Leading Change: Experimenting & Shifting its Impact Dr. Cynthia Ingols The Challenge of Organizational Change As the rate of change in the business environment continues to increase, the premium on organization’s being able to change is growing ever more significant. Organizations are built to be stable. … As a result, most efforts at designing and managing organizational change are dismal failures. Source: Lawler, E. & Worley, C. 2006. Built to Change: How to Achieve Sustained Organizational Effectiveness. San Francisco: Jossey-Bass, pages xiv and 11 respectively. © 2014 Simmons College. All Rights Reserved. Changing Organizations... • • • • Extremely complex task Often ambiguous where we are in the process Extraordinarily time consuming Requires hard work: – Intellectually & Emotionally • Need skilled, committed leaders Estimate: 70% of change programs fail © 2014 Simmons College. All Rights Reserved. Engage in an Exercise & Start Thinking From dangerous To enthusiastic © 2014 Simmons College. All Rights Reserved. Key Lesson From the Exercise: Communication • Communication is critical when changing • Context matters: you know your context • Communicate – More – Through different channels – Up & down the organizational hierarchy – Use data – Inspire with stories © 2014 Simmons College. All Rights Reserved. Tufts Medical Center (TMC) In 2004 • Losing $6 mil/month • Doctors leaving • Insurance payments were low • Administrative offices in disarray (recovering from failed merger) • In short...hospital was “sick” • Ellen Zane, former CEO • Turnaround expert • Communicator By 2006 • Stopped the “bleeding” • Recruiting top-notch doctors • Receiving $ from insurance companies what they should • Had strong leadership team © 2014 Simmons College. All Rights Reserved. HOW Did Dhe Turnaround TMC? Individual level • Talked to everyone @ TMC • Met with individual doctors • Visited hospital wards & asked patients: what are we doing well & what should change? • Had lunch with university president & deans • Connected with Boston & MA political leaders Organizational level • Held Town Hall meetings – On all shifts • Sent emails to everyone • Had posters What did she say? • Used data • Created a sense of urgency • Shared success stories © 2014 Simmons College. All Rights Reserved. Lessons for Organizational Change • • • • Use formal organizational structures Tap into informal networks Inspire with success stories Communicate individually & to groups • Have fun & laugh lots © 2014 Simmons College. All Rights Reserved.