I am fascinated by change in organizations, by what drives it, what leads it, and what makes it happen. There are a number of businesses that are in a struggle right now, and this struggle is driven by their inability to previously anticipate market conditions and the realities within which they operate. Some are quickly and effectively reinventing themselves. This is exciting, and as business culture, irrespective of industry, can be prone to many legacy notions of practice, process and value creation, we know that through effective leadership and strategy legacy thinking can be overcome. Most of us would acknowledge that we can literally see change in business on a daily, if not hourly basis. How we work, and the markets within which we operate, are subject to exponentially increasing change as it relates to communications, globalism, competition, continuous improvement, consumer/client need, collaboration, user experience, teaming, talent… I could keep going, but imagine that you get the picture. I have posted about this a number of times, but I want to elaborate on some of the broader principles that I am beginning to consistently identify:
1. Nothing motivates change like the “near-death experience”
There was a great post back in October at Mavericks At Work that touched on this issue without really revealing any conclusive answer, but that got me really thinking. Why is this? Does it take a brush with disaster to shake people out of stasis? Is change fear based? My current observations are that this is often the case, though it does not need to be. However, people tend to be lazy and comfortable, and change is hard, dedicated work. Change is often also very entrepreneurial, entails risk, and not everyone is programmed to approach business in this way. But when the survival of the company is at stake, people suddenly perk up and pay attention. They become focused. This is an opportunity. Effective leadership seizes on this opportunity.
2. Leading change is clearly identifying what needs to happen, and then executing
We have all sat through too many meetings where somebody in leadership makes a compelling case for change, and then you never hear about it again. Change is war. Change requires thorough and well-thought-through strategy and the tactics to achieve that strategy. This is a fundamental rethinking of a business, of process, and of market relevance, and a fundamental reformulation of how a business navigates these successfully. This is then followed by action, by execution. There needs to not only be next steps, but next steps to the next steps, and the right people need to be in ownership of the direction and management of the business course in support of this direction. Otherwise, you just sat through another hour you will not get back.
3. Effective change leadership requires a strong connection to operational reality
Given a situation where an organization needs to undergo some fundamental reassessments of business model, practice, and market relevance, it is imperative that those leading such assessments be grounded in the contextual reality of the organization. You cannot set the bar impossibly high out of optimism. You need to set incremental targets that are reality based and mostly achievable with hard work and focus. I am a firm believer in the benefits of failing forward as a way to test concepts and ideas, but if the goal is an unattainable target you will do a better job demoralizing your team while also undermining the larger goal of moving the organization forward. Respect the need for action, but take the time to plan effectively. Base your assessments of problems, current conditions, and even future possibilities on hard data, when possible, and avoid the mistake of presenting baseless assumptions as actionable strategy. Manage goal setting very, very carefully and tie those goals directly to the expertise and resource required. Also, consider an exit strategy for goals insofar as your team understands that if Plan A is not successful, that Plan B very quickly goes into action. I think that the I Ching nails this with the idea of “wind over wind,” which presents the approach of “…gently overcoming any impasses that are in your way by being consistent and having well defined goals to focus on. This way changes and will have long-term and far-reaching effects.”
4. Passion can be an effective motivator of change, but you have to authentically show it
While it cannot be the sole catalyst for success, passion can certainly get you far in creating energy and impetus behind a strategy. However, it needs to be bolstered by awareness, connection to reality, and a deep knowledge base. Without passion, though, you face a much more challenging process. Let’s face it, change should be exciting for an organization, and it is an opportunity to bring everyone together for a unified purpose. This begins with passion for the power of an idea, for the importance of an effort coming from the top. Consistently. The more directly this passion is communicated, the more resolute your support for these efforts will be. Leaders need to tap this, the people that support them feed off of it. This is about as close to politics as leadership in business might come, but we’re talking charisma and energy here. Change that is mandated by a detached, disconnected, and aloof leader is doomed to failure. Change that is lead by an effective leader who is passionate, invested, and connected is a rallying point. We love leaders who work as hard, or harder, than we do.
5. With the right team, anything is possible, and effective change leadership demands the right team
There are few businesses where one or two people can achieve a successful transformation. We need the support of people who are better at some things than we are. Not necessarily a lot of people, depending on the organization, but certainly people who deepen the capabilities and potential of a change effort. In most business books about this topic some significant amount of content will be dedicated to effective teaming around and in support of a strategy. This is because they’re right. Teams need to be built for speed, steeped in commitment, with members chosen for both what they bring to the effort and a devotion to work with others to achieve success. Not everyone is cut out for this, and one person that is not operating from this place can sink the efforts of an entire team. Replace them. Test for acumen and energy. Profile for passion and thought leadership. Surround yourself with people who are not afraid to challenge convention and work to do things better than they have done before. This should be leadership team best practice. For truly successful companies, it most certainly is.
I would say that these five principles are very much a work in progress, but it seemed appropriate and compelling to begin to commit my thoughts to review by a broader audience. What I know is that there is no one magic process for effectively leading and managing change within an organization. Change is based on customization of approach, and that is borne out of a deep and thorough understanding of what challenges a company faces, and an intense investigation into how it might successfully overcome those challenges. The most important piece, though, is a cohesive commitment to action.

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April 1st, 2008 at 7:57 pm
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