BUS 375 Week 5 Discussion 1 / Business & Finance

 

BUS 375 Week 5 Discussion 1 / Business & Finance

9Employee and Organizational Development

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Learning Objectives

After reading this chapter, you should be able to:

• Explain HRD’s strategic link to development.

• Describe aspects of employee development.

• Apply appropriate leadership style for employee development.

• Explain the processes of career development.

• Define and recognize the driving forces of organizational development.

All that is valuable in human society depends upon the opportunity for development accorded the individual.

—Albert Einstein

Introduction Chapter 9

Pretest 1. Though organizations usually lose money paying for employee development, it makes

companies attractive to potential employees. a. true b. false

2. Coaching is a recent term for the centuries-old process of mentoring. a. true b. false

3. Coaching is the best leadership style for working with an employee who is highly competent and highly committed. a. true b. false

4. Individuals’ careers tend to progress through a common, predictable sequence of stages. a. true b. false

5. Some frameworks of organizational change can be applied to personal lives as well as professional. a. true b. false

Answers can be found at the end of the chapter.

Introduction Another aspiration of HRD is that of employee development. We will discuss how to avoid what is known as the Peter principle (Peter & Hull, 1969), which was named after Dr. Lau- rence J. Peter. This principle says that employees who may be performing well at their current job are promoted without developing the new KSAs required for the new job; or, effectively, promoting someone to his or her level of incompetence.

Having detailed the ADDIE training process from needs analysis to evaluation, we can now bet- ter appreciate the technical connection between learning and performance in the workplace, whether depicting that relationship using the so-called performance formula or Kirkpatrick’s learning and performance evaluation levels 2, 3, and 4. Yet although the ADDIE processes for training are methodical, tactical, and systematic, we should remember that in addition to equipping employees with the KSAs to do their jobs more effectively and efficiently, the ultimate goal in human resource development (as the term suggests) is the development of

Development and Strategic HRD Chapter 9

the workforce—and the organization—for the ever-changing future environment (Argyris, 1977, 1999; Cummings & Worley, 2014; Francis, Holbeche, & Reddington, 2012; Hameed & Waheed, 2011).

The premise here is that ADDIE-constructed training programs should not only promote workplace learning that leads to short-term tactical performance improvement, but also ensure that the improved performance leads strategically to long-term development—both at the employee and organizational levels (Gilley, Eggland, & Gilley, 2002; Hameed & Waheed, 2011; McDowall & Saunders, 2010; Rowan, 2005). Let us now delve deeper into HRD’s stra- tegic link.

9.1 Development and Strategic HRD Exploring HRD’s strategic aspect of development takes us back to the beginning, when we first discussed Gilley and colleagues’ (2002) original depiction of HRD in Chapter 1. As you may recall, Gilley and colleagues’ framework for HRD included not only the short-term focus of training individual employees and tactically managing the performance of the organization, but also the long-term focus of employee career development, as well as organization devel- opment (see Table 9.1), which we explore now.

Table 9.1: Framework for HRD

Focus Individual Organization

Short term Training Performance management

Long term Employee development Organizational development

Source: Gilley et al., 2002.

To fully appreciate these longer term goals of HRD, we now need to think of training not as an outcome, but as a process that feeds continuous development—specifically, the idea of training for development (Duggan, 2013; Ford, 2014; Gilley, Maycunich, & Gilley, 2000; Noe, 2012; Stewart & Sambrook, 2012). Viewing training as a process with developmental outcomes ultimately speaks to how training is but one part of human resource development (Cummings & Worley, 2014; Ford, 2014; Neirotti & Paolucci, 2013).

And, similar to the debate on the definitional nuances for training that we discussed in Chap- ter 1, the concept of development, too, is often contextual. For example, this is true when we compare development to learning. Although the concepts of development and learning cer- tainly overlap and are codependent—Leadersmiths CEO David Smith (2013) calls them the conjoined twins—development involves learning, but not all learning is development. Spe- cifically, we can say that learning relates to the employee’s present job requirements, whereas development, our focus in this chapter, facilitates employee career growth within the present job and organization (Gilley et al., 2002; Hameed & Waheed, 2011; Laird, Naquin, & Holton, 2003; Mayo & DuBois, 1987).

Development and Strategic HRD Chapter 9

Food for Thought: Conjoined Twins

Listen to Leadersmiths CEO David Smith discuss the conjoined twins of learning and development: http://www.youtube.com/watch?v=H9bDqMmL4lw&feature=youtu.be.

Consider This 1. As described in the video, what is the significance of defining an organization’s core

competencies as they relate to organizational development? 2. Describe the similarities of the 7S model of organizational development to the

characteristics of Senge’s learning organization.

As Figure 9.1 depicts, the goal of strategic HRD systems is not only to introduce ADDIE- designed training that will promote employee and organizational performance improve- ment outcomes (levels 3 and 4) through learning (level 2), but also ultimately to stimulate employee and organizational development (OD) outcomes, as well.

Figure 9.1: ADDIE promotes learning, performance, and ultimately development

The ADDIE framework promotes performance improvement through learning. Over time, such performance through learning gives rise to development, both at the employee and organizational levels.

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ADDIE

Level 2

Learning

HRD

Level 3

Performance

Level 4

Employee development

Organizational development∑

Development and Strategic HRD Chapter 9

While HRD is not OD, employee development cannot be separated from organizational development (Burke, 2008; Francis et al., 2012; Hameed & Waheed, 2011); that is, employee development gives a “line of sight” to organizational development (Guidroz, Luce, & Denison, 2010; Hameed & Waheed, 2011). Operationally, as each employee learns and develops, syner- gies arise; specifically, as employees develop, the aggregated effect or the summation (∑) of a developed workforce facilitates and promotes organizational development, which enables the organization to better achieve its strategic goals in an ever-changing work environment (Garavan, Gunnigle, & Morley, 2000). As the organization develops, it then stimulates the need for employees to develop further, too; Crossan, Lane, and White (1999) call this employee- organization-employee dynamic the feed forward-feedback loop. And HRD scholars advise that, in fact, an endless loop of learning-performance-development exists whereby, as employ- ees develop, they must continue to pursue improved performance through learning (Holton & Baldwin, 2003; Swanson, 2002; Swanson & Holton, 2001).

This learning-performance-development loop is consistent with our discussions in Chapter 2 regarding expertise seeking; that is, development is never done because expertise itself has a shelf life (Selinger & Crease, 2006).

Development for Competitive Advantage

Semantics and recursive loops aside, concrete, operational reasons also encourage the idea of pursuing continuous development. Specifically, continuous development of the workforce, including management and leadership development (Harrison, 2009), has been shown to contribute to an organization’s competitive advantage—an organization’s ability to gain a specific advantage over its rivals and generate greater value for its stakeholders, as well as organizational sustainability (Berger & Berger, 2003; Dyer, 1993; Hafler, 2011; Hameed & Waheed, 2011; Porter, 2004, 2008).

Although earlier frameworks of an organization’s competitive advantage centered on market position and pricing, today’s competitive advantage includes the specific benefits gained by organizing and leveraging the capabilities and potential offered by continuous development of employees, as well as the organization (Jennings, Tucker, & Rutherford, 2013; Porter, 2008).

One study from the hospitality industry concluded that creating high-performing human capital systems could improve an organization’s market value by $15,000 to $60,000 per employee (Walsh, Sturman, & Longstreet, 2010). Further, in its seminal study, the human resource con- sulting firm Watson Wyatt Worldwide introduced the human capital index, which quantified the economic value of human capital. Over a 2-year period, Watson Wyatt evaluated the link between specific human capital practices and shareholder value. More than 750 large publicly traded companies in the United States, Canada, and Europe took part in the study; the results of the study suggested that more than 49 specific human resources practices were linked to a 47% increase in market value for the organizations surveyed (Watson Wyatt Worldwide, 2002).

This literal asset value perspective of a well-trained and well-developed workforce is part of the resource-based view of strategic human resource development (Agbettor, 2013; Hatch & Dyer, 2004; McGoldrick, Stewart, & Watson, 2003; Weatherly, 2003), which expressly evalu- ates the economic benefits of a highly trained and developed workforce (Alagaraja, 2012; Kandula, 2011; Swanson, 2002). This underscores a major theme of HRD—that HRD is about not just learning, but also performance through learning.

Employee Development Chapter 9

Within the pursuit of an organization’s competitive advantage through the continuous devel- opment of its workforce are considerations to succession planning and assessing the future labor needs of the organization, specifically strategic workforce planning (SWP). SWP focuses on maintaining a well-trained and developed workforce by implementing a talent management program that prepares the organization for future workforce needs. Specifi- cally, the organization scans both its internal and external operating environments to assess and identify any potential skills gaps its workforce may face as a function of the effects of dynamics such as labor segments retiring, new technology requirements, or a volatile econ- omy (DeTuncq & Schmidt, 2013). Today HR professionals can even get credentialed in strate- gic workforce planning and pursue an SWP certification through the human capital institute (http://www.hci.org/hr-training-courses/strategic-workforce-planning).

HRD in Practice: Southwest Airlines: Developing Employees for Competitive Advantage

Julie Weber, Southwest Airlines’ vice president of people, recently described Southwest’s philosophy for developing its workforce as follows: “Our people are our difference who will help us continue to thrive.… We hire the best people who naturally put others first; we allow them to shine and help them develop their full potential.”

Jeff Lamb, Southwest’s executive vice president and chief people and administrative officer, guides this effort. “The key differentiator for us is our underlying philosophy of putting our people first,” he explains.

That philosophy is paying off: Southwest’s turnover tends to run below 5%; in 2011 it was 1.5%.

Lamb says the company has a simple goal for talent management: “The company wants to help all of its employees develop to reach their full potential in a best-place-to-work environment.” Lamb oversees a team of 2,000 within Southwest’s overall workforce of 45,000.

Consider This 1. What do think Weber means when she says that Southwest allows its employees to shine?

Explain your reasoning. 2. Other than low turnover, what would be other indicators Southwest could draw on to

demonstrate the success of their employee development program?

Source: Excerpt from Margolis, D. (2012, July 31). Clear skies ahead: Southwest Airlines’ Jeff Lamb. Talent Management. Retrieved from http://talentmgt. com/articles/view/clear-skies-ahead-southwest-airlines-jeff-lamb

9.2 Employee Development Employee development is generally thought of as the deliberate methods taken within an organization to encourage employee professional and personal growth (ASTD, 2013; Cum- mings & Worley, 2014; Ford, 2014; Neirotti & Paolucci, 2013; Harvard Business Review Press, 2013; Wan, 2013). The strategic premise here is that by developing employees both profes- sionally and personally, the organization benefits through its own development.

Employee Development Chapter 9

Aspects of Employee Development

According to the Society for Human Resource Management’s recent survey of 248 employ- ers (see Table 9.2), numerous methods are used to facilitate employee development, from various forms of mentoring to designing training with specific developmental opportunities embedded within them. For example, immediately following on-the-job training on how to operate an industrial web five-color press printer (for example, lifting a pallet of paper, check- ing that the rollers are clear, monitoring machine temperature), a subsequent developmental activity could include adding an e-learning module, available on mobile devices, regarding how web printers are manufactured or how upcoming technology could improve the print- ing process; see the Food for Thought feature box titled “Example of Employee Development: New Possibilities in Printing” for an example of such a video.

Food for Thought: Example of Employee Development

Watch the video to learn more about the new possibilities in printing and what companies are doing with the technology. http://www.youtube.com/watch?v=ae_aU5QjyoI

Consider This 1. From a developmental standpoint, what is the value of informing the trainee who the

largest customers for the HP Indigo Digital Press are? 2. The video discusses trends in the marketplace; what other developmental features to the

HP Indigo Digital Press video can you find?

Table 9.2: Employee development methods

Employers sampled Use method

Training other than leadership training 84%

Cross-functional training 80%

Leadership training 71%

Developmental planning 70%

Apprenticeships and internships (to assess potential future hires) 57%

Formal coaching 55%

Matching employees with “stretch” assignments and opportunities 47%

High-visibility assignments and opportunities to work with executives (e.g., executive task forces)

47%

Leadership forums 44%

Formal identification of high-potential employees 40%

Formal succession planning processes 35%

(continued)

Employee Development Chapter 9

Employers sampled Use method

Job rotation 30%

Formal career mentoring (internal programs) 25%

Job sharing 25%

Formal career mentoring (external programs) 10%

Source: Esen & Collison, 2005.

Other popular employee development methods include cross-functional training and so-called stretch assignments and opportunities. In cross-functional training, for example, employees are exposed to and perform other tasks within the production or service process beyond their own job. Sometimes called job enlargement or horizontal development, this method allows employees to get a better appreciation of the larger picture and the interrelationships of differ- ent jobs (Werner & DeSimone, 2011). For example, asking the fast-food-counter employee to work the drive-through window gives him not only a new skill set (such as using a headset and having to articulate clearly using a microphone), but also an appreciation of how the counter employee’s performance impacts the drive-through efficiency: counter employees not getting the orders in correctly impacts the cook who, in turn, cannot get to the drive-through orders.

Stretch assignments and opportunities include exposing employees to deeper dimensions of their own job, sometimes known as job enrichment (Werner & DeSimone, 2011). Specifically, employees are introduced to more in-depth aspects or features of their job; for example, a salesperson in the sporting goods department may start participating in the inventory man- agement meetings of the sales department to gain an understanding of the monthly inventory reports. Other cross-functional developmental tactics include job rotation and job sharing.

Employee development is also facilitated by critical reflection (Brookfield, 1990; Mezirow, 1990) following the training. Critical reflection, sometimes known as after-action reviews (Lipshitz, Popper, Friedman, & Friedman, 2006), is a generative process whereby the trainee is encouraged to reflect and make meaning of the training experience, including what the formal training entailed as well as lessons learned from any errors, informal and incidental learning, and even unlearning (Hedberg & Arbetslivscentrum, 1979); poor habits are an example.

An example of critical reflection in the nursing field includes having nurse trainees honestly contemplate and attempt to reconcile their own biases and prejudices regarding certain demo- graphics they will encounter in their nursing practice (Fook & Gardner, 2007). This process of seeking equilibrium with one’s environment is what organizational theorist Karl Weick (1995) called sense making and social scientist Donald Schön called reflection on practice (Schön, 1983).

In general, critical reflection affords opportunities to think creatively about alternatives to make processes more effective, efficient, or innovative; this process is also known as thinking outside the box (Eisner, 2011) through experimentation and risk taking that may differ from the status quo.

An example of this type of innovative outcome in critical reflection can be seen at Google. Employees at Google are encouraged to spend up to 30% of their time reflecting and pursuing their own creative interests and ideas; this approach has led to innovative products such as Google Maps™ and Google AdSense™ and made Google more than a search engine (Hephaestus

Employee Development Chapter 9

Books, 2011; Duthel, 2008). Figure 9.2 depicts the process of critical reflection (Brookfield, 1990; Dirkx, 2005; Elliott & Turnbull, 2004; Mezirow, 1990; Wang & Wilcox, 2006).

Figure 9.2: The critical reflection process

In a development setting, the critical reflection process allows employees to describe not only the developmental experience and the circumstances, but also their interpretation of how the experience affected them and how they will use that experience to inform their future.

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What happened (describe the experience)?

What is your new interpretation of the experience? What is

the significance? What did you learn about yourself and

others?

What will you do as a result of this

experience? How will you use it to

inform your future?

Why / how did it happen? What

factors contributed? How do you feel

about it?

Source: Adapted from Brookfield, S. D. (1990). Using critical incidents to explore learners’ assumptions. In J. Mezirow (Ed.), Fostering critical reflection in adulthood (pp. 177–193). San Francisco, CA: Jossey-Bass; Mezirow, J. (1990). How critical reflection triggers transformative learning. In J. Mezirow (Ed.), Fostering critical reflection in adulthood (pp. 1–20). San Francisco, CA: Jossey-Bass.

Did You Know? Thinking Outside the Box: But Which Box?

The phrase “thinking outside the box” is not simply metaphorical. The expression refers to a specific box, a two-dimensional square introduced in the 1914 book Sam Lloyd’s Encyclopedia of 5000 Puzzles, Tricks, and Conundrums (With Answers) (Lloyd, 1914). The puzzle is known as the nine dots puzzle:

“Draw a continuous line through the center of all the dots without lifting your pencil.”

Many people find this puzzle difficult to solve initially because of the perceived limitations (of the box). To solve the puzzle, one must sometimes go beyond the bounds of the box (or the situation) to solve a problem—which is the lesson learned here.

Management gurus in the 1960s and 1970s who coached organizations using the phrase “think outside the box” used this nine dots puzzle as a test to illustrate this point.

Employee Development Chapter 9

Employee Development and Mentoring

Although aspects of self-directed learning are clearly evident in employee development—for example, employees today can use Internet sites like Khan Academy, TED, and Harvard Busi- ness Review’s Management Tip of the Day to develop at their own time and pace—generally, employee development is typically in the context of the dyadic relationship between a trainer and trainee. As differentiated from formal, codified career mentoring programs, which only focus on the skill sets and task expertise needed for career advancement per se (Esen & Col- lison, 2005), mentoring for employee development is oftentimes informal and emergent, not prescribed. In fact, many times the employee may choose his or her mentor versus being man- dated one. Semantics aside—some organizations refer to the mentors as coaches—approxi- mately 75% of Fortune 500 companies have some type of mentoring program (Ensher & Mur- phy, 2011; Murrell, Forte-Trammell, & Bing, 2008).

Although the supervisor is ultimately responsible for performance management issues (Daft, 2014; Singh, 2013; Sales Performance International, 2014; Strange, 2012), in a mentoring arrangement the employee (known as the protégé) works with—and is guided by—the direct supervisor (the mentor) (Allen, Poteet, & Russell, 2000; Daft, 2014; Ibrahim et al., 2009; Singh, 2013; Sales Performance International, 2014). The focus is both the formal and informal transmission of KSAs relevant to the required job performance, including personal and professional direction, advice, and psychosocial support in the employee’s career devel- opment (Bijker, Van der Klink, & Boshuizen, 2010; Ibrahim et al., 2009; Ismail, Abdullah, & Francis, 2009).

Food for Thought: Characteristics of an Effective Mentor

So, what makes for a good mentor?

http://www.youtube.com/watch?v=QC2YD4ne-bE

Consider This 1. What would be the advantages of an employee choosing his or her own mentor?

Disadvantages? 2. What specific type of feedback should a protégé expect from a mentor? 3. Describe the importance of trust between mentor and protégé.

This specific focus of mentoring makes it different from coaching (see Table 9.3):

• Coaching is generally performance-based, not development-based (Allen et al., 2000; Ibrahim et al., 2009). That is, whereas a mentor may coach, a coach does not necessar- ily mentor.

Employee Development Chapter 9

• Mentoring is usually relationship based, whereas coaching is more task driven (Ensher & Murphy, 2011; Hendricks, 2005; Rihs, 2009).

• Mentoring tends to be informal and without deadlines, whereas coaching is usually formal and time bound.

• Overall, coaches focus on short-term performance improvement, whereas mentors focus on the long-term development of KSAs to drive an employee’s career develop- ment (Hendricks, 1994).

Table 9.3: Differences in focus between a mentor and a coach

Mentor Coach

Strategic Tactical

Learning Training

Long term Short term

General Specific

Relationship based Task driven

Focus is on the trainee Focus is on the training

Source: Allen et al., 2000; Hendricks, 1994; Ibrahim et al., 2009.

Mentoring for development requires effective communication and requires the mentor and protégé to use active listening skills, including using open-ended versus closed-ended (yes– no) questions (Allen et al., 2000; Ensher & Murphy, 2011; Hendricks, 2005; Murrell et al., 2008). An effective technique mentors use is that of mirroring (Ensher & Murphy, 2011; Rihs, 2009). Specifically, when the mentor and protégé mirror, they repeat ideas back to each other to avoid miscommunication. So, if a mentor makes a specific suggestion to the protégé about how to interact with a major client customer, for example, the protégé might respond: “So, it sounds like you’re saying when it comes to this particular client, I should always assume that they want feedback prior to close of business that day? Does that sound right?”

Likewise, a mirroring mentor might clarify with the protégé: “It sounds like your biggest chal- lenge has been that particular customer. Is that what I’m hearing?”

Framing the communication this way lets both the mentor and the protégé evaluate whether they understood the other correctly. If they did not, they can clarify their message to avoid misunderstanding (Lundsteen, 1979; Management Mentors, 2014; Smith & Keyton, 2001).

According to the firm Management Mentors, mentors use another communication technique called verbal nodding, which supports nonverbal gestures (such as making eye contact, nod- ding your head). Verbal nodding emphasizes that you are listening; as you follow the conversa- tion, you say things like “Right” or “Yes” or “Mmm” or “Really?” (Management Mentors, 2014).

Leading Employee Development Chapter 9

HRD in Practice: Promoted to Her Level of Incompetence?

It was embarrassing, really. And the vice president of operations, Harvey Sizemore, felt awful about it. Just 6 months ago, he had promoted Ellen Kaye to department manager. Ellen would be supervising 12 line workers and had some real decision-making authority. Ellen was thrilled at the news of her promotion; she celebrated by purchasing a new car—she had earned it. Ellen had been a skilled and loyal line worker for 11 years with the company. She had a great attitude, was a team player, and rarely made production errors. Ellen knew her job well, and other supervisors often asked her to train new employees. Harvey was pleased to offer Ellen this promotion.

But, now—6 months later—Harvey waited in his office for Ellen to arrive; he had to tell her she was being put back on the line or transferred to another department. Four of the 12 employees she supervised had stopped him in the break room on Tuesday and— representing the other eight, as well—told him it was Ellen or them. “We warned you 2 months ago, Harvey; either Ellen goes, or we walk. We’ve had it with her!”

Harvey tried to advise Ellen a couple of months ago when grievances arose about her supervisory style, but the situation continued to deteriorate. Most telling now was that production quotas were not being met and her department had numerous and frequent errors.

Harvey wondered, “How did this happen? How can such a great line worker be such a lousy supervisor?” Harvey had spoken briefly to his wife about Ellen, and something Harvey’s wife said had resonated with him:

“This is awful, Harv. It’s almost as if you promoted Ellen to her level of incompetence.”

Consider This 1. What could Harvey have done to ensure that Ellen was ready for the next level of

advancement? 2. Other than advising Ellen of the prior complaints about her, what more could Harvey

have done during Ellen’s learning curve to assist in her transition to supervisor? 3. If Ellen agrees to go back to the shop floor, what should Harvey advise her to do to move

forward?

9.3 Leading Employee Development Whether a leader is known as a mentor, coach, or supervisor is not as important as how that person leads employees toward and facilitates development. Even the most self-directed employee can benefit from a leader who uses a developmental framework and leads as a func- tion of the employee’s developmental level. One popular framework used to lead employees based on their particular developmental level was created by management expert Ken Blanchard; it built on prior leadership frameworks such as Robert House’s path–goal theory and George Graen’s leader–member exchange.

The premise of Blanchard’s situational leadership (Blanchard & Blanchard Training and Development, 1994; Shriberg & Shriberg, 2011), which we briefly discussed in Chapter 2,

f09.03_BUS375.ai

Developed

Developing

D1 Enthusiastic beginner

Low competence

High commitment

D2 Disillusioned learner

Low to some competence

Low commitment

D3 Capable, but cautious, performer

Moderate to high competence

Variable commitment

D4 Self-reliant achiever

High competence

High commitment

Figure 9.3: Blanchard’s state of employees’ competence and commitment

Using Blanchard’s developmental continuum for employees, we can see how an employee’s competence or ability in the job is linked to his or her commitment or willingness to do the job.

Leading Employee Development Chapter 9

is that employees move through a cycle of develop- ment as a function of their willingness and ability. Blanchard frames employee development as a state of the employee’s competence and commitment—each can be either high or low (see Figure 9.3). Competence is defined as the abilities framework, specifically, the employee’s KSAs from training, education, and expe- rience (Blanchard et al., 1994; Blanchard & Thacker, 2010; Hersey & Blanchard, 1977). Commitment is the employee’s willingness, based on a combination of confidence and motivation. Confidence and moti- vation are interdependent here; that is, confidence reflects employees’ self-assessments about how effec- tively they think they perform a task, known as self- efficacy (Bandura, 1997), and is directly linked to their motivation to continue to do future tasks. This is simi- lar to the discussion in Chapter 2 on Vroom’s model of expectancy process theory of motivation that proposes that employees will decide to behave or act in a certain way because they are motivated due to the value (called “valence”) they place on a certain outcome and the prob- ability of that outcome occurring (Latham, 2011).

Without the appropriate leadership, employees may not get the intervention they need in order for the develop- ment process to progress. Blanchard frames leadership as a function of the leader modulating between task- directive behavior and supportive-relationship behavior. For example, directive behavior involves describing when and how to perform the behavior and showing peo- ple what to do; it also involves providing frequent feed- back. Supportive behavior engages others in decision making and uses praise, listening, and encouragement. Appropriate leadership style is based on the amount of directive and supportive behavior the supervisor gives the employee. Each employee development level has a matching leadership style (Blanchard et al., 1994). Let us discuss each employee developmental level and its rec- ommended leadership styles per Blanchard.

D1 With S1

Blanchard’s first developmental level is called a D1, for “developmental level 1.” In this level, the employee has a low skill level but is highly committed. An example of this level would be seen in a new employee or perhaps a current employee assigned a new task or job; that person might say, “I’m anxious to start … now show me how!” This means the appropriate leadership style would be S1 (S is for “style”), or directing, because D1s need a highly direc- tive approach, sometimes including micromanagement techniques; the supervisor is directly

HRD in Practice: Promoted to Her Level of Incompetence?

It was embarrassing, really. And the vice president of operations, Harvey Sizemore, felt awful about it. Just 6 months ago, he had promoted Ellen Kaye to department manager. Ellen would be supervising 12 line workers and had some real decision-making authority. Ellen was thrilled at the news of her promotion; she celebrated by purchasing a new car—she had earned it. Ellen had been a skilled and loyal line worker for 11 years with the company. She had a great attitude, was a team player, and rarely made production errors. Ellen knew her job well, and other supervisors often asked her to train new employees. Harvey was pleased to offer Ellen this promotion.

But, now—6 months later—Harvey waited in his office for Ellen to arrive; he had to tell her she was being put back on the line or transferred to another department. Four of the 12 employees she supervised had stopped him in the break room on Tuesday and— representing the other eight, as well—told him it was Ellen or them. “We warned you 2 months ago, Harvey; either Ellen goes, or we walk. We’ve had it with her!”

Harvey tried to advise Ellen a couple of months ago when grievances arose about her supervisory style, but the situation continued to deteriorate. Most telling now was that production quotas were not being met and her department had numerous and frequent errors.

Harvey wondered, “How did this happen? How can such a great line worker be such a lousy supervisor?” Harvey had spoken briefly to his wife about Ellen, and something Harvey’s wife said had resonated with him:

“This is awful, Harv. It’s almost as if you promoted Ellen to her level of incompetence.”

Consider This 1. What could Harvey have done to ensure that Ellen was ready for the next level of

advancement? 2. Other than advising Ellen of the prior complaints about her, what more could Harvey

have done during Ellen’s learning curve to assist in her transition to supervisor? 3. If Ellen agrees to go back to the shop floor, what should Harvey advise her to do to move

forward?

9.3 Leading Employee Development Whether a leader is known as a mentor, coach, or supervisor is not as important as how that person leads employees toward and facilitates development. Even the most self-directed employee can benefit from a leader who uses a developmental framework and leads as a func- tion of the employee’s developmental level. One popular framework used to lead employees based on their particular developmental level was created by management expert Ken Blanchard; it built on prior leadership frameworks such as Robert House’s path–goal theory and George Graen’s leader–member exchange.

The premise of Blanchard’s situational leadership (Blanchard & Blanchard Training and Development, 1994; Shriberg & Shriberg, 2011), which we briefly discussed in Chapter 2,

f09.03_BUS375.ai

Developed

Developing

D1 Enthusiastic beginner

Low competence

High commitment

D2 Disillusioned learner

Low to some competence

Low commitment

D3 Capable, but cautious, performer

Moderate to high competence

Variable commitment

D4 Self-reliant achiever

High competence

High commitment

Figure 9.3: Blanchard’s state of employees’ competence and commitment

Using Blanchard’s developmental continuum for employees, we can see how an employee’s competence or ability in the job is linked to his or her commitment or willingness to do the job.

Leading Employee Development Chapter 9

involved in assigning work and demonstrating how to perform the job. The supervisor teaches employees about the organization and its values and helps employees set goals and learn skills needed to perform the job. Directing is a teaching style (Blanchard et al., 1994).

D2 With S2

The next employee development level is D2. Now the new employee or current employee given a new task or job has been on the learning curve and the realities of the job have set in, along with possible frustration or failure. Blanchard referred to this as “the honeymoon is over” level, and one could argue that this is the most challenging type of employee devel- opment phase to lead. While the employee is slowly moving from incompetence to compe- tence, his or her commitment can suffer, and the employee’s self-esteem can be negatively impacted. An employee’s commitment level is directly linked to his or her self-efficacy—an employee’s self-assessment about effectiveness performing a task. As a result, the employ- ee’s developmental potential (Bandura, 1997), as discussed in Chapter 4, may be a function of a symbolic ratio that drives employee self-esteem; think of it as what psychologist Wil- liam James (1891) called successes over pretensions. Today we call this achievements over attempts. We would expect D2s to have a lower achievement-to-attempt ratio.

Employee Self-Esteem = Achievements ÷ Attempts

The premise here is that only through achievement success can an employee build his or her confidence and commit to continuous learning and development; yet the opposite holds true, too. Modern interpretations of this notion can be seen in small win theory: Small successes build on one another to slowly build an employee’s confidence to take on more challenges (Amabile & Kramer, 2013; Peters, 2010; Weick, 1984). If an employee continuously encoun- ters failure and frustration, he or she is apt to become apathetic; that is, not willing and not able (Csikszentmihalyi, 1990; Tracy, 1998).

For D2s, the appropriate leadership style is S2, or a coaching style. To combat D2s’ wan- ing commitment, they need a leader who can correct remaining performance problems, set the standard for good performance, and remind them of their potential. Here, particularly, the leader gives immediate feedback and is quick to praise and reward good performance (Blanchard et al., 1994).

D3 With S3

D3s are highly competent; that is, they successfully made it through the learning curve but still may have varied commitment or caution concerning the job—particularly if a large gap exists between what the employee thought the job would be and what it turned out to be (Myers, Jahn, Gailliard, & Stoltzfus, 2011). Psychologist David McClelland (1970) also called this aspiration management. These perceived barriers may keep D3s from being con- sistently committed to the job; Blanchard (1994) says employees can get stuck here with- out leadership intervention. The appropriate leadership style here is S3, or supporting. D3s do not need much direction, but they do need relational support. For D3s to move for- ward developmentally, listening is key; a D3 needs to discuss with the leader the issues of aspiration management and the expectation versus reality of the job that may be affecting his or her commitment. As a result, D3s may need help crafting new goals or expectations

Process of Career Development Chapter 9

for the job or for their place in the organization. In sum, D3s may need help renewing their commitment in the job and at the organization.

D4 With S4

D4s are both willing and able, and they have high competence and high commitment; in short, they are developed. They work independently and usually are chosen as the employees who train D1s. The leadership style here is relatively straightforward; that is, S4, or delegate. Because D4s are developed, leaders do not, in fact, have to lead D4s but only have to keep them challenged and empowered to develop. D4s seek out new growth opportunities and goals and, as discussed in Chapter 2, upon starting a new opportunity or goal, D4s then cycle back to D1s again, following the cycle of the zone of proximal development (Vygotsky, 1978).

Food for Thought: Application of Blanchard’s Situational Leadership

Sabrina knows the ins and outs of her job. She manages all the job tasks, but sometimes she does not think she can make a difference.

(+/-) ? Competence

(+/-) ? Commitment

Consider This 1. What leadership style would you choose in this situation?

What a leader is called—whether mentor, coach, or supervisor—is not as important as how that person leads his or her employee toward development. Especially as it relates to employee development, some leadership styles have been shown to be more developmentally appropriate than others. Factors in leading development include assessing the state not only of an employee’s job abilities, but also of his or her willingness to do the job.

9.4 Process of Career Development Although employee development initiatives have been associated with higher retention rates, more satisfied and motivated employees, and enhanced organizational performance (Hameed & Waheed, 2011; Levinson et al., 1978), at the heart of employee development is career devel- opment. Simply put, career development helps employees achieve their career goals.

Greenhaus and colleagues define a career as the pattern of work-related experiences that occur over a person’s life (Greenhaus, Callanan, & Godshalk, 2009), including the subjective aspects of work such as an employee’s attitudes, values, and expectations (Werner & DeSim- one, 2011). This definition is consistent with the notion that careers, like individuals, develop over time (Greenhaus et al., 2009; Werner & DeSimone, 2011).

Process of Career Development Chapter 9

Did You Know: Importance of Career Development

A recent Harvard Business Review article, “Why Top Young Managers Are in a Nonstop Job Hunt,” described a study that analyzed international databases of more than 1,200 young high achievers. The study concluded that many of the brightest and most inspired achievers lack the career development support they need (Hamori, Cao, & Koyuncu, 2012).

Careers—like adults—develop over time in a predictable, common sequence of stages; this idea underscores how career development and life development are linked. An employee’s stage of career development will be a function of his or her development in life (Super, 1990). It is with that notion in mind that many in the career development field draw on theories of adult and life development.

Stages of Life and Career Development

Because a person’s career is a part of life, influenced by other major life events, career develop- ment models are based on adult development typologies. Many career development models still are based on the seminal works of psychologists Erik Erikson (1980) and Daniel Levin- son (Levinson et al., 1978). Each offered stage models of adult development that provide a meaningful basis for understanding career development today (Strauser, 2013).

Erikson’s Model of Adult Development The late developmental psychologist Erik Erikson proposed that people progress through eight stages (see Figure 9.4) over their lives; this is known as Erikson’s model of adult development. Each stage has productive and counterproductive outcomes. So, for example, what lay in the balance following a young adult’s experiences could be intimacy or isolation, depending on the totality of that person’s experiences in that stage of life. Likewise, in Erik- son’s final stage, older adults reflect back on their lives and are left with either a sense of fulfillment from an honest life lived (ego integrity) or a sense of regret and despair over a life misspent (Strauser, 2013).

Levinson, too, stratified adult life development into seasons of life, from early to late adult- hood. Of particular note was the midlife transition (ages 40 to 45) of middle adulthood. Dur- ing this stage a person’s life changes significantly. People in midlife tend to experience a major questioning of their life structure (for example, goals and ambitions) and the dreams they so vigorously pursued at the end of early adulthood (Werner & DeSimone, 2011). Questions often asked during this transition include:

• What have I done with my life? • What do I want to accomplish before I die? • What do I want to leave behind for my family and others? f09.04_BUS375.ai

Infant Trust vs. Mistrust

Toddler Autonomy vs. Shame & Doubt

Pre-schooler Initiative vs. Guilt

Grade-schooler Industry vs. Inferiority

Teenager Identity vs. Role confusion

Young adult Intimacy vs. Isolation

Middle-age adult Generativity vs. Stagnation

Older adult Integrity vs. Despair

Figure 9.4: Erikson’s stages of adult development

Erickson’s eight-stage developmental ladder illustrated the phases in a person’s life from birth to older adulthood. Each stage not only grows more complex, but also reconciles productive or counterproductive outcomes.

Process of Career Development Chapter 9

Did You Know: Importance of Career Development

A recent Harvard Business Review article, “Why Top Young Managers Are in a Nonstop Job Hunt,” described a study that analyzed international databases of more than 1,200 young high achievers. The study concluded that many of the brightest and most inspired achievers lack the career development support they need (Hamori, Cao, & Koyuncu, 2012).

Careers—like adults—develop over time in a predictable, common sequence of stages; this idea underscores how career development and life development are linked. An employee’s stage of career development will be a function of his or her development in life (Super, 1990). It is with that notion in mind that many in the career development field draw on theories of adult and life development.

Stages of Life and Career Development

Because a person’s career is a part of life, influenced by other major life events, career develop- ment models are based on adult development typologies. Many career development models still are based on the seminal works of psychologists Erik Erikson (1980) and Daniel Levin- son (Levinson et al., 1978). Each offered stage models of adult development that provide a meaningful basis for understanding career development today (Strauser, 2013).

Erikson’s Model of Adult Development The late developmental psychologist Erik Erikson proposed that people progress through eight stages (see Figure 9.4) over their lives; this is known as Erikson’s model of adult development. Each stage has productive and counterproductive outcomes. So, for example, what lay in the balance following a young adult’s experiences could be intimacy or isolation, depending on the totality of that person’s experiences in that stage of life. Likewise, in Erik- son’s final stage, older adults reflect back on their lives and are left with either a sense of fulfillment from an honest life lived (ego integrity) or a sense of regret and despair over a life misspent (Strauser, 2013).

Levinson, too, stratified adult life development into seasons of life, from early to late adult- hood. Of particular note was the midlife transition (ages 40 to 45) of middle adulthood. Dur- ing this stage a person’s life changes significantly. People in midlife tend to experience a major questioning of their life structure (for example, goals and ambitions) and the dreams they so vigorously pursued at the end of early adulthood (Werner & DeSimone, 2011). Questions often asked during this transition include:

• What have I done with my life? • What do I want to accomplish before I die? • What do I want to leave behind for my family and others? f09.04_BUS375.ai

Infant Trust vs. Mistrust

Toddler Autonomy vs. Shame & Doubt

Pre-schooler Initiative vs. Guilt

Grade-schooler Industry vs. Inferiority

Teenager Identity vs. Role confusion

Young adult Intimacy vs. Isolation

Middle-age adult Generativity vs. Stagnation

Older adult Integrity vs. Despair

Figure 9.4: Erikson’s stages of adult development

Erickson’s eight-stage developmental ladder illustrated the phases in a person’s life from birth to older adulthood. Each stage not only grows more complex, but also reconciles productive or counterproductive outcomes.

During this stage of life, it is not surprising that people are at risk for what has been termed a midlife crisis (Jacques, 1965).

Informed by Erikson’s and Levinson’s adult-development models, Greenhaus and colleagues (2009) developed the four-stage model for career development that spans from preparation for career to retirement.

1. Preparing for work: Making occupational and organizational choices The typical age range for this stage is initially 0 to 25, and then it varies. The major tasks of this stage are first to develop a career self-image, assess other careers, develop an initial career choice, and pursue the required education and skills. Then, one would get job offer(s) from selected organization(s) and choose a job based on accurate information.

2. Establishing oneself and achieving in one’s early career The typical age range for this stage is 25 to 40. During this stage, the major tasks are to learn the job and the organization’s rules and culture, as well as to become acclimated to the job and organization. During this time, people increase skill and pursue “the dream.”

3. Excelling in midcareer The typical age range for this stage is 40 to 55. During this stage, workers typically will reassess their early career and early adult years, recom- mit to their goals or modify them, make deci- sions appropriate to their middle-adult years, and remain productive in their work.

4. Navigating late career The typical age range for this stage is 55 to retirement. The major tasks of the late career stage are to remain productive on the job, nur- ture self-esteem, and anticipate retirement.

Career Management

Greenhaus and colleagues’ (2009) model for career development includes tasks on how indi- viduals should manage their career development process or career management. Effective

Process of Career Development Chapter 9

career management begins as the individual responds to the need to make a career decision and then sets about acquiring the KSAs required. In this spirit Jones and DeFillippi (1996) developed the six knows of career management:

1. Knowing what—understanding the industry’s opportunities, threats, and requirements

2. Knowing why—understanding the meaning, motives, and interests for pursuing a career 3. Knowing where—understanding the locations and boundaries for entering, training,

and advancing within a career system 4. Knowing whom—forming relationships based on attraction and social capital that will

gain access to opportunities and resources 5. Knowing when—understanding the timing and choice of activities within one’s career 6. Knowing how—understanding and acquiring the skill and talents needed for effective

performance in assignments and responsibilities

Specifically, the career management cycle involves problem solving and decision making. The career management cycle includes information gathering so employees can become more aware of themselves, as well as the world around them (Bijker et al., 2010; Greenhaus et al., 2009; Super, 1990). As part of an individual development plan, for example, an employee establishes goals, develops and implements plans or strategies, and solicits feedback for con- tinuing to manage one’s career (Mooney, 2011).

Greenhaus and colleagues (2009) and Werner and DiSimone (2011) detailed these career management steps:

1. Career exploration. Gathering information about one’s self and the environment; this is not the same as job searching. Job searching is a short-term tactical search for a job that matches the individual’s financial and career goals. Career exploration is a lon- ger term strategic and progressive process of choosing education, training, and jobs that fit the individual’s interests and skills. For example, you might investigate careers in travel if you have an interest in seeing the world.

2. Goal setting. A career goal is an outcome the individual decides to try to obtain. Such goals may be specific (“I want to be a principal of a school by the time I am 40”) or general (“I want to be a successful and respected writer”). To the extent career goals are based on an awareness of the self and environment, they are likely to be realistic.

3. Strategy development. A career strategy is an action plan for accomplishing the career goal. An effective strategy typically includes the actions to be carried out and a timetable for performing them. So, let us say your career goal was to be a division manager. You might develop a strategy to take some professional development work- shops in effective supervision or team building, and then prepare to sit for the super- visory exam next year when it is offered.

4. Strategy implementation. This involves carrying out your career strategy. Following a realistic strategy (perhaps using the SMART goal-setting template discussed in Chap- ter 4), we execute the action plan. Strategy implementation then leads to progress toward the goal and feedback from work as well as nonwork sources.

5. Progress toward the goal. This is a status check to see where the individual is in near- ing the career goal.

Process of Career Development Chapter 9

6. Feedback from work and nonwork sources. Valuable information about the progress toward the career goal can be obtained from work sources such as coworkers, super- visors, and subject matter experts, as well as from nonwork sources such as friends and family.

7. Career appraisal. Feedback and information now permits the individual to appraise his or her career. Career appraisal may lead to reengagement in career exploration, in which case the career management process will begin again as an iterative cycle.

The outcome of career development and management for the organization culminates in a talent management; that is, in developing the workforce (talent) potential to the point that employees are not only reaching their career potential, but also effectively performing so the organization may reach its goals and develop, as well (see Table 9.4) (Berger & Berger, 2003; Hendricks, 1994; Singh, 2013; Strange, 2012). This is part of the SWP process discussed in Section 9.1. One implication to the talent management grid is that employees who are both high performing and high potential should be targeted as the organization’s next generation of leaders.

Likewise, for underachieving employees—those who have been deemed to have high poten- tial but are not performing—the leader must assess why there is a lack of performance. Using the performance formula, for example, the leader can determine whether the performance is weak because of a lack of motivation, lack of ability, or something in the work environment that is impinging on the employee.

Table 9.4: Talent management model

Potential

Performance

High Enigma: High poten- tial to advance further although underperforming

May be in wrong job/ wrong manager; needs intervention

Growth employee: Demonstrates high potential to advance further

Valued talent, chal- lenge, reward, recog- nize and develop

Future leader: High- est potential–best for senior succession

Top talent, reward, recognize, promote, develop

Medium Dilemma: Likely to have scope to move one level/chal- lenge is necessary as underperforming

Provide coaching

Core employee: Motivate, engage, and reward

High-impact performer: Strong contributor, challenge, reward, grow, and motivate

Low Underperformer: Has reached job potential and is underperforming

Performance manage or exit

Effective: Special- ized or expert tal- ent reached career potential

Engage, focus, motivate

Trusted professional: Specialized or expert talent reached career potential

Retain, reward, help with developing others

Low Medium High

Source: Adapted from Silzer, R., & Dowell, B. E. (2009). Strategy-driven talent management: A leadership imperative. New York: Wiley. Retrieved from http:// cgconsultinggroup.net/blog/how-to-use-a-9-box-talent-management-model-to-assess-your-future-potential

Organizational Development Chapter 9

9.5 Organizational Development If you do a search for books currently on Amazon.com that include the words organizational development in the title, you will get more than 400 results! Organizational development is a discipline unto itself, with extensive theory and practice undergirding it; as a result, we will only be discussing OD and its interrelationship with HRD, specifically.

We should note that, similar to the equivocal definitions of human resource development (HRD) we discussed in Chapter 1, no unified definition exists for OD, either (Bingham & Conner, 2010; Egan, 2002; Guidroz et al., 2010). In fact, Egan (2002) reviewed numerous definitions of organization development published since 1969 and found that OD definitions included as many as 60 different variables. Egan did, however, find consensus within the varied definitions of OD on a common theme of organizational development as a process of increasing organizational effectiveness and facilitating personal and organizational change through the use of learning interventions (Egan, 2002; Iles & Yolles, 2003).

As Figure 9.5 depicts, Kirkpatrick’s level 4 outcomes link to OD because performance out- comes such as reduced costs, improved quality, increased production, and efficiency are part of organizational development through process improvement underscoring that OD is also about developing processes, systems and structures. (Anderson, 2011). As discussed, how- ever, employee development gives a line of sight to organizational development (Guidroz et al., 2010; Hameed & Waheed, 2011). That is, as employees become developed, this developed workforce helps the organization achieve its strategic goals and experience organizational development. Employee development is also linked to organizational development (Guidroz et al., 2010; Hameed & Waheed, 2011) because organizational development is based on the holistic organization (Knowles, Holton, & Swanson, 2012); that is, the organization itself is looked on as a living, breathing organism because it is filled with living, breathing organisms. Margulies (1972) described ODs underlying humanistic values as follows:

• They allow people to function as human beings rather than as resources in the pro- ductive process.

• They provide each organization member, and the organization itself, opportunities to develop to their full potential.

• They seek to increase organization’s effectiveness in terms of its goals. • They attempt to create an environment in which workers find exciting and challeng-

ing work. • They provide people in organizations opportunities to influence how they relate to

work, the organization, and the environment. • They treat each human being as a person who has a complex set of needs, all of which

are important to their work and their life. (p. 3)

To develop means to change; as a result, OD is usually discussed in the context of organiza- tional change (Beer & Nohria, 2000; McLean, 2005). Clearly, although some change occurs within organizations without a specific change management plan—even a broken clock is correct twice a day—organizations stand a better chance of development when organiza- tional change is well managed—both reactively and proactively.

Of course, organizational change can occur at varied levels and focus within the organiza- tion; these are known as the objects of change (Beer & Nohria, 2000). These objects for

Organizational Development Chapter 9

organizational change include employee task behaviors such as skill variety or autonomy, organizational processes such as organizational learning, or change within the organizational culture itself. Frequently, such changes create new capability and require organization mem- bers to learn specific new skills or systems (Beer & Nohria, 2000; Cummings & Worley, 2014; Guidroz et al., 2010).

Figure 9.5: HRD’s link to organizational development

Over time it is the aggregate effect, or ∑, of HRD’s performance through learning that enables organizational development.

f09.05_BUS375.ai

ADDIE

Level 2

Learning

HRD

Level 3

Performance

Level 4

Employee development

Organizational development∑

A Model for Organizational Change

One of the tools frequently used to frame and manage organizational change is Kurt Lewin’s classic force-field analysis (Beer & Nohria, 2000; Cummings & Worley, 2014; Lewin, 1943). The major premise of Lewin’s force-field analysis is that change occurs only when there is an imbalance in the environment (field) as a function of driving forces (such as new personnel, changing markets, or new technology) having more power than restraining forces (such as poor supervision or organizational inertia) so to move the change forward. A full force-field analysis is a three-step process, as follows:

1. First, an organization must unfreeze the status quo that keeps it in a state of quasi-equilibrium.

Organizational Development Chapter 9

2. Second, if change is to take place, an imbalance of driving forces and restraining forces is needed so there is change; an organization can achieve this change by increasing the drivers, reducing the restrainers, or doing both.

3. Third, once the organization accomplishes the change, it brings the forces back into quasi-equilibrium, and they are refrozen.

Consider the following example:

• A furniture company’s current state (status quo) is that it cuts and stitches seat cov- ers using old technology that is quickly becoming obsolete.

• To keep up with the competition, the company’s desired state (change) must install and train workers on sewing machines with 21st-century technology to cut and stitch seat covers.

Following are some of the driving and restraining forces that will dictate the change:

• Other departments will be affected by production changes. • A third shift will be added to make the new machine cost-effective. • Offices will be moved to make room for the larger equipment. • Job descriptions for cutters and sewers will be revised. • Computer keyboarding skills are now required.

Force-field analysis is a very practical model, too, and can be applied to evaluate the change process at any level of the organization; in fact, force-field analysis can be applied both pro- fessionally and personally. For example, do you know someone who has tried to quit smoking but has failed? Try framing it (as shown in Figure 9.6) as driving forces not (yet) being strong enough to move the restraining forces!

Figure 9.6: Force-field analysis: Stop smoking

These are examples of the driving forces and restraining forces that dictate whether or not someone will quit smoking. Metaphorically, whichever side is stronger will win out.

f09.06_BUS375.ai

Cost Spouse smokes

Cancer Camaraderie

New laws

Status Quo

Change: Quit Smoking

DRIVING FORCES RESTRAINING FORCES

Social Pressure Habit

Relieves anxiety

Source: Adapted from Lewin, K. (1943). Defining the field at a given time. Psychological Review (50), 292-310.

Organizational Development Chapter 9

Dimensions to Organizational Change

Organizational change is not a monolithic concept; that is, it not only has a structure (even if it is unplanned), but also processes that define and dictate it. As a result, when overseeing organizational change, one must consider not only the scope and depth, but also potential barriers to the change that must be managed. Let us discuss each dimension.

Scope and Depth of Change Some organizational changes are planned and some emerge; as a result, not every organi- zational change has the same tempo and scope of change. Continuous change is linked to incremental change (Beer & Nohria, 2000; Connor, Lake, & Stackman, 2003; Cummings & Worley, 2014; Dunphy, Griffiths, & Benn, 2003). When organizational change is continuous, it gives members the opportunity to fine-tune the change because of its regularity and long- term nature. Additionally, because the change is incremental, it supports employee develop- ment because employees get the opportunity not only to participate, but also adapt. Creating a quality management process or implementing a new computer system to increase efficien- cies are examples of continuous incremental changes.

Sometimes, of course, organizational change is not planned but happens spontaneously or is required due to some major external or internal disruption (episode), what Beer and Nohria (2000) called a major divergence from equilibrium. Episodic change is short term and linked to transformational change, and it usually is organization-wide, often demanding a new paradigm. An organization might need to change its structure and culture from a traditional top-down structure to one relying on self-directed teams; this is an example of transforma- tional change.

Today these types of major divergence changes may come about as a function of the speed of social media. For example, citizens posting webcam videos of a member of law enforcement using excessive force or inappropriate language may immediately force a department to make a swift change in policy.

The Barriers to Organizational Change Clearly, not all organizational changes will be readily accepted by all organizational members all of the time; specifically, there will challenges to unfreezing the status quo. Generally, resis- tance to organizational change can be broken down into three categories:

1. Questioning the need for a change. Organizational members may not see why a change is even needed. Many times, this question is due to perceived loss of control and uncertainty and fear of the unknown.

2. Accepting the change. Organizational members wonder why the organization is chang- ing, but they do not accept the particular change.

3. Acting out the change. Organizational members understand why the organization needs to change and have accepted that the change is coming, but they will not com- mit to new behavior based on what has changed.

Summary and Resources Chapter 9

Management guru Peter Drucker once observed that profits are to a corporation what oxygen is to a human but that life is more than just breathing. It is this sentiment that guides and stim- ulates organizational development initiatives. Although the development of both employees and organizations is a gradual process, with the benefits sometimes not as tangible as the related expenses, the wise leader understands that developmental processes are an invest- ment in the organization’s future effectiveness.

Summary and Resources Chapter Summary

• Remember that the ultimate goal in human resource development is to promote workplace learning that leads not only to tactical performance improvement in the short term but also strategically to longer term development—both at the employee and organizational levels.

• Numerous methods are used to facilitate employee development, from mentoring to designing training with specific developmental opportunities embedded within. In mentoring, the employee–supervisor dynamic is enhanced; the employee becomes the protégé and the supervisor the mentor.

• Whether organizations use mentors, coaches, or supervisors is not as important as how the employee is specifically led and facilitated toward development. A leader needs to be aware of the employee’s developmental level. A popular framework used specifically to lead an employee based on his or her particular developmental level is situational leadership, created by management expert Ken Blanchard.

• Careers—like adults—develop over time in a predictable, common sequence of stages that underscore how career development and life development are linked; many times an employee’s stage of career development will be a function of where he or she is in life. As a result, the career development field draws on theories of adult and life development.

• Organizational development is the process of increasing organizational effective- ness and facilitating personal and organizational change through the use of learning interventions. Performance is linked to OD because performance outcomes such as reduced costs, improved quality, increased production, and efficiency are part of orga- nizational development through process improvement.

Posttest 1. Human resource development is best represented graphically as a .

a. loop b. ladder c. curve d. wave

2. Though pricing and market position used to be considered key, workforce develop- ment is now recognized as a major contributor to an organization’s . a. critical perspective b. cross-functional leadership

Summary and Resources Chapter 9

c. competitive advantage d. profit margin

3. The process in which a trainee reflects on a training and generates meaning from it is known as . a. a recursive view b. methodical deliberation c. creative analysis d. an after-action review

4. One difference between mentoring and coaching is that . a. coaching is relationship based, whereas mentoring is task driven b. coaching is formal, whereas mentoring is usually an informal arrangement c. coaching is development based, and mentoring is performance based d. coaching is focused on long-term goals, whereas mentoring is focused on the

short term 5. An employee’s confidence in how well he or she performs a task is called

. a. self-efficacy b. commitment c. self-worth d. competence

6. An employee with high competence and variable commitment is considered a(n) .

a. self-reliant achiever b. enthusiastic beginner c. capable but cautious performer d. disillusioned learner

7. Which model of adult development describes ego integrity, the sense of fulfillment that comes from looking back on one’s life and finding it honestly spent? a. Levinson’s model b. Erikson’s model c. the seasons of life model d. the four-stage model for career development

8. Questioning one’s own goals and ambitions often occurs at an age that coincides with which stage of career development? a. preparing for work b. establishing oneself and achieving in one’s early career c. excelling in midcareer d. navigating late career

Summary and Resources Chapter 9

9. To manage organizational change according to the force-field analysis model, an orga- nization begins by . a. creating an imbalance of driving forces b. increasing restraining forces c. bringing forces into a quasi-equilibrium d. unfreezing the status quo

10. Which type of organizational change supports employee development by allowing employees to participate and adapt? a. incremental change b. episodic change c. transformational change d. divergent change

Assess Your Learning: Critical Reflection 1. Explain how self-directed learning might influence the Peter principle. 2. Explain why, when developed employees facilitate organizational development, there

becomes a continued need for employees to develop. 3. Describe how you might lead an unable and unwilling employee using Blanchard’s

situational leadership with consideration to the James self-esteem ratio. 4. Why is incremental change more suited to employee development? 5. Can you defend this statement? Not all employees need or want career development. 6. What is the value of critical reflection in career development?

Additional Resources Web Resources

For a brief explanation of critical reflection: http://www.nickykaa.com/Hyperlexicon/critical_reflection.html and http://www.nwlink.com/~donclark/hrd/development/reflection.html

Tips for thinking outside the box and puzzle solving: http://www.archimedes-lab.org/sarcone_rules.html

Free learning website resource—Khan Academy: www.khanacademy.org

Short speeches on a variety of interesting topics: https://www.ted.com/talks/browse

Harvard Business Review’s management tip of the day: http://hbr.org/tip

For more information on mentoring: http://www.management-mentors.com

More on Blanchard’s situational leadership: http://www.mindtools.com/pages/article/newLDR_44.htm

Watch Ken Blanchard speak about situational leadership and employee development: http://www.youtube.com/watch?v=M1uyU3YSqes

A study on young high achievers, “Why Top Young Managers Are in a Nonstop Job Hunt”: http://hbr.org/2012/07/why-top-young-managers-are-in-a-nonstop-job-hunt

Summary and Resources Chapter 9

Erikson’s model of adult development: http://zanl13.wordpress.com/about

A review of Kirkpatrick’s four-level training model: http://www.mindtools.com/pages/article/kirkpatrick.htm

For more explanation of Lewin’s force-field analysis: http://literacy.kent.edu/eureka/strategies/force_field_analysis.pdf

Why do employees resist change? http://www.youtube.com/watch?v=hcz1aZ60k7w

Further Reading

Agbettor, E. O. (2013, March). Attaining competitive advantage through human capital man- agement. HR Focus, 23. Retrieved from http://go.galegroup.com/ps/i.do?id=GALE%7CA 326660083&v=2.1&u=miam50083&it=r&p=AONE&sw=w

Anderson, D. L. (2011). Cases and exercises in organization development & change. Thousand Oaks, CA: Sage.

Blanchard, K. H., & Blanchard Training and Development. (1994). Ken Blanchard’s situational leadership II: The article. Escondido, CA: Blanchard Training and Development.

Csikszentmihalyi, M. (1990). Flow: The psychology of optimal experience. New York: Harper & Row.

Cummings, T., & Worley, C. (2014). Organization development and change. Stamford, CT: Cengage Learning.

Management Mentors. (2014). Corporate mentoring communication tips. Retrieved from http://www.management-mentors.com/resources/march-2011/ corporate-mentoring-communication-tips

Weick, K. (1995). Sensemaking in organizations. Thousand Oaks, CA: Sage.

Answers and Rejoinders to Chapter Pretest

1. false. A highly trained and developed workforce has actually been found to have economic benefits for companies. The resource-based view of strategic development looks at the asset value of development and how it can contribute to an organization’s bottom line.

2. false. Coaching and mentoring are different processes. Although mentoring often includes coaching, a coach does not always mentor.

3. false. Employees at this high level of commitment and competence benefit most from a delegating style of leadership in which they are kept engaged and challenged. Coaching is most effectively used with employees who have low or moderate compe- tence along with low commitment.

4. true. Career development occurs over time in a predictable series of stages, as does overall life development. Theories of adult and life development are the basis of many career development theories.

5. true. Force-field analysis is one example of a practical organizational model that can also be applied to individuals’ personal lives. Someone who wants to change a bad habit, for example, can examine it in terms of restraining forces versus driving forces and modify those forces accordingly.

Summary and Resources Chapter 9

Answers and Rejoinders to Chapter Posttest

1. a. Employee development leads to organizational development, and these changes to the organization require employees to learn even more. The process can be seen as a continuous loop in which development is never finished.

2. c. Competitive advantage refers to the organization’s ability to gain advantage over competitors and generate more value for stakeholders. Although models of competi- tive advantage were once focused mainly on market position and pricing, today the economic benefits of development are recognized.

3. d. After-action reviews, also known as critical reflection, encourage employees to make meaning of a training experience. Through such reviews, employees consider the formal training, lessons learned from incidental or informal learning, and possible creative alternatives.

4. b. Coaching tends to be an informal process based on improving short-term task performance. Mentoring, on the other hand, is often a long-term, relationship-based program focused on an employee’s career development.

5. a. Self-efficacy is an employee’s confidence, based on his or her self-assessment of how effectively he or she performs a task. This confidence and the motivation it cre- ates are the two aspects that make up an employee’s level of commitment.

6. c. Employee development can be framed as a state related to the employee’s commit- ment and competence. An employee with low competence but high commitment is an enthusiastic beginner, and one with high competence but variable commitment is a capable but cautious performer.

7. b. Erikson described eight stages through which people progress over their lives, each with possible productive and counterproductive outcomes. In the final stage, older adults look back on their lives with either a sense of despair over a life misspent or a sense of fulfillment, which Erikson called ego integrity.

8. c. Levinson describes a midlife transition that tends to occur around ages 40 to 45, in which people may begin to question their life structure and the dreams they have pur- sued. In the four-stage model for career development, these ages fall into the excelling in midcareer phase (ages 40 to 55), when workers reassess their earlier careers and recommit to or modify their goals.

9. d. The first phase of force-field analysis necessitates unfreezing the status quo that has been keeping the organization in a state of quasi-equilibrium. After this, the organization is able to change, before refreezing the forces back into a new quasi-equilibrium.

10. a. Incremental change is related to continuous change. Change that is continuous offers regularity and long-term opportunities to participate in fine-tuning the change. Incremental change, because it happens a bit at a time, gives members time to adapt.

Key Terms achievements over attempts A function of a symbolic ratio that drives employee self-esteem; also called successes over pretensions.

career The pattern of work-related experi- ences that span the course of a person’s life.

career appraisal An evaluation of one’s career; feedback and information on prog- ress toward the career goal permits the individual to appraise his or her career.

career exploration A long, progressive process of choosing education, training, and jobs that fit one’s interests and skills; differ- ent from job searching.

Summary and Resources Chapter 9

career management A problem-solving and decision-making career development process; effective career management begins as the individual responds to the need to make a career decision and then how to acquire the necessary KSAs.

career strategy An action plan for accom- plishing the career goal.

coaching A short-term, formal, time-bound, and task-driven program for performance improvement.

commitment An employee’s willingness, based on a combination of confidence and motivation.

competitive advantage The specific advan- tage that gives an organization an edge over its rivals and an ability to generate greater value for the firm and its shareholders.

confidence A person’s ability to do a task well.

conjoined twins A term that describes the relationship between development and learning; development involves learning, but not all learning is development—learn- ing relates to the employee’s present job requirements, whereas development facili- tates employee career growth within the present job and organization.

continuous change Change that is regular and long term; continuous organizational change gives the members the opportunity to fine-tune the change and is a quality man- agement process.

critical reflection A generative process whereby the trainee is encouraged to reflect and make meaning of the training experi- ence; also known as after-action reviews, reflection on practice, or sense making.

directive behavior Telling and showing people what, when, and how to do some- thing and providing frequent feedback.

employee development A strategy of developing employees both professionally

and personally, whereby the organization benefits through its own development.

employee development level Ken Blanchard’s popular framework, used spe- cifically to lead an employee based on his or her particular developmental level.

episodic change A short-term trans- formational change that is usually organization-wide and many times demands a new paradigm, for example, changing an organization’s structure and culture from the traditional top-down to largely self- directing teams.

Erikson’s model of adult development  An adult development model proposed by the late developmental psychologist Erik Erikson that people progress through eight stages during the course of their lives.

feed forward-feedback loop Employee- organization-employee dynamic that explains as employees become developed, the developed workforce facilitates orga- nizational development, enabling the orga- nization to achieve its strategic goals in an ever-changing work environment.

four-stage model for career develop- ment A career development model that spans from preparation for career to retirement.

incremental change Organizational change that takes place in small stages and supports employee development because employees get the opportunity not only to participate, but also adapt; for example, implementa- tion of new computer system to increase efficiencies.

mentor A person who is responsible for formal transmission of KSAs relevant to the job but also informal personal and profes- sional direction, advice, and psychosocial support for the employee; usually, the supervisor in the context of employee career development.

mentoring A relationship-based, informal without deadlines, and long-term process

Summary and Resources Chapter 9

of employee development of KSAs toward career development.

midlife crisis A potential turning point in which a person’s life changes significantly during the midlife transition of middle adulthood.

mirroring A technique used in mentoring, whereby the mentor and protégé repeat ideas back to each other to ensure that there is no miscommunication.

objects of change The varied levels and focus within the organization at which orga- nizational change can occur.

organizational change Change that occurs within organizations. Objects for organi- zational change include employee task behaviors such as skill variety or autonomy, organizational processes such as organiza- tional learning, or change within the organi- zational culture itself.

protégé A person who works with or is guided by a mentor in a mentoring arrange- ment; the employee in the employee devel- opment program for an organization.

resource-based view A strategic HRD view that expressly evaluates the economic benefits of a highly trained and developed workforce by using the literal asset value of a well-trained and developed workforce; underscores a major theme of HRD, that it is not just about learning, but also performance through learning.

scope of change The extent of change; can be incremental or transformational change in the organization.

self-efficacy A self-assessment about how effective an employee thinks he or she is at performing a task.

strategic workforce planning (SWP)  Maintaining a well-trained and developed workforce by implementing a talent man- agement program to prepare the organiza- tion for future workforce needs.

supportive behavior The act of praising, listening, encouraging, and involving oth- ers in decision making.

talent management The process of devel- oping the workforce (talent) potential to a point that not only are employees reaching their career potential, but also effectively performing in a way that the organization may reach its goals and develop, as well.

tempo Speed or rate, which may have an occasional interruption or divergence from equilibrium; the tempo of change in HRD refers to continuous versus episodic change.

training for development A view of train- ing not as an outcome, but as a process that feeds continuous development.

transformational change A change in organizational structure and culture, such as from a traditional top-down structure to one relying on self-directed teams.

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