Controlling and Organizational Change (Principles of Management)

controlling
Controlling Functions:
SourceL Samuel Certo

 – the first element of the operating
system which is to be measured. We select a specific characteristic
because a correlation exists between it and how the system is
performing. The characteristic can be the output of the system
during any stage of processing or it may be a condition that is the
result of the system.
 - is a means for measuring the characteristic or
condition.
Determines the need for correction by
comparing what is occurring with what has been planned. Some
deviation from plan is usual and expected, but when variations are
beyond those considered acceptable, corrective action is required.
It involves a sort of preventative action which indicates that good
control is being achieved.
 - is the corrective action taken to return the

• - Corrective properties may
sometimes be built into the controller (for example,
to modify the time the lights are turned on as the
days grow shorter or longer), but this would not
close the loop. In another instance, the sensing,
comparison, or adjustment may be made through
action taken by an individual who is not part of the
system.
• If control is exercised as a result of the operation
rather than because of outside or predetermined

Most organized systems are some combination of
man and machine; some elements of control may
be performed by machine whereas others are
accomplished by man.
systems can be complex because of the
sophisticated technology, whereas control of people
is complex because the elements of control are
difficult to determine.
Man must as the controller when measurement
is subjective and judgment is required.

In , the approach
used in the program of review and
evaluation depends on the reason for the
evaluation
serves to regulate the
day-to-day output relative to schedules,
specifications, and costs.

ORGANIZATIONAL
CHANGE
and
STRESS
GROUP V

Fundamentals of
Changing an Organization
Defining Changing an
Organization
Change Versus Stability

Changing an
Organization
Is the process of
modifying an existing
organization to increase
organizational
effectiveness.

The study of organizational
change is extremely
important because managers
at all organizational levels are
faced throughout their careers
with the task of changing their
organization.

Change Versus Stability
(1) High death
probability (slow)
(2) High survival
probability
(3) High survival and
growth probability
(4) Certainty of death
(slow)
(5) Certainty of death
(quick)
(1) (2) (3)
(4) (5)
High
HighLow
Low
STABILITY
ADAPTATION

Factors to consider when changing an
organization
The change agent
Determining what should be
changed
The kind of change to make
Individuals affected by the change
Evaluation of the change

The change
agent
Is the individual
inside or outside the
organization who tries
to modify the existing
organizational
situation.

 As the most important factor managers need to consider when changing an
organization, Special Skills are necessary for success as a change agent.
Among them are the ability to determine how a change should be made, the
skill to solve change-related problems, and facility in using behavioral
science tools to influence people appropriately during the change process.
The most overlooked skill of successful change agents, however, is the
ability to determine how much change employees can withstand.

Determining what should
be changed
Another major factor managers need to
consider is exactly what should be
changed within the organization. In
general, managers should make only
those changes that will increase
organizational effectiveness.

Three classes of factors
Organizational effectiveness
depends primarily on activities
entering around three classes of
factors.
1.People
2.Structure
3.Technology

TECHNOLOGICAL
FACTORS
Are any types of
equipment or
processes that
assist organization
members in the
performance of
their jobs.

The kind of change to
make
 Is the third major
factor that managers
need to consider when
they set out to change
an organization.

Changes can be categorized
as
TECHNOLOGICAL
STRUCTURAL
PEOPLE

TECHNOLOGICAL CHANGE
Emphasizes modifying
the level of technology in
the management system.

STRUCTURAL CHANGE
It emphasizes increasing
organizational effectiveness by
changing controls that influence
members during the performance
of their jobs.
Structural change is change
aimed at increasing effectiveness
through modifications to the
existing organizational structure.

Modifications to the existing organizational
structure
1. Clarifying and defining jobs
2. Modifying organizational structure fit the communication needs of the
organization
3. Decentralizing the organization to reduce the cost of coordination,
increase the control ability of subunits, increase motivation, and gain
greater flexibility.

PEOPLE CHANGE
People change emphasizes
increasing organizational
effectiveness by changing
certain aspects of organization
members. The focus of this
kind of change is on such
factors as employees
attitudes and leadership
skills.

Examine the Organization Development
Organization Development (OD) –
is the process of people change. It
focuses mainly on changing
certain aspects of people, these
changes are based on an
overview of structure, technology,
and all other organizational
ingredients.

The Status of the OD
If the entire OD area is
taken into consideration,
changes that emphasize
both people and the
organization as a whole
seem to have inherent
strength. However, several
commonly voiced
weaknesses in OD efforts
include the following:

Managers can improve the quality of OD
efforts by doing the following:
 1. Systematically tailoring OD programs to meet the specific needs of
the organization.
 2. Continually demonstrating exactly how people should change their
behavior.
 3. Conscientiously changing organizational reward systems so
organization members who change their behavior in ways suggested
by the OD program are rewarded.

Individuals affected By the change
A fourth major factor to be
considered by managers when
changing an organization is the
people who will be affected by
the change.

Resistance to change
Resistance to
change within an
organization is
as common as
the need for
change.

Why people resist
change?
Resistance to the
change itself.
change strategy.
change agent.

REDUCING RESISTANCE TO
CHANGE
To ensure the success of
needed modifications,
managers must be able to
reduce the effects of the
resistance that typically
accompanies proposed
change.

Resistance
can usually be
lowered by
following
these
guidelines:

Avoid
surprises
 Highest priority and first
strategy for change
 Improves urgency to change
 Reduces uncertainty (fear of
unknown)
 Problems - time consuming
and costly

understanding
Provides new knowledge and skills
Includes coaching and action learning
Helps break old routines and adopt
new roles
Problems potentially time consuming
and costly

change
Increases ownership of change
Helps saving face and reducing fear
of unknown
Includes task forces, future search
events
Problems - time-consuming,
potential conflict

change
When communication, training, and
involvement do not resolve stress
Potential benefits
More motivation to change
Less fear of unknown
Fewer direct costs
Problems - time-consuming, expensive,
doesn’t help everyone.
Make tentative change

EVALUATION OF CHANGE
 PURPOSE
- The purpose of this evaluation is not only
to gain insight into how the change itself
might be modified to further increase its
organizational effectiveness, but also to
determine whether the steps taken to make
the change should be modified to increase
organizational effectiveness the next time
they are used.

According to Margulies and Wallace
Making this evaluation
may be difficult because
the data from individual
change programs may be
unreliable.

CHANGE AND STRESS
What is STRESS?
It is the bodily strain that
an individual experiences
as a result of coping with
some environmental
factor.

According to Hans Selye..
“Stress constitutes the factors
affecting wear and tear on the
body. In organizations, this wear
and tear is caused primarily by the
body’s unconscious mobilization
of energy when an individual is
confronted with organizational or
work demands”

THE IMPORTANCE OF STUDYING
STRESSStress can have damaging
psychological and physiological
effects on employees health and on
their contribution to organizational
effectiveness. It can cause heart
disease, and it can prevent employees
from concentrating or making decisions.
Increased levels of stress have also
been associated with adverse effects on
family relationships, decreased
productivity in the workplace, and

 Stress is a major cause of employee
absenteeism and turnover. Certainly, such
factors severely limit the potential success
of an organization.
 A stressed employee can affect the
safety of other workers or even the public.
 Stress represents a significant cost to
organizations.

MANAGING STRESS IN
ORGANIZATION
This section, is built on the
assumption that in order to
appropriately manage stress in
organizations.
managers must understand how
stress influences worker
performance.
 identify where unhealthy stress
exists in organization.

Managers must understand the relationship
between the amount of stress felt by a worker and
the worker’s performance.
Once managers understand the impact of stress
on performance, they must identify where stress
exists within the organization. Because most stress-
related organizational problems involve too much
stress rather than too little, the remainder of this
section focuses on how to relieve undesirably high

A is an environmental demand
that causes people to feel stress.
Stressors are common in situations
where individuals are confronted by
circumstances for which their usual
behaviors are inappropriate or
insufficient and where negative
consequences are associated with

Management can also adopt several strategies to help
prevent the initial development of unwanted stressors in
organizations . Four such strategies follow:
1.)
- Organizations commonly evolve into large bureaucracies
with formal, inflexible, impersonal climates. This setup leads
to considerable job stress.
2.
- Recent research has demonstrated that employees who
participated in a stress management course were less
depressed than employees who did not participate in a stress
management course. The stress management course
involved a group session in which educational materials
about coping strategies and stress prevention presented.

3.)
- Routine jobs that do not allow
employees some degree of freedom
often result in undesirable employee
stress.
4.)
- Employees often experience
considerable stress when they do not
know what their next career step might

is defined as a struggle that results
from opposing needs or feelings between
two or more people. In case of
organizational change, conflict generally
results from managers making changes that
threaten others or create competing views
between others and managers concerning
when.

One conflict management strategy a manager
can use is to , which means the
parties to the conflict settle on a solution that
gives both of them part of what they wanted.
Some managers adopt the avoiding
technique as means to manage conflicts.
is conflict management technique
whereby managers simply ignore the conflicts.

is a technique for managing
conflict in which managers use authority
to declare that conflict is ended.
The most direct and most difficult way to
manage conflict is to work out the
difference between mangers and
employees. This conflict management
strategy is called .

a has the essences
of a traditional organization, but without
some aspect of tradition al boundaries and
structure. Virtual organization are also
referred to as
. In
essence manager go beyond traditional
boundaries or organization by using recent
developments in information technology.

The most extensive degree; an organization that goes significantly
beyond the boundaries and structure of a traditional organization by
comprehensively “trying together” a company’s stakeholders–
employees, suppliers and customers via an elaborate system of e-
mail, World Wide Web, and other internet related vehicles such as
videoconferencing.
Groups of employees formed by managers that go beyond the
boundaries and structure of traditional teams by having members in
geographically dispersed locations meeting via real-time messaging
on an internet.
A training process that goes beyond the boundaries and structure of
traditional training , such training can go beyond traditional training
limits.

is a work arrangement
that extends beyond the structure
and boundaries of the traditional
office arrangement. Specifics of the
arrangements vary from organization
to organization but can be
conceptualized using the alternative
work arrangements continuum.

Have fixed, traditional offices and work schedules but
occasionally work at home.
Come into the traditional office frequently, but because they are
not always physically present, they are not allocated permanent
office space.
“Tethered” workers have some mobility but are expected to
report to the office on a regular basis.
A home-based worker has no traditional office. The work space
of this type worker could be a kitchen table or a bedroom desk.
A worker who is fully mobile works out of a car.

Managers design and implement virtual
offices for many different reasons.
– is the most commonly cited
reason and or are
the most commonly cited costs to be
reduced.

Managers face many new and different challenges
when using the virtual office concept.

Presented by: GROUP V
Adrao, Sheena E.
Abion, Sherry Kate
Adoyo, Herjanh
Arago, Lorenzo
Arevalo, Joseph

Controlling and Organizational Change (Principles of Management)

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