RCPA CONFERENCE CULTURE AND LEADERSHIP OCTOBER, 2015

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1 RCPA CONFERENCE CULTURE AND LEADERSHIP OCTOBER, 2015

2 2014 Merriam-Webster Culture is Catching on Edgar Schein ( Culture is an abstraction, yet the forces that are created in social and organizational situations that derive from culture are powerful. If we don t understand the operation of these forces we become victim of them.

3 It is a pattern of responses discovered, developed, or invented during the group's history of handling problems which arise from interactions among its members, and between them and their environment. These responses are considered the correct way to perceive, feel, think, and act, and are passed on to the new members through immersion and teaching. Culture determines what is acceptable or unacceptable, important or unimportant, right or wrong, workable or unworkable. It encompasses all learned and shared, explicit or tacit, assumptions, beliefs, knowledge, norms, and values, as well as attitudes, behavior, dress, and language. (Business Dictionary, 2015) The behavioral NORMS & EXPECTATIONS shaped in part by SAHRED VALUES & BELIEFS, that guide organization members in how they should approach their work and interact with one another. (Cooke & Szumal 1993) A pattern of SHARED BASIC ASSUMPTIONS that the group has learned as it solved its problems of external adaptation and internal integration, that has worked well enough to be considered valid and, therefore, to be taught to new members as the correct way to perceive, think, and feel in relation to those problems (Schein, 2010).

4 What is Culture? (

5 Culture Formation CULTURE Human need for stability, consistency & meaning Stability of membership Shared Learning History of shared experience GROUP

6 T-Groups Pioneered in the mid-1940 s by Kurt Lewin and his colleagues as a method of learning about human behavior The National Training Laboratories (now NTL Institute of Behavioral Science) created by the Office of Naval Research and the National Education Association in Bethel, Maine, in 1947 First conceived as a research technique Goal - Change the standards, attitudes and behavior of individuals Evolved into educational and treatment schemes for nonpsychiatric patient people

7 Groups The Foundation of Culture and Effectiveness Group Task/Content Function The Goal The Subject The Work To Be Bone The Discussion Elements The What - The Words Group Process Function The How - The Music The Services Rendered The Problem To Be Solved The Decision To be Made The Objective Task Process How are we going to do the task effectively? Approaches Procedures Rules Problem Solving Techniques Decision Making Priority Setting Ideal Generation Etc. Maintenance Process How are we going to relate to each other while we are doing the Task? Psychosocial Needs - Maslow Style of Interaction Constructive Interpersonal Relationships Group Dynamics Evaluation & Feedback (Ind. & Org. Learning)

8 Antecedents & Levers For Change Operating Culture OCI Norms Outcomes Resources Human Financial Knowledge Underlying assumptions Espoused values (Ideal Culture) Philosophy Mission Goals Strategies Demands Performance OCI-Ideal Structures Roles Influence Decisionmaking Systems Training Appraisals Reinforcement Goal Setting Technology Job design Complexity Inter- Dependence Skills/ Qualities Leadership Communication Bases of Power OCI-Current Individual Outcomes Motivation Performance Satisfaction Stress Group Outcomes Teamwork Inter-unit coordination Unit-level quality Skills/ Qualities Organizationallevel quality Quality of customer service External adaptability Efficiency Adaptation

9 Higher-Order Satisfaction Promote behaviors directed toward the fulfillment of higher-order satisfaction needs Lower-Order Security Promote behaviors directed toward the fulfillment of lower-order security needs Concern for Task Reflect expectations for behaviors that are task-oriented Concern for People Reflect expectations for behaviors that are people-oriented

10 OCI Circumplex Cultural Norms

11 Types of Organizational Cultures Constructive Passive/Defensive Aggressive/Defensive Encourage members to interact with people and approach tasks in ways that will help them to meet their higher-order satisfaction needs. Encourage or implicitly require members to interact with people in ways that will not threaten their own security. Encourage or drive members to approach tasks in forceful ways to protect their status and security. Research and development by Robert A. Cooke, Ph.D. and J. Clayton Lafferty, Ph.D. 11 Copyright by Human Synergistics International. All Rights Reserved.

12 Research and development by Robert A. Cooke, Ph.D. and J. Clayton Lafferty, Ph.D. Copyright by Human Synergistics International. All Rights Reserved.

13 Group/Team-Building Stages The politeness stage The bid for power stage The constructive stage The esprit stage The why are we here stages

14 Our Response to Change FOCUS ON ENVIRONMENT DENIAL Productivity COMMITMENT PAST FUTURE RESISTANCE EXPLORATION FOCUS ON SELF

15 Organizational Level Wabash Associates he Communication Cascade Senior Leadership Team DENIAL COMMITMENT RESISTANCE EXPLORATION Managers DENIAL COMMITMENT RESISTANCE EXPLORATION Employees DENIAL COMMITMENT RESISTANCE EXPLORATION Time

16 GE MANUFACTURING BUSINESSES ( ) GE Transportation Erie, PA GE Motors Jonesboro, AK & Ft. Wayne, IN GE Engineered Cast Products (Foundry) Erie, PA GE Energy Service Shops (Southern States) HQ Atlanta, GA GE CAPITAL FINANCIAL SERVICES BUSINESSES ( ) GE Equipment Finance Danbury, CT GE Equity Stamford, CT (Global) GE e-business, Stamford, CT (Global) GE Capital HQ Stamford, CT (Global) GE Restructuring Global HQ, Tokyo, Japan GE Commercial Finance Houston, TX GE Franchise Finance, Scottsdale, AZ GE Engineering Services Businesses ( ) Power Generation Services HQ, Atlanta, GA GE Nuclear Energy Global HQ, San Jose, CA GE Nuclear Services Global HQ, San Jose, CA GE Reuter Stokes Twinsburg, Ohio

17 Leadership ʺ... that process in which one person sets the purpose or direction for one or more other persons, and gets them to move along together with him or her and with each other in that direction competently and with full commitment.ʺ (Jaques and Clement, Executive Leadership) ʺ... the art of mobilizing others to want to struggle for shared aspirations.ʺ (Kouzes and Posner, The Leadership Challenge) ʺ... enabling people to use their own initiative and experiences rather than... denying or constraining their experiences and actions.ʺ (Bennis and Nanus, Leaders)

18

19 Bag Full of Nickels Simple Zero- Sum Game A zero sum game is a term used in game theory to describe both real games and situations of all kinds, usually between two players or participants, where the gain of one player is offset by the loss of another player, equaling the sum of zero. Since one win is equal to one loss, this are called zero-sum games. Wins perfectly balance losses resulting in zero. Examples of zerosum games include games like checkers or chess

20 SAY Wabash Associates High Say/High Do Open, honest and direct communication Always DO Never Best Practice Creates high trust; builds satisfaction & commitment High Say High Do High Say Low Do Mixed signals Low trust in leadership; communication seen as all talk and no action Mixed Signals Creates low trust environment; encourages grapevine; high speculation and low trust Low Say High Do Low Say Low Do Bad practice Especially if employees think there is a lingering problem of future danger Never

21 What is Leadership? (

22 Employee commitment is earned...only after basic needs are met Wabash Associates GE s Communication Model Basic knowledge needs as employees describe them: Vision, mission, strategy Commitment 6 5 Measurements, regular updates from manager 4 How can I help? Where are we headed? How s my unit doing? 1 What is my job? Does anyone care? Marketplace-based Job responsibilities How am I doing? 3 2 Feedback, performance review, coaching Listening, recognition

23 Edgar Schein The Future of Leadership Humble Inquiry (

24 The Talent Optimization Framework Key Enablers Leadership The Talent Management System Strategic Alignment Performance Management HR Capacity Results The Best Talent Lower Costs Culture Talent Assessment Learning & Development Talent Data Analytics Improved Diversity Of Talent Improved Business Outcomes Copyright 2011 by Information Age Publishing All rights of reproduction in any form reserved. Reproduced with permission from the Author, Linda Sharkey.

25 HOW TO TURN VALUES INTO BEHAVIORS Values into Actions WE BY TO Embrace ( Verb ) ( Behavior/Actions ) ( Desired Outcome ) Honesty ( Value ) talking directly to people we have issue develop greater trust & teamwork MUSTS: REINFORCE ENFORCE

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