Managing Change - Lecture Notes PDF

Managing Change Cambiamento Organizzativo e Progettazione dei Processi Aziendali Laurea Magistrale in Ingegneria Gestionale Matteo Vignoli, University of Bologna E' vietata la copia e la riproduzione dei contenuti e immagini in qualsiasi forma. E' inoltre vietata la redistribuzione e la pubblicazi...

Managing Change Cambiamento Organizzativo e Progettazione dei Processi Aziendali Laurea Magistrale in Ingegneria Gestionale Matteo Vignoli, University of Bologna E' vietata la copia e la riproduzione dei contenuti e immagini in qualsiasi forma. E' inoltre vietata la redistribuzione e la pubblicazione dei contenuti e immagini non autorizzata espressamente dall'autore o dall'Università di Bologna. 17 Dicembre, 2024  Change… “You never change things by fighting the existing reality. To change something, build a new model that makes the existing model obsolete” Richard Buckminster Fuller © Matteo Vignoli - ALMA MATER STUDIORUM Università di Bologna 2 Humanity evolves by sudden leaps 4 Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert  … Post-modern /Information Scientific / Industrial Traditional / Agrarian Magic / Tribal Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert RED ORGANIZATIONS Street gangs Mafias Mercenary armies Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert KEY BREAKTHROUGH 1 Division of labor 2 top down authority 8 Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert AMBER ORGANIZATIONS Catholic Church Armies Government agencies Public school systems Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert KEY BREAKTHROUGHS 1 Replicable processes 2 Stable Organizational Chart Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert ORANGE ORGANIZATIONS Multinational organizations Wall street Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert KEY BREAKTHROUGHS 1 Innovation 2 Accountability 3 Meritocracy Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert ORANGE SHADOW Innovation gone mad Success in terms of Money materialistic 15 Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert GREEN ORGANIZATIONS Starbucks Southwest Airlines Zappos.com Ben&Jerry’s Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert KEY BREAKTHROUGHS 1 Empowerment 2 Values-driven culture 3 Stakeholder model Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert GREEN CONTRADICTIONS Egalitarian and hierarchical at the same time 19 Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert no organization is 100% “Orange” or “Green.” Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert What’s next? Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert TEAL ORGANIZATIONS Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert  Heiligenfeld FAVI Sounds True HRD BUURTZORG Psychiatric Automotive Media Human support hospitals supplier AES ESBZ Buurtzorg Patagonia Electricity School Health care Retail generation Morning Star BSO/Origin Sun Hydraulics Holacracy Food processing IT Services Hydraulic valves E-commerce Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert KEY BREAKTHROUGHS 1 Self management 2 Wholeness 3 Evolutionary Purpose Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert 1. Self-management 2. 3. Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert HIGH COMPLEXITY LOW COMPLEXITY Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert hierarchy cannot cope with complexity 28 Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert Decision making Information flows Performance Project management management Organizational Investments Staff functions structure Job titles and job descriptions Compensation and incentives Conflict management Dismissal Crisis management Meetings 1. Self-management Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert Hierarchical decision ADVICE Consensus making PROCESS Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert 1. Self-management 2. Wholeness 3. Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert  1. Self-management Deeper part 2. Wholeness Ego 3. Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert Deeper part Ego 2. Wholeness Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert  Masculine Feminine 2. Wholeness Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert  Emotional Intuitive Rational Spiritual 2. Wholeness Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert  Feedback & Storytelling Evaluations Recruitment Compensation & incentives On-boarding Working hours Safe space Job titles and job descriptions Storytelling Conflict resolution Dismissal Office spaces Meetings 2. Wholeness Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert 1. Self-management 2. Wholeness 3. Evolutionary purpose Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert 1. Self-management 2. Wholeness 3. Evolutionary purpose Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert  Marketing Competition Profit & market share Product management & Innovation Performance On-boarding management Strategy Change management Recruitment Planning & budgets Targets 3. Evolutionary purpose Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert BUURTZORG + BOARDING HOUSE Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert 1. Self-management 2. Wholeness 3. Evolutionary purpose Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert  45 Reinventing organizations - Frederic Laloux Illustrations by Etienne Appert  Change… “If you want to make enemies, try to change something” W. Wilson © Matteo Vignoli - ALMA MATER STUDIORUM Università di Bologna 46 © Matteo Vignoli - ALMA MATER STUDIORUM Università di Bologna 47  Variability in change How to give full meaning to the organizational terminology used to describe change? Three typical variability of change beyond its purposes: A. Intensity: radical vs. incremental B. Intentionality: planned vs. emergent C. Focus: wide vs limited © Matteo Vignoli - ALMA MATER STUDIORUM Università di Bologna 48  A. Intensity of change metaphors (Marshak, 1993): – Fix and Maintain – Build and Develop – Move & Relocate (transition) – Liberate & Recreate (transformation) © Matteo Vignoli - ALMA MATER STUDIORUM Università di Bologna 49  A1. Fix and Maintain Organization as a machine Secure the things as they are or restore operation – Declining enrollments: intensify the action of orientation in schools – Communication inefficient: eliminate interference Do not question the activities and their modalities of execution Implicitly excludes the possibility of learning © Matteo Vignoli - ALMA MATER STUDIORUM Università di Bologna 50  A2. Build and Develop Accept the idea of learning and improvement, provided within the structure (underlying parameters) of the existing system Examples of bounded improvements: – planned improvements to performance – introduction of cross-functional teams – enrichment of tasks © Matteo Vignoli - ALMA MATER STUDIORUM Università di Bologna 51  A3. Move & Relocate Change as a transition from a state A to state B (stable and known a priori) The transition requires changing the background parameters of the system The move is planned by management that plays a central role – outsource activities (outsourcing) – passage to the divisional structure – integrate systems and the structure of the acquired company... © Matteo Vignoli - ALMA MATER STUDIORUM Università di Bologna 52  A4. Liberate & Recreate Change as processing continues, not as a transition from a position A to a position B Process without end whose results emerge from experimentation and interaction between actors, especially middle management Unleashing the potential to create a new organizational vision of the future The main obstacle is the threat that executives warn in fostering enrichment of knowledge and skills at all levels © Matteo Vignoli - ALMA MATER STUDIORUM Università di Bologna 53  A. Managing the Metaphors of Change The different concepts of change contained in the 4 metaphors are not mutually exclusive (different people may feel different metaphors appropriate) It is important to clarify and share the presuppositions and assumptions which underpin the choice of metaphor The 4 metaphors constitute a hierarchy The mentality of the metaphor 4 (free from schemes and flexible) allows to be able to make use of the others © Matteo Vignoli - ALMA MATER STUDIORUM Università di Bologna 54  B. Intentionality of change (Planned) The goal and how to achieve it are fixed in advance by senior management The project is created when top management perceives the opportunity or the need to change Senior management has a significant influence on the project: generates alternative solutions; chooses the one deemed best; coordinates the activities Often requires a specific role as a facilitator of change agent © Matteo Vignoli - ALMA MATER STUDIORUM Università di Bologna 55  B. Intentionality of change (Emergent) It comes from actors at all hierarchical level, but usually close to the business (workaround) It 'a decentralized process of continuous learning and adaptation It is based on the idea that a few top executives can not cope alone with the complexity and uncertainty of a large organization The role of top management changes: communicate the vision, encourage and reward experimentation, adopt the proposals considered satisfactory, secure the resources © Matteo Vignoli - ALMA MATER STUDIORUM Università di Bologna 56  C. Focus of change Change can be initiated at different levels (whole enterprise, individual area) It is artificial to separate areas and levels because of the interdependence between parts It is more appropriate to focus on the level of change in the terms: where it is more appropriate to start? A very large focus is also very risky, because it is difficult to analyze and control It is often convenient to start prototypes in limited areas and then replicate The success of the pilot project demonstrates the benefits of change and often reduce resistance to change © Matteo Vignoli - ALMA MATER STUDIORUM Università di Bologna 57  Types of change PLANNED EMERGENT WIDE BPR RADICAL LIMITED WIDE INCREMENTAL Countinuos LIMITED Improvement through teams © Matteo Vignoli - ALMA MATER STUDIORUM Università di Bologna 58  Types of change PLANNED EMERGENT Organic Development WIDE BPR (e.g. Start-up) RADICAL Changes in selecting LIMITED New areas or offices new team members from the team itself WIDE INCREMENTAL Budget Organizational Learning Planned performance Countinuos LIMITED changes in individual Improvement through areas teams © Matteo Vignoli - ALMA MATER STUDIORUM Università di Bologna 59  Change… “The greatest danger in times of turbulence is not the turbulence― It is to act with yesterday’s logic.” Peter Drucker © Matteo Vignoli - ALMA MATER STUDIORUM Università di Bologna 60  Project coaching Venerdì 20 Dicembre, 13 - 16 Direct support to every project team: 15 minutes slot for every team get ready and bring the X-isfinished, the Simulation Idea and the hunting plan Be visual - go beyond words: show sketches, notes, images Be focused and gather in teams to work on your project while you are not in a coaching session, it’s in-class project-work time! Time: TBD © Matteo Vignoli - ALMA MATER STUDIORUM Università di Bologna 61