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Organizational Transformation
2.0
Houston Community College
Transformation Mosaic
SITUATIONAL AWARENESS
Leadership
3
How Twitter Users Can
Generate Better Ideas
Thriving in an Increasingly
Digital Ecosystem
IsYour Business Ready for
a Digital Future
MIT Sloan Management Review
Organizational Lifecycle
Survival
Good Management
Good to Great Leadership
PARADIGM SHIFTS
Changing Environment
8
Music paradigms
16
Quality
Capacity
Lower Cost
Digital Equipment Corporation
PARADIGM PARALYSIS
17
DEC as Technology Leader
You have probably never heard of it! BUT its remnants are in most of today’s technology
Source: http://web.archive.org/web/20021121125840/ http://www.falvey.org/hot_neg_ch3.shtml
• First	interac0ve	mini-computer	opera0ng	system	VMS.	
• Invented	LAN-Ethernet	std	(DECnet).	
• First	rela0onal	database	(RDB,	ISAM)	
• First	email	soMware	(DECmail)	
• First	Digital	Linear	Tape	(DLT)	drive	
• 16	bit	(1968),	32	bit	(1976),	64	bit	(1992)	
• Computers	with	99%	up0me	
• 1989	2nd	only	to	IBM	as	WORLD’s	largest	computer	company
Demise of DEC
Ken	Olsen,	president	–		
“There	is	no	reason	for	any	individual	to	want	a	
computer	at	home	…	Business	wants	computers	
with	100%	up0me.”	(1977)
Source: IEEE Spectrum July 1992
Demise of DEC
it	soon	became	clear	that	the	next	genera0on	
(processors)	…Berkeley	RISC	and	Stanford	designs	
would	outperform	the	fastest	members	of	the	
VAX	family,	DEC's	cash	cow.	
Constrained	by	the	huge	success	of	their	VAX/
VMS	products,	they	faltered	
DEC	->	Compaq…HP
Cardelli
OpSys Semantics - MSFT
Research
deCastro
Unix - Data General, Alumni
Cutler
VMS - MSFT - WNT - XP(64),
XBox
Gray
RDB - MSFT Research
Lamport
Print Drivers - MSFT
Gettys
X-11 Interface - HP Research
Burrows
Altavista - Google
DEC Creative Capital
DEC Force Field Diagram
USER FRIENDLY
LOW COST
ORGANIZATIONAL CHANGE
DESKTOP AVAILABILITY CENTRAL PROCESSING
SPECIAL SKILLS
100% UPTIME
MORE TECHNOLOGY
DRIVING FORCES RESTRAINING FORCES
SMALLER APPS
NON-TECH APPLICATIONS
INTEGRATED APPS
ERODING CAUSE-EFFECT LOOP
TALENT LOSS <=> INFLEXIBLE CORP. CULTURE
PURITANISM (ENGINEERING)
TALENT/IDEAS DEEP-ROOTED CULTURE
Organizational Lifecycle
Survival
Transform
Change (Good to Great)
The Birth of Silicone Valley
Shockley kept changing objectives and products.
Shockley – control knowledge, transistors to big corp
Noyce – share knowledge, transistors in every home.
William Shockley
1956 Nobel physics
Shockley
Semiconductor
Victor Grinich
Jay Last
C.S. Roberts
Gene Kleiner
Gordon Moore
Julius Blank
Jean Hoerni
Robert Noyce
Knowledge is power. Knowledge shared is power multiplied.
Robert Noyce
Robert Noyce
It is not enough to simply say our objective is to grow and
make profit – everyone is trying to do that …
I’d rather develop something that noone has done yet.
Robert Noyce
Grinnell College Alumni
Gary Cooper – Actor
Herbie Hancock – Musician
Robert Noyce – Founder Fairchild, Intel
Walter Koeing – Actor (Chekov)
Peter Coyote – Actor, screenwriter
John Garang – President of South Sudan
Thomas Cech – Nobel Prize Chemistry
Shockley
Fairchild
Intel
Team Lifecycle
Organizational Lifecycle
Survival
Transform
Change (Good to Great)
ORGANIZATIONAL RECON
HCC Situational Awareness
29
30
Innovative 1%
Hierarchy 59%
Market 20%
Parochial 20%
Cultural Assessment
31
Management 52%
Procedures 19%
HR Practices 15%
Finances 5%
IT 4%
Other 6%
Performance Barriers
Organizational Diagnostic
32
Realignment
Pockets of strength, feels successful
Start-up
Much activity, focus on excellence
1. Low need for change
2. Low urgency (believes it is good)
3. High resistance (uncertainty)
1. High Change (newness driven)
2. High urgency (looking for wins)
3. High resistance (excellence)
Sustaining Success
Strong team, is successful
Turnaround
Isolated successes, stagnant
1. Low need for change (use existing
model of success)
2. Low urgency (already good)
3. Low resistance (confident)
1. High change (needs driven)
2. High urgency (looking for wins)
3. Resistance Low (seeking direction)
URGENCY
RESISTANCE
HIGH
HIGH
LOW
LOW
Customer (Student) Service?
TRANSFORMATION
Change
35
Time (years)
Stakeholder
Value
($)
Long-Term Growth in
Stakeholder Value
Good 

Citizen
Product
Innovation
Customer
Management
Operational
Effectiveness
Short-wave
Long-wave
Mid-wave
12-18 months 12-36 months 24-54 months
Customer
Management
Processes
Operations
Management
Processes
Innovation
Processes
Regulatory
and Social
Processes
1 2 3 4 5
Think …
Think … comments?
• Not	broken?	-	always	something	to	be	done	(Sam	
Palmisano,	CEO	IBM	Corp.)	
• Row	boat	mentality	(Sir	Howard	Stringer,	CEO	Sony	Corp.)	
• Heart	ajacks	vs.	cancer	(Fareeed	Zakaria,	journalist)	
• Informa0on	empowers	distributed	decision	making	
(Prof.	Thomas	Malone,	MIT	Sloan	School)	
• Tech	can’t	make	our	decisions	for	us																																		
(HMK	Abdullah	II	ibn	Al	Hussein)
Eight Steps to Transformation
1
Establish a Sense of Urgency
o Examine market and competitive realities
o Identify potential crises, challenges
2
Form Guiding Coalition
o Commission influential group
o Build a team environment
3
Create a Vision
o Clarify a shared direction
o Develop strategy to achieve vision
4
Communicate the Vision
o Use multiple channels
o Teach new behaviors for teaming
5
Empower Others to Act
o Remove obstacles to change
o Align org structures thru evolution
6
Plan for Short Term Wins
o Have visible improvements
o Communicate the wins
7
Consolidate Improvements
o Embed new culture in policies, practice
o Expand change for further alignment
8
Institutionalize the HCC Way
o Link success to the HCC Way
o Develop new leaders
Leading Change: Why Transformation Efforts Fail, John P. Kotter, 2007.
Transformation Timeline
G65	Retreat	
Organizational	Identity		
(Nov	7)
Faculty	Senate	
Org	Identity	(	Nov	14)
G65		
Building	on	Strategy	
Session	
(Nov	24)
Oct AprMarFebJanDecNovSept
2014 2015
May Jun Jul
Board	Retreat		
Vision	Statement		
(Dec	6)
Board	Retreat		
Transformation	Presentation	
(Dec	11)
G65	
Defining	Centers	of	
Excellence	(Dec	18)
G65	
President	Pitch		
For	COE	(Jan	26)
G65	
Org	Structure	(Mar	5)
G65	
President	Pro.	
Business	Canvass		
(Jul	1)
State	of	the	College		
COE	Unveil	(Apr	13)
All	College	Day	
COE	Unveil	(Apr	10)
Presidents/Deans/	
Directors/G65	
Transformation	
Org	Structure	(	Apr	5)
G65	
MBTI	(Jul	30)
G65	
Team	Building/	
Business	Model	
	(31)
Chat	w/	Chancellor	
All	Campuses	
Feedback	Sessions	(Apr	20-24)
Student	Advisory		
Feedback	Session	(Apr	24)
G31	
Charge	to	G13	
Org	Structure	(Mar	5)
Organizational		
Assessments	
(Sept	–	Oct)
“It	is	generally	much	easier	to	kill	an	
organization	than	change	it	substantially.”	
Kevin	Kelly,	Out	of	Control,	1994
Kevin Kelly, Out of Control
Note
MATRIX
Flexibility
42
Matrix Forms
•Employee	efforts	limited	
to	func0onal	groups	
•Parochial	priori0es,	
values	and	mission
Functional	
Matrix
Balanced	
Matrix
Project	
Matrix
•Parochial	priorities,	
values	and	mission	
•Employees	move	
between	functionals	
and	groups	
•Employee	members	
of	multiple	groups	
•Groups	strive	for	
balance	focusing	on	
universal	mission	
•Functional	leaders	
define	staffing	and	
ops	details	within	
system	guideline
Matrix Properties
• Leverage	functional	economies	
of	scale	while	remaining	task-
focused	
• Focus	employees	on	multiple	
business	goals	
• Improves	district-wide	focus	
• Information	flow	increase	
through	lateral	channels	
• Distributes	decision-making
WEAKNESSES
• Decouples	authority	and	
responsibility	
• Decouples	single	strand	
vertical	chain	
• Creates	ambiguity	
• Likely	increases	resistance	due	
to	perceived	loss	of	status,	
authority
Sy,	Thomas.	Challenges	and	Strategies	of	Matrix	Organizations:	Top	Level	and	Mid-Level	Manager’s	perspectives.	Human	Resource	
Planning,	28.1	(access	from	BoozAllen.com)
STRENGTH
Challenges to Managing in a Matrix
Top 5 Challenges Iden0fied
0
25
50
75
100
Misaligned	Goals Ambiguous	Authority Silo-Focused	Employees
Mid-Level	Mgr Top-Level	Mgr
MISALIGNED UNCLEAR AMBIGUOUS LACK OF SILO-FOCUSED
GOALS ROLES AUTHORITY GUARDIAN EMPLOYEES
HOUSTON COMMUNITY COLLEGE
Transformation 1.0
46
INPUT FROM STAKEHOLDERS
HIGHLIGHTSResearch	Highlights:	
9	Trustees	
13	Executive	Team	Members	
63	Whole	System	Planning	Participants	
4,275	Students	
3,262	Faculty/Staff	
751	Community	Members
DATA COLLECTION
HIGHLIGHTS2. Studies	and	Research	to	Inform	the	Process	
Organizational	Identity	Study	
Community	Value	Study	
Student	Research	
Urgency	Assessment	
Task	Inventory	
Organizational	Health	Study
TRANSFORMATION
BROAD ENGAGEMENT
(ADMIN, FACULTY, STAFF, STUDENTS)
1. Research	--	Analysis	and	Application	
2. Workgroup	Development	(board	vision;	interdisciplinary	
team;	leadership)	
3. Whole	System	Planning	
4. Visioning	Workshop	
5. Organizational	Alignment	–	Values	&	Competencies	
6. Strategy	Mapping	
7. Vision	Agreement	Session	(board)	
8. Transformation	Plan	to	Achieve	Vision
WHAT	DID	WE	LEARN?
1. The	need	to	leverage	our	size	and	resources.	
2. The	need	for	a	clear	vision.	
3.	 The	need	to	eliminate	inefficiencies.	
4. The	need	to	align	priorities	across	the	system.	
5.	 The	need	to	create	opportunities.	
RESEARCH FINDINGS
Identity
Purpose
Positivity
Vision
HCC Vision
HCC	will	be	a	leader	in	providing	high		
quality,	innovative	education	leading	to	student	success	
and	completion	of	workforce	and	academic	programs.		
We	will	be	responsive	to	community		
needs	and	drive	economic	development		
in	the	communities	we	serve.
HCC’S BUSINESS MODEL
• A	more	efficient	college.	
• A	more	interconnected	college.	
• A	more	responsive	college.	
• A	more	aligned	college.	
• A	more	innovative	college.	
• A	more	successful	student	and	graduate.
TOMORROW
FOCUS
We	cannot	afford	to	invest	in	the	
highest	levels	of	all	the	same	things	at	
each	of	our	colleges	–	it	is	costly	and	
inefficient.		
We	must	shift	our	focus	to	one	of	
excellence	and	innovation.		
This	requires	us	to	rethink	and	share	
in	new	and	different	ways.
ORGANIZATIONAL SHIFT
EXCELLENCE
We	will	focus	our	resources,		
talents	and	attention	on	high	
demand	areas	that	provide		
the	greatest	return	for	our		
students,	community,		
industry	as	well	as	the	college.
ACHIEVING EXCELLENCE
Centering	Excellence	&	
Connecting	Community	
Conceptual	View
Creation	of	System-wide	Academic	Institute	of	
Excellence:	
• Efficient	scheduling	of	course	sections	
• Increased	course	availability	in	response	to	
student	demand	
• More	collaborative	approach	to	faculty	
development	
• Time	for	College	Administration	to	focus	on	
student	experience	and	Institutes	of	Excellence
ACADEMIC EXCELLENCE
CURRENT
• Diffused	focus	on	
instructional	delivery	
• Operational	culture	
• Broad	approach	to	marketing	
&	outreach	
• Limited	alignment	with	
industry	demands
FUTURE
• Laser-focused	leadership	for	
institutes	of	excellence	
• Innovative	culture	
• Strategic	approach	to	
marketing	and	outreach	
• Align	instructional	programs	
with	industry	demands
ORGANIZATIONAL DESIGN
Organizational Transformation
2.0
Houston Community College

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