April 10, 2023Dr. V. R. Kesava Ram (P.T.)
LEADING CHANGEJohn P. Kotter
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
Why firms fail…common errors# 1: allowing too much complacency
# 2: failing to create a sufficiently powerful guiding coalition
# 3: underestimating the power of vision# 4: under communicating the vision # 5: permitting obstacles to block the new
vision# 6: failing to create shot term wins# 7: declaring victory too soon# 8: neglecting to anchor changes firmly in
the corporate culture
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
Consequences
New strategies aren’t implemented well
Acquisitions don’t achieve expected synergies
Reengineering takes too long and costs too much
Downsizing doesn’t get costs under control
Quality programs don’t deliver hoped-for results
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
Economic and social forcesdriving change Technological International economic integration Maturation of markets in developed
countries Fall of communist and socialist
regimes Globalization of markets and
competition More competition and increased
speed with Bigger markets and fewer barriers
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
More large scale change in organizations Reengineering Restructuring Quality programs Mergers and acquisitions Strategic change Cultural change
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
THE EIGHT-STAGE PROCESS OF CREATING MAJOR CHANGE
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
1. Establishing a sense of urgency Examining the market and
competitive realities
Identifying and discussing crises, potential crises or major opportunities
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
2. Creating the guiding coalition Putting together a group with enough
power to lead the change
Getting the group work together like a team
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
3. Developing a vision and strategy Creating a vision to help direct the
change effort
Developing strategies for achieving that vision
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
4. Communicating the change vision Using every vehicle possible to
constantly communicate the new vision and strategies
Having the guiding coalition role model the behavior expected of employees
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
5. Empowering broad based action Getting rid of obstacles
Changing systems or structures that undermine the change vision
Encouraging risk taking and nontraditional ideas, activities, and actions
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
6. Generating short term wins Planning for visible improvements in
performance or wins Creating those wins Visibly recognizing and rewarding
people who made the wins possible
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
7. Consolidating gains and producing more change Using increased credibility to change
all systems structures and policies that don’t fit together and don’t fit the transformation vision
Hiring promoting and developing people who can implement the change vision
Reinvigorating the process with new projects themes, and change agents
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
8. Anchoring new approaches in the culture Creating better performance through
customer and productivity oriented behavior more and better leadership and more effective management
Articulating the connections between new behaviors and organizational success
Developing means to ensure leadership development and succession
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
Leadership
Establishing direction Aligning people Motivating and inspiring Producing change
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
Complacency
The absence of major and visible crisis Too many visible resources Low overall performance standards Narrow functional goals Wrong performance indexes Insufficient feedback Kill the messenger of bad news, low candor,
low confrontation culture Denial Too much happy talk from senior management
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
Effective guiding coalition Position power Expertise Credibility Leadership
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
Building a coalition that make change happen Find the right people
Create trust
Develop common goal
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
Relationship between V-S-P-B
visionLEADERSHIP
strategies
plansMANAGEMENT
budgets
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
Characteristics of an effective vision Imaginable Desirable Feasible Focused Flexible Communicable
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
Creating an effective vision First draft Role of the guiding coalition Importance of teamwork Role of the head and the heart Messiness of the process Time frame End product
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
Key elements of the effective communication of vision Simplicity Metaphor Analogy and example Multiple forms Repetition Leadership by example Explanation of seeming
inconsistencies Give and take
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
Barriers to empowerment
Formal structures Lack of needed skills to action Obstructing personnel and
information systems Bosses discourage actions for the
new vision
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
Empowering people to effect change Communicate a sensible vision to
employees Make structures compatible with the
vision Provide the training employees need Align information and personnel
systems to the vision Confront supervisors who undercut
needed change
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
Role of short term wins
Provide evidence that sacrifices are worth it
Reward change agents with a pat on the back
Help fine tune vision and strategies Undermine cynics and self serving
resisters Keep bosses on board Build momentum
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
Why culture is powerful
1. Because individuals are selected and indoctrinated so well
2. Because the culture exerts itself through the actions of hundreds or thousands of people
3. Because all of this happen without much conscious intent and thus is difficult to challenge or even discuss
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
Anchoring change in culture Comes last, not first Depends on results Requires lot of talk May involve turnover Makes decisions on succession
crucial
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
Twenty first century organizationStructure:i. Non bureaucraticii. Limited to fewer levelsiii. Management leads and employees
manageiv. Policies and procedures with
minimal internal interdependence needed to serve customers
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
Systems:i. Many performance information
systems ii. Distribute performance data widelyiii. Offer management training and
support systems to many people
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
Culture:i. Externally orientedii. Empoweringiii. Quick to make decisionsiv. Open and candidv. More risk tolerant
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
The relationship of lifelong learning, leadership skills and the capacity to succeed
in future
Personal history Inborn capabilities Childhood experiences Job and educational experiencesCompetitive driveLevel of standardsDesire to do wellSelf confidence in competitive
situations
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
Life long learningWillingness to seek new challengesWillingness to reflect honestly on
successes and failuresSkills and abilities KnowledgeLeadership skillsOther skills
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
Competitive capacity
Capability of dealing with an increasingly competitive and fast moving economic environment
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
Mental habits that support life long learning
Risk taking- willingness to push oneself out of comfort zones
Humble self reflection- honest assessment of successes and failures especially the latter
Solicitation of opinions- aggressive collection of information and ideas from others
Careful listening- propensity to listen to others
Openness to new ideas- willingness to view life with an open mind
April 10, 2023Dr. V. R. Kesava Ram (P.T.)
Thank you