tpc intro slides_kathyandsusan
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- 1. Delivering better results, faster bottom-upAlexander Hillenbrand Managing Partner May 2011 Discussion support slides
2. The biggest CEO challenge is to bridge the strategy-results gap Our company is embarking on a new phase of growth.How can I rapidly align my managers to the new strategy and drive home thegame changing actionsrequired? Our company is transforming to meet future needs.How can I infuse our organization with new capabilities, step-change process improvements and trueinter-functional collaborationto win the future? We need a stronger follow-through to deliver results after adopting a new strategy and organizational focus.How can I deepen managers understanding of the company from an investor perspectiveand get them to act in line withTSR? Typical CEO challenges/needs: 3. also referred to as theknowing-doing gap. Want people to understand Want people to do
- Financial understanding
- Business acumen
- Leadership
- Strategy
- Change management
- Operational efficiency
- Improve (where we are should be)
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- Link daily decision to SH value (margin mix, efficiency, cost reduction)
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- Do things smarter not work harder
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- Step change improvements
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- Take-out non-value added in process
- Accelerate (what we do should do)
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- Get quicker results from new process or strategy or learning,..
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- Step change improvements
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- Take-out non-value added in process
- Change
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- Get ready
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- Reduce resistance to new way
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- Align org behind new strategy, process
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- Encourage role models
Photo: http://www.gembapantarei.com/2010/11/how_to_drive_fear_and_inaction_out_of_organization.html 4. The most common approaches are top-down & telling in essence 5. which works well in the first phases of the change path fragen Rough Planning:2. Generating Motivation Detailed Planning: 3. Qualification &Cooperation Realization of Measures: 4. Commitment 5.Continual Support:Internalizing (Performance) Time Productivity, Motivation Change Initiation:1. Create Awareness OriginalPerformance Level Learning Saying Questioning (oneself) Hearing, Seeing and Reading Source: Tata Interactive Systems GmbH 6. but can lead to unintended results in the later phases Different understanding.. different directions. => leading to frictions between functions that ought to cooperate Force-feeding views to people that have been hired to think for themselves. => Leading to change resistance. Image: http://www.seantis.ch/blog 7. where results are better & quicker with employee-driven discovery. Letting valuable managers discover bad and good approaches on their own terms increases their ownership and propensity to act on their plans. => Resulting in a motivational and inspirational atmosphere and a can-do culture. image: http://pixdaus.com/single.php?id=75833 8. When the employee decides to act, on the right things, results happen. The key to action isfor each to resolve his/her goal,belief, feeling, value conflicts. Photo: http://www.gembapantarei.com/2010/11/how_to_drive_fear_and_inaction_out_of_organization.html 9. Our Behavior Change Path helps bridge the gap and find alignment Participants currently do Therefore, participantswill do Exposure to the The Practice Company Event & Process Makes them: -viewfrom common perspective -think -believe -feel -know -chooseinterpretations role models state of mind Because they currently: -viewfrom their perspective -think -believe -feel -ignore -follow directives -follow role models -have a state of mind Photo: http://www.gembapantarei.com/2010/11/how_to_drive_fear_and_inaction_out_of_organization.html 10. Our events are immersive and practical,=> geared towards aha moments Business Simulations E-learning Self-assessment Coaching Team assignments Seminars Groups (small or large) Alone On-location Distance Virtual (ex. Secondlife) Images: Tata Interactive Systems GmbH Big Business Photo: http://www.purplepawn.com/2009/10/the-business-of-games%E2%80%94game-jobs/ 11. and participants ownership and commitment to act on their plans. 12. Engagement examples 13. Engaging middle management in the GloBE journey.
- CEO change
- Need to streamline & simplify for efficiency
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- 14 ERPs ->mySAP
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- 600k -> 167k suppliers
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- Huge data ->50% bad
- Decentralized culture can lead to clash
- Aim: Global Business Excellence
- GloBE journey = $2.4bn, 3500 people
- Under CFO guidance, standardize on 1 set of financials = EVA
- Target group: international, middle managers (10-25yrs exp.)
- Simplify EVA theory and make it practical
- Include sim in 10 day course as capstone
- First Internet-based seminar for broader roll-out
Context: Actions: Nestle: Sales: $70bn, in 200 countries with 250k employees 14. Quicker business results by working smarter, not harder.
- Just gone private, new executives
- Poor performance
- Training need:
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- GPROI
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- Business Acumen for Store Managers
- Pilot seminar for Store Managers w/ final pres to SVPs, VPs, DMs
- Roll-out w/ DM in teams
- Results analysis by Finance
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- Payback immediate
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- Sig improvement on all KPIs
HBC: Sales of $7bn in 550 stores under 3+ banners Context: Actions & Results: 9x 12x 15x 5x Inv turns 33% 24% 22% 30% GP% 305% 285% 330% 150% GPROI $275$425$600$170Sales/f2 Target WMT Loblaws HBC 15. Aligning sales and operations around strategic priorities
- Pana tough competitive, financial, structural stance
- Pana new CEO 3yrs before & dramatic re-org
- Culture change
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- Japanese -> Global
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- Hierarchical -> ind. initiative
- Middle Mgr Course but needs improvement
- Needs
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- get Middle Mgrs on board
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- CCM understanding
- Designed a 5 day event for International middle managers
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- Change mgmt
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- Business Acumen
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- Collaboration of 2 vendors
- Got CFO buy-in & support
- Collect payback evidence
- New challenge on horizon: make bigger business impact
- Initiative: e-com project wejoinyou.com
Context: Actions & Results: Pansonic sales: $111bn with a staff of 385k 16. Other interesting engagements:
- Sales $100bn, 5 banners, 2100 stores, 33 countries, 290k staff
- Custom-build online Sim for virtual teams of new managers
- Objective: understand the group, strategy, structure, financial measurements
- Sales $15bn, 315 stores TX & MX, 76k staff
- Re-application of HBC program
- Participants: HIPOs, store mgrs, school of retail leadership
- Objective: From Mgr to Leader, Retail Finance, Achieve results through others
- Global, integrated financial services company, 50k staff
- Creation of process simulation authoring platform
- Objective: process improvements & learning by doing w/ six sigma program
- Global logistics company part of DP, Sales $75bn, Staff:275k,
- Online competition in 3 stages for university graduates
- Objective: Talent acquisition and employer branding
17. At the end, we help you deliver results through your people(bottom-up vs. top-down) We simplify even the most complex We get people to find new waysWere experienced industry execs Practical, leading-edge methodology Our participants deliver resultsEx: Nestl , Panasonic (work smarter not harder) Ex: HBC - LeShop.ch online grocery (now part of Migros) - HBC, HEB, BAG-Rewe, Metro, Manor - P&G, Nestl
- - Used in life critical situations
- Partnership with client
- Real behavior change
- Take-out non-value added
- Stop sub-optimal/wrong actions
- accelerate understanding & application
- align actions with strategy
- bridge knowing-doing gap in daily actions
18. Thank you! Alexander Hillenbrand [email_address] Tel: 514 710 0542
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