Upload
franziska-becker
View
358
Download
0
Tags:
Embed Size (px)
DESCRIPTION
Citation preview
Change – troublesome or opportunity?
All changes great and small:
Change and PerformanceFranziska Becker
FORCES OF CHANGE TODAY.WHERE FACED.
1. Knowledge Economy - educating & learning tomorrow ?
2. Virtual organizations - rise of SME sector ?
3. Merger & Acquisition - rise of corporates?
4. E- commerce – changing retail and services?
5. Digital convergence
6. Privatizations - price fluctuations ?
...changing the way we do business tomorrow
"in times likes these, change seems to be
the only constant we
got!" - Isaac Asimov -
"in times likes these, change seems to be
the only constant we
got!" - Isaac Asimov -
Does change enhances the organization's survival chances? (i.e. is change adaptive ?)
Does this depend on the type of change and if so: HOW?
The two sides of change - Strategic Agenda for today
Technical side Human side
1.Organizational Inertia and Momentum
2. Organizational
identities and the hazard of change
3.Organizational Transformation
Why may organizational change threaten the organization's survival? What are your experiences?
Your top 3. My top 3.
Uncertainty
Systematic Before mindset
Lack of communication
Big changes demands adaptivity
Before we dig into the articles…What is
organizational ecology?
Base of articles
The macro perspective on
change
Organizational Inertia &
Momentum
A Dynamic Model of Strategic Change
Kelly & Amburgey, 1991
What is (structural) inertia?
The hindrance of
change
Organizational change/ conscious
innovation
Definition
In consultancy: what would be your first step when facing a change attempt in the core features?Airline Deregulation Act 1978/ airline industry - how strong is the influence of single variables?
Inertia put into context – Case/ Group Discussion
Case Kodak – When change changes too fast
Core Values
1. Stated goals2. Forms of authority3. Core technology4. Marketing strategy
please consider those when working on the
Kodak case
Time for some quick environmental
change!Let s get some coffee!
Organizational identities and the hazard of change
Institutional and Corporate Change
Hannan et al., 2006
What is a non- technical account?
•Identity- based resistance to change in employment relations disrupts organizations and degrades performance (p. 757) (--> study focus/ objective)
•What are organizational identities then?
What are organizational identities?
•Identity refers to characteristics and behavior whose absence exposes organizations to negative evaluations and concequences.
Hypotheses. Results.
Our Discussion.
Hazard of failureHazard of IPOGrowth rate in market cap.Outsider executive
Changes in blueprints.
H1: changes in blueprints
(a)increase the hazard of failure
(b)Lower the hazard of IPO
(c)Depress the rate of growth in market
capitalization H2:
Appointment of an outsider as a chief
executive destabilizes organizations less than
changes in blueprints for employment relations
Overall:Origins matter
Core feature change implies an alternation of premises, values, and routines having been internalize by
employees
++
++--++
Main results/findings
1. Hazard of failure:p. 769
2. Hazard of IPO:p. 773
3. Depress growth rates of Market capitalization:p. 774
4. Change of CEO:
“(…) evidence that changing the organizational blueprint diminishes chances of early success.
Specifically, change increased the odds of failure and reduced growth in market capitalization”
According the the article:
Changes in the organizations core is dangerous because
• Reliability & accountability fall
• Raise questions about nature of the organization
• Missing opportunities during reorganization
• Degrades performance
• Destabilizes the organization
• Decreases creativity
• Increase the hazard of failure
Core feature change put into context – Case/ Group Discussion
Case: Fiat – Successfully Fighting Inertia
What does this case show us concerning ‘core feature change’?
What would be a vital change management approach?
TOWARDS A VITAL CHANGE MANAGEMENT APPROACH – HOW DID FIAT DO IT?
1. Can Do- Mentality2. New CEO3. Focus on patenting4. Talented young team
Bottom- up or top- down?
Member involvement?
Bottom- up or top- down?
Member involvement?
Legal and regulatory context
of ownership
Legal and regulatory context
of ownership
Membership- based organizations
Membership- based organizations
Bigger picture:Organizational transformation and its influencers
Communication and
other sense-making efforts
Processes
‘Meeting the challenge of disruptive change’ (Christensen & Overdorf, 2000)
Time
Start-up phase: mostly people
(CEO Blueprint)
Hard-to- change
interaction, communication, coordination etc.
to transform resources into
products of greater worth(Core features
evolving)
Standards by which employees
set prios
Resources Values Culture
Additional
insights
Core lessons learned ? – Final thought
How and what does it take for us to create an environment of reliability and accountability [inertia characteristics] in volatile [fast -CHANGing] times?
What would be a good approach to make change an opportunity rather than a threat?
Does change enhances the organization's survival chances?
Does this depend on the type of change and if so: HOW?It is not the question whether change is adaptive or enhances the survival chances.
Change is a given factor we will always face and need to work with when wanting to
maintain within the market.
Change thus much more implies opportunities to take the company into the next level and yes then IT DOES ENHANCE
SURVIVAL CHANCES
It is not the question whether change is adaptive or enhances the survival chances.
Change is a given factor we will always face and need to work with when wanting to
maintain within the market.
Change thus much more implies opportunities to take the company into the next level and yes then IT DOES ENHANCE
SURVIVAL CHANCES
How do we do this? Here an example:
…for contributing! Enjoy your night!