When Culture Eats Enterprise 2.0 Strategy for Breakfast

If Culture eats (Enterprise 2.0) Strategy for breakfast … f b kf t … how do we take culture on? ActEdge Arno Hesse (CC) 2009 Enterprise2Open Unconference at Enterprise 2 0 at Enterprise 2.0 o June 24, 2009 in Boston Arno Hesse ActEdge innovating engagement ActEdge – innovating engagement arno.hesse@actedge.com Twitter: @ahesse 1

So what is Culture? Shared Set of … Shared Set of Perceptions p Assumptions Values … that guide … Judgments ActEdge Arno Hesse (CC) 2009 o Beliefs Behavioral Patterns Actions 2

Culture – Illustrative Examples Failure: blame the market! It’s all about the Team before numbers individual Perceptions p Assumptions Values Best numbers = … that promotion! guide … Judgments ActEdge Arno Hesse (CC) 2009 Experience Boss always matters leads meetings o Beliefs Behavioral Fine‐tune accoun‐ Patterns ting systems Actions 3

Culture Check: Where is your organization before Enterprise 2 0? Enterprise 2.0? Assumptions Ass mptions Values …. Beliefs B li f Behavioral Behavioral Patterns ActEdge Arno Hesse (CC) 2009 o 4

E2: What Culture Aspects Matter? Exercise: 1. E2 Outcomes: Which culture aspects will be affected (in a successful implementation)? 2. E2 Inputs: Which culture pre‐condition will support or hinder an implementation? Working Together Individual’s Environment Organization’s Stance Teamwork Autonomy Adaptive Nimbleness Information Sharing Accountability External Market Focus ActEdge Arno Hesse (CC) 2009 Trust Creativity and Innovation Aggressiveness Politics Bureaucracy Customer Driven Customer Driven o Silo Mentality Hierarchical Risk‐Taking Subset of Culture Assessment instrument (overall 36 scales) 5

Enterprise 2.0: Promise or Threat? ActEdge Arno Hesse (CC) 2009 o Marketing example from Whitney Michael’s Whitepaper on Enterprise 2.0 6

Enterprise 2.0: Promise or Threat? We say… Flat Organization! Some hear … Fewer Promotions? Didn’t I do the right things all ActEdge Arno Hesse (CC) 2009 those years to get ahead? o 7

Enterprise 2.0: Promise or Threat? We say… Agility! Flexibility! Some hear … Nothing to count on anymore? Now that I finally figured out f yfg ActEdge Arno Hesse (CC) 2009 how to work the system, everything will be in flux? o 8

Enterprise 2.0: Promise or Threat? We say… Open Borders! Transparency! Some hear … Even more interference? You mean the guys from audit You mean the guys from audit ActEdge Arno Hesse (CC) 2009 can see EVERYTHING? They can’t handle the truth. o 9

Select the right Change Agents Your Champions of Change The Micro‐Political Forces of Change The Micro The Micro‐Political Forces of Change Blockers Snipers Followers Cheerleaders Visionaries ? X ? ? ? ! ? ! X ? ? Owners of Behave like Underlying Relationship- Driven by opposing ‐ often followers until resistance to oriented and vision: intrinsic rational ‐ visions. ti l ii triggered b lit h ti d by glitch change until h til motivated b ti t d by motivation ti ti ActEdge Arno Hesse (CC) 2009 Triggered by benefits proven anticipated provocation. benefits o Isolate (distract) Allocate to Surround with Leave alone for now visionaries cheerleaders Keep as anti‐ Phase 1: example Round some up around change R d d h Empower, provide resources E id champions Separate from others 10

Assess the Organization’s Capacity to Change Which unit to choose for the initial pilot? Capacity to Change Indifferent to External Environment In Touch with External Environment Limited awareness of customers, competition Scrutinizes and responds to customers, and market competitors and broader market conditions Indifferent to Internal Environment In Touch with Internal Environment Not open to assessing and learning from Actively solicits feedback from within the org; organizational experience modifies the organization to promote excellence Doubts about Senior Management Confidence in Senior Management Senior management is perceived as not Senior management is admired; perceived to be working as team and not worthy of trust trustworthy and to work as a team Lack of Confidence in Employees Confidence in Employees Rigid and conforming policies; lack of trust in Limited bureaucracy; high levels of trust in employees employees; employee independence is valued Fixation on Financial Results Relevance of Broader Meaning Organizational goals are limited to financial Inspiring organizational vision and mission; ActEdge Arno Hesse (CC) 2009 results; goals do not inspire goals expand beyond financial results Procedural/Bureaucratic Aggressive, Risk-Taking Risk-averse; conforming; unadventurous Open to new ideas and approaches; risk- o tolerant; non-conforming Inadequate Systems and Procedures Adequate Systems and Procedures Systems do not support organization’s goals Systems are in place that support key organizational processes Overextended; Too Much on Plate Available Bandwidth/Resources Employees working at full capacity; unable to Employees are capable of taking on additional take on additional workload work From: feedback report to client 11

Culture Change Takeaways for E2 Purpose! Enterprise 2.0 is the answer to what question… ? If Culture matters, include culture expertise in Enterprise 2.0 deployments (and sales) p y ( ) Soothe the anti‐bodies by proofing the benefits in a smaller, subversive pilot smaller subversive pilot ActEdge Arno Hesse (CC) 2009 Assess the organization’s Capacity to Change when charting o the game plan p p y p , Executives lead Enterprise 2.0 adoption by example, not mandate 12

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When Culture Eats Enterprise 2.0 Strategy for Breakfast

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