Change Management.
-
Leaders: Lean On Your Org Culture for the Tough Talks
When you have challenging news to share, is there a right way? Yes! Here's how.A Spoonful of Sugar Helps the Messaging Go Down
Have you had to deliver any hard messages lately? If you lead a team or an organization, the answer is probably “Yes.” Maybe it’s your company’s vaccine mandate, safety protocols, rules about where and how to work, or covering employee shortages. When you have challenging news to share, is there a right way?
There is a right way, for your organization. The right way depends on your culture. In addition to the basics (be direct, transparent, and empathetic) your organizational culture points the way.
Why? Because culture is powerful. It’s the unconscious mechanism that drives decisions and work in your organization. Put another way, it’s your organization’s immune system.
Information and messages that fit the culture are accepted and absorbed, but content that doesn’t fit the culture is rejected.
What is your organization’s culture? Many people know the answer because their company has done some kind of culture assessment. But if you don’t have a definitive answer from a valid assessment instrument, you can often make an educated guess.
When we approach culture, we like to use the work of Carol Pearson. Pearson established culture archetypes – each one describes how the organization operates and presents itself to the world. Do you see your organization in any of the types below?
CULTURE TYPE DESCRIPTION
Every person Organizations with this archetype have a strong belief in the importance of each individual and tend to single out those who distinguish themselves with their performance and accomplishments.
Lover This archetype is manifested in the level of respect between the company and its employees. Lover organizations demonstrate direct communication and emotional honesty. They tend to manage by engagement, collaboration, support, and consensus.
Jester The Jester archetype brings enjoyment and fun to the work environment. It is manifested in “lightness” in the interactions within the company and with its stakeholders. Jester organizations have a good work-life balance and emphasize celebration of holidays and milestones.
Hero This is the most common archetype in western organizations. Members of Hero organizations believe in working hard to make the world a better place. Hero organizations usually have a cause and are able to enlist employees in working for it. This translates into vitality, competition, discipline, focus and determination. These organizations value and reward exceptional contributions.
Revolutionary Revolutionaries are troubleshooters and tangential thinkers. They look for the reasons why the glass is half empty. They are change agents looking for continuous improvements. Revolutionary organizations are able to make tough calls in challenging situations, such as dealing with non-performers.
Magician Magician organizations run on transformative energy. Innovation, high energy, and flexibility are characteristics of the Magician. They are extremely adaptive and respond easily to changing markets and world conditions. Magicians are systems thinkers and natural change agents
Innocent Organizations of the Innocent archetype typically highly hierarchical with centralized power at the top. Management acts as a guardian and the company is seen as the provider of employees’ wellbeing. Employees trust management and seek guidance in their development. Learning is passive and directed by management. Innocent organizations tend not to depend on innovation to thrive.
Explorer Explorer organizations promote individuality, exploration, risk taking, and self-discovery. Employees take responsibility for their own development and use it to drive value at work. Explorer organizations tend to be flat and flexible, allowing individuals to work at their own rhythm and time.
Sage The Sage organization is gathers knowledge and uses it in practical ways, achieving and demonstrating mastery. They establish centers of excellence that have real effect on the success of the organization. They consider learning to be an integral part of the work day. They value action learning and transformative learning practices.
Caregiver Caregiver organizations exist in great part to provide for the wellbeing of their employees — from compensation and benefits to personal development. Caregiver organizations value cooperation and support for team members. This archetype is also manifested in care of the organization for the community, society, and world.
Creator The Creator archetype values innovation and the creative process. Management and high-performing employees demonstrate imagination, artistry, and vision. Creator organizations do not value formality, bureaucracy, or the mundane parts of running a business.
Ruler Ruler organizations are all about maintaining order and creating harmony amidst chaos. They value responsibility and properly balancing resources. The organization and its individual employees run on decisions, authority, process, systems, goals, and strategies. The challenge for this organization is to balance decisiveness and direction unique situations and needs.
If you know which one best fits the culture of your organization (or the subculture of your division or team), you’ve got a key you can use to effectively deliver information.
So why not get a leg up on those tough communications? Embed these message themes, based on your culture.
CULTURE TYPE MESSAGING THEME
Every person Each of you is essential to our success. Here’s how you, personally, can play a role in this transition.
Lover We feel strongly about this, and we know you do too. We will continue to work on this, together, so we don’t lose what’s so special about our organization.
Jester Let’s get through this with our trademark humor and creativity, and then celebrate when we’re on the other side.
Hero This change is the right thing to do. It will be hard for all of us, but it will make our organization (…community, world) a better place. Let’s focus on what it takes to get through this and come out stronger on the other side. If anyone can handle this, it’s us.
Revolutionary If we want big rewards, we have to constantly improve. That’s what this change is about. Not every organization could handle this, but we’re made of stronger stuff. We will come out better if we do the smart thing now.
Magician We can do anything, and this is no different. We’re nimble and smart. It looks hard, but we have a unique solution that will transform us into an even better organization.
Innocent This will be a difficult transition, but don’t worry – we have a plan to get us through it. We will provide everything you need to be ok. When we are through this process, we’ll return to business as usual. Please reach out to management if you have any questions or concerns. We’re here for you.
Explorer We want to go places no other organization goes, so we’re ready to make a big move. It might be a tough journey, but we are made for this. We will learn a lot along the way, which will allow us to plot the course to even bigger heights.
Sage We have a sound strategy, based on data, and we know it’s the smartest way forward. In your teams, you will be helping plot the course; you will gather information and lessons learned to hone our plans. This will inform our next wave of change, so we’re smarter as we go.
Caregiver We’re doing this for a better company and community. It will be a tough journey, at times, but we’re in this together. Each of you will have a custom path through the change, so you finish the transition with new skills and a stronger team.
Creator Get ready to move! We have a vision to share with you, and we think you’re going to be excited to get started. And we need your ideas, so work with your teams to bubble up the best and send them to your point people.
Ruler We have a strategy and a process for getting to our goal, but we need each of you to play your part. We will share step-by-step instructions so each of you knows exactly what to do during the transition. As we hit each milestone, we will report out and let you know our progress. Please talk to your manager with any questions on your role or the process.
The right messaging will help your change plans go down easy. People will recognize themselves, and the organization they belong to, in the communications. That’s half the battle.
References: -
Why People Continue to Quit Their Jobs
Here we are in 2022 and it persists -- workers continue to quit their jobs in record numbers. Why? One word: control. So what’s a company to do?And How To Stop Them
Vaccines are here. Hopeful for post-pandemic normalcy, employers across the country are bringing their employees back to the office. But not all of them.
To put it mildly, many people are quitting their jobs in what the media are calling “The Great Resignation.” Back in March, the 2021 resignation rate was 2.4 percent – the highest rate of quitters recorded in any March of the last 20 years. Some of this is the release of a backlog—would-be leavers who kept their jobs in 2020 to fend off pandemic-driven hardship. But, as the backlog clears and businesses welcome everyone back to the office, many are still saying, “No, thanks.” Just this week the Labor Department released its November 2021 jobs report showing a record number of workers opting out.
Why? There are several reasons. One is increased savings and debt reduction. Another reason: people hated the pandemic, but loved working from home. Faced with a choice between going back to the office and quitting, some people will quit.
And, if they have another job option, why not? During remote work, they saved a lot of money and a lot of time—no commute, no travel costs, no dry cleaning, no costly lunch, no co-worker-you-hate, no drop-ins from the boss, no sharing the bathroom with dozens of strangers… I could go on, or I could sum it up in one word: Control.
Yes, pajamas are comfy and your dog’s head resting on your lap makes a meeting more bearable. But home is greater than the sum of its perks—working from home (or a coffee shop, or a beach) gives humans the autonomy we crave. It’s not the fuzzy slippers; it’s the choice to wear the fuzzy slippers.
So what’s a company to do? Create control.
In our change management work for clients, we use the concept of control to create momentum and improve adoption of a change.
We do this by making people feel in control of a change. That doesn’t mean we’re tricking them, just building in autonomy where we can and focusing their attention on those autonomous feelings.
Here are a few ways you might create feelings of control to entice workers to stay with you.
- Flexible Hours. Giving people their choice of shifts—earlier, later, or even a four-day week—might soften the return to a commute.
- Goal-Based Weeks. Don’t make people sit at their desks eight hours a day, regardless of what they’re doing. Set realistic performance milestones and give employees the remainder of the week off after they hit them.
- Work-at-Home Days. Schedule all-hands-on-deck days, for in-person work, and let them work from home the rest of the time—but only if they want to! Choice is the point here.
- The Comforts of Home. Think about what workers will be missing when they come back to the office, and give them alternatives. Cheap lunch? Pay for it. Privacy? Create pods for people who want to get away. Kids nearby? Set up a day care. A better view? Think of your office space as a campus. Open up new spaces to work, so people can curl up on a sofa near a window, or feel like they’re at their favorite coffee house as they work.
The keys to making any of this work are genuine choice (not a top tier for some choices and a slower track for others) and communication (clear, consistent messaging on choice before they decide to quit… so get on it).
Some of these ideas sound costly, don’t they? Maybe not more costly than turnover and productivity dips.
A final thought: As they contemplate bringing the work force back to the office, the C-Suite might ask itself why. Why do you need them in the office? Is it because seeing the work and the workers right in front of you makes you feel in control?
-
What Comes After Omicron
First it was COVID-19. Then it was the Delta variant. Now it’s Omicron. How do organizations reconcile an innate need for stability with constant global upheaval?Using Behavior Change to Create a Nimble Organization
People love stability. Stability, to our brains, equals safety. Organizations love stability. Stability, to organizations, means predictability, which makes customers and markets happy. So it’s no wonder people and companies are suffering.
After years of feeling threatened politically, financially, and physically, we’re trying to find our feet. But the pandemic, for one thing, keeps rocking us. First it was “just” COVID. Then it was the Delta variant—even more deadly, if that was possible.
Now it’s Omicron; we’re googling the Greek alphabet and bracing for the worst. But health experts are delivering the good news/bad news. It appears to be much more transmissible, but also much less deadly. What do we do with that?
Omicron feels like a tipping point. We just learned how to vax up and lock down, but now we’re not sure what to do. It’s almost worse; a whole new flavor of pandemic offers us even less stability.
Change is our new normal. That’s a common refrain. But what do we do about it? How do we reconcile our innate need for stability with constant global upheaval?
At Emerson Human Capital, we believe behavior is the foundation of any change.
If you can engineer different behaviors, you can change outcomes, mindsets, emotions, and even organizational culture.
If you want to prime your organization for our new normal—relentless change—try instituting these kinds of behaviors.
- Assess. Encourage teams to continually take in new information and use it to make their work better. Implement checkpoints to stop and reassess based on new information, then adjust goals or processes. The individual behaviors you want to see are gathering, analyzing, and sharing information.
- Fail fast. Make trial and error normal. When you want to change goals or processes due to new information, green-light a pilot to test the new way. Quickly gather results, adjust, and implement. The individual behaviors are raising new ideas, approving pilots, and celebrating what you learned (not what the pilot achieved).
- Sprint. Any project can learn from Agile software development projects, which do their work in sprints. A sprint is a set period of time during which a discrete chunk of work is produced and evaluated. Sprints are typically no longer than 30 days. Sprints allow a team to absorb and react to new information quickly. Imagine a one-year initiative. Now think of everything that has changed in the last year. Sprints don’t plan everything, then design everything, then build everything…they create individual components of a solution, fast; components are easier to fix, and new sprints benefit from new information. The behaviors you want are all the parts of an Agile sprint process.
- Step up. This is about using all the information you have—external and internal forces, lessons learned from your own projects, and information from other teams—to up your capabilities. It’s like a rock climber who gains muscle and agility by climbing a mountain; she uses that new ability on the next mountain. We strengthen not in our “downtime,” but as we climb. The behavior you want is asking and acting on questions like these: What did you learn to do on your last project, or in your last cycle? What have you learned from the outside world or from another team’s experience? Who learned it? How can you encode and use that new capability?
When we say “institute these behaviors,” we mean you have to identify them, communicate them, measure them, and reinforce them. It’s an investment; you either want this kind of organization, or you don’t.
Behaviors like these will not only improve your performance, they will begin to create a more nimble culture—where questioning is ok, risk is celebrated, and you commit to being smarter tomorrow than you were today. Companies that do this well are ready for whatever the world throws at them.
-
Why Is Change So Hard
If change is everywhere, all the time, why do we still have so much trouble adopting new ways of working?The Challenge And Imperative Of Change Management
Unprecedented change has become our new normal. We face shifting economies, social change, and threats to our very existence. The remote workforce seems here to stay. Technology has enabled—or invaded—every aspect of our daily lives. For organizations, constant change is now business as usual.
If change is everywhere, all the time, why do we still have so much trouble adopting new ways of working?
Research tells us that most change initiatives fail.
How could this be? Is change adoption the Achilles heel of progress? Why is change so hard, even when it is clearly necessary?
When change is on the horizon, employees often experience cognitive and emotional reactions that leave them feeling insecure, uncertain, and even fearful of what is to come (Dufrene & Lehman, 2014). These emotions cause people to resist the change.
Based on research and personal experience, I believe that our change challenges have a common factor—lack of effective communication.
- Authentic communication from leadership helps diminish resistance. Dufrene & Lehman believe that “timely and sensitive messages delivered in a sincere personal manner can go far in assuaging fears and building a sense of optimism.”
- Effective communication provides a new narrative. Good change leaders use the power of story to replace negative associations with comparisons to positive experiences familiar to the audience.
- Communication should be expertly planned to focus attention on what’s important. Often, change leaders use blanket communications that don’t fit the audience. Each stakeholder group needs custom messaging that makes sense for them. The language, examples, tone, channels – all must target the hearts and minds of the group on the receiving end.
- Good communications are streamlined. They grab the attention of the audience with clear, concise, and motivating content aligned with the culture.
- Communications should be layered. Once is not enough. Change leaders should deliver the same content many times, through different channels. The more important the message, the more layers you need.
- People do not invariably resist all change, but rather resist change that is imposed upon them. Think of communications as engagement. Information should flow both ways. Change leaders must respond to what they hear from stakeholders and create an ongoing dialogue. The conversation itself is motivating and creates positive momentum.
If change is our new reality, leaders must embed communication excellence throughout the organization.
References:
Marshak, R. J. (2014). Organization development as an evolving field of practice. In C. G. Worley., A. McCloskey., & M. Brazzel. (Eds.). The NTL Handbook of Organization Development and Change: Principles, Practices, and Perspectives (pp. 3–24). San Francisco: Wiley.”
-
Why Are Your Executives in the Room
Time for leadership sessions! Before you head into days-long meetings, ask yourselves: what question are you trying to answer?Don’t schedule your strategic planning session until you figure this out.
It’s the most wonderful time of the year. Time for those leadership sessions we use to plan for the future. But before you clear those calendars and head into days-long meetings, ask yourselves: what question are you trying to answer?
We’ve helped many leadership teams plan for the following year. It’s surprising how many companies schedule an off-site or a series of working sessions without clarity on exactly what problem they’re trying to solve and what objectives they want to hit.
So before you schedule, figure out which questions you’re trying to answer.
- Who are we and where are we headed?
Every executive team must align around their purpose, vision, and values. But not every team knows how to align. It takes practice. The process builds relationships as team members discuss, work, collaborate, and agree on a singular view of the future.
This work might seem unnecessary; most organizations already have a purpose, vision, and values. But it’s worth asking whether these “truths” require revision. Triggers include acquisitions, changes in leadership, and significant market shifts.
- Are we organized to achieve our vision?
A good operating model is the blueprint of your organization, It shows all the key components that contribute to the organization’s value stream, including inputs, outputs, processes, metrics, and technology. It highlights the interdependencies within teams and processes and how they deliver value.
By constructing the model together, the leadership team develops a greater awareness and appreciation of all contributions and understands the importance of acting in unity.
Again, you probably already have an operating model. Or do you? Many of our clients are surprised to discover they don’t have it documented, and certainly not accessible to the company or used as guidance for day-to-day work. Even a strong operating model is worth refreshing every few years.
- How do we get there?
“There” is wherever you plan to go—the mission, the vision, the operating model… Businesses thrive when the organization knows what it wants to achieve and by when. Every company should have a roadmap.
Executives are responsible for identifying the high-level “what and when.” The session should include representatives of key business functions to determine the “how.”
- What is our message to the organization?
If an organization must change in any way, it needs a message. As the executive team creates the message frame—the four key words that anchor the message—they clarify and align on the change.
The message frame ensures all leaders and advocates tell the same compelling story, consistently and authentically, without relying on written materials or PowerPoint decks. Each communicator customizes the story with details and data that mean something to that particular audience—this is what gets your entire organization pulling in the same direction.
- How should we work together?
We all have natural patterns of thinking, feeling, and behaving. Effective teams understand how these patterns impact the overall team dynamic and how to use the strengths of their members to deliver results and move the organization forward. Smart teams create working agreements that take into account different working styles and reduce conflict. Agreements should be simple and direct, created by the team, and present at all meetings.
One of our favorite tools to craft these agreements: the Clifton Strengthfinder™ Survey. We work with a team to find each member’s unique contributions and leverage them in service of the strategy. Then we define team agreements, taking working styles and culture into consideration.
- How do we sharpen our performance?
To make improvements in business processes, org structure, and behaviors, leaders need to know what’s working and what’s not. A working session can pinpoint what should change, and determine how.
Some of the tools we use as a first step: 1) SWOT analysis, which identifies strengths, weaknesses, opportunities, and threats, and 2) the Start, Stop, Continue exercise. Then we take those findings, prioritize, and plan implementation.
Many executive teams blend these types of sessions into something custom that works for them. What’s most important is clarity—understanding your problem, the process you will use, and the outcomes you want—before you start.
-
Your Change Program Can Bring Home the Gold
We don’t think an organizational change project can touch the level of enjoyment we get from a vacation or watching the Olympics. But could we at least try?Why do we love the Olympics?
Have you ever thought about it? What if we told you we could break it down and help you make your next change project feel a little bit more fun?
It all starts with behavioral research. In “The Best Vacation Ever,” Drake Bennett looks at the psychology behind the definitive fun activity – a vacation – to explain the four factors that make something enjoyable.
- Anticipation: We enjoy looking forward to an experience more than actually experiencing it.
- Intensity: We remember intense highs, intense lows, and novelty – how our experiences “Peak” and “End.”
- Adaptation: We quickly acclimate to our current experience. If our positive experience is interrupted by reality, we have heightened enjoyment when we return.
- Deadlines: We tend to procrastinate on activities, even fun ones, if they have extended timeframes. We have more fun if it’s on a schedule.
Per Bennett, “….how long we take off probably counts for less than we think, and in the aggregate, taking more short trips leaves us happier than taking a few long ones. We’re often happier planning a trip than actually taking it. And interrupting a vacation – far from being a nuisance – can make us enjoy it more. How a trip ends matters more than how it begins, who you’re with matters as much as where you go, and if you want to remember a vacation vividly, do something during it that you’ve never done before. And though it may feel unnecessary, it’s important to force yourself to actually take the time off in the first place – people, it turns out, are as prone to procrastinate when it comes to pleasurable things like vacations as unpleasant ones like paperwork and visits to the dentist.”
It turns out that the Olympics are a great proof of these principles.
- Anticipation? How long does NBC, the US home of the games, spend hyping the Olympics? We get months and months of previews on NBC’s outlets, and disseminated across social media. By the opening ceremonies, we know what new sports will be included, who’s expected to medal, and what the US team uniforms look like.
- Intensity? “The thrill of victory, and the agony of defeat.” (Are we dating ourselves?) The games are jam-packed with highs and lows, and the coverage really exploits them. Simone Biles is out, and we all feel it. Lydia Jacoby’s gold has her entire Alaska town jumping up and down. We’re on a rollercoaster for weeks.
- Adaptation? Yes, the Olympics are interrupted by reality, especially for those of us watching from home. We end each normal day living vicariously through the glories and disappointments of the athletes.
- Deadlines? They come with the schedule. If Americans want to watch Tokyo events live, and remain unspoiled, they’d better get up in the wee hours of the morning.
Now, we don’t think an organizational change project can touch the level of enjoyment we get from a vacation or watching the Olympics. But could we at least try?
Could we nudge it in the direction of fun?
What if, as we design a change program, we incorporate these principles? Ask yourself these questions:
- How have we heightened anticipation for this program? What will be enjoyable or satisfying about it? How can we help people look forward to the good parts?
- Can we celebrate milestones and highlight better-than-expected performance? How can we end with a bang?
- Is the program broken into sprints? Can we build in periods of focus, hard work, and celebration, alternating with periods of business as usual?
- Do we incorporate tight timelines for action? Does everyone see the big-picture schedule and understand the urgency and the benefits of reaching the end?
It might feel like a stretch to try to create fun in the midst of an organizational change project. But just look at the impossible feats on your TV right now. You can do it!
-
Why People Are Quitting Their Jobs
Many people are quitting their jobs. Why? We can sum it up with one word: control. So what’s a company to do?And How To Stop Them
Vaccines are here. Hopeful for post-pandemic normalcy, employers across the country are bringing their employees back to the office. But not all of them.
Many people are quitting their jobs. The March 2021 resignation rate was 2.4 percent – the highest rate of quitters recorded in any March of the last 20 years. Some of this is the release of a backlog—would-be leavers who kept their jobs in 2020 to fend off pandemic-driven hardship.
But that backlog is clearing. And, as businesses welcome everyone back to the office, many are saying, “No, thanks.”
Why? There are several reasons. One is increased savings and debt reduction. Another reason: people hated the pandemic, but loved working from home. Faced with a choice between going back to the office and quitting, some people will quit.
And, if they have another job option, why not? During remote work, they saved a lot of money and a lot of time—no commute, no travel costs, no dry cleaning, no costly lunch, no co-worker-you-hate, no drop-ins from the boss, no sharing the bathroom with dozens of strangers… I could go on, or I could sum it up in one word: Control.
Yes, pajamas are comfy and your dog’s head resting on your lap makes a meeting more bearable. But home is greater than the sum of its perks—working from home (or a coffee shop, or a beach) gives humans the autonomy we crave. It’s not the fuzzy slippers; it’s the choice to wear the fuzzy slippers.
So what’s a company to do? Create control.
In our change management work for clients, we use the concept of control to create momentum and improve adoption of a change.
We do this by making people feel in control of a change. That doesn’t mean we’re tricking them, just building in autonomy where we can and focusing their attention on those autonomous feelings.
Here are a few ways you might create feelings of control to entice workers to stay with you.
- Flexible Hours. Giving people their choice of shifts—earlier, later, or even a four-day week—might soften the return to a commute.
- Goal-Based Weeks. Don’t make people sit at their desks eight hours a day, regardless of what they’re doing. Set realistic performance milestones and give employees the remainder of the week off after they hit them.
- Work-at-Home Days. Schedule all-hands-on-deck days, for in-person work, and let them work from home the rest of the time—but only if they want to! Choice is the point here.
- The Comforts of Home. Think about what workers will be missing when they come back to the office, and give them alternatives. Cheap lunch? Pay for it. Privacy? Create pods for people who want to get away. Kids nearby? Set up a day care. A better view? Think of your office space as a campus. Open up new spaces to work, so people can curl up on a sofa near a window, or feel like they’re at their favorite coffee house as they work.
The keys to making any of this work are genuine choice (not a top tier for some choices and a slower track for others) and communication (clear, consistent messaging on choice before they decide to quit… so get on it).
Some of these ideas sound costly, don’t they? Maybe not more costly than turnover and productivity dips.
A final thought: As they contemplate bringing the work force back to the office, the C-Suite might ask itself why. Why do you need them in the office? Is it because seeing the work and the workers right in front of you makes you feel in control?
-
Starbucks & Supply Chain Strategy
It’s not just Starbucks. From computer chips to ketchup packets, business bounce-back has been stalled by supply chain issues. Our advice? Assess where you are today vs. where you need to be.Tasha Leverette was sitting in the drive-through of her neighborhood Starbucks in Atlanta, jonesing for her usual drink. They told her they couldn’t make it; they didn’t have any peach juice. So she drove to another store. And another. And another.
“I said to them, ‘This is the Peach State, right?’ … It’s surprising because Starbucks always seems like it has anything and everything you need.”
Across the country, customers and baristas are taking to social media to bemoan not only shortages of key ingredients for popular Starbucks drinks, like peach and guava juices, but also a lack of iced and cold-brew coffee, breakfast foods and cake pops, and even cups, lids and straws.
A video on TikTok this week featured what appeared to be a group of employees screaming in frustration over a list of ingredients that the shop had run out of—including sweet cream, white mocha, mango dragon fruit and “every food item.” The caption also said they were low on cold brew and the “will to live.”
Starbucks is hardly the only company struggling with supply issues. Earlier this spring, ketchup packets became hotter than GameStop stock. Automakers have slowed production because there are not enough computer chips for their vehicles. And homeowners are waiting weeks, if not months, for major kitchen appliances.
Starbucks, Flush With Customers, Is Running Low on Ingredients, New York Times
It’s not just Starbucks. From computer chips to ketchup packets, business bounce-back has been stalled by supply chain issues.
Phil Knight, the legendary founder of Nike, said “supply and demand is always the root problem in business.” Weak demand for a product is a bitter pill for any company to swallow. But inability to meet booming demand based on supply problems is maddening.
Coronavirus has highlighted just how fragile our supply chain has become.
In some cases, the chain is very complex. Even seemingly basic products like disinfectants, not to mention higher-end products like automobiles, can have many links in the chain of component ingredients or parts. Other times, there are too few links. For example, grocery stores may not able to meet the consumer demand for meat because there are relatively few animal processing plants. Production disruption at only a handful of major plants can leave meat displays nearly empty.
A global pandemic is a black swan event, but large-scale supply disruptions are becoming more common due to events like natural disasters, changing economic policies, and geopolitical disruption. Managing risk differently is a must. Tactics include:
- Identifying alternative sources of origins of component materials
- Diversifying suppliers
- Moving to nearshore or even onshore suppliers.
New solutions often mean new processes and digital technologies, and they always require people to perform differently. Change management—the people-centered interventions—are crucial.
The Case for Change Management
Transformation
Coronavirus is a trigger event for supply chain transformation and transformation is complex. Digital technologies like analytics and artificial intelligence are part of the solution. New processes are part of the solution. Employee behavior change is part of the solution.
In the face of a big, complex change, employees might be confused and fearful—they might disengage or actively resist the new way of working. But you need that behavioral system to work just as well as your processes and technology. Managing this change is crucial.
Messages must be clear and concise in times of complex change. We help clients boil down their message to four words—one to describe the problem, the solution, the approach, and the result. Together, the four words anchor the message. Leaders and other advocates need only remember these four words to ensure a consistent message. To make each communication compelling, add supporting details that are relevant to the audience.
To guide the organization through a change you need to understand who is impacted and how.
Any change management novice knows how to identify stakeholders. We typically define them by team or department and design custom communications, training, and performance support for each group. But this type of analysis is incomplete. Teams and individuals should be categorized based on their disposition to change. Some stakeholders emerge as early adopters, who are pre-disposed to embracing new concepts. They make the change safe for the next segment of adopters: the early majority. The early majority makes the change feel like “this is how we’ve always done business” to yet another segment of the population: the late majority. Identifying, enlisting, and deploying the right people creates a bandwagon effect, until you have the momentum you need to engage the entire organization.
Behaviors, Habits, and Culture
Peter Drucker said “culture eats strategy for breakfast.” It’s true. Results are marginal if your supply chain strategy doesn’t fit your culture.
How do we know whether a strategy aligns with culture? The sum of organizational habits form a culture. Habits are regularly repeated behaviors. We have to identify the behaviors that enable the desired business outcomes, and then decide whether those behaviors do or could align with the dominant culture. New behaviors can become part of the culture if they turn into habits.
Assess where you are today vs. where you need to be.
- Identify the behaviors that drive the to-be state.
- Consider what triggers or prompts each behavior.
- Make sure there is a positive consequence to reinforce the behavior.
- Ensure that employees have the ability to execute the behavior.
- Develop a plan to practice the behaviors and start creating habits.
Reinforcement
We’ve heard the phrase “What gets measured gets rewarded, and what gets rewarded gets done.” Consider this when engineering behavior change. Are employees rewarded for managing risk? Probably not—at least not yet. Cost control or cost reduction has typically been king in the decades-long quest for efficiency. But performance ratings or bonuses tied to cost savings may not reinforce risk management behavior. It’s pretty basic: leaders must ensure that KPIs and employee reward structures match the business outcomes they want.
Conclusion
The global pandemic and other natural disasters may be changing the business landscape for good. But one thing that will never change is our need for a venti caramel latte with an extra shot. Business leaders need to get it together —we have no choice but to change supply chains to be more nimble. Mastering the change might be the difference between good and great outcomes.
Sources
https://25iq.com/2018/01/27/lessons-from-phil-knight-about-business-and-being-an-entrepreneur/
https://hbr.org/2020/03/coronavirus-is-a-wake-up-call-for-supply-chain-management
Fogg, B.J. Tiny Habits,
Rogers, Everett. Diffusion of Innovations
-
Four Ways to Get the Traction Your Org Change Needs
You need action, but employees aren’t listening. Here’s how to cut through the noise and get the results you need.You are up to your eyeballs in change. The US pandemic is waning, but markets are still recovering, workforces are shifting, and the imperative of new technology hasn’t let up.
But you’re on top of it. You are clear on the initiatives your organization needs. Now you’re trying to manage a suite of overlapping rollouts, so you need a strong communication plan to get employees on board.
Your senior execs have delivered PowerPoint presentations, participated in talking head videos and sent sponsorship emails. You have a network of people to answer questions and send you feedback. You’ve branded the projects, distributed swag, launched apps…
But you’re not getting the traction you hoped for. People seem unaware of the key points, or just plain unaware. Execs are frustrated; they say, “We told them. Why aren’t they getting it?” Employees are not using the new tools and approaches you’re trying to deploy. Why not?
According to the Radicati Group, 281 billion emails are sent worldwide daily. With 3.8 billion users, that’s 74 emails per person. Every day. Bain Consultants estimated in a 2014 Harvard Business Review article that 15% of company time is spent in meetings. Verizon commissioned a study that found people attend over 60 meetings per month, accounting for 37% of their time. The WSJ found that we are distracted every 3 minutes.
So what’s going on?
Your employees are being assaulted by information and demands on their time.
You are not in the communication business, you are in the ATTENTION business. You have to help people cut through the noise and focus on what’s important. To do that, you have to rise above the fray. Everything you deploy should grab attention. Your messages must be obviously different, relevant and worthy of people’s limited time.
Here’s how to focus attention:
1. Keep it simple.
Distill your point to its essence. It’s your three-word theme for the year, the mantra that gets you to the project end, the political platform statement, or the four words that capture the problem, solution, approach and results.
A childcare company was implementing new technology. Here’s how they distilled it to four words. “Our caregivers are overwhelmed. The solution? Make sure they are connected. They deserve a thoughtful approach to this implementation. What do we want in the end? Energized people.” These words were easy to remember without relying on PowerPoint. Anyone from any department could provide examples for those words, and they did. Simplicity creates clarity.
2. Use visuals.
Researchers have found that people can remember 2,000 pictures with 90% accuracy, likely because visuals engage more of the brain. It doesn’t matter whether a person is trying to memorize the images or is casually exposed to them. There’s an extra, unconscious leap needed to translate an image to a word, which is why words are harder to remember. Line drawings are particularly easy to recall, perhaps because they are more visually complex. Crude hand drawings are more memorable than stock images. Dan Roam has a great book, Draw to Win, which can help you overcome your self-consciousness and create your own powerful visuals.
When he ran Farmhouse Rice Company, Peter Molloy created a “visual vision” to convey company direction. It was so effective, he used the same technique again when he became CEO of La Terra Fina.
3. Use novelty or contrast.
Subconsciously, we are constantly looking for threat. That’s why anything unusual piques our interest. When you create disruption — whether in stories, process, color, structure, volume – makes people notice.
Years ago, an IT department in a Chicago hospital implemented a standard approach to requesting support and custom reports. People were accustomed to paging their favorite IT person to fulfill the request. (Yes, it was that long ago!) When they moved to the new process, they changed all IT pager numbers. A small disruption signaled a new way of working. Look for variety and surprising ways to make your point.
4. Use environmental cues.
Look for elements in the workplace itself that can serve your purpose, like the physical space, processes, screens, codes, reporting relationships, and job titles. The real world encodes the conceptual. And often what people encounter every day contradicts what the company is telling them.
Chevron did it right. Years ago, they decided to create a culture of safety. That meant asking introverted engineers to be a little confrontational if they saw something unsafe. All the communication in the world wouldn’t address that behavior. So they made a point of starting every meeting with a “Safety Moment,” where each person had to identify one thing they saw that day that was unsafe. Over time, they layered it with other activities, such as assessing each person’s work station to ensure it was ergonomic, or confronting one another for driving while talking on their cell phone. These environmental cues reinforced behavior in ways no email campaign could.
Traditional communication plans fail because they don’t use the best thinking on human behavior. Don’t churn out information and hope it sticks. Focus attention on the behaviors you want and you’ll achieve your business outcomes.
-
Organizations: Get Your Teams On the Habit Wheel
How do you push through the bad inertia and get your team humming again? With three time-tested tricks: trigger, action, and reinforcement.Simple ways to engineer your team’s momentum.
To paraphrase the law of inertia, a team at rest tends to stay at rest. And a team in motion tends to stay in motion.
For some organizations, 2020 slowed us down. While we haven’t been at “rest,” it certainly hasn’t been business as usual. Many organizations have slowed due to lower demand, inefficient virtual collaboration, sluggish cash-flow, and uncertainty about the future.
We now see a shift. People are optimistic about a return to normal. But we can’t just flip a switch. How do you push through the bad inertia and get your team humming again?
With three time-tested tricks: trigger, action, and reinforcement.
Does that sound familiar? Maybe you’re flashing back to Psych 101? Yes, we can use the principles of operant conditioning to change behaviors and create new habits that drive momentum.
The Habit Wheel
Quick refresher: we experience a trigger, we exhibit a behavior, and we get rewarded. If we repeat that cycle enough, it becomes less intentional and more automatic. That’s when we have a habit. Habits are powerful, because they sort of run on their own. So good habits are powerful; harnessing good habits creates positive momentum for a group.
So how do we use this to create team momentum?
- Behavior. Pick actions that are easy and important. That’s the sweet spot.
- Trigger. Make it clear and distinct. When people experience that trigger, they should know exactly what to do, when to do it, and how to know when they get it right.
- Reinforcement. Reward those who complete the behavior successfully. The reward depends on the situation. It might be a system response, a tangible reward, feedback from a supervisor, or public recognition. For extra credit, spread success stories. Focus the team’s attention on these “wins.” It’s another layer of reinforcement.
Remember, our goal is habit—behavior that is self-perpetuating. Once you layer the right habits across the team or the organization, you have momentum.
Example
Send an email, reminding your team of the reason you need change, and telling them you’re taking small steps. Lay out your momentum plan and highlight the benefits for the team.
Then, every Monday, email then team with one small action you want to see that week. Include examples and ways to tell when they’ve done it right.
Subject: This week, open all meetings with your intended outcome.
Team,
We’ve been talking about taking our meetings to the next level. Now it’s time to put it into action.
This week, please open every meeting by defining your intended outcome. For example, “The goal of our meeting today is 100% agreement on the project timeline.”
On Thursday, I will ask you for examples of how it went – good, bad, or indifferent. I’m looking forward to your stories!
Throughout the week, informally recognize the behavior when you see it.
Thursday, send an email asking for stories about how it worked during the week.
Subject: How did your meetings go?
Team,
This week I asked you to open every meeting by defining your intended outcome. How did it go? I’m interested in specific examples — good and bad — of your experience. Thanks!
Then, on Friday, feed the stories back to the team and call out great performers.
Subject: FW: Pam did a good job starting her meeting.
Team,
Here’s John’s experience from Pam’s meeting (see below). Good learning here for all.
Pam, I love your idea of the flipchart page and circling back at regular intervals.
John, thanks for sharing! I appreciate the leadership from both of you.
Make sure to follow through by responding to your team’s reactions. You asked for both positive and negative, right? So help individuals get unstuck, exhibit the behavior successfully, and address any concerns they have.
It might seem incredibly simple, but these small disciplines can unlock your team’s momentum. Try it.