1. Change Management Prof. Steve Phelan Lecture 18

2. Today Young change  Case: The young change agents  The enduring skills of change leaders (2002) LMZ Chs 39-41  An interview with Peter Vaill (2002)  Ethics and organizational change (1991)  Powering up teams (2001)

3. Young Change Agents Young hires at PWC alter strategy to corporate social responsibility and triple bottom line reporting  No stature, no credibility  Advice: Connect the top and bottom by going round the middle of the hourglass Are most changes bottom-up like this? Are middle managers really the problem? Does it work often? Is this feasible in your organization? What other lessons for change are in this case?

4. Advice on change Kanter  3 attributes of change adept organizations Concepts - imagination to innovate Competence - professionalism to perform Connections - openness to collaborate  Classic skills Tune in to the environment Challenge the prevailing organizational wisdom Communicate a compelling aspiration (not same as vision) Build coalitions Transfer ownership to a working team Learn to persevere Make everyone a hero

5. Advice on change 2 Gifford Pinchot - Author/consultant/entrepreneur  Come to work each day willing to be fired  Circumvent any orders aimed at stopping your dream  Do any job needed to make your project work, regardless of your job description  Find people to help you  Follow your intuition about the people you work with and work only with the best  Work underground as long as you can. Publicity triggers the corporate immune system.  Never bet on a race unless you are running in it.  Remember: it is easier to ask for forgiveness than for permission  Be true to your goals, but be realistic about the ways to achieve them  Honor your sponsors

6. Advice on change 3 Bob Knowling - US West Exec  Become bold and free. Don’t live in fear.  The place to start is with the things you already control  Don’t ask permission  The system is stacked against you  Have a model of change  Deal with the political issues of change. Don’t be a kamikaze.  Move people out of their comfort zone  Walk the talk  It’s not a change program it’s the way we do business  Understand the financial issues as well as the soft stuff.

7. Peter Vaill “We live in a time of permanent white water”  Do we? Goals are not stable  they change and evolve Today’s organizations are permanently unfrozen  Everybody is trying to foster change

8. Peter Vaill Change is more political than textbooks suggest  Intense persuasion, bargaining, influencing, exchange of rewards, lot more tugging and hauling, recognizing power realities  Knowing who needs to get on board, how to get them and keep them on board, who is a blocker, how to deal with them Fearlessness is a requisite  What the hell does this mean?

9. Peter Vaill New reality – nothing to consult to  People are constantly being moved around, functions redefined and reorganized, new leadership appearing continually The bugaboo is control  Leadership is code for control  “Don’t push the river”  The secret is to let things get out of control unlock the latent energy in the system  Seek a “flow state” – “becoming” rather than “arriving”

10. Ethics and Change Obtain agreement from client about scope and goals of the change program Don’t oversell or overextend appointment Cease assignment if consultant or client is uncomfortable Need for rapid and extensive change makes obtaining everyone’s “consent” difficult  Is ensuring firm survival ethical if it hurts many employees? Consultants are responsible for having content and process skills  Use a system framework, don’t just talk about it  Reject assignments with only a human component

11. Powering up teams Team effectiveness is a function of:  A sense of potency  A sense of (task) meaningfulness  A sense of autonomy  A sense of impact (on stakeholders) Numerous feedback loops  Any one is not sufficient for effectiveness  Not easy to develop or sustain