8 Steps For Corporate Change


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There are 8 steps that are necessary in order for corporations to change.

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8 Steps For Corporate Change

  1. 1. The Heart of Change By John Kotter and Dan S. Cohen Change is Hard Work… Billy Crystal
  2. 2. 8 Steps to Transforming Your Organization <ul><li>Leadership is not something you do to people but rather something you do with people. </li></ul><ul><li>Leadership should be viewed as a partnership. You get the best efforts from others not by lighting a fire beneath them but by building a fire within. </li></ul><ul><li>Organizations change when people change. People change for emotional reasons. </li></ul><ul><li>Companies in their life cycle go through stages. There will always be a time your company will be faced to change or die. </li></ul><ul><li>. What are the factors that would make you feel your organization needs to change? </li></ul><ul><li>There are 8 critical Factors for creating a successful change. </li></ul><ul><li>If you skip any of the steps you will never produce a satisfying result. </li></ul>
  3. 3. 1 Establishing a Sense of Urgency <ul><li>Examining market and competitive realities. </li></ul><ul><li>Identifying and discussing crises, potential crisis and opportunities </li></ul><ul><li>You need the cooperation of many and need their buy-in. </li></ul><ul><li>50% of all companies fail in this phase as it takes patience and work to take people out of their comfort zones . </li></ul>
  4. 4. 2 Forming a Powerful Guiding Coalition <ul><li>Must be an open and engaging dialog acknowledging conflicts etc. </li></ul><ul><li>Assembling a group with enough power to lead the change effort </li></ul><ul><li>Not limited to top managers </li></ul><ul><li>Obtain ideas from all levels of the company </li></ul><ul><li>Encouraging the group to work together as a team </li></ul><ul><li>Need a shared commitment to company goals </li></ul>
  5. 5. 3 Creating a Vision <ul><li>Creating a vision to help direct the effort </li></ul><ul><li>Develop strategies for achieving that vision </li></ul>
  6. 6. 4 Communicating a Vision <ul><li>Using every vehicle possible to communicate the new vision and strategies </li></ul><ul><li>Teaching new behaviors by the example of the new coalition </li></ul>
  7. 7. 5 Empowering Others to Act on a Vision <ul><li>Getting rid of the obstacles to change </li></ul><ul><li>Changing systems or structures that seriously undermine the vision </li></ul>
  8. 8. 6 Encouraging taking risks nontraditional ideas, activities and action <ul><li>Planning for and Creating Short Term Wins </li></ul><ul><li>Planning for visible performance improvements </li></ul><ul><li>Creating those improvements </li></ul><ul><li>Recognizing and rewarding employees involved in the improvements </li></ul>
  9. 9. 7 Consolidating Improvements and Producing Still More Changes <ul><li>Using increased credibility to change systems, structures and policies that do not fit the vision. </li></ul><ul><li>Hiring, promoting and developing employees who can implement the vision </li></ul><ul><li>Reinvigorating the process with new project, themes and change agents </li></ul>
  10. 10. 8 Institutionalizing New Approaches <ul><li>Articulating the connections between the new behaviors and corporate success </li></ul><ul><li>Developing the means to unsure leadership development and succession </li></ul>
  11. 11. Suggested Reading <ul><li>The Heart of Change, John P. Kotter and Dan S. Cohen, Harvard Review Press, Boston Massachusetts </li></ul><ul><li>How the Mighty Fall, Jim Collins, Harper Collins, New York </li></ul><ul><li>Change the Culture, Change the Game, Roger Connors and Tom Smith, Portfolio Penguin, New York </li></ul><ul><li>The Knack, Norm Brodsky and Bo Burlingham, Norm Brodsky and Bo Burlingham, Penguin, New York </li></ul>