resistance Involvement MotivationTypes of LossChange always implies losing some things. Examples of things that pe
24、ople might fear they could lose are:SecurityStatusCompetenceRelationshipsSense of directionTerritorySigns of ResistanceIndividual resistance:ComplaintsErrorsAngerDisobeying and stubbornnessApathyAbsence due to illnessWithdrawal . . . . . Signs of ResistanceOrganizational resistance:AccidentsIncrease
25、 in workers compensation claimsIncreased absenteeismGossipSabotageIncrease in health care claimsLowered productivityPhases of TransitionFrom Danger to Opportunity1.Denial3.Exploration2.Resistance4.CommitmentPhases in mourning processDenialAngerHustleDepressionAcquiescenceAcceptanceReactions to Organ
26、izational Change (1)1.Denial“It will not be serious“It has nothing to do with us2.Anger“Whats wrong with what we have been doing the last few years?“It Is this the reward for years of hard work?3.Hustle“Now is a bad timing, because “Well if we were having more money Reactions to Organizational Chang
27、e (2)4.Depression “I give up, they will never listen to me“They are always just doing what they like5.Acquiescence“Actually I dont really care anymore“I will just let things happen6.Acceptance“Actually it also has some benefits“Well of course it was unacceptable to keep things as they were How to ha
28、ndle these reactions? (1)1. Denial make people awareConfrontation with figures, clients, publicity, etc.Elicit reactions (make people active)2. Anger Listen en build rapportShow understanding for emotionsLet early adaptors take initiative3. Hustle Be clear and make people accountable Communicate goa
29、ls and visionNegotiate about implementation proposalsHow to handle these reactions? (2)4. Depression (silence) no return statementTake decisions and carry them out immediatelyMake implementation irreversible5. Acquiescence Give support “Let us go back to workSupport process of learning and adaptatio
30、n6. Acceptance Reinforce Control, evaluate and celebrate successesUse team building, make up new goalsDos and Donts: (Some general Basic guidelines for effective Change)Have a good reason for making the changeInvolve people in the changePut a respected person in charge of the processCreate transitio
31、n management Bring in outsider helpProvide training in new values and behaviorEstablish symbols of changeAcknowledge and reward peopleDos and Donts in PreparationPrepare your employeesDescribe the change as completely as you canResearch what happened during the last changeAssess the organizational r
32、eadinessDont make additional changes that arent critical/necessaryDos and Donts in PlanningMake contingency plansAllow for the impact on personal performance and productivityEncourage employee inputAnticipate the skills and knowledge that will be needed to master the changeSet a time table and objec
33、tives so you can measure the progressTransition StructuresCreate a transition management group to oversee the change (project team).Develop temporary policies and procedures during the change. Demonstrate flexibility to try new things. Loosen control and procedures.Create new communication channels.
34、Meet frequently to monitor the unforeseen to give feedback, or to check on what is happening.Dos and Donts in ImplementationProvide appropriate training in new skills and coaching in new values and behaviorsEncourage self-managementGive more feedback than usual to insure people always know where the
35、y standAllow for resistanceGive people a chance to step back and reflect on what is going onDos and Donts in Implementation (continued)Encourage people to think and act creativelyLook for any opportunity created by the changeAllow for withdrawal and return of people who are temporarily resistantColl
36、aborateMonitor the change processThe ConsultantAcademic educationCommunicates wellCreative thinkerEthicalHas strong “networkPerseveranceSocially orientedOther (discuss)Roles of the consultantRESOURCE:ConnectionsExpertiseProblem solving (content)ServicePROCESS:Change agentCoachProblem finder/solver (processes)Social methodologySparring partnerTrainerSkills of the ConsultantAnalytical & diagnostic C
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