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© 2013 The Forum Corporation.
Fostering Behavior Change to
Create a Lasting Business Impact:
CEMEX Change Journey
© 2012 The Forum Corporation.
2 © 2012 Forum Corporation
(800) 263-6317 or (805) 690-5753
Tweeting? Please mention: #changejourney
3 © 2012 Forum Corporation
For More Info / To Register / To Access Archive:
Search “Webinars” or “On Demand” at TrainingIndustry.com
4 © 2013 Forum Corporation
Your Presenters, Forum
History:
Founded in 1971
Global pioneer and
innovator in the industry
Driving business performance
through:
Leadership Development
Sales Optimization
Customer Experience
People and places:
300 employees and associates
14 global offices
Presence in 28 regions around the
world
Andrew Shapiro Vice President and
Regional Sales Director,
Forum
5 © 2013 Forum Corporation
Your Presenters, CEMEX
44,000 employees worldwide
9,100 employees in the US Josue Basave Aguiar
Senior HR Planning and
Development Manager, CEMEX
Marla D. Roberson
Vice President, Human Resources –
Staffing, Planning, Development &
Pipe, CEMEX
Annual sales 2012 $14.98 billion
Operating EBITDA 2012 $2.61 billon
One of the leaders in each of our core
businesses:
cement, aggregates, ready-mix concrete,
and pipe
Presence in more than 50 countries across
the Americas, Europe, Africa, the Middle East
and Asia
Trade relationships in more than 100
nations and one of the world’s top traders of
cement and clinker
6 © 2013 Forum Corporation
Takeaways for today
You’ll walk away with:
Insights on the challenge of behavior change: why it’s
important and hard
Practical tips for high-impact learning plans that
really drive behavior change
An example of how one organization saved their
company through behavior change
1
2
3
7
“Strategic initiatives represent
the force that accelerates an
organizational mass into action,
overcoming inertia and
resistance to change.”
—The Execution Premium, Kaplan & Norton
8 © 2013 Forum Corporation
Change is now a constant
77% of organizations
launched at least 3 change
initiatives over the prior 12 months.
73% project another 2 or more
initiatives over the following 12
months.
24% of organizations
projected 5 or more change
initiatives.
—“Leaders of Change,”
Economist Intelligence Unit, 2011
9 © 2013 Forum Corporation
The 5 Stages of an Initiative
Initial enthusiasm and optimism
Confusion, panic, and disillusionment
Search for the guilty
Punishment for the innocent
Praise and honors for the nonparticipants
4
1
2
3
5
10 © 2013 Forum Corporation
Poll
How effective is your organization at
sustaining behavior change?
A. Not at all
B. Somewhat effective
C. Moderately effective
D. Effective
E. Highly effective
11 © 2013 Forum Corporation
9
54
24
11
3
0
10
20
30
40
50
60
Not at all effective
Somewhat effective
Moderately effective
Effective Highly effective
Perc
en
t o
f R
esp
on
den
ts
The research said…
12 © 2013 Forum Corporation
The Phases of a Change Initiative
Gaining buy-in
to the
initiative’s
goals, metrics,
and
implementation
plan
Laying the
foundation for
behavior
change by
teaching new
concepts and
skills
Supporting
people in
applying and
embedding
new attitudes
and behaviors
on the job
ALIGN EQUIP SUSTAIN
13 © 2012 Forum Corporation
How Do You Invest Your Time and
Resources?
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
50%
33/33/33 20/60/20 40/20/40 50/25/25 25/25/50
Perc
en
t o
f R
esp
on
den
ts
14 © 2012 Forum Corporation
Is there a difference between effective
organizations and ineffective ones?
0%
10%
20%
30%
40%
50%
60%
33/33/33 20/60/20 40/20/40 50/25/25 25/25/50
Perc
en
t o
f R
esp
on
den
ts
Leaders
Laggards
15
“Beginning is easy.
Continuing is hard.”
Japanese proverb
16 © 2013 Forum Corporation
Need It Uncover gaps in performance
and improvement opportunities
Do It
Engage in deliberate practice
Live It
Integrate behaviors into
the work
See It
See what successful
application of the behaviors
looks like
Sustainment Tips
17
ABOUT OUR COMPANY
how we became a global leader
CREATING A BUSINESS IMPACT
18 © 2013 Forum Corporation
Our History 1906 CEMEX is founded with the opening of a cement plant in the Northern part of Mexico
1972 CEMEX becomes a market leader in Mexico. CEMEX enlists on the Mexican Stock Exchange
1990 CEMEX enters the US market
1995 CEMEX expands its US operations CEMEX initiates expansion in the European market
2000 CEMEX becomes the world’s third largest cement company and North America’s largest cement producer with Southdown Acquisition. CEMEX initiates operations in Asia and Africa
2005 CEMEX increases and reinforces its presence worldwide CEMEX doubles its size and enhances its position in the US and Europe with RMC acquisition
2007 CEMEX expands globally with the acquisition of Rinker, especially in the US
19 © 2013 Forum Corporation
2011:
transformation Reorganized management De-layered organization
Established values & behaviors & incentives Increased customer focus Delivered additional cost savings
2009- 2010:
stabilization Cost cutting measures Continued right sizing
work force Shutting capacity Divesting assets Refinancing
(1) Proforma for the current operations – CEMEX global
Our past five years
2007- 2008:
crisis Economic downturn Regional restructure (4 to 2)
Layoffs began
Temporary plant closures
Leading a strategic shift
20 © 2013 Forum Corporation
2011 - CEMEX Transformation begins
I am convinced that the only way to [be the value-creating leader of our industry] is to radically transform our company: how we make decisions, how we behave, how
we communicate, how we collaborate and how we are organized. We need to build on our culture, but we also need to evolve that culture if we are going to prosper.
CEMEX Transformation kicks off in April
Lorenzo H. Zambrano Chairman of the Board & CEO
Silo Mentality Analysis Focused
Hierarchical and Bureaucratic Facing Corporate
Open Communication Action Focused
Flatter and Accountable
Facing Customers and Markets
21 © 2013 Forum Corporation
DEFINING OUR VALUES
how we continue to be a leader
CREATING A LASTING FOUNDATION
Aligning with our goals
22 © 2012 Forum Corporation
Kick-off
Pre-work
assignments
Collaboration
sessions
Data
consolidation
Communication
& Integration
Let participants
know what to expect and how to prepare for the meeting
Have participants
work on pre-work to define personal values
Have participants
define CEMEX core values and behaviors
Consolidate all information
from the sessions
Communicate values and
behaviors to entire company. Integrate values into management practices
“The Way Forward” Establishing the way to lead in our organization
23 © 2013 Forum Corporation
Our foundation Establishing a strong foundation in our organization
Nearly top leaders
from CEMEX USA came together as
one to define our key values and
behaviors.
“These values are not just words, but
are the very concepts and behaviors
each of us must embrace in order to
bring about the cultural changes
necessary to return to profitability.”
Karl H. Watson, Jr. President, CEMEX US Operations
130
We continue building our future
24 © 2013 Forum Corporation
“The Way Forward”
core values to a performance
scorecard that contains both metrics
(what CEMEX will measure) and targets
(the desired level) – still ongoing
the values and observable
behaviors to all stakeholders –
still ongoing
Establishing the way to lead in our organization
ntegrated core values and behaviors into daily
management practices by reinforcing
and rewarding the behaviors that
express those values – still ongoing
ommunicated
inked
25 © 2013 Forum Corporation
ABOUT OUR PROGRAM
how we designed our behavior catalyst
IMPLEMENTING CHANGE
Equipping our talent
26 © 2013 Forum Corporation
How the LEAD Program started
Talent Review Training Needs
Assessment
Secondary
Data
IDP Creation
Development Curriculum
Engagement
Survey PA
Align with business goals, priorities, values &
behaviors
Design and Develop LEAD Program
• Ongoing Support
• Sustainment
• Blended Learning Solutions
LEAD Program for
Executives and
Managers
ap
pro
ac
h
STR
ATE
GIC
Instilling change, values & behaviors
27 © 2013 Forum Corporation
What we heard
There needs to be more focus on
developing employees and making
their jobs at CEMEX more fulfilling.
…for the past two years the motivation
and engagement has been lost due to
lack of professional development and
growth opportunities.
Provide development tools to
employees by creating an
environment of professional growth
and open communication.
28 © 2013 Forum Corporation
LEAD Program for Executives A strategic approach to design our program
Learning Path Timeline 2012 - 2013
Reinforcement
and Reconnects Ongoing
Application and
Networking
Session 1:
Leading with
Influence
Reinforcement and
Reconnects
29 © 2013 Forum Corporation
Our marketing plan Establishing a strong marketing campaign for our program
30 © 2013 Forum Corporation
Building the hype Defining a strong leadership development brand via email
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Creating a lasting impact Anecdotes from LEAD
32 © 2013 Forum Corporation
Impact of LEAD
Networking and working with my people from other
functional areas. Being able to break down the barriers and have candid conversations
The need to develop talent at the next
level was certainly highlighted and I will
work harder to put the concepts in play at
the levels below me
Participants believe LEAD will have a significant impact on increasing productivity, quality and sales, decreasing costs, improving
customer and employee satisfaction
97% of participants think LEAD
aligns with the business priorities and goals of CEMEX USA
95% of participants said LEAD is a worthwhile
investment in their career development and
would recommend the LEAD Program
96% overall satisfaction with
LEAD Program
94% of participants said they will be able to
apply the knowledge and skills learned in LEAD to
their job
99%
Actual results and experiences
Collaboration
is so frequent
now, [this] is a
direct result
of LEAD
LEAD is paying in
ways I would not
have originally
thought.
33 © 2013 Forum Corporation
how we continue to support our talent
EMBEDDING NEW BEHAVIORS ON THE JOB
OUR ONGOING SUSTAINMENT
Sustaining our behavior change
34 © 2013 Forum Corporation
Instilling & Sustaining Behavior Change
Sr. Executive Management Team Support & Involvement
– CEMEX USA President and his direct reports, our EVPs and
Regional Presidents participated as co-facilitators
President’s personalized hand-written notes to all LEADers
– Values & Behaviors acrylic plaques
– Welcome Cards to 1st LEAD session
– Strategic Business Portfolio Diagrams
– Personal Leadership Journey Stories
Reinforcement of LEAD through different communication channels
– E-mails, web casts, team meetings, learning session talks, etc.
Strategic Portfolio Business Priority – incorporated into everyone’s
Performance Scorecard for 2013
Computer Screen Savers with company values
35 © 2013 Forum Corporation
The LEAD Execution Framework
CEMEX
Values and
Behaviors
CEMEX
Business
Priorities
LEAD:
Executing Our
Business Priorities
Delivering
Our Results
• Ensure Safety
• Creatively Grow the
Business
• Increase Price of Products
• Promote Usage of
Products
• Grow Aggregate Footprint
• Operate Cost Efficiently
• Passionately Adopt Values
and Behaviors
• Demonstrate Ethics
• Have fun
CHANGE OWNERSHIP INFLUENCE
36 © 2013 Forum Corporation
This is the first program that I've
been to that I left feeling totally
charged up, rather than beat
up. Even in the good years
2004-2006, I felt wondering if
this is where I want to be, I left
this year thinking "this is
exactly where
I want to be!"
Closing Comment
37 © 2013 Forum Corporation
Takeaways for today
Insights on the challenge of behavior change: why it’s
important and hard
Practical tips for high-impact learning plans that
really drive behavior change
An example of how one organization saved their
company through behavior change
1
2
3
38 © 2013 Forum Corporation
At Forum, we help our clients develop their leaders, managers and sales
teams to realize specific business objectives faster and more effectively. We
are proud to provide award-winning, comprehensive training solutions backed
by in-depth research to clients throughout North America and around the
world.
forum.com
Questions?
CEMEX is a global building materials company that provides high
quality products and reliable service to customers and communities
throughout the Americas, Europe, Africa, the Middle East, and Asia.
We produce, distribute, and sell cement, ready-mix concrete,
aggregates, and related building materials in more than 50
countries, and we maintain trade relationships in approximately 102
nations
cemexusa.com
39 © 2013 Forum Corporation
Upcoming Webinars
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Women In Leadership
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Michelle Gielan
Co-founder, Institute for Applied Positive Research
On Demand at TrainingIndustry.com
“Broadcasting Happiness: Creating Success through Positive Communication”
Andrea Nierenberg
Executive Coach, Networking Strategist, Consultant, and Author Program Date: Monday, November 4, 2013
“Your Leadership Network: The Importance of Building and Staying Connected”
Diane Adams
Chief People Officer, Qlik Tech
Program Date: Monday, December 9, 2013
“‘Extraordinize’ Your Professional and Personal Life”
“Managing Millenials: Evolving company culture and people management tactics for a new generation.”
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Thank You
On behalf of TrainingIndustry.com, thanks to:
Today’s Speakers: Andrew Shapiro, Marla Roberson & Josue Basave Aguiar
Today’s Sponsor: Forum
All of you for attending
Questions or Comments?
Please contact Nabeel Jaitapker: [email protected]