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Organizational Transformation:  Breathing life back into that old boot.

Organizational Transformation: Breathing life back into that old boot. Do you keep the transformation close to the vest or do you give it room to breathe life into the process?

HW Associates Debate

Where is change most effectively managed? Should we treat transformation as an insider function or treat it more like you would a start up business?

Many corporations utilize the same tried and true methods of organizational change. If you take a corporate CEO sponsor from the business and then add a project manager to provide project oversight as you keep a watchful eye on the project to ensure that the project does not grow beyond its original scope. Is this method worth repeating? Or it is more valuable to treat it like a start-up business?

Here’s the debate.

 
The Debate Point Counterpoint
Insider function:

A watched pot many never boil over – change may never happen.
Risk needs to be balanced and kept in check. Oversight is critical to the success of the organizational change efforts. Remaining status quo while expecting a different outcome is counter intuitive to the change process. This is a huge risk as forward movement has the potential to stagnate the change process. There is so much at risk to remain status quo.
Employee value proposition: Senior management may lose control of the change management initiative. The organization will not attain maximum benefit or bang for their buck as expected. Change management requires selection of the right team and directly them to a clear and attainable goal. Success is based upon being focused upon the large and small picture.
A team that has little or no interaction with the larger organization has zero opportunity to ensure that their ideas for change to be approved. The business will reject the ideas – no matter how great – due to the fact that the team is autonomous from the primary organization and lacks buy in. A great management team knows that it takes vision, determination, and drive to create success within the organizational change climate. Ultimately, it is about VISION. People must get excited by the process in order to effectuate change. Business as usual will not work!
 
The Debate Point Counterpoint
Breathing life back into that old boot:

Most organizational change processes do not meet expectations. We need a different approach.
Rapid solutions. Quick turn around.  Know that speed matters to most. A team cannot get bogged down with current processes if they are to move forward.  Old habits will bog down the process of transformation. The corporate environment is ever changing.  A team that is insulated will just get to the wrong answer faster when change is permitted.  Yet, does it?
Team work.  Dedication.  Best and Brightest.  All words that are designed to deliver a superior outcome.   Yet, does it? Responsibilities.  Overlap.  Task management.  All relate to the potential of wearing more than one cap.  The organization will need to have the best people to play a role in the day-to-day business if we are to have successful organizational change.
Cost prohibitive.  That is the word of the day.  It is going to cost more if we have to fight with our corporate infrastructure in order to effectuate change.  Yet is it not MORE expensive to not have the change? Our infrastructure is reality. Better to build from there than dream up impractical solutions that cost a lot more.

Helen L. Horvath, MA, PsyD (Cand), Principal, Founder/CEO, HW AssociatesMy Take: Helen L. Horvath, MA, PsyD (Cand), Principal, Founder/CEO, HW Associates

So many change initiatives begin with the excitation phase that things will be different.  Then the process begins and the organization has a difficult time managing the change.  Why?  Many times, the organizational leadership wears too many hats that will cause them to split their time between the change initiative and their actual organizational responsibilities.  The change initiative becomes like the small fish in the ocean swallowed up by the shark.  Just as the shark swallows the small fish; the change initiatives have the potential of being swallowed by other larger initiative underway in the business.  Successful transformation requires a dedicated staff of employees who are on the case to treat the change initiatives as if they were a new start up business.  Thus the bureaucracy is held at a minimum.  The change management team is large enough to create successes while small enough to maneuver through the minutia.  This allows the team to keep their eye on the prize – making the initiative stand up to the leadership’s expectation and key measurements within the change process.  Success will be within reach.

Utilizing the start up model, the organization will affect four basic aspects of the change model.  These four aspects are:

Objectives: Creation of a vision, opportunity

Resources: Creating impact, incentives, community, and a willingness to experiment in communication of the organization’s brand to the work at large.

Funding: When utilizing a start up approach to change management, spending is cut down to the bare bones. 

Operational Approach: Visibility. Equity.  Communication.  Hands-on management approach.  Minimal delegation. Maximum efficiency; minimal time.

Objectives:
When working with a start up model, organizations have no confusion about the objectives within the day to day operations.  This permits the team to Vision, Opportunity, and Impact within the organization.  Through the use of the start up model, organizations are able to quickly move past the typical barriers within the organization such as competing organizational and divisional initiatives, individual motivations, business versus logistics versus IT and so on.  The organization has only one common enemy that will drag the transition team down – time.

Resources:
In order to survive the use of the start up model, the management team of the organization needs to be willing to pursue their passions while creating impact, incentives, community, and a willingness to experiment in communication of the organization’s brand to the work at large.  These team members are the best of the best – people who are willing to step out of their comfort zones.  Utilizing the start up model of change management allows organizations to get the best out of their top talent while limiting membership within the change management team.  It is easier to manage a small group of top notched employees than it is to struggle with huge teams of individuals.  It is critical to assign roles within the change process no matter how small the role is.

Funding:
When utilizing a start up approach to change management, spending is cut down to the bare bones.  Whether it is compensation, day to day operational expenses, or investments.  It is about keeping the organization open for business, spending judiciously, and looking for the big pay off at the end.

Operations:
Visibility. Equity.  Communication.  Hands-on management approach.  Minimal delegation. Maximum efficiency; minimal time. This is what makes a start-up exciting – and another reason this model can be the best choice for massive, top-heavy organizations.  Cutting down on the complexity of the organizational support efforts, such as technology, will reduce the cost to implement the various change efforts.

If that sounds risky, consider this. The biggest risk is spending years and a lot of money pursuing a transformation that doesn’t pay off because it slowly veers off course. Staff your transformation start-up with the right people, give them a clear goal – and get out of the way.

Library:
Library: HW Associates Debates
Services:  Consulting
Overview: Change management

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