leading change in emerging markets

LEADING CHANGE IN EMERGING

MARKETS AND THE ISSUES IN

MANAGING RISKS

Prof. Waswa Balunywa

PAPER FORMAT What is changing The demise of the accountant The changing global environment Risks in the changing global environment Leading change The role of creativity and innovation Skills in managing change

WHAT IS CHANGING The change that is taking place Social media The internet Mobile phone Mobile money Ease of travel Genetic food Email Paperless office Websites blogs

THE DEMISE OF THE ACCOUNTANT The double entry was invented by an

Italian Monk Luca Pacioli in 1494 It has never changed No amount of computer wizardly has

affected it Instead computer has simply taken it

over Very soon, we will not need accountants

CHANGING GLOBAL ENVIRONMENTDefined by risks Economic Risks Geopolitical risks Environmental risks Societal risks

technological risks

10 GLOBAL RISKS OF HIGHEST CONCERN IN 2014 Fiscal crisis in key economies Structurally high unemployment Water crisis Severe income disparity Failure of climatic change mitigation Extreme weather events Global governance failure Food crisis Failure of a major financial institution Profound political and social instability

MANAGING CHANGEManaging change is a process of assessing risks and managing them

This is based on understanding the environment (analysis).

The change we want must be created (creativity and innovation)

Change is orchestrated by visionary leaders (effective leadership)

Sony Walkman Apple iPod

Akio MoritaSteve Jobs

THE ROLE OF CREATIVITY AND INNOVATION

AIR CONDITIONER RCA American Company

Toshiba Japanese Company

THE ROLE OF CREATIVITY AND INNOVATION

ANALYSIS OF THE ENVIRONMENT Understanding risks

Understanding trends

Doing a strategic fit (SWOT Analysis)

Doing a strategic stretch (unusual products)

PROVIDING LEADERSHIP FOR CHANGE Craft the vision

Sell the vision and gain support

Show the WIIFIM factor

Draft and communicate change plan

Communicate desired change

Share results and benefits

Celebrate successes

THE ROLE OF CREATIVITY AND INNOVATION Understand the environment

Focus on customers needs

Create environment for ideas to blossom

Challenge people

Train people in innovation

Kill the creativity killers

CREATIVITY KILLERS This is not my job It is impossible Be practical That is not logical To make a mistake is wrong That is not the right answer Follow all the rules Quick dreaming It is too expensive It is too radical Let us form a committee

HOW TO IMPROVE CREATIVITY Brainstorming

Reverse brainstorming

Imagry

Free association

Meditating

SKILLS IN MANAGING CHANGE

Strategic thinking Leadership Creativity skills Communication skills

CONCLUSION Only about 20% change initiatives

succeed Technology is a key driver of change Creativity and innovation is a lifeblood

of change

RECOMMENDATION

Change or Die