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Cultural and Strategic Tensions in the Public Sector

Cultural and Strategic Tensions in the Public Sector. Presented by. Dr David Potter Head of Commercial Strategy Cordia (LLP). Presentation Outline. Change drivers in the Public Sector Cultural and strategic tensions Leadership and cultural/strategic change Glasgow’s response

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Cultural and Strategic Tensions in the Public Sector

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  1. Cultural and Strategic Tensions in the Public Sector Presented by Dr David Potter Head of Commercial Strategy Cordia (LLP)

  2. Presentation Outline • Change drivers in the Public Sector • Cultural and strategic tensions • Leadership and cultural/strategic change • Glasgow’s response • The utility of an MBA programme and cultural change

  3. Public Sector Jobs Facts Scotland • Total working population in Scotland 2,500,000 • 610,000 Public Sector employees in Scotland • 24.5% of all employees work in the Public Sector in Scotland • Total working population in Glasgow 256,000 • Currently 129,000 Public Sector employees in Glasgow • One in two Glasgow employees work in the Public Sector • 25% in budget cuts over the next four years

  4. 80,000 Public Sector jobs to go in Scotland Osborne asks the public to say which services should be axed Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force EXCLUSIVE Glasgow cuts 3,600 posts over the next three years Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coal to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over ition plan to force Fury over coalition plan to force Fury over coalition plan to forcegdg Fury over coalitiogagghn plan to force Fury over coalitiongag plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plagagfgn to force Furyfsdfasd over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to aggaggfforce g Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fasury o over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition ver coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plsgsdgan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury asgfdsgover coalition plan to force Fury over coalition plan to force Fury over coalition plggan to fogdagarce Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force over coalition plan to force Fury over coalition plan to force Fury over coalition Scotland faces an estimated £3.7 billion cut in public spending over the next three to four years New Cash Crisis Scotland’s local councils are facing a new cash crisis as Holyrood imposes a budget on them that will leave them with a £630 million shortfall HELEN WILLIAMS Fury over coal to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over ition plan to force Fury over coalition plan to force Fury over coalition plan to forcegdg Fury over coalitiogagghn plan to force Fury over coalitiongag plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plagagfgn to force Furyfsdfasd over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to aggaggfforce g Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fasury o over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition ver coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plsgsdgan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury asgfdsgover coalition plan to force Fury over coalition plan to force Fury over coalition plggan to fogdagarce Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force over coalition plan to force Fury over coalition plan to force Fury over coalition A Conservative Government could cut 235,000 public sector jobs without bringing the nation to a halt Fury over coal to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over ition plan to force Fury over coalition plan to force Fury over coalition plan to forcegdg Fury over coalitiogagghn plan to force Fury over coalitiongag plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plagagfgn to force Furyfsdfasd over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to aggaggfforce g Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fasury o over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition ver coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plsgsdgan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury asgfdsgover coalition EXCLUSIVE Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over coalition plan to force Fury over

  5. Emerging questions “What do these cuts & media claims mean for the Public Sector?” Answer: “Organisational transformation” “What does this mean?” Answer: “Cultural transformation” “What does that mean?” Answer: “Cultural and strategic tensions”

  6. Definition of Culture • Culture is a sense making process • That produces knowledge • To maintain social order • Through establishing social structure • To solve problems • By means of control • Culture is used to teach members of a group the expressive norms of the organisation

  7. Definition of Culture • Corporate Culture is a control system • Constituted by a system of cultural themes • That constrains expressive capacity of managers • To preserve the cultural status quos

  8. Cultural Control Identity control Knowledge Control Expressive control Linguistic Control Conceptual Control

  9. Integrated Culture

  10. Connected Sub Cultures

  11. The Cultural Web

  12. Comparison Private Sector Culture Public Sector Culture • Service orientated • Profit and service orientated • Cradle to grave sustenance • Success based career development • Superannuation Scheme • Stakeholder pensions • Absence is a health issue • Absence a conduct issue • Conflict shy • Quick to confront performance • Non PRP • PRP a general standard • Not customer orientated • Customer orientated • Not sales driven • Sales driven

  13. Cultural and strategic tensions Cultural Control Fractures stakeholder commitment Cultural reproduction Top three cultural change fault lines Who moved our cheese Don’t worry, seen it all before , it will be alright tomorrow Lack of leadership Prevents emergence of new cultural expressions

  14. Strategy Future Cultural and Strategic Tensions A bundle of interconnected cultural themes

  15. Encourage the art of the long view Challenge the status quos Achieve org/employee Goal alignment Carry out cultural theme analysis To “talk” about and to “do” cultural change Establish critical reflection as a norm Establish organisational wide dialogue Emerge as a learning organisation Introduce and sustain classic OD intervention Challenge existing power relationships Create a distinctive organisational identity Encourage employee internalisation of that identity Break down corporate culture Managing cultural and strategictensions requires strong leadership to:

  16. Strategy Future Cultural and Strategic Tensions A bundle of interconnected cultural themes

  17. Glasgow’s Response 4,000 job cuts TUPE Transfer 16,000 Public /private Sector Alliances Property Company Glasgow Family Shared Service Centre BPR Customer Contact Centre Cultural Transformation

  18. Cordia Change Strategy Change Identity BPR Organisational Development Cultural Change Programme Win new business Re design Management/Staffing Structures Reduce Overtime Rates

  19. The Cordia managers role in managing successful change Business Orientated Effective communicators Customer Orientated Effective Leaders Open to new ideas Produces (hopefully) cultural change

  20. From a Penguin to a Peacock MBA and cultural change Improves confidence of managers Encourages critical thinking Introduces new concepts Develops self conceptions Improves analytical skills Introduces new forms of talk Develops self intellect Changes mental models Broadens managerial knowledge Improves team working Improves change tolerance

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