Chapter 15



Chapter 15

Change, Conflict, and Negotiation

1. Managers need to do a much better job of managing the process of change. Nadler and Tushman’s model identifies four types of organizational change by cross-referencing anticipatory and reactive change with incremental and strategic change. Four resulting types of change are tuning, adaptation, re-orientation (frame bending), and re-creation (frame breaking).

2. People who like a change tend to go through three stages: unrealistic optimism, reality shock, and constructive direction. When someone fears or dislikes a change, a more complex process involving five stages tends to occur: getting off on the wrong track, laughing it off, experiencing growing self-doubt, buying in, and moving in a constructive direction. Managers are challenged to help employees deal effectively with reality shock and self-doubt.

3. Inevitable resistance to change must be overcome if the organization is to succeed. Employees resist change for many different reasons, including (but not limited to) surprise, inertia, ignorance, lack of trust, fear of failure, passive-aggressive behavior, and competing commitments. Modern managers facing resistance to change can select from several strategies, including education and communication, participation and involvement, facilitation and support, negotiation and agreement, manipulation and co-optation, and explicit and implicit coercion.

4. Organization development (OD) is a systematic approach to planned organizational change. The principal objectives of OD are increased trust, better problem solving, more effective communication, improved cooperation, and greater willingness to change. The typical OD program is a three-phase process of unfreezing, change, and refreezing.

5. Unofficial and informal grassroots change can be initiated by tempered radicals, who quietly follow their convictions when trying to change the dominant organizational culture. Four guidelines for tempered radicals are (1) think small for big results, (2) be authentic, (3) translate, and (4) don’t go it alone. The 5P checklist for grassroots change agents—preparation, purpose, participation, progress, and persistence—is a generic model for people at all levels in all organizations. Ordinary employees can achieve extraordinary changes by having a clear purpose, a champion or driver for the change initiative, a measurable objective, broad and powerful support achieved through participation, an ability to overcome roadblocks, and a persistent sense of urgency.

6. Competitive conflict is characterized by a destructive cycle of opposing goals, mistrust and disbelief, and avoidance of discussion, coupled with a win-lose attitude. In contrast, cooperative conflict involves a constructive cycle of cooperative goals, trust and reliance, and discussion, coupled with a win-win attitude.

7. Conflict triggers can cause either constructive or destructive conflict. Destructive conflict can be resolved through problem solving, superordinate goals, compromise, forcing, or smoothing.

8. Three basic elements of effective negotiations are a win-win attitude, a BATNA (best alternative to a negotiated agreement) to serve as a negotiating standard, and the calculation of a bargaining zone to identify overlapping interests. Added value negotiating (AVN) improves on standard negotiation strategies by fostering a creative range of possible solutions.

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