TEC 401

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TEC 401 Session Five
Human Factors In Technology
Joseph Lewis Aguirre
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Characteristics of Technology-Driven Change with
Regard to The Implementation of Technology.

• Human resources.
• Functional resources.
• Technological capability.
• Organizational abilities.  

3
Change Management
Joseph Lewis Aguirre
4
Managing Resistance to Technological Change

• Process re-engineering and restructuring.
• Innovating application of goods and services.
• Managing employees as a vital element in the
  value chain.
• Achieving and maintaining customer loyalty.  

5
Internal or External Focus
An externally focused company can be difficult to
identify because it uses standard problem-solving
strategies, supply chain processes and product
delivery models. What separates externally
focused companies from internally focused ones is
the use of outside data as key inputs to these
models. For example, externally focused
companies look at non-traditional competitors
because they might re-define the customer
problem. - Traditionally, McDonald's looked at
Burger King, KFC, and Taco Bell as competitors.
- But if the problem is redefined as a need
for quick, low-cost food and drinks, a new set of
competitors come into play such as convenience
stores, frozen meals at grocery stores and gas
stations
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Internal Focus Time Spent Outside
If the senior team spends the majority of its
time solving operational problems, the company is
internally focused. Internally focused companies
also avoid and deny negative feedback. It's tough
to uncover the truth and once a company decides
to venture outside, the chance of hearing
negative feedback is high. The risk in ignoring
negative information threatens the survival of
the organization. Example of an externally
focused executive is Jack Welch, former CEO and
chairman of General Electric. According to
David Jones, chairman and CEO of Wallace Computer
Services Inc., routine contact by senior level
executives from all functional disciplines has
been critical for winning contracts without
significant price concessions. Mr Jones himself
attends major account presentations as just one
more person on the account team.
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Business Drivers

•  Customer problems or business processes? If
  business processes drive the business, the
  organization is internally focused.
• A company is externally focused if it understands
  its rules need to be flexible so that front line
  staff can immediately and effectively solve
  customer's problems - without a dozen
  supervisors' signatures.
• How a company handles customer returns and
  complaints provides great clues about the focus
  of an organization. For example, Nordstrom's has
  a legendary external focus with virtually no
  restrictions on customer returns.
• Home Depot and CDW (Computer Discount Warehouse)
  exhibit their external focus by employing
  knowledgeable staff who are willing to answer
  endless customer questions.
• Internally focused organizations keep everyone
  appraised of each process with time-consuming
  meetings. Walk around any internally focused
  corporate headquarters and observe the number of
  people in meetings or the number of conference
  rooms available. Then stop and think about the
  extent to which internal meetings are solving
  customer problems or producing profits.
• To determine who owns the business processes, ask
  these two questions
• Are business processes too complicated to
  document?
• How many times during a month do key processes go
  unexecuted because someone is absent?
• .

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Internal Focus Risks
Extinction For example, consider a company that
uses only one supplier of a key raw material or
services or two customers that contribute 80
percent of total revenue. US auto industry in
the 1980s when overseas companies introduced
products that were superior in quality, more
durable and less expensive. The US auto industry
failed to listen to customers' quality and fuel
efficiency concerns until consumers had an
alternative buying source - foreign car
manufacturers that addressed these concerns with
a value price. The auto industry changed again
when gas prices started going north of 50 cents a
gallon, and customers wanted fuel-efficient cars
rather than large sedans. Obviously, that didn't
last. Trends have reversed yet again as extra
large SUVs remain in high demand. Being ahead of
the market as these changes occur is the way to
profitability. It's not good enough to watch the
market trends as they play out.
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Planning Management of Personal and
Organizational Change

• Business description, objectives, and
  technological environment.
• Personal and organizational responsibilities for
  moral and ethical use of technology.
• Current and potential uses of technology for the
  global success of business objectives.
• Human factors within the enterprise that utilize
  current and emerging technology more effectively.
   

10
Knowledge Based Strategic Change

• Concepts of organizational knowledge
• Strategic change as the process of knowledge
  creation
• A case study
• Discussing the case
• Conclusion

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Organizational Knowledge

• What is knowledge?
• Knowledge is more than processed data, it results
  the processing or sense making of information by
  intellects.
• Knowledge consists of phenomena that amounts to
  more than just facts, it also consists of beliefs
  and values acquired through the meaningfully
  organized accumulation of information through
  experience, communication and inference

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Knowledge Based Economy

• Knowledge-based economy is an economy in which
  knowledge is the most important productive factor
• Knowledge-based company (enterprise) is a
  company in which knowledge is the most important
  productive factor

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Knowledge and Organizational Culture

• Organizational culture set of assumption and
  beliefs held in common and by the organizations
  members
• Values and beliefs are examples of tacit
  knowledge
• -- culture is a stock of knowledge that has
  been codified into patterns of recipes for
  handling situations, then very often with time
  and routine they become tacit and taken for
  granted and forms the schemes which drive action

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Change Management is it possible?

• Managers want to transform their organizations on
  a planned basis
• 70 failure rate for organizational change
  initiatives in general
• Increasingly the feasibility of managing change
  is being questioned
• Change is about issuing objectives and
  instructions and explaining to individuals how
  need to change

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Change Management is it possible?

• For change to occur in organizations, the
  routines and their associated meanings have to
  evolve
• Thus the strategic change can be identified as
  the process of new knowledge creation
• This approach can be defined as knowledge-based
  change

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Design Co.

• Engineering division of a parent company
• Established in 1999
• Re-branded in 2000
• Tough growth targets
• Changing from engineering focused organization to
  an entrepreneurial engineering service
• External customer instead of internal customer

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Change Initiative

• Changing Structure from hierarchical to matrix,
  team based structure
• Using assessment centers to pick people for new
  positions
• Hiring new people for sales, marketing, finance
  HR
• Introducing a new board
• Asking many of old managers to leave
• New performance management for paying according
  to achievement of personal objective

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Resistance to Change

• Conflict between new and old staffs
• New staffs dont add value?
• Traditional, hierarchical, very macho,
  conservative and male oriented culture
• Fixed cost pricing vs. hourly basis waging
• Communications problems

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Knowledge base approach to Design Co.

• Architectural component Knowledge
• Entrepreneurial and commercial targets of the
  company, challenged both the component and
  architectural knowledge bases.

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Knowledge base approach to Design Co.

• Absorptive capacity
• Engineers had no prior knowledge of new working
  circumstances to ease their absorption of the new
  knowledge they were being asked to take on board.
  

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Knowledge base approach to Design Co.

• Knowledge codification and diffusion
• The issue in change is to do with the
  codification and diffusion of the new
  architectural and component knowledge necessary
  for change to occur, rather than existing
  knowledge
• Those who have developed new procedures, systems
  or routines that work, can share them with others
  who have not progressed so far

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Knowledge base approach to Design Co.

• Redundancy
• Redundancy is a key enabler of the types of
  communication mechanisms described under
  knowledge codification and diffusion.
• Requisite variety

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Knowledge base approach to Design Co.

• Enabling context
• The enabling context would be about how, through
  structures and informal groups, as discussed
  above, to facilitate sharing and development of
  new ways of working

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Knowledge base approach to Design Co. Conclusion

• Management implications
• Individual are not passive recipients of change
• Change is a process of innovation and creativity
• The individuals need to be enabled to re-create
  their ways of working, their daily routines and
  behaviors
• Senior management cannot impose the detail of
  what individuals need to do differently to meet
  the aims of change

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Knowledge base approach to Design Co. Conclusion
Management Implications

• New critical areas of focus
• Communication
• Creating and enabling context

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Technology Trends, Predictions
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Headlines

• CIA Overseeing 3-Day War Game on Internet
• The CIA is conducting a war game this week to
  simulate an unprecedented, Sept. 11-like
  electronic assault against the United States. The
  three-day exercise, known as "Silent Horizon," is
  meant to test the ability of government and
  industry to respond to escalating Internet
  disruptions over many months, according to
  participants.
• 05-25-05

http//online.wsj.com/article/0,,SB111627924241235
058,00.html?mod25F11535F2
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Headlines

• Under Pressure to make cars safer, smarter and
  more fuel efficient, auto makers are going back
  to the drawing board and the testing lab. The
  result A surge of innovation abd
  experimentation is coming that the industry has
  not seem since its earliest days.
• Increasingly, cars will become electronic
  thinking machines - not just mechanical devices
• WSJ 07-25-05

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Decision Making Framework
Information Characteristics
Decision Structure
Pre specified Scheduled Detailed Frequent
Historical Internal Narrow Focus
Business Professionals
Operational Management Efficient, do thing
right
Structured
Tactical Management Business Unit Managers
-Effective, right thing
Ad Hoc Unscheduled Summarized Infrequent Forward
looking External Wide Scope
Semi Structured
Strategic Management Executives, Directors
-Transformation
Un Structured
RELATIVE TIME SPAN
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Thinking Like A Board Member
What CIO is Thinking
What BOD is thinking
1. Corporate Profitability
1. Technology Integration
2. Vendor Management 2. Buying or
Selling
3. Compliance 3.
Sarbannes-Oxley
4. Business Alignment 4.
Succession Planning
5. IT Governance
5. Corporate Governance
6. IT Security
6. Risk Management
7. Sourcing
7. Long-Term Shareholder
Value
8. Talent Management
8. Executive Compensation
Source From IT to the Board Room, John Byrnes
MD for Mason Wells.
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Mission Vision
Mission, Vision, Goals
Information Characteristics
Pre specified Scheduled Detailed Frequent
Historical Internal Narrow Focus
Business Professionals
Operational Management Efficient, do thing
right
GOALS (SOP)
Tactical Management Business Unit Managers
-Effective, right thing
Ad Hoc Unscheduled Summarized Infrequent Forward
looking External Wide Scope
MISSION
Strategic Management Executives, Directors
-Transformation
VISION
RELATIVE TIME SPAN
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Organizational Effectiveness
ENVIRONMENT
CLIMATE
Marketplace
Other Teams
Enthusiasm
STRUCTURE
Competition
Accountability
Reward System
GOALS
Reporting Relationships
Creativity
Values
Clarity
Commitment
Mission Philosophy
Stress
Collaboration
Feedback System
Decision Making
Behavior Norm
Flexibility
Trust
Competition
Culture
Involvement
Pressures
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Traditional MFG. Organizational
ENVIRONMENT
CLIMATE
Marketplace
Other Teams
Enthusiasm
STRUCTURE Mechanistic
Competition
Functional Structure
Reward System
GOALS
Hierarchical
Creativity
Values
Clarity
Commitment
Mission Philosophy
Stress
Collaboration
Feedback System
Centralized Decision Making
Control Standardization
Flexibility
Trust
Competition
Culture
Involvement
Pressures
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Advanced MFG Technology Organizational
ENVIRONMENT
CLIMATE
Marketplace
Other Teams
Enthusiasm
STRUCTURE Organic
Competition
Product Team
Reward System
GOALS
Flat
Creativity
Values
Clarity
Commitment
Mission Philosophy
Stress
Collaboration
Feedback System
Decentralized Decision Making
Control Mutual Adjustments
Flexibility
Trust
Competition
Culture
Involvement
Pressures
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Values

• Honesty
• Customers
• Employees
• Safety
• Competitors
• Revenue
• Profits
• Alliances
• New Products
• New Markets

Ecology Cutting Edge Image Fun Growth Family Capit
al Quality Social Capital Location
Hedonism Risk Collaboration Centralization Creativ
ity Other
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Technology Trends, Predictions
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Predictions
  1893-1993 Dave Walter, Today then In the
early 1890s,a news agency commissioned 74
prominent Americans to write brief essays on what
life would be like in 1993, as part of the
fanfare for the future-oriented World's Columbian
Exposition, which opened in Chicago in May 1893.

• 1990 2000 John Seely Brown, Paul Duguid, The
  Social Life of Information, 2000
•  
• --gt experts predicted the end of newspapers,
  television, paper, office, established
  universitymissed the The Internet

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Predictions
1893-1993 Dave Walter, Today then

•  
• Erroneous Forecasts
• Hypnotism would replace anesthetics in surgery.
• The government would set up colleges to train
  servants.
• Houses and cities would be built of aluminum.
• Unemployment would disappear.

•  
• Correct Forecasts
• An income tax was coming.
• Homes would be air-conditioned.
• Women would vote.
• Florida would boom as a leisure state.
• Cities would become groups of suburbs

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MAJOR AI APPLICATIONS
Cognitive Science (Human Information Processing)
Expert Systems Learning Systems Fuzzy Logic
Neural Networks Intelligent Agents
Robotics Applications Visual Perception Tactility
Dexterity Locomotion
Navigation
Natural Interface Applications Natural Languages
Speech Recognition Multi sensory Interfaces
Virtual Reality
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Artificial Intelligence Drivers

•  
• New Scientist 04-2005 Editorial
•  
• AI pervades our world and may soon start evolving
  faster than humans can track it - in whose hands
  should this awesome power reside?  When it comes
  to emerging technologies we know what we are
  afraid of, even though we may not know why. 
  There is no shortage of public debate about
  genetically modified crops, nanotechnology and
  cloning.  And policy makers have responded  Many
  countries have laws that restrict they way these
  technologies can be used. 
• So why the deafening silence about the potential
  dangers of artificial intelligence? Here is a
  technology that is already changing the world 
  AI is used in everything from guided missiles to
  air-traffic control.  It is not yet "intelligent"
  in the human sense, but looks likely to change"

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Social Perception Machine

• Social Signals Tone of Voice, Facial Movement,
  Gesture
• Listen in to social signals within conversations,
  ignoring words
• Predictions
• Next move
• Winner in negotiations
• Connector within the group
• Feelings about negotiations.
• Applications
• Badge - social context sensing by infrared, audio
  and motion
• GroupMedia PDA - Attraction signaling in social
  events
• Serendipity Phone - Compares interests and makes
  socially appropriate introductions
• Source Alex Pentland MIT Media Arts and
  Sciences, Computer 3,2005

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Socially Aware Communication

• Potential Commercial Applications
• Mood Ring (jerk-o-meter) - enhance couples
  communication
• Comfort Connection - call center application
• Personal Trainer - immediate feedback
• Winning Combination - Paring right salesperson
  with right client
• Source Alex Pentland MIT Media Arts and
  Sciences, Computer 3,2005

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Worlds Cafe
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Knowledge Management

• It's been said that if NASA wanted to go to the
  moon again, it would have to start from scratch,
  having lost not the data, but the human expertise
  that took it there the last time.

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Knowledge Networks Vs Repositories
users
users
users
users
Query
Query
users
Codified knowledge
Response
users
users
users
users
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Wearables
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Wearables
Sony GestureWrist and GesturePad This Sony
GestureWrist and GesturePad.. IBM Research's Meta
Pad IBM's research to explore how humans interact
with computers and define the technologies needed
for future pervasive devices.   ViA II PC a
lightweight, wearable design of the PC, Matsucom
onHand PC The onHand PC "wristwatch" is a
full-featured PDA Xybernaut Poma Wearable PC
Hitachi PC CharmIT wearable development kit The
CharmIT is Charmed Technology's first wearable
development kit. Bitsy-Borg wearable computer A
single board computer and a MicroOptical
eyeglass-mounted display unit, targeted at the
OEM developer. Xybernaut's XyberKids Wearable
Computing Platform The Xybernaut XyberKids
product is a multi-component solution for
students who face the challenge of a disability,
OQO wireless handheld computer The OQO is the
smallest high performance WindowsXP computer with
complete PC functionality. Xybernaut Mobile
Assistant V The MA V is a powerfulsuper
lightweight wearable computer .
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Wearables Fashion
Dockers Mobile Pant . Great for keeping cell
phones, PDAs and beepers handy. Scott eVest with
personal area network SeVs have up to 42 hidden
pockets and a patent-pending Personal Area
Network (PAN). Sanyo Fashion House Raincoats for
Palm Devices Has a special pocket for Palm
devices lined with static shielded material as
well as a cell phone pocket lined with
anti-magnetic material.   Bristol Wearable
Computing Project Concerned with exploring the
potential of computer devices that are as
unconsciously portable and as personal as clothes
or jewellery. IBM Linux-based watch Linux on a
wrist watch including Bluetooth
capabilities Samsung SPH-S100 cell phone watch
PCS Single Mode (1,900 MHz) Watch Type Phone with
SMS, Dedicated Ear-microphone, Vibrating Alert
Alarm/World Time, Automatically Call Lock, Voice
Dialing(20), Speaker Phone Function, Phone
Book(80) and Calendar Casio digital camera watch
You can use IR data communication to transfer
images to a computer Casio PAT2GP-1V GPS
Satellite NAVI watch uses GPS satellites that
ring the globe to tell you your current location.
Timex Internet Messenger Watches Timex Internet
Messenger Watches can receive email messages
Timex Watch - Speedpass System Inside the
timepiece is a miniature Speedpass radio
frequency transponder that allows customers to
instantly pay for purchases at Exxon and Mobil
gasoline stations nationwide and at select
Microsoft Smart Personal Objects Technology
(SPOT) Smart Personal Objects are common,
everyday items, such as wristwatches, clocks,
pens, key-chains and refrigerator clock magnets
that are made smarter, more personalized and more
useful through the use of specialized technology
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Persuasive Technology - Captology

• Persuasive Technology - Insight into how
  computing products can be designed to change what
  people believe and what they do in domains such
  as
• Health
• Business
• Safety
• Design, theory, and analysis of persuasive
  technologies "captology."

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Virtual Reality

VT CAVE Virginia Tech
"Future Watch", a CNN Documentary on Applications
of a CAVE
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Virtual Reality
VRML Resources Web3D Consortium VRML97
Virtual Reality Modeling Language (VRML)

VRML Gallery of Electromagnetism Ampere's Law
anim (255 kb)Assorted anim (940 kb)A
line-integral (166 kb)
VRML Viewers FreeWRL GLView OpenVRML Web3D
page VRweb A Multi-System VRML Viewer
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Human Mind Framework
Creative Machines
Perception
Learning
Internal Imagery
Cognitive neuroscience  acknowledges only three
principal activities going on within the brain
learning, perception, and internal imagery
(imagination).
http//www.imagination-engines.com/
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Life Creation
Biologist J. Craig Venter once raced the US
Government to complete the decoding of the human
gnome. Now after a maverick career studying the
code of life, Dr. Venter has a new goal Life
itself WSJ 06-29-05
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Trends to Watch

• Ubiquitous wireless microchips socks, brain,
  toaster
• Move toward human-centric designs reliable
  software
• Moores Law will continue indefinitely
• Quantum computers will obsolete current
  cryptography methods
• We will face social conflicts with robots
• Green living possible as a result of Ubiquitous
  computers
• Electricity will grow as a function of the
  Internet
• All software, books, documents and information
  will be free.
• Robots will explore space and our bodies
• Bionic bodies parts will expand lifespan

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Evaluating the Claims

• Instead of extrapolating a trend, examine the
  social consequences if the claim becomes true

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ORGANIZATIONAL HORSEPOWER
Global
LEARNING
KP Knowledge partnership
Organizational Force
Async
KP
TEAM CULTURE
VIRTUAL
JIT
OHP
Organizational Speed
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Planning Management of Personal and
Organizational Change

• Key elements to consider when planning for the
  management of personal and organizational change,
  driven by technology, include the following
• Business description, objectives, and
  technological environment.
• Personal and organizational responsibilities for
  moral and ethical use of technology.
• Current and potential uses of technology for the
  global success of business objectives.
• Human factors within the enterprise that utilize
  current and emerging technology more effectively.
   

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Change Management - Change Strategies
Joseph Lewis Aguirre
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Change Resistance Diagnosis

• Parochial Self Interest
• The best interest of individual is not the best
  interest of the total organization
• Misunderstanding lack of trust
• Few organization can be characterized as having a
  high level of trust
• The lack of trust between the person initiating
  the change and the employee, can cause for
  misunderstanding

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Change Resistance Diagnosis (cont)

• Different assessments - Remember Betsy?
• People may assess the situation differently from
  managers or those initiating the change
• The difference in information that groups work
  with often leads to difference in analysis
• Low tolerance for change
• People will not able to develop the new skills
  that will be required of them
• People will sometimes resist a change even when
  they realize it is a good one

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Change Resistance Diagnosis TOC

• The major obstacle to organizational growth is
  managers inability to change their attitudes and
  behavior as rapidly as their organization
  require.
• Peter F. Drucker

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Strategic Continue,
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Change Management - Why Transformation Fails
Joseph Lewis Aguirre
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EXPERT ADVICE
Change

• One of the biggest changes for companies over the
  last decade or so has been the emergence of the
  so-called "global" market. How can companies
  better equip themselves to deal with change on a
  global basis?

68
EXPERT ADVICE
Change - Definition

• "Organizational change is the implementation of
  new procedures or technologies intended to
  realign an organization with the changing demands
  of its business environment, or to capitalize on
  business opportunities.
• -- ODR, a consulting firm with more than 23
  years of experience

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EXPERT ADVICE
Change

• Slow, cautious, well documented, process driven,
  incremental change is a luxury that very few
  organizations can now afford. Speed has now
  become a key competitive advantage.

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Managing Change

Research by The Global Future Forum (GFF) has
found that as much as 58 of top executives in
the Fortune Global 500 admit their organization
is ineffective at managing radical change. The
research highlighted that organizations actively
involved in planning for change are only planning
for "more of the same."
71
Internal to External Focus

"it is important for businesses to anticipate the
future - not just so that they can plan for it,
but so that can help to shape it too. - David
Smith, CEO of The Global Future Forum
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EXPERT ADVICE
Expert Views

•   "I think there is a world market for maybe five
  computers" - Thomas Watson, IBM president, 1943.
• "Television won't last because people will soon
  get tired of staring at a plywood box every
  night" - producer Darryl Zanuck,
  Twentieth-Century Fox, 1946.       

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EXPERT ADVICE
Expert Views

• When Brigadier General Billy Mitchell proposed
  that airplanes might sink battleships by dropping
  bombs on them,
• U.S. Secretary of War Newton Baker said "That
  idea is so damned nonsensical and impossible that
  I'm willing to stand on the bridge of a
  battleship while that nitwit tries to hit it from
  the air."
• Josephus Daniels, Secretary of the Navy, "Good
  God! This man should be writing dime novels."
• Scientific American (1910) "to affirm that the
  aeroplane is going to 'revolutionize' naval
  warfare of the Future is to be guilty of the
  wildest exaggeration."

74
EXPERT ADVICE
Expert Views

• "There is no need for any individual to have a
  computer in their home" - Ken Olson, president of
  Digital Equipment Corp., 1977.
• "640k ought to be enough for anybody" - Microsoft
  founder Bill Gates, 1981

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EXPERT ADVICE
Expert Views - Takeway

• Managers who can expand their imaginations to see
  a wider range of possible Futures will be much
  better positioned to take advantage of the
  unexpected opportunities that will come along.

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Change - Research
More than 50 of survey participants had
implemented dramatic process change, More than
90 implemented process changes that crossed
departmental boundaries Almost 50 expect the
change to impact their entire enterprise. --
source "Management Challenges for the 21st
Century" by Peter F. Drucker A report published
by ProSci Learning Centers (www.prosci.com)
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Change - Research

• More than 100 companies with different
  characteristics have been studied.
• The efforts have gone under many names.
• In almost every case the basic goal was
• to make fundamental changes in how business is
  conducted in order to help cope with a new, more
  challenging market environment

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Change - 1 Sense of Urgency

• How most successful changes begin.
• Crises, potential crises or great opportunities.
• Bad business results are both a blessing and
  curse in first phase.
• An almost universal tendency to shoot the bearer
  of bad news.
• When is the urgency high?
• Over 50 have failed in phase 1,because of
• Underestimate/motivating people.
• Overestimate success.
• Lack of patience.
• Paralyzed senior management.

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Change - 2 Power is in the Why

• In most successful cases coalition is always
  powerful.
• Senior management always forms core group.
• More than high sense of urgency is required.
• Reasons for failing
• No history of teamwork at top.
• Expecting the team to be led by a staff executive.

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Change - 3 Vision-less

• In successful cases, coalition develops a
  picture of future.
• A vision says something that helps clarify the
  direction in which an organization needs to move.

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Change - 4 Communicating the Vision

• Three patterns with respect to communication
• Holding single meeting or sending out a single
  communication.
• Making speeches to group of employees.
• Newsletters and speeches.
• Particularly challenging in case of short term
  sacrifices.
• Walk the talk, nothing undermines change more
  than wrong behavior by important individuals.

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Change - 5 Force Field Analysis

• Emboldened employees.
• Obstacles for employees
• Narrow job definitions.
• Compensation and appraisal systems.
• The action is essential both to empower others
  and to maintain the credibility of change effort.

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Change - 6 - Planning and short term metrics

• Most people go on a long march unless
• In one or two years you should find
• Quality beginning to go up.
• Decline in net income stopping.
• Product introduction.
• Upward shift in market share.
• In successful cases manager actively plan to
  achieve objectives. They dont hope for.
• The benefits of commitments to produce short-term
  wins.

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Change - 7 Declaring Victory Too Soon

• New approaches are fragile and subject to
  regression.
• Ironically, it is often a combination of change
  initiators and change resistors that creates the
  premature victory.

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Change - 8 Culture

• In the final analysis changes sticks when it
  becomes the way we do things around here
• Two factor in institutionalizing change
• To show people, the effects of new approaches.
• Make sure that next generation of top management
  will personify the new approach.

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Change - Summary

• Change process goes through a series of phases.
• Critical mistakes in any of the phases can have
  devastating impacts.
• A fewer errors can spell the difference between
  success and failure.

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Change Management- Why Change Fails
Joseph Lewis Aguirre
88
Change is Personal
Each individual MUST think, feel, or do something
different. Change programs fail because
of Having a mechanistic mental model Breaking
change into small pieces Managing the pieces
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Change is Personal (cont)

• The challenge is to manage the dynamics not the
  pieces.
• Teaching personnel how to think strategically,
  recognize patterns, and anticipate problems and
  opportunities before they occur.
• From the managerial viewpoint, change is a
  balancing act

90
Change is Personal (cont)

• Example Transition Management Team, a group of
  company leaders, reporting to the CEO, who commit
  all their time and energy to managing the change
  process.
• Managing change for this group means
• Managing the conversation between the people
  leading the effort and those who are expected to
  implement the new strategies.
• Managing the organizational context in which
  change can occur
• Managing the emotional connections

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Change - Typical Approach

• Management says We have to make some changes
  around here (TQM, BPR, Employee Empowerment, )
• A task force is formed
• This force works without communicating anyone
  else, trying to meet deadlines, testing a lot of
  what-ifs
• The results are delivered
• Everyone has to do his part

92
Change - Organization Context
Strategic Frames
Blinders Processes
Routines Relationships
Shackles Values
Dogmas People
Change Survivors
93
Change - Organization Context (cont)
Change Survivors Cynical people whove learned
how to live through change programs without
really changing at all. They know that change
programs are only managers fads. Their reaction
is the opposite of commitment. In this context
every change effort will fail. Managers should
change their behavior. How would we act? How
would we attack our problems? What kind of
meetings and conversations would we have?
94
Change - Organization Dynamics
An organization, like a mobile, is a web of
interconnections. A change in one area throws a
different part off balance. Managing these
ripple effects is what makes managing change a
dynamic proposition with unexpected challenges.
95
Change - Transition Management

• Primary responsibilities
• Establish context for change and provide guidance
• Stimulate conversation
• Provide appropriate resources
• Coordinate and align projects
• Ensure congruence of messages, activities,
  policies, and behaviors
• Provide opportunities for joint creation
  (Empowerment)
• Anticipate, identify, and address people problems
• Prepare the critical mass

96
Change - References

• John P. Kotter, Leading Change, Why
  Transformation Efforts Fail, HBR , April 1995.
• "Management Challenges for the 21st Century" by
  Peter F. Drucker A report published by ProSci
  Learning Centers (www.prosci.com)
• Jeanie D. Duck, HBR on Change 2000, Managing
  Change The Art of Balancing
• , Donald N. Sull, HBR on Culture and Change
  2002Why Good companies Go Bad
• , Debra E. Meyerson, HBR on Culture and
  ChangeRadical Change, The Quiet Way
• Colin A. Carnall, Pearson Education, 1999,
  Managing Change in Organizations (Third Edition)