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UNIT 13 LECTURE NOTES

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UNIT 13 LECTURE NOTES

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Nathefa Layne
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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UNIVERSITY OF TECHNOLOGY, JAMAICA

SCHOOL OF BUSINESS ADMINISTRATION


Introduction to Management (MAN1006)

UNIT 13 – LECTURE NOTES

Lecture Notes on Managing Change and Innovation


The Imperative of Change and Innovation

• Organizations must adapt to survive in today's dynamic environment.


• Change involves adopting new ideas or behaviors.
• Innovation is crucial for adapting to market shifts, technological advancements, and
competitive pressures.

Types of Organizational Change

• Incremental Change: Gradual improvement of existing processes.


• Transformational Change: Redesigning and renewing the entire organization.
• Change can occur in various areas:
o Products and Technology
o Structure
o Culture and People
o Strategy

Product and Technology Changes

• Product Change: Modification of product or service offerings to meet market demands.


• Technology Change: Improvement in production processes for efficiency gains.

Structural Changes

• Alterations in how the organization is designed and managed, including:


o Hierarchy of authority
o Goals
o Structural characteristics
o Administrative procedures
o Management systems

Culture and People Changes

• Changes in employee mindsets and behaviors.


• Can involve training, development, and shifts in organizational culture.
• Organizational Development (OD): A planned approach to facilitate change in people
and culture.
o Unfreezing: Creating awareness of the need for change.
o Changing: Implementing new behaviors and skills.
o Refreezing: Institutionalizing the changes in the culture.

The Change Process

• Forces for Change:


o Environmental: Customers, competitors, technology, economic conditions,
international factors.
o Internal: Company plans, goals, problems, and needs.
• Need for Change: Arises from a performance gap between existing and desired states.
• Initiating Change: Developing ideas to address the need for change.
o Search: Gathering information about potential solutions.
o Creativity: Generating novel ideas.
o Idea Champion: An individual who promotes and supports change.
o New-Venture Team: A dedicated unit for developing and implementing
innovation.
o Skunkworks: A separate, autonomous group focused on breakthrough ideas.

Resistance to Change

• Common reasons for resistance:


o Self-interest and fear of personal loss
o Lack of understanding and trust
o Uncertainty about the future
o Differing assessments and goals

Overcoming Resistance

• Force-Field Analysis:
o Identifies driving forces (promoting change) and restraining forces (hindering
change).
o By reducing restraining forces, change becomes easier to implement.
• Tactics for Overcoming Resistance:
o Communication and education
o Participation and involvement
o Negotiation and agreement
o Coercion (in crisis situations)
o Top management support

Conclusion

• Effective change management requires understanding the types of change, the change
process, and strategies for overcoming resistance.
• By proactively addressing challenges and engaging employees, organizations can
successfully navigate change and foster innovation.

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