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ORGANIZATIONAL CHANGE
PROCESS: WEEK 6
ACTIVITIES
Barbara Barrow, Marchella Christian, Jay Johnstone, Spencer Rieck, & Leann
Weaver
AET/560
Dr. Christine Nortz
OVERVIEW OF BUILD-A-BEAR
WORKSHOP® (BABW)Offers 30 different animals to make
More than 400 Build-A-Bear Workshop® stores
Over 71 Franchises
located in Europe, Asia, Australia, Africa, Mexico, and the Middle East
Over 1800 employees
Corporate home office is located in St. Louis, Missouri
Distribution center in Columbus, Ohio
• Maxine Clark founded BABW in 1997
• According to, Build-A-Bear Workshop® Inc. History. (2016).
2001: The National Retail Federation names Build-A-Bear the Retail Innovator of the Year (p. 1).
2002: Build-A-Bear Workshop® celebrates the 10th anniversary of the teddy bear along
with the opening of its 100th store (p. 1).
SCENARIO FOR BUILD-A-BEAR: POOR
COMMUNICATION/DEADLINE
Build-A-Bear management tells an employee they need some important data
by Monday. Employee response: No problem, I will have exactly what you
need by Monday. (On the surface, it seems like good communication). The
employee thinks that he has until 4:00 pm to deliver the data. In reality,
management needs the information by 11:00 am; to make a deadline with the
supplier, for the delivery of materials needed to complete an large order.
It’s Monday at 11:00 a.m., the manager discovers the employee has not
started on the project; thinking that he could deliver it at anytime during the
day.
Results: Management misses the deadline with the supplier who can’t give the
materials that is needed for a big order due on Thursday.
SCENARIO: VAGUE COMMUNICATION
ABOUT STREAMLINING
Build a Bear management has received numerous customer complaints regarding a long wait
time to build their bears. Management addresses this problem with an email directive to all
floor staff to streamline the building process. The directive notifies store managers who incur
more than five complaints per month will be placed on probation. The email’s vagueness and
threat of punishment causes anxiety and stress in the store managers; who then demand
their staff to work harder and faster. This breeds staff resistance and disenfranchisement among
the floor staff and store managers, most of whom are doing well and meeting sale quotas.
Change Theories
KURT LEWIN THEORY OF
FREEZE
ORGANIZATIONAL DEVELOPMENT
THEORY
“This theory creates a climate of upward
communication” (Spector, 2013, p.1).
RATIONALE FOR THE SELECTED
THEORIES
The reason for this rationale is the lack of communication between management and
employees. These theories are being used and are appropriate for the culture within
Build-A-Bear Workshop. It is different from the (non-successful) methods used to implement
change. Leadership did not relate the desired intentions, and the employees did not ask
for the specifics concerning the deadline. The previous culture has been to give new
processes to the employees and run with it.
HOW TO INCREASE
EMPLOYEE COMMITMENT TO
CHANGE
OFFER INCENTIVES FOR BUILD-A-BEAR
WORKSHOP• Kurt Lewin Theory
• “Ensure that employees are ready” (Connelly, n.d.)
• Offer Breakfast with Management: Encourages Upward
Communication
• Start a Team: Build a team for improving communication
• “Execute the intended change” (Connelly, n.d)
• Name the Station at each Build-A-Bear Store
• Ask Employees’ for their Ideas: Both offer brain storming
opportunities
• Have a Company Picnic: Encourages team building and Upward
Communication
• “Ensure that the change becomes permanent” (Connelly, n.d.)
• Founders Wall: Offers brain storming opportunities
• Respect
TEAMS AND THE CHANGE
PROCESS
 Create a plan- Identify the areas that need change
 Understand the end goal- Where is the company today and where it needs to be?
 Communicate clearly- Change should be exciting, rewarding, and worthwhile experience
 Identify Key players- Take time to walk through the anticipated changes
 Delegate tasks- Assign firm deadlines for completion, follow along with the team, provide support,
offer support, give responsibilities>Get more accomplished
 Set realistic objectives
 Manage expectations- Clarify what is expected of the team and the leader
 Hold people accountable for implementing change
TEAMS AND THE CHANGE
PROCESS
OVERCOMING RESISTANCE
Resistance to change should be anticipated and addressed in a proactive manner. According to
Spector (2013), effective methods of resistance management include:
 Clearly defining the need for change and create dissatisfaction with the status quo.
 Involve all levels of employees every step of the way.
 Solicit ideas, perspectives and comments from employees at the very
beginning. This helps create employee "buy-in" for the process.
 Actively seek dissenting views, have staff play the role of devil’s
advocate, and ensure an open climate for discussion and decision making.
 Define and address roles and responsibilities so staff understand how they
fit in the big picture.
 Actively pursue the discussion and analysis of the costs, benefits, and
risks of diverse alternatives.
 Allow time for reflection and do not mistake silence for consent.
TRAINING OUTLINE
• One-Day “Classroom” training
• Training will focus on Build-A-Bear’s new strategy
• Enhancing Customer Service
• New Processes for stronger efficiency
• Higher Volume locations will get a second stuffing machine
• Training will focus on change using effective change
theories
• Lewin’s Theory of Change
• Organizational Development Theory
• Prior to Training, Employees will be Surveyed
• Upward communication
• Employees can identify needs that will be implemented in their training
TRAINING OUTLINE (CONT.)
• Communication
• During training, employees will receive transparent
communication
• Details of the reason behind the change/training
• Training will be location-based
• Best practices can be applied per location needs
• Employees can develop ideas together to improve the process
• Success will be tracked
• Employees will be surveyed after training to gauge interest and
success
• Customer satisfaction and revenue will also be indicators
DATA, ASSESSMENTS AND THE
CHANGE PROCESS
Creating a shared diagnosis requires data; valid information concerning the factors that
impact the performance of the organization and its ability to implement its renewed
strategy (Spector, 2013, p. 60).
Once data is collected, it requires careful interpretation and incorporation into the change
process. This “discovery stage” should be shared with all responsible leaders and
employees as it engages the employees in developing the shared diagnosis and it is
partially their own data being reviewed (Spector, 2013, p. 65).
Management should facilitate feedback at all stages of diagnostics, data interpretation
and change implementation. Feedback from employees lets change leaders know how
effective the solutions are and encourages an ongoing and continuous dialog between
operational levels (Spector, 2013, p. 67).
THREE AREAS OF DATA COLLECTION AND
ASSESSMENTSQuestionnaires:
• Can be administered to a large number of employees. Managers should also incorporate
• Results can be compiled in a short time period
• The anonymous nature of questionnaires can provide employees with a greater sense of
freedom to speak their mind.
• Can provide benchmarks for the organization to measure itself against and track progress or
regression.
• Can offer comparisons and highlight area where results are especially positive or negative.
Interviews:
• Collect rich data.
• Facilitate the process of creating dialogue.
• Teach communication and active listening skills to employees.
Observation:
• Provides current behavior as data.
• Offers deep and rich data on interactions among people.
• Can reveal emotions that impact behavior.
(Spector, 2013, p. 66)
DETAILS ABOUT SHARED DIAGNOSIS W/O
IN THE CHANGE PROCESS
CONCLUSION
• Change theory will make organizational change more manageable
• Employee motivation
• Communication
 Effective communication prevents misunderstandings and reduces
costs associated with mistakes. (Smith, 2015)
 Reduce resistance
 Confusion and ambiguity will create negative feelings and a tense
atmosphere.
• Clearly defining roles and responsibilities will provide employees
direction
• This is particularly important with a diverse workforce.
• An in depth training is necessary to initiate change at Build-a-Bear
• Employee motivation
• Coaching
• Track progress and success
REFERENCES
Anderson, D., Ackerman, L., & Anderson, L. (n.d.) How to increase employee commitment to change. Retrieved from
http://changeleadersnetwork.com/how-to-increase-employee-commitment-to-change
Beckhard, R., & Harris, R. T. (1987). Organizational transitions: Managing complex change (2nd ed.).
Boston, MA.; Addison Wesley Publishing Company
Build-A-Bear Workshop® Inc. (2016). Company History. Retrieved from http://www.fundinguniverse.com/company-histories/build-a- bear-
workshop-inc-history/
Connelly, M. (n.d.). The Kurt Lewin change management model. Retrieved from http://www.change-management- coach.com/kurt_lewin.html,
p, 1, para 5, p. 2, para. 4, p. 2, para. 9
Cawsey, T. F., Deszca, G., & Ingols, C. (2012). Organizational change: An action-oriented toolkit (2nd ed.). Los Angeles, CA: Sage
Michalowicz, M. (2016). 101 ways to reward employees (without giving them cash). American Express for Small Business. Retrieved from
https://www.americanexpress.com/us/small-business/openforum/articles/a-101-ways-to-reward-employees-without- giving-them-cash/
Rohn, J. (2013). Verybestquotes.com Retrieved May 30, 2016, from verybestquotes.com Web site: http://www.verybestquotes.com/if-you-
just-communicate-jim-rohn-quote/
Smith, E (2015). The importance of communication in the organizational structure. Retrieved from http://smallbusiness.chron.com/importance-
communication-organizational-structure-24390.html
Spector, B. (2013). Implementing organizational change: Theory and practice (3rd ed.). Boston, MA: Prentice Hall , p. 156, para 2, 6.

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Week 6 final assignment organizational presentation may 30 2016

  • 1. ORGANIZATIONAL CHANGE PROCESS: WEEK 6 ACTIVITIES Barbara Barrow, Marchella Christian, Jay Johnstone, Spencer Rieck, & Leann Weaver AET/560 Dr. Christine Nortz
  • 2. OVERVIEW OF BUILD-A-BEAR WORKSHOP® (BABW)Offers 30 different animals to make More than 400 Build-A-Bear Workshop® stores Over 71 Franchises located in Europe, Asia, Australia, Africa, Mexico, and the Middle East Over 1800 employees Corporate home office is located in St. Louis, Missouri Distribution center in Columbus, Ohio • Maxine Clark founded BABW in 1997 • According to, Build-A-Bear Workshop® Inc. History. (2016). 2001: The National Retail Federation names Build-A-Bear the Retail Innovator of the Year (p. 1). 2002: Build-A-Bear Workshop® celebrates the 10th anniversary of the teddy bear along with the opening of its 100th store (p. 1).
  • 3. SCENARIO FOR BUILD-A-BEAR: POOR COMMUNICATION/DEADLINE Build-A-Bear management tells an employee they need some important data by Monday. Employee response: No problem, I will have exactly what you need by Monday. (On the surface, it seems like good communication). The employee thinks that he has until 4:00 pm to deliver the data. In reality, management needs the information by 11:00 am; to make a deadline with the supplier, for the delivery of materials needed to complete an large order. It’s Monday at 11:00 a.m., the manager discovers the employee has not started on the project; thinking that he could deliver it at anytime during the day. Results: Management misses the deadline with the supplier who can’t give the materials that is needed for a big order due on Thursday.
  • 4. SCENARIO: VAGUE COMMUNICATION ABOUT STREAMLINING Build a Bear management has received numerous customer complaints regarding a long wait time to build their bears. Management addresses this problem with an email directive to all floor staff to streamline the building process. The directive notifies store managers who incur more than five complaints per month will be placed on probation. The email’s vagueness and threat of punishment causes anxiety and stress in the store managers; who then demand their staff to work harder and faster. This breeds staff resistance and disenfranchisement among the floor staff and store managers, most of whom are doing well and meeting sale quotas.
  • 6. KURT LEWIN THEORY OF FREEZE
  • 7. ORGANIZATIONAL DEVELOPMENT THEORY “This theory creates a climate of upward communication” (Spector, 2013, p.1).
  • 8. RATIONALE FOR THE SELECTED THEORIES The reason for this rationale is the lack of communication between management and employees. These theories are being used and are appropriate for the culture within Build-A-Bear Workshop. It is different from the (non-successful) methods used to implement change. Leadership did not relate the desired intentions, and the employees did not ask for the specifics concerning the deadline. The previous culture has been to give new processes to the employees and run with it.
  • 9. HOW TO INCREASE EMPLOYEE COMMITMENT TO CHANGE
  • 10. OFFER INCENTIVES FOR BUILD-A-BEAR WORKSHOP• Kurt Lewin Theory • “Ensure that employees are ready” (Connelly, n.d.) • Offer Breakfast with Management: Encourages Upward Communication • Start a Team: Build a team for improving communication • “Execute the intended change” (Connelly, n.d) • Name the Station at each Build-A-Bear Store • Ask Employees’ for their Ideas: Both offer brain storming opportunities • Have a Company Picnic: Encourages team building and Upward Communication • “Ensure that the change becomes permanent” (Connelly, n.d.) • Founders Wall: Offers brain storming opportunities • Respect
  • 11. TEAMS AND THE CHANGE PROCESS  Create a plan- Identify the areas that need change  Understand the end goal- Where is the company today and where it needs to be?  Communicate clearly- Change should be exciting, rewarding, and worthwhile experience  Identify Key players- Take time to walk through the anticipated changes  Delegate tasks- Assign firm deadlines for completion, follow along with the team, provide support, offer support, give responsibilities>Get more accomplished  Set realistic objectives  Manage expectations- Clarify what is expected of the team and the leader  Hold people accountable for implementing change
  • 12. TEAMS AND THE CHANGE PROCESS
  • 13. OVERCOMING RESISTANCE Resistance to change should be anticipated and addressed in a proactive manner. According to Spector (2013), effective methods of resistance management include:  Clearly defining the need for change and create dissatisfaction with the status quo.  Involve all levels of employees every step of the way.  Solicit ideas, perspectives and comments from employees at the very beginning. This helps create employee "buy-in" for the process.  Actively seek dissenting views, have staff play the role of devil’s advocate, and ensure an open climate for discussion and decision making.  Define and address roles and responsibilities so staff understand how they fit in the big picture.  Actively pursue the discussion and analysis of the costs, benefits, and risks of diverse alternatives.  Allow time for reflection and do not mistake silence for consent.
  • 14. TRAINING OUTLINE • One-Day “Classroom” training • Training will focus on Build-A-Bear’s new strategy • Enhancing Customer Service • New Processes for stronger efficiency • Higher Volume locations will get a second stuffing machine • Training will focus on change using effective change theories • Lewin’s Theory of Change • Organizational Development Theory • Prior to Training, Employees will be Surveyed • Upward communication • Employees can identify needs that will be implemented in their training
  • 15. TRAINING OUTLINE (CONT.) • Communication • During training, employees will receive transparent communication • Details of the reason behind the change/training • Training will be location-based • Best practices can be applied per location needs • Employees can develop ideas together to improve the process • Success will be tracked • Employees will be surveyed after training to gauge interest and success • Customer satisfaction and revenue will also be indicators
  • 16. DATA, ASSESSMENTS AND THE CHANGE PROCESS Creating a shared diagnosis requires data; valid information concerning the factors that impact the performance of the organization and its ability to implement its renewed strategy (Spector, 2013, p. 60). Once data is collected, it requires careful interpretation and incorporation into the change process. This “discovery stage” should be shared with all responsible leaders and employees as it engages the employees in developing the shared diagnosis and it is partially their own data being reviewed (Spector, 2013, p. 65). Management should facilitate feedback at all stages of diagnostics, data interpretation and change implementation. Feedback from employees lets change leaders know how effective the solutions are and encourages an ongoing and continuous dialog between operational levels (Spector, 2013, p. 67).
  • 17. THREE AREAS OF DATA COLLECTION AND ASSESSMENTSQuestionnaires: • Can be administered to a large number of employees. Managers should also incorporate • Results can be compiled in a short time period • The anonymous nature of questionnaires can provide employees with a greater sense of freedom to speak their mind. • Can provide benchmarks for the organization to measure itself against and track progress or regression. • Can offer comparisons and highlight area where results are especially positive or negative. Interviews: • Collect rich data. • Facilitate the process of creating dialogue. • Teach communication and active listening skills to employees. Observation: • Provides current behavior as data. • Offers deep and rich data on interactions among people. • Can reveal emotions that impact behavior. (Spector, 2013, p. 66)
  • 18. DETAILS ABOUT SHARED DIAGNOSIS W/O IN THE CHANGE PROCESS
  • 19. CONCLUSION • Change theory will make organizational change more manageable • Employee motivation • Communication  Effective communication prevents misunderstandings and reduces costs associated with mistakes. (Smith, 2015)  Reduce resistance  Confusion and ambiguity will create negative feelings and a tense atmosphere. • Clearly defining roles and responsibilities will provide employees direction • This is particularly important with a diverse workforce. • An in depth training is necessary to initiate change at Build-a-Bear • Employee motivation • Coaching • Track progress and success
  • 20. REFERENCES Anderson, D., Ackerman, L., & Anderson, L. (n.d.) How to increase employee commitment to change. Retrieved from http://changeleadersnetwork.com/how-to-increase-employee-commitment-to-change Beckhard, R., & Harris, R. T. (1987). Organizational transitions: Managing complex change (2nd ed.). Boston, MA.; Addison Wesley Publishing Company Build-A-Bear Workshop® Inc. (2016). Company History. Retrieved from http://www.fundinguniverse.com/company-histories/build-a- bear- workshop-inc-history/ Connelly, M. (n.d.). The Kurt Lewin change management model. Retrieved from http://www.change-management- coach.com/kurt_lewin.html, p, 1, para 5, p. 2, para. 4, p. 2, para. 9 Cawsey, T. F., Deszca, G., & Ingols, C. (2012). Organizational change: An action-oriented toolkit (2nd ed.). Los Angeles, CA: Sage Michalowicz, M. (2016). 101 ways to reward employees (without giving them cash). American Express for Small Business. Retrieved from https://www.americanexpress.com/us/small-business/openforum/articles/a-101-ways-to-reward-employees-without- giving-them-cash/ Rohn, J. (2013). Verybestquotes.com Retrieved May 30, 2016, from verybestquotes.com Web site: http://www.verybestquotes.com/if-you- just-communicate-jim-rohn-quote/ Smith, E (2015). The importance of communication in the organizational structure. Retrieved from http://smallbusiness.chron.com/importance- communication-organizational-structure-24390.html Spector, B. (2013). Implementing organizational change: Theory and practice (3rd ed.). Boston, MA: Prentice Hall , p. 156, para 2, 6.

Notes de l'éditeur

  1. There are Build-A-Bear Workshop® stores located in the United States of America, Puerto Rico, Canada, The United Kingdom, and Ireland. The company is a privately owned business with estimated 1800 employees. The corporate office is located in St. Louis, Missouri. Maxine Clark started BABW with an idea that was inspired by a 10 years old girl who was out shopping for stuffed toys (buildabear.com). Years later she brought her creativity into the retail world. In 2001, The BABW received retail innovator of the year in 2002 and, in 2007, BABW celebrated their 10th year anniversary with its 100th store opening. Maxine Clark was the CEO of Build-A-Bear Workshop® until 2013.
  2. The Unfreezing stage is an important stage to understand in the world of change we live in today. This stage is about getting ready to change. It involves understanding that change is necessary, and getting ready to move away from our current comfort zone. It prepares us and others, before the change (and ideally creating a situation in which we want the change). The more we feel that change is necessary, the more urgent it is, the more motivated we are to make the change. In change (transition) phase, one is planning and executing the required changes, managing implementation of all change products and ensuring delivery of the required benefits. In the refreeze stage, the changes are fully implemented and consolidated and become the ‘steady state’ management and operation of the business or organization – at least until the next big ‘unfreeze’ takes place! Connelly, M. (n.d.).
  3. The Theory of Practice “Effective leadership involves listening, engaging, and learning as well as communicating” (Spector, 2013, p. 2). This theory is important in the management field. This theory reminds us that communication is not only from management down to lower level employees, but this theory also works on lower management levels to higher management levels. Communication skills is a valuable skill in one’s personal life and professional. Spector (2013, p. 2), said this about communication as well (p. 2), “Effective leaders communicate downward to make sure employees at all levels understand in a clear and consistent way the purpose and direction of the firm. But effective organizations need upward communication as well” (p. 156, para. 2). So, now a management position is more demanding than ever with communication, both engaging and listening, being a must for downhill and upward communication.
  4. Changes in the environment create new requirements for success in the marketplace as customers demand new services or products. Meeting these new marketplace and customer requirements demands the formation of new business strategies, which in turn requires certain changes in the organization’s structure, systems, processes, or technology in order to be implemented successfully. In transformational change, the scope of these organizational changes are often so significant that they also requires the culture to change for the new organizational design to operate smoothly and produce its outcomes. Culture change demands change in leaders’ and employees’ behavior, which further requires leaders and employees to shift their mindsets, often about meeting customer needs, their business model, how work gets done, or even how they work with each other.
  5. Offer breakfast with the management team and have discussion time for employees’ to share their thoughts and ideas about the changes coming. “Start a team” (Michalowicz, 2016, p. 4) – Start a basketball or softball team. This gives the employees a chance to work on team building skills while having fun at the same time. “Name the Station” – Let the employees’ have a part in the changes and allow them to name the stations at each store. Make them a part of the change. “Close early unexpectedly one day” (Michalowicz, 2016, p. 4). You may also decide to open late one day. Another idea with this area is management may decide to incorporate is to pay employees a day early, unexpectedly, and allow them to leave early. Host a company picnic. Offer an annual company picnic and everyone brings their favorite dish, socializes, and works on team building with management in a laid back environment. “Founders wall” (Michalowicz, 2016, p. 3) – Create a Founder’s wall that allows employees’ pictures and a brief description about what they did to contribute to the change and moving forward with the company. Another add on is to include how long the employee has been with the company up to the date of the changes. Never lose the respect one has earned. As one has gone through these changes don’t lose the respect one has earned by yelling or belittling employees’ during this stressful time.
  6. Reluctance to change and resistance may be a result of the lack of information or confusion about multiple and sometimes conflicting sources of information. To reduce reluctance and ease resistance, manager must communicate the “What, why, where, how and when” related to the change action. Change management teams must use a common voice and deliver uniform information frequently.
  7. Change is constant and change management is continuous. BABW managers should perform ongoing assessments such as surveys and personal interviews to determine if the change action is effective. The data collected from employees will help BABW managers adapt the change action and keep employees engaged in the continuous change process. A continuous improvement process sustains the communication and customer service training structures and systems and encourage feedback from employees. Continuous improvement is a journey that is never over. BABW managers need to be diligent; reinforcing good behaviors, successful efficiency actions and effective employee alignment operations in order to avoid relapsing into old, less successful behaviors (Cawsey, Deszca, and Ingols, 2012).
  8. Change managers should recognize the benefits and costs of each method of data collection and utilize the methods that fit their financial budget and time schedule. Some of these methods require significant time and energy but can reveal deep data that may be critical in developing a shared diagnosis for change. Change leaders should also encourage continuous and sustained feedback between management and the individual units and employees for the duration of the change action. Mangers should also incorporate after action reports as part of their change implementation assessment. By facilitating an culture of honest and open communication, employees will be more invested in the change process and interested in a successful outcome.
  9. In a shared diagnosis, managers and employees discover and diagnose the problem(s) together and work as a team to develop a workable change plan. They go through the change process as a group and everyone arrives changed. Without shared diagnosis, problem(s) are discovered and solutions are created by upper management without the involvement of lower levels of employees. Upper management directs change action to employees resulting in resistance, different changes, and different degrees of change.