eleventh edition organizational behavior stephen p robbins Chapter 18 Organizational Change and Stress Management ORGANIZATIONAL BEHAVIOR S T E P H E N P R O B B I N S E L E V E N T H © 2005 Prentice Hall Inc All rights reserved E D I T I O N WWW.PRENHALL.COM/ROBBINS PowerPoint Presentation by Charlie Cook OBJECTIVES LEARNING After studying this chapter, you should be able to: Describe forces that act as stimulants to change Summarize the sources of individual and organizational resistance to change Summarize Lewin’s three-step change model Explain the values underlying most OD efforts Contrast process reengineering and continuous improvement processes Identify properties of innovative organizations © 2005 Prentice Hall Inc 18– All rights reserved List characteristics of a learning organization Describe potential sources of stress Explain individual difference variables that moderate the stress–outcome relationship LEARNING O B J E C T I V E S (cont’d) After studying this chapter, you should be able to: © 2005 Prentice Hall Inc All rights reserved 18–4 Forces Forces for for Change Change Force Examples Nature of the workforce More cultural diversity Aging population Many new entrants with inadequate skills Technology Faster, cheaper, and more mobile computers On-line music sharing Deciphering of the human genetic code Economic shocks Rise and fall of dot-com stocks 2000–02 stock market collapse Record low interest rates Competition Global competitors Mergers and consolidations Growth of e-commerce © 2005 Prentice Hall Inc All rights reserved E X H I B I T 18–1 E X H I B I T 18–1 18–5 Forces Forces for for Change Change Force Examples Social trends Internet chat rooms Retirement of Baby Boomers Rise in discount and “big box” retailers World politics Iraq–U.S war Opening of markets in China War on terrorism following 9/11/01 © 2005 Prentice Hall Inc All rights reserved 18– E X H I B I T 18–1 (cont’d) E X H I B I T 18–1 (cont’d) Managing Managing Planned Planned Change Change Change Making things different Planned Change Activities that are intentional and goal oriented Change Agents Persons who act as catalysts and assume the responsibility for managing change activities © 2005 Prentice Hall Inc All rights reserved Goals Goalsof ofPlanned Planned Change: Change: Improving Improvingthe theability abilityof of the theorganization organizationto to adapt adaptto tochanges changesininits its environment environment Changing Changingthe thebehavior behavior of ofindividuals individualsand and groups groupsininthe the organization organization 18–7 Resistance Resistance to to Change Change Forms of Resistance to Change – Overt and immediate • Voicing complaints, engaging in job actions – Implicit and deferred • Loss of employee loyalty and motivation, increased errors or mistakes, increased absenteeism © 2005 Prentice Hall Inc All rights reserved 18–8 Sources Sources of of Individual Individual Resistance Resistance to to Change Change © 2005 Prentice Hall Inc All rights reserved E X H I B I T 18–2 E X H I B I T 18–2 18–9 Sources Sources of of Organizational Organizational Resistance Resistance to to Change Change © 2005 Prentice Hall Inc All rights reserved 18– 10 E X H I B I T 18–2 (cont’d) E X H I B I T 18–2 (cont’d) Creating Creating aa Learning Learning Organization Organization Fundamental FundamentalProblems Problemsin inTraditional Traditional Organizations: Organizations: •• Fragmentation Fragmentationbased basedon onspecialization specialization •• Overemphasis Overemphasison oncompetition competition •• Reactiveness Reactivenessthat thatmisdirects misdirectsattention attentionto to problem-solving problem-solvingrather ratherthan thancreation creation © 2005 Prentice Hall Inc All rights reserved 18– 32 Managing Managing aa Learning Learning Organization Organization Establish Establish aastrategy strategy Redesign Redesignthe the organization’s organization’s structure structure Managing Managing Learning Learning Reshape Reshapethe the organization’s organization’sculture culture © 2005 Prentice Hall Inc All rights reserved 18– 33 Mastering Mastering Change: Change: It’s It’s Culture-Bound Culture-Bound Questions Questionsfor forculture-bound culture-boundorganizations: organizations: 1.1 Do Dopeople peoplebelieve believechange changeisiseven evenpossible? possible? 2.2 How Howlong longwill willitittake taketo tobring bringabout aboutchange changeininthe the organization? organization? 3.3 IsIsresistance resistanceto tochange changegreater greaterininthis thisorganization organizationdue due to tothe theculture cultureof ofthe thesociety societyininwhich whichititoperates? operates? 4.4 How Howwill willthe thesocietal societalculture cultureaffect affectefforts effortsto toimplement implement change? change? 5.5 How Howwill willidea ideachampions championsininthis thisorganization organizationgo goabout about gathering gatheringsupport supportfor forinnovation innovationefforts? efforts? © 2005 Prentice Hall Inc All rights reserved 18– 34 Too Too Much Much Work, Work, Too Too Little Little Time Time With companies downsizing workers, those who remain find their jobs are demanding increasing amounts of time and energy A national sample of U.S employees finds that they: Feel overworked 54% Are overwhelmed by workload 55% Lack time for reflection 59% Don’t have time to complete tasks 56% Must multi-task too much 45% © 2005 Prentice Hall Inc All rights reserved Source: Business Week, July 16, 2001, p 12 18– 35 E X H I B I T 18–7 E X H I B I T 18–7 Work Work Stress Stress and and Its Its Management Management Stress A dynamic condition in which an individual is confronted with an opportunity, constraint, or demand related to what he or she desires and for which the outcome is perceived to be both uncertain and important © 2005 Prentice Hall Inc All rights reserved 18– 36 Work Work Stress Stress and and Its Its Management Management Constraints Forces that prevent individuals from doing what they desire Demands The loss of something desired © 2005 Prentice Hall Inc All rights reserved 18– 37 © 2005 Prentice Hall Inc All rights reserved Source: The Far Side® by Gary Larsen © 1995 & 1991 Farworks, Inc./Distributed by Universal Press Syndicate Reprinted with permission All rights reserved 18– 38 E X H I B I T 18–8 E X H I B I T 18–8 Potential Potential Sources Sources of of Stress Stress  Environmental Factors – Economic uncertainties of the business cycle – Political uncertainties of political systems – Technological uncertainties of technical innovations – Terrorism in threats to physical safety and security © 2005 Prentice Hall Inc All rights reserved 18– 39 Potential Potential Sources Sources of of Stress Stress  Organizational Factors – Task demands related to the job – Role demands of functioning in an organization – Interpersonal demands created by other employees – Organizational structure (rules and regulations) – Organizational leadership (managerial style) – Organization’s life stage (growth, stability, or decline) © 2005 Prentice Hall Inc All rights reserved 18– 40 Potential Potential Sources Sources of of Stress Stress (cont’d) (cont’d)  Individual Factors – Family and personal relationships – Economic problems from exceeding earning capacity – Personality problems arising for basic disposition  Individual Differences – Perceptual variations of how reality will affect the individual’s future – Greater job experience moderates stress effects – Social support buffers job stress – Internal locus of control lowers perceived job stress – Strong feelings of self-efficacy reduce reactions to job © 2005 Prentice Hall Inc 18– stress All rights reserved 41 Consequences Consequences of of Stress Stress High HighLevels Levels of ofStress Stress Physiological Physiological Symptoms Symptoms Psychological Psychological Symptoms Symptoms © 2005 Prentice Hall Inc All rights reserved Behavioral Behavioral Symptoms Symptoms 18– 42 AA Model Model of of Stress Stress © 2005 Prentice Hall Inc All rights reserved 18– 43 E X H I B I T 18–9 E X H I B I T 18–9 Inverted-U Inverted-U Relationship Relationship between between Stress Stress and and Job Job Performance Performance © 2005 Prentice Hall Inc All rights reserved 18– 44 E X H I B I T 18–10 E X H I B I T 18–10 Managing Managing Stress Stress  Individual Approaches – – – – Implementing time management Increasing physical exercise Relaxation training Expanding social support network © 2005 Prentice Hall Inc All rights reserved 18– 45 Managing Managing Stress Stress  Organizational Approaches – – – – – – – – Improved personnel selection and job placement Training Use of realistic goal setting Redesigning of jobs Increased employee involvement Improved organizational communication Offering employee sabbaticals Establishment of corporate wellness programs © 2005 Prentice Hall Inc All rights reserved 18– 46 [...]... to to Change Change Tactics Tacticsfor fordealing dealingwith withresistance resistance to tochange: change: •• Education Educationand andcommunication communication •• Participation Participation •• Facilitation Facilitationand andsupport support •• Negotiation Negotiation •• Manipulation Manipulationand andcooptation cooptation •• Coercion Coercion © 2005 Prentice Hall Inc All rights reserved 18 11... equilibrium 18 13 Lewin’s Lewin’s Three-Step Three-Step Change Change Model Model © 2005 Prentice Hall Inc All rights reserved 18 14 E X H I B I T 18 3 E X H I B I T 18 3 Unfreezing Unfreezing the the Status Status Quo Quo © 2005 Prentice Hall Inc All rights reserved 18 15 E X H I B I T 18 4 E X H I B I T 18 4 Kotter’s Kotter’sEight-Step Eight-StepPlan Planfor forImplementing ImplementingChange Change. .. time and energy A national sample of U.S employees finds that they: Feel overworked 54% Are overwhelmed by workload 55% Lack time for reflection 59% Don’t have time to complete tasks 56% Must multi-task too much 45% © 2005 Prentice Hall Inc All rights reserved Source: Business Week, July 16, 2001, p 12 18 35 E X H I B I T 18 7 E X H I B I T 18 7 Work Work Stress Stress and and Its Its Management Management... reassess changes, and make necessary adjustments in the new programs Reinforce the changes by demonstrating the relationship between new behaviors and organizational success © 2005 Prentice Hall Inc All rights reserved Source: Based on J P Kotter, Leading Change (Boston: Harvard Business School Press, 1996) 18 16 E X H I B I T 18 5 E X H I B I T 18 5 Action Action Research Research Action Research A change. .. Politics of of Change Change  Impetus for change is likely to come from outside change agents  Internal change agents are most threatened by their loss of status in the organization  Long-time power holders tend to implement only incremental change  The outcomes of power struggles in the organization will determine the speed and quality of change © 2005 Prentice Hall Inc All rights reserved 18 12 Lewin’s... a compelling reason for why change is needed Form a coalition with enough power to lead the change Create a new vision to direct the change and strategies for achieving the vision Communicate the vision throughout the organization Empower others to act on the vision by removing barriers to change and encouraging risk taking and creative problem solving Plan for, create, and reward short-term “wins”... York: Doubleday, 1990) 18 30 E X H I B I T 18 6 E X H I B I T 18 6 Creating Creating aa Learning Learning Organization Organization Single-Loop Learning Errors are corrected using past routines and present policies Double-Loop Learning Errors are corrected by modifying the organization’s objectives, policies, and standard routines © 2005 Prentice Hall Inc All rights reserved 18 31 Creating Creating... the client, and between the client and other people; identifies processes that need improvement © 2005 Prentice Hall Inc All rights reserved 18 21 Organizational Organizational Development Development Techniques Techniques (cont’d) (cont’d) Team Building High interaction among team members to increase trust and openness Team TeamBuilding BuildingActivities: Activities: • • Goal Goaland andpriority... Prentice Hall Inc All rights reserved 18 24 Contemporary Contemporary Change Change Issues Issues For For Today’s Today’s Managers Managers  How are changes in technology affecting the work lives of employees?  What can managers do to help their organizations become more innovative?  How do managers create organizations that continually learn and adapt?  Is managing change culture-bound? © 2005 Prentice... Individuals who take an innovation and actively and enthusiastically promote the idea, build support, overcome resistance, and ensure that the idea is implemented © 2005 Prentice Hall Inc All rights reserved 18 29 Creating Creating aa Learning Learning Organization Organization Learning Organization An organization that has developed the continuous capacity to adapt and change Characteristics: Characteristics: