Order 349550: case studay
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Supporting Change within Organisations
Diploma in HR Practice
Version 3 01/03/2017
Domestics
• Fire Exits
• Toilets
• Breaks
• Mobile Phones
• Timings of the session
• Ground Rules
Learning Outcomes
By the end of this session, you will be able to:
1. Understand why organisations need to change and how change affects organisations
2. Understand the key factors involved in the change process and different approaches to managing change
3. Understand the impact of change on employees and the role of HR
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Learning Outcome 1
Understand why organisations need to change and how change affects
organisations
Change Management – Definition
... is the process of achieving
the smooth implementation
of change by planning and
introducing it systematically, taking into account the likelihood
of it being resisted. Source: Armstrong, M. (2009). Armstrong's Handbook of Human Resource
Management Practice. London: Kogan Page.
Group Exercise
Why do organisations change?
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• Change is ‘the only thing’ that remains constant (Armstrong 2009)
• Major change tends to happen approximately every 3 years (CIPD)
• Change needs to be managed • Most change initiatives fail
CIPD research suggests that less than 60% of re- organisations met their stated objectives
Source: http://www.cipd.co.uk/subjects/corpstrtgy/changemmt/chngmgmt.htm
Change is inevitable
Internal Pressure
• Increasing costs
• Desire to enter into new markets
External Pressure
• Changing economic conditions
• Pressure from customers
Indicators of change
Some internal factors that may drive change
1. Strategic objectives
2. Expansion/downsizing of business
3. Critical incidents
4. Results from internal analyses
Internal Factors
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Some external factors that may drive change
1. Global/national/local change
2. External analyses
3. Changing needs/demands of customers
4. Changing economic conditions
External Factors
Group Exercise
Identify a company that has gone through a major change driven by either internal
or external pressures
List all the factors that have made
this change happen.
1. Strategic Change
2. Operational Change
3. Transformational Change
Types of Change
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• Broad, long-term and organisation wide
• Purpose and mission of the organisation, philosophies
• Growth, quality, innovation, values, competitive positioning
e.g. British Telecom
• Strategic goals for achieving and maintaining competitive advantage
• Product market development
1. Strategic Change
New systems, procedures, structures or technology that will have an immediate effect
on working arrangement
e.g. New procedure for charging expenses
2. Operational Change
Fundamental and comprehensive changes in structures, processes, and behaviours that have
a dramatic effect on the way in which the organisation functions
e.g. Mergers between two companies
3. Transformational Change
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Using the company identified in the previous group exercise, decide whether these changes that you have identified are
1) Strategic 2) Operational or
3) Transformational (or a combination)
Highlight at least 3 reasons why
Group Exercise
Learning Outcome 2
Understand the key factors involved in the change process and different approaches to managing change
Change Models
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1. Lewin’s Model – Unfreeze, Change, Refreeze
2. Beckhard’s Model – Change Programme Processes
Change models
1. Lewin’s Change Model
Unfreeze Change Refreeze
According to Beckhard, a change programme should incorporate the following processes:
1. Set goals and define the future state
2. Diagnose the present condition
3. Define the transition state activities
4. Develop strategies and plan actions
2. Beckhard’s Processes
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Change impacts the culture of the organisation.
Culture is “the personality of an organization.” - Edgar H. Schein
Organisational Culture
Organisations affected by change
•Purchased UK bank Abbey
•Acquired 3 UK businesses within 5 years
•Purchased 318 branches of RBS in August 2010
What did they do?
•Sent UK staff over to Spanish branches to gain best practices
•Reduce the pressure on staff
•Support resources put in
Santander’s strategies
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What other change strategies can you think of that Santander can do to make the transition easier?
Group Exercise
Depends on many factors for individuals: • How significant is the change? • What are their personal circumstances? • How well do they cope with change? • Do they view change positively or negatively?
Also depends on the impact of individuals on change
• Was the change driven by external factors? If so, it is imperative to get some people to be in favour of it
• Who here has been impacted by change?
Impact of change
Peter Senge identifies the different responses to change:
Reactions to change
Position Response to Change
Commitment Want change to happen and will work to make it happen
Enrolment Want change to happen; will devote time and energy to make it happen within given frameworks
Genuine compliance See the virtue in what is proposed, do what is asked of them and think proactively about what is needed
Formal compliance Can describe the benefits of what is proposed and are not hostile to them. Do what they are asked, but no more.
Grudging compliance Do not accept that there are benefits to what is proposed and do not go along with it. Do enough of what is being asked of them to not jeopardise their position. Voice opposition and hopes for failure.
Non-compliance Do not accept that there are benefits and have nothing to lose by opposing the proposition. Will not do what is asked of them.
Apathy Neither in support of nor in position to the proposal, just serving time.
Source: Peter Senge (2006) The Fifth Discipline
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Refer to Impact of Change handout.
1. Identify different individuals/groups of individuals that will be affected by this merger and think about what position they are likely to take in this change.
2. What are the factors that will influence the positions taken?
Group Exercise
Individual’s Emotional Reaction to change
Em o
ti o
n
Time
Denial
Depression
Acceptance
Commitment
Source: Elizabeth Kübler-Ross’ Change Curve
CIPD’s tool for supporting change • Approaches to change: Key issues and challenges
‘7C’s of Change’ 1. Choosing a Team
2. Crafting the vision and path
3. Connecting organisation-wide change
4. Consulting stakeholders
5. Communicating
6. Coping with Change
7. Capturing Learning
Approaches to change
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Learning Outcome 3
Understand the impact of change on employees and the role of HR
1. Advisory – Provide advice for managers on people-related
issues (dealing with individual reactions)
2. Administrative – Co-ordinating change by developing project plans or
roadmaps, monitor and keep track of change while it is happening
3. Supporting Role – Support in coping with change particularly in
behavioural and emotional aspects.
HR’s role in change
Two broad types of resistance:
1. Resistance to the content of the change
– Change in technology or the introduction of a new reward system
2. Resistance to the process of the change
– The way change is introduced i.e. Management restructuring jobs without prior consultation to employees
Resistance
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• Loss of control
• Shock of the new
• Uncertainty
• Inconvenience
• Threat to status
• competence
Why resist?
Refers to those employees who ‘survive’ an organisation after change has happened.
• Attitudes, feelings, perceptions of survivors
• Lower levels of employee morale
• Increased work pressure and stress on survivors
• Survivors feeling ‘cheated’ if those who left get generous severance packages
• Perceptions of fewer career development opportunities
Survivor Syndrome
Group Exercise
Your company is restructuring and downsizing your mail-order business moving from 3 different offices 10 miles apart to 1 new purpose-built office building. As an HR professional equipped to handle change, you have decided to use 3 methods of communication to help you in this transition.
1. Focus Groups 2. Employee Survey 3. Team Meetings
Using the above methods, list the benefits of each, and list ways on how you would involve employees.
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• Communication and consultation
• Employee Support
• Employee Assistance programmes
• Outplacement
• Change policies
Supporting Change
Case study: Vodafone handout.
Read case study and answer the questions in your group.
Group Exercise
CIPD Qualifications | Training | HR Advice | HR Projects | HR Outsourcing | HR Software 40
Professional Standards
Plagiarism What do you think this means?
“Plagiarism is the act of presenting the ideas or discoveries of another as one’s own. To copy sentences, phrases or even striking expressions without acknowledgement in a manner which may deceive the reader as to the source is plagiarism; to paraphrase in a manner which may deceive the reader is likewise plagiarism.” University of Kent (2015).
See Student Handbook Page 16.
Examples of Plagiarism: Copying colleagues or friends work – with or without their permission. Using published text from the Internet, Books, magazines, journals or newspapers – not sourced. Asking or paying other people or organisations to produce your assignment work.
Note - It is acceptable to collaborate with fellow students, but the work you submit must be significantly different and your own.
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THANK YOU!