Oshawa industry case
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Implementing Organizational Change: Theory and Practice
Bert Spector
Chapter 7
Leading Change
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
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Learning Objectives
Define effective leadership. Explore the difficulty of enacting effective
leadership. Delineate the tasks associated with leading
change. Analyze the requirements for developing
future leaders in an organization.
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Building a Vocabulary Leadership: actions that mobilize adaptive
behavior within an organization Formal leader: an individual who is granted
authority, usually based on hierarchical position, in an organization
“Think of leadership as an intervention into the organization designed to impact the behaviors of others.”
“Effective leadership can be exercised at all levels of an organization.”
“Effective change leadership mobilizes adaptive behavior on the part of organizational members.”
“Formal leaders have important roles to play as decision-makers, resource- allocators, and occasionally even company symbols.”
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Core Tasks of Change Leadership Develop and articulate clear and consistent sense of purpose and direction for the organization.
Establish demanding performance expectations.
Enable upward communication.
Forge an emotional bond between employees and the organization.
Develop future change leaders.
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
“The exercise of power is not the same as leadership.”
“Strong, demanding leaders don’t always succeed at leading change.”
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Building a Vocabulary Organizational purpose: a clearly
articulated and well defined ambition for the organization
“A widespread and common understanding of organizational purpose allows employees to exercise greater autonomy in moving the change effort in its
desired direction. ”
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Shared Purpose Supports Change
Shared Purpose: How It Helps Change
Supports decentralized decision making
Common sense of direction and goals allows employees at multiple
levels to make decisions that further overall purpose of
organization
Supports enhanced autonomy
Employees at all levels understand purpose and goals and can respond quickly and effectively to dynamic
environment
Supports coordination Employees working toward a common goal better able to
coordinate their efforts
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Building a Vocabulary
Stretch goals: clearly articulated and challenging performance expectations
“Effective change efforts are built on a drive to achieve outstanding
performance.”
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Building a Vocabulary Upward communication: the flow of
information from lower to higher hierarchical levels in an organization
“Effective leadership involves listening, engaging, and learning as well as communicating.”
“Particularly in situations of strategic renewal and change, formal leaders need to learn about how their effects are proceeding by mutual engagement with
employees at all organizational levels.”
“Take specific steps to ensure that communications is moving both upward and downtown.”
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Building a Vocabulary Emotional bond: a relationship between
individuals and their organizations based on a deeply felt commitment to the organization’s purpose and goals
“If employees are committed to their organization emotionally as well as
instrumentally, they are more likely to engage in required behavioral changes.”
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Organizational Barriers to Effective Leadership Development
Practice Barrier
Rapid upward mobility Prevents individuals from having to live with consequences of their actions and learning
from their successes and failures
Movement within a single function Individuals never gain knowledge of total
organization, particularly of how subunits fit together
Short-term performance pressures Individuals get better at tactical and
operational management than at long-term strategic and visionary leadership
Recruitment for specific technical skills Internal employee pool is
thin on individuals with real leadership potential
Copyright © 2013 Pearson Education, Inc. publishing as Prentice Hall
“Inadequate attention to leadership development can ruin a company, even an industry.”
“Rapid upward movement of personnel through the hierarchy can work to hurt an organization’s ability to develop effective leadership.”
“Dominating individual leaders can actually hurt an organization’s ability to change.”
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