Stace & Dunphy (2001) identify five dilemmas of change

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Stace & Dunphy (2001) identify five dilemmas of change:

 Five dilemmas that have characterised decisions about organisational change:

1. Adaptive V rational strategy development

2. Cultural change V structural change

3. Continuous improvement V radical transformation

4. Empowerment V leadership and command.

5. Economic V Social goals

Having discussed the five dilemmas, Dunphy and Stace (1996) differentiate them in terms of `soft' and `hard' approaches to managing change:

Soft approaches are characterised by:  adaptive strategy, cultural change, continuous improvement and empowerment.

while hard approaches are characterised by: rational strategy, structural change, radical transformation and leadership and command.

Introduction to Cultural Change & Structural

Success in business is often determined by how effective an organization manages cultural change. That is success is not achieved by an executive's skills alone, nor by the visible features - the strategy, structure and reward system - of the organization. Every organization has an invisible quality - a certain style, a character, a way of doing things - that may be more powerful than the dictates of any one person or any formal system. This invisible quality 'the corporate culture' dictates how effective the organization is in the marketplace. Achieving cultural change to maintain a prime market position has to be a key preoccupation of every chief executive. To understand the soul of the organization and the cultural change required necessitates us probing below the below what is visible, e.g., charts, rule books, machines and buildings and into the underground world of peoples feelings, beliefs, perceptions, attitudes, behaviors, only then can the corporate culture be defined and cultural change initiatives be identified.

To provide meaning, direction and mobilisation, i.e., the social energy that moves the corporation into either productive action or destruction requires constant cultural change to keep abreast of current management thinking and technology. Many organisations however simply do not recognise the need for cultural change and therefore this 'social energy' has barely been tapped; whether diffused in all directions or even deactivated, it is not mobilised to help the company. Most members seem apathetic or depressed about their jobs and no longer pressure one another to do well. Even cultural change pronouncements by top managers that they will improve the situation fall on the deaf ears of employees who have heard these promises before. Consequently, without cultural change being itself part of the culture, the soul of the organisation slowly dies. The crucial role of corporate cultural change in shaping behaviour, and the especially powerful effects of group norms, one way to turn around a maladaptive company is to effect cultural change by managing its norms. Even cultural norms that dictate behaviour, opinions style and attitudes, etc., can be brought to the surface, discussed and altered by cultural change initiatives.

Experience of corporate consulting work, has revealed it helpful to have all group members (generally in a cultural change workshop setting) list the actual norms that currently guide their behaviour and attitudes. This can be done for one or many cultural change groups, departments and divisions. Sometimes, it takes a little prodding and a few illustrations to get the process started, but once it begins, cultural change group members are quick to suggest many norms. In fact, they seem to delight in being able to articulate what was never written in any document and rarely mentioned even in casual conversation between themselves.

What is Structural Change

Structure is the place where culture grows. The structure of the organization, its physical structure, its work processes and systems support and create the behavior of the people who work there. Often organizations distribute new mission statements, beautiful posters with new values on them, but since the structure of the workplace does not support the mission or values, they are doomed to disappear. The networks of an organization function as culture maintainers – organization members who communicate in predictable ways about predictable things based on history. Fundamental and lasting change requires the transformation of the networks that are the foundation for communication and relationships within the organization. By changing the way people sit, the processes they use, the structure of relationships between departments – new networks form and old ones fade away.

The structural changes should be small, many and high leverage. The changes should be small so that small numbers of volunteers can implement them quickly. Changing many things at the same time destabilizes the old, out-dated systems and processes. High leverage changes have a profound impact on the whole system.  New structure forces new behaviors, just as changing the position of a wall in a room, or taking it away all together, causes people in the room to move and to change their focus.

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(Ref: Johnson Gerry and Scholes Kevan, (2002), “exploring corporate strategy”, 6 e/d, Printice Hall, UK)

Structural change is enduring and difficult to undo. Once new walls, new systems and new processes are built to replace old structures, it is hard to return to the old way of doing things. Remember when the typewriter and the computer sat in side-by-side in the offices and how the people continued to use their typewriters?  As soon as the typewriters were gone, people switched to computers. A test for structural change is an econometric test to determine whether the coefficients in a regression model are ...

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