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Chapter16Powerpoint.pptx
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Chapter17Powerpoint.pptx
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Chapter18Powerpoint.pptx
Organization Development & Change 11 edition Thomas G. Cummings • Christopher G. Worley
CHAPTER
16
Workforce Diversity, Inclusion, and Wellness
©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Learning Objectives
Examine human resources management interventions related to workforce diversity and inclusion.
Understand and evaluate the effectiveness of employee wellness interventions.
©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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A Framework for Managing Diversity
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Age Diversity
Trends
Median age up
Distribution of ages changing
Implications
Health care
Mobility
Security
Interventions
Wellness programs
Job design
Career development and planning
Reward systems
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Gender Diversity
Trends
Percentage of women in work force increasing
Dual-income families increasing
Implications
Child care
Maternity/paternity leaves
Single parents
Interventions
Job design
Fringe benefit rewards
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Race and Ethnicity Diversity
Trends
Minorities represent large segments of workforce and a small segment of top management/senior executives
Qualifications and experience of minority employees is often overlooked
Implications
Discrimination
Interventions
Equal employment opportunities
Mentoring programs
Education and training
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Sexual Orientation Diversity
Trends
Number of single-sex households up
More liberal attitudes toward sexual orientation
Implications
Discrimination
Interventions
Equal employment opportunities
Fringe benefits
Education and training
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Disability Diversity
Trends
The number of people with disabilities entering the work force is increasing
Implications
Job skills and challenge issues
Physical space design
Respect and dignity
Interventions
Performance management
Job design
Career planning and development
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Culture and Values Diversity
Trends
Rising proportion of immigrant and minority-group workers
Shift in rewards
Implications
Flexible organizational policies
Autonomy
Affirmation and respect
Interventions
Career planning and development
Employee involvement
Reward systems
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Stress and Wellness Interventions
Goals
Increase work and job-related satisfactions
Reduce stress to improve member’s general health
Diagnosing Stress
Workplace Stressors
Individual Differences
Charting Stressors
Health Profiling
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
A Model of Stress and Work
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Stress and Wellness Interventions (1)
Role Clarification
A systematic process for determining expectations and understanding work roles
Manager defined roles and compared with perceived job duties and responsibilities to come to consensus on intended definitions
Supportive relationships
Establish trust and positive relationships
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Stress and Wellness Interventions (2)
Work leaves
Paid or unpaid leaves, and sabbaticals
Temporary time off for renewal or pursuit of personal interests while retaining a valued employee
Health Facilities
Employee Assistance Programs
Establish trust and positive relationships
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Stress and Wellness Interventions (3)
Employee Assistance Programs
Designed to help the individual directly
Provide a way to respond to extreme or chronic stress
Help organizations treat workers whose personal problems affect their performance
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Organization Development & Change 11 edition Thomas G. Cummings • Christopher G. Worley
CHAPTER
17
Transformational Change
©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Learning Objectives
Describe the characteristics of transformational change.
Present the integrated strategic change intervention and understand how it represents the revolutionary and systemic characteristics of transformational change.
Explain the organization design process, including domestic and worldwide applications.
Discuss the process and key success factors associated with downsizing.
©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Characteristics of Transformational Change
Change is triggered by environmental and internal disruptions
Change is initiated by senior executives and line managers
Change involves multiple stakeholders
Change is systemic and revolutionary
Change involves significant learning and a new paradigm
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Integrated Strategic Change
Integrated Strategic Change ………
is a deliberate coordinated process that
leads to gradually or radically systemic
realignments between the environment
and a firm’s strategic orientation resulting
in improvement in performance and
effectiveness.
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Integrated Strategic Change (ISC) Key Features
Strategic Orientation
Creating the Strategic Plan
Integrating Individuals and Groups into the Process
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
The Integrated Strategic Change Process
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Implementing the ISC Process
Strategic Analysis
Assess the readiness for change and top management’s ability to carry out change
Diagnose the Current Strategic Orientation
Strategic Choice
Top management determines the content of the strategic change
Designing the Strategic Change Plan
Development of a comprehensive agenda to achieve the change
Implementing the Strategic Change Plan
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Organization Design
Conceptual Framework
Strategy
Structure
Work Design
Human Resources Practices
Management Processes
Key Concepts
Fit, Congruence, Alignment among Organizational Elements
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Comprehensive Model for Diagnosing Systems: Organizational Level
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
The Functional Structure (1)
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The Functional Structure (2)
Advantages
Promotes and develops technical specializations
Reduces duplication of scarce resources and supports flexible deployment
Enhances career development, facilitates communication when superiors share expertise with subordinates
Supports the development of common processes
Disadvantages
Emphasizes routine tasks; encourages short time horizons
Fosters narrow perspectives by managers, not business metrics and broader criteria for decision making
Processes cut across functions making coordination and scheduling more difficult; obscures accountability for overall outcomes; managers and employees may not have a line of sight to business
Contingencies
Stable and certain environment
Small- to medium-size
Routine technology, interdependence within functions
Goals of efficiency and technical quality
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
The Divisional Structure (1)
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The Divisional Structure (2)
Advantages
Recognizes sources of interdepartmental dependencies, reduces complexity
Allows diversification an expansion of skills and training
Ensures accountability by departmental managers; promotes delegation of authority
Heightens departmental cohesion and involvement in work
Disadvantages
May use skills and resources inefficiently; difficult to coordination across divisions
Limits career advancement by specialists to movements out of their departments; impedes specialist’s exposure to others; hard to create common processes
Line of sight is to business; divisional objectives over organization objectives
Contingencies
Unstable and uncertain environments
Large size
Technological interdependence across functions
Goals of product specialization and innovation
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
The Matrix Structure (1)
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The Matrix Structure (2)
Advantages
Makes specialized, functional knowledge available to all projects
Use people flexibly and can adapt to environmental changes
Maintains consistency by forcing communication between managers
Recognizes and provides mechanisms for dealing with legitimate, multiple sources of power
Disadvantages
Can be difficult to implement; makes inconsistent demands and can promote conflict and short-term crisis orientation
Increases role ambiguity, stress, and anxiety and may reward political skills over technical skills
Performance is lowered without power balancing between projects and functions
Contingencies
Dual focus on unique product demands and technical specialization
Pressure for high information-processing capacity
Pressure for shared resources
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
The Process-Based Structure (1)
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16
The Process-Based Structure (2)
Advantages
Focuses resources on customer satisfaction
Improves speed and efficiency; Adapts to environmental change rapidly
Reduces boundaries between departments; Increases ability to see total work flow; Enhances employee involvement
Lowers costs dues to overhead
Disadvantages
Can threaten middle managers and staff specialists; Requires changes in command-and-control mindsets
Duplicates scarce resources
Requires new skills and knowledge to manage lateral relationships and teams
May take longer to make decisions in teams; Can be ineffective if wrong processes are identified
Contingencies
Uncertain and changing environments
Moderate to large size
Non-routine and highly interdependent technologies
Customer-oriented goals
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
The Customer-Centric Structure (1)
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
The Customer-Centric Structure (2)
Advantages
Presents one integrated face to the customer
Generates a deep understanding of customer requirements
Enables organization to customize and tailor solutions for customers
Builds a robust customer response capability
Disadvantages
Customer teams can be too inwardly focused
Sharing learnings and developing functional skills is difficult
Managing lateral relations between customer-facing and back office units is difficult
Developing common processes front and back is problematic
Clarifying the marketing function is problematic
Contingencies
Highly complex and uncertain environments
Large Organizations
Goals of customer focus and solutions orientation
Highly uncertain technologies
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Comparing Product-Centric with Customer-Centric Structures
| Organization Feature | Product-Centric | Customer-Centric |
| Goal | Best product for customer | Best solution for customer |
| Source of Value | New products, new features | Customized bundles of products, services, support, education and consulting |
| Core Structures | Product teams, product reviews, product profit centers | Customer teams and segments, customer P&L’s |
| Core Processes | New-product process | Customer relationship management processes and integration/solutions |
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
The Network Structure
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Organization Designs
| MECHANISTIC DESIGN | ORGANIC DESIGN | |
| Strategy | Cost minimization | Innovation |
| Structure | Formal/hierarchical Functional | Flat, lean, and flexible Matrix, process, and network |
| Work Design | Traditional jobs Traditional work groups | Enriched jobs Self-managed teams |
| Human Resource Practices | Selection to fit job Up-front training Standard reward mix Pay for performance and individual merit Job-based pay | Selection to fit organization Continuous training and development Individual choice rewards Pay for performance and business success Skill-based pay |
| Management and Information Systems | Command and control Closed, exclusive, centralized information | Employee involvement Open, inclusive, distributed information |
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Worldwide Organization Designs
Offer products/services in more than one country
Balance product and functional concerns with geographic issues of distance, time, and culture
Carry out coordinated activities across cultural boundaries using a wide variety of personnel
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Worldwide Success Factors
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
The International Design
Characteristics of the International Design
Sell existing products/services to nondomestic markets
Goals of increased foreign revenues
Implementing the International Orientation
OD facilitates extending the existing strategy into the new market
Cross-cultural training and strategic planning
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
The Global Design
Characteristics of the Global Design
Centralized with a global product structure
Goals of efficiency through volume
Implementing the Global Orientation
OD supports career planning, role clarification, employee involvement, conflict management and senior management team building to help achieve improved operational efficiency
OD helps the organization transition to global integration from local responsiveness
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Multinational Design
Characteristics of the Multinational Design
Operate a decentralized organization
Goals of local responsiveness through specialization
Implementing the Multinational Orientation
OD helps with intergroup relations, local management selection and team building
OD facilitates management development, reward systems, and strategic alliances
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Transnational Design
Characteristics of the Transnational Design
Tailored products
Goals of learning and responsiveness through integrations
Implementing the Transnational Orientation
Extensive selection and rotation
Acquire cultural knowledge and develop intergroup relations
Build corporate vision
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Organization Development & Change 11 edition Thomas G. Cummings • Christopher G. Worley
CHAPTER
18
Continuous Change
©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Learning Objectives
Compare and contrast four continuous change interventions.
Describe the elements and processes associated with the dynamic strategy-making intervention.
Define the demands of turbulent environments and describe the self-design intervention.
Outline the definition and application of organization learning interventions.
Explain the logic and process of developing agile organizations.
©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Criteria for Dynamic Strategy Making
Speed over delay
Breadth over narrowness
Flexibility over rigidity
Empowerment over autocracy
Simplicity over complexity
Unity over fragmentation
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
A Dynamic Strategy System
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Elements of the Statement of Strategic Direction
Competitive Logic
A value propositions that connects the firm’s capabilities to market opportunities
Goals
Unifying target for achievement; financial and a single rallying goal
Organization
Formal organization design which aligns, work, structure, human resource practices and management processes to the competitive logic and goals
Action Plan
Initiatives and specific steps required to implement the strategy; sets priorities over a specific timeframe
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Dynamic Strategy Application Stages
Choosing relevant stakeholders
Holding the first retreat
Engaging stakeholders between the first and second retreats
Holding the second retreat
Implementing actions
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Self-Designing Organizations
Systemic change process altering most features of the organization
Process is ongoing, never finished—continuous improvement and change
Learning as You Go—on-site innovation
Need support of multiple stakeholders
All levels of the organization adopt new strategies and change behaviors
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
The Self-Design Change Process
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Learning Organizations
Organization Learning interventions emphasize the structures and social processes that enable employees and teams to learn and share knowledge
Knowledge Management focuses on the tools and techniques that enable organizations to collect, organize, and translate information into useful knowledge
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
How Organization Learning Affects Performance
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Characteristics of Learning Organizations
Structures emphasize teamwork, information sharing, empowerment
Information systems facilitate rapid acquisition and sharing of complex information to manage knowledge for competitive advantage
Human resources reinforce new skills and knowledge
Management processes facilitate rapid sharing of rich, complex information
Leaders model openness and freedom to try new things while communicating a compelling vision
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Organization Learning Process
Single loop learning
Most common form of learning
Aimed at adapting and improving the status quo
Double loop learning
Generative learning
Questions and changes existing assumptions and conditions
Deutero-learning
Learning how to learn
Learning how to improve single and double loop learning
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Organization Learning Activities
Discover Theories in Use and Their Consequences
Attend to the knowledge management practices that support learning.
Continuously monitor and improve the learning process.
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Discover Theories in Use
Dialogue
Systems Thinking
Left-Hand, Right-Hand Column
The Ladder of Inference
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
The Ladder of Inference
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Knowledge Management Practices that Support Learning
Generating Knowledge
Identify knowledge for competitive strategy
Develop ways to acquire or create that knowledge
Organizing Knowledge
Put knowledge into a usable form
Codification and Personalization
Distributing Knowledge
Making knowledge easy to access, use & reuse
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Agile Organizations
Organizations with the ability to make timely and effective changes that support sustained levels of high performance.
Agile organizations typically operate in complex and rapidly changing environments
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
Agile Organization Design Features
Routine
Strategizing:
Top management establishes and refreshes and the organization’s purpose, direction and market position
Supports a “culture of candor” where organization members are expected to challenge the status quo.
Perceiving:
The structures and methods for sensing, interpreting, and communicating relevant short-term and long-term shifts in the external environment
Testing:
The process of experimenting, innovating, and learning on a continuous basis
Implementing:
The ability to facilitate day-to-day changes in products, operations, structures, and systems, but more importantly, orchestrate the development of new capabilities, business models, and strategies
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
18
Applying Agility Principles
Reframe culture as a facilitator of change
Create a change-friendly culture
Move from designing for stability to designing for flexibility
Agile designs emphasize a flat and flexible organization structure
Human resources practices support flexibility and speed by managing the right talent for change
Move from change as a project to change as a capability
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©2019 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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