Change Implementation Techniques for Forming Transitional Team, Creating Alignment, Maximizing Connectedness and Creativity

Case Study 2 - Answers to Case Study 2

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Ingredient 1 ‐ Laying The Foundations Of New Ways (New Behaviours)

(New behaviours to demonstrate that old ways changing)

A new CEO appointed to bring 3 distinct, independent divisions together so that they work as one

Identified core competencies that should not be outsourced

Developed a time schedule for outsourcing activities

CEO redesigned his office, which included removing the displays of awards to another room

Eliminated some unnecessary traditions, especially those not adding value to the organisation

Employed a consultant to help them

Developed a video of the organisation which showed the successes of the past and endeavours to build on them for the future direction

Conducted an attitudinal survey to gauge the staff's thoughts

Ingredient 2 ‐ Establishing A Sense Of Urgency

Threats of downsizing, commercialisation and outsourcing to the private sector

CEOs future in doubt as he has a 2 year contract to change the organisation and already 12 months has expired with little progress

Budget cuts plus threat to further reduce resources

Exchange rate fluctuations

A high turnover of staff

An attitudinal survey that demonstrated a disorientated workforce with low morale

Unsuccessfully used a Business Process Review format as the basis for change with his senior management. Some of the techniques he used included Porter's 5 force analysis, gap analysis, etc

Ingredient 3 ‐ Forming A Transitional Team

The 3 divisional heads regarded themselves as operating separate organisations.

For 12 months the CEO had been trying unsuccessfully to use his executive group as the transitional team to push the changes through the organisation.. This team included the 3 divisional heads and an administrative officer The 3 divisional heads deliberately "filtered" information upwards and downwards to suit their individual whims/vested interests

CEO agreed to expand the transitional team to include around 25 representing both formal and informal leaders. This included unions and people from the shop floor plus staff from Head Office

This transitional team had a 2 day retreat to determine how the changes would be pushed throughout the organisation and how to get ownership of the change process. This was a new concept for the organisation, as traditionally only the 3 divisional heads with the administrative officer and the CEO would decide how to handle strategic issues within the organisation

Ingredient 4 ‐ Creating Alignment

The retreat was the catalyst for getting the informal leaders onside so that they could leverage the change through the organisation

This was the first time that the CEO had the opportunity to communicate directly to the informal leaders what was required. They responded enthusiastically and put pressure on the 3 divisional heads who initially tried to block the process involved in the retreat

The reaction of the union leader was interesting: ie initially he adopted a wait-and-see attitude, on the second day they enthusiastically supported the process and declared ownership of it

The CEO thought that he as leader should have the appropriate vision for the organisation. During the retreat, he wrote his proposed vision on a white board and allowed written comments. Based on this feedback, he learnt that his vision was not shared and needed to be modified so that it would be shared by the organisation

Soon after the retreat, 1 of the divisional managers decided to join the new direction while 2 left; their replacements were supporters of the change process

Ingredient 5 ‐ Maximizing Connectedness

Introduced training about how to work as teams and acquire multi-skills

The retreat was an opportunity to develop a management plan for the change which included action plans (how, what, when & who)

Techniques such as mind mapping and creative thinking skills were introduced and developed for staff to use

Ingredient 6 ‐ Creating Short-Term Wins

The organisation started to control its destiny, ie instead of reacting to requests from head office, it became proactive and got ahead of Head Office

As different milestones were reached, successful staff were rewarded with recognition in newsletters and being able to attend training courses of their choice

The organisation was allowed to bid for activities that were going to be outsourced

Ingredient 7 ‐ Consolidating Performance Improvements

The lower ranks became actively involved in the change process, eg corridor meeting with an informal leader

The process was published as the basis for transformation in the organisation throughout Australia

The CEO was promoted

The new CEO was of the "old school" and the organisation was downsized by 50% within 2 years ‐ shows how important succession planning is and how fickle and fragile change can be!!!!!

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