Business Development Execution Leading change 2009-02-19 Kent Thorén & Kristina Palm 1 Agenda • • • • Reflections on the Team Process Overcoming Hurdles of Change Leading Change by Kotter Sum up 2009-02-19 Kent Thorén & Kristina Palm 2 2009-02-19 Kent Thorén & Kristina Palm 3 Reflections on the team process • Write down the most positive experience from your team process • Tell your team colleagues what you have written • Discuss how you can use this in future team work Time: 10 minutes 2009-02-19 Kent Thorén & Kristina Palm 4 Agenda • • • • Reflections on the Team Process Overcoming Hurdles of Change Leading Change by Kotter Sum up 2009-02-19 Kent Thorén & Kristina Palm 5 Execution - Not so Easy 2009-02-19 Kent Thorén & Kristina Palm Source: Kim & Mauborgne, 2005 6 Kurt Lewin (1890-1947) 2009-02-19 Kent Thorén & Kristina Palm 7 Process of Human Change Kurt Lewin) Refreezing Change Unfreezing 2009-02-19 Kent Thorén & Kristina Palm 8 Hurdles • The Cognitive Hurdle – Organization stuck in status quo • The Resource Hurdle – Limited resources • The Motivation Hurdle – Employees unmotivated to change • The Political Hurdle – Opposition from powerful interest groups/individuals 2009-02-19 Kent Thorén & Kristina Palm Source: Kim & Mauborgne, 2005 9 How can These Hurdles be Overcomed? • Tipping point leadership • Concentrate – not diffuse • Using the strength of • disproportionate influence 2009-02-19 Kent Thorén & Kristina Palm Source: Kim & Mauborgne, 2005 10 Handling Cognitive Hurdles • Don’t rely on numbers – rely on feelings – Make people see and experience harsh reality in first hand -> people become internally driven 2009-02-19 Kent Thorén & Kristina Palm 11 Handling Resource Hurdles • Concentrate on multiplying the value of the resources – Move resources to the activities that have the highest potential performance gains • Hot spots – Low resource input but high potential performance • Cold spots – High resource input but low output • Horse trading – Trade unit’s excess resources to fill remaining gaps 2009-02-19 Kent Thorén & Kristina Palm 12 Handling Motivational Hurdles • Seek massive concentration – Every employee on every level needs to focus on what he/she can do to contribute to the overall vision • Zoom in on kingpins – Make sure you have the key influencers in the organization with you • Place kingpins in a fishbowl – Make sure the kingpins actions are transparent to others • Atomize – Frame the strategic change in a way that people believed that it is attainable 2009-02-19 Kent Thorén & Kristina Palm 13 Handling Political Hurdles • Don’t fight alone – Identify your detractors and supporters – forget the middle and strive to create a win-win outcome for both • Secure a consigliere on your team – A respected senior insider who knew land minds • Find your angels – Those who will gain most of the strategic change will be your friends! • Find your devils – Those who will lost most of the strategic change will be your worst enemies 2009-02-19 Kent Thorén & Kristina Palm 14 Focus on the Tails Conventional Approach Influencing the big crowd Breakthrough Approach Influencing the few that has disproportional influence 2009-02-19 Kent Thorén & Kristina Palm 15 Agenda • • • • Reflections on the Team Process Overcoming Hurdles of Change Leading Change by Kotter Sum up 2009-02-19 Kent Thorén & Kristina Palm 16 Leading change by John. P Kotter Professor at Harvard Business School http://www.johnkotter.com/index.html 2009-02-19 Kent Thorén & Kristina Palm 17 So what should we do? 1. Create a feeling of need for change – – Study the market and the competition situation Identify and discuss crises, potential crises or large opportunities 2. Create a guiding coalition – – Put together a group with sufficient power to change Make sure the group work as a team 3. Develop a strategy and a vision – – Create a vision that gives the change an orientation Develop strategies to reach the vision 2009-02-19 Kent Thorén & Kristina Palm 18 4. Mediate the change vision – Use all opportunities to constantly communicate the new vision and strategy – Make sure that the guiding coalition lead by example 5. Give power for action on a broad base – Remove obstacles – Change systems or structures that undermine the change vision – Encourage risk taking and non-traditional ideas, activities and action 2009-02-19 Kent Thorén & Kristina Palm 19 6. Create short-time profit – Plan for visible performance improvement or "profits" – Give visible acknowledgement and rewards to those who made the profits possible 7. Consolidate success and produce more changes – Use the credibility to change all systems, structures and policies that do not fit together and not fit the change vision – Hire, promote and develop people who can realize the change vision – Strengthen the process with new projects and change actions 2009-02-19 Kent Thorén & Kristina Palm 20 Keep it moving! "... do it in pieces. Don't declare victory to early. Keep it moving..." 2009-02-19 Kent Thorén & Kristina Palm 21 8. Establish the "new" culture – Emphasize the connection between the new behavior and the success 2009-02-19 Kent Thorén & Kristina Palm 22 Synthesis: Process of Change Refreezing (John P Kotter + Kurt Lewin) Change Unfreezing Sense of Guiding Vision & Urgency Coalition Strategy 1 2 2009-02-19 3 Commu- Empower Short- Consoli- Anchoring nicate term dating in Culture Wins 4 5 Kent Thorén & Kristina Palm 6 7 8 23 Group Assignment – Discuss the two strategies of change 1. Discuss the two strategies for change, e.g. the following questions: • Are they conflicting or complementary? • Does the time for publication matter? Kotter: 1996, Blue Ocean Strategy 2005. 2. Document on flip-chart paper. 3. Presentation for the large group. Time: 10 minutes for discussion, then presentation. 2009-02-19 Kent Thorén & Kristina Palm 24