POM 7: Summary of Organizational Change and Innovation Processes môn Principles of Management | Trường Đại học Quốc tế, Đại học Quốc gia Thành phố Hồ Chí Minh

SUMMARY OF LEARNING OUTCOMES AND KEY POINTS
7-1. Describe the nature of organization change, including forces for change and planned
versus reactive change.
• Organization change is any substantive modification to some part of the organization.
• Change may be prompted by forces internal or external to the organization.
• In general, planned change is preferable to reactive change.
7-2. Discuss the steps in organization change and how to manage resistance to change.
• The Lewin model provides a general perspective on the steps involved in change.
• A comprehensive model is usually more effective.
• People tend to resist change because of uncertainty, threatened self-interests, different
perceptions, and feelings of loss.
• Participation, education and communication, facilitation, and force-field analysis are methods
for overcoming this resistance.
7-3. Describe the major areas of organization change and the assumptions, techniques, and
effectiveness of organization development.
• The most common areas of change involve changing organizational structure and design, technology, and people.
• Business process change is a more massive and comprehensive change.
• Organization development is concerned with changing atÝtudes, perceptions, behaviors, and
expectations. Its effective use relies on an important set of assumptions.
• There are conflicting opinions about the effectiveness of several OD techniques.
7-4. Discuss the innovation process, forms of innovation, failure to innovate, and how
organizations can promote innovation.
• The innovation process has six steps: development, application, launch, growth, maturity, and decline.
• Basic categories of innovation include radical, incremental, technical, managerial, product, and process innovations.
• Despite the importance of innovation, many organizations fail to innovate because they lack
the required creative individuals or are committed to too many other creative activities, fail to
recognize opportunities, or resist the change that innovation requires.
• Organizations can use a variety of tools to overcome these problems, including the reward
system, organizational culture, and intrapreneurship.
Questions for Review
1. What forces or kinds of events lead to organization change? Identify each force or event as a planned or a reactive change.
2. Compare planned and reactive change. What are the advantages of planned change, as compared to reactive change?
3. In a brief sentence or just a phrase, describe each of the organizational development (OD) techniques.
4. Consider the following list of products. Categorize each along all three dimensions of
innovation, if possible (radical versus incremental, technical versus managerial, and product
versus process). Explain your answers.
• Moving traditional college classes to an online platform and teaching them in a virtual format
• The rise in popularity of virtual organizations (discussed in Chapter 11)
• Checking the security of packages on airlines with the type of MRI scanning devices that are common in health care
• A device combining features of a cellphone and a handheld computer with Internet capability
• Robotic arms that can perform surgery that is too precise for a human surgeon’s hands
• Hybrid automobiles, which run on both batteries and gasoline
• Using video games to teach soldiers how to plan and execute battles
1. Forces or events leading to change:
Technology advancement (planned) Market competition (reactive)
New laws or policies (reactive)
Organizational growth (planned) Economic crisis (reactive)
Leadership change (planned or reactive)
2. Planned vs. Reactive change:
Planned change: Proactive and strategic.
Reactive change: Response after problems arise.
→ Advantage: Planned change reduces risk, improves control, and aligns better with long-term goals.
3. OD techniques (brief):
Survey feedback: Collects employee opinions for improvement.
Team building: Strengthens cooperation and trust.
Process consultation: Helps solve group problems.
Intergroup development: Improves relations between departments.
Third-party peacemaking: Resolves conflicts with an outside mediator.
4. Categorizing innovations: Product
Type of Innovation Explanation Online college classes Incremental, managerial, Changes teaching method via process technology Virtual organizations Radical, managerial, process New way of structuring firms MRI for airline security Incremental, technical,
process Adapts existing tech for new use Cellphone-computer
device Radical, technical, product Creates a new product category Surgical robotic arms Radical, technical, process
Major change in surgical methods Hybrid automobiles Incremental, technical,
product Improves existing cars for efÏciency Video game soldier Incremental, managerial, Uses gaming for new training training process approach
Questions for Analysis
1. What are the symptoms that a manager should look for in determining whether an
organization needs to change? What are the symptoms that indicate that an organization has been through too much change?
2. Assume that you are the manager of an organization that has a routine way of performing a
task and now faces a major change in how it performs that task. Using Lewin’s model, tell what
steps you would take to implement the change. Using the comprehensive approach, tell what
steps you would take. For each step, give specific examples of actions you would take at that step.
3. Think back to a time when a professor announced a change that you, the student, did not
want to adopt. What were the reasons for your resistance to the change? Was the professor
able to overcome your resistance? If so, tell what he or she did. If not, tell what he or she could
have done that might have been successful.
1. Symptoms of need for change: Low productivity, poor morale, high turnover, customer
complaints, and outdated technology.
Symptoms of too much change: Employee burnout, confusion, low motivation, and loss of focus.
2. Lewin’s Model:
Unfreezing: Explain the need for change and reduce fear (e.g., meetings to show why new methods are better).
Changing: Train staff and introduce the new process (e.g., workshops, trial runs).
Refreezing: Reinforce new habits through rewards and recognition. Comprehensive Approach:
Recognize need: Identify performance gaps.
Set goals: Define what the change will achieve.
Plan change: Assign roles and timeline.
Implement: Communicate clearly and provide training.
Evaluate & reinforce: Monitor results and celebrate success.
3. Example (student perspective):
I resisted when a professor switched to online exams because it felt unfamiliar and stressful.
The resistance came from fear of technical issues and grading fairness.
The professor reduced resistance by giving a practice test and clear instructions, which
increased confidence and acceptance.