masterclass managing change - day 2 case medupi and case dhl

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IMPROVED STRATEGIC MANAGEMENT CAPACITY

PROJECT

8.10.2013 - Ankara

Management of Change: Learning from International Best

Practices

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The Long Conversation : Aligning the Key Organizational Elements


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AgendaWorkshop Day 1

Morning

• Introducing Case 1: Constructing the Medupi Power Station.

• Refreshing the Org. Engineer Role & Leader Characteristics.

• Team working :

All teams prepare both questions.

Q1: Map org. elements. Is there any misalignment?

Q2: Assess leadership style.

3 teams --) Q1 presentation


• Timeline:

Reading: 20 min

Team discussion: 45 min

Presentation preparation: 15 min

Each team presentation: 5 min

Afternoon

• Introducing Case 2: DHL Ensuring people Involvement

• Team working:

All teams prepare both questions

Q1: Causes of the lack of commitment. What do you recommend to Bill?

Q2: How can you raise the level of importance?



• Timeline:

Reading: 20 min

Team discussion: 45 min

Presentation preparation: 15 min

Each team presentation: 5 min


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0. Take a comprehensive approach

The Long Conversation: Aligning the Key Organizational Elements


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Strategy represents the purpose of the organization, in particular the value it intends to create for key stakeholders

Structure describes how people & assets are clustered in responsibility centers according to the nature of work, customers, etc.People and culture describe the skills and behaviors of people (including leaders), as well as their values and beliefs.

Business processes refers to the activities to be performed and coordinated in order to deliver value to stakeholders.

Technology comprises both tangible (systems and equipments) aas well as intangible (knowledge) assets that support processes.

Management processes consist of the systems put in place to steer the organization in the direction of its purpose.


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The Instituto de Astrofísica de Canarias (IAC) is an internationalized Spanish research centre. It has two headquarters and two observatories set in an environment of excellent astronomical quality, both constituting the European Northern Observatory (ENO) .

The Instituto de Astrofísica is the main headquarters and normal workplace of the greater part of its staff. Here, astrophysical research and technical projects are developed. There is also a postgraduate school. The IAC also considers scientific outreach as one of its principal aims.

Change Program:Implementating Management Systems and IT to improve process integration and coordination within the organization and with external partners (other European institutions in Italy, Germany, France and the UK.


edilmektedirThe Long Conversation:

Aligning the Key Organizational Elements

Mutual adjustment PEOPLEMANAGEMENT SYSTEMS & TECHNOLOGY

PROCESSES

STRUCTURE

• Greater decentralization and autonomy

• Greater inter-functional integration

• Role definition and incentives based on horizontal models

• Team work culture• Modification of

communication models• Changes in recruiting and

training procedures or needs

• Gains and losses in status

• Increase in information and material processing capacity.

• Standardisation of work.• Higher level of

interdependence and integration among tasks.

• Knowledge sharing practices

• Project-oriented approach

• Use of virtual platforms

• Use of ERP software.


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One of the goals early in the transition should be to identify potential misalignments:• Structure and strategy misalignment.

• Skills and strategy misalignment.

• Process and strategy misalignment.



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Leaders in government should be prepared to take on the

role of organizational engineers


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1. Improve performance against Agency Mission



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Lack of CommitmentComplementary Information


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DPDHL Figures• DPDHL (Deutsche Post DHL)

• World’s leading mail and logistics group.

• Euros 46 billion in revenues in 2009

• Headquarters in Bonn, Germany.

• 220 countries

• 500,000 employees worldwide

• Top 10 largest employers in the World

• More than 1 million customer contacts per hour

• Move more than 1 billion shipments per year (5% global trade volume)


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The logistics companies will have to face some challenges in order to keep the competitiveness in the industry:

1. Keep the processes and cost structures lean and flexible.

2. The economy will not be able to grow again in an environment where government is hostile or indifferent to international trade. The threat of domestic protectionism will hit the economy recovery by reducing the volumes traded in the world.

3. The Asia’s role in global logistics will increase significantly to account for almost half of the worldwide market by 2008, with 46% of volumes traded. Logistics providers have to build capacity in order to catch up with the increasing importance of Asia.

4. More and more customers are demanding that their transportation and logistics needs be met in an environmentally responsible manner.


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Has First Choice been a successful initiative for process improvement?


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Critical Success Factors• CEO Support

• Corporate alignment

• Long-term perspective

• Employee engagement

• Methodology

• Clear roles and supporting organization

• …..


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Sponsor - Business Director Agrees country improvement

program & areas Reviews country progress

Process Owner- Site Manager Selects and supports the program Aligns initiative objectives with

Management team Conducts Gate reviews Ensures sustainability of results

PI Advisor / Initiative Champion Works with Senior Advisor on

selection and application of tools Works with the team through the

DMAIC phases and tools Supports the implementation of

improvements

Team Works during the complete

program to generate, test and implement solutions for improvement

Senior Advisor Supports Management in

definition of improvement areas and definition of program

Coaches PI Advisor, Process Owner, Project Leader and team on application of methodology

Ensures adherence to methodology

Project management of the program

Experts Provides expert knowledge to

initiative team if required

PI AdvisorInitiative Champion

Operations Team members

Process Owner

Senior Management - Sponsor

Senior Advisor(black belt)

Experts

Lean-Six Sigma Roles


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The Long Conversation: Building Organizational Capabilities


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FORMALIZATION

PERFORMANCE CONTROL:Variability Reduction

IMPROVEMENT

Process Improvement Journey


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FORMALIZATION

PERFORMANCE CONTROL:Variability Reduction

IMPROVEMENT

PI Capability

MAINTENANCE(Strategic Alignment & Monitoring)

INNOVATION


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+

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Tools and techniques for project management

Team working and change management skills

Project office as the support infrastructure for strategic management

Enablers for strategy success


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Change Formula

Change X Acceptance = E

E = Effectiveness


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Final Thoughts

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Oswaldo LorenzoProfessor of Management

Deusto Business School, SpainBlog: www.longconversation.com

@Lorenzooswaldo

http://www.longconversation.com/

masterclass managing change - day 2 case medupi and case dhl

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