transformational leadership
TRANSCRIPT
Leading Transformational Changes
Parveen S. Goel, Ph.D. PMP, PE
“If you do not change direction, you may
end up where you are heading.-Lao Tzu
Survival is Optional
What is Transformational Change
Revolutionary or radical change that may require adjustment in company structure, culture and management style. These changes have long term and organization wide impact. To start the journey you need a burning platform and sense of urgency
Burning Platform
▣ Culture: Need to shift from command & control
▣ Technology : Shift to digital and mobile
▣ Competition: Availability of better alternatives
▣ Public Opinion: Green and Sustainable
“The world’s just so doggone different today. GE was a centralized kind of command-and-control company. Those days are gone. You’re not in the control business today, you’re in the risk-reward business”
Jeffrey Immelt chairman and CEO of GE, in an Interview to Rik Kirkland senior managing editor of McKinsey Publishing
Burning Platform
How to LeadTransformational Change
“A leader’s real ‘authority’ is a power you voluntarily give him, and you grant him this authority not with resentment or resignation but happily.”- David Foster Wallace
Frame work for the Businesses
Plan & Execute
Develop Strong team Create the BuzzEstablish Vision
Sustain it
Vision and Strategy
In1980s, Paul O'Neill CEO of Alcoa, transformed aluminum mfg. giant based on the Vision & strategy for the Worker Safety. By 2012 Alcoa dropped from 1.86 to 0.125 lost work days to injury per 100 workers and company's profits hit a record high.
Empowered Strong team
In1995, CEO Jack Welch decided that GE will be a Six Sigma Co. At all levels data-based decision making & problem solving. Leading from the front he created a strong coalition of Six sigma champions and experts (Black Belts). According to Wikipedia the company’s value rose 4000% during his tenure.
Communicate and Create the Buzz
The 2008 Obama Presidential campaign made history. He was the first presidential candidate to effectively use social media to create a buzz and momentum in his favour. There is a lot to learn from his campaign by organizations struggling in communicating and engaging employees
Plan and Execute Flawlessly
▣Today, Hoover Dam stands as one of the most successful public works projects. It was planned and executed flawlessly. Built in the 1930s for flood control, water storage and hydropower generation. The project was developed despite seemingly insurmountable engineering, administrative, financial, and political challenges
1. Organization (organizational chart), 2. Workplace (its physical or virtual configuration),3. Task (work flow or processes), 4. People (specifically the skills and orientation), 5. Rewards(and punishments), 6. Measurement (the metrics employed), 7. Information distribution(who gets to know what when) 8. Decision allocation (who is involved in what way )
8 Levers of Change
Using these 8 levers of change Hyundai’s Chung Mong-Koo transformed the co. He took a carmaker arguably within sight of going out of business in 1998 and led the creation of a formidable manufacturing power house.
Information from the article: Change Management Is Bigger Than Leadership: Harvard Business Publishing by Gregory Shea and Cassie Solomon
Sustain it▣Over the years, Toyota Motor Corporation, the
world's leading automaker had built up a reputation for manufacturing reliable cars and trucks. Toyota's products were a byword for quality for customers so much so that its manufacturing techniques were followed by its competitors world over. However, rapid global expansion lead to deterioration in its culture for zero defects and faced series of recalls
Lessons LearnedYou will not avoid the law of Murphy. It is impossible to lead transformational change with a pre-determined, time-bound and linear project plan. Don’t over promise and don’t predict the exact outcome
Lessons LearnedCommunicate, Communicate, CommunicateDon’t rely on just one medium or Cookie cutter approach. Change is personal and communication need to be adapted for each individual.
Lessons LearnedCongratulate and Celebrate and make it a positive experience for all as much as possible.Don’t just focus on things that are not going right. Create a positive momentum by celebrating early and every success .
Lessons LearnedBe firm in dealing with resistance with clear consequences for not accepting change. Be prepared to deal with your most experienced, most critical and expert employeesDon’t let old habits creep back.
Lessons LearnedTake care of the team. Transformational changes are hard to implement and will require significant amount of efforts from the core team.Don’t let team burnout or frustrated because of setbacks.
