Quản trị kinh doanh - Chapter 4: Organizations and change management

Chapter 4Organizations and Change ManagementIllustrate how internal influences create unique types of culturesExplain how managers analyze challenges and opportunities in organizationsSummarize the common reasons why managers change how their organizations operateSummarize how managers change organizations by intervening in systemsLearning ObjectivesInternal environmentComprises the forces inside an organization that affect how managers set expectations, how employees perform their roles, and how the company interacts with stakeholders and responds to external environmentsEmphasized by management-focused capitalismExternal environmentSpecific and general factors outside an organization that can change how it operatesEmphasized by customer-focused capitalismIntroduction (p. 86)Introduction (cont.)Figure 4.1Organizational cultureCollection of beliefs, shared by individuals and groups, to help their organization to respond to environmental forces and changes Experienced at the:Conscious level – can be seen or heard openly (p. 88)Unconscious level – things that employees think or feelInternal Environment (p. 87)Organizational culture (cont.) – manifest in:Slogan – repetitive phrase intended to support an organizational culture, mission, vision, or values (p. 88)Story – narrative, usually fictionalized or enhanced over time, based on actual organizational experiencesSymbol – event, situation, object, person, or other artifact that provides greater meaning to the organization (p. 89)Ritual – formalized activity intended to communicate and teach the organization’s cultureCeremony – event that provides one or more stakeholders with a sense of purpose and meaning connected to the organizationInternal Environment (cont.)Organizational culture (cont.) – manifest in:Heroes – real or imagined person who represents an ideal performer specific to the organizational culture (p. 90)Stages in a hero’s journeyInternal Environment (cont.)Figure 4.3An organizations specific environment includes the external factors that affect and organization’s operations and performance.Customers – needs responded to by: Reactive engagement – modify products and services based on customer feedbackProactive engagement – create alternative product/service to enhance customer’s experienceInteractive engagement - collaborate with customers to develop products/services better suited to their needsSpecific Environment (p. 91)Talent (p. 92)People who have the skills, knowledge, creativity, and relationships necessary to optimize an organization’s performanceCrowd sourcing – companies employ the efforts of its customers and the public to innovate and further its missionAdvocacy group (p. 93) Set of people dedicated to instituting change based on their concerns or interestsBoycott – attempt by an individual or group to change the actions of an organization by convincing other customers not to purchase the products or servicesSpecific Environment (cont.)Suppliers (p. 94)Entities that provide an organization with the external resources that it needs to operate, including money, materials, people, and informationRegulation (p. 95)Rules set by external governing bodies that dictate standards and procedures for industries, businesses, and professionalsGovernment activism – role played by government in “encouraging” business to behave in ways that are in the public interest through tax credits and other incentives (p. 96)Specific Environment (cont.)Competitors (p. 97)Organizations that sell comparable products and servicesCompetitive analysis – attempt to understand the features and benefits of competitor’s products and servicesSpecific Environment (cont.)External forces that affect all organizations participating in an economy, where managers have little or no power to effect changePolitics/lawsRelate to most, if not all, businesses, and not just to those in a particular industryCitizens UnitedGeneral Environment (p. 97)Resources (p. 99)Demand influenced by the world populationGeneral Environment (cont.)Figure 4.7Resources (cont.)Energy (p. 100) - projected world energy consumptionGeneral Environment (cont.)Figure 4.8Resources (cont.)Water (p. 101) – an increasingly wasted resourceGeneral Environment (cont.)Figure 4.9Technology (p. 101)Speed of technology innovation requires managers to assess and adapt continuously to its impactSociocultural forces (p. 102)Behaviors and beliefs associated with demographic groups that comprise an organization’s available talent and customersDemographics – sociological characteristics that define an organization’s talent and customers (e.g., age, gender, ethnicity)General Environment (cont.)Economy (p. 102)Orchestrated system of talent, resources, and money intended to create and distribute products and services“Stock market indexes”General Environment (cont.)Figure 4.10Economy (cont.)Gross domestic product (GDP) – value of what a country produces on an annual basis (p. 104)Represents the size of the economy as a number (nominal) or per person (capita)Internet and e-commerce have enabled countries around the world to exchange services easilyLeads to rapid expansion of economiesGeneral Environment (cont.)World economies – nominal GDPGeneral Environment (cont.)Figure 4.11General Environment (cont.)World economies – per capita GDPFigure 4.11Change managementAchieving goals by altering behaviors or processes in response to environmental forcesResistance to change stems from:Threat to personal interestsUncertainty about meaning of change Mistrust of those initiating changeDoubts about ability to cope with changes Clashing perspectives among different people about the changeHow Do Managers Change Organizations? (p. 106)Driving and restraining forces (p. 107)Force-field analysis - Kurt LewinDriving forces – provide motivation for achieving a goalRestraining forces – barriers to change that impede progress to the goal Assess the need for change and identify the potential obstacles that may have to be overcome to achieve changeHow Do Managers Change Organizations? (cont.)Stages of change (p. 108)Unfreezing – process of informing employees of the change and why it is neededChange agents – specialists who facilitate change by identifying problems and preseenting them to managementChanging – a strategy for employees to help reinforce the need for changeRefreezing – people embrace the change and are rewarded for their commitment and participation in making the change happen How Do Managers Change Organizations? (cont.)Leading change: Eight steps for implementing change (p. 109)Putting the pressure onForming a guiding coalitionCreating a visionUsing widespread communicationOvercoming obstaclesCelebrating short term winsAssessing the transformation processInstilling change in the corporate cultureHow Do Managers Change Organizations? (cont.)