Organizational Change Stefanos Gialamas, Ph.D.

Not much happens without a dream. And for something great to happen, there must be a great dream. Behind every great achievement is a dreamer of great dreams. Much more than a dreamer is required to bring it to reality; but the dream must be there first. ---Robert Greenleaf, Servant Leadership---

The 3i D Model 3-way influence Dynamic Model of Leadership The 3i Dynamic Model of Leadership posits that there is a dynamic, 3-way influence, between the Leader, the Environment, and the Organization The 3i Dynamic Model of Leadership posits that there is a dynamic, 3-way influence, between the Leader, the Environment, and the Organization

3i Dynamic Model of Leadership (Hilentzaris & Gialamas) LEADER ENVIRONMENT FOLLOWERS influence

LEADER Leadership Philosophy Leadership as a Partnership with Bounded Flexibility (Gialamas, Hilentzaris, Cherif 2005, leadership Journal 2005) Vision

What makes up the leader? Traits Traits Needs Needs Behaviors Behaviors Expertise Expertise Knowledge Knowledge Associate influence Associate influence Effects from the Environment Effects from the Environment Effects from Followers Effects from Followers Experiences Experiences

What makes up the Environment? Organization Organization culture, structure, mission, vision culture, structure, mission, vision Economic setting Economic setting Social setting Social setting Political setting Political setting Legal setting Legal setting Current trends Current trends Technology Technology Information Information Competition Competition

What makes up the followers? Traits Traits Needs Needs Perceptions- what can they ask for? Perceptions- what can they ask for? Role model alliances Role model alliances Aspirations for future behaviors Aspirations for future behaviors Effects from environment Effects from environment Effects from associates Effects from associates Effects from leadership Effects from leadership Experiences Experiences Expertise Expertise Knowledge Knowledge

The Leader and the Vision The leader in order to lead, has to first “dream”, establish the vision, know where he/she wants to go The leader in order to lead, has to first “dream”, establish the vision, know where he/she wants to go The leader after establishing the vision, needs to be continuously scanning the environment and the followers, to sense, understand and decide which strategies will be more effective in moving the organization in the right direction, towards the vision The leader after establishing the vision, needs to be continuously scanning the environment and the followers, to sense, understand and decide which strategies will be more effective in moving the organization in the right direction, towards the vision

LEADER ENVIRONMENT FOLLOWERS STRATEGY VISION

Set of routines= comfort zones/baseline behaviors Set of routines =organizational culture Set of routines are our comfort zone/baseline behavior- at the personal level Set of routines are our comfort zone/baseline behavior- at the personal level Set of routines are the organization’s culture- at the organizational level Set of routines are the organization’s culture- at the organizational level Understanding the status quo

How our comfort zones are perpetuated into baseline behavior Encounter New data Confirming Data Current Comfort Zone Baseline Behavior Comfortable routines allow us not to test everything we do all the time, but also constrain us and inhibit our thinking about trying new things

How most people deal with dis- confirming data Current Comfort Zone New Data Hurt Or Pain Deny Distort Discount Ignore Dis- Confirming Data Baseline Behavior Dis-confirming data is a challenge to our self-concept because it says that what we used to do doesn’t work anymore Takes us out of our comfort zone It can be scary, threatening, intimidating

The General change process James G. Clawson, Darden Graduate School of Business, University of Virginia Current Comfort Zone Enthusiasm Engagement Learning Experiment Search for alternatives Confirmation Dis-confirming data Hurt Or Pain Deny Distort Discount Ignore New Data Dis- Confirming Data New Data New Baseline Behavior New Baseline Behavior C h a n g e F r o m b a s e li n e

The role of outside help (leader, consultant, friend) in managing change Assessing and presenting the dis-confirming data Assessing and presenting the dis-confirming data Assistance in identifying alternatives Assistance in identifying alternatives Interpreting the data Interpreting the dataI

Where Leaders (L) Can Affect the Change Process James G. Clawson, Darden Graduate School of Business, University of Virginia Current Comfort Zone Enthusiasm Engagement Learning Experiment Search for alternatives Confirmation Dis-confirming data Hurt Or Pain Deny Distort Discount Ignore New Data Dis- Confirming Data New Data New Baseline Behavior Baseline Behavior C h a n g e F r o m b a s e li n e L L L L LL If you understand this process, you can have a great impact on change ! ! !

Leading the change process and managing change steps  Given the possible points of leader influence in the change process, and that the leader has established the vision, we can list certain steps in managing change Identifying what needs to be changed (knowing the dis- confirming data) Identifying what needs to be changed (knowing the dis- confirming data) Building a team that will lead the change Building a team that will lead the change Designing and managing change experiments Designing and managing change experiments Recognizing progress towards the vision and reinforcing effective behavior Recognizing progress towards the vision and reinforcing effective behavior

Roles in the change process Change Leader- initiates change Change Leader- initiates change Change Agent- actually causes change Change Agent- actually causes change Change Manager-day-to-day responsibility Change Manager-day-to-day responsibility Change Model-exemplifies change Change Model-exemplifies change Changee- person who is being asked to change Changee- person who is being asked to change

TYPICAL CHANGE CYCLE ComplacencyTurbulenceResistance Small WinsConsolidation New Baseline

The four P’s of change PurposeMission why we are here PurposeMission why we are here PictureVision where do we want to go PictureVision where do we want to go Plan Strategy how are we going to get there Plan Strategy how are we going to get there PartEmployee what is my role in achieving the vision PartEmployee what is my role in achieving the vision

The MIT change management skill set Persuasive communication Persuasive communication Participation Participation Use of expectations Use of expectations Role modeling Role modeling Using extrinsic rewards Using extrinsic rewards Making structural and organizational changes Making structural and organizational changes Coercing Coercing The MIT team also argues that efforts fail because we fail to see resistance to change-instead of enforcing one view why we are changing as an organization, allow and encourage diverse perceptions to change… The MIT team also argues that efforts fail because we fail to see resistance to change-instead of enforcing one view why we are changing as an organization, allow and encourage diverse perceptions to change…

John Kotter’s Model of Change Harvard School of Business Create a sense of urgency Create a sense of urgency Create a guiding coalition Create a guiding coalition Create a clear vision and strategy Create a clear vision and strategy Overcommunicate Overcommunicate Reorganize to remove barriers to change Reorganize to remove barriers to change Celebrate short-term wins Celebrate short-term wins Consolidate little wins into initiatives Consolidate little wins into initiatives Incorporate changes into the culture Incorporate changes into the culture

It’s not the critic who counts. It’s not the man who points where the grown man stumbles, or how the doer of deeds could have done them better. The credit belongs to the man who actually is in the arena, who strives violently, who errs and comes up short again and again, who knows the great enthusiasms, the great devotions, and spends himself in a worthy cause, who if he wins knows the triumph of high achievement, but who if he fails, fails while daring greatly, so his place will never be with those cold and timid souls who know neither victory nor defeat Theodore Roosevelt, 26th President of the United States--- EXCELLENCE IS A JOURNEY NOT A DESTINATION