E2. Ch8. Change Management – Test

If the nature of the change is incremental and the scope of the change is realignment, what type of change is occurring?
• Evolution
• Adaptation
• Reconstruction
• Revolution
The correct answer is:
Adaptation is the most common type of change. It does not require the development of a new paradigm and proceeds step by step.
Reconstruction can also be undertaken within an existing paradigm, but requires rapid and extensive action. It is a common response to a long-term decline in performance.
Evolution is an incremental process that leads to a new paradigm. It may arise from careful analysis and planning or may be the result of learning processes. Its transformational nature may not be obvious while it is taking place.
Revolution is a rapid and wide-ranging response to extreme pressures for change. A long period ofstrategic drift may lead to a crisis that can only be dealt with in this way. Revolution will be very obvious and is likely to affect most aspects of both what the organisation does and how it does them.
Kotter and Schlesinger’s contingency approach to change identified a number of change management strategies along with the contexts within which they could be most successfully applied.
Match each change strategy with its favourable context by placing the change strategy beside its most favourable context.

– Education and Communication
– Participation and Involvement
– Facilitation and Support
– Negotiation and Agreement
– Manipulation and co-option
– Explicit and implicit coercion

– Education and Communication – there is lack of information/analysis

– Participation and Involvement – initiators lack information to change and other have power to resist

– Facilitation and Support – people resist because of adjustment problems

– Negotiation and Agreement – someone or some group will lose out and where that group has power to resist

– Manipulation and co-option – other facilities fail or are too expensive

– Explicit and implicit coercion – speed is essential and initiators have high power

Which of the following THREE items engender resistance to change?
• Downward adjustment to symbols of status such as a company car
• Opportunities for participation
• Questioning of an individual’s frame of reference
• Raising concerns for security
• Directive management style used in a hierarchical power structure
The correct answers are:
• Downward adjustment to symbols of status such as a company car
• Questioning of an individual’s frame of reference
• Raising concerns for security
Participation is a very powerful motivator so should not produce resistance to change.
A directive management style is expected and usually appropriate in a hierarchical organisation.
Select THREE items from the following list which represent internal triggers for change in a company.
• Ageing of the company’s infrastructure
• Sudden drop in the company’s market share
• A new Chief Executive Officer begins work
• Industrial action by the workforce
• Shift in exchange rates in which company goods are traded
The correct answers are:
• Ageing of the company’s infrastructure
• A new Chief Executive Officer begins work
• Industrial action by the workforce
The above are all internal factors.
A drop in the company’s market share could be for any number of reasons eg, competitor action such as releasing a new, superior product.
Likewise a shift in exchange rates could be due to a government changing its monetary policy, or political unrest, or response to political unrest elsewhere.
Which of the statements below are forces for change and which are forces against change?
Select the correct option for each of the phrases below.

– Commitment of employees to the change
– Bureaucracy
– Clear articulation of a vision for the future
– Traditional ways of working
– Command and control management style
– Encouragement and support from the top

The correct answers are:

Forces for change:
– Commitment of employees to the change
– Clear articulation of the vision for the future
– Encouragement and support from the top

Forces against change:
– Bureaucracy
– Traditional ways of working
– Command and control management style