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© OECD
AjointinitiativeoftheOECDandtheEuropeanUnion,
principallyfinancedbytheEU
Zagreb (Croatia) 22-23 May 2014
Elke Löffler, SIGMA Expert
Leadership and Management in
Different Organisational Cultures
© OECD
AjointinitiativeoftheOECDandtheEuropeanUnion,
principallyfinancedbytheEU
Leadership versus Management
2
Source: Based on Gabriel (1999, p. 139), in: Bovaird and Loeffler
(2009), Public Management and Governance, p. 266.
What leaders do What managers do
Focus on the future
Invent an image for the
future that is so persuasive
that we are willing to
commit our efforts, time and
resources to turn an image
into reality
Focus on the present
situation
Organise our current
resources so that we can
use them effectively
Have a keen eye for detail
Think of ways of stretching
resources further
Leaders shape the future. Managers deliver it.
© OECD
AjointinitiativeoftheOECDandtheEuropeanUnion,
principallyfinancedbytheEU
Group Work:
What is your definition of leadership?
3
1. Get together in small groups and explore what a good
leader means to you.
2. Do you think leadership is different from
management? Discuss!
3. Feedback to the plenary.
© OECD
AjointinitiativeoftheOECDandtheEuropeanUnion,
principallyfinancedbytheEU
Culture change for improving quality
Cultures can be strong or weak.
A ‘strong’ culture is not ‘good’ unless it means
‘adaptable, flexible, imaginative, innovative’.
Culture change is not convincing if its elements are
not widely agreed – and if top managers
themselves are not seen to live up to them.
Hazel Stutely
listed within the top 50
most influential NHS
clinical leaders in the UK.
Watch her interview
http://www.youtube.com/watch?v=7sC3bHEz5kg
© OECD
AjointinitiativeoftheOECDandtheEuropeanUnion,
principallyfinancedbytheEU
Stories
The
‘deep
culture’
Symbols
Rituals and
routines
Power
structures
Control
systems
Organisational
structures
Source: Gerry Johnson et al. (2008): Exploring corporate strategy:
text and cases (8th edition). Harlow: FT Prentice Hall.
The cultural web of an organisation
© OECD
AjointinitiativeoftheOECDandtheEuropeanUnion,
principallyfinancedbytheEU
Mapping the cultural changes required
From what is
To what is needed
Element What was What is needed
Core culture
or paradigm
Outward rather than inward looking.
Intellectually strong but focused on policy
“Large group of staff for whom no change
would be acceptable, whatever its rationale, so
that all changes have tended to be resented
and resisted”
Better communication
More team-working
Stories Senior staff put their own name on others’
work
Ability to write good policy papers more
important than social and personal
competencies
“I don’t like to single people out for praise -
don’t want others to think I’ve got favourites”
Scots against the English!
The new Permanent Secretary
is ‘street-wise’ - used to work in
DfID.
He is more approachable –
even in the lift!
One Management Board
member appointed from outside
because she clearly had better
people management skills than
inside candidates
Case Study: A cultural web for the Department for
International Development in the UK
Element What was What is needed
Symbols Different treatment of staff in
London, Scotland and overseas
DfID in Whitehall was “group of
old white men”
Improved treatment of in-country appointed staff
Work/life balance example of Permanent Secretary
Webcast to all staff by Permanent Secretary
Objectives of all top management circulated to all staff
Management Board minutes now published
Open plan offices
Rituals and
routines
Disputatious – the debate is
valued more than the outcome
Staff appraisal is now done very differently, to encourage more
development orientation
Power The Department used to feel it
was a minor player in the FCO
Staff now believe that DfID has significant power on world
stage and could wield more if it works better with governments
overseas.
Within UK, power is still seen to lie within the policy making
process rather than the managerial process – but to a lesser
extent than before.
Structure Very hierarchical, but also very
strongly departmentalist
There is now much more emphasis on teamworking, although
the London office is still seen as more hierarchical than
Scotland
Control Largely through hierarchical
orders to staff, with some
monitoring
Much more cascading down through the organisation of the
targets in the PSA and SDA
Source: Adapted from Tony Bovaird (2007): Triggering change through culture clash,
in: Kuno Schedler & Isabella Proeller (eds.), Organisational culture and the
outcomes of public management reform. London: Taylor and Francis, pp. 323-50.
Rituals &
routines
Stories
Symbols
Control system
Organisation
structure
Power structure
Top executive reality
Everyday reality
Different realities of organisational cultures
© OECD
AjointinitiativeoftheOECDandtheEuropeanUnion,
principallyfinancedbytheEU
Case study: The new competency framework in the
London Borough of Lambeth
1. Focuses on Citizens
This behaviour is about having a continual focus on the outcomes
that are delivered for local citizens and other stakeholders. It goes
beyond ‘wanting to do the right thing’ to genuinely engaging with
and listening to citizens, understanding their needs and helping
them make decisions about the services they want and need.
Fundamentally, having a focus on citizens means we view them as
an asset who can make a valuable contribution to the Borough.
Level 1: Responds appropriately to citizens
Level 2: Always asks “what does this mean for citizens?”
Level 3: Systematically engages with citizens on a regular
basis
Level 4: Systematically embeds a citizen focused culture
Source: http://www.lambeth.gov.uk/sites/default/files/ec-
lambeth-behaviours-cooperative-council.pdf
© OECD
AjointinitiativeoftheOECDandtheEuropeanUnion,
principallyfinancedbytheEU
Group exercise:
Barriers and obstacles to culture change
In your group, identify the THREE top barriers to quality
improvement resulting from the cultures in your
organisation and discuss how they might be overcome
(giving actual examples, where possible, of where this
has been achieved).
11

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Leadership in the public sector

  • 1. © OECD AjointinitiativeoftheOECDandtheEuropeanUnion, principallyfinancedbytheEU Zagreb (Croatia) 22-23 May 2014 Elke Löffler, SIGMA Expert Leadership and Management in Different Organisational Cultures
  • 2. © OECD AjointinitiativeoftheOECDandtheEuropeanUnion, principallyfinancedbytheEU Leadership versus Management 2 Source: Based on Gabriel (1999, p. 139), in: Bovaird and Loeffler (2009), Public Management and Governance, p. 266. What leaders do What managers do Focus on the future Invent an image for the future that is so persuasive that we are willing to commit our efforts, time and resources to turn an image into reality Focus on the present situation Organise our current resources so that we can use them effectively Have a keen eye for detail Think of ways of stretching resources further Leaders shape the future. Managers deliver it.
  • 3. © OECD AjointinitiativeoftheOECDandtheEuropeanUnion, principallyfinancedbytheEU Group Work: What is your definition of leadership? 3 1. Get together in small groups and explore what a good leader means to you. 2. Do you think leadership is different from management? Discuss! 3. Feedback to the plenary.
  • 4. © OECD AjointinitiativeoftheOECDandtheEuropeanUnion, principallyfinancedbytheEU Culture change for improving quality Cultures can be strong or weak. A ‘strong’ culture is not ‘good’ unless it means ‘adaptable, flexible, imaginative, innovative’. Culture change is not convincing if its elements are not widely agreed – and if top managers themselves are not seen to live up to them. Hazel Stutely listed within the top 50 most influential NHS clinical leaders in the UK. Watch her interview http://www.youtube.com/watch?v=7sC3bHEz5kg
  • 5. © OECD AjointinitiativeoftheOECDandtheEuropeanUnion, principallyfinancedbytheEU Stories The ‘deep culture’ Symbols Rituals and routines Power structures Control systems Organisational structures Source: Gerry Johnson et al. (2008): Exploring corporate strategy: text and cases (8th edition). Harlow: FT Prentice Hall. The cultural web of an organisation
  • 7. Element What was What is needed Core culture or paradigm Outward rather than inward looking. Intellectually strong but focused on policy “Large group of staff for whom no change would be acceptable, whatever its rationale, so that all changes have tended to be resented and resisted” Better communication More team-working Stories Senior staff put their own name on others’ work Ability to write good policy papers more important than social and personal competencies “I don’t like to single people out for praise - don’t want others to think I’ve got favourites” Scots against the English! The new Permanent Secretary is ‘street-wise’ - used to work in DfID. He is more approachable – even in the lift! One Management Board member appointed from outside because she clearly had better people management skills than inside candidates Case Study: A cultural web for the Department for International Development in the UK
  • 8. Element What was What is needed Symbols Different treatment of staff in London, Scotland and overseas DfID in Whitehall was “group of old white men” Improved treatment of in-country appointed staff Work/life balance example of Permanent Secretary Webcast to all staff by Permanent Secretary Objectives of all top management circulated to all staff Management Board minutes now published Open plan offices Rituals and routines Disputatious – the debate is valued more than the outcome Staff appraisal is now done very differently, to encourage more development orientation Power The Department used to feel it was a minor player in the FCO Staff now believe that DfID has significant power on world stage and could wield more if it works better with governments overseas. Within UK, power is still seen to lie within the policy making process rather than the managerial process – but to a lesser extent than before. Structure Very hierarchical, but also very strongly departmentalist There is now much more emphasis on teamworking, although the London office is still seen as more hierarchical than Scotland Control Largely through hierarchical orders to staff, with some monitoring Much more cascading down through the organisation of the targets in the PSA and SDA Source: Adapted from Tony Bovaird (2007): Triggering change through culture clash, in: Kuno Schedler & Isabella Proeller (eds.), Organisational culture and the outcomes of public management reform. London: Taylor and Francis, pp. 323-50.
  • 9. Rituals & routines Stories Symbols Control system Organisation structure Power structure Top executive reality Everyday reality Different realities of organisational cultures
  • 10. © OECD AjointinitiativeoftheOECDandtheEuropeanUnion, principallyfinancedbytheEU Case study: The new competency framework in the London Borough of Lambeth 1. Focuses on Citizens This behaviour is about having a continual focus on the outcomes that are delivered for local citizens and other stakeholders. It goes beyond ‘wanting to do the right thing’ to genuinely engaging with and listening to citizens, understanding their needs and helping them make decisions about the services they want and need. Fundamentally, having a focus on citizens means we view them as an asset who can make a valuable contribution to the Borough. Level 1: Responds appropriately to citizens Level 2: Always asks “what does this mean for citizens?” Level 3: Systematically engages with citizens on a regular basis Level 4: Systematically embeds a citizen focused culture Source: http://www.lambeth.gov.uk/sites/default/files/ec- lambeth-behaviours-cooperative-council.pdf
  • 11. © OECD AjointinitiativeoftheOECDandtheEuropeanUnion, principallyfinancedbytheEU Group exercise: Barriers and obstacles to culture change In your group, identify the THREE top barriers to quality improvement resulting from the cultures in your organisation and discuss how they might be overcome (giving actual examples, where possible, of where this has been achieved). 11