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Highlights of our full range of training courses / Workshops:

Lean & Agile Supply Chain / Inventory Modelling

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Operations Management / Team Leader Training

Step Change Management / Business Process  Reengineering

Continuous Improvement

Procurement (Purchasing & Supplier Management)

IS / IT / e-commerce

Product Management / New Product Introduction  / Quality  Management

 

Bookmarks for this topic below:

Our full range of training

Relevant Training / Workshops

Expert Systems / Tools

Relevant Further Reading

 

Relevant Training Course / In-house Workshop Highlights:

S13 Culture Development Methods

S02 Business Process Re-engineering Detail

OM01 Organising & Engaging The Team

OM02 Managing and improving individual skills and overall skills levels (Manpower development, Appraisals)

S05 World Class Change Management

You may also be interested in:

S06 / S07: Benchmarking

C01 Focused Improvement Systems

C02 Setting Key Performance Indicators (KPI's)

C03 Measures of Performance

S08 Programme Management

S09 Project Management

 

Expert Systems / Tools:

Achievable benchmarks

Lean & Agile diagnostic checklist.

Relevant Further Reading: The following further articles were mentioned in this paper:

a. Permanently Maintained Website Articles:

Introduction to Benchmarking

Focused Improvement Systems (Continuous Improvement)

Business Process Re-engineering (Organisational Redesign)

b. Previously Featured Articles from our Archives (Up to 2 per organisation available on request):

Previous Best Practices:

B004: Meetings Management

B006: Scarce Skills Management

 

Previous Techniques:

 

Previous Questions:

 

Previous Malpractices:

 

 

Culture Development Methods & World Class Change Management

This article discusses the reasons for change of culture, the obstacles, the mechanisms for change, how to manage the change, and a typical culture change project within the context of a world class change management Process.

Links to related training and further reading on left

The main issue here is having a reason to change. Unless there is a reason, management is unlikely to provide the motivation or resources for change and the personal pain barrier for the management team to cross will be impossible. (They are the people who need to change most.) The major catalyst for change is an emotional event e.g. a major threat, or opportunity.

A wedding

A Significant Emotional Event (S.E.E.)

Without a culture that encourages change, change will be extremely difficult. The first stage of a change project is to measure the current culture. However this in itself is a difficult undertaking in a company that does not exhibit a change track record, since the survey process itself raises expectations or may be treated with cynicism.

This diagnosis must be confidential. It is important before embarking on a diagnosis that there is a commitment to fixing the problems highlighted by it. Otherwise you will build expectations, and not deliver. This could worsen the situation!

Very often the first actions will be to provide "hygiene factor" improvements (fix the toilets, paint the workplace, remove inequalities etc.), for which a small budget is necessary.

A culture development project can progress in a number of ways following the initial diagnosis. Typical culture development projects will result in one or more projects, following on from the initial survey, in:

  1. World Class Change Management: including setting goals and establishment of a culture development programme
  2. Communications changes
  3. Business Process Re-engineering (Organisational Redesign): including the establishment of team-working
  4. Team leader training
  5. Continuous improvement (See Focused Improvement Systems (Continuous Improvement))
  6. Benchmarking (See Introduction to Benchmarking)
  7. Systems and procedure changes (a number of courses cover these and can be focused on particular aspects.

The following summary provides a basis for culture change:

1. The survey

A typical culture survey project will include:

  1. Brief and interview the management team
  2. Customise survey to suit local terminology
  3. Brief staff
  4. Issue survey
  5. Conduct selective staff interviews to validate and support survey
  6. Analyse survey
  7. Customise workshop to focus management on the issues
  8. Workshop (To formally feed back findings to the management team, educate them in relevant best practices, and agree actions)
  9. Feedback to staff
  10. Formulate follow on projects

Topics for investigation include behavioural attributes such as: attitudes, peer pressures, ownership, beliefs, and organisational aspects such as leadership / followership, and communications. This topic is covered in the "S05 World Class Change Management" workshop.

2. World Class Change Management

The diagram below illustrates our view of a complete & continuous world class change management process, which typically (but not necessarily) has an annual cycle, but at least a quarterly review mechanism. It is multidimensional (one dimension being culture). Product & process development dimensions might include:

  • Key capabilities / Core competence (including under-over utilisation)
    • Manpower planning
    • Capital investment
    • Culture
  • Technologies
  • Inventory
  • Marketing
  • Make vs. Buy / Strategic alliances

World Class Development Cycle

It culminates in two types of change driver:

  • Step changes (projects)
  • Key Performance Indicators (KPI's) & Measures of Performance (MOPs) to drive Continuous (but Focused) Improvement

But:

  • It allows top down & bottom up initiatives to drive change in an appropriate fashion. For example does your change management process allow bottom up ideas to be captured and turned into major strategic projects?
  • It allows the process to generate new missions.
  • It incorporates strategic capacity & personal development planning
  • It is a structured and managed process
  • It is a prioritised & fully resourced programme of changes

The criteria for successful change include:

  • Dissatisfaction with the status quo (an S.E.E.). Methods need to be devised to create dissatisfaction, which do not involve a threatened disaster. This topic is discussed in more detail in "Introduction to Benchmarking", and "Focused Improvement Systems (Continuous Improvement)".
  • A properly planned development programme needs to be established with:
    • Priority
    • Costs
    • Resources
    • Risks
    • Time-scales
    • Deliverables
    • Properly defined expectations
    • Enthusiasm
These aspects of change are covered in our S08 Programme Management and S09 Project Management training.

Developments are often not finished due to:

  • Operational pressures
  • Resource disappearing
  • Too many balls in the air
  • No owner (customer) (commitment)
  • Not enough resources
  • Moving the goal posts
  • Flavour of the month
  • Poor programme and project management (a 90% finished project never actually delivers anything)
  • Projects lose their way with over-runs

Typical outputs of an inadequate development process, are poorly designed and incomplete products or processes, which have not been thought through properly or cut short before they are finished due to other priorities.

These aspects of change are covered in our "S05 World Class Change Management" workshop.

 

3. Communications Development

Poor communications are typified by:

  • An active communications "grapevine"
  • Bureaucracy with paper or email mountains
  • Interminable meetings
  • Lack of personal objectives / ineffective skill development processes (See Previous Best Practice B006 Scarce Skills Management)
  • Lack of operational problem solving
  • Lack of operational objectives
  • Blame culture

Development of communications often requires a change of culture. Important in this is the removal of blame since nothing can be improved if problems are not seen as opportunities to improve. Secondly sorting the wheat from the chaff is vital. This can only be achieved if strategic objectives are clear and performance against those objectives is measured. This applies at all levels. From a company mission statement, to a daily stand up meeting to define today's priorities in operations. (These topics are discussed in detail in Focused Improvement Systems (Continuous Improvement) ).

Thirdly if the organisation is functionally based, there is considerable scope for bureaucracy. Realigning the organisation in line with strategic objectives and work-load is essential. As a rule of thumb the number of changes of ownership in a process and the number of steps in the process are key measures of effectiveness and efficiency. This topic is discussed in detail in Business Process Re-engineering (Organisational Redesign)

.

Finally an understanding of the appropriate use of communications mechanisms is needed. Often sending an email is used to record the fact that you have done it (a defence mechanism), rather than to move the process forward, or a meeting is called when a telephone call would do. (See Previous Best Practice B004: Meetings Management.)

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Whilst great care has been taken to provide relevant, accurate, practical, advice based on our considerable process design and development experience, this will almost certainly require interpretation into the context of your unique business. Please be careful in doing so and if in doubt seek expert advice. We would welcome your feedback!

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