LEADERSHIP -THE AGILE ENTERPRISE Vs BUREAUCRATIC ORGANIZATION PRESENTATION By Prof.K.Prabhakar,KSRCT [email_address]

Present Organizations in our country We find the present organizations in our country are plagued by bureaucracy. However, what is needed to face challenges of future is Agility. However, what is AGILITY, how do we inculcate AGILITY and AGILE LEADERSHIP? We will try to understand few concepts.

We find the present organizations in our country are plagued by bureaucracy.

However, what is needed to face challenges of future is Agility. However, what is AGILITY, how do we inculcate AGILITY and AGILE LEADERSHIP? We will try to understand few concepts.

AGILITY Business Environment Most Stable Highly Dynamic Bureaucracy Agility

DEFINITION AN ORGANIZATION THAT IS Infinitely adaptable to the changes in the marketplace Without having to change in its basic character. Magnitude and frequency of strategic transformation Time, energy, expense required to achieve it Source: Hamel and Valicangas. The Quest for Resilience. HBR, Sep 2003: 52-63.

Infinitely adaptable to the changes in the marketplace

Without having to change in its basic character.

APPROACH TO COMPETING IN THE MARKETPLACE Differentiation, Source of Sustainable Competitive Advantage Bureaucracy Price Quality Service Speed Features Steady Innovation “ Flywheel of Momentum” (Loyal customers, world-class brands, integrated distributed networks, robust patent portfolios, superior business model) Coasting : The old way of cycling Agile Enterprise Rapid fire innovation (Continuous stream of new products, services, even business models) Thrust (Probe) Escape (Withdraw) Parry (Adapt) Punch (Execute) Attack, Leapfrog, Outmaneuver

Agile Approach While the bureaucratic approach is based on linear model, agility is based on syntropic model. Syntropic model means the assumptions for a model are dynamic and output for one the processes in the model undergoes constant change and the total system undergo changes. I want you to discuss on this more and talk to me in the class.

While the bureaucratic approach is based on linear model, agility is based on syntropic model. Syntropic model means the assumptions for a model are dynamic and output for one the processes in the model undergoes constant change and the total system undergo changes. I want you to discuss on this more and talk to me in the class.

APPROACH TO DEVELOPING OR FORMING BUSINESS STRATEGY Based on assumption that the business environment is knowable and predictable Based on the assumption that the business environment is chaotic and unpredictable Business Strategy Organizational Capability

DESIRED EMPLOYEE BEHAVIORS Bureaucracy Reliable Role Behavior Come to work on time do what you’re told Occupants of fixed positions responsible for performing tasks Forbidden Required Forbidden Discretionary R Discretionary Agile Enterprise Expansive Role Behavior Initiate Improvise Assume multiple roles Rapidly redeploy Spontaneously collaborate Educate Learn Owners of fluid assignments, Responsible for achieving results

APPROACHES TO DESIGNING AN AGILE ORGANIZATION INFRASTRUCTURE Bureaucracy Centralized IS Control- oriented Specific CPBs Fixed Enclosed Fixed Wkplace Design Restructure P Agile Enterprise General CPBs Flexible Distributive IS Facilitative Open Adaptable Wkplace Design Reconfigure People V,V CPM “ If everyone has to think outside the Box, maybe it’s the box that needs fixing” Malcolm Gladwell Org Design Centralized Fixed Org Design Decentralized Flexible

APPROACHES TO DESIGNING KEY FEATURES OF AN HR STRATEGY (A) Bureaucracy Fostering reliable role behavior guided and constrained by the “Box” Overcoming Stultification Goals Right nos. of right types of people in right place at the right times SCALABILITY Doing the right things right CONTRIBUTION Feeling reasonably good about it MORALE At an affordable cost Ethically, lawfully Agile Enterprise Fostering expansive role behavior using the “Box” Overcome overload, manage risk

APPROACHES TO DESIGNING KEY FEATURES OF AN HR STRATEGY (B) Guiding Principles Bureaucracy Set goals Establish procedures Minimize Measure Develop competence ? Drive (Results-oriented) Discipline (Goal-directed) Autonomy Accountability Growth Continuity Agile Enterprise Forge a sense of Common purpose Promote contextual Clarity Foster fluid assignments Instill ownership of outcomes Facilitate serial incompetence Encourage continuous employment

APPROACHES TO DESIGNING KEY FEATURES OF AN HR STRATEGY (C) HR Policies, Programs Practices Selection Internal Staffing Training and Development Work Design Communication Performance Management Returns Etc. Drive Discipline Autonomy Acctability Growth Continuity Guiding Principles (As Defined) Each principle is addressed by at least one P.P.P Each P.P.P. addresses at least one principle No P.P.Ps conflict Horizontal Fit

Each principle is addressed by at least one P.P.P

Each P.P.P. addresses at least one principle

No P.P.Ps conflict

APPROACHES TO LEADERSHIP Bureaucracy Set vision, formulate strategy Champion the BO paradigm Focus on creating content Provide resources Plan, organize, direct, control Run things Agile Enterprise Set vision, strategic direction domain Champion the AE paradigm (Create uncertainty and ambiguity) Focus on creating context over content Instill a sense of urgency Coach, communicate, cajole Otherwise Stay out of the way

Thank you