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Managing and Leading Change

        Warren Watson
       Arizona State University
                2012
Why Do We Care About Change?
•   We’re living in a period where most
    organizations, including this newspaper, are
    undergoing significant organizational change.
•   Managers must learn to embrace, lead and
    manage change to survive and thrive.
•   This means adopting management styles that are
    open, flexible and decentralized.
•   Problem is: Most of us resist change even though
    it may lead to improvements.
What is Change:
      Textbook Definition?
“Vast, titanic force hurtling us on a roller-
coaster adventure of seething white-water
chaos, threatening to grind us like
roadkill!”
     --- Training Magazine
Ways to Promote Organizational Change
•   Establish a sense of urgency
•   Develop a vision and strategy
•   Communicate the change vision
•   Empower staffers to action
•   Generate short-term wins
•   Consolidate gains, then produce more change
•   Anchor new approaches in the culture
        --- Sources: John Kotter, “Leading Change;” Kathy
        Rutkowski
The Stages of Change
    As in death and divorce, those going through
    change reach various stages of experience:
•   1) Denial
•   2) Anger
•   3) Bargaining
•   4) Despair
•   5) Acceptance
Challenges to Change
•   “We don’t have time   •   “This stuff isn’t
    for this stuff”           relevant”
•   “The stuff isn’t      •   “We keep reinventing
    working”                  the wheel”
•   “Where are we going   •   “They never let us do
    with this”                this stuff”
•   “We don’t have        •   “We’ve tried this
    enough help”              before”
Why People Resist Change
•   No one has sold the reasons for change
    effectively enough
•   There is low tolerance for change
•   Parochial self interest gets in the way
•   There is misunderstanding and lack of trust

    “Most failures can be traced to a lack of
    commitment … Commitment is the glue that
    binds the people and goals behind change.”
        --- Tom Silvestri, Media General Inc.
Techniques in Managing Change
•   Create a strategy to help change, and
    communicate, communicate, communicate
•   Terminate the present
•   ID and explain new performance requirements
•   Allow some “learning” mistakes
•   Create apparatuses that reward desired new
    behavior                              more
More Techniques

•   Train to improve skills
•   Reinforce expectations
•   Give consistent and supportive feedback
•   Celebrate short-term victories
•   Continue to encourage innovation,
    creativity
•   Do things face to face!
6 Ways of Dealing with Resistance

    1) Education and Communication
•   When to use: Lack of information or facts
•   Advantage: Once persuaded, people will
    help
6 Ways of Dealing with Resistance

    2) Participation and involvement
•   When to use: Designers of change need
    information; others have power to resist
•   Advantage: Participants commit to change;
    new information is added
6 Ways of Dealing with Resistance

    3) Facilitation and support
•   When to use: Where people are resisting
    because of adjustment difficulties
•   Advantage: Although time consuming, this
    is the only road to counter adjustment
    problems
6 Ways of Dealing with Resistance

    4) Negotiation and agreement
•   When to use: When clear that an individual
    or group will clearly lose out
•   Advantage: An easy way to avoid major
    resistance
6 Ways of Dealing with Resistance

    5) Manipulation
•   When to use: Where other options are too
    expensive or won’t work
•   Advantage: Relatively quick and
    inexpensive
6 Ways of Dealing with Resistance

    6) Coercion
•   When to use: Where speed is essential
•   Advantage: A speedy way to combat
    resistance
Making it Permanent

Making it permanent means the change is
no longer viewed as tentative, is a matter of
routine, and is now the norm. If you arrive
at this stage, change becomes instinctual.
This is ultimate level of commitment.
     --- Harvard Business Review
Managing Through Change;
    Managing Through a Distraction
•   Some lessons from Carly Fiorina,
    chairwoman and chief executive officer of
    Hewlett-Packard Co.
•   Fiorina led a long and storied fight to win a
    merger with Compaq Computer Corp.
5 Lessons Learned

1) Have a strategic vision and a peripheral
vision, so you can look ahead and look
around.
Lessons Learned

2) Be proactive in communicating
constantly and thoroughly with your staff
through face-to-face meetings, emails and
voice mails.
Lessons Learned

3) Manage and act with flexibility. Stuff
happens!
Lessons Learned

4) Build your team. Success is always
derived from the right people and
teamwork.
Fiorina’s Lessons

5) Trust that you know more about your
business or specialty than outside observers
and critics. Be confident.
‘A Strong Internal Compass’

“Leadership requires a strong internal
compass. You have to have a strong sense
of what you will need and what you think is
right, because there are a million things
that can blow you off course (during
change.”
    --- Carly Fiorina, Hewlett-Packard Co., as told to
    the Wall Street Journal
“Learn and Move On’

“The truth is I don’t spend a lot of time on
hindsight. When you make a mistake, you
have to learn from it and move on.”
     --- Carly Fiorina, Hewlett-Packard Co.
Change is a Process

Jellison’s J-Curve:
  1) Status quo
  2) Taking the plunge
  3) Bottoming out
  4) Gaining ground
  5) Success and mastery!
Another Process

Three steps:
  1) Preparation
  2) Acceptance
  3) Commitment

  Committed change: Employees own the
  change. They add enthusiasm and high-energy
  involvement.
       --- Tom Silvestri, Media General Co.
Change Style Indicator
•   This Discovery instrument captures your preferred
    style in approaching change
•   Identifies you as conserver, pragmatist or originator
•   Conservers prefer gradual and incremental change
•   Originators prefer a faster and more radical
    approach to change
•   Pragmatists prefer change that is functional and
    more reflective of the demands of a situation
Conservers
•   Appear disciplined, precise, methodical,
    cautious
•   Prefer solutions that are tested and proven
•   Accept conventional assumptions
•   Enjoy predictability
•   Prefer group problem-solving, decision-making
•   Improve efficiency, maximize continuity and
    stability
•   Sometimes confuse the means with the end
Originators
•   May appear undisciplined, disorganized, abstract
    and spontaneous
•   Prefer quick and expansive change
•   Challenge accepted assumptions
•   Enjoy risk-taking
•   Sometimes focus on individual contributions
•   Appear as visionary in their thinking
•   May treat accepted policies and procedures with
    little regard.
Pragmatists
•   May appear practical, agreeable and flexible
•   Are more focused on results than structure and
    organization
•   Serve as mediators and bridgers
•   See both sides of an argument
•   Explore accepted assumptions when appropriate
•   May take a more middle-of-the-road approach
•   Solve problems in ways that emphasize
    workable outcomes
Perceptions: Conservers v/v Originators

  Conservers see originators as:
    --- Disruptive
    --- Disrespectful of tradition and history
    --- Generators of turbulent work
    environments
    --- Insensitive to the feelings of others
    --- Wanting change for the sake of
    change
Perceptions: Originators v/v Conservers

  Originators see conservers as:
    --- Dogmatic
    --- Hesitant to try new ideas
    --- Compliant to authority
    --- Stuck within the system
    --- Defenders of the status quo
Perceptions: Pragmatists

Pragmatists can be perceived by strong
conservers AND originators as:
  --- Compromising
  --- Mediating
  --- Indecisive
  --- Easily influenced
  --- Non-committal
Sources

•   Tom Silvestri, Media General Inc.
•   Discovery Learning
•   Wall Street Journal
•   Harvard Business Review

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Managing and leading change

  • 1. Managing and Leading Change Warren Watson Arizona State University 2012
  • 2. Why Do We Care About Change? • We’re living in a period where most organizations, including this newspaper, are undergoing significant organizational change. • Managers must learn to embrace, lead and manage change to survive and thrive. • This means adopting management styles that are open, flexible and decentralized. • Problem is: Most of us resist change even though it may lead to improvements.
  • 3. What is Change: Textbook Definition? “Vast, titanic force hurtling us on a roller- coaster adventure of seething white-water chaos, threatening to grind us like roadkill!” --- Training Magazine
  • 4. Ways to Promote Organizational Change • Establish a sense of urgency • Develop a vision and strategy • Communicate the change vision • Empower staffers to action • Generate short-term wins • Consolidate gains, then produce more change • Anchor new approaches in the culture --- Sources: John Kotter, “Leading Change;” Kathy Rutkowski
  • 5. The Stages of Change As in death and divorce, those going through change reach various stages of experience: • 1) Denial • 2) Anger • 3) Bargaining • 4) Despair • 5) Acceptance
  • 6. Challenges to Change • “We don’t have time • “This stuff isn’t for this stuff” relevant” • “The stuff isn’t • “We keep reinventing working” the wheel” • “Where are we going • “They never let us do with this” this stuff” • “We don’t have • “We’ve tried this enough help” before”
  • 7. Why People Resist Change • No one has sold the reasons for change effectively enough • There is low tolerance for change • Parochial self interest gets in the way • There is misunderstanding and lack of trust “Most failures can be traced to a lack of commitment … Commitment is the glue that binds the people and goals behind change.” --- Tom Silvestri, Media General Inc.
  • 8. Techniques in Managing Change • Create a strategy to help change, and communicate, communicate, communicate • Terminate the present • ID and explain new performance requirements • Allow some “learning” mistakes • Create apparatuses that reward desired new behavior more
  • 9. More Techniques • Train to improve skills • Reinforce expectations • Give consistent and supportive feedback • Celebrate short-term victories • Continue to encourage innovation, creativity • Do things face to face!
  • 10. 6 Ways of Dealing with Resistance 1) Education and Communication • When to use: Lack of information or facts • Advantage: Once persuaded, people will help
  • 11. 6 Ways of Dealing with Resistance 2) Participation and involvement • When to use: Designers of change need information; others have power to resist • Advantage: Participants commit to change; new information is added
  • 12. 6 Ways of Dealing with Resistance 3) Facilitation and support • When to use: Where people are resisting because of adjustment difficulties • Advantage: Although time consuming, this is the only road to counter adjustment problems
  • 13. 6 Ways of Dealing with Resistance 4) Negotiation and agreement • When to use: When clear that an individual or group will clearly lose out • Advantage: An easy way to avoid major resistance
  • 14. 6 Ways of Dealing with Resistance 5) Manipulation • When to use: Where other options are too expensive or won’t work • Advantage: Relatively quick and inexpensive
  • 15. 6 Ways of Dealing with Resistance 6) Coercion • When to use: Where speed is essential • Advantage: A speedy way to combat resistance
  • 16. Making it Permanent Making it permanent means the change is no longer viewed as tentative, is a matter of routine, and is now the norm. If you arrive at this stage, change becomes instinctual. This is ultimate level of commitment. --- Harvard Business Review
  • 17. Managing Through Change; Managing Through a Distraction • Some lessons from Carly Fiorina, chairwoman and chief executive officer of Hewlett-Packard Co. • Fiorina led a long and storied fight to win a merger with Compaq Computer Corp.
  • 18. 5 Lessons Learned 1) Have a strategic vision and a peripheral vision, so you can look ahead and look around.
  • 19. Lessons Learned 2) Be proactive in communicating constantly and thoroughly with your staff through face-to-face meetings, emails and voice mails.
  • 20. Lessons Learned 3) Manage and act with flexibility. Stuff happens!
  • 21. Lessons Learned 4) Build your team. Success is always derived from the right people and teamwork.
  • 22. Fiorina’s Lessons 5) Trust that you know more about your business or specialty than outside observers and critics. Be confident.
  • 23. ‘A Strong Internal Compass’ “Leadership requires a strong internal compass. You have to have a strong sense of what you will need and what you think is right, because there are a million things that can blow you off course (during change.” --- Carly Fiorina, Hewlett-Packard Co., as told to the Wall Street Journal
  • 24. “Learn and Move On’ “The truth is I don’t spend a lot of time on hindsight. When you make a mistake, you have to learn from it and move on.” --- Carly Fiorina, Hewlett-Packard Co.
  • 25. Change is a Process Jellison’s J-Curve: 1) Status quo 2) Taking the plunge 3) Bottoming out 4) Gaining ground 5) Success and mastery!
  • 26. Another Process Three steps: 1) Preparation 2) Acceptance 3) Commitment Committed change: Employees own the change. They add enthusiasm and high-energy involvement. --- Tom Silvestri, Media General Co.
  • 27. Change Style Indicator • This Discovery instrument captures your preferred style in approaching change • Identifies you as conserver, pragmatist or originator • Conservers prefer gradual and incremental change • Originators prefer a faster and more radical approach to change • Pragmatists prefer change that is functional and more reflective of the demands of a situation
  • 28. Conservers • Appear disciplined, precise, methodical, cautious • Prefer solutions that are tested and proven • Accept conventional assumptions • Enjoy predictability • Prefer group problem-solving, decision-making • Improve efficiency, maximize continuity and stability • Sometimes confuse the means with the end
  • 29. Originators • May appear undisciplined, disorganized, abstract and spontaneous • Prefer quick and expansive change • Challenge accepted assumptions • Enjoy risk-taking • Sometimes focus on individual contributions • Appear as visionary in their thinking • May treat accepted policies and procedures with little regard.
  • 30. Pragmatists • May appear practical, agreeable and flexible • Are more focused on results than structure and organization • Serve as mediators and bridgers • See both sides of an argument • Explore accepted assumptions when appropriate • May take a more middle-of-the-road approach • Solve problems in ways that emphasize workable outcomes
  • 31. Perceptions: Conservers v/v Originators Conservers see originators as: --- Disruptive --- Disrespectful of tradition and history --- Generators of turbulent work environments --- Insensitive to the feelings of others --- Wanting change for the sake of change
  • 32. Perceptions: Originators v/v Conservers Originators see conservers as: --- Dogmatic --- Hesitant to try new ideas --- Compliant to authority --- Stuck within the system --- Defenders of the status quo
  • 33. Perceptions: Pragmatists Pragmatists can be perceived by strong conservers AND originators as: --- Compromising --- Mediating --- Indecisive --- Easily influenced --- Non-committal
  • 34. Sources • Tom Silvestri, Media General Inc. • Discovery Learning • Wall Street Journal • Harvard Business Review