using performance excellence techniques to change … · using performance excellence techniques to...
TRANSCRIPT
using performance excellence techniques to change culture
Dave Roberts, Western Union
HR Leadership Team Change
Cultu
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Time
culture change is about organizational performance culture change is about process, not about people performance excellence connects leaders to culture change
culture change is about organizational performance
• Firms with strong cultures perform at a consistently higher level (Sørensen 2002).
• Firms with strong corporate cultures have higher average levels of performance than firms in the same industry with weaker cultures (Burt et al. 1994).
• Over a ten-year period, companies that intentionally managed their cultures well outperformed those that do not (Kotter & Heskett, 1992):
• Revenue growth 682% v. 166% • Stock price growth 901% v. 74% • Net income growth 756% v. 1% • Job growth 282% v. 36%
I came to see in my time at IBM that culture isn’t just one aspect of the game… it is the game - Lou Gerstner, IBM
Culture eats strategy for lunch. - Peter Drucker, Management Guru
Competitors can buy tangible assets, but they can’t buy culture. - Herb Kelleher, Southwest Airlines
culture change is about organizational performance
Future State - 2014
Customer focus and continuous improvement are „Job 1“
Colleagues at all layers act to change the way things are done
Colleagues across the organizations are proactively identifying and attacking improvement opportunities
Urgency applied to the right things, not everything
Organization optimized around process, not function, to support collaboration
Status 2011 – Challenges & Gaps
Sense of urgency for the change has not permeated the organization
Continued atmosphere of protection & control
Leaders and teams agree „we need to do this“ but are waiting to be told what to do
Many activities across the organization, but not all activity is focused
Improvement opportunities identified, but silo-thinking impedes implementation
culture change is about organizational performance
culture change is about organizational performance culture change is about process, not about people performance excellence connects leaders to culture change
culture change is about process, not about people
To change someone's behavior, you've got to change that person's situation. - Chip & Dan Heath, Change Gurus
A bad system will beat a good person every time. - W. Edwards Deming
Every organization must be prepared to abandon everything it does to survive in the future. - Peter Drucker
culture change is about process, not about people
Supplier Input Processes Output Customers
WU Leadership
WU Customers
Voice of Customers
Voice of Employees
WU History
Current WU Culture
Business Vision & Strategy
Key Metrics (Corporate Scorecard)
Strategic and Operational Planning
Governance / Decision Rights
Business Process Improvement
Organizational Structure
Leadership Practices
Talent Capability and Planning
Change Mgmt / Communications
3-year strategy and 18-month operational plan
Investment decisions and accountability, capacity
management
Operational Excellence in value creation and enabling
processes
Resource alignment and focus
Leadership alignment, organizational focus, and work
climate
Talent capacity and deployment to key priorities
Workforce understanding,
involvement, and engagement
Consumers
Agents
FLAs
Vendors
Employees
Regulators
Shareholders
SIPOC for culture change
culture change value stream
change mgmt and
communication
wave T global process and productivity
“new WU” leadership
wave 1 wave 2
operating model
refinement
enterprise governance and decision
rights
culture change is about process, not about people
Analytics
culture change is about organizational performance culture change is about process, not about people performance excellence connects leaders to culture change
executive committee workshops
• exposure to and understanding of basic performance excellence approach
• hands-on use of performance excellence tools via simulation
• follow-up involvement on process and productivity improvement council
• publicized globally and loudly
performance excellence connects leaders to culture change
performance excellence connects leaders to culture change
consumer aspirations
consumer ethnography
consumer “points of pain”
performance excellence connects leaders to culture change
Customer AlignmentStrategy
ManagerEngagement
Intent to StayExecution
TalentSenior Management
AchievementInnovation
employee engagement surveys
organizational diagnosis workshops
start-stop-continue exercises
performance excellence connects leaders to culture change
spaghetti diagrams business process architecture
performance excellence teams
culture change is about organizational performance culture change is about process, not about people performance excellence connects leaders to culture change
Our journey continues… and we’re still learning.
• Implemented a number of global programs that are changing work climate
• Re-aligning key parts of the organization to value creation processes
• Beginning to do the heavy lifting required to “straighten the pipes”
• Beginning to make the tough decisions needed to clarify decision authority and rights
culture change is about organizational performance • find “proof points” that resonate for leaders in your organization • use a variety of techniques to get the message across
culture change is about process, not people • first ensure a basic level of “process understanding” • fight the “fundamental attribution error” (we need new people to change)
performance excellence connects leaders to culture change • use the right methods for the situation (not just one approach) • keep the pressure on, but don’t overload them with tools and data