woods bagot - the edge of chaos

The ‘edge of chaos’:Creating and enabling a highly adaptive knowledge management approach

PUBLIC NEXT GENERATION GLOBAL STUDIO

Felicity McNish, Susan Stewartand Mirelle Walker

WOODSBAGOT.COM The ‘edge of chaos’ |

The ‘edge of chaos’Creating and enabling a highly adaptive knowledge management approach

Over the last decade, knowledge management has reached a ‘new frontier’. Driven by a revolution of technology and globalisation, it is in a constant state of transformation. Technologies such as computerisation, miniaturisation, digitisation, satellite communications, fibre optics, internet and social media have integrated the world and freed the worker. Globalisation has liberalised economies and markets, creating new alliances and greater competition.

Yet companies can no longer compete on price and quality alone, instead innovation is the differentiator. For innovation, an organisation needs to be creative, flexible and in a constant state of learning. They must anticipate, create and adapt effectively to change. And their organisational structures need to be organic and resemble webs, supported by aligned knowledge and collaboration channels.

In 2006 when global architecture and design firm Woods Bagot created its 2010 vision: ‘To be a global leader in architecture and design underpinned by research’, it understood the importance of creating an adaptive enterprise that met the operational demands of a global business, whilst connecting 1000 staff across five regions and nurturing a culture of innovation, to reach the organisation’s goals. Similarly, its subsequent vision for 2015: ‘Next Generation Global Studio’, predicated this same philosophy.

This article discusses the dynamic knowledge approach Woods Bagot has taken to support its strategic visions. A knowledge approach that has maintained an ‘edge of chaos’ equilibrium with ongoing review, consultation, updates and change to remain relevant in an ever-changing global economy.

Establishing direction

The first stage of building the Woods Bagot knowledge framework was to establish a clear knowledge strategy and key drivers that would support and guide the business to its organisational vision. The drivers were also structured so they would acknowledge the unpredictable future of the global knowledge and technology landscapes; and act as a stimulus for change by creating a tension between the knowledge vision and the current reality (Senge et al 1992).

By Felicity McNish, Susan Stewart and Mirelle Walker “This article discusses the dynamic knowledge approach Woods Bagot has taken to support its strategic visions. A knowledge approach that has maintained an ‘edge of chaos’ equilibrium with ongoing review, consultation, updates and change to remain relevant in an ever-changing global economy.”


MOBILISE KNOWLEDGE BEYOND BORDERS

Mobilise knowledge beyond borders focused on ensuring Woods Bagot remains abreast and adaptive to expanding

communication and knowledge technologies; the mobilsation driver is committed to knowledge access beyond geography

and time, in secure and safe collaborative environments.

01

02

GROW KNOWLEDGE CAPABILITIES

Acknowledge that culture is an enduring process; the capability driver is dedicated to building long-term research capabilities; identifying and accessing expertise both within and outside the organisation; and providing access to specialised knowledge resources.

DRIVE A KNOWLEDGE INNOVATION CULTURE

A culture of knowledge innovation is nurtured through vision, leadership, alignment, communication and the ability to measure outcomes. The culture driver ensures that knowledge

is at the forefront of business plans and underlying principles are embedded into all business areas and project framework.

03

KNOWLEDGE MANAGEMENT STRATEGIC DRIVERS

In 2006, the knowledge management environment within Woods Bagot was driven by tacit knowledge and informal networks. There were no formal knowledge roles or processes; and the intranet was a static library built on a labyrinth of templates and process documents. And yet there were pockets of knowledge being captured by individuals and a growing frustration that the business could not easily connect and share intelligence beyond locations and time zones. Therefore creating a strategy that had an underlying sense of urgency and connected with employees’ determination to move forward was vital (Kotter 2008).

Furthermore early consultation sessions with leadership and staff revealed that knowledge’s role in achieving the ‘underpinned by research’ vision was instrumental in its ability to improve the successful acquisition of work and deliver intelligent and incomparable designs. Thus the knowledge strategy became:

‘To accelerate the delivery of design intelligence with responsive next generation tools to drive the learning and innovation culture of Woods Bagot.’

KNOWLEDGE MANAGEMENT: STRATEGIC DRIVERS


The knowledge strategy is grounded by three key strategic drivers that define the knowledge framework:

1. Mobilise knowledge beyond borders2. Grow knowledge capabilities3. Drive a knowledge innovation culture



Structuring the framework

Fundamentally, organisations are social networks with a common purpose, boundaries and patterns of activities (Senior & Swailes 2010). When creating the knowledge framework Woods Bagot adopted this analogy by creating an organic structure that focused more on the connections between the various elements of the business, instead of the actual work functions.

To understand these connections cross-level consultation occurred with employees to understand the complex interactions within the organisation that could potentially manage, influence or even disrupt an ‘edge of chaos’ knowledge equilibrium.

At the same time it was recognised that engagement of Woods Bagot’s top level leadership and buy-in to the expected goals was critical to the success of the knowledge strategy. Without sponsorship from the most senior levels of the organisation, it was accepted that the project would likely fail as seen in 70 per cent of change initiatives undertaken in organisations (Beer & Nohria 2000).

In essence the structure became a powerful guiding coalition, led by a Global Knowledge Manager, sponsored by the Group Managing Director, championed by the Global Design Leader and mentored by the Chief Operating Officer.

KNOWLEDGE MANAGEMENT FRAMEWORK

INNOVATIONResearch publicationsApplied research on projectsBlog creation

STRATEGYAligned to business strategyGoals and objectivesSponsorship and ownership

RELATIONSHIPSCross-functional networks and CoPProject champions

COMMUNICATIONSStakeholder engagementChange analysis Structured, vibrant and well designed

CONTENTStandard library knowledge databasesExternal knowledge content integration (EBSCO)WB Taxonomy and common business language

PROCESSESBusiness process alignment

- capture and organise - access and share

- apply

PEOPLELeadership engagement

Building culture by linking to visionRewards and recognition

Performance management

TOOLS/TECHNOLOGYCollaboration & communication platforms

including web technologies, document

conferencing

The project team comprised of mid-level management across information technology, design technology, communications, marketing, human resources and change management. Additionally, influential employees across all levels of the organisation and specialisation were included as a ‘project champion team’ to assist with employee engagement and provide ongoing feedback.



Utilising tools of the trade

Woods Bagot tested, trialled and engaged a number of different systems and tools to implement the knowledge framework.

Initially the focus was to create processes and platforms that could easily capture and share knowledge across the business and mine external intelligence for projects. Within twelve months of the knowledge transformation, Woods Bagot designed and developed a new intranet; implemented processes to capture knowledge; and sourced external research tools for design and client intelligence. A dedicated leadership team was also created to coordinate the publication of research books and white papers under the research brand, Public.

In addition to the intranet, one of the successful knowledge initiatives was the creation of Communities of Practice (CoP) (Brown & Duguid 1991). Notably, the CoP have grown and matured over the last five years to be key knowledge resources for staff.

Formal communities run for each of the firm’s industry sectors, business elements interest groups, each with their own owner and coordinator. The coordinator manages the day-to-day knowledge flow of the CoP and implements the knowledge plans encompassing regular updated communications, sector induction and training, knowledge capture workshops, horizon watching and research. Governance is in place to ensure growth of these are managed with regular performance evaluations and support for poor performing communities.

Two years ago the firm launched a bespoke knowledge community for all design and consulting projects called the Design Intelligence Portal (DI Portal). The DI Portal is housed within the intranet with a unique site created for each project at proposal stage, developing throughout the design process onto project wrap-up. A project DI Portal is accessible at any time both within the firm and externally via a secure internet connection.

Designed, built and implemented by Woods Bagot, the DI Portal functionality is constantly evolving to enable studio, regional and global project analysis; integration with mobile devices; and accessibility for clients and project partners.

More recently, moving from a ‘push’ to ‘pull’ method of communicating with employees has been a key element of the knowledge framework. Offering a customisable experience to employees, where they are able to ‘pull’ the information they want, when they want it, not only benefits knowledge sharing but also offers elements of personal control and supports employee engagement (Spiers 2012). Technology implemented includes blogs, wikis, and discussion forums, with social networking being piloted across the organisation.

Adapting social networking capability is particularly significant to the ongoing success of the knowledge framework due to its recognised ability to enable information to flow outward in multiple directions. Harnessing the benefits of this type of contagious unscripted communication will further ignite the cultural behaviours essential to fostering innovation and creativity across Woods Bagot globally (Kleinberg 2008).

Concurrent to introducing the social capabilities, the firm introduced two governance policies - one focusing on social media and the other on external communication – providing guidance on Woods Bagot’s expectations and responsible use of social media. The policies also encouraged the use of internal and external networking technology, offering support and training by communications professionals.

A comprehensive list of initiatives is presented on page 9 of this paper.



Enabling results

Tangible features, such as knowledge communities and social technologies, are not enough for sustainable frameworks. Instead the way an organisation is able to manage its people and associated elements of behaviour, motivation, attitude, culture and mindset during the process is essential for successful long term outcomes (Iveroth 2010).

To ensure these vital aspects of change are addressed, Woods Bagot works with an aligned strategic change management plan to ensure buy-in. A dedicated change manager and internal communications manager work collaboratively with knowledge management to implement creative communications plans that engage and inspire employees in the knowledge culture.

Importantly, the knowledge manager also takes an inclusive systems approach for problem solving and issues management. Unlike managers who aim to solve issues, this organic approach explores the symptoms, patterns and real causes of problems and generates acceptance of the solution through open consultation and ongoing support (Zaleznik 2004).

Building momentum over the years has also been crucial to the success of the framework. A staged implementation approach has been taken, with short-terms wins, ongoing consultation, planned formal feedback and regular platform and tool updates.

Aligning the right people

Woods Bagot understands the importance of experience and expertise on projects and thus recruited a specialist knowledge manager to drive the transformative framework. Coming from a background of best practice with knowledge and teaching qualifications, the knowledge manager was able to quickly assess the current state and then consult with various parts of the business to understand the underlying challenges, reassure employees of the change and involve leadership and the project team in deciding how to achieve the knowledge goals.

The project also engages a project team of mid-level management that are effective in collaborating across the business as well as delivering results in their own discipline. This style of ‘T-shaped’ management (Hansen 2009) enables the small project team to socialise, collaborate and connect across studios, disciplines and time zones to implement, train and seek feedback. Including disparate professionals in the project team was vital to new ideas and perspectives (Battilana & Casciaro 2013). The knowledge manager works closely with the team to ensure that everyone clearly understands the decisions and actions for which they are responsible; and bridges information between the different groups.

Kotter and Cohen (2002) state that the power of clever people should never be underestimated and that those people can ‘help others see the possibilities, to help them generate a feeling of faith, and to change behaviour’ (Kotter & Cohen 2002 p. 77).

“Unlike managers who aim to solve issues, this organic approach explores the symptoms, patterns and real causes of problems and generates acceptance of the solution through open consultation and ongoing support.”



Engaging the skills

To empower action, staff must be provided with the right information at the right time for them to understand and move with the change (Frost 2002). Woods Bagot understands the importance of decision making and information flow as powerful drivers to strategy execution and thus ensure that all knowledge initiatives are developed and implemented with various forms of communications and training to inform and engage the skills required for an adaptive knowledge culture (Neilson, Martin & Powers 2008).

Communication messages are aligned with the organisational vision, so that there are no conflicting messages to staff. Information is shared across the leadership and project teams with CoP’s developed for initiatives which include discussion forums, metrics, timelines and risk registers. Exemplar results and quick wins are shared across the business, with rewards and communications that profile individuals and teams that have displayed the behaviours of a dynamic knowledge culture. Communications are presented visually and in a vibrant form to connect with the design ethos of the firm and create a ‘stickiness factor’ to the strategy (Gladwell 2000).

KNOWLEDGE MANAGEMENTINFORMATION TECHNOLOGY

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LEADERSHIP

IMPLEMENTATION TEAM

Training is provided to employees with face-to-face training sessions, one-on-one mentoring, self-help, online guides, videos, checklists and frequently asked questions. Champions are mentored one-on-one by the knowledge manager and the project team is encouraged to explore and test new ideas inside and outside the business. External providers regularly present to the team on new products and the knowledge manager regularly connects, presents and engages with peers to keep abreast of the changing knowledge landscape.



Nurturing the culture

Organisational culture is a complex entity made up of shared meanings that give an organisation its own ethos and distinctive character. At the initial stages of the knowledge transformation, Woods Bagot examined the behaviours in its organisation to better understand the actions required to achieve its ‘underpinned by research’ vision. What came about was an extensive cultural change project that articulated five aspirational values that would drive aligned behaviours.

The project engaged all employees to understand the culture and establish the values. Knowledge was a key element of the values project, with the outcomes aligned to the drivers of the knowledge framework.

The values are an important foundation to the ‘edge of chaos’ equilibrium. A committed organisation cannot be one based on ‘transactional relationships’ as give-and-take exchanges inhibit people’s willingness to undertake risk. Instead, the relationships must be based on a foundation of transcendent values and common sense of purpose, which paradoxically, makes them more flexible (Senge et al 1999).

Are we there yet?

In reality there is no end point. Maintaining an ‘edge of chaos’ equilibrium dictates the introduction of new change elements continuously. The motivation for Woods Bagot’s knowledge framework is to remain relevant and responsive to the new approaches to knowledge, communications and technology with continuous horizon watching, adaptation and innovation.

From a journey perspective, the knowledge culture is at the cusp of the tipping point.

Lessons learned

Since its inception, Woods Bagot’s knowledge management approach has directly contributed to the firm positioning themselves as leading global designers with innovative designs underpinned by research. For the team this process has been both challenging and rewarding, with collective knowledge acquired about how to effectively nurture a knowledge management culture.

Notable lessons learnt have been: – Vision is critical. Without it, there is no compass and a knowledge approach is scrambled. – Take the time to understand the culture and apply that knowledge to the implementation approach and knowledge frameworks. – Leadership engagement is paramount. Train the leaders and ensure they understand and live the strategy. – Try not to do too much too soon. Some professionals will adopt quickly, others need to be led. – Communicate the change, define the benefits, support implementation and be prepared to reassess and adapt to needs. – Leverage champions and be relentless with training. – Reward positive behaviour. Communicate success stories. – Pick up bad behaviour quickly. Pre-empt workarounds and meet them at the pass. – Keep abreast of market needs, industry changes and technology explosions. Apply that intelligence to the knowledge approach. – The challenge is worth the effort. Knowledge management has the capacity to bring together the collective intelligence of individuals and projects. Done well, it delivers unsurpassed value to clients, drives brand positioning and enables the business to meet their growth targets.

“The motivation for Woods Bagot’s knowledge framework is to remain relevant and responsive to the new approaches to knowledge, communications and technology with continuous horizon watching, adaptation and innovation.”



Key knowledge drivers and initiatives

The three key strategic drivers that underpin the knowledge framework and their respective initiatives are as follows:

1. Mobilise knowledge beyond bordersThe mobilising driver is focused on ensuring that Woods Bagot remains abreast and adaptive to the expanding communication and knowledge technologies; whilst ensuring that knowledge can be accessed beyond geography and time, in secure and safe collaborative environments.

Some initiatives from this driver include: – Creating a collaborative best practice intranet, Public Edge, that captures and shares knowledge and research and communicates with staff across a global platform. – Evolving the intranet as an intelligent and responsive collaborative platform, with the ability to integrate social media and transmedia platforms and host alternative forms of media. – Ensuring that current information management policies take into consideration new mobile device technology tools such as tablets, iPads, social media and cloud applications. – Trialling knowledge solutions and continually building on the knowledge toolbox (such as wikis, brain scan, communities of practice) and creating alternative mediums for knowledge capture (like video conference vodcasts). – Working collaboratively with information technology leadership and external vendors on new technology and applications and remaining technology agnostic to knowledge solutions. – Observing the knowledge, technology and communications landscapes for future changes and challenges and testing.

2. Grow knowledge capabilitiesThe strategy also acknowledges that maintaining and developing the skills and capabilities of professionals is an enduring process for a strong knowledge management culture.

Thus knowledge management works closely with Woods Bagot leadership and all parts of the business to build research skills and capabilities; identify and access expertise both within and outside the organisation; provide access to specialised knowledge resources; and measure and assess our knowledge engagement.

Some initiatives from this driver include: – Creating and deploying a Knowledge Development Program for leaders to advance and demonstrate their knowledge capabilities. – Developing and delivering knowledge training programs and mentoring professionals in knowledge management and research. – Generating quick guides, online tools and templates for knowledge support. – Capturing specialist internal and external expertise skills for professionals and companies in a searchable database. – Exploring an emeritus program to capture tacit knowledge and mentor future leaders. – Exploring additional use of alternate authoritative research tools.

3. Drive a knowledge innovation culture A knowledge innovation culture is nurtured through vision, leadership, alignment, communication and the ability to perform measured outcomes. Woods Bagot’s knowledge management framework is directed to ensure that knowledge is at the forefront of business plans and the underlying principles are embedded into all parts of the business and project framework. Furthermore, the framework works to demonstrate the value of knowledge and recognise achievements of individuals and project teams.

Initiatives from this driver include: – Producing and publishing research and thought leadership (Public research) – Embedding the knowledge management principles as part of the Design Intelligence Methodology and practice management processes. – Demonstrating the value of knowledge by utilising knowledge tools to support key business development initiatives, design innovations and business planning. – Evolving the bespoke project knowledge platform, Design Intelligence Portal, and the Communities of Practice (CoP) to respond to the design, collaboration, knowledge, reporting and mobility needs of the organisation. – Working with leadership to develop industry sectors knowledge plans focused on critical capture of knowledge and ideas, lessons learnt, training and communications. – Implementing a formal project knowledge capturing program: Retention of Critical Knowledge – Recognising innovative individuals and teams; developing incentives to share knowledge; and communicating knowledge achievements.



References

Battilana, J. & Casciaro, T.,The Network Secrets of Great Change Agents Harvard Business Review, Jul-August 2013, pp.63-68.

Beer, M. & Nohria, N. , Cracking the code of change, Harvard Business Review, May/June 2000, pp.133-141.

Brown, J. S., & Duguid, P., Organizational learning and communities of practice: Towards a unified view of working, learning and innovation. Organization Science, 2: 40–57, 1991.

Gadwell, M., The Tipping Point: How Little Things Can Make a Big Difference, Abacus, Great Britain, 2000.

Kleinberg, J., ‘The Convergence of Social and Technological Networks’, Communications of the ACM, 2008, Vol. 51, Issue 11, pp. 66-72.

Kotter, J., A Sense Of Urgency, Harvard Business Press, Boston, 2008.

Kotter, J. & Cohen, D., 'Creative Ways to Empower Action to Change the Organization: Cases in Point' 2003, Journal of Organizational Excellence, Winter 2002, Vol. 22, issue 2, p. 73-82.

Hansen, M., Collaboration: How Leaders Avoid the Traps, Create Unity and Reap Bid Results, Harvard Business Press, Boston, 2009.

Iveroth, E., 'Inside Ericsson: a framework for the practice if leading global IT-enabled change', California Management Review, 2010, Vol. 53, Issue 1, pp. 136-153.

Neilson, G., Martin, K. & Powers, E., ‘The secrets to strategy execution’. Harvard Business Review, June 2008.

Senior, B. & Swailes, S., Organizational Change, 4th edn, Prentice Hall, Essex, England, 2010.

Senge, P., Kleiner, A., Roberts, C., Ross, R., Roth, G., & Smith, B., The Dance of Change: The Challenges of Sustaining Momentum in Learning Organisations, Nicholas Brealey Publishing, London, 1999.

Spiers, C., ‘A no-nonsense approach to stress management’, Occupational Health, Vol. 64 Issue 6, Jun 2012.

Zaleznik, A., ‘Managers and leaders are they different?’ Harvard Business Review, January, Vol. 82. Issue 1. p. 74, 2004.


Authors

Susan StewartStrategic Development and Change Manager, Woods Bagot

Susan Stewart has worked in professional services firms for over 15 years focusing on communications, strategy, marketing, business development and change management. In her role as Global Strategic Development and Change Manager at Woods Bagot Susan works closely with leadership and peers to articulate and implement vision and organisational initiatives, providing change, culture and communications advice and strategies.

Mirelle WalkerGroup Internal Communications Manager, Woods Bagot

Mirelle Walker is the Internal Communications Manager at Woods Bagot, responsible for developing and designing the bespoke communications for internal strategic initiatives, in addition to the firm’s corporate communications and daily stories and feeds. Mirelle has worked in professional services and design firms for over 10 years across communications, marketing, client relationship management and digital media.

Felicity McNishGroup Knowledge Manager, Woods Bagot

Felicity McNish is the Global Knowledge Manager for Woods Bagot.Based in Adelaide, Felicity is responsible for the knowledge management and research activities of the company.

She has worked in the business information and knowledge management area for over 15 years in both Australia and the United Kingdom.

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This case study was originally published in Establishing a Successful Knowledge-Driven Culture (Ark Group, 2013) and is kindly reproduced here with their permission.

Cover image: Campus MLC, SydneyPhotographer: Tyrone Branigan

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woods bagot - the edge of chaos

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