Leading Culture Change in Global Organizations Part III: Emerging Markets

456 views

Published on

Leading Culture Change in Global Organizations Part III: Emerging Markets

Published in: Business
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
456
On SlideShare
0
From Embeds
0
Number of Embeds
5
Actions
Shares
0
Downloads
10
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide
  • Sharing key insights from his newest book — Leading Culture Change in Global Organizations: Aligning Culture & Strategy — Dan Denison, Chairman and Founding Partner of Denison Consulting, will examine the approaches that successful companies have used to implement culture change in their organizations, and the cultural dynamics they need to manage in order to remain competitive.
  • Dan Introduces the book
  • Katrina shows website and explains features. First features  shows video
  • Sharing key insights from his newest book — Leading Culture Change in Global Organizations: Aligning Culture & Strategy — Dan Denison, Chairman and Founding Partner of Denison Consulting, will examine the approaches that successful companies have used to implement culture change in their organizations, and the cultural dynamics they need to manage in order to remain competitive.
  • Explains EXCLUSIVE dealsSweeten Pie: If you buy now  ½ hour live webcast***Must be used within one year
  • Leading Culture Change in Global Organizations Part III: Emerging Markets

    1. 1. Webcast Series: Part III Emerging Markets Daniel Denison Denison Consulting Ann Arbor, Michigan IMD Business School Lausanne, Switzerland
    2. 2. Leading Culture Change in Global Organizations: Special 3-Part Webinar Series Part I: Getting Your Own House In Order May 31, 2012 11:00 am – 12:00 pm EDT This webcast will focus on Supporting the Front Line and Creating Strategic Alignment by exploring successful change initiatives. Part II: Crossing Borders June 28, 2012 11:00 am - 12:00 pm EDT This webcast explores the challenges companies face in ’Crossing Borders’ to build effective cultures. Part III: Emerging Markets July 19, 2012 11:00 am - 12:00 pm EDT Part III of this webinar series examines the challenges — and unique opportunities — of implementing culture change in an increasingly relevant context: Emerging Markets.
    3. 3. “A milestone in the culture studies arena.” -Edgar H. Schein Daniel Denison’s best-selling book illuminates the cultural dynamics firms need to manage in order to remain competitive. Best Seller Published June 26, 2012!
    4. 4. www.LeadingCultureChange.com
    5. 5. What Is It All About?Supporting the Front Line Domino’s PizzaCreating Strategic Alignment ”DeutscheTech” & Swiss ReCreating One Culture Out of Many “Polar Bank”Exporting Culture Change Across National Boundaries ”GT Automotive”Building a Global Business in an Emerging Market GE Healthcare ChinaBuilding a Global Business from an Emerging Market Vale
    6. 6. Changing Culture By Changing Rituals, Habits & RoutinesGood Preserve Invent & & Strengthen PerfectBad Unlearn Rethink & & Leave Behind Try Again Old New
    7. 7. GE Healthcare Chinahttp://www.youtube.com/watch?v=yB47 wx-b6sY
    8. 8. GE Health Care China: Entering an Emerging Market 2002: GE acquired Datex-Ohmeda and entered the anesthesia business. DO was focused on the medium and high-end of the market. 2006: GE acquired Zymed (CSW), a family-run business in Wuxi Zymed had “adopted” their technology from Datex-Ohmeda. “The organizational structure of Zymed was simple. It had dreams, but no long-term strategy. It had a culture of thrift. It also had good execution, which was based on a transparent rewards system. In its ten-year history employees benefited a lot financially.” 2007: GE hired Finn Matti Lehtonen as General Manager of LSS in China He replaced Singaporean P.S. Sim, the original GM “Sim was busily engaged in marketing and sales, He has no time for quality, operations, costs, or other issues.” 2007: Lehtonen, an engineer with over 25 years experience in China He built a team with long experience in GE Healthcare China A few key hires (engineering, sales) from the outside.
    9. 9. GE Health Care China: Entering an Emerging Market GE underestimated the quality problems that they had inherited and had to stop shipping CSW machines. DO machines were high quality, but assembled at another, separate site in Wuxi. Engineers were too busy fixing quality problems to do the necessary product design work to replace the existing CSW products with new one. ―We have to put about 90% of our engineering resources on maintenance. If I could start from scratch and put 90% of the engineering resources on new product development, we could reduce quality issues by 80%.‖
    10. 10. Survey Results: Late 2007Leadership Team Managerial & Supervisory R&D
    11. 11. GE Health Care China: Entering an Emerging Market Lehtonen decided to lead with vision. The goal was to inject a strong sense of vision, mission, and strategy into the organization and reshape the mindset of all employees. He held monthly town hall meetings that involved all 180 employees on site to discuss the vision and the strategy map for the organization and for each function. The culture survey results showed that among the engineers, there were three major issues: lack of customer focus, limited sense of purpose, and little attention spent on capability development. They addressed this issue by sending each of their engineers into the operating room one day each year, to see their products in action. ―When I was in the operating room, the idea occurred to me that if the machine didn’t work, we could harm people. On the other hand, when the operations are successful, I feel proud of my job because I help save people’s lives.‖
    12. 12. Survey Results: Early 2009 Leadership Team Managerial & Supervisory R&D20082009
    13. 13. GE Health Care China: Entering an Emerging Market Leading with process was much harder. The organization had at least three different processes: GE Process, DO Process, and CSW Process. They involved very different mindsets: ―It seems no one realizes how much a good process means to engineers. My understanding is that a good process is like a signpost on the highway. With a good process, you’ll know clearly how to do things… Engineers are people who like to ask ―why‖ and find the answer… But we have neither clear signposts nor people answering the question here… Sometimes you have to spend more than a day doing something that could be done in one hour with out the process.‖ ―The new GE process is developed based on US FDA requirements. Its level is just too high for our low baseline.‖ ―A lot of requirements come from EHS (environment, health and safety), HR Finance, and other functions. GE culture is very aggressive. You must close lots of things within a very short period of time.‖ ―We can’t use the DO process as it doesn’t have a supporting system here. But the new process is not clear. When you get lost with the process and ask someone else, it seems no one knows the direction.‖
    14. 14. Lessons for Leaders Leading with vision is powerful Operating in the cultural context Speed of change Subcultures are everywhere Acquiring a competitor
    15. 15. Vale
    16. 16. Culture Change at Vale: 2000-2006  Clear vision  Professionalization  Standardization of processes and KPI’s  Creation of Valer  International expansion: Exploration
    17. 17. 2006 Culture Survey Results: Vale
    18. 18. 2006 Culture Survey Results: Vale vs Inco
    19. 19. Culture Change at Vale: 2006-2008 Professionalization Standardization of processes and KPI’s Valer Leadership training: MIT and IMD Management Board Strategic Retreats Greenfields International expansion: Exploration and commercial Leadership forums Hiring from the outside
    20. 20. 2008 Culture Survey Results: Vale
    21. 21. 2008 Culture Survey Results: Vale & Inco
    22. 22. Lessons Learned1. Put your internal house in order. Create a professional culture with a “One Company” feel.2. Going global from an emerging market requires a careful balancing of a professional, empowered culture with a core of central decision-making.3. The impact of a hard-driving and visionary CEO to move from decentralized fiefdoms to a professionally run company cannot be underestimated.
    23. 23. Leading Culture Change in Global Organizations: Special 3-Part Webinar SeriesPart I: Getting Your Own House In OrderMay 31, 2012 11:00 am – 12:00 pm EDTThis webcast will focus on Supporting the Front Line and CreatingStrategic Alignment by exploring successful change initiatives.Part II: Crossing BordersJune 28, 2012 11:00 am - 12:00 pm EDTThis webcast explores the challenges companies face in ’CrossingBorders’ to build effective cultures.Part III: Emerging MarketsJuly 19, 2012 11:00 am - 12:00 pm EDTPart III of this webinar series examines the challenges — andunique opportunities — of implementing culture change in anincreasingly relevant context: Emerging Markets.
    24. 24. Special Offers Denison Consulting clients who bulk order LeadingCulture Change in Global Organizations can receive these exclusive, limited-time offers! Free, in- 25 Books 300 Books FREE 100 Books Free, live person Denison webcast by speaking Consulting Dan event by e-Workshop Denison Dan Denison Price per book: $30.00
    25. 25. Webcast Series: Part III Emerging Markets Daniel Denison Denison Consulting Ann Arbor, Michigan IMD Business School Lausanne, Switzerland

    ×