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Southern Discomfort

Organizational theory and management
by

Ben Holliday

on 20 December 2013

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Transcript of Southern Discomfort

Southern Discomfort
Outline
1. Introduction of the case
2. Textbook topic
3. Discussion
Introduction 1/2
Introduction 2/2
Oconomo's operation produces inefficient return. Union leaders resists Jim's suggestions of lowering wages or cell manufacturing approach.

After two days spent in Mexico, Jim has to report to his boss advantages of moving to Mexico although he personally believe that the act would be wrong.
Ben Holliday
Matouš Holý

The Change Curve
Barriers to Change
Techniques for Implementation
Discussion
Lamprey's Oconomo, third-generation unionized U.S. manufacturing plant, is in struggle cause of high costs. Chief executive officer Jack Ripon wants to move it down to Mexico.

Jim Malesckowski, president of the Wisconsin Specialty Products Division of Lamprey Inc., sympathize with 520 employees who wouldn't most probably find another job in the town.
1. Excessive focus on costs
2. Failure to perceive benefits
3. Lack of coordination and cooperation
4. Uncertainty avoidance
5. Fear of loss
1. Establish a sense of urgency for change
2. Establish a coalition to guide the change
3. Create a vision and strategy for change
Implementation can typically be designed to overcome many of the organizational and individual barriers to change.
4. Find the idea that fits the need
5. Create change teams
6. Foster idea champions
Top leaders articulate the vision and set the tone, but managers and employees throughout the organization are involved in the process of change.
To increase the chance of successful implementation, managers acknowledge the conflict, threats, and potential losses perceived by employees.
Techniques for Overcoming Resistance
1. Alignment with needs and goals of users
2. Communication and training
3. An environment that affords psychological safety
4. Participation and involvement
5. Forcing and coercion
Should Lamprey Inc. move this division to Mexico?
Which stakeholder group should Jim present his argument to first?
Which stakeholder group wil resist the change the most? The union leaders, the CEO, the employees, or the town leaders?
Can the company succeed in changing the culture?
Lewin's Change Model
1. Unfreeze
2. Change
3. Refreeze
The failure to recognize and overcome reistance is one of the top reasons managers fail to implemetn new strategies that can keep their companies competitive.
Learning to manage change effectively, including understanding why people resist change and ways to overcome resistance, is curcial, particularly when top-down changes are needed.
Full transcript