Lead change with why and a shared sense of urgency

JWI 555 Organizational Change & Culture, week3 summary, 4/28/13

What an outstanding week of learning this was ! I know how a hummingbird would feel when it senses its wings and feels its ability to flap them at astonishing speeds. There is lift off. And so does my spirit of leadership.

The intellectual guns were blazing in the war against complacency in organizations. We learned how to use the power of emotions in starting with why, communicating a sense of urgency and using stretch goals to drive higher performance in organizations - to reach higher than what the team thought was possible.

The blue print for a movement from Derek Sivers made us comfortable with being in "lone nut" mode when we find ourselves there from time to time.

I am using these principles daily and am finding them at a time when I need them most - in the middle of leadership role in technology development where change happens faster than in almost any other field and culture is THE defining factor in winning.

This continues to be an intense and highly challenging program. Jack Welch's video about commitment gave me the cheer I needed to keep going - much like a marathon runner would feel approaching the finish line exhausted and exhilarated at the same time.

Takeaways below
Dr DP

JWI 555 Organizational Change & Culture, week3 summary, 4/28/13
I. Jack & Suzy Welch "Making Change Happen"
****************************************
change initiative (seed) => expand => go after a new idea
Transformative efforts take 3-5-7 years
Change the culture of the company and make it Part of the system

Avoid Traps: Stay engaged - keep it new, and keep reinventing
(1) Don't launch an initiative with lot of fanfare & then 12 mo later launch a new one.
(2) Not putting best people on it sends wrong message
If something is important, note who is leading the change
Put best people, leaders in charge, convey to all that this matters
(3) Don't publicly promote people who don't embrace the initiative
Employees should know "This is a train worth getting on - Bam Bam ! & What's in it for me ?"


II. Simon Sinek "How Leaders Inspire Action"
************************************
Great leaders inspire action by starting with why
Why - what I believe is the emotional side
How & What are the logical side

III. Derek Sivers "How to Start a Movement"
*************************************
Lone nut - have the guts to stand out, stand alone and be ridiculed
First follower - embrace him as equal; it is not just about leader; it is about them; shift center of gravity from me to we
Second follower - 3 is a crowd; it is news; attracts public attention
Early adopters - new followers emulate the follower & not the leader; tipping point
Majority- won't stand out, don't want to be ridiculed but know they will be part of "in crowd" if they hurry now that risk is low

Leadership is over glorified
First follower transformed the lone nut into the leader
Have the guts to be the first one to find a lone nut and join in

IV. Demand Better Performance & Get Better Results (Schaffer, 1991) & JWI 555 W3L2
**********************************************************************
1. Make the business case - Start with an urgent problem.
**********************
2. Select the goal and specify the minimum expectation of results.
*****************************************************
Broad, far-reaching, or amorphous goals should be narrowed to one or two specific, measurable ones.
eg. each business unit should be ranked #1 or #2 in their markets
With stretch goals, challenge and help employees do something beyond what they thought they could do and also create urgency for change.
Avoid demotivating & dysfunctional stretch goals.

3. Communicate your expectations clearly and relentlessly
************************************************
(i) appeal to people's emotions, feelings, core values and not just the intellects
***************************************************************
start with why (limbic brain governs feelings & behaviors and has much greater impact on people's actions)
then how & what (neo cortex controls rational & analytical behavior) - ask for original ways to think about the problem, technological breakthrough
(ii) overcommunicate 10X
**********************
Use different types of media and forums
Repeat, Repeat, Repeat
Lead by example: your decisions should relect your stated priorities; every conversation should convey a sense of urgency

4. Monitor the project, but delegate responsibility.
*******************
5. Hold people accountable for achievements
*************************************
Assess, cultivate, manage and reward people against the clear goals using 20/70/10 Differentiation principle
Shower the top 20% of employees with bonuses, stock options, prasie, love, training, variety of rewards to pocketbooks and souls

6. Unleash more creative juices !
****************************
Use new stretch goals to shape and direct the evolution of an organization.
eg. for businesses that have reached #1 or #2 positions in industry, ask them to imagine their share in a new market is only 5-10%...ask them to describe the market
and say what they would do to increase market share.

***************
More insights from Schaffer:
(a) Focus on one or two vital goals - non negotiable expectations
Assess organization readiness
Select and define the goal
Specify minimum expectation of results (avoid far reaching amorphous goals)
Assign responsibility for results to individuals

(b) Ensure organization receives clear demands & expectations
- Communicate expectations clearly with responsible persons
- orally and in writing (goals, timetable, constraints)

(c) Anticipate pitfalls
subordinates may test demands by ignoring the boss or by saying "it can't be done"
when responsibility for results is not explicitly assigned, people delegate it up to boss.

(d) Monitor the project, delegate responsibility
Assess progress with work-planning discipline
Ensure management is wired in, tenaciously pushing project forward

(e) Expand results with step by step expansion strategy
Use Early success to extend the first goal and set additional goals
Expand and extend the process once success achieved on first set of demands
Repeat process on new goals or extensions of first and expand
provide reinforcement to shoot for more ambitious targets

(f) Check Outcomes
Multiply the results to the organization
Create a Results oriented environment
Achieve greater job satisfaction, mutual respect, better relationships

(f) Shift management style with org dynamics
Use sophisticated planning techniques, job redesign, closer line staff collaboration


IV. Week3, Lecture1
****************
Apollo13 Case Study
******************
During crisis change happened in a rapid, spontaneous, uninhibited way
Repurpose the lunar module
Makeshift system
New methods tested in real time

Crisis releases hidden potential - forces people to tap into hidden reserves of creativity, commitment, energy
Crisis forces everyone to see consequences of failure and measures of success
Waiting to act is not an option - results must be achieved quickly
Jump in to do whatever you can, regardless of formal position or title
Lots of experimentation, willingess to take good ideas from anyone on the team
Participants feel a great sense of team work - competing agendas and priorities suspended

Without a crisis, building urgency is a leader's first job.
A critical mass of key leaders & employees must share the sense of urgency.

Sources of complancency
************************
- Absence of major and visible crisis
- too many visible resources
- low overall performance standards
- Org structures that focus employees on narrow functional goals
- internal measurement systems that focus on wrong performance indexes
- lack of sufficient performance feedback from external sources
- kill the messenger of bad news, low candor, low confrontation culture
- human nature, with its capacity for denial, especially if people are already busy or stressed
- too much happy talk from sr management

Establish a shared sense of urgency
******************************
Build a business case for change
- use data to illuminate risks and opportunities
- bring the outside world in

Cornerstones of a case for change
*****************************
    A crisis of any kind;
    Negative trends in key performance indicators (e.g., sales, profits, membership, market share, new customers);
    Emergence of a new competitor or game-changing technology in your industry;
    Emergence of a new competitor or game-changing technology in an adjacent industry (think about the impact the iPod had on the music industry);
    Restructuring or consolidation in your industry or among your customers or suppliers;
    Big social or demographic shifts;
    Changes in popular culture or values;
    Emerging needs, markets, or skills in other countries; and
    Trends toward significant shortages or availability of key inputs or outputs.

IV. DQ1 - Sources of Complacency & driving urgency
******************************************
Consider either a work or social organization you are currently a part of and Identify one major change that needs to be made.
Check what level of urgency most people are currently feeling regarding the change and what are the major sources of complacency.

V. DQ2 - How to handle requests for change when approaching individuals
************************************************************
Start with why, appeal to emotions and logic. Follow the framework learned in class.