ORGANISATIONAL DEVELOPMENT

Dr. Alia Azalea

Our Vision: To be a World Class University

TOPICS

01 MANAGING CHANGE

02 EMPOWERMENT

03 FLEXIBLE WORK ARRANGEMENTS

04 DOWNSIZING

Our Vision: To be a World Class University

MANAGING CHANGE

Our Vision: To be a World Class University

Sacred-Cow Hunts

• The Paper Cow

• The Meeting Cow

• The Speed Cow

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Our Vision: To be a World Class University

Employee Acceptance of Change

• Organisation Stages:
• Unfreezing: the organisation must convince employees and other
stakeholders (e.g., shareholders, the community) that the current state
of affairs is unacceptable and that change is necessary.
• Moving: the organisation takes steps (e.g., training, new work
processes) to move the organisation to the desired state.
• Refreezing: the organisation develops ways to keep the new changes
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in place, such as formalising new policy and rewarding employees for
behaving in a manner consistent with the new change.

Our Vision: To be a World Class University

• Employee Stages (Carnal & By, 2014):
• Denial: convince themselves that the old way is working, create
reasons why the proposed changes will never work.
• Defence: begin to believe that change will occur, become
defensive and try to justify their positions and ways of doing
things.
• Discarding: change is inevitable, it is in the best interest of the
employee to discard the old ways and start to accept the change.
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• Adaptation: learn, test, adjust to the new system.
• Internalisation: immersed, comfortable and accepted the new
ways.

Our Vision: To be a World Class University

• Important factors:
• Type of change
• Evolutionary: continual process of upgrading or improving
processes
• Revolutionary: drastically changes the way things are done.
• Reason behind the change
• Understand: financial reasons, external mandates, organisational
improvement.
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• Lower acceptance: Organisational philosophy, whim, everybody
else is doing it.
• Not informed of the reason.

Our Vision: To be a World Class University

• The person making the change
• Within work group vs. external
source
• Leaders who are well liked,
respected, have a history of
success
• Leaders whose motives areClick to insert quote / text
suspect

Our Vision: To be a World Class University

• The person being changed
• Change agents: people who enjoy change and often make
changes just for the sake of it.
• Change analysts: not afraid to change or make changes
but want to make changes only if the changes will improve
the organisation.
• Receptive changers: will not instigate change but are
willing to change
• Reluctant changers: not instigate
Click to insert quoteor welcome change, but
/ text

they will change if necessary.

• Change resisters: hate change, are scared by it, will do
anything to keep change from occurring.

Our Vision: To be a World Class University

Implementing change
• Creating an atmosphere for change:
dissatisfaction with the current system.
• Reduce the fear of change by providing
emotional support, allowing employees
to vent, allows mistakes during the
transition period.
• Time frame: should not remain in a
“change mode” for longer than two years.
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• Employees training needs

Our Vision: To be a World Class University

• Communicating details:
• Communicating is hard work
• Training is needed to those
communicating the change
• Two-way communication: allow
employees to provide feedback
• Honesty is essential: tell them
information as it arises than wait until
change is completed.

Our Vision: To be a World Class University

Organisational culture

• Definition: the shared values, beliefs, and

traditions that exist among individuals in
organisations.
• Establishes workplace norms of
appropriate behaviour and defines roles
and expectations that employees and
management have of each other
• Optimal employee behaviour
• Could lead to undesirable behaviours
(e.g., unethical decision making)

Our Vision: To be a World Class University

• Changing culture
• Assessing the new culture:
1. Needs assessment: current culture must be analysed and
compared with the desired culture to determine what might need
to change.
2. Determining executive direction: decisions or actions that will
reinforce the culture and assess the feasibility of changes.
3. Implementation considerations: Will committees or ad hoc groups
be set up to carry out changes or will management execute the
changes?

Our Vision: To be a World Class University

4. Training: all organisational members
must be trained in a new philosophy
for the new culture to thrive and be
long lasting.
5. Evaluation of the new culture: has the
change occurred? Do old norms and
procedures still exist? If change has
not occurred, additional strategies
must be identified to establish and
support the new culture.

Our Vision: To be a World Class University

• Creating dissatisfaction with existing culture:
• Communicating to employees the future impact: Data of
technological trends, financial performance of company
• Distribute attitude surveys
• Seek input from employees

Our Vision: To be a World Class University

• Maintaining the new culture: developing new
reward systems and selection methods.
• Selection of employees:
• Organisational socialisation: the process
where new employees learn the
behaviours and attitudes they need to be
successful in the organisation.
• Informal: stories
• Formal: rituals – staff picnics, symbols –
mission statements

Our Vision: To be a World Class University

EMPOWERMENT

Our Vision: To be a World Class University

Making the decision to empower employees

1. Importance of decision quality

2. Leader knowledge of problem area: leaders have sufficient information to
make the decision alone.
3. Structure of the problem: leader knows what information is needed and
how it can be obtained
4. Importance of decision acceptance by others
5. Probability of decision acceptance by others
6. Subordinate trust and motivation to achieve organisational goals
7. Probability of subordinate conflict

Our Vision: To be a World Class University

Vroom–Yetton Model

Our Vision: To be a World Class University

• Autocratic I: use the available information to make the
decision without consulting subordinates.
• Effective when leader has the necessary information and
acceptance by the group not important/likely regardless
of the decision.
• Autocratic II: obtain the necessary information from
subordinates then make their own decisions.
• May/may not tell subordinates the nature of the problem.
• Acceptance of the solution by the group is not important.

Our Vision: To be a World Class University

• Consultative I: share the problem on an
individual basis with some or all of their
subordinates.
• Then makes a decision that may/may
not be consistent with the thinking of
the group.
• Useful when it is important for the
group to accept the decision even
though may not agree with the best
decision.

Our Vision: To be a World Class University

• Consultative II: share the problems with
subordinates as a group.
• Then, makes a decision that
may/may not be acceptable to the
group.
• Used when group acceptance of the
decision is important and when
individual members are likely to
agree with one another about the
best solution.

Our Vision: To be a World Class University

• Group I: shares the problem with the
group and lets the group reach a
solution.
• Leader just assist in the decision-
making process.
• Effective: when group acceptance of
the decision is important and when
the group can be trusted to arrive at
a decision that is consistent with the
goals of the organisation.

Our Vision: To be a World Class University

Levels of employee input

Our Vision: To be a World Class University

Empowerment charts

Our Vision: To be a World Class University

Consequences of empowerment

• Personal • Career
• Increased job satisfaction for most • Increased job security
• Stress • Promotions
• Decreased stress due to • Increased marketability
greater control • Increased chance of being
terminated
• Increased stress due to greater
responsibility
• Financial
• Bonuses
• Pay increases

Our Vision: To be a World Class University

FLEXIBLE WORK ARRANGEMENTS

Our Vision: To be a World Class University

Our Vision: To be a World Class University
Strategy 1: Full-Time Work, Flexible Hours

• Flextime: employees have some

flexibility in the hours they work.
• Components:
• Bandwidth: the total number of
potential hours available for work
each day (e.g., between 6AM –
6PM)
• Core hours: everyone must work,
typically consist of the hours when
an organisation is busiest with its
outside contacts.

Our Vision: To be a World Class University

• Flexible hours: those that remain
in the bandwidth and in which the
employee has a choice of working.
• Gliding time: Employees can
come and go as they please
without notice as long as they
work 8 hours/day, 40
hours/week.
• Flexitour: flexible hours but
must be scheduled in advance.

Our Vision: To be a World Class University

Strategy 2: Compressed workweeks

• 10 hours a day for 4 days

• 12 hours a day for 3 days
• Advantages
• More vacation days
• More time to spend with their families
• Increased opportunities to moonlight
• Reduced commuting costs and times
• Reduced child-care costs

Our Vision: To be a World Class University

Strategy 3: Reducing Work Hours

• Peak-Time Pay
• Casual Work: as needed
basis
• Job Sharing: Rather than one
person working 40 hours each
week, two employees combine
their hours so that they total 40.

Our Vision: To be a World Class University

Strategy 4: Working from Home
• Advantages
• Reduced commuting time
• Better ability to balance home and work responsibilities
• Getting to spend more time with family
• Flexible hours
• Disadvantages
• Lack of in-person collaboration with colleagues
• Hard to unplug at the end of the day
• More distractions and interruptions
• Juggling both work and children’s schoolwork

Our Vision: To be a World Class University

DOWNSIZING

Our Vision: To be a World Class University

Reducing the Impact of Downsizing

• Signs of problems
• Freeze hiring
• Temporary employees
• Outsourcing
• Encourage employees to change careers and then help these
employees learn the skills needed to make the career change.
• Early retirement packages
• Pay cuts or defer salary increases: Offer company stocks
• Adjusting work schedule (e.g., restrict overtime, work from home,
reduce employees’ pay, etc.)

Our Vision: To be a World Class University

• Selecting the Employees to Be Laid Off
• Work is being eliminated, not people
• Criteria:
• Seniority
• Performance
• Salary level
• Organisational need
• Committee making the decision should be
diverse in terms of race, sex, and age.

Our Vision: To be a World Class University

• The Announcement
• Best done in person
• General announcement
• Supervisor one-on-one notification
• Employees need answers to their
questions

Our Vision: To be a World Class University

• Outplacement Programs
• Emotional counseling: Denial, Anger – support group, Fear,
Acceptance
• Financial counseling: severance pay, unemployment insurance,
medical insurance
• Career assessment and guidance: basic abilities, transferable skills,
career interests, and work values (e.g., status, independence, etc.)
• Financial needs, time constraints, geographic constraints

Our Vision: To be a World Class University

Effects of Downsizing

• Victims
• Physical health: headaches, stomach upsets,
sleeping problems, etc.
• Emotional: high levels of stress, increased
drug and alcohol misuse, more marital
problems, feelings of depression, etc.
• Social: reluctant to share their feelings with
friends, avoid family and friends due to feelings
of embarrassment and shame, and avoid social
situations and entertainment requiring money.

Our Vision: To be a World Class University

• Survivors (those not laid off)
• Afraid of taking risks, more apprehensive and
narrow-minded, lower levels of morale, etc.
• Organisation to talk positively about the layoff
victims, keep an open two-way communication
policy, and communicate the company vision to the
survivors.
• To reduce the negative effects on survivors,
organisations must ensure that the procedure used
to determine layoffs is fair and clearly
communicated to both victims and survivors.

Our Vision: To be a World Class University

• Local Community
• Reduced revenues
• Less spending
• Organisation
• Most do not improve financial
success
• Lower productivity

Our Vision: To be a World Class University

THE END
Our Vision: To be a World Class University