Some Principles for Organisational Change Some Principles for

Some Principles for Organisational Change Some Principles for Management Development Some Principles for Strategy Development Johan Strümpfer © Johan P Strümpfer, 2006 -2007. www. strumpfer. com

Dimensions for Business Improvement Interventions • • Strategy Leadership Communication [Organisational change] • >>> Business improvement (organisational interventions) HAS to address all of these simultaneously to achieve sustainable and practical results.

Single and Double loop learning (Based on Argyris) Changes beliefs, World views, Paradigm, Theory in Practice, Mental Models Action Decided Action Taken Outcome Single Loop Learning Gap Double Loop Learning Deep Learning Process Shallow Learning Process Desired Outcome

Deep Learning Processes: Concern Reflection Question Expectation Test Adapted form Handy’s Learning Wheel Theory/Answer

EG UJ: Organisational Integration &cultural transformation How to integrate the people? Question Concern Alignment & identification Reflection Expectation What worked? Not worked? Why? Theory/Answer Organisational Change Framework –cf eg. Test People focussed rollout processes

Organisational Change Framework Need for Change Cement the New Vision Building Alignment Empower Action Change Task Force Create Wins Increase the Pace (Strumpfer/ Kotter)

Topic of the Action learning • Is this the right topic? • Alignment? • “Solutions prohibited” • Values & beliefs Organisational Integration &cultural transformation How to integrate the people? Question Concern Alignment & identification Reflection Expectation What worked? Not worked? Why? Theory/Answer Organisational Change Framework –cf eg. Test People focussed rollout processes

Solutions, Strategies & Experts • There is nothing as problematic as solutions (Argyris & Schön, 1967) • The Berkeley experiments Solutions

WHAT IS THIS? With thanks to G de Wet 9

WHAT IS THIS? 10

WHAT IS THIS? 11

WHAT IS THIS? 12

WHAT ARE THESE? IMAGES MODELS 13

Multiple Perspective Exploration • Viewpoints • Viewpoint definitions • Prioritisation of outcomes ( with causal logic) • Activity models • Build consensus on action

For each stakeholder. . How would THEY answer. . . 1. 2. 3. 4. 5. 6. 7. 8. 9. What is the input, output and transformation? Who is the beneficiary (client/customer)? Who are the actors in the transformation? Who are the owners of the transformation? Who are the decision makers of the process? Why is this transformation assumed to be meaningful? (What assumptions underlie this perspective? ) What is the purpose of this transformation? What are its measures of performance? What environmental factors impact directly on this transformation? (Constraints)

Multiple views ê“Human Systems are Different” êPeople systems are purposeful êPeople systems are interpretative • Technical perspective • Organisational perspective • Individual perspective 16

Practical Steps • Phase 1: Determine topics of the leadership development program: Consensus building through the multiple perspective exploration: – – Interviews Build basic set of perspectives on what is required Share & debate perspectives Arrive at core set of required “projects” (= topics of the action learning) • Phase 2: Roll-out the action organisation wide: Drive the projects as an action learning process involving the “executive” (“ 30”) – Projects will touch the wider organisation in terms of transformation & integration related projects as determined in Phase 1

Phase 2: Organisational Change Management • Assumption: Perspectives exploration surfaces aspects of organisational change management to implement. • Examples: Strategic repositioning, organisational culture shift, values & culture integration, vision development and buy-in, organisational structure change. • Projects: Projects are formed around each of the chosen topics. – NB: Projects are “Collaborative Projects” (to be discussed) aimed at building consensus, alignment and commitment through conversation design.

Conversation Design

Basic conversation template Me/You Context Setting Decide Implications for Action Choice of Framework* Conclusions They *More later Question(s) To drive Conversation Debate

Process Design Q C C F Q F A C D C A A C C F A C F C C F A C Q D D Q D

Conversation Systems View • • Multiple simultaneous interlinked conversations Conversations give meaning to words “The words we use is the world we live in” Conversations build the agreement and commitments required for action • Conversations yield the alignment we need • Free-flowing conversations create space for creative insights and ideas to surface

Examples of Conversation Design Remaining Slides are real world reference examples & for illustrative discussion if required.

CEO conversation Future Shaping Forces & Strategic Choices: Tentative W/s 1 Strategic Choices W/s 2 Change Thrusts W/s 3 Implemen tation Exco Strategy Process Env Scan Strategy Task Group Environmental Scan Future Shaping Forces & Strategic Choices Identified & Decided (some) Key Strategic change thrusts

CEO conversation W/s 1 Strategic Choices W/s 2 Change Thrusts W/s 3 Implemen tation Exco Strategy Process Env Scan Strategy Group Environmental Scan Three Inter-linked & synchronised Strategic Conversations Additional ones: Cluster Strategy Conversations Staff (Top 500) Cluster groups

Creates shared view of requirements Future Direction Conversation Process Design Decision Support to MD Decision Facilitation for Exco Interaction with Board Cluster Exco Input & Implementation Improves quality of and confidence in vision Builds shared map of future for successful transformation Creates fundamental support for future direction with Board They provide detailed input to map and share in map

Process Overview • Trends Inq: Future & Future Bus Environement • FSF • FBE Task Group Initiatives Suggestions 30/Jun • Scenarios Good. Co 2010 (Drive Initiatives) • Videos Change Governance & Support Feedback & Progress Monitoring Apply CMF * Inter action with Board & EXCO Inter action with wider Good. Co Exco 5/3 Mang. Conf Exco Session pre Strat Session 19 -20 Apr Exco & Board Strat Session 4 - 15/4 Mar/Apr Results Engagement Events Communication • Vision Confirmation • Strategic Choices • Initiatives List: Approved / Investigate / Rejects Apr - May Guardian Interact Sessions May - Jun Workplace Roll-Out* Jul - Sep Theme Specific Roll-Out * • BU Planning • Budget • B. Score card

Task Group • Trends Inq: Future & Future Bus Environement • FSF 30/Jun Initiatives Suggestions • FBE • Scenarios Good. Co 2010 (Drive Initiatives) • Videos Change Governance & Support Apply CMF * • Vision Confirmation Inter action with Board & EXCO Exco 19 -20 Apr Exco & Board Strat Session • Strategic Choices against Balanced Scorecard • Initiatives List: Approved / Investigate / Rejects 5/3 Mang. Conf Inter action with wider Good. Co Exco Session pre strat session 4 - 15/4 Results Communication Engagement Events • Introduce & • Exco & HR share Driven possible • Line futures Management • Open the involvement debate on • Video Based the need for change Feedback • Open debate on prefered course of action • 5 Large group sessions targetting 750 people (+/- 30%) representative groups • Present & communicate a vision • Participatively identify strategic initiatives for Good. Co success(vision) • ID Specific required actions Feedback & Progress Monitoring of BU Plans Apr - May Guardian Interact Sessions • All staff / countrywide • Exco Driven, TG 2010 support • Vision communication • Future Process communication * New Initiatives May - Jun Workplace Roll-Out* • For identified BU’s and work gourps * • Leadership preparation and support on initiative roll-out / planning • Initiative specific implpementation planning using 7 S model to explore impact • More detailed actions per initiatives • BU plan input /content Jul - Sep Theme Specific Roll-Out * • For 7 S themes: Roll-out / paticipative sessions • For theme: Intergration & coordination • Theme task ops representative work groups • Output: Company wide Theme action plans Budgetting

Management Conference – Good. Co’s Performance MUCH better performance. Realistic & very credible high achievement scenarios for Good. Co. Celebrating this at Management Conference. “High” CEO: Current Performance & how we got here. FAIL Realistic & very credible failure scenarios for Good. Co. Then “Short” Term FUTURE Now What we did / did not do? Current Situation 2010 Possible Future Good. Co Fail Good. Co Really Good. Co Succesful New What we did do to get here? Environments

Planning Process Strategies & Action Plans Appreciate Current Situation Participation Current Future Scenarios Enterprise Design Desired Future 30

Conversation Design considerations: • • • Keep the conversation alive Focus the conversation on the right things Keep the interest up Keep the topic and angle fresh Keep it meaningful Keep the conversation relevant to the concerns of the day (Practical relevance) – Eh…, how?

Limitation on extent of framework change Corporate mind shift Rethink Mental Framework Rethink action within existing mental framework Action results Practical Gap Individual Expectations Current corporate culture Openness to change of corporate mind Determine action Level of surprise Size of gap, Magnitude of negative impact Number and extent of surprises corporate mind registers