MB0038

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Learning Centre:
Subject: MB0038 Management Process & Organizational Behavior
Assignment No: Set 2
Date of Submission at the Learning Centre:

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Q.1 Write a note on classical era for evolution of Organization behaviour.

Answer:

The Classical Era

We see this trend to continue in what is called as the classical era which covers the period
between 1900 to mid 1930s. the first general theories of management began to evolve and
the main contributors during this era were Frederick Taylor, Henri Fayol, Max Weber,
Mary parker Follet and Chester Barnard.

Frederick Taylor’s main emphasis was on finding one best way of doing each job. He
stressed on selecting the right people for the job, train them to do it precisely in one best
way. He favored wage plans to motivate the workers. His scientific principles of
management stressed the following principles:

1. Shift all responsibility for the organization of work from the worker to the manager;
managers should do all the thinking relating to the planning and design of work, leaving the
workers with the task of implementation.

2. Use scientific methods to determine the most efficient way of doing work; assign the
worker’s task accordingly, specifying the precise way in which the work is to be done.

3. Select the best person to perform the job thus designed.

4. Train the worker to do the work efficiently.

5. Monitor worker performances to ensure that appropriate work procedures are followed
and that appropriate results are achieved.

Taylor was one of the first to attempt to systematically analyze human behavior at work. He
insisted the use of time-and-motion study as a means of standardizing work activities. His
scientific approach called for detailed observation and measurement of even the most
routine work, to find the optimum mode of performance.

The results were dramatic, with productivity increasing significantly. With passing time,
new organizational functions like personnel and quality control were created. Of course, in
breaking down each task to its smallest unit to find what Taylor called „„the one best way‟‟
to do each job, the effect was to remove human variability. Hence he lay the ground for the
mass production techniques that dominated management thinking in the first half of the
twentieth century.

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Henri Fayol, a mining engineer and manager by profession, defined the nature and working
patterns of the twentieth-century organization in his book, General and Industrial
Management, published in 1916. In it, he laid down what he called 14 principles of
management. This theory is also called the Administrative Theory. The principles of the
theory are:

1. Division of work: tasks should be divided up with employees specializing in a limited set
of tasks so that expertise is developed and productivity increased.

2. Authority and responsibility: authority is the right to give orders and entails enforcing
them with rewards and penalties; authority should be matched with corresponding
responsibility.

3. Discipline: this is essential for the smooth running of business and is dependent on good
leadership, clear and fair arguments, and the judicious application of penalties.

4. Unity of command: for any action whatsoever, an employee should receive orders from
one superior only; otherwise authority, discipline, order, and stability are threatened.

5. Unity of direction: a group of activities concerned with a single objective should be co-
coordinated by a single plan under one head.

6. Subordination of individual interest to general interest: individual or group goals must

not be allowed to override those of the business.

7. Remuneration of personnel: this may be achieved by various methods but it should be

fair, encourage effort, and not lead to overpayment.

8. Centralization: the extent to which orders should be issued only from the top of the
organization is a problem which should take into account its characteristics, such as size and
the capabilities of the personnel.

9. Scalar chain (line of authority): communications should normally flow up and down the
line of authority running from the top to the bottom of the organization, but sideways
communication between those of equivalent rank in different departments can be desirable
so long as superiors are kept informed.

10. Order: both materials and personnel must always be in their proper place; people must
be suited to their posts so there must be careful organization of work and selection of
personnel.

11. Equity: personnel must be treated with kindness and justice.

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12. Stability of tenure of personnel: rapid turnover of personnel should be avoided because
of the time required for the development of expertise.

13. Initiative: all employees should be encouraged to exercise initiative within limits
imposed by the requirements of authority and discipline.

14. Esprit de corps: efforts must be made to promote harmony within the organization and
prevent dissension and divisiveness.

The management functions, that Fayol stated, consisted of planning, organizing,

commanding, co-coordinating and controlling. Many practicing managers, even today,

list these functions as the core of their activities. Fayol was also one of the first people to
characterize a commercial organization‟s activities into its basic components.

Q.2 . What is groupthink. Explain.

Answer:

Groupthink is a way of thinking that often occurs when group members work together to
brainstorm, evaluate multiple options, or make decisions. In groupthink, the quality of the
end decision is sacrificed in order to minimize conflict during the decision-making process.
The goal of reaching a clear and comfortable consensus overrides the need to critically
evaluate, analyze, and test their thoughts. Individual group members suppress their
creativity and independent thinking so that they do not disturb the comfort zone of the
group's thoughts and the group consensus. Groupthink often leads to decisions that are hasty
and irrational, and rarely are these decisions the best possible decisions for the group.

Groupthink is difficult to overcome because it is not a conscious decision made by the

group members - it happens subconsciously. There are, however, certain ways that
brainstorming sessions and group decision making processes can be designed to combat
groupthink:

-Several smaller, independent groups should be used to work on the same problem (instead
of one large, cohesive group)

-All competing ideas and potential alternatives should be considered and examined in detail

-Group members should be allowed to discuss the decisions with people outside of the
group before a final decision is made

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-Outside experts should be invited to contribute to the group meetings

-Group members should be encouraged to undertake the role of "Devil's Advocate" - This
will help the group consider viewpoints that might be contrary to their initial consensus.

Q.4 The environmental stressors have a great impact on work performance and adjustment
of the individual in an organization. Discuss the different categories of environmental
stressors.

Answer:

It must be noted that stress factors are subjective and what one person may find stressful,
others may not necessarily experience as negatively. The way in which we experience and
react to stress is described as an emotional condition which triggers physical, psychological
and emotional responses from the individual.

Formally, a stressor is defined as an event or context that elevates adrenaline and triggers
the stress response which results in the body being thrown out of balance as it is forced to
respond.

Examples of Stress Triggers

• Environmental stressors (elevated sound levels, over-illumination, overcrowding)

• Daily stress events (e.g. traffic, lost keys)

• Life changes (e.g. divorce, bereavement)

• Workplace stressors (e.g. role strain, lack of control)

Stressors usually fall into one of four categories:

• Internal stressors - these we carry around inside of us. They are self owned stressors.
These stressors may range from the posture we adapt, to addictions and assessment of
life/personal satisfaction or simply not getting enough sleep.

• External stressors - these are the stressors in the environments in which we operate and
will range from parental pressure, to work pressure, to role pressure, to household pressure,
traffic, crime etc.

• Hidden stressors - these are factors which cause stress but where the underlying cause is
difficult to identify. It often results in conflicting feelings and a sense of an inappropriate
reaction or response to a situation. For example underdeveloped emotional intelligence
where self-awareness is not apparent.
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• Obvious stressors - there are also those situations which obviously do or are intended to
bring about stress. For example a work deadline would be an imposed obvious stressor
where as the death of a loved one would be un-imposed but an obvious one.

Types of Environmental Stressors

Noise

Research has demonstrated that high levels of background noise can severely impair one’s
ability to concentrate. It has been shown that excessive, intermittent or unpredictable noise
can cause tension and headaches as well as raise people's blood pressure. It can impact
concentration and reduce the ability to perform complex tasks. It can also undermine
teamwork, as people in a noisy environment tend to become more irritable and less willing
to help one another.

Solutions to noise at work can involve:

• Arranging to work from a home office.

• Installing partitions or physical barriers to reduce or deaden sound.

• Scheduling work tasks so that those requiring the most focus can be completed when the
environment is more peaceful.

• Using meeting rooms separate from the main source of noise.

• If all else fails, using earplugs!

Lighting

Poor lighting, such as insufficient light, light that is too bright or light that shines directly
into one’s eyes can cause eye strain and increase fatigue. In addition to lighting conditions,
the quality of light is also important. Most people are happiest in bright daylight. Daylight
which measures 10,000 lux (equivalent to a bright sunny day) is known to trigger a release
of chemicals in the body that brings about a sense of psychological well-being.
Unfortunately, most types of artificial light do not seem to have the same effect on mood.
You will probably find that improving the quality of light will also improve the quality of
your working environment. Solutions to poor light conditions at work may include:

• Arranging work spaces to be near a window.

• Whenever possible, allowing natural light to shine through open doors and windows.
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• Trimming bushes that are in front of windows, painting walls with lighter colours,
checking into the possibility of installing skylights.

• Installing brighter light bulbs in work areas or using full-spectrum bulbs in desk lamps.

Poor Air Quality

Research has shown that poor air quality at work can trigger headaches and tiredness, as
well as impair one’s ability to concentrate. A variety of factors can contribute to the
problem of poor air quality, including a high concentration of pollutants in the air, poor air
circulation or inadequate ventilation.

Other sources of poor air quality include smoking, heating and air conditioning systems,
ionization by electrical equipment, overcrowding (too many people in a small space),
pollution, solvents or other chemicals from carpets, furniture or paint, and excess humidity
or dryness.

Solutions to poor air quality at work may involve:

• Opening windows.

• Banning smoking indoors.

• Using dehumidifiers when humidity is a problem or humidifiers if it is too dry.

• Introducing plants – not only do plants raise the amount of oxygen in the air and reduce
stuffiness, they also help to absorb pollutants in the air; evaporation of water from plant
pots or the plants themselves will help to raise humidity when the air is too dry.

• Keeping yourself hydrated by drinking water.

Clutter and Disorganization

Another source of environmental stress can be a work environment that is dirty, messy, or
uncomfortable. The distraction of working in an area that is disorganized, untidy and
chaotic can make it more difficult to achieve your goals.

Solutions to disorganization can involve:

• Contracting with janitorial services to ensure the workplace is kept clean.

• Developing systems for organizing product, information, and equipment.

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• Implementing on- or off-site storage systems.

• Storing or discarding unnecessary furniture, equipment and office products.

Furniture and Ergonomics

Poorly designed furniture, or the improper use of quality furniture, generally contributes to
a variety of aches and pains. The most common of these is backache. Prolonged ergonomic
problems can produce serious injuries. Taking the time to arrange one’s working
environment is key to working comfortably and avoiding injury.

Solutions to ergonomic concerns at work may involve:

• Ensuring that office chairs are properly adjusted to reduce the risk of injury to the body.

• Arranging computer work stations so that correct postures are used when working with the
monitor, keyboard, mouse, and documents.

• Organizing work materials and accessories to improve efficiency and reduce the distance
and frequency of reaches.

• Organizing your workday to include tasks, breaks and exercises that allow you to vary
your posture, rest your muscles and prevent muscle tension or soreness.

• Consulting with a professional who can give you expert advice, as often the ideal solution
may not be immediately obvious.

Stress and performance

For the most part, people view stress as a negative factor. Stress however is only negative
when it is excessive, unmanaged and results in adverse symptoms and experiences. Some of
the negative consequences include:

• Feeling anxious, irritable, or depressed

• Apathy, loss of interest in work or other activities

• Problems sleeping

• Fatigue,

• Trouble concentrating • Muscle tension or headaches

• Stomach problems

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• Social withdrawal

• Loss of sex drive

• Using alcohol or drugs to cope

It is clear that with these symptoms the individual's performance at work, home and in
social settings will be adversely affected. Negative stress also seems to have a self-building
facet where once stressed, additional factors just keep contributing to the stress and increase
the stress levels while decreasing performance and functioning.

Q.5 Given below are certain instances observed by a summer trainee – Ritu, while doing an
observational study at Phoenix consultants. An organization dealing with recycling of
plastic products waste etc. She makes the following observations about two key people in
the organization.

1. Mr. Patnayak – He is a very friendly person and encourages his team members by giving
those recommendations and appreciations. This helps HR to decide about giving a bonus or
promotion to employees.

2. Mr. Dutta - He is an aggressive person. He frequently loses his temper. Ritu observes that
he frequently punishes the non-performers and also give them warnings regarding
suspension etc.

Now explain what base of power does Mr. Patnayak and Mr. Dutta belongs to. Explain the
type of power they use often

Answer:

Ten Types of Power

1. Position. Some measure of power is conferred on the basis of one’s formal position in an
organization. For example, a marketing manager can influence the decisions that affect the
marketing department. However, the marketing manager has little power to influence the
decisions that affect the finance department.

2. Knowledge or expertise. People who have knowledge or expertise can wield tremendous
power. Of course, knowledge in itself is not powerful. It is the use of knowledge and
expertise that confers power. Thus, you could be an incredibly bright person and still be
powerless.

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3. Character or ethics. The more trustworthy individuals are, the more power they have in
negotiations. The big issue here is whether they do what they say they are going to do—
even when they no longer feel like doing it.

4. Rewards. People who are able to bestow rewards or perceived rewards hold power.
Supervisors, with their ability to give raises, hold power over employees. Money can have
power. But money, like anything else, holds very little power if it is not distributed.

5. Punishment. Those who have the ability to create a negative outcome for a counterpart
have the power of punishment. Managers who have the authority to reprimand and fire
employees hold this type of power. State troopers and highway patrol officers who have the
ability to give out speeding tickets also have this power.

6. Gender. Dealing with someone of the opposite sex can confer power. We have
videotaped many negotiation case studies in which the turning point came when a woman
casually touched a man’s hand or arm to make her point.

7. Powerlessness. In some instances, giving up all power can be very powerful. If a

kidnapper threatens a hostage with death enough times, the hostage may just challenge the
kidnapper to go ahead and kill him. At the point that the hostage gives up power, or control
over his own death, the kidnapper actually loses power.

8. Charisma or personal power. When we ask participants in our seminars for examples of
leaders who have had charisma or personal power, invariably the names of Mother Teresa,
John F. Kennedy, and Ronald Reagan come up. When we ask, “What do all three of these
leaders have in common?” participants usually respond, “Passion and confidence in what
they believe in.”

9. Lack of interest or desire. In negotiations, as in many other areas of life, the side with the
least interest in what is being negotiated holds the most power. If you are buying a house
and you really do not care if you purchase the house you are currently negotiating for or the
one down the street, you will most likely hold more power in the negotiation—unless, of
course, the sellers could care less if they sell the house today or live in it for another ten
years!

10. Craziness. This may sound funny, but bizarre or irrational behavior can confer a
tremendous amount of power. Every organization has someone who blows up or behaves
irrationally when confronted with problems. Those who have been exposed to this type of
behavior tend to avoid such individuals. As a result, these individuals are not given many
tasks to accomplish because others are afraid to ask them.
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Leadership style influence level of motivation. However, throughout a lifetime, man’s

motivation is influenced by changing ambitions and/or leadership style he works under or
socializes with. Command-and-control leadership drains off ambition while worker
responsibility increases ambition.

Leadership Style versus Motivation

Leadership Style Motivation Type Motivation is Based on: Personality Type Efficiency

Limited supervision

Worker with decision making responsibility Self motivated Creativity Leader of ideas or
people.

Independent

Achiever

Thrives on change High

Team motivated

Mixed styles Goal motivated Opportunity Personality type and efficiency depends on
leader's skill and/or the work environment he's created.

Reward motivated Materialism

Recognition motivated Social status

High level of supervision

Command-and-control Peer motivated To be like others Status quo

Dependency

Resist change Low

Authority motivated Follows policy

Threat, fear motivated Reacts to force

• Self-motivated or visionaries will not accept authority controlled environments. They will
find a way to escape if trapped.

• In a team-motivated environment, dependency types will become inspired and strive to be

acceptable with independent thinking coworkers.
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• Associates influence the level of individual motivation.

Reaction to Change

Command-and-control leadership is the primary style in our society. It is accepted because

efficiency is created by repetitive action, teaching people to resist change. Once acquiring a
skill, they do not want to learn another. The worker adapts to level three with an occasional
trip to level two.

Worker responsibility is just the opposite, it motivates people to thrive on change by

seeking challenges, finding ways to achieve goals. Level one is the leader of changing
technology, finding ways to create efficiency.

Reaction to Efficiency

The efficiency of advancing technology is forcing change. It is up to the individual or

business to decide which side of change they want to be on, the leading edge or trailing
edge. The leading edge is exciting while the trailing edge is a drag. Playing catch-up drains
motivation while leaders of change inspire motivation.

With today’s changing technology, an individual must be willing to abandoned old skills
and learn new ones. The ability to adapt is achieved through self-development programs.
Because level one thrives on change, they adapt to whatever methods gets things done with
the least amount of effort. This brings us to work habits.

In level one, management and front line workers, together, are searching for ways to solve
and prevent problems. Decisions are made on the front line where alternative methods are
analyzed. Being able to prevent problems is a motivating force. In level three management
makes all decision, as a result, management must find ways to solve all problems and find
alternative methods. Front line employees may be aware conflicts, but they don’t have the
authority to take action and have learned not to be concerned. Supervisors are only
concerned with elements that management thinks are important.

Under command-and-control leadership, management considers the opinions or concerns of

people on the front line to be trivial. As a result, management takes action only when
problems become too big to ignore. If workers have conflicts with their supervisors, they
will find ways to increase the magnitude of problems, creating a combative environment. A
downward spiral of management implementing more control and workers resisting control
develop. Under worker responsibility, management and workers unite to prevent or solve
problems.
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Team Motivated

Elementary problems are prevented or solved at the source. Getting the job done is the
primary goal of management and workers. Dependency of Authority

Elementary are dealt with by management when large enough to be recognized. Abused
Workers

Lack of leadership skills and the desire for power creates elementary problems. Managers
focus on worker control. Getting the job done is down the list. Workers goal is to find ways
to do little as possible.

Command and Control Leadership - Problems are always out of control.

Reaction to Learning Habits

In level two, young workers are establishing work habits, developing attitudes and learning
a professional skill. Out of training and on the job, motivation level will depend on the
leadership style they work under. Under command-and-control leadership, ambitions will
be associated with maintaining the status quo. Under worker responsibility, ambitions will
be associated with opportunity. They will continually expand their skills as the need or as
opportunity arises.

Reaction to Goals

Self-motivated people are goal motivated. Once they conquer one goal, they establish
another. Every goal is a learning process that requires all the elements in level one.
Companies that attract and keep this type of person stay on the leading edge of technology.
The CEO is a visionary in customer service and employee leadership. The employees' goals
are the same as the CEO’s.

If the CEO desires control, then he will lead in such a way that trains subordinates to lead
by control. As a result, the employees' goals are quitting time and payday.

Reaction to Recognition

Recognition is important; it builds positive self-esteem. By itself, its benefits are short lived.
Long-term benefits are achieved when the employee feels the job could not have been done
without them. This means they were faced with a challenge, which means, they had the
responsibility and authority to take action. This environment is found in level one.

Self Motivated Projects

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Self-motivated projects' is the ability to start and finish what one has started. Most people,
working alone, do not finish what they start.

The ability to finish challenging projects is the secret to being a winner. First requirement is
interest, then asking questions which inspires' the learning process. With information, a
challenge is presented and a goal set. When action is taken, the barriers of persistence, risk,
fear and failure become a challenge by itself.

Self-motivated projects are difficult because no one cares if they succeed, which is another
barrier. This is why most people quit before they get a good start. People, who find ways to
overcome barriers and hang in there, are the winners. They develop skills and confidence,
which are required steps to larger projects.

Team Motivated Projects

Everyone can be inspired to achievement in a team-motivated environment. With a common

goal, team members support each other until success is achieved. In this environment,
others do care and team members are needed for achieving the goal. For this reason, team
motivation is extremely powerful. The exchange of ideas, information and testing the
results, adds to the motivating force. As a result, each member seeks to be a leader of
quality input.

Q.6 “Fashion4Now’ is a famous and old magazine. The top management decides to start
the e- edition of the magazine.

They also decide the redefine the policies and culture of window to truth’

To start implementing, this change, they frequently call meetings of employees. They have
also formed groups at different levels to clarify doubts and explain the perspective of
change.

Analyze the situation in the context of organizational change and elaborate why the top
management is following the discussed practices and what approach is most evident in the
context.

Answer:

Typically, the concept of organizational change is in regard to organization-wide change, as

opposed to smaller changes such as adding a new person, modifying a program, etc.
Examples of organization-wide change might include a change in mission, restructuring
operations (e.g., restructuring to self-managed teams, layoffs, etc.), new technologies,
mergers, major collaborations, "rightsizing", new programs such as Total Quality

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Management, re-engineering, etc. Some experts refer to organizational transformation.

Often this term designates a fundamental and radical reorientation in the way the
organization operates.

The levels of organizational change

Perhaps the most difficult decision to make is at what "level" to start. There are four levels
of organizational change:

First let's describe these levels, and then under what circumstances a business should use
them.

Level 1- shaping and anticipating the future

At this level, organizations start out with few assumptions about the business itself, what it
is "good" at, and what the future will be like.

Management generates alternate "scenarios" of the future, defines opportunities based on

these possible futures, assesses its strengths and weaknesses in these scenarios changes its
mission, measurement system etc. More information on this is in the next article, "Moving
from the Future to your Strategy."

Level 2 - defining what business(es) to be in and their "Core Competencies

Many attempts at strategic planning start at this level, either assuming that 1) the future will
be like the past or at least predictable; 2) the future is embodied in the CEO's "vision for the
future"; or 3) management doesn't know where else to start; 4) management is too afraid to
start at level 1 because of the changes needed to really meet future requirements; or 5) the
only mandate they have is to refine what mission already exists.

After a mission has been defined and a SWOT (strengths, weaknesses, opportunities and
threats) analysis is completed, an organization can then define its measures, goals,
strategies, etc. More information on this is in the next article, "Moving from the Future to
your Strategy."

Level 3 - Reengineering (Structurally Changing) Your Processes

Either as an aftermath or consequence of level one or two work or as an independent action,

level three work focuses on fundamentally changing how work is accomplished. Rather
than focus on modest improvements, reengineering focuses on making major structural
changes to everyday with the goal of substantially improving productivity, efficiency,
quality or customer satisfaction. To read more about level 3 organizational changes, please
see "A Tale of Three Villages."
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Level 4 - Incrementally Changing your Processes

Level 4 organizational changes are focusing in making many small changes to existing
work processes. Oftentimes organizations put in considerable effort into getting every
employee focused on making these small changes, often with considerable effect.
Unfortunately, making improvements on how a buggy whip for horse-drawn carriages is
made will rarely come up with the idea that buggy whips are no longer necessary because
cars have been invented. To read more about level 4 organizational changes and how it
compares to level 3, please see "A Tale of Three Villages."

Some General Guidelines to Organization-Wide Change

1. Consider using a consultant. Ensure the consultant is highly experienced in organization-

wide change. Ask to see references and check the references.

2. Widely communicate the potential need for change. Communicate what you're doing
about it. Communicate what was done and how it worked out.

3. Get as much feedback as practical from employees, including what they think are the
problems and what should be done to resolve them. If possible, work with a team of
employees to manage the change.

4. Don't get wrapped up in doing change for the sake of change. Know why you're making
the change. What goal(s) do you hope to accomplish?

6. Plan the change. How do you plan to reach the goals, what will you need to reach the
goals, how long might it take and how will you know when you've reached your goals or
not? Focus on the coordination of the departments/programs in your organization, not on
each part by itself. Have someone in charge of the plan.

7. End up having every employee ultimately reporting to one person, if possible, and they
should know who that person is. Job descriptions are often complained about, but they are
useful in specifying who reports to whom.

8. Delegate decisions to employees as much as possible. This includes granting them the
authority and responsibility to get the job done. As much as possible, let them decide how
to do the project.

9. The process won't be an "aha!" It will take longer than you think.

10. Keep perspective. Keep focused on meeting the needs of your customer or clients.

11. Take care of yourself first. Organization-wide change can be highly stressful.

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12. Don't seek to control change, but rather to expect it, understand it and manage it.

13. Include closure in the plan. Acknowledge and celebrate your accomplishments.

14. Read some resources about organizational change, including new forms and structures

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