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LEADING CHANGE: CONVINCING PEOPLE AGAINST THE STATUS QUO
Corresponding Author(s) : Gerald E. Evans
Humanities & Social Sciences Reviews,
Vol. 7 No. 1 (2019): January
Abstract
Purpose: The purpose of this study is to investigate resistance to change. This is a well-documented phenomenon in the change literature. Overcoming this resistance is a critical component to effective change leadership.
Methodology: A structured interview technique was employed using a survey instrument that guided the interview pro- cess. Interviews were completed with 89 individuals. A snowball sampling technique was employed beginning with 30 undergraduate students who each completed the interview.
Main Findings: This research indicates that individuals who are dissatisfied with the status quo are less likely to resist change. Individuals who perceived that the current status served them well and met their current needs were less likely to embrace or support proposed changes to the status quo. This perception demonstrates risk aversion to potential losses. Conversely, individuals who perceived that the current state did not serve them well or meet their current needs and interests were more likely to embrace and support proposed changes to the status quo demonstrating risk - seeking in the face of potential gains.
Implications: The results can be applied as an effective method for moving people through the change process by convinc- ing them that the current situation has low utility.
Novelty: This paper is one of only a few instances where Prospect Theory and loss aversion has been linked to resistance to change.
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- Bass, B. M. (1985). Leadership and Performance Beyond Expectations. The Free Press, New York, NY. Beer, M. and Nohria, N. (2000). Cracking the Code of Change. Harvard Business Review, 78(3):133–141. Cummings, T. G. and Worley, C. G. (2003). Organizational Development and Change. California. 8th ed.
- Evans, G. and Evans, M. (2018). Changing Benefits and Loss Aversion: Lessons from Prospect Theory and Resistance to Change. The Journal of Human Resource and Adult Learning, 14(1):1–6.
- Ford, J. D., Ford, L. W., and & Damelio (2008).
- Garcia-Cabrera, A. M. and Hernandez, F. G. (2014). Differentiating the three components of resistance to change: The moderating effect of organization-based self-esteem on the employee involvement-resistance relation. Human Resource Development Quarterly, 25(4):441–467. DOI: https://doi.org/10.1002/hrdq.21193
- Holten, A. and Brenner, S. O. (2015). Leadership style and the process of organizational change. Leadership and Organi- zational Development Journal, 36(1):2–16. DOI: https://doi.org/10.1108/LODJ-11-2012-0155
- Hussain, S. T., Lei, S., Akram, T., Haider, M. J., Hussain, S. H., and Ali, M. (2017). Kurt Lewins change model: A critical review of the role of leadership and employee involvement in organizational change. Journal of Innovation and Knowledge, 7(2).
- Kahneman, D., Knetsch, J. L., and Thaler, R. (1991). Anomalies: The Endowment Effect, Loss Aversion, and the Status Quo Bias. The Journal of Economic Perspectives, 5(1):193–206. DOI: https://doi.org/10.1257/jep.5.1.193
- Kahneman, D. and Tversky, A. (1979). Prospect Theory: An Analysis of Decision Under Risk. Econometrica, 47(2):263– 292. DOI: https://doi.org/10.2307/1914185
- Kotter, J. P. (1996).
- Lewin, K. (1947). Frontiers in Group Dynamics: Concept, Method and Reality in Social Science; Social Equilibria and Social Change. Human Relations, 1:5–41. DOI: https://doi.org/10.1177/001872674700100103
- Martin, B. H. (2017). Unsticking the Status Quo: Strategic Framing Effects on Managerial Mindset, Status Quo Bias and Systematic Resistance to Change. Management Research Review, 40(2):122–141. DOI: https://doi.org/10.1108/MRR-08-2015-0183
- Rogers, E. M. (2003). 5th ed.
- Vargo, K. K. and Ringdahl, J. E. (2015). An evaluation of resistance to change with unconditioned and conditioned reinforcers. Journal of Applied Behavioral Analysis, 48:643–662. DOI: https://doi.org/10.1002/jaba.226
References
Bass, B. M. (1985). Leadership and Performance Beyond Expectations. The Free Press, New York, NY. Beer, M. and Nohria, N. (2000). Cracking the Code of Change. Harvard Business Review, 78(3):133–141. Cummings, T. G. and Worley, C. G. (2003). Organizational Development and Change. California. 8th ed.
Evans, G. and Evans, M. (2018). Changing Benefits and Loss Aversion: Lessons from Prospect Theory and Resistance to Change. The Journal of Human Resource and Adult Learning, 14(1):1–6.
Ford, J. D., Ford, L. W., and & Damelio (2008).
Garcia-Cabrera, A. M. and Hernandez, F. G. (2014). Differentiating the three components of resistance to change: The moderating effect of organization-based self-esteem on the employee involvement-resistance relation. Human Resource Development Quarterly, 25(4):441–467. DOI: https://doi.org/10.1002/hrdq.21193
Holten, A. and Brenner, S. O. (2015). Leadership style and the process of organizational change. Leadership and Organi- zational Development Journal, 36(1):2–16. DOI: https://doi.org/10.1108/LODJ-11-2012-0155
Hussain, S. T., Lei, S., Akram, T., Haider, M. J., Hussain, S. H., and Ali, M. (2017). Kurt Lewins change model: A critical review of the role of leadership and employee involvement in organizational change. Journal of Innovation and Knowledge, 7(2).
Kahneman, D., Knetsch, J. L., and Thaler, R. (1991). Anomalies: The Endowment Effect, Loss Aversion, and the Status Quo Bias. The Journal of Economic Perspectives, 5(1):193–206. DOI: https://doi.org/10.1257/jep.5.1.193
Kahneman, D. and Tversky, A. (1979). Prospect Theory: An Analysis of Decision Under Risk. Econometrica, 47(2):263– 292. DOI: https://doi.org/10.2307/1914185
Kotter, J. P. (1996).
Lewin, K. (1947). Frontiers in Group Dynamics: Concept, Method and Reality in Social Science; Social Equilibria and Social Change. Human Relations, 1:5–41. DOI: https://doi.org/10.1177/001872674700100103
Martin, B. H. (2017). Unsticking the Status Quo: Strategic Framing Effects on Managerial Mindset, Status Quo Bias and Systematic Resistance to Change. Management Research Review, 40(2):122–141. DOI: https://doi.org/10.1108/MRR-08-2015-0183
Rogers, E. M. (2003). 5th ed.
Vargo, K. K. and Ringdahl, J. E. (2015). An evaluation of resistance to change with unconditioned and conditioned reinforcers. Journal of Applied Behavioral Analysis, 48:643–662. DOI: https://doi.org/10.1002/jaba.226