Looking for org development / change management workshop input?

1. ACCELERATE: A DUAL OPERATING SYSTEM by John P Kotter

HOW TO STAY

COMPETITIVE AMID

CONSTANT TURBULENCE

AND DISRUPTION?

? IDENTIFY IMPORTANT HAZARDS QUICKLY ENOUGH

FORMULATE CREATIVE STRATEGIES QUICKLY ENOUGH?

?

?

THWARTED BY THE

HIERARCHICAL STRUCTURE

AND ORGANISATIONAL

PROCESSES

LIMITS OF THE HIERARCHY:

POLITICAL: Managers need permission to take chances

CULTURAL: Fear of loss of power and stature / cling to old habits

STABILITY: Default to rules, specialised units and optimised processes

TRADITIONAL CHANGE TECHNIQUES* WORK IF:

• It is a well defined move from point A to B

• Change management supplements the system and hierarchy

• It can slide into the project management organisation

RISK WITH TRADITIONAL CHANGE TECHNIQUES - MORE CHANGE FASTER =

Confusion, resistance, fatigue and higher cost

* (diagnose, analyse, communicate and train)

A DUAL OPERATING SYSTEM IS RECOMMENDED:

‘A management-driven hierarchy working in concert with a strategy network’

1. ACCELERATE: A DUAL OPERATING SYSTEM by John P Kotter

THE 5 PRINCIPLES:

1. Many change agents, not just the usual few appointeesVolunteers – economically realistic; 10% managerial and employee population sufficient and realistic

2. A want-to and a get-to – not a have-to – mind setVoluntary energy permitted and wanting to work with others for a shared purpose

3. Head and heart, not just headMore than numbers: speak to a genuine desire for positive change - strategically smart with the purpose of a better future

4. Much more leadership, not just more managementVision, opportunity, agility, inspired action, and celebration – not project management, budget reviews, reporting relationships...

5. Two systems, one organisationVolunteers operate in the hierarchy and the network: a constant flow of information and activity flows between them• A network unencumbered by hierarchy and structure:

created by the C-suite and treated as legitimate part of the organisation (or the hierarchy will crush it)

• A hierarchy focused on operating and improving smaller efficiency with incremental routine change

THE 8 ACCELERATORS:

1. Create a sense of urgency around a single big opportunity

2. Build and maintain a guiding coalition

3. Formulate a strategic vision and develop change initiatives designed to capitalise on the big opportunity

4. Communicate the vision and the strategy to create buy-in and attract a growing volunteer army

5. Accelerate movement toward the vision and the opportunity by ensuring that the network removes barriers

6. Celebrate visible, significant short-term wins

7. Never let up. Keep learning from experience. Don’t declare victory too soon

8. Institutionalize strategic changes in the culture

2. WHAT SUCCESSFUL TRANSFORMATIONS SHARE by McKinsey&Company

BEST PRACTICE VALIDATED: Define the targets and structure the transformation clearly – majority of extremely successful

CLOSELY TIED TO SUCCESS:

Rigorous assessment of companies situation State of problems AND corporate [leadership] capabilities Identify the underlying mindsets that must change most

often used Break down the goals into specific and defined initiatives Robust risk management or project management office

• And then, staff entirely / very able to participate in change = ‘Extremely successful’

• Early engagement of employees at planning stageEXTREMELY SUCCESSFUL CHANGES ALSO SHOWED:

• Co-creation and collaboration: Planning completed by groups bigger than 50 [¼ v 6% unsuccessful]

70% SUCCESS RATE WHEN: LEADERS ENSURE FRONT LINE STAFF MEMBERS FEEL A SENSE OF OWNERSHIP 79% SUCCESS RATE WHEN BOTH

PRINCIPLES ARE USED71% SUCCESS RATE WHEN: FRONT LINE EMPLOYEES TAKE THE INITIATIVE TO DRIVE THE CHANGE

EXECUTION APPROACHES

• 5/8 from successful transformations ensured employees were engaged, often by leadership

• of those using small-scale initiatives to roll-out: 60% of extremely successful focused mostly on mind sets (v 12% unsuccessful)

LEADERSHIP AND CAPABILITY

• Short-term performance and long-term health achieved by 63% with impacted leadership capacity; only short-term performance impacted in absence of leadership focus

• Greater capacity for continual improvement attributed in equal share (61%) to staff gaining greater skills and the culture became more supportive to innovation and improvement

2. WHAT SUCCESSFUL TRANSFORMATIONS SHARE by McKinsey&Company

ACCENTUATE THE POSITIVE

• Transformations communicating solely on reasons for the change less likely to succeed than those celebrations success

• Focusing on positives early correlates strongly with success

LOOK-AHEAD FOR SUCCESSFUL TRANSFORMATION: The basics: clear stretching targets and structure Greater focus on mind sets = greater likelihood of success Leaders to prioritise efficient and scalable ways to engage employees

across the organisation

3. NEW ERA OF THINKING AND PRACTICE IN CHANGE AND TRANSFORMATION NHS1

Strong for years to comeBecoming more important The differences between the traditional

‘dominant’ v ‘emerging’ approaches to change:

A key leadership skill = building partnerships??• Authority v connections and the ability to

influence through networks• Change within v cross organisational / external

change• Data / logic-driven v appeal to personal values:

a move from ‘have to’ to ‘want to’• Energy creation from above v ignition from

passionate service users / front line networks• Traditional process-improvement v data / idea-

shared co-creation away from expert-led• Accountability through performance and

reward agreement v commitment to work together as a network toward a common goal

What is happening in the wider world of change?• Speed of change and disruption: low cost / effort

and efficient digital communication

• Increased complexity: deeper social engagement blurs personal and professional boundaries / exposes organisation problems

• Challenges to traditional approaches: eroding hierarchical structures – increased importance of networks

• Role of the organisation: less about organising work, more about focusing passion and purpose

Citing John Kotter and Garry Hamel suggest:

• Hierarchy alone isn’t a sufficient mechanism to drive transformational change

• Leaders have to learn through the hierarchy and the network to be effective

• People in organisations no longer change because they ‘have to’ rather they ‘want to’

• Leaders increasingly need to work with the ‘spirit of the volunteer’ to enable transformational change

And the way organisations relate to their customers? – a shift due to:• Rapid data and social sharing: from mass customer-segment to person-centred and individualised approaches• More opportunities for co-production and personalised relationship: leaders seeking connectivity with customers

1 NHS Whitepaper - New era of thinking and practice in change and transformation. Helen Bevan and Steve Fareham

2nd Pre-read hand-out summaries

[At part II case study]

1. Activate disruptors, heretics, radicals and mavericks• Not disruptive trouble-makers: Driven by their own conviction and values• Work ‘on the edge’ (outside of hierarchy): Challenge existing thinking / systems; often face a tough time• Leaders often struggle to support against the need to preserve order and avoid risk

4. Curate rather than create knowledgeImprovement Leaders spending more time curating than creating: Filtering, shaping and sharing more valuable than bench scienceKnowledge and know-how often left to go outdate v Personal Knowledge Mastery• Seek: Pull and have ‘pushed’ from trusted sources• Sense: Reflect, practice and plug into own mental model• Share: Test ideas and increase connections

2. Lead transformations ‘from the edge’Innovation rare from most senior leaders: limited time for out-of-the-box thinking preserves the status quoLeading from ‘the edge’: diverse teams outperform homogenous higher ability groups – more radical. faster change / better outcomes. The edge = • Physical locations: e.g. ‘Off-shoring’ – start at the edge and mainstream successes• Virtual networking: Facilitating int/external relationship building / knowledge exchange• As a change agent: A leader’s choice to influence through wider-world networks

3. Change your story, change your organisationDiagnostic v dialogic change?• Diagnostic: Diagnose the problem, top-down change management / hired help, work streams within

programme and accountability system• Dialogic: More on a change of mindset changing behaviour and what people do: bring diverse voices to

the table to ongoing conversations that lead to understanding and action

5. Build bridges to connect the disconnectedWeak tie strategy a better place to start a large scale improvement within cost and timeline?• Strong ties (cohesive group with similar background and beliefs who build trust quickly):

often relied on for change – risk reinforcing values of the group• Weak ties (bridging disparate unconnected groups not like us): different to us / unfamiliar

ideas; opportunity to quickly mobilise resources outside of the community to the cause• Role of social media: Increasing the range of weak tie relationships - less time ‘pushing’ and

more time ‘pulling’ change by connecting people?

Key questions and challenges in your organisation for each enabler – How to:1. Identify / engage radicals in the organisation; Create space,

support / recognition out of hierarchy; activate / engage without overburdening programme management / accountability infrastructure

2. Move change processes to the edge; Enable the edge to co-exist with and influence the mainstream organisation

3. Bring more / different voices to the transformation conversation; Combine the strengths of Dialogic and Diagnostic approaches

4. Increase ratio from creation to curation; encourage tacit knowledge sharing for better outcomes; practice PMK as a change leader for a new era?

5. A cohesive/ strong or bridging / weak tie network to suit your ambitions; potential to switch from running discrete changes to connecting the disconnected

THE 5 ENABLERS OF CHANGE





Looking for org development / change management workshop input?

Leadership & Management