Leading the Change for Managing the Growth in MRO Business


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Leading the Change for Managing the Growth in MRO Business

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Leading the Change for Managing the Growth in MRO Business

  2. 2. Agenda Leading and Managing the Change 1 Why is Change a Problem? 2 Why do the Firms Fail to Change? 3 How to Change and What Drives the Change? 4 8 Stage Process for Change 5 The Organization of the Future 6 Leadership and Life-Long Learning
  3. 3. Why is Change a Problem? Why do Firms Fail? 1 2 3 4 Allowing too much complacency Failing to create a sufficiently powerful guiding coalition Related Consequences 1 2 Underestimating the power of vision 3 Under-communicating the vision 4 tNew Strategies aren’t implemented well. tAcquisitions don’t achieve expected synergies. tDownsizing doesn’t get costs under control tQuality problems don’t deliver hoped-for results.
  4. 4. Why is Change a Problem? Why do Firms Fail? 5 Permitting obstacles to block the new vision 6 Failing to create short term wins 7 Declaring victory too soon 8 Neglecting to anchor changes firmly in corporate culture Related Consequences 5 Reengineering takes too long and costs too much
  5. 5. Successful Change & The Forces that Drives It Globalization of markets and competition The 8 stage change process The importance of sequence Projects within projects Management vs leadership
  6. 6. What Drives the Change ? Technological Change International Economical İntegration Mature Markets in Developed Markets Global privatization Globalization of Market and Competition More Competition Increased Speed More Opportunities Bigger markets, Fewer Barriers Larger Scale Change in Organization.
  7. 7. Technological Change Faster & better communication Faster & better transportation Global information networks International Economical Integration Fewer tariffs Mature Markets in Developed Markets Global privatization Currencies linked Slower domestic growth via floating More aggressive exporter More privatization More global More countries capital flow More deregulation linked to capital systems
  8. 8. Larger Scale Change in Organizations To avoid hazards and/or capitalize on opportunities, firms must become strong competitors – – – – – – Reengineering Restructuring Quality programs Merger & Acquisitions Strategic change Cultural Change
  9. 9. 8 Stage Change Process Establishing a sense of urgency Creating a guiding coalition Developing a vision and strategy Communicating the change vision
  10. 10. 8 Stage Change Process Empowering the broad base actions Generating short term wins Consolidating gains and producing more change Anchoring new approaches in the culture
  11. 11. 1. Establising a Sense of Urgency • Examining the market and competitive realities. • Identifying and discussing potential crisis and opportunities • Pushing up the urgency level • The role of crisis • The role of low and middle level managers • How much urgency is enough?
  12. 12. 2. Creating the Guiding Coalition Putting together a group with enough power to lead the change. Getting the group together like a team Find the right people,create trust and develop a common goal A Common «TARGET» Sensible to the head Appealing to the heart
  13. 13. 3. Developing a Vision and a Strategy Creating a VISION to help direct the change effort. Developing STRATEGIES for achieving that vision
  14. 14. Why Vision is Essential? Change VISION GOAL STRATEGY It clarifies the general direction for change It motivates people to take action in the right direction It helps coordinate the actions of different people.
  15. 15. Characteristics of an Effective Vision Imaginable Conveys a picture of what the future look like. Flexible General enough to allow individual initiative & alternate responses Desirable Communicable Appeals to the long term interests of employees & stakeholders Easy to communicate ; can be successfully explained in 5 min. Focused Clear enough to provide guidance in decision -making Feasible Comprises realistics and attainable goals
  16. 16. 4. Communicate the Vision Change 1 Using every vehicle possible to constantly communicate the new vision and strategies 2 Having the guiding coalition role model the behavior expected of employees
  17. 17. Communicate the Vision Change The magnitude of the task Use metaphors, analogies, examples Repeat, Repeat, Repeat, inconsistencies Keep it simple Use many different forums Walk the Talk, or Lead by example Listen and be listened to Address seeming
  18. 18. 5. Empowering the broad based actions Getting rid of obstacles Changing systems or structures that undermine the change vision Encouring the risk taking and non-traditional ideas,activities, and actions
  19. 19. 6.Generating Short Term Wins • Planning for visible improvements in performance, or «wins» • Creating those wins • Visibly recognizing and rewarding people who made the wins possible
  20. 20. The Role of Short Term Wins •Provide evidence that sacrifices are worth it. •Reward change agents with a pat on the back. •Help fine-tune vision and strategies. •Undermine cynics and self-serve resistors •Keep bosses on board •Build momentum
  21. 21. 7. Consolidating Gains and Producing More Change • Using increased credibility to change all systems, structures, and policies that don’t fit together and don’t fit the transformations vision • Hiring ,promoting, and developing people who can implement the change vision • Reinvigorating the process with new projects, themes, and change agents
  22. 22. A Successful Change Effort • • • • • More change, not less More help Leadership from senior management Project management and leadership from below Reduction of unnecessary interdependencies
  23. 23. 8. Anchoring New Approaches in the Cultures 1 Creating better performance through customer and productivityoriented behavior, more and better leadership, and more effective management 2 Articulating the connections between new behaviors and organizational success. 3 tDeveloping means to ensure leadership development and succession
  24. 24. Why Culture is so Powerful? • Individuals are selected and indoctrinated so well • The culture exerts itself through the actions of This is an example text. Go ahead and many , many people replace it with your own text. This is an example text. Go ahead and replace it with your own text. • All of the this happens withouttext. Go ahead and much This is an example conscious intent and replace it with your own text. to thus is difficult challenge or even discuss
  25. 25. Anchoring Change in Culture • • • • • Comes last, not first Depends on results This is an example text. Go ahead and replace it with your own text. This is an Requires a lot of talk example text. Go ahead and replace it with your own text. example Go May involve turnover This is anwith your text. text.ahead and replace it own Makes decisions on succession crucial
  26. 26. Management vs. Leadership Planning & Establishing Budgeting Direction Organizing & Aligning People Staffing Motivating & Controlling & Inspiring Problem Solving
  27. 27. The Organization of the Future • A persistent sense of urgency •Teamwork at the top •People who can create and communicate vision •Broad-based empowerment •Delegated management for excellent short-term performance •No unnecessary interdependence •An adaptive corporate culture •Getting from here to there
  28. 28. Mental Habits that Support Life-Long Learning • Risk taking • Humble selfreflection • Solicitation of opinions • Careful listening • Openness to new ideas
  29. 29. Leading The Change ✓ 1 Why Change is a Problem? ✓ 2 Why the firms fail to change? ✓ 3 How to change and what drives the change? ✓ 4 8 Stage Process for change ✓ 5 The Organization of the Future ✓ 6 Leadership and Lifelong Learning
  30. 30. THANK YOU! Your Logo