Summary organization theory Chapter 12
Organizational Structure (EBP670C05)
Rijksuniversiteit Groningen
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Chapter 12 managing organisational change
It is important to differentiate between two types of change: revolutionary and evolutionary change.
Revolutionary change is when the organisation is faced with a change that alters its very nature. Usually the revolutionary change emerges as a response to significant technological and environmental changes. Changes which significantly changes the way in which an organisation operates is called a disruptive technology.
Evolutionary change describes ongoing minor changes that are incorporated in the existing organisational structure. Most change is evolutionary change, it involves minor adjustments in response to circumstantial and unanticipated events.
Figure 12 on page 375 shows the contrast between evolutionary and revolutionary change.
Furthermore change can also be classified as planned or unplanned.
Planned change refers to situations in which organisations have adequate time to anticipate and formulate a response to the drivers of change. The objective of planned change is to maintain the viability of the organisation and respond with minimum disruption and cost.
Unplanned change emerges as a response to an unanticipated threat or event.
Through combining the two dimensions of change, it is possible to develop a matrix which categorises the various forms of change.
The matrix is shown in figure 12 on page 378
The four forms are:
− adaptive change: occurs when change can be considered to be evolutionary and planned. It generally does not affect everyone in the organisation, and presents management with a choice as to how and when it will be implemented. − Systemic change: occurs when change can be considered to be evolutionary but unplanned. This change is organisation-wide and touches on most areas of the organisation's operations. − Transitory change: occurs when change can be considered to be evolutionary and unplanned. Most change is not far-reaching unless the organisation's existence is threatened. − Chaotic change: occurs when change can be considered to be revolutionary and unplanned. It threatens the organisation's existence, and arrives so fast that adequate planning is not possible. Handling the situation entails management going into crisis mode.
The indicators of a need for a new structure are as follows:
- Decision making is slow or inappropriate
- The organisation is not responding innovatively to environmental change.
- All important tasks should have someone responsible for them.
Figure 12 on page 383 represents a model for arganisational change and shows how change may be broken down into a set of steps.
Large-scale change programs require a comprehensive plan. The change plan identifies the intervention strategies, which fall into one of these four categories:
− people (not discussed in this book) − structure: − the distribution of authority − areas of responsibility − allocation of rewards − alterations in the chain of command − degree of formalisation − addiction or elimination of positions, departments and divisions − technology − modifications to the equipment that employees use − interdependencies of work activities among employees and the technical demands of their jobs. Every change must be supported by appropriate technology. − organisational processes − changes in decision-making and communication patterns.
Often employees are resistant to change. Seven tactics that managers may use for dealing with resistance to change are described in table 12 on page 393.
Once the change has been implemented, it is necessary to ensure that the organisation does not revert to its former ways. There are a number of key factors that determine the degree to which a change will become permanent. The factors are:
− reward allocation system − the support of a sponsor − transmitting information − cultural change and group forces − commitment to the change − change is less likely to become permanent if it is implemented in a single unit of the organisation
appropriate tactics for implementing change are critical to success. Research has identified four basic tactics: − intervention: characterised by change agents selling their change rationale to those who will be affected. − Participation: characterized by change agents delegating the implementation decision to those who will be affected. − Persuasion: characterized by change agents handling change by essentially abdicating the decision to experts. − Edict: characterized by top management making the key decisions and using hierarchical authority to implement them.
There is no one best way to manage unplanned change. However the following actions can be considered to be the most appropriate to take in such case:
− centralisation of management − establishment − active management of the environment − management of resources − need for active leadership
Summary organization theory Chapter 12
Vak: Organizational Structure (EBP670C05)
Universiteit: Rijksuniversiteit Groningen
Aanbevolen voor jou
Andere studenten bekeken ook
- Summary Organizational Structure Chapter 5 and Chapter 6
- Samenvatting Organisation Theory
- Samenvatting Organisation Theory - Summary Chapter 5&6 | Organizational Structure
- Samenvatting Organisation Theory | Organizational Structure
- Samenvatting Organisation Theory - Summary of Chapter 5 And 6 | Organizational Structure
- Samenvatting Organisation Theory
Gerelateerde documenten
- Summary Organization Theory, - H13-14
- Samenvatting Organisation Theory
- Samenvatting Organisation Theory - Summary chapter 5&6
- Samenvatting Organisation Theory - Samenvatting van hoofdstuk 3 en 4 uit organisation theory voor het vak organizational structure (ib year 1 rug)
- MAKE UP Assignment Chapter 13 AND 14
- Organizational Structure - Samenvatting - werkgroepen 3-7 - Summary about 6 chapter and food for thought