Mayta Braun 2011

1. Change means growth 8 steps for leading change Mayta Braun 2011

2. Guests / clients will never accept powered by Guests / clients will never accept powered by Change…people don’t like it A company changes, if individuals change It went fine without… we don’t need it We should have permission of… but I’m sure he will refuse We are not ready yet, this is not the right time We haven’t got enough staff For the othersperhaps, butnotforus That is neverdonebefore Our customers will never accept this… The risks are too high We are betterthan out competitors

3. Focus…

4. Common mistakes why change fails • Overestimating how successfully they are. • Lack of credibility by the committee that needs to drive the change. • Underestimating the impact of a vision. • Undercommunicating the vision by at least a factor of 10. • Forgetting to generate short-term wins. • Celebrating too soon. • Fail to reinforce the changes into the organization.

5. A melting iceberg…

6. Change… make it work Avoid failure and become adept at change • The 8 Step Process of change • Acting With Urgency. • Developing the Guiding Coalition. • Developing a Change Vision. • Communicating the Vision Buy-in. • Empowering Broad-based Action. • Generating Short-term Wins. • Don't Let Up.  • Make Change Stick.  • …en…

7. Step 1: Create a Sense of UrgencyHelping others see the need for change and the importance of acting immediately

8. Step 1: Create a Sense of UrgencyHelping others see the need for change and the importance of acting immediately • Establishing a sense of urgency is necessary to gaining the cooperation necessary to drive a significant change effort. Most companies ignore this step. • Leaders who understand the importance of a sense of urgency are good at taking the pulse of their company and differentiating between complacency, false urgency and true urgency. • The approach most likely to fail is the one that is purely intellectual, based on a solid business case that has a theoretically "compelling" rationale.

9. Step 1: Create a Sense of UrgencyHelping others see the need for change and the importance of acting immediately • Leaders who know what they are doing will "Aim for the Heart.“ They will connect to the deepest values of their people and inspire them to greatness. • Tactics that can make this happen include: • Bringing the Outside In. • Behaving with Urgency Every Day. • Finding Opportunity in Crisis. • Dealing with NoNos.

11. Step 2: Creating the Guiding Coalition Putting together a group with enough power to lead the change • The Low Credibility Committee • Too often companies that start a change initiative create a low credibility committee to drive the change.  When this happens, things limp along until the initiative falls apart. • These efforts are doomed from the start and, as a result, the company’s competitive position gets a little weaker and the industry leader get a little further ahead. 

12. Step 2: Creating the Guiding Coalition Putting together a group with enough power to lead the change • The Four Qualities of an Effective Guiding Coalition • In putting together a Guiding Coalition, the team as a whole should reflect: • Position Power:  Enough key players on board so that those left out cannot block progress. • Expertise:  All relevant points of view should be represented so that informed intelligent decisions can be made. • Credibility:  The group should be seen and respected by those in the firm so that the group’s pronouncements will be taken seriously by other employees. • Leadership:  The group should have enough proven leaders to be able to drive the change process.

13. Step 2: Creating the Guiding Coalition Putting together a group with enough power to lead the change • An Effective Guiding Coalition • The Guiding Coalition should be comprised of both managers and leaders • who work together as a team.  The managers keep the process under control • while the leaders drive the change. • Futhermore it is essential that the team develop a level of trust in one • another. Team members should make connections between both hearts and • minds.  

14. Step 3: Developing a Change Vision Clarify how the future will be different from the past • “I have a dream…” • Martin Luther King

15. Step 3: Developing a Change Vision Clarify how the future will be different from the past Our vision of the future "Connecting people" is now connecting people to what matters - whatever that means for each person - giving them the power to make the most of every moment, everywhere, any time. Connecting the "we" is more powerful than just the individual. That's how Nokia is needed to help make the world a better place for everyone.

16. Step 3: Developing a Change Vision Clarify how the future will be different from the past • A vision…why? A clear vision serves three important purposes.  • It simplifies hundreds or thousands of more detailed decisions.  • It motivates people to take action in the right direction even if the first steps are painful.  • It helps to coordinate the actions of different people in a remarkably fast and efficient way.  

17. Step 3: Developing a Change Vision Clarify how the future will be different from the past • An effective visions have six key characteristics: • Imaginable: They convey a clear picture of what the future will look like. • Desirable: They appeal to the long-term interest of employees, customers, shareholders and others who have a stake in the enterprise. • Feasible: They contain realistic and attainable goals. • Focused: They are clear enough to provide guidance in decision making. • Flexible: They allow individual initiative and alternative responses in light of changing conditions. • Communicable: They are easy to communicate and can be explained quickly.

18. Step 3: Developing a Change Vision Clarify how the future will be different from the past • You can compose a vision on: • Your department as an organization. • Your core-business (products and services). • Your employees. • Your customers. • Your competitors. • Your marketing. • Your contribution to the communities you serve.

19. Step 3: Developing a Change Vision Clarify how the future will be different from the past • If you can’t describe your vision in five minutes (or less) to someone and • can arouse his interest, then you are not finished with this step

20. Step 4: Communicating the Vision for Buy-inEnsuring that as many people as possible understand and accept the vision • Which one? • Version 1: Our goal is to reduce our mean time to repair parameters so that • they are perceptually lower than all major competitors inside the United • States and out. In a similar vein, we have targeted new product development • cycle times, order process times, and other customer-relevant processes for • change. • Version 2: We are going to become faster than anyone in our industry at • satisfying customer needs.

21. Step 4: Communicating the Vision for Buy-inEnsuring that as many people as possible understand and accept the vision • Gaining an understanding and commitment to a new direction is never an easy • task, especially in complex organizations. Undercommunication and • inconsistency are rampant. Both create stalled transformations. • To be effective, the vision must be communicated in hour-by-hour activities. • The vision will be referred to in emails, in meetings, in presentations – it will • be communicated anywhere and everywhere. 

22. Step 4: Communicating the Vision for Buy-inEnsuring that as many people as possible understand and accept the vision • In communicating the vision for the transformation, there are some things to • keep in mind. The vision should be: • Simple: No techno babble or jargon. • Vivid: A verbal picture is worth a thousand words – use metaphor, analogy and example. • Repeatable: Ideas should be able to spread by anyone to anyone. • Invitational: Two-way communication is always more powerful than one-way communication. • Even more important than what is said is what is done. Leaders who transform • their organizations “walk the talk.”

23. Step 5: Empowering People and Removing BarriersRemove as many barriers as possible and unleash people to do their best work

24. Step 5: Empowering People and Removing BarriersRemove as many barriers as possible and unleash people to do their best work • Empowerment…a definition • Management practice of sharing information, rewards, and power with • employees so that they can take initiative and make decisions to solve • problems and improve service and performance. It is based concept of giving • employees the skills, resources, authority, opportunity, motivation, as well • holding them responsible and accountable for outcomes of their actions. • Empowering employees involves addressing four major obstacles: structures, • skills, systems and supervisors. 

25. Step 5: Empowering People and Removing BarriersRemove as many barriers as possible and unleash people to do their best work Formal structures make it hard to act Supervisors discourage actions aimed at implementing the new vision. Employees embrace the vision and want to achieve the vision but they can’t. Lack of required skills undermines action Management Information Systems form a barrier.

26. Step 5: Empowering People and Removing BarriersRemove as many barriers as possible and unleash people to do their best work • Why you need to delegate? • You have your own priorities. • You motivate others. • You train yourself: bigger responsibilities. • Self-satisfaction because of developing others.

27. For companies For employees • Increase of motivation. • Problems are solved. • Challenges are accepted. • Innovation. • The improvement becomes. continuous • Better results. • People become pro-active • They become more confident • They get a larger self-esteem • They become more involved • Enabling themselves to grow, looking for personal development Step 5: Empowering People and Removing BarriersRemove as many barriers as possible and unleash people to do their best work

28. Step 6: Generating Short-term wins Create some visible, unambiguous success as soon as possible

29. Step 6: Generating Short-term wins Create some visible, unambiguous success as soon as possible • Within 6-18 months • The Guiding Coalition becomes a critical force in identifying significant • improvements than can happen between 6 and 18 months. • Getting these wins helps ensure the overall change initiative’s success.  • Realizing these improvements is a challenge.  In any change initiative, • agendas get delayed, there is a desire to ensure that customers are not • affected, political forces are at work – all of which slow the ability to • perform as promised.  However, short-term wins are essential.

30. Step 6: Generating Short-term wins Create some visible, unambiguous success as soon as possible • Short-term wins: • Must be visible. • It is unambiguous. • And it must also be clearly related to the change effort.

31. Step 6: Generating Short-term wins Create some visible, unambiguous success as soon as possible • Short-term wins are crucial: • Providing evidence that the sacrifices that people are making are paying off. • Increasing the sense of urgency and the optimism of those who are making the effort to change. • Serving to reward the change agents by providing positive feedback that boosts morale and motivation. • Serving the practical purpose of helping to fine tune the vision and the strategies. • Tending to undermine cynics and self-serving resistors. • Making it difficult for people to block the needed change. • Garning critical support from bosses, board and shareholders. • Having a way of building momentum that turns neutral people into supporters, and reluctant supporters into active helpers.

32. Step 7: Don't Let Up! Consolidating Gains and Producing More Change

33. Step 7: Don't Let Up! Consolidating Gains and Producing More Change • Resistance • Resistance is always waiting in the wings to re-assert itself. Even if you • are successful in the early stages, you may just drive resistors • underground where they wait for an opportunity to emerge when you • least expect it. They may celebrate with you and then suggest taking a • Break to savor the victory. • Keep the fire burning!

34. Step 7: Don't Let Up! Consolidating Gains and Producing More Change • The consequences of letting up can be very dangerous: • Critical momentum can be lost and regression may soon follow. • Old behavior and ideas comes back. • Once regression begins, rebuilding momentum is a daunting task.

35. Step 7: Don't Let Up! Consolidating Gains and Producing More Change • In a successful major change initiative, by stage 7 you will begin to see: • More projects being added. • Additional people being brought in to help with the changes. • Senior leadership focused on giving clarity to an aligned vision and shared purpose. • Employees empowered at all levels to lead projects. • Reduced interdependencies between areas. • Constant effort to keep urgency high. • Consistent show of proof that the new way is working.

36. Step 8: Make it Stick Anchoring New Approaches in the Culture

37. Step 8: Make it Stick Anchoring New Approaches in the Culture. • It’s hard • New practices must grow deep roots in order to remain firmly • planted in the culture.  Culture is composed of norms of behavior • and shared values. These social forces are incredibly strong.  • Changes – whether consistent or inconsistent with the old culture – • are difficult to ingrain. 

38. Step 8: Make it Stick Anchoring New Approaches in the Culture. • This is why cultural change comes in Step 8, not Step 1.  • Some general rules about cultural change include: • Cultural change comes last, not first. • You must be able to prove that the new way is superior to the old. • The success must be visible and well communicated. • You will lose some people in the process. • You must reinforce new norms and values with incentives and rewards – including promotions. • Reinforce the culture with every new employee.

39. Summary Anchoring your goals • If you do what you did, you get what you got • Act in line with your values and mission statement. • Set your goal(s) and make them SMART. • Choose your battle (I/we). • Focus on your customer. • Be different: communicate your Unique Buying Points. • Choose your change strategy (cold/warm). • Use Dwight to prioritize. • Stick to your plan (8 steps to change by Kotter).

40. Step 9: Write your future • Elaborate your strategy. • Max 2 A4. • Do it before the end of ….. • E-mail your plan to ……. • Any questions: call or e-mail …..