Managing Strategic

Change

Diagnosing the change situation

Change Management styles and
roles
Levers for managing change

Diagnosing Change
Situation

Types of strategic change

The importance of context
Organisational culture
Forcefield analysis

Diagnosing Change
Situation

Types of strategic change

SCOPE

NATURE

Transformational

Realignment

Incremental

Evolution

Adaptation

Big Bang

Revolution

Reconstruction

Diagnosing Change
Situation The importance
of
context
Time
How quickly change is needed
Scope

What degree of change is needed

Preservation

What organization's resources and characteristics to be

maintained

Diversity

How homogeneous are staff and divisions

Capability

What is the managerial and personal capability to

implement change

Readiness

How ready is the workforce for change

Diagnosing Change
Situation

Organisational culture

A work climate to produce results

Originates from founders or other early

influential leaders

Beliefs managers advocate

Ethical standards expected of

organisational members

Tone and philosophy underlining key

policies

Tradition the organisation maintains

Diagnosing Change
Situation

Forcefield analysis

Provides initial view of change problems that need to

be tackled

Identifies forces for and against change

Pushing for change

Resisting Change

High quality service

Workload/overload

Committed to hard work

Firefighting

Flexibility

Departmentalism

Devolved services
(delegating to lower levels)

Formality of management
Stories of the 'good old days'
Blame culture

Change Management

Styles of managing change:

Education and communication

Explanation of the reasons for and means of

strategic change

Collaboration or participation

Involving those who will be affected in the

process of change

The above two are suitable in 'Incremental or

transformational' change circumstances

Change Management

Styles of managing change:

Intervention

Change agent retains coordination/control

Delegates elements of change

Suitable for 'incremental or transformational' change

Direction

Use of authority to set direction and change

Suitable for 'transformational' change

Coercion

Explicit use of power

Suitable for Crisis transformational or autocratic

cultures

Change Management

Roles in managing change:

A 'Change Agent' is the individual or

group that effects strategic change in an
organisation

'Leadership' is the process of influencing

an organisation or group within an
organisation, in its efforts towards
achieving and aim or goal

Change Management

Strategic leadership:

Charismatic leaders: Concerned with

building a vision for organisation,
energising people to achieve it

Incremental or Transformational
leaders: Focus more on designing
systems and controlling the activities

Leaders often need to have both

'charismatic' and 'transformational'
characteristics

Change Management

A Strategic leader's roles:

Strategy creation

Creation of organisational credibility with

action oriented approach

Challenging the status quo to drive change

Communicating strategic intent in a way

people understand the complexities easily

Consolidating a strategy that maintains

organisational performance

Change Management

Roles of Middle Managers:

Implementers of strategy

Put into effect the direction established by top

management

Making sure that resources are allocated and

controlled appropriately

Monitoring performance and behaviour of staff

Explaining the strategy to those reporting to

them

Advise senior management organisational

weaknesses and requirements for change

Change Management

Roles of Outsiders in the change process:

A new chief executive from outside the organisation

Brings fresh perspectives

From within the industry or outside

New management team to increase delivery of ideas

and views to break down cultural barriers to change

Consultants may help in the formulation of strategy or

plan the change process
They do not inherit cultural baggage and bring a
dispassionate view to the process

Stakeholder network of government, investors,

suppliers, customers and business analysts have the
potential to act as change agents

Levers for Managing

Strategic Change

Structure and control systems

Organisational routines
Symbolic processes
Power and political processes
Communicating change
Change tactics

Levers for Managing

Strategic Change

Structure and control systems

Top management may think they have set up

systems to implement strategy; but

Behaviour and culture of organisation may resist

to adapt or change

Levers for Managing

Strategic Change

Organisational routines

Routines are specific processes the way they are

done over time which guides employee
behaviour
Routines resist strategic changes

Education and communication to persuade

employee to change may be less powerful than
involving people in activities of change
Changing routines to change behaviour
may itself help change employee's beliefs

Levers for Managing

Strategic Change

Symbolic processes

Change processes need to recognise rituals around

'symbols' like events, objects, acts and people

New rituals have to be introduced for

enhancement, integration, conflict reduction and
rites of passage

Changes in recruitment and training processes

Changes in physical aspects of work environment

Language of change

Communication through 'grape vine' tactics

Behaviour of change agents themselves

Levers for Managing

Strategic Change

Power and political processes

Associate with groups/individuals supporting

change

Sideline groups/individuals resisting change

Providing resources to accelerate change

Withdraw resources to move people to change

areas

Building alliances and network of contacts

Confirm change through symbolic actions such

as new structures, titles, office location etc

Levers for Managing

Strategic Change

Communicating change

For routine changes:

General bulletins

Personal memo

Grape vine

For complex changes:

Face to face

Interactive with team

Invite feedback by 'walking the talk' in the

workplace

Levers for Managing

Strategic Change

Communicating change

For routine changes:

General bulletins

Personal memo

Grape vine

For complex changes:

Face to face

Interactive with team

Invite feedback by 'walking the talk' in the

workplace

Levers for Managing

Strategic Change

Change tactics:

Timing
Immediately after take over
After few months to understand the existing
routines, areas of attitude to change
(agree/resist)

Delayering areas/layers resistance

Closure of units

Retrenchments (job losses)

Start with small changes in areas of acceptance

and scale the change process in other areas