Leadership and Change

1
Leadership and Change

• Topic 9
• Leadership, Transition and Change (Part 3)

2
Lecture Structure

• Introduction
• Leadership Organisational life-cycle
• Leadership Styles during Change
• Leadership and Resistance to Change
• Leading Change
• Influencing Corporate Culture
• Developing a Vision
• Implementing Change
• Encouraging Learning and Innovation
• Summary and Conclusions

3
Introduction

• Leading Change The essence of leadership
  (Yukl, 2002 273)
• Can the same leader take the organisation through
  all stages?
• Link to theories we examined in Part 2
• Trait theory
• Behavioural theories
• Contingency ideas Hersey and Blanchard House
  Path Goal Theory Fiedler personality of leader
  too stable to allow one person to lead
  organisation through all change eras
• Transformational Leaders
• Providence sends a Pope for every era
  (Cardinal Salvatore Pappalardo, ITN News
  18/04/2005)
• People have different ways of coping with change

4
Leadership Organisation Life Cycle
5
Leadership Styles during ChangeDunphy and Stace,
(1993)
Change Mgt Style
Fine- tuning
Incremental adjustment
Modular transformation
Corporate transformation
Collaborative
Type 1 Participative evolution
Type 2 Charismatic transformation
Consultative
Directive
Type 3 Forced evolution
Type 4 Dictatorial transformation
Coercive
6
Leadership and Resistance to Change Forces for
and against change

• Driving forces for change
• External forces
• Internal forces
• Driving forces against change
• Individual resistance
• Organisational resistance

7
Leadership and Resistance to ChangeIndividuals
reactions to change
Positives Enthusiasm Opportunity Challenge Exc
itement New skills New knowledge Reward Fulfilment
Survival New start Creates options Learning
experience Motivation
- Negatives Fear Anxiety Shock Distrust Anger St
ress Resentment Confusion Uncertainty De-motivatio
n Depression Loss of self-esteem Loss of identity
- Negatives Loss of peer group Letting
go Saying goodbye Distraction Family
disruption Insomnia Conflict Politics Stubbornness
Critical reactions Mutiny Disown/Block Misunderst
anding
8
Leadership and Resistance to Change Assessing
resistance to change

• Look for closed attitudes
• Look for an entrenched culture
• Look for rigid structures and systems
• Look for counterproductive change dynamics
• Assess the overall resistance to change by
• examining to what extent the various forces of
  resistance are correlated with one another
• describing the resistance threshold in terms of
  power and resources needed to deal with the
  resistance

9
Leading ChangeInfluencing corporate culture

• Need for Transformational Leadership
• Primary ways to influence culture (Schein, 1992)
  
• What the leader attends to
• Crisis Management
• Role modelling
• Allocating Rewards
• Selection and dismissal
• Secondary influence
• Systems and procedures
• Structural design
• Facilities design
• Stories and myths
• Formal statements

10
Leading ChangeDeveloping a vision

• Vision is vital before support for any radical
  change can be gained
• Simple and idealistic
• Challenging yet realistic
• Focused yet general
• What the organisation does, why is it worthwhile
• Needs to excite, arouse emotions and stimulate
• Key issues
• Involve Key stakeholders
• Strategic Objectives with wide appeal
• Relevant elements in old ideology
• Vision and core competencies of firm
• Continual reassessment

11
Leading Change Implementing Change

• People Oriented Actions
• Urgency
• Preparation
• Help and support
• Opportunities for success
• Progress reports
• Continued Commitment
• Empowerment

• Political Actions
• Support v Opposition
• Coalition Building
• Key Positions and Task Forces
• Dramatic Symbolic changes
• Small beginnings
• Structural change
• Monitoring

12
Leading ChangeEncouraging Learning, Innovation
and Creativity

• Significant change involves learning and
  continuous improvement
• Learning Organisation model
• Encouraging Innovation and Flexibility
• Improving mental models
• Using surprises and failures
• Experimentation
• Use outsiders
• Reward learning and innovation

13
Leading Change Encouraging Learning, Innovation
and Creativity

• Using Strategic Entrepreneurship
• Positioning Strategy Senior management role
• New corporate ventures
• Developing Innovation within the organisation
• Utilising people from all levels to enable
  innovation
• Dangers of managerial resistance as trustees of
  human and material resources
• Major pre-occupation is with existing operation
  feed today and starve tomorrow (Drucker, 1999)

14
Enterprise and the Organisation Engendering
Corporate Intrapreneurship

• Developing an Entrepreneurial Culture
• Entrepreneurial values and activity at all levels
• Major shift in thinking challenge to status quo
• Need for innovative learning (Fenwick 2003)
• Personal needs for individuals Challenge and
  Variety Freedom Purpose and meaning (social)
  Recognition and pride
• Forms of innovative learning Generating multiple
  ideas Scanning and optimising continuous
  problem-solving self confidence
• Instilling creativity into processes

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Leadership and Change Summary

• Role of Leader vital to all issues in Change and
  Transition
• Wide Theoretical Base
• Who are Effective Managers?
• Leaders v Managers
• Developing Leaders to Lead Change

16
References and reading

• Yukl. G. (2002) Leadership in Organisations (5th
  Edition), NJ Prentice Hall. (Chapter 10)
• Dunphy, D. and Stace, D. (1993) The strategic
  management of corporate change, Human Relations,
  46 (8) 905-20
• Schein, E.H. (1992) Organisational Culture and
  Leadership (2nd Ed) San - Francisco Jossey-Bass.
• Senior, B. (2002) Organisational Change, London
  Prentice-Hall. (Chapter 6)