LEADERSHIP INITIATIVE COUNTY OF RIVERSIDE 4. ORGANIZATION DEVELOPMENT● CHANGE ● EMPLOYEE ENGAGEMENT Culture Change The tribal wisdom of the Dakota Indians, passed on from one generation to the next, says that when you discover that you are riding a dead horse, the best strategy is to dismount. But in modern business, education and government, because heavy investment factors are taken into consideration, other strategies are often tried with dead horses, including the following: 1. Buying a stronger whip. 2. Changing riders. 3. Threatening the horse with termination. 4. Appointing a committee to study the horse. 5. Arranging to visit other sites to see how they ride dead horses. 6. Lowering the standards so that dead horses can be included. 7. Reclassifying the dead horse as "living-impaired." 8. Hiring outside contractors to ride the dead horse. 9. Harnessing several dead horses together to increase speed. 10. Providing additional funding and/or training to increase the dead horse's performance. 11. Doing a productivity study to see if lighter riders would improve the dead horse's performance. 12. Declaring that the dead horse carries lower overhead and therefore contributes more to the bottom line than some other horses. 13. Rewriting the expected performance requirements for all horses. And, as a final strategy: 14. Promoting the dead horse into a leadership position and hiring an outside vendor to cause a dead horse culture. What we will cover Typical organization challenges Overview of Organization Developmentwhat it is and steps in the process Identify various tools, strategies and interventions Employee Engagement and how that fits with OD Change process and what it takes to sustain change. More available options rather than…. “We trained hard, but it seemed that every time we were beginning to form up into teams or were met with a new situation we would be reorganized, a wonderful method for creating the illusion of progress while producing confusion, inefficiency, and demoralization.” Gaius Petronius Arbiter, ancient Roman author of the “Satyricon”, circa A.D. 60. The leader’s challenge “How to (a) fully mobilize the energy of the organization’s human resources toward achievement of high performance and (b) at the same time, so organize the work, the work environment, the communications systems and the relationships of people, that individuals need for self worth, growth and satisfaction are significantly met at work.” Warren Bennis Table case studies: As a group, read your scenarios and talk about how you would address the situation. Identify: 1. 2. 3. 4. The problem Outcome desired Method/action to get from here to there Rationale for choosing this method/action You have 10 minutes to come to agreement. Select someone to do a 2 minute report out. Organization development is… the application of behavioral science technology to the planning and management of systemic organization change in the name of improved organization performance. Goals of Organization Development • Improved performance and effectiveness • Improved results • Improved quality of work life • Development of greater individual and organizational capacity WHY ORGANIZATIONS CHANGE: POWERFUL PAIN IMMINENT DANGER POWERFUL ENEMY INSPIRED LEADERSHIP OD is Action Research • Collect valid data. • To make informed decisions • That generate energy to take action. OD is about: EQUIFINALITY Organization Development Two approaches: Structural Behavioral Typical OD process: 1. 2. 3. 4. 5. 6. 7. 8. Presented Problem Collect data and diagnose the real problem With the client, select one or more interventions, and design a rollout plan Execute on the plan Monitor for intended results Adjust the plan Follow up Evaluation Whole System Views Organizational Subsystems (Lots of moving parts) Strategic subsystem Inputs Which Energize the Organization Technological subsystem Organizational Outputs Managerial subsystem Human, Financial, Informational, and Material Resources Humancultural subsystem Input-output flow of materials, energy, and information Structural subsystem Production of goods and services at a level of efficiency and effectiveness which will influence future resource availability and systems operation Throughputs Kast & Rosenswieg Human System Levels • Individual • Group/Team • Inter-group • Organization • Inter-organization Whole System Views Weisbord Six Box Model • • • • • • Purpose Structure Rewards Helpful Mechanisms Relationships Leadership Organization System Alignment • • • • • • Environment Strategy Structure Culture Systems Behavior Need to take a 5,000 foot view Start here at the presented problem Problem detected Plot your specific course Systems view You have arrived safely! Yay! May need to make adjustments Weisbord Six Box Model Purpose What business are we in? Relationships How do we manage conflict (coordinate) among people? With our technologies? Leadership Is someone keeping the boxes in balance? Structure How do we divide up the work? Helpful Mechanisms Rewards Have we adequate coordinating technologies? Is there an incentive for doing all that needs doing? Outside Environment Everything else. What constraints and demands dies it impose? Key Point: start with a model Weisbord 6 Box Burke Litwin McKinsey 7 “S” Great Place to Work Best Practice Models 6 CELL MODEL Mind your Perspective!! Bolman and Deal Back of a napkin model (systems fit) To get an idea what needs to be changed Napkin model: systems equilibrium fantastic or fully engaged decision-making decentralized sucks or disengaged centralized routine work complex Napkin model – rubber band effect fantastic or fully engaged decision-making decentralized sucks or disengaged centralized routine work complex Napkin model: bow and arrow fantastic or fully engaged decision-making decentralized sucks or disengaged centralized routine work complex You have an idea of the gap …between what you want and what is. … Then what? Issues Individual Knowledge/Skill Motivation Satisfaction Development Group Alignment Composition Roles & Relationships Norms & Processes Spirit Inter-group Alignment Roles & Relationships Work Flow/processes Structure Interventions Training & education Coaching Mentoring Career Development Job Design Assessments and feedback Learning labs - journaling Appreciative Inquiry Role Clarification/ responsibility charting Relationship development – conflict resolution Team Building Eidetics Confrontation meetings Outdoor Adventure Polarity Management Interdependence Clarification Shared Goal Setting Role Clarification Organization Design Interface Structures and Processes Perception Sharing Issues Organization* Mission, Vision Strategy Structure, Culture, Systems Alignment Performance Inter-organization* Leadership Alignment Roles & Relationships Processes Interventions Planning Strategy Formulation Organization Design Culture Change Information Systems HR Systems Talent Management Productivity Improvement Appreciative Inquiry Summits Simulations Open Space Conferences Labor Management Cooperation Future Search Stakeholder Conference Coalition and Alliance Building Leadership Structures & Processes Planning Role Clarification Polarity Management Conference What we need to know about change 1. MANAGING THREE SYSTEMS past not here (anymore) transition not here (solely) future not here (yet) CHANGING FROM ‘WHAT IS’ TO THE DESIRED FUTURE STATE TO START with “WHAT IS” NOW Desired future DESIRED FUTURE STATE What the change path looks like CHANGING FROM ‘WHAT IS’ TO THE DESIRED FUTURE STATE DESIRED FUTURE OUTCOMES START with “WHAT IS” Valley of DESPAIR The change formula: ∆= VxDxF>R success Change tends not to be embraced Don’t forget the 4 basic human fears: 1. Rejection 2. Failure 3. Being wrong 4. Being emotionally uncomfortable Informal system behind the formal Org chart Job descriptions P&P PR about who we are Mission-vision-values… Formal Organization Who’s really in charge and the way we really do things around here NORMS Norms are powerful in maintaining behavior What everyone hopes to find! WHAT’S PREDICTABLE DURING ANY CHANGE High uncertainty – low stability* High perceived levels of perceived inconsistency High emotional stress on people High energy (often undirected) * Control becomes a major issue * Conflict increases Blaming is rampant Key point to remember: The system must first attain stability and then satisfaction Name of the change game: per●sist●ence pərˈsistəns noun firm or obstinate continuance in a course of action in spite of difficulty or opposition. "companies must have patience and persistence, but the rewards are there" The key to successful and sustained change…… Employee Engagement Employee engagement begins with the relationship you develop with your employees What is Employee Engagement? EQ2 Emotional Intelligence and Employee Engagement https://www.youtube.com/watch?feature=pl ayer_detailpage&v=IZA94smSkQg The most recent Hay study findings (validated 2014) • 53% of US workforce is “not engaged” (they are going through the motions) • 18% of US workforce is “actively disengaged” (acting out, not coming to work, in or starting litigation) If these stats are true…. Do the math In 2014-2015 our County budget ~$5 billion (rounding up), making that portion estimated for salaries and benefits roughly $1,600,000,000 RivCo FTEs ~ 16,000 = 2880 employees = 18% actively disengaged • x 2080 hrs/yr pp = 5,990,400 unproductive hours • X $25 /hr = $14,976,000 = the cost of ‘actively disengaged employees’ Gallup said 97% workforce are ignored + disengaged 47% of federal, state, and local government employees said they are engaged* • 2012 and 2014 Public Sector Employee Engagement Surveys conducted by IPMA-HR Employee Effectiveness Model • clear & promising direction Hay Group Engagement & Enablement are Both Essential for Optimum Performance • confidence in leaders • quality & customer focus • respect & recognition • development opportunities Engagement •Commitment •Discretionary Effort • performance management Employee Effectiveness • training • collaboration • work, structure & process Customer Loyalty Innovation • authority & empowerment • resources Financial Performance Attraction & Retention of Talent • pay & benefits Drivers Productivity Enablement •Optimized Roles •Supportive Environment Enhanced Corporate Reputation Case: Arrowhead County, USA Instructions: 1. Apply the Systems Fit Model to Arrowhead County. 2. Show where you think are the culture (engagement/ quality of work life), decision-making and work/ technology points on the model axes. 3. What is your rationale? 4. Decide on your most important desired outcome. 5. Brainstorm change strategies and first steps to achieve your desired outcome. 6. Select a reporter(s) to report out. What contributes to disengagement? What do you think? Lesson #1 Anonymity –All human beings need to be understood and appreciated for their unique qualities by someone in a position of authority. The Three Signs of a Miserable Job Patrick Lencioni Lesson #2 Irrelevance – Employees need to know what the connection is between the work, the organization purpose and the satisfaction of another person or group of people. The Three Signs of a Miserable Job Lesson #3 Immeasurement – Employees need to be able to gauge their progress and level of contribution for themselves. Without a tangible means of assessing success or failure, motivation eventually deteriorates as people see themselves as unable to control their own fate. The Three Signs of a Miserable Job Patrick from Miserable” to “Meaningful” Show you care: Get to know your employees personally. 2. Link employee activities to organization vision and strategy. 3. Help employees find meaningful measurements so they can track their own progress. 1. High-performance organizations already know: • Employees want to know it matters if they don’t show up. • Employees want to contribute. • Employees want to develop. • Employees want to make a difference. • Employees ARE our technology! For public sector employees 12 Employee Engagement Questions 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. Do you know what is expected of you at work? Do you have the materials and equipment you need to do your work right? At work, do you have the opportunity to do what you do best every day? In the last seven days, have you received recognition or praise for doing good work? Does your supervisor, or someone at work, seem to care about you as a person? Is there someone at work who encourages your development? At work, do your opinions seem to count? Does the mission/purpose of your company make you feel your job is important? Are your associates (fellow employees) committed to doing quality work? Do you have a best friend at work? In the last six months, has someone at work talked to you about your progress? In the last year, have you had opportunities at work to learn and grow? Wrap up: comments/questions?