CAIIB · HRM

ORGANISATIONAL CHANGE

Chapter notes, video classes, MCQ practice tests and quick-revision one-liners for Human Resources Management (Elective) — CAIIB.

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Q

What is organisational change in the context of banking institutions?

A

Organisational change refers to the process by which a bank or financial institution alters its structure, strategies, operational methods, technologies, or culture to adapt to internal or external pressures.

Q

What is incremental change in organisations as opposed to radical change?

A

Small, gradual adjustments made continuously over time.

Q

What are the primary forces driving organisational change in banks today?

A

Primary forces include technological disruption (fintech, digital banking), regulatory reforms by RBI and Basel norms, competitive pressures, economic shifts, and changing customer expectations.

Q

What is the concept of 'unfreezing' in Lewin's change model applied to banks?

A

Breaking old habits and preparing employees to accept new ways.

Q

How does Kurt Lewin's Force Field Analysis apply to banking change management?

A

Lewin's model identifies driving forces (e.g., RBI mandates, digitisation) that push for change and restraining forces (e.g., employee resistance, legacy systems) that oppose it; effective change occurs when driving forces outweigh restraining forces.

Q

What is the 'moving' stage in Kurt Lewin's three-stage change model?

A

Implementing new behaviours, processes, and structures in the organisation.

Q

What are the three stages of Kurt Lewin's Change Model relevant to HR management?

A

Lewin's three stages are Unfreezing (preparing the organisation to accept change), Moving/Changing (implementing the new processes or structure), and Refreezing (stabilising the change into the culture and systems).

Q

What does 'refreezing' mean in the context of organisational change?

A

Stabilising and institutionalising new changes as permanent norms.

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