Theory E and Theory O

The video discusses two theories for organizational change: Theory E, which focuses on economic value and shareholder benefits, and Theory O, which emphasizes organizational improvement and culture. Both theories are often used together to implement change effectively. The traditional approach to change involves implementing, seeking feedback, and making adjustments. Theory E is more dictatorial, while Theory O is collaborative.

What is the primary focus of Theory E in change management?

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What is the significance of economic incentives in Theory E?

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How does Theory O differ from Theory E in terms of approach to change?

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What are the steps involved in the traditional approach to effectuating change?

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In what way do Theory E and Theory O complement each other in organizational change?

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