Change: It Happens!

1
Change It Happens!

• Presented by
• Dr. Terry J. Schindler
• Assistant Professor of Management
• University of Indianapolis
• For
• Indiana Society of Sleep Professionals
• 4th Annual Educational Summit
• Indianapolis, Indiana
• Thursday August 20, 2009

2
Session Objectives

• Explore fundamental areas that are necessary to
  lead/manage effective individual, team and
  organizational change (small w )
• Analyze and evaluate behaviors that lead to
  successful change initiatives in organizational
  settings

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Session Objectives

• Become more skilled at managing personal change
  and the change of others
• Think like an organizational change agent
• Re-enforce the concepts presented in The Radical
  Leap A Personal Lesson in Extreme Leadership by
  Steve Farber

4
Experiencing Change
Change
Change
5
Experiencing Change
What did you feel, think, experience?
6
Critical Change Sequence
Reorganization
Change Demands
Effectiveness
Impact
Recovery
Steady State
Disorganization
Time
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Truths About Change

• Change is the only constant.
• Spock
• There is an old saying, Never change anything,
  ever..
• Monk

8
Thoughts About Change

• Change is the price of survival.
• Gary Player
• PGA Professional
• Today, loving change, tumult, even chaos is a
  prerequisite for survival, let alone success.
• Tom Peters
• Thriving On Chaos

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Truths About Change

• Change, by definition, is destructive
• Change is situational and external
• Something ceases and something else is launched

Adapted from Managing Transitions Making the
Most of Change, 2nd Edition by William
Bridges Perseus Publishing, 2003
10
The Transition Process
Integration
Fuller Understanding
Denial
Experimental
State of Mind
Strong Emotion
Shock
Acceptance
Time
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Truths About Change

• Transition is psychological and internal
• A process that may start before the change occurs
• Unless meaningful transition occurs, change will
  not work

Adapted from Managing Transitions Making the
Most of Change, 2nd Edition by William
Bridges Perseus Publishing, 2003
12
Truths About Change

• Its about change. You can embrace it or resist
  it. It is going to come.
• The Last Tribute to NYPD Blue

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Why Programs Fail

• Organizations are constantly changing
• Activities are initiated to improve quality,
  increase productivity, increase sales, reduce
  waste, improve service, improve employee morale,
  increase patient satisfaction, etc.

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Why Programs Fail

• These change activities have varying levels of
  success
• Success is usually dependent on whether these
  activities are considered as programs or as
  processes

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Why Programs Fail
Goal
T3
Process
Effectiveness
T2
T1
Program
Time
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Why Programs Fail

• Think of change activities/initiatives you have
  experienced in your career

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Why Programs Fail

• What leads to the growth in T1?
• What causes the decline in T2?
• What sustains the growth in T3?
• Why do individuals resist change?

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Thoughts About Change

• One of the primary reasons why people fear
  change is because when someone around us changes,
  we feel we will or must change as well.
• Terry Schindler
• Leading Organizational Change

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Transforming Organizations Why Firms Fail

• Error 1 Allowing too much complacency

Adapted from Leading Change by John P.
Kotter Harvard Business School Press, 1996
20
Kotters Eight Step Process

• Establishing a Sense of Urgency
• Examine the market and competitive realities
• Identify and discuss crises, potential crises, or
  major opportunities

Adapted from Leading Change by John P.
Kotter Harvard Business School Press, 1996
21
Kotters Eight Step Process

• Unfreeze the organization by creating a
  compelling reason for why change is needed

Adapted from Leading Change by John P.
Kotter Harvard Business School Press, 1996
22
The Radical Leap

• Extreme Leaders generate energy.
• Steve Farber

23
Transforming Organizations Why Firms Fail

• Error 2 Failing to create a sufficiently
  powerful guiding coalition

Adapted from Leading Change by John P.
Kotter Harvard Business School Press, 1996
24
Kotters Eight Step Process

• Creating the Guiding Coalition
• Put together a cross-functional, cross-level
  group with enough power to lead the change
• Get the group to work together like a team

Adapted from Leading Change by John P.
Kotter Harvard Business School Press, 1996
25
Thoughts About Change

• In a changing world, who do you want by your
  side?

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Kotters Eight Step Process

• Four key characteristics essential to effective
  guiding coalitions
• Position power
• Expertise
• Credibility
• Leadership

Adapted from Leading Change by John P.
Kotter Harvard Business School Press, 1996
27
Transforming Organizations Why Firms Fail

• Error 3 Underestimating the power of vision

Adapted from Leading Change by John P.
Kotter Harvard Business School Press, 1996
28
Kotters Eight Step Process

• Developing a Vision and Strategy
• Create a vision to help direct the change effort
• Develop strategies for guiding and achieving that
  vision

Adapted from Leading Change by John P.
Kotter Harvard Business School Press, 1996
29
Transforming Organizations Why Firms Fail

• Error 4 Under-communicating the vision by a
  factor of 10 (or 100 or even 1,000)

Adapted from Leading Change by John P.
Kotter Harvard Business School Press, 1996
30
Kotters Eight Step Process

• Communicating the Change Vision
• Create and implement a communications strategy
  using every vehicle possible to consistently
  communicate the new vision and strategic plan
• Have the guiding coalition lead by example by
  modeling the behavior expected of employees

Adapted from Leading Change by John P.
Kotter Harvard Business School Press, 1996
31
Transforming Organizations Why Firms Fail

• Error 5 Permitting obstacles to block the new
  vision

Adapted from Leading Change by John P.
Kotter Harvard Business School Press, 1996
32
Kotters Eight Step Process

• Empowering Broad-Based Action
• Eliminate barriers and obstacles to change
• Change systems, structures and policies and
  procedures that undermine the change vision

Adapted from Leading Change by John P.
Kotter Harvard Business School Press, 1996
33
The Radical Leap

• make a list of all the normal constraints
  that seem to be holding you back. Are they
  systems, policies, or procedures? Is it a
  particular person or group of people? Or is it
  your companys history holding you back?
• Steve Farber

34
Kotters Eight Step Process

• Encourage risk taking and creative problem
  solving
• Generate nontraditional ideas, activities and
  actions

Adapted from Leading Change by John P.
Kotter Harvard Business School Press, 1996
35
Thoughts About Change

• The companys most urgent task, then, is to
  learn to welcome-beg for, demand-innovation from
  everyone.
• Tom Peters
• Thriving On Chaos

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The Radical Leap

• This aint about protecting you from the world,
  its about giving you people the chance and
  means to change it the world.
• Steve Farber

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Transforming Organizations Why Firms Fail

• Error 6 Failing to create short-term wins

Adapted from Leading Change by John P.
Kotter Harvard Business School Press, 1996
38
Kotters Eight Step Process

• Generating Short-Term Wins
• Plan for and create visible short-term wins and
  improvements in performance
• Visibly recognize and reward people who
  contributed to the wins

Adapted from Leading Change by John P.
Kotter Harvard Business School Press, 1996
39
Truths About Change

• The most efficient and effective route to bold
  change is the participation of everyone, every
  day, in incremental change.
• Tom Peters
• Thriving On Chaos

40
Transforming Organizations Why Firms Fail

• Error 7 Declaring victory too soon

Adapted from Leading Change by John P.
Kotter Harvard Business School Press, 1996
41
Kotters Eight Step Process

• Consolidating Gains and Producing More Change
• Use credibility generated by short-term wins to
  create more change in systems, structures, and
  policies that dont fit together and dont fit
  the transformation vision

Adapted from Leading Change by John P.
Kotter Harvard Business School Press, 1996
42
Kotters Eight Step Process

• Hire, promote, and develop people who can
  implement the change vision
• Reinvigorate the change process with new
  projects, themes, and change agents

Adapted from Leading Change by John P.
Kotter Harvard Business School Press, 1996
43
The Radical Leap

• Create an environment where people can thrive as
  adults and grow as leaders. Where people can
  aspire to change the world.
• Steve Farber

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Transforming Organizations Why Firms Fail

• Error 8 Neglecting to anchor changes firmly in
  the corporate culture

Adapted from Leading Change by John P.
Kotter Harvard Business School Press, 1996
45
Kotters Eight Step Process

• Anchoring New Approaches in the Culture
• Create better performance through customer- and
  productivity-oriented behavior, more and better
  leadership, and more effective management

Adapted from Leading Change by John P.
Kotter Harvard Business School Press, 1996
46
Kotters Eight Step Process

• Articulate and reinforce the changes by
  highlighting the connections between new
  behaviors and processes and organizational
  success
• Develop methods to ensure leadership development
  and succession

Adapted from Leading Change by John P.
Kotter Harvard Business School Press, 1996
47
The Radical Leap

• A leaders greatest obligation is to make
  possible an organization where people can aspire
  to change the world. (Edg quoting Carly Fiorina)
• Steve Farber

48
The Three Phases of Transition

• Ending, Losing, Letting Go
• The Neutral Zone
• The New Beginning

Adapted from Managing Transitions Making the
Most of Change, 2nd Edition by William
Bridges Perseus Publishing, 2003
49
The Three Phases
Time
The New Beginning
The Neutral Zone
Ending, Losing, Letting Go
Adapted from Managing Transitions Making the
Most of Change, 2nd Edition by William
Bridges Perseus Publishing, 2003
50
Endings

• Transition starts with an ending.
• What do people lose? What is over?
• What exactly must people let go of?
• How do you balance what has been taken away?
• There may be secondary changes

Adapted from Managing Transitions Making the
Most of Change, 2nd Edition by William
Bridges Perseus Publishing, 2003
51
The Neutral Zone

• The in-between time. The new isnt fully
  operational
• Psychological realignments
• Repatternings take place
• Old is replaced with new

Adapted from Managing Transitions Making the
Most of Change, 2nd Edition by William
Bridges Perseus Publishing, 2003
52
The Neutral Zone

• Standing at the point of what is, will be and
  was.
• Strange Times
• The Moody Blues

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The Neutral Zone

• The Neutral Zone is a period of
• High anxiety, low motivation
• Low productivity
• Old weaknesses
• Chaos and confusion
• Desire for the old ways
• Vulnerability

Adapted from Managing Transitions Making the
Most of Change, 2nd Edition by William
Bridges Perseus Publishing, 2003
54
The Neutral Zone

• To get through the Neutral Zone
• SWOT
• Encourage creativity
• Review policies and procedures
• Review what worked in the past
• Where do you have control or influence?

Adapted from Managing Transitions Making the
Most of Change, 2nd Edition by William
Bridges Perseus Publishing, 2003
55
The Radical Leap

• Saturday night recuperation kit.
• Steve Farber
• What is your Neutral Zone recuperation kit?

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Beginnings

• What you can do the 4 Ps
• Purpose
• Picture
• Plan
• Part

Adapted from Managing Transitions Making the
Most of Change, 2nd Edition by William
Bridges Perseus Publishing, 2003
57
Beginnings

• Purpose
• Explain the logic behind the desired outcome
• What is the problem, evidence?
• What are the consequences?

Adapted from Managing Transitions Making the
Most of Change, 2nd Edition by William
Bridges Perseus Publishing, 2003
58
Beginnings

• Picture
• How the outcome will look and feel
• Help individuals experience it imaginatively to
  capture their hearts

Adapted from Managing Transitions Making the
Most of Change, 2nd Edition by William
Bridges Perseus Publishing, 2003
59
The Radical Leap

• I joined this company because I believed in what
  we had, and I believed in what we had because
  Teddy Garrison painted such a compelling, awesome
  picture of the future. And in a very short time,
  his vision infected and inspired me, and I found
  myself not only believing in XinoniX, but also
  falling in love with it
• Steve Farber

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Beginnings

• Plan
• Step-by-step plan for phasing in the outcome
• Provide individuals with a clear idea of how to
  get where they are going

Adapted from Managing Transitions Making the
Most of Change, 2nd Edition by William
Bridges Perseus Publishing, 2003
61
Beginnings

• Part
• Provide individuals with the role they will play
  in both the plan and the outcome
• Individuals need a tangible way to contribute and
  participate

Adapted from Managing Transitions Making the
Most of Change, 2nd Edition by William
Bridges Perseus Publishing, 2003
62
The Radical Leap

• You may not think you can change the Whole World
  that we live in (and you may be wrong) but you
  can certainly change the world-small w-that you
  and yours live in the world of your company, the
  world of your employees, the world of your
  industry, or the world of your family.
• Steve Farber

63
The Three Phases
Time
The New Beginning
The Neutral Zone
Ending, Losing, Letting Go
Adapted from Managing Transitions Making the
Most of Change, 2nd Edition by William
Bridges Perseus Publishing, 2003
64
OS! M

• Oh Schindler! Moment

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The Radical Leap

• Whats the right question?
• Steve Farber
• How are we you going to change the world?
• Steve Farber

66
Bibliography

• Leading Change, John P. Kotter, Harvard Business
  School Press, 1996
• Managing Transitions Making the Most of Change,
  2nd Edition, William Bridges, Perseus Publishing,
  2003
• The Radical Leap A Personal Lesson in Extreme
  Leadership, Steve Farber, Kaplan Publishing, 2004
• Thriving On Chaos A Handbook for Management
  Revolution, Tom Peters, Alfred A. Knopf, Inc.,
  1987