Twenty-nine members of a manufacturing organization were interviewed to learn how they identified, evaluated, and responded to what they perceived as significant changes in their organization. A grounded theory approach was used to analyze the interview transcripts. A model of the process of organizational change was constructed from emergent categories. It consisted of three time periods: anticipatory interval, event interval, and postevent interval. During the anticipatory interval, individuals scanned the environment to learn of future events. They discussed these events with others and evaluated them based on the following: (1) the probability that the event would affect them; (2) how much control they had over the event; (3) what they had to gain or lose because of the event; and (4) what resources they had to help cope with the event. Based on this anticipatory analysis, people engaged in actions to help them manage the stress created by the impending change and alter the course of the identified event. Twenty-four types of coping actions were identified. The length of the anticipatory and event intervals influenced the level of stress experienced. During the postevent interval, participants assessed effects of identified changes. Evaluations were based on four factors: (1) the effect the event had on participants' probability of being affected by future events; (2) amount of control participants had over future events; (3) what was actually gained and lost because of the change; and (4) perceived fairness of the event. (Appendixes include 76 references and the interview guide.) (Author/YLB)