Change in New Zealand Electricity Companies: a Study of Organizational Response to a Deregulated Market

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Change in New Zealand Electricity Companies: a Study of Organizational Response to a Deregulated Market Change in New Zealand Electricity Companies: A Study of Organizational Response to a Deregulated Market A thesis submitted in fulfilment of the requirements for the Degree of Doctor of Philosophy Department of Management University of Canterbury by Michael G. Duncan University of Canterbury 2001 Ht> 96165 'N51 'j)Q/1 2S:b1. With thanks to all who provided professional and personal support during the writing of this thesis Table of Contents Chapter One Introduction ............................................................................................................ 1 1.1 Overview ........................................................................................................................... 1 1.2 Research Design .............................................................................................................. 1 1.3 Significance of the Thesis .................................................................................................2 1.4 The New Zealand Electricity Distribution and Retail Sector .............................................. 3 1.5 Thesis Overview ...............................................................................................................7 Chapter Two Methodology ..........................................................................................................9 2.1 Introduction .......................................................................................................................9 2.2 Ethics Approval and Research Question .......................................................................... 9 2.3 Research Design ............................................................................................................ 10 2.3.1 The Qualitative Research Paradigm ........................................................................ 11 2.3.2 Summary ................................................................................................................. 13 2.4 The Case Study ..............................................................................................................14 2.4.1 A Definition .............................................................................................................. 14 2.4.2 Multiple Case Studies .............................................................................................. 15 2.4.3 Summary ................................................................................................................. 16 2.5 The Process of Qualitative Data Collection ..................................................................... 17 2.5.1 Research Site Selection .......................................................................................... 17 2.5.2 Research Sites Access ............................................................................................. 17 2.5.3 Participant Selection ................................................................................................ 19 2.5.4 Data Collection - Multiple Methods ......................................................................... 20 2.5.5 Data Collection - Interview Process ........................................................................ 22 2.5.6 Researcher Bias ......................................................................................................23 2.5.7 Summary .................................................................................................................24 2.6 The Process of Qualitative Data Analysis ....................................................................... 24 2.6.1 Interview Transcription and Verification ................................................................... 24 2.6.2 Data Analysis - Coding ...........................................................................................25 2.6.3 Data Analysis - Narrative Construction ................................................................... 26 2.6.4 Data Analysis - Cross Case Comparison ................................................................ 27 2.6.5 Summary .................................................................................................................27 2.7 Conclusion ......................................................................................................................28 Chapter Three Literature Review .............................................................................................. 30 3.1 Introduction .....................................................................................................................30 3.2 Organizational Change Models .......................................................................................31 3.2.1 Continuous, Discontinuous, Reactive and Anticipatory Change .............................. 31 3.2.2 Typology of Strategic Organizational Change .......................................................... 32 3.3 Organizational Change Theories .................................................................................... 33 3.3.1 The Need for Theoretical Development ................................................................... 35 3.4 Organizational Archetypes and Tracks ........................................................................... 38 3.4.1 Summary .....................................................................................................................43 3.5 Towards a New Model of Organizational Change .......................................................... .43 Chapter Four Cases of Archetype Inertia ................................................................................. .45 4.1 Introduction .....................................................................................................................45 4.2 Buller Electricity Limited (BEL) ...................................................................................... .46 4.3 Overview .........................................................................................................................46 4.4 The Electricity Archetype in BEL.. ...................................................................................46 4.4.1 Organization Ownership and Strategy ............ , ....................................................... .46 4.4.2 Organization Structure .............................................................................................48 4.4.3 Organization Culture ................................................................................................48 4.4.4 Summary .................................................................................................................50 4.5 Organizational Change in the BEPB ...............................................................................50 4.5.1 The Reactive Change Process .................................................................................53 4.5.2 Strategic, Structural and Cultural Organizational Change ........................................ 55 4.5.3 Strategic Change .....................................................................................................55 4.5.4 Structural Change ...................................................................................................57 4.5.5 Cultural Change ......................................................................................................58 4.5.6 Attributes of BEL's Change Process ........................................................................ 60 4.6 Electricity Ashburton Limited (EAL) ...............................................................................66 4.7 Overview .........................................................................................................................66 4.8 The Electricity Archetype in AEPB .................................................................................. 66 4.8.1 Organization Strategy, Structure and Culture .......................................................... 67 4.8.2 Summary .................................................................................................................69 4.9 Organizational Change in the AEPB ...............................................................................69 4.9.1 Pre-Legislation Change ........................................................................................... 69 4.9.2 The Reactive Change Process ................................................................................73 4.9.3 Strategic Change .....................................................................................................75 4.9.4 Structural Change ...................................................................................................77 4.9.5 Cultural Change ......................................................................................................82 4.9.6 Attributes of EAL's Change Process ........................................................................ 84 4.10 Mainpower New Zealand Limited (MPL) ...................................................................... 88 4.11 Overview .......................................................................................................................88 4.12 The Electricity Archetype in NCEPB .............................................................................88 4.12.1 Organization Ownership, Strategy, Structure ......................................................... 88 4.12.2 Organization Culture .............................................................................................
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