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Sensemaking and

Sensemaking and

Performance During

Performance During

Change:

Change:

Some Preliminary

Some Preliminary

Ideas

Ideas

Scott Sonenshein and Scott

Scott Sonenshein and Scott

Baggett

Baggett

(2)

Research Question

Research Question

How does an employee’s

How does an employee’s

sensemaking about change afect

sensemaking about change afect

change implementation

change implementation

(3)

Starting Premises

Starting Premises

Change creates interruptions which

Change creates interruptions which

trigger sensemaking (Weick, 1995)

trigger sensemaking (Weick, 1995)

Employees have discretion to construct

Employees have discretion to construct

meaning of same “objective” event

meaning of same “objective” event

diferently

diferently

Employees matter--bias in literature that

Employees matter--bias in literature that

organizational adaptation is primarily (or

organizational adaptation is primarily (or

(4)

Quick Review of Sensemaking

Quick Review of Sensemaking

Literature

Literature

Sensemaking research strong focus on processes (e.g.,

Sensemaking research strong focus on processes (e.g.,

Weick et al., 2005), less on content

Weick et al., 2005), less on content

Research on link between sensemaking and performance

Research on link between sensemaking and performance

has emphasized top managers

has emphasized top managers

 Thomas et al. (1993): top managers scanning and interpretation Thomas et al. (1993): top managers scanning and interpretation processes

processes

 Theoretical models about links between cognitions and actions Theoretical models about links between cognitions and actions (e.g. Dutton and Jackson, 1987) with key focus on labeling of

(e.g. Dutton and Jackson, 1987) with key focus on labeling of

issues

issues

 Threat/opportunity framing (Chattopadhyay et al, 2001; Staw et Threat/opportunity framing (Chattopadhyay et al, 2001; Staw et al., 1981)

al., 1981)

Little research on how employees make sense of change

Little research on how employees make sense of change

(Bartunek et al., 2006)

(Bartunek et al., 2006)

 Any studies that link employee sensemaking to unit/frm Any studies that link employee sensemaking to unit/frm performance?

performance?

Sensemaking primarily focused on cognitions

Sensemaking primarily focused on cognitions

 Not much work on emotions and sensemaking (Maitlis and Not much work on emotions and sensemaking (Maitlis and Vogus, 2008)

(5)

Main Contribution of

Main Contribution of

Research

Research

Examine how employees’

Examine how employees’

sensemaking content (cognitions and

sensemaking content (cognitions and

emotions) infuences change

emotions) infuences change

implementation performance

implementation performance

As assessed by managers (subjective

As assessed by managers (subjective

performance)

performance)

As assessed by sales data (“objective”

As assessed by sales data (“objective”

performance)

(6)

Subjective Performance:

Subjective Performance:

“Ideal Employee” hypothesis

“Ideal Employee” hypothesis

During change, managers want employees to construct

During change, managers want employees to construct

meaning of change in particular ways and this will

meaning of change in particular ways and this will

impact how they assess performance.

impact how they assess performance.

 Greater understanding of the strategyGreater understanding of the strategy

 Create cognitive reorientation of the frm (Gioia & Create cognitive reorientation of the frm (Gioia & Chittipeddi, 1991)

Chittipeddi, 1991)

 Transfer cognitions to employees (Lewis, L. & Seibold, Transfer cognitions to employees (Lewis, L. & Seibold, 1998)

1998)

 More positive emotionsMore positive emotions

 Happy-productive worker hypothesis (Wright & Staw, 1999) Happy-productive worker hypothesis (Wright & Staw, 1999)  Managers observe positive employees, assume things are Managers observe positive employees, assume things are

going well.

going well.

 Less negative emotionsLess negative emotions

 Reduces resistance, something managers obsessed with Reduces resistance, something managers obsessed with (Dent & Goldberg, 1999)

(7)

Objective” performance:

Objective” performance:

But do manager’s know best?

But do manager’s know best?

 Competing HypothesesCompeting Hypotheses

 Why would adopting managerial cognitions about Why would adopting managerial cognitions about

the change

the change  higher performance? higher performance?

 Provides higher-order goals, which could increase Provides higher-order goals, which could increase

knowledge about how to perform task objectives

knowledge about how to perform task objectives

 Reduces uncertainty about change, which could limit Reduces uncertainty about change, which could limit

distractions

distractions

 Increases task signifcance (bigger picture of how tasks Increases task signifcance (bigger picture of how tasks

improve org)

improve org)

 Others?Others?

 But cognitions about change . . . But cognitions about change . . .

 Focuses on general strategy less relevant to employees’ Focuses on general strategy less relevant to employees’

work

work

 Could inundate employees with useless information (info Could inundate employees with useless information (info

overload)

overload)

(8)

Objective” performance: But do

Objective” performance: But do

manager’s know best?

manager’s know best?

Competing Hypotheses

Competing Hypotheses

Why would sensemaking that contains more

Why would sensemaking that contains more

positive emotions about the change

positive emotions about the change

higher

higher

performance?

performance?

 Increases motivation (George & Brief, 1996) and Increases motivation (George & Brief, 1996) and

persistence (Burke et al. 1993)

persistence (Burke et al. 1993)

 Builds thought-action repertoire (Fredrickson, 2001)Builds thought-action repertoire (Fredrickson, 2001)  Increases sense of eficacy (Forgas et al., 1990)Increases sense of eficacy (Forgas et al., 1990)

 Leads to more helpful behavior (George, 1991) Leads to more helpful behavior (George, 1991)  Others?Others?

But positive emotions could . . .

But positive emotions could . . .

 Reduce motivation because sends signals things going Reduce motivation because sends signals things going

well (George and Zhou, 2002)

well (George and Zhou, 2002)

(9)

Objective” performance: But do

Objective” performance: But do

manager’s know best?

manager’s know best?

Competing Hypotheses

Competing Hypotheses

Why would sensemaking that contains less

Why would sensemaking that contains less

negative emotions about the change

negative emotions about the change

higher

higher

performance?

performance?

 Negative emotions associated with change resistance Negative emotions associated with change resistance  Negative emotions could reduce commitment to Negative emotions could reduce commitment to

change change

But negative emotions could. . .

But negative emotions could. . .

 Signal that greater efort is needed (George & Zhou, Signal that greater efort is needed (George & Zhou,

2001) 2001)

 Refect a more realistic appraisal of the change, Refect a more realistic appraisal of the change,

(10)

Approach

Approach

Context: Fortune 500 retailer integrating two

Context: Fortune 500 retailer integrating two

divisions

divisions

Collected sensemaking of employees

Collected sensemaking of employees

implementing the change (n=143) at 46 units

implementing the change (n=143) at 46 units

implementing same change

implementing same change

Content analysis of sensemaking:

Content analysis of sensemaking:

 Cognitive sensemaking: meaning constructions of what Cognitive sensemaking: meaning constructions of what

employees know about the core strategy of the change

employees know about the core strategy of the change

 Emotional sensemaking: meaning constructions of Emotional sensemaking: meaning constructions of

emotions about the change

emotions about the change

(11)

Dependent Variables

Dependent Variables

Performance of change implementation

Performance of change implementation

Subjective: Supervisor ratings of unit

Subjective: Supervisor ratings of unit

Overall performance of implementing the

Overall performance of implementing the

change

change

Efort exerted at implementing the change

Efort exerted at implementing the change

Objective”: Sales performance

Objective”: Sales performance

Change in sales after change, controlling for

Change in sales after change, controlling for

time of change

(12)

Aggregation

Aggregation

Unit of analyses

Unit of analyses

Sensemaking data: employee level

Sensemaking data: employee level

Performance data: unit level

Performance data: unit level

Aggregation tests

Aggregation tests

Too much variability within units around

Too much variability within units around

sensemaking of change

sensemaking of change

Examine individuals’ sensemaking as

Examine individuals’ sensemaking as

predictive of their group score vs.

predictive of their group score vs.

average sensemaking

average sensemaking

Group analysis

Group analysis

Good apple, bad apple in the barrel approach

Good apple, bad apple in the barrel approach

Take the minimum and maximum values

Take the minimum and maximum values

for each sensemaking variable for each

for each sensemaking variable for each

unit

(13)

Individual Level Results

Individual Level Results

Sales

(square feet) -.11**-.11** 2.11**2.11** 2.40**2.40**

Negative

sensemaking .11*.11* -.91-.91 0.100.10

R

(14)

Individual Level Results

Individual Level Results

Sales

(square feet) -.11**-.11** 2.11**2.11** 2.40**2.40**

Negative

sensemaking .11*.11* -.91-.91 0.100.10

R

(15)

Aggregate Min Model Results

Aggregate Min Model Results

Sales

Sales

Performance

Performance Supervisor Overall Supervisor Overall Assessment

(square feet) -.18*-.18* 2.06*2.06* 2.382.38

t

sensemaking .42**.42** -3.94-3.94 -1.63-1.63

R

(16)

Aggregate Min Model Results

Aggregate Min Model Results

Sales

(square feet) -.18*-.18* 2.06*2.06* 2.382.38

t

sensemaking .42**.42** -3.94-3.94 -1.63-1.63

R

(17)

Aggregate Max Model Results

Aggregate Max Model Results

Sales

(square feet) -.14-.14

t

sensemaking .09.09 -1.53-1.53 .55.55

R

(18)

Summary of Findings

Summary of Findings

Employees’ sensemaking based on emotions

Employees’ sensemaking based on emotions

infuences supervisor ratings of change, but has

infuences supervisor ratings of change, but has

no impact on sales performance.

no impact on sales performance.

Employees’ sensemaking based on cognitions

Employees’ sensemaking based on cognitions

predicts sales performance but has no impact on

predicts sales performance but has no impact on

supervisor ratings.

supervisor ratings.

More positive emotions and less negative

More positive emotions and less negative

emotions might get unit accolades (or store

emotions might get unit accolades (or store

manager promoted), but does not afect

manager promoted), but does not afect

“objective” unit performance.

“objective” unit performance.

Group level: one bad apple spoils barrel; but one

Group level: one bad apple spoils barrel; but one

good apple can lead to higher subjective ratings.

(19)

Theoretical Implications

Theoretical Implications

Linked employee-level sensemaking to unit

Linked employee-level sensemaking to unit

performance

performance

 How employees make meaning of a change impacts How employees make meaning of a change impacts

performance

performance

The way managers’ subjectively make meaning of

The way managers’ subjectively make meaning of

change performance not consistent with

change performance not consistent with

“objective” performance

“objective” performance

 Resistance story—too much attention (Ford et al. 2008)Resistance story—too much attention (Ford et al. 2008)

 Danger of subjective performance indicators hat dominate Danger of subjective performance indicators hat dominate change research

change research

The importance (or lack thereof) of constructing

The importance (or lack thereof) of constructing

positive meaning about one’s work on objective

positive meaning about one’s work on objective

performance

(20)

Discussion

Discussion

What resonates most with you?

What resonates most with you?

How should I develop the

How should I develop the

subjective/objective story?

subjective/objective story?

Should I frame paper around this fnding?

Should I frame paper around this fnding?

Most of mechanisms theorized at individual

Most of mechanisms theorized at individual

level; ideas for unit level theorizing.

level; ideas for unit level theorizing.

Because of lack of ability to aggregate, have

Because of lack of ability to aggregate, have

both individual and unit level (min and max)

both individual and unit level (min and max)

results.

results.

 Build a multi-level theory?Build a multi-level theory?

(21)

Other Ways I Can Use Your

Other Ways I Can Use Your

Help

Help

For “average model”, I use disaggregated

For “average model”, I use disaggregated

results (ICC does not support

results (ICC does not support

aggregation)

aggregation)

Main fndings about emotions at group-level

Main fndings about emotions at group-level

Main fndings about cognitions at individual-

Main fndings about cognitions at

individual-level

level

This does not seem elegant

This does not seem elegant

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