change management

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change management is need of changing industry

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MANAGEMENT Praveen Kumar CSED 09548

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Introduction Change Change Management Need of Change Reason’s for Change Challenge’s in Implementation Success full Implementation - John kotter’s 8 Steps - failure of Change Conclusion

What is CHANGE ?:

What is CHANGE ? The Oxford American Dictionaries define change as the act or instance of making or becoming different. To change is to become different in some particular way, without permanently losing one's or its former characteristics or essence . Change is an event that occurs when something passes from one state or phase to another –––~~~••• O •••~~~–––

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Define Change Management Oxford University Press Glossary Change management : the leadership and direction of the process of organizational transformation especially with regard to human aspects and overcoming resistance to change. Georgetown University , University Information Services define change management as … The complete set of processes employed on a project to ensure that changes are implemented in a visible, controlled and orderly fashion. The activity, or set of activities, undertaken to govern systematically the effects of organizational change. –––~~~••• O •••~~~–––

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U.S. Government Accountability Office Change Management : activities defining and instilling new values, attitudes, norms, and behaviors within an organization that support new ways of doing work and overcome resistance to change . building consensus among customers and stakeholders on specific changes designed to better meet their needs . planning, testing, and implementing all aspects of the transition from one organizational structure or business process to another . –––~~~••• O •••~~~–––

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Change Management Need of the Time, Call of the Future Change is the only constant thing in the business world. Everything is changing with the change of the time, with the change of the society. Organizations, be it profit making, non profit making or social organizations are changing their structure, systems, resources and management strategies to adapt to the changing situations. Thus management of organizational change is the need of the time. Indian organizations are progressing and expanding their business horizons. They are to manage the change timely to be on the path of progress. It is also highly important to take strategic role for the future . –––~~~••• O •••~~~–––

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Reasons of Change : Reasons of Change can be classified into two groups. They are Internal Reasons External Reasons

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Internal Reasons Lacking in Resources : Organizations will have to assess their positions. They would have to ask themselves whether they are lacking in human and material resources to target the needs and requirements of the organization and also the industry. Lacking in Motivation : Low employee motivation and low employee morale affect the organizations badly. Immediate change is required in the mind set of the employees otherwise it will badly affect the productivity of workforce. –––~~~••• O •••~~~–––

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Internal Reasons C ) Low productivity : Low productivity or decrease in productivity will have a bad impact on the growth of the organization. It is also an important reason for changing the organizations. D) Lack of Coordination among the departments : It affects the organizational day-to-day activities. To establish better coordination change is required. E) Pressure of the Trade union : Continuous pressure of the trade union affects the organizational activities on a continuous basis.Organisations are sometime forced to bring certain changes targeting the betterment and welfare of the employees. –––~~~••• O •••~~~–––

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External Reasons Lower Sales : Lower sales are one of the main reasons of organizational change. It compels the organization to change its strategy, policies etc. Negative Work Culture : Negative work culture is also one of the reasons of organizational change. It destroys the natural flow of work of the organization. C) Rapid Technological Developement : Technological development is one of the causes of organizational change. –––~~~••• O •••~~~–––

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External Reasons –––~~~••• O •••~~~––– Huge Competition in the National and International Market : The high competition in the national and international markets instigates the organizations to bring positive change. The Indian companies are facing huge competition from the MNCs operating in Indian market.

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–––~~~••• O •••~~~––– Change – A challenge before the corporate :- There is a big challenge before the corporate to bring and manage 'change' timely, effectively and productively. Many stakeholders of the organizations are creating many problems in the process of implementing the change activities. Different types of problems are there. Leadership Problem : Sometimes organizational leaders are unable to understand the trend of the society, the flow of the business activities. Thus commanding type of leadership is to be replaced by motivational and cooperative style of leadership. 2. Problem of Commitment : Different stakeholders are lacking in their commitments. Thus they are unable to change themselves according to the need of the time.

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3. Resistance : People are resistance to change fearing the loss of their present position. They do not want to accept anything which is new and untested in their known domains. 4. Lack of vision : If the organization is lacking in vision, it will resist the change and will create a lot of problems. This problem is their with the Indian Jute Mills. –––~~~••• O •••~~~–––

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5. Lack of up-to-date information and knowledge : Employees, organizations themselves sometimes lack in information and knowledge. They do not have the technical know-how to manage any change activities effectively . 6. High Political influence : None can ignore the influence of politics on the day to day activities of the organizations. Most of the trade unions in Indian organizations have political affiliation to different political parties having different ideologies. They do not always welcome the new change. –––~~~••• O •••~~~–––

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Implementing the Change –––~~~••• O •••~~~––– Organizations can follow few activities one after another for making management of 'change' easier as well as strategic in nature. They have the license to be creative but it is always desirable to follow the time tested paths of managing the change activities. Create a 'Goal' : Organizations need to create a 'goal' after analyzing their strengths and  weaknesses, their resources. The organizations should understand the competition of the market. Make a 'Plan' : The are to make a 'plan' to show it before the higher authority. This plan also will help the management to influence different stakeholders of the organizations.

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–––~~~••• O •••~~~––– 'Delegate' the job : Organizations are to delegate the jobs so that every task is given equal importance. It also will help the employees to know the job in a better way. Pick the Right Time and the Right Job : Organizations are to pick up the right time and also the right job. They need to assign the job to the persons who are best suited for that job. Create 'small targets' and achieve one after another : Organizations are to create small targets for each unit of the organizations and achieve the targets one after another. Engage a change –agent : Organizations will have to engage either an internal change-agent or consultant or external change agents to manage the change affairs.

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–––~~~••• O •••~~~––– Control Activity : Management will have to control the change activities taking the consent of the employees of the organization. Take the 'Feedback' and required action : Organizations will have to take the feedback from the employees' side, from the internal and external consultants, from the employers and if possible from the customers. If they are giving any suggestions that must be considered in the future time.

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–––~~~••• O •••~~~––– John P Kotter's 'eight steps to successful change ‘ American John P Kotter (b 1947) is a Harvard Business School professor and leading thinker and author on organizational change management. Kotter's highly regarded books 'Leading Change' (1995) and the follow-up 'The Heart Of Change' (2002) describe a helpful model for understanding and managing change. Each stage acknowledges a key principle identified by Kotter relating to people's response and approach to change, in which people see , feel and then change . Kotter's eight step change model can be summarized as: 1 Increase urgency – inspire people to move, make objectives real and relevant. 2 Build the guiding team – get the right people in place with the right emotional commitment, and the right mix of skills and levels..

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–––~~~••• O •••~~~––– John P Kotter's 'eight steps to successful change ‘ 3 Get the vision right – get the team to establish a simple vision and strategy, focus on emotional and creative aspects necessary to drive service and efficiency 4 Communicate for buy-in – Involve as many people as possible, communicate the essentials, simply, and to appeal and respond to people's needs. 5 Empower action – Remove obstacles, enable constructive feedback and lots of support from leaders - reward and recognize progress and achievements. 6 Create short-term wins – Set aims that are easy to achieve - in bite-size chunks. Manageable numbers of initiatives. Finish current stages before starting new ones.

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–––~~~••• O •••~~~––– John P Kotter's 'eight steps to successful change ‘ 7 Don't let up – Foster and encourage determination and persistence - ongoing change - encourage ongoing progress reporting - highlight achieved and future milestones. 8 Make change stick – Reinforce the value of successful change via recruitment, promotion, new change leaders. Weave change into culture.

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–––~~~••• O •••~~~––– Why change management fails ( Kotter ) Allowing to much complexity Failing to build a substantial coalition Understanding the need for a clear vision Failing to clearly communicate the vision Permitting roadblocks against the vision Not planning and getting short-term wins Declaring victory too soon Not anchoring changes in corporate culture

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–––~~~••• O •••~~~––– CONCLUSION In conclusion it can be said that 'change' is highly needed to break the routine continuing for a long period of time. It helps the organization to curb the manpower as well as technological redundancies. It gives the organizations the edge to achieve sustainability in the ever-changing competitive business world thus making the organizations better equipped to future challenges.

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–––~~~••• O •••~~~––– CONCLUSION Indian business houses must give special importance to this issue. Particularly the manufacturing and service providers should think about this so that they can make the change management process an enjoyable journey.

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–––~~~••• O •••~~~––– References : Chanda Jit S, 2002: Organizational Behavior, Vikash Publishing House Pvt Ltd, New Delhi. www.google.com J Wikipedia

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–––~~~••• O •••~~~––– Thank you

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