Change and Innovation

INNOVATION AND ORGANIZATIONAL
CHANGE
“Change can be your best friend”
• What are the roles of innovation and change in

organizations?
• How do managers lead the processes of organizational
change?
INNOVATION AND ORGANIZATIONAL CHANGE
Roles of Innovation and Organizational Change
 Creativity
 the generation of a novel idea or unique approach that solves
a problem or crafts an opportunity.
 Innovation
 the process of taking a new idea and putting it into practice.
 Process Innovations
 result in better ways of doing things.
 Product Innovations
 result in new or improved goods or services.
 Commercializing Innovations
 turns ideas into economic value
 Critical Innovation Roles in Organizations

 Idea generators—provide new insights and
discoveries.
 Information gatekeepers—stay abreast of outside
developments.
 Product champions—advocate for new products or
processes.
 Project managers—keep innovation projects on track.
 Innovation leaders—keep innovation values, goals
visible.
 Types of Change
 Transformational Change
 makes radical changes in organizational directions
 Incremental Change
 continuing adjustments to existing ways and practices.
 Top-down Change
 is initiated by senior management
 Bottom-up change
 is initiated by empowered persons working at all
organizational levels.
MANAGEMENT TIPS
 How to Lead Transformational Change

 Establish a sense of urgency for change.
 Form a powerful coalition to lead the change.
 Create and communicate a change vision.
 Empower others to move change forward.
 Celebrate short-term wins and recognize those who
help.
 Build on success; align people and systems with new
ways.
 Stay with it; keep the message consistent; champion
the vision.
Leading the Processes of Organizational Change
MODULE GUIDE 23.2
 Adaptive organizations need change leaders, not status quo

managers.
 Unfreezing, changing, and refreezing are three phases of
 planned change.
 Managers use force-coercion, rational persuasion, and
shared power change strategies.
 Change leaders identify and deal positively with resistance
to change.
 Organization development is a way of building sustainable
capacities for change.
 Change Leader
 tries to change the behavior of another person or social system.
 Planned Change
 aligns the organization with anticipated future challenges.
 Unfreezing
 is the phase during which a situation is prepared for change.
Lewin’s
Three
Phases
of
Change
 Checkpoints for Successful Change

 Benefit—make sure people involved see a clear
advantage in the change.
 Compatibility—keep the change as close as possible
to existing values and experiences.
 Simplicity—make the change as easy as possible to
understand and use.
 Triability—allow people to try the change step-by-
step, making adjustments as they go.
 Change leader's task:
 create a felt need for change
Change Strategies
Resistance to Change
Why people may resist change
• Fear of the unknown not understanding what is happening or what comes next
• Disrupted habits feeling upset to see the end of the old ways of doing things
• Loss of confidence feeling incapable of performing well under the new ways of
doing things
• Loss of control feeling that things are being done “to” you rather than “by” or
“with” you
• Poor timing feeling overwhelmed by the situation or that things are moving too
fast
• Work overload not having the physical or psychic energy to commit to the
change
• Loss of face feeling inadequate or humiliated because it appears that the old
ways weren’t good ways
• Lack of purpose not seeing a reason for the change and/or not understanding
its benefits
Organizational Development
 a comprehensive and participatory approach to
change that involves organization members in a
data-based process of diagnosis, intervention,
and evaluation.

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INNOVATION AND ORGANIZATIONAL

• What are the roles of innovation and change in

 Critical Innovation Roles in Organizations

 How to Lead Transformational Change

MODULE GUIDE 23.2

 Adaptive organizations need change leaders, not status quo

 Checkpoints for Successful Change

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