Strategic Change Programs In Practice: How can we design major organisational change programmes for success?

Jesper Kjaerulf-Moller and Paul ChapmanSaïd Business School, University of Oxford

24th February 2016

Abstract

Organizations face external pressures and need to respond by delivering strategic change, however such efforts often fail. One cause is that leaders of these change programs are let down by advice on how to succeed, such as through the need to follow particular sequences of steps.

We offer an alternative frame of thought, one where the leader of change constantly engages, and advocate the need to:

1) navigate between process and outcome to align the change program with its context;

2) make opposing alternative ideas coexist, and;

3) engage in holistic, iterative organizational design to overcome challenges and deliver results.

Session overview

The Paradox of Change

Successful change programmes are a prerequisite for corporate survival

Major change programmes are failing at a significant rate

Issues that undermine strategic change

The core of change is discussed inconsistently making it hard to graspThinking in opposites limits the availability of insightsSequence is a stumbling block for designing change effectively

dominant views on change management are shaped by models from Kurt Lewin and John Kotter

Conclusion: There is a lack of practicality in the literature, underpinned by a poor evidence base

Lewin’s three step model

Unfreezing: Before a new desired behaviour can be adopted, the current equilibrium needs to be destabilised.Moving: Creating the motivation to learn and arrive at a new acceptable set of practices.Refreezing: Stabilizing the group in a new quasi-stationary equilibrium ensuring that the new behaviours are sustainable.

Kurt Lewin, “Field Theory in Social Science,” in Resolving Social Conflicts & Field Theory in Social Science (Washington: American Psychological Association, 1951)

Kotter’s eight-step model

Establish a sense of urgencyForm a powerful guiding coalitionCreate a visionCommunicate the visionEmpower others to act on the visionPlan for and create short-term winsConsolidate improvements and produce more changeInstitutionalize new approaches

JP Kotter, “Leading Change: Why Transformation Efforts Fail,” Harvard Business Review March-April (1995): 59–67.

Mastering change - beyond simple “recipes”

Navigate between process and outcome to align the change programme to context Making opposites coexist - facilitating complementary use of dualitiesOvercoming the challenges presented by a sequential approach through engaging holistic organisational design

Navigate between process and outcome to align the change programme to context

Making opposites coexist - facilitating complementary use of dualities

Overcoming the challenges presented by a sequential approach through engaging holistic organisational design

As a leader of change what can I use this for tomorrow?

Don’t assume your design is stable – focus on continuous alignment to contextDon’t be caught in either/or discussions – embrace and manage dualities Don’t focus on sequence first – focus on designing change holistically

A simple 5-step process can be used to analyse your situation

1. Map the core elements of the overall pursued change and establish how certain you are regarding desired outcome and behaviour

2. Map your current design for each element using Galbraith’s five parameters

3. Evaluate whether your current design for each element match the desired placement. Be honest with yourself as a full match is rarely present

4. Identify desired design principles that match your placement to give direction for how you can start shaping progress towards an integrated change effort

5. Iterate regularly as neither the context nor your design are ever stable.

(it will not make the change happen though…)

To conclude