Approaches to Managing

Organizational Changes

Aastha Shukla (221810310002)

A.Abhignya (221810310004)

B.Vennela (221810310006)

K.Sai Prasad (221810310033)

MD.Shayaq (221810310038)

Y.Balaji (221810310059)
Table of contents:
1. What leads to organizational change
2. Four Steps to Manage Organizational Change
3. Four approaches
4. Why do we need models
5. Model 1:Nudge theory
6. Model 2: Adkar model
7. Model 3: Kubler-Ross 5 stage model
8. Model 4: Mckinsey 7 S model
9. Model 5: Bridges transition model
10. Model 6: Deming Cycle
11. Conclusion
 Introduction
Organization is the structural framework of duties and responsibilities required of personnel
in performing various functions with a view to achieve business goals through organization.

Why does Organizational Change occur:

● Organizational change occurs when a
company makes a transition from its
current state to desired future state.
● The failure may be due to the manner in
which change has been visualized,
announced, and implemented or because
internal resistance to it builds.
It is very important for a company to adapt to the changing demands of the
market and the global economic situation.

● The external environment is affected by

political,social, technological, and economic
stimuli outside of the organization that
cause changes.
● The internal environment is affected by the organization's
management policies and styles, systems,
and procedures, as well as employee attitudes.
Four Steps to Manage Organizational Change:

1.Reducing Uncertainty: The feeling of uncertainty is typically about the aim, process, and
expected outcomes of change and its implications for individual employees
2.Overcoming Resistance to change: Employee resistance to change is among the most
challenging barriers to overcome for changing organizations. During the change process,
the normal reproduction of the organizational structures, routines, and rules is interrupted.
Steps:
3.Facilitating Employee Participation: Often, employees feel frustrated with
organizational change because of a lack of involvement in the change process.Giving
employees a small empowering opportunity could significantly affect their attitudes
because it can provide them with some sense of control over the change process and help
move the change effort along.

4.Building shared understanding and Mutual Interpretation:When a change initiative is

implemented, it creates a new reality through communication. Employees facing the
change initiative immediately try to make sense of it and understand its potential effects on
them. This sense making accompanied by adequate information and communication from
an organization could resolve uncertainties and ambiguities.
LEADER -DRIVEN APPROACH:
● In this approaches , change is led by one leader or CEO from within the
organization.
● In this approach the leader has the power and the needed knowledge for the
change.
PROCESS-DRIVEN APPROACH:
● ln this approach, experts or outside
consultants identify the areas for
change and give their
recommendations.
● With this approach the experts or
consultants have the needed
specialized knowledge and the
leader plays a supportive role.
TEAM-DRIVEN APPROACH:
● ln this approach, change is
identified and recommended by a
team of employees from within the
Organization.
● With this approach the involved
employees in the change have all
the knowledge; there is no single
person who has all the knowledge.
CHANGE MANAGEMENT APPROACH:
● It is combination of the process

driven and the team-driven

approach.

● ln this approach experts or

consultants recommend and initiate

change with the input of the

employees from the organization.

Why models ?

Purpose of a Model. Models are representations that can aid in defining,

analyzing, and communicating a set of concepts. System models are specifically
developed to support analysis, specification, design, verification, and validation of
a system, as well as to communicate certain information.
Kubler-Ross 5 stage model
It is a theory developed by psychiatrist Elisabeth Kubler-Ross suggests that we go
through five distinct stages of grief after the loss of a loved one:

1. Denial
2. Anger
3. Bargaining
4. Depression
5. Acceptance
Denial
Anger
Bargaining
Depression
Two parts to Depression
Acceptance
Applications
 MCKINSEY 7S MODEL
❖ The model is based on theory that for an organisation to perform well
The 7 elements need to be aligned and mutually reinforcing.

❖ The model can identify the prerequisites for an improved performance and to
maintain the alignment during change such as restructuring,organisational
merger.

❖ It can be used to understand how the organisational elements are interrelated

and to ensure that wider impact of change in one area is taken into
consideration.
 THE 7 ELEMENTS:
HARD ELEMENTS: SOFT ELEMENTS:
● Strategy ● Shared values
● Structure ● Skills
● systems ● Styles
● staff
Hard elements are those
which can be easily Soft elements are less
identified and directly tangible and more
influenced. influenced by culture.
 BENEFITS OF THE MODEL:
➢ Improves the performance of a company.

➢ Examines the likely effects of future changes within

a company.

➢ Align departments and processes during a merger or

acquisition.
 DRAWBACKS OF 7S MODEL:
❖ The external environment is not mentioned in
the McKinsey 7S Framework.

❖ The notion of performance or effectiveness is

not made explicit in the model.
 EXAMPLES:

For change projects, the 7S model can be used as a framework to prevent the
organization from becoming unbalanced. Examples of change projects are:
reorganisations, mergers and acquisitions, the commissioning of a new system etc.
With the 7S model from McKinsey you can make a so-called 'Gap analysis'.
Bridges Transition Model

The Bridges Transition Model helps organizations and individuals understand and
more effectively manage and work through the personal and human side of change.
The model identifies the three stages an individual experiences during change.
Difference between change and transition?
There are 3 stages :
1)Ending What Currently Is
2)The Neutral Zone
3)The New Beginning.
1.Ending

The last transition stage is a time of acceptance and energy. People have begun
to embrace the change initiative. They're building the skills they need to work
successfully in the new way, and they're starting to see early wins from their
efforts.
 Phases of Ending
Loss:
Influence
Attachment
Meaning
Structure
Security
Relationships
Direction
Emotions: .
Shock

Sadness

Bargaining

Rejection

Frustration
WHY?
Am I in or Out?

Why us?

Why me?

Why didn’t we know?

What did we do wrong?

Are you hiding something?

What leaders can do?

Acknowledgement the loss

Honor the past mark the Endings

Sell the problem first

Expect and acknowledge a variety of reactions

Give people instructions

2.Neutral zone
It is when the critical psychological realignments and repatternings take place. It is the
very core of the transition process. This is the time between the old reality and sense
of identity and the new one. People are creating new processes and learning what their
new roles will be.
In limbo
Disoriented
Rumors
Insecurities
Complaining
Vague Directions
Anxiety over Future
Lack of motivation
Lack of Productivity low Participation
Next step
Open field

Experimentation

Possible Breakthroughs

Potential Innovations
What leaders can do
Explain Neutral Zone

Validate Feelings

Admit you don’t have all Answers

Be optimistic

Share Info Often

Strengthen Intra-group Support

Set up Transition Team

Feedback Boosting Morale

Focus on What YOu Can Control

Involve people in new create Temporary Structure

Lead them innovate

New Beginnings

Acceptance Moving forward

Comfort Increased Clarity

Positive attitude Concerned about Being Successful

Increased productivity What is my role?

Setting into New vision

What leaders can do?
Purpose

Picture the future

Plan the next steps

Part to play?
Deming cycle

It was introduced by W. Edwards Deming.

It’s Philosophy :
Continually provide better products and service & gradually improve the process.
Put quality first,not short-term process.
14 points of management philosophy.
Deming Cycle-plan,do,study and act.
14 Principles of management(contd):

★ Create a vision and demonstrate commitment

★ Adopt new philosophy
★ Build quality into product and process
★ Consider total cost not just initial price
★ Improve constantly and forever
14 Principles of management(contd):

★ Training on the job

★ Institute leadership
★ Drive out fear
★ Optimize the efforts of teams
★ Eliminate exhortations
★ Eliminate numerical targets
14 Principles of management(contd):

★ Remove barriers to worker satisfaction

★ Encourage self improvement
★ Take no action
Deming Cycle
Plan

Developing a plan for exactly what organization going to want to, need to or would
like to achieve.

★ Should keep it SMART

★ S - Specific
★ M-Measurable
★ A-Achievable
★ R-Relevant
★ T-Time-bound
Plan (contd.)
Planning requires

★ Defining a problem or opportunity

★ Analysing the situation
★ Thinking creatively
★ Developing an implementation plan
DO

Executing the plan, taking small steps in controlled circumstances

It is all about doing

★ Research on the basis of previous stage

★ Communicate with the related people
★ Deliver a well expected result
★ Recruiting manpower for the planned work
STUDY/Check

Study(check) just as it implies.

★ Where one perform analysis of the data he has
collected during the previous stage.
★ Checking requires
★ Analysing data and pinpoint problems
★ Observing the effects of the change and test
★ Collecting some more information
★ Inspecting the work which has been on process
ACT
★ Act standardizes the change.
★ If the result is not satisfactory then, repeat the cycle
★ Acting requires
★ Looking for proper resources
★ Starting to implement the process
★ Development of technology
★ Securing the improvement
Benefits of the Deming cycle
Daily routine management-for the individual and/or the team.
Problem solving process
Project Management
Continuous development
Vendor development
H R development
New product development
Process trails
CONCLUSION

Every model is designed for different sceneries .based on the problem we have to
choose a model wisely and work .In future we may get different scenario and
problem based on this practices we can use creative science and make a
difference.