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Leading Change Pp

  1. 1. Leading Change Pathfinder
  2. 2. Leading Change <ul><li>Harvard Business School professor, John Kotter, working with Dan Cohen of Deloitte Consulting, has developed the most frequently used model for leading organizational change </li></ul><ul><li>This model is based: </li></ul><ul><ul><li>An eight-step process </li></ul></ul><ul><ul><li>An emphasis on an emotional approach (vs. an analytical) approach to leading change </li></ul></ul>Kotter, J. & Cohen, D. (2002). The Heart of Change: Real-Life Stories of How People Change Their Organizations. Boston: Harvard Business School Press. (ISBN: 1-57851-254-9)
  3. 3. The Challenge of Change <ul><li>“ When written in Chinese the word crisis is composed of two characters. One represents danger, and the other represents opportunity.” </li></ul><ul><li>- John F. Kennedy </li></ul>Source: http://www.ouricebergismelting.com/html/quotes.html#top
  4. 4. Human Reactions to Change <ul><li>Kotter & Cohen have identified that individuals fall into one of two “camps” regarding change: </li></ul><ul><ul><li>Change Agents </li></ul></ul><ul><ul><li>Change Resisters </li></ul></ul><ul><ul><ul><li>Anger </li></ul></ul></ul><ul><ul><ul><li>Complacency </li></ul></ul></ul><ul><ul><ul><li>Fear </li></ul></ul></ul>Kotter, J. & Cohen, D. (2002). The Heart of Change: Real-Life Stories of How People Change Their Organizations. Boston: Harvard Business School Press. (ISBN: 1-57851-254-9)
  5. 5. Drivers of Change <ul><li>Advancing Technology </li></ul><ul><ul><li>How does technology drive change? </li></ul></ul><ul><li>Increasing Globalization </li></ul><ul><ul><li>How does globalization drive change? </li></ul></ul><ul><li>Increasing Customer Expectations </li></ul><ul><ul><li>How do customer expectations drive change? </li></ul></ul>[Source: Jackson, S. & Schuler, R. (2006). Managing Human Resources Through Strategic Partnerships. Mason, Ohio: Thomson Higher Education. (ISBN: 0-324-28991-X)]
  6. 6. Types of Organizational Change <ul><li>Degree of Change </li></ul><ul><ul><li>Radical Change </li></ul></ul><ul><ul><li>Incremental Change </li></ul></ul><ul><li>Timing of Change </li></ul><ul><ul><li>Reactive Change </li></ul></ul><ul><ul><li>Anticipatory Change </li></ul></ul>[Source: Jackson, S. & Schuler, R. (2006). Managing Human Resources Through Strategic Partnerships. Mason, Ohio: Thomson Higher Education. (ISBN: 0-324-28991-X)]
  7. 7. Kotter & Cohen’s Change Model <ul><li>HBS’ John Kotter & Deloitte Consulting’s Dan Cohen have to develop our change model: </li></ul><ul><ul><li>Set The Stage: </li></ul></ul><ul><ul><ul><li>Increase Urgency </li></ul></ul></ul><ul><ul><ul><li>Build The Guiding Team </li></ul></ul></ul><ul><ul><li>Decide What To Do: </li></ul></ul><ul><ul><ul><li>Get The Vision Right </li></ul></ul></ul><ul><ul><li>Make It Happen: </li></ul></ul><ul><ul><ul><li>Communicate For Buy-In </li></ul></ul></ul><ul><ul><ul><li>Empower Action </li></ul></ul></ul><ul><ul><ul><li>Create Short-Term Wins </li></ul></ul></ul><ul><ul><ul><li>Don’t Let Up </li></ul></ul></ul><ul><ul><li>Make It Stick: </li></ul></ul><ul><ul><ul><li>Make Change Stick (Create A New Organizational Culture) </li></ul></ul></ul>Kotter, J. & Cohen, D. (2002). The Heart of Change: Real-Life Stories of How People Change Their Organizations. Boston: Harvard Business School Press. (ISBN: 1-57851-254-9)
  8. 8. Leading Change: Logic vs. Emotion <ul><li>Kotter & Cohen assert that humans process change in one of two ways: </li></ul><ul><ul><li>Logic </li></ul></ul><ul><ul><ul><li>Analysis </li></ul></ul></ul><ul><ul><ul><li>Think </li></ul></ul></ul><ul><ul><ul><li>Change </li></ul></ul></ul><ul><ul><li>Emotion </li></ul></ul><ul><ul><ul><li>See </li></ul></ul></ul><ul><ul><ul><li>Feel </li></ul></ul></ul><ul><ul><ul><li>Change </li></ul></ul></ul>
  9. 9. <ul><li>Step 1: Increased Urgency </li></ul>
  10. 10. Urgency Quote <ul><li>“ If the rate of change on the outside exceeds the rate of change on the inside, the end is near.” </li></ul><ul><li>- Jack Welch </li></ul>Source: http://www.ouricebergismelting.com/html/quotes.html#top
  11. 11. Most Important Message from Step 1 of The Heart of Change <ul><li>“ In successful change efforts, the first step is making sure sufficient people act with sufficient urgency” (Kotter & Cohen, page 15) : </li></ul><ul><ul><li>Get people “on their toes” seeking opportunities; behavior that energizes colleagues, and “beams” a sense of “let’s go” </li></ul></ul><ul><ul><li>Short-circuit behaviors that inhibit change: </li></ul></ul><ul><ul><ul><li>Complacency (driven by arrogance) </li></ul></ul></ul><ul><ul><ul><li>Fear (self-protection; leads to immobilization) </li></ul></ul></ul><ul><ul><ul><li>Anger (“you can’t make me do that”) </li></ul></ul></ul>
  12. 12. Creating The Sense of Urgency <ul><li>The goal of Step 1 is to “raise a feeling of urgency so that people say ‘let’s go’, making a change effort well positioned for launch” (Kotter & Cohen, page 36) . </li></ul><ul><li>What Works: </li></ul><ul><ul><li>Showing the need for change with a compelling object the can see, touch, feel </li></ul></ul><ul><ul><li>Showing people valid and dramatic evidence from outside the organization </li></ul></ul><ul><ul><li>Looking for cheap and easy ways to reduce complacency </li></ul></ul><ul><ul><li>Never underestimating how much complacency, fear and anger exists, even in good organizations </li></ul></ul>
  13. 13. <ul><li>Step 2: Build The Guiding Team </li></ul>
  14. 14. Build The Guiding Team Quote <ul><li>“ Coming together is a beginning; keeping together is progress; working together is success.” </li></ul><ul><li>- Henry Ford </li></ul>Source: http://www.ouricebergismelting.com/html/quotes.html#top
  15. 15. Most Important Message from Step 2 of The Heart of Change <ul><li>Personal characteristics of Guiding Team members: </li></ul><ul><ul><li>Position Power </li></ul></ul><ul><ul><li>Expertise </li></ul></ul><ul><ul><li>Credibility </li></ul></ul><ul><ul><li>Leadership </li></ul></ul><ul><li>Sponsoring Leaders & Guiding Team must demonstrate: </li></ul><ul><ul><li>Trust, teamwork, enthusiasm, commitment </li></ul></ul><ul><ul><li>And minimize frustration </li></ul></ul>
  16. 16. Building The Guiding Team <ul><li>“ When there is urgency, more people want to help provide leadership, even if there are personal risks.” (Kotter & Cohen, page 37) . </li></ul><ul><li>What Works: </li></ul><ul><ul><li>A team consisting of the right people </li></ul></ul><ul><ul><li>A team demonstrating teamwork </li></ul></ul>
  17. 17. <ul><li>Step 3: Get The Vision Right </li></ul>
  18. 18. Change Vision Quote <ul><li>“ The greatest danger for most of us is not that our aim is too high and we miss it, but that it is too low and we reach it.” </li></ul><ul><li>- Michelangelo </li></ul>Source: http://www.ouricebergismelting.com/html/quotes.html#top
  19. 19. Most Important Message from Step 3 of The Heart of Change <ul><li>When developing the change vision , Kotter & Cohen recommend that the Guiding Team answer these questions: </li></ul><ul><ul><li>What change is needed? </li></ul></ul><ul><ul><li>What is our vision of the new organization? </li></ul></ul><ul><ul><li>What should NOT be altered? </li></ul></ul><ul><ul><li>What is the best way to make the vision a reality? </li></ul></ul><ul><ul><li>How fast can/should we move? </li></ul></ul><ul><li>Goals in creating the change vision : </li></ul><ul><ul><li>Be as concrete as possible </li></ul></ul><ul><ul><li>The vision is simple and clear (“60 second speech”) </li></ul></ul><ul><ul><li>Make the vision action-oriented – BE BOLD! </li></ul></ul>
  20. 20. Characteristics of an Effective Vision <ul><li>An effective change vision moves the change process forward by being clear and easily understood. It should be: </li></ul><ul><ul><li>Futuristic </li></ul></ul><ul><ul><li>Compelling </li></ul></ul><ul><ul><li>Desirable </li></ul></ul><ul><ul><li>Realistic & Feasible </li></ul></ul><ul><ul><li>Clear & Focused </li></ul></ul><ul><ul><li>Flexible </li></ul></ul><ul><ul><li>Easy to Communicate </li></ul></ul>Source: Cohen, D. (2005). The Heart of Change Field Guide: Tools & Tactics for Leading Change in Your Organization . Boston: Harvard Business School Press. (ISBN: 1-59139-775-8)
  21. 21. Validate The Vision <ul><li>To gain as many points-of-view as possible, feedback should be sought from various stakeholders, including: </li></ul><ul><ul><li>Leaders who will need to commit to the change process </li></ul></ul><ul><ul><li>Customers, suppliers, and stockholders/shareholders </li></ul></ul><ul><ul><li>Management and employees from all parts of the organization who will have a role to play in making the vision happen </li></ul></ul><ul><ul><li>Independent experts who have a solid knowledge of the industry and business strategy </li></ul></ul>Source: Cohen, D. (2005). The Heart of Change Field Guide: Tools & Tactics for Leading Change in Your Organization . Boston: Harvard Business School Press. (ISBN: 1-59139-775-8)
  22. 22. The Fortune Magazine Exercise <ul><li>Write your organizational Fortune article: </li></ul><ul><ul><li>This is an exercise for each individual on the Guiding Team; then compare “articles” and consolidate the best from each </li></ul></ul><ul><ul><li>Project 5 years, and write the results of your change effort: </li></ul></ul><ul><ul><ul><li>How is the organization different? </li></ul></ul></ul><ul><ul><ul><li>What customers have to say about the company? </li></ul></ul></ul><ul><ul><ul><li>What employees are saying? </li></ul></ul></ul><ul><ul><ul><li>Performance on relevant indexes </li></ul></ul></ul><ul><ul><li>Be as concrete as possible </li></ul></ul><ul><ul><ul><li>Include fictitious quotes, numbers, new structure, product, service descriptions </li></ul></ul></ul>
  23. 23. <ul><li>Step 4: Communicate For Buy-In </li></ul>
  24. 24. Change Communication Quote <ul><li>“ In the small matters trust the mind, in the large ones the heart.” </li></ul><ul><li>- Sigmund Freud </li></ul>Source: http://www.ouricebergismelting.com/html/quotes.html#top
  25. 25. Most Important Message from Step 4 of The Heart of Change <ul><li>When sharing change communication , Kotter & Cohen recommend that the Guiding Team: </li></ul><ul><ul><li>Widely communicate the direction of change </li></ul></ul><ul><ul><li>Communicate for both understanding and gut-level buy-in </li></ul></ul><ul><li>Goals for communicating the change vision : </li></ul><ul><ul><li>“ To get as many people as possible acting to make the vision a reality” (Kotter & Cohen 83) </li></ul></ul>
  26. 26. Most Important Message (cont) <ul><li>What works: </li></ul><ul><ul><li>Keep your communications simple and focused on “see/feel/change” – emotions </li></ul></ul><ul><ul><li>Know how people are feeling about the change effort, and adapt communications accordingly </li></ul></ul><ul><ul><li>Address anxieties, confusion, fear, anger, and distrust </li></ul></ul><ul><ul><li>Keep communication channels “clean” </li></ul></ul><ul><ul><li>Use all means of communication </li></ul></ul>
  27. 27. Communicating for Buy-In <ul><li>Helping individuals progress from total lack of awareness of the problem to understanding and committing to the vision, includes the following key activities: </li></ul><ul><ul><li>Initially Communicating The Vision </li></ul></ul><ul><ul><li>Engaging in Continuous Dialogue with the Stakeholders </li></ul></ul><ul><ul><li>Enrolling Stakeholders in the Change Effort </li></ul></ul>Source: Cohen, D. (2005). The Heart of Change Field Guide: Tools & Tactics for Leading Change in Your Organization . Boston: Harvard Business School Press. (ISBN: 1-59139-775-8)
  28. 28. Is Your Message Understood? <ul><li>It is important to assess how well those around you understand, and have bought into the change vision and strategy </li></ul><ul><li>Ask a “safe” sampling of employees </li></ul><ul><ul><li>What is your understanding of the change vision and strategies? </li></ul></ul><ul><ul><li>Are they sensible? </li></ul></ul><ul><ul><li>Do they seem compelling? </li></ul></ul><ul><ul><li>Do you want to help? </li></ul></ul><ul><li>Debrief the answers and take action </li></ul>
  29. 29. Effective Change Communication <ul><li>You know effective communication is taking place when you observe the following: </li></ul><ul><ul><li>Managers can concisely express the vision in their own words </li></ul></ul><ul><ul><li>Managers can articulate what the change means for their unit or group </li></ul></ul><ul><ul><li>There are discussions about the vision, the goals, and the strategy in routine management meetings, and in formal and informal gatherings </li></ul></ul><ul><ul><li>The vision works its way into everyday memos, presentations, and company communications to stakeholders </li></ul></ul><ul><ul><li>More questions about the change initiative are addressed to the managers, leaders, guiding teams, and other participants in the change process </li></ul></ul><ul><ul><li>Terms used in the vision start to become part of the language used throughout the organization </li></ul></ul>Source: Cohen, D. (2005). The Heart of Change Field Guide: Tools & Tactics for Leading Change in Your Organization . Boston: Harvard Business School Press. (ISBN: 1-59139-775-8)
  30. 30. Other Indications of Effective Communication <ul><li>Employees are “getting the message” when you see: </li></ul><ul><ul><li>More excitement, energy, and focus to tackle problems because employees have clear guidance and goals </li></ul></ul><ul><ul><li>More individuals come forward voluntarily to offer their assistance and support </li></ul></ul><ul><ul><li>Decisions are made that break from past ways of thinking and acting, and are consistent with the new vision </li></ul></ul><ul><ul><li>Employees express dissatisfaction about the current work environment </li></ul></ul><ul><ul><li>Employees spontaneously attempt to persuade co-worker “resisters” regarding the merits of the change effort </li></ul></ul>Source: Cohen, D. (2005). The Heart of Change Field Guide: Tools & Tactics for Leading Change in Your Organization . Boston: Harvard Business School Press. (ISBN: 1-59139-775-8)
  31. 31. <ul><li>Step 5: Empower Action </li></ul>
  32. 32. Empower Action Quote <ul><li>“ If it's a good idea, go ahead and do it. It is much easier to apologize than it is to get permission.” </li></ul><ul><li>- Admiral Grace Hopper </li></ul>Source: http://www.ouricebergismelting.com/html/quotes.html#top
  33. 33. Most Important Message from Step 5 of The Heart of Change <ul><li>When people begin to understand and act on the change vision, leadership must: </li></ul><ul><ul><li>Remove barriers in their path </li></ul></ul><ul><ul><li>Provide encouragement and resources </li></ul></ul><ul><ul><li>Remove elements and resistors to change </li></ul></ul><ul><li>Goals for empowering action : </li></ul><ul><ul><li>“ Deal effectively with obstacles that block action, especially dis-empowering bosses, lack of information, the wrong performance measurement and reward systems, and lack of self-confidence.” (Kotter & Cohen 123) </li></ul></ul>
  34. 34. Most Important Message (cont) <ul><li>What works: </li></ul><ul><ul><li>Find individuals with change experience who can bolster people’s self-confidence with we-won-you-can-too anecdotes </li></ul></ul><ul><ul><li>Provide recognition and reward systems that inspire, promote optimism, and build self-confidence </li></ul></ul><ul><ul><li>Provide feedback that can help people make better vision-related decisions </li></ul></ul><ul><ul><li>“ Retooling” disempowering managers by giving them new jobs that clearly show the need for change </li></ul></ul>
  35. 35. <ul><li>Step 6: Create Short-Term Wins </li></ul>
  36. 36. Short-Term Wins Quote <ul><li>“ Celebrate what you want to see more of.” </li></ul><ul><li>- Tom Peters </li></ul>Source: http://www.ouricebergismelting.com/html/quotes.html#top
  37. 37. Most Important Message from Step 6 of The Heart of Change <ul><li>In successful change initiatives, empowered people create short-term wins: </li></ul><ul><ul><li>Victories that nourish faith in the change effort </li></ul></ul><ul><ul><li>Victories that emotionally reward the hard workers </li></ul></ul><ul><ul><li>Victories that keep the critics at bay </li></ul></ul><ul><ul><li>Victories that build momentum </li></ul></ul><ul><li>Short-Term Wins are: </li></ul><ul><ul><li>“ visible, timely, unambiguous, and meaningful to others.” (Kotter & Cohen 125) </li></ul></ul>
  38. 38. Most Important Message (cont) <ul><li>What works: </li></ul><ul><ul><li>Early wins that come fast </li></ul></ul><ul><ul><li>Wins that are as visible as possible to as many people as possible </li></ul></ul><ul><ul><li>Wins that penetrate emotional defenses by being unambiguous </li></ul></ul><ul><ul><li>Wins that are meaningful to others – the more deeply meaningful the better </li></ul></ul><ul><ul><li>Early wins speak to powerful players whose support you need and do not yet have </li></ul></ul><ul><ul><li>Wins that can be achieved cheaply and easily, even if they seem small compared with the grand vision </li></ul></ul>
  39. 39. Benefits of Short-Term Wins <ul><li>Evidence that the plan for change is working </li></ul><ul><li>A test against real conditions and an opportunity to adjust the plan </li></ul><ul><li>Tangible results to keep leaders and stakeholders on-board as well as undermine resisters and silence the cynics </li></ul><ul><li>A chance to catch your breath and celebrate – to make a tough journey more tolerable </li></ul>
  40. 40. Four Step Approach to Short-Term Wins <ul><li>You get the most benefit out of short-term wins by taking the following four steps: </li></ul><ul><ul><li>Planning for visible improvement in performance </li></ul></ul><ul><ul><li>Achieving those wins </li></ul></ul><ul><ul><li>Communicating the wins visibly and convincingly </li></ul></ul><ul><ul><li>Embedding the learning into the plan going forward </li></ul></ul>
  41. 41. Cool Short-Term Win Exercise <ul><li>ID projects or tasks that are part of your change effort that could produce short-term wins </li></ul><ul><li>For each project or task assess the following </li></ul><ul><ul><li>When could you realistically get this done? </li></ul></ul><ul><ul><li>How much effort and expense will it take? Grade it on a 1 to 10 scale (1 = almost no effort/expense, 10 = huge effort/expense) </li></ul></ul><ul><ul><li>How unambiguous will the win be? (1 to 10) </li></ul></ul><ul><ul><li>How visible will it be? (1 to 10) </li></ul></ul><ul><ul><li>Will this be viewed as a meaningful win? (1 to 10) </li></ul></ul><ul><ul><li>Who will see it as meaningful? (think stakeholders) </li></ul></ul><ul><li>Given these assessments, which projects or tasks should receive priority? Pick the top 5. </li></ul>
  42. 42. Monitoring The Short-Term Wins <ul><li>To successfully implement the projects or tasks designed to earn short-term wins, you must engage your leadership team to roll-out and monitor the projects/tasks: </li></ul><ul><ul><li>Conduct workshops to identify short-term wins </li></ul></ul><ul><ul><li>Build specific tasks and goals into the project plans and budgets </li></ul></ul><ul><ul><li>Give clear accountabilities for implementing the projects or tasks </li></ul></ul><ul><ul><li>Assign responsibilities within the Guiding Team for monitoring efforts </li></ul></ul><ul><ul><li>Ensure that measurement systems allow leaders to track key data and demonstrate improvements </li></ul></ul>
  43. 43. Communicating Short-Term Wins <ul><li>Immediately communicate short-term wins by: </li></ul><ul><ul><li>Key objectives: </li></ul></ul><ul><ul><ul><li>To gain credibility </li></ul></ul></ul><ul><ul><ul><li>To build support for the change effort </li></ul></ul></ul><ul><ul><ul><li>To demonstrate that progress is occuring </li></ul></ul></ul><ul><ul><li>Target audiences: </li></ul></ul><ul><ul><ul><li>Leaders who provide resources to the effort </li></ul></ul></ul><ul><ul><ul><li>People in the organization affected by the change </li></ul></ul></ul><ul><ul><ul><li>The skeptics, so they become believers </li></ul></ul></ul><ul><ul><ul><li>The supporters, so they become active participants </li></ul></ul></ul>
  44. 44. Communicating Short-Term Wins (cont) <ul><li>Immediately communicate short-term wins by (cont): </li></ul><ul><ul><li>Key message: </li></ul></ul><ul><ul><ul><li>Communicating enthusiasm and excitement about achievements and progress </li></ul></ul></ul><ul><ul><ul><li>Clarifying how the wins relate to the change effort </li></ul></ul></ul><ul><ul><ul><li>Demonstrating how the wins prove the validity of the vision </li></ul></ul></ul><ul><ul><ul><li>Communicating progress without giving the impression that the work is complete </li></ul></ul></ul><ul><ul><ul><li>Demonstrating unequivocal positive results that leave little room for doubt that progress is being made </li></ul></ul></ul><ul><ul><li>Effective mechanisms for delivery: </li></ul></ul><ul><ul><ul><li>A key sponsor for the change (CEO?) </li></ul></ul></ul><ul><ul><ul><li>A member of the Guiding Team </li></ul></ul></ul><ul><ul><ul><li>A former resister to the change </li></ul></ul></ul><ul><ul><ul><li>A satisfied or impressed customer </li></ul></ul></ul><ul><ul><ul><li>A system that provides reliable data </li></ul></ul></ul><ul><ul><ul><li>A trial test that can be seen </li></ul></ul></ul>
  45. 45. <ul><li>Step 7: Don’t Let Up </li></ul>
  46. 46. Don’t Let Up Quote <ul><li>“ Many of life's failures are people who did not realize how close they were to success when they gave up .” </li></ul><ul><li>- Thomas Edison </li></ul>Source: http://www.ouricebergismelting.com/html/quotes.html#top
  47. 47. Most Important Message from Step 7 of The Heart of Change <ul><li>After the first set of short-term wins, an organization will build on this momentum by: </li></ul><ul><ul><li>Keeping the sense of urgency up </li></ul></ul><ul><ul><li>A feeling of false pride down </li></ul></ul><ul><ul><li>By eliminating unnecessary, exhausting, and demoralizing work </li></ul></ul><ul><ul><li>By not declaring victory prematurely </li></ul></ul><ul><li>Don’t Let Up through actions that: </li></ul><ul><ul><li>“ Continue with wave after wave of change, not stopping until the vision is a reality, despite seemingly intractable problems.” (Kotter & Cohen 159) </li></ul></ul>
  48. 48. Most Important Message (cont) <ul><li>What helps: </li></ul><ul><ul><li>Aggressively ridding yourself of work that wears you down – tasks that were relevant in the past but not now, tasks that can be delegated </li></ul></ul><ul><ul><li>Looking constantly for ways to keep urgency up </li></ul></ul><ul><ul><li>Using new situations opportunistically to launch the next wave of change </li></ul></ul>
  49. 49. Don’t Let Up: Tackling Bigger Change Issues <ul><li>Processes: How should processes, work practices, procedures, and policies be changed to fit the vision? </li></ul><ul><li>Structure: What accountabilities need to be realigned with the new processes? </li></ul><ul><li>Technology: </li></ul><ul><ul><li>What information is needed to sustain the new business environment? </li></ul></ul><ul><ul><li>What technology is needed to enable the new processes? </li></ul></ul>
  50. 50. Start-Up to Guiding Change <ul><li>As your change effort moves from the “start-up” stage to multiple projects driving the change effort, the guiding team must: </li></ul><ul><ul><li>Keep decisions aligned with the change vision </li></ul></ul><ul><ul><li>Keep multiple initiatives coordinated </li></ul></ul><ul><ul><li>Manage conflicts and priorities </li></ul></ul><ul><ul><li>Measure results and adjust/realign efforts </li></ul></ul><ul><ul><li>Make timely decisions </li></ul></ul><ul><ul><li>Continue to remove barriers to progress </li></ul></ul>
  51. 51. Don’t Let Up: People-Related Issues <ul><li>Who should lead the changes and manage the projects at the lower levels? </li></ul><ul><li>How will you energize exhausted leaders? </li></ul><ul><li>Who can you bring in to help gain insight and support from key people resisting the change? </li></ul><ul><li>Which leaders need to be removed from the guiding team(s)? </li></ul>
  52. 52. Sustaining The Momentum <ul><li>Strategies for sustaining change momentum: </li></ul><ul><ul><li>Maintain the “sense of urgency” </li></ul></ul><ul><ul><li>Promote visibility of the change effort and its success </li></ul></ul><ul><ul><li>Show commitment and support for the change through actions </li></ul></ul><ul><ul><li>Ensure that those implementing the change remain in touch with the true purpose of the change </li></ul></ul><ul><ul><li>Build commitment by connecting to critical stakeholders </li></ul></ul><ul><ul><li>Ensure middle management support for the change </li></ul></ul><ul><ul><li>Listen closely to people throughout the organization </li></ul></ul><ul><ul><li>Conduct a feedback/assessment process on the effectiveness of the communication about the change </li></ul></ul><ul><ul><li>Arrange for members of the “guiding team” to experience the problems “down in the ranks” </li></ul></ul><ul><ul><li>Remain intensely involved in the change effort </li></ul></ul>
  53. 53. Signs of Success <ul><li>The following are indicators that your change is not letting up: </li></ul><ul><ul><li>Leaders are actively monitoring and measuring progress </li></ul></ul><ul><ul><li>New projects and initiatives are launched to make more changes to the organization’s processes, technology, and systems </li></ul></ul><ul><ul><li>Related systems and HR infrastructure continue to be adjusted to fit the vision as it unfolds </li></ul></ul><ul><ul><li>New change leaders emerge </li></ul></ul><ul><ul><li>Leaders of the organization still demonstrate passion </li></ul></ul><ul><ul><li>Performance feedback supports the change </li></ul></ul><ul><ul><li>Time and effort are directed to support managers and employees during the transition </li></ul></ul>
  54. 54. Warning Signs <ul><li>Symptoms that indicate the effort may be losing momentum: </li></ul><ul><ul><li>Planned changes are delayed </li></ul></ul><ul><ul><li>Issues identified and marked for action are ignored </li></ul></ul><ul><ul><li>Key leaders are unavailable for meetings or presentations </li></ul></ul><ul><ul><li>Recommendations are shelved </li></ul></ul><ul><ul><li>Decisions are recycled as people have second thoughts </li></ul></ul><ul><ul><li>Resources, once secured for the project, are committed to other priorities </li></ul></ul>
  55. 55. The Organizational Stress Level <ul><li>This is the stage where the brisk pace of change must be balanced with specific actions to help manage the organizational stress level. Strategies for managing stress: </li></ul><ul><ul><li>Check the pulse: Keep a finger on the level of stress in the organization </li></ul></ul><ul><ul><li>Clarify what will change and what will not change </li></ul></ul><ul><ul><li>Provide support mechanisms to cope with the change </li></ul></ul><ul><ul><li>Help employees and managers solve problems, and to recognize and manage stress. </li></ul></ul>
  56. 56. <ul><li>Step 8: Make It Stick </li></ul>
  57. 57. Make It Stick Quote <ul><li>“ The measure of success is not whether you have a tough problem to deal with, but whether it is the same problem you had last year.” </li></ul><ul><li>- John Foster Dulles </li></ul>Source: http://www.ouricebergismelting.com/html/quotes.html#top
  58. 58. Most Important Message from Step 8 of The Heart of Change <ul><li>Change can be fragile: </li></ul><ul><ul><li>Organizational culture is a complex “thing” </li></ul></ul><ul><ul><li>The long-standing behavioral norms and shared values of the “old way of doing things” are very difficult to eradicate </li></ul></ul><ul><ul><li>It is (often, subconsciously) a set of common feelings about what is of value and how organization members should act </li></ul></ul><ul><li>Don’t Let Up cautionary insight: </li></ul><ul><ul><li>“ Tradition is a powerful force. Leaps into the future can slide back into the past.” (Kotter & Cohen 161) </li></ul></ul>
  59. 59. Most Important Message (cont) <ul><li>What helps: </li></ul><ul><ul><li>Not stopping at Step 7 (“Don’t Let Up”), the initiative is not over until the changes have “roots” </li></ul></ul><ul><ul><li>Use new employee orientations to compellingly show recruits what the organization really cares about </li></ul></ul><ul><ul><li>Promote people who act according to the new norms into influential and visible positions </li></ul></ul><ul><ul><li>Tell vivid, compelling stories over and over again about the new organization, and why it succeeds </li></ul></ul><ul><ul><li>Make absolutely sure you have the continuity of behavior and results that help a new culture grow </li></ul></ul>
  60. 60. Making It Stick: Anchors <ul><li>During the “Make It Stick” step, change is often held in place by: </li></ul><ul><ul><li>The Guiding Team </li></ul></ul><ul><ul><li>A senior leader passionate about the change </li></ul></ul><ul><ul><li>A compensation system </li></ul></ul><ul><ul><li>The new organizational structure </li></ul></ul><ul><ul><li>Initial enthusiasm over the results created by the change </li></ul></ul><ul><ul><li>Leaders consistently holding staff accountable </li></ul></ul>
  61. 61. Making It Stick: Approach <ul><li>During the “Make It Stick” step, several key elements help new behaviors “stick”: </li></ul><ul><ul><li>Achieving tangible results as quickly as possible </li></ul></ul><ul><ul><li>Showing how the change is working, and why the old ways won’t work. </li></ul></ul><ul><ul><li>Measuring and supporting the sustained performance </li></ul></ul><ul><ul><li>Ensuring that leadership will support and model the new behaviors </li></ul></ul><ul><ul><li>Initiating necessary turnover </li></ul></ul>
  62. 62. New Employee Orientation <ul><li>New, enthusiastic employees offer a great opportunity to enlist new disciples to the change initiative </li></ul><ul><ul><li>These new, enthusiastic and capable (they better be, you just hired them!) professionals are not attached to the old culture, norms, behaviors, or ways of doing things </li></ul></ul><ul><ul><li>These new employees can quickly become contributors to the new culture </li></ul></ul><ul><ul><li>And, new employees may be replacing resisters to the change process </li></ul></ul>
  63. 63. Promote Change Supporters <ul><li>Bottom-Line: Promote those people who truly reflect the new norms </li></ul><ul><ul><li>This makes these supporters more influential </li></ul></ul><ul><ul><li>Their enhanced role in the organization will help to strengthen the new norms </li></ul></ul><ul><li>This sends a clear message of accountability to the organization </li></ul><ul><li>As these change supporters assume more responsibility, the new culture becomes more solid and stable </li></ul>
  64. 64. Other Operational Activities <ul><li>During the “Make It Stick” step, there are other key operational activities that can help behaviors “stick”: </li></ul><ul><ul><li>Management Systems: Goals, performance, information systems </li></ul></ul><ul><ul><li>Organizational Infrastructure: Recruiting and hiring, training and development, performance appraisals, rewards and recognition, career development and promotion, communication process </li></ul></ul><ul><ul><li>Informal Practices: Coaching and mentoring, social gatherings, informal recognition </li></ul></ul>
  65. 65. The Power of Emotion <ul><li>Throughout The Heart of Change , we have addressed the power of the “see/feel/change” method </li></ul><ul><li>To “Make It Stick”, engaging employees feel the benefits of the change initiative will expedite buy-in and sustained momentum </li></ul><ul><ul><li>Help employees see the benefits of the change </li></ul></ul><ul><ul><li>Help employees feel the power of the new culture </li></ul></ul><ul><ul><li>Help employees feel good about being a productive and positive part of the change </li></ul></ul>
  66. 66. Making It Stick: Communication <ul><li>During the “Make It Stick” step, communication plays a key role: </li></ul><ul><ul><li>Broadly publicize the results and benefits of the change </li></ul></ul><ul><ul><li>Recognize and celebrate achievements and personal contributions </li></ul></ul><ul><ul><li>Link organizational successes to the change initiative </li></ul></ul><ul><ul><li>Acknowledge how the old culture served the company but is no longer appropriate </li></ul></ul><ul><ul><li>Educate employees on how the new values serve as the foundation for continued success </li></ul></ul><ul><ul><li>Promote role models that embody the new behaviors and values </li></ul></ul><ul><ul><li>Reinforce the need to continuously change, and where to focus effort </li></ul></ul><ul><ul><li>Maintain dialogue among leaders and employees regarding challenges arising in the new culture </li></ul></ul>
  67. 67. Change Culture Last <ul><li>Many organizations will attempt to change the organizational culture first: </li></ul><ul><ul><li>Logic might lead us to believe that changing the culture should be the first step of a change initiative </li></ul></ul><ul><ul><li>With a culture changed, the vision can be more readily implemented </li></ul></ul><ul><li>However, culture truly changes only when a new way of operating has been shown to succeed over a period of time </li></ul><ul><ul><li>Norms and values (culture) will take time to genuinely shift </li></ul></ul><ul><ul><li>Behavior must consistently align with the change before a new culture develops </li></ul></ul>
  68. 68. References <ul><li>Kotter, J. (1996). Leading Change. Boston: Harvard Business School Publishing (ISBN: 0-87584-747-1)  </li></ul><ul><li>Kotter, J. & Cohen, D. (2002). The Heart of Change: Real-Life Stories of How People Change Their Organizations. Boston: Harvard Business School Press. (ISBN: 1-57851-254-9) </li></ul><ul><li>Cohen, D. (2005). The Heart of Change Field Guide: Tools & Tactics for Leading Change in Your Organization . Boston: Harvard Business School Press. (ISBN: 1-59139-775-8) </li></ul><ul><li>Kotter, J. & Rathgeber, H. (2005) Our Iceberg Is Melting . New York: St. Martin’s Press. (ISBN: 0-312-36198-X) </li></ul><ul><li>Kotter, J. (2008) A Sense of Urgency . Boston: Harvard Business School Publishing. (ISBN: 978-1-4221-7971-0) </li></ul><ul><li>Lencioni, P. (2002).  The Five Dysfunctions of a Team:  A Leadership Fable .  San Francisco:  Jossey-Bass.  (ISBN:  0-7879-6075-6)   </li></ul><ul><li>Lencioni, P. (2005).  Overcoming The Five Dysfunctions of a Team:  A Field Guide for Leaders, Managers, and Facilitators .  San Francisco:  Jossey-Bass.  (ISBN:  0-7879-7637-7) </li></ul>