Organizational Change & The Learning Organization

Transcription

1 Organizational Change & The Learning Organization Lecture Fourteen MGMT S-4000 (Stine) December 7, 2016

2 Agenda Two Culture videos Articles Zappos (Case) Google Project Oxygen (Case)

3 Review - Definition Organizational Culture A system of shared meaning held by members that distinguishes the organization from other organizations - Develops over many years - Is rooted in deeply-held values to which employees are very committed - Is descriptive, not evaluative (perception, not feeling) - Both dominate and sub-cultures exist

4 Culture Example: Apple

5 Culture Example: Google

6 Discussion: Strategies for Learning from Failure

7 Discussion: Lost In Translation

8 Creating Cultures of Innovation A specialized type of change: new ideas applied to initiating or improving a product, process or service Structural variables: Positively influenced by organic structures (lower vertical definition, formalization, centralization), stable management, available resources Culture tends to reward experimentation and celebrate mistakes - If culture rewards for absence of failure, it is not innovative Human resources: Actively promote training and development of employees, offer high job security, encourage individuals to become idea champions, or champions of change

9 Technical vs. Adaptive Challenges Technical challenges can be addressed through expertise, knowledge - Example: integrating two IT systems Adaptive challenges can only be addressed through changes in people s beliefs, priorities, habits, and loyalties. - Example: merging two very different corporate cultures - Process of meeting adaptive challenges involves shedding entrenched ways, tolerating losses, and generating new capacity to thrive anew

10 Technical and Adaptive Challenges Kind of Challenge Problem Definition Solution Locus of Work Technical Clear Clear Authority Technical & Adaptive Clear Requires Learning Authority & Stakeholders Adaptive Requires Learning Requires Learning Stakeholders People don t resist change nobody gives back a winning lottery ticket. People resist loss. (Ron Heifetz, The Practice of Adaptive Leadership )

11 Zappos Case: Introduction a) 0-10 b) c) 30+

12 Zappos Customer Service What made it so special?

13 Organizational Choices What organizational choices allow Zappos to deliver this service?

14 What is the Role of Culture at Zappos?

15 How Does Zappos Make Money?

16 What Will Happen Post-Merger What are some potential benefits? What might worry Tony Hsieh?

17 Post-Merger (2008) Zappos Insights : (2012) Fulfillment Center transitions to Amazon (2014) We re hoping 10 or 15 years from now people won t even realize we started out selling shoes online, and we could even one day have a Zappos hotel or Zappos airline, he said. It s just about delivering the very best customer service and customer experience. (2014) Amazon goes to $5000 to quit in Kentucky facility (2015) Holacracy : Now, instead of having a single job and a direct boss, every employee is part of multiple groups, called circles, that revolve around their skills and interests. Employees who thrive in sales, event planning and customer service, for example, can contribute to each of those circles and manage themselves in the process.

18 Google Project Oxygen Case

19 How Would You Describe Google s Culture?

20 What are the key features of an engineeringdominated culture?

21 Both Page and Setty describe Google as a family. What are they saying about the organizational culture?

22 Others describe the culture as concensus-oriented. What does this suggest?

23 What was the view of managers prior to Project Oxygen? Why did engineers view managers so negatively? What was their (often unstated) view of the managers job/role? What do you think it was like being a low- or mid-level manager in Google s early years?

24 What kind of people work at Google? What are their personal qualities?

25 What should the role of managers be in such a setting? What is the role of the HR function?

26 What is your evaluation of Project Oxygen as a change process? What is your evaluation of the steps the team took to identify the characteristics? To roll out the program? To improve management effectiveness?

27 What are the Oxygen 8 Attributes? What value do they provide? Are they just broad generalizations, like you might find in a text book? Was there anything that surprised you about the list of attributes?

28 What should Setty do next? What should his priorities be? What criteria should he use for choosing among projects?

29 Lewin s Three-Step Change Process Unfreezing can be achieved by: Increase driving forces that direct behavior away from the status quo Decrease restraining forces that hinder movement from the existing equilibrium Combine the two above approaches

30 Kotter s Eight-Step Plan Unfreezing 1. Create urgency 2. Form coalition 3. Create new vision 4. Communicate the vision Movement 5. Empower others 6. Reward wins 7. Consolidate improvements Refreezing 8. Reinforce the change

31 Michael Beer Change Model Amount of Change = (Dissatisfaction x Model x Process)

32 Overcoming Resistance to Change Education and Communication Participation Building Support and Commitment Implementing Changes Fairly Co-optation Selecting People who Accept Change Coercion Change agents can assist this process

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34 Some closing thoughts.. Behavior at work is not a random phenomenon Attitudes and behaviors can be predicted and explained with a reasonable degree of accuracy There are many useful concepts, perspectives and tools that individually offer insights into behavior and taken together illuminate a complex system that can help you explain, predict, and control organizational behavior

35 And a quote The wicked leader is he who the people despise. The good leader is he who the people revere. The great leader is he of whom the people say, we did it ourselves. -- Lao Tsu