Introduction

Dynamic World
Frequent changes Human Efforts required

"Change" is: to give a different position, course, or direction to to make a shift from one to another to undergo a modification of to undergo transformation, transition or substitution

"Manage" is : to handle or direct with a degree of skill or address to exercise executive, administrative and supervisory direction of

CHANGE MANAGEMENT
Change Management is a structured process that will

cause proposed changes to be reviewed for technical and business readiness in a consistent manner that can be relaxed or tightened to adjust to business needs and experiences.

Managing change
Understanding the potential effects of a change
Each possible reaction be anticipated and managed

Forces Driving Need for Organisation Change

Global Changes, Competition & Markets Technological Change International economic integration Maturing Markets in the developed world Changing world political order

More Threats More domestic Competition Increased Speed International Competition.

More Opportunities Bigger Markets Fewer barriers More International markets

More Large-Scale Changes in Organisations Mergers, joint ventures Horizontal organizing, teams Structure Change networks Strategic Change New technologies, products Culture Change New business processes Knowledge Management, ERP E-business Quality Programs Learning Organisations

Challenges of Changes
Involves new procedures
Leadership - changing the running of an organization

from a command and control nature of management to the nurturing and motivational nature of leadership. Focus - making business choices to bring alignment and focus to the organization.

 Commitment - creating commitment to the future of

the enterprise throughout the organization. Resistance- Resistance is a complex entity that directly affects the outcomes of change, both positively and negatively.

KURT-LEWINS CHANGE MODEL

UNFREEZE CHANGE

REFREEZE

Kurt Lewins model of change

Stage Characteristics Organizational impact People in the organization made aware of This diagnosis stage is often driven Unfreezing problems/performance gap by a change agent and need for change

Changing

People experiment with This intervention stage features new workplace behavior to specific training plans for deal with needed change managers and employees People employ new skills and attitudes and are rewarded by organization

Refreezing

Changes are institutionalized in the corporate culture

NEED FOR CHANGE

Indian economy opened to global competition
Godrej group was in a Quandary No exposure to competition or new technology Entered into two alliances P&G GE

NEED FOR CHANGE

Entire distribution of Godrej transferred to P&G
1995-Break-up of the joint venture between Godrej &

P&G Post breakup Godrej devoid of distribution system Rebuilding exercise 1995-TQM

CHANGE
Switch from a family-run business to a professionally

managed company Changed the earlier model of management hierarchy Adopted a participative management model
team spirit employee improvement programmes.

TQM
1995-TQM Awareness programmes conducted for all

employees Objective Driving force Maximize quality and minimize costs. Total employee involvement, total waste elimination and total quality control

KAIZEN
Japanese technique of continuous improvement
Increase in employee involvement and morale. Significant savings Flexible

360-Degree Evaluation
Assessment
Unbiased feedback to the employee Self development

Economic Value Added Training (EVA)

2001-Introduction of EVA
Extensive training program for managerial and officer

levels Training regarding decision making of investments and trade-offs between the income statement and the balance sheet. Stern Stewart, New York based management consultancy

GALLOP-Godrej Accelerated Learning Leadership and Orientation Programme

2002 -structured and organised induction-training

programme Objective to nurture the new recruits into leaders and dynamic performers The trainees were rotated in four departments other than their primary department including a compulsory sales stint. Mandatory rotation helped the trainees to get a hands-on experience to understand the market

Spark - Train The Trainers

2002-purpose was to equip the managers to become

successful coaches
GIL, in association with a Delhi-based HR consultant,

conducted several workshops to mould the managers into coaches

E-Gyan
2002 -E-Gyan was the e-learning initiative

Transform traditional training methods of workshops

and sharpen the intellect of the employees by selflearning initiatives

Structural changes within HR policies

The HR divisions have suddenly become more buoyant

& are looking forward to the participation of new joinees

Encouragement of more participation of new joinees in

the decision making process.

Bedhadak bolo

 Switching from a family-run business to a professionally

managed company, the management has once again embarked on a new exercise to change the outlook of the company. Godrej changed its existing logo and came out with a new logo. A completely new corporate campaign was designed to convey this new look to the outside world.

RESULT Best Employer 2007-08 by global Awarded The

human resources management and outsourcing company, Hewitt Associates. Following EVA implementation, operating performance has improved significantly All the businesses improved their performance

e-banking

27