1. PAN CONSULTING
GROUP
you’ll never believe what we’re cooking up for you.™
organizational assessment
proposal for Blue Ribbon,
Inc.
AUGUS
T
23, 2015
2. HOW TODAY WILL PAN OUT
Quick introductions
Our understanding of Blue Ribbon’s goals and potential challenges
Our recommended assessment approach
Gaining a more complete picture of today: strengths, weaknesses, opportunities
Building a map to where you want to go
Project details for our assessment proposal
Recommendations for implementing the change successfully
4. A PANORAMIC VIEW
Project Outcomes
Assessment
Culture, org design
& HR systems
Research
Comparison with
best practices
Recommendations
Managing transition &
transformational change
Timely Delivery
Assessment phase
completed by mid-March
Organizational Objectives
Geographic to
customer-oriented
Competitive
to collaborative
Improve top
leadership talent
Drive change through
improved HR systems
Adopt best practices
for managing change
Current Situation
Strong historical success, with extensive global presence and broad market capitalization
Sales declining over last 3 years, losing key global customers (Nike, Coke)
New CEO and new strategy for returning to growth by moving focus from offline to online marketing
5. In order to deliver actionable
data for sustainable results,
our exPANded view
approach takes a holistic view
of all organizational
components.
This complete view helps you
understanding where you are
today, where you need to be,
and how you can get there.
NOT JUST A FLASH IN THE PAN
OUR COMPREHENSIVE APPROACH
exPANded view model
6. exPANded view:
ORGANIZATIONAL DESIGN
Situation: Currently organized by geo, would like to organize by customer instead
Objectives: 1) Assess the decision to move to customer structure,; provide alternatives if needed
2) Provide advice on how to manage transition to new org structure
Assessment:
Determine how well customer-oriented structure aligns with new strategy vs. alternative models
Conduct assessment of current state to identify gaps between the present and future org design
Review latest research on best practices for successful org structure transitions and transformational change
Best practices:
Capital Bank Corp (CBC): using current state assessment to define org design criteria
Marriott: achieving customer service excellence through organizing by market segment
Key work tasks & participants:
Half-day offsite to ensure alignment of strategy with proposed org structure (executive team)
Focus groups, surveys, and interviews (diverse stakeholders across locations, functions & levels)
Two-hour session to review assessment results and best practices and identify gaps (leadership team)
Key deliverables:
Analysis of suitability of proposed org structure
Comprehensive report on results of current state assessment
Description of gaps between current and future state
Recommendations for managing transition to new structure, based on best practice research
7. exPANded view:
ORG CAPABILITIES & ROLES
Situation: New organizational capabilities and roles are required to successfully execute on new strategy
Objectives: 1) Determine the organizational capabilities critical to succeeding with new strategy
2) Understand what is needed from the most critical organizational roles in the new structure
Assessment:
Define the skills, technologies and human abilities the new strategy will require for competitive advantage
identify the outcomes, responsibilities and interactions needed for critical roles within new structure
Best practices:
Barnes & Noble: organizational roles that support multiple competing business models (offline / online)
Private Client Bank (PCB): using responsibility chart to clarify organizational roles with complex interactions
Key work tasks:
Meeting with executive team to identify organizational capabilities (skills, technology, human abilities)
Offsite with leadership team to gather input on organizational roles (outcomes, responsibilities, interactions)
Key deliverables:
Description of top organizational capabilities required
Definition and analysis of critical roles required
Recommendations for assessing existing talent and developing new competencies
8. Situation: New culture requires significant change and collaboration across the company
Objectives: 1) Explore culture to identify gaps between current and future culture
2) Discover ways to collaborate and strengthen joint efforts
Assessment:
Identify current culture
Determine participation level
Best practices:
UNOPS: Moving from geo to customer centric
Key work tasks:
Mitigate challenges/barriers for new strategy
Research organizational capabilities/strengths
Key deliverables:
Models for:
Current and possible future culture
Company strengths/qualities
New cultural opportunities
Recommendations: Gain support for new strategy & change
Recommendations: Exploit organizational capabilities/strengths to reveal niche
exPANded view:
CULTURE & VALUES
9. exPANded view:
HR SYSTEMS & PRACTICES
Situation: Acquisitions based growth and global centric operations has HR in a state of disarray
Objectives: 1) Standardize HR practices throughout company
2) Centralize HR systems around new strategy
Assessment:
Review current HR systems & programs
Best practices:
AgroLife: HR function strategy
Key work tasks:
Collect and analyze current strengths and future opportunities of HR systems
Gather feedback on current feedback program
Identify ways mitigate challenges for re-staffing in new strategy
Key deliverables:
Analysis of current HR systems and programs
Highlighting strengths and future opportunities
Recommendation: Leverage model and assessment to attract, engage, reward, and retaining key employees
10. Situation: Concerned top leaders across the organization may not have the “horsepower” to lead this change
Objectives: 1) Identify top capabilities needed for new organization
2) Assess top talent and identify gaps
Assessment:
Strategy: what’s needed to execute on the strategy of the business
Organizational: does the org support the leadership development
Individual: identify who are the top candidates
Best practices:
Hartford Financial Services Group: moving from stability to change
PepsiCo: defining successful career paths; cross-business unit opportunities
Key work tasks:
Interviews, research to identify top leadership challenges
Focus groups to uncover organizational readiness
Review HR processes to assess and inventory current skills, knowledge and abilities
Key deliverables:
Current state summary
Gap assessment to future state
Recommendations for design, delivery and evaluation of a leadership program
exPANded view:
LEADERSHIP
11. PANNING FOR GOLD
RECOMMENDED ASSESSMENT METHODS
Best Practice
Research
Executive
Interviews
Stakeholder
Interviews
Focus
Groups
Employee
Survey
Leadership Self-
Audit
Leadership Task
Force Offsite
Org structure options
Managing transition to
new org structure
Building a collaborative
culture
Leadership assessment
& development
Defining organizational
capabilities & job roles
Leverage centralized /
standardized HR
systems to drive change
Ensure alignment of
strategy with proposed
org structure
Identify organizational
capabilities (skills,
technology, human
abilities)
Identify critical
leadership roles &
capabilities
Current state
assessment of org
design
HR processes, practices
& systems
Culture - what's good /
not good
Leadership - top
challenges,
organizational
readiness(?)
Current state
assessment of org
design
HR processes, practices
& systems
Culture - what's good /
not good
Leadership - top
challenges,
organizational
readiness(?)
Current state
assessment of org
design
HR processes, practices
& systems
Culture - what's good /
not good
Leadership - top
challenges,
organizational
readiness(?)
Inventory current skills,
knowledge and abilities
Identify areas for
development
Identify gaps between
current & new strategy,
assess current culture,
identity central
values/qualities,
determine Value
Proposition
Review org design
assessment results and
best practices and
identify gaps
Review proposed
structure; input on
organizational roles
(outcomes,
responsibilities,
interactions)
PAN team Whole executive team Key employees
& customers
Diverse sample of
employees & customers
All employees Top 300 leaders 25-30 high-potentials
from among 300 leaders
12. PANNING AHEAD
PROPOSED ACTIVITIES & TIMELINE
Cost range for assessment
project depending on final
agreed scope: $100-150K
We would be happy to support
projects beyond assessment
phase, including development
and implementation of the
Organizational Change Strategy &
Plan, and can provide a proposal
for additional work upon request.
13. OUT OF THE PAN, INTO THE FIRE
BEYOND THE ASSESSMENT PHASE
Organization Design Hold offsite to finalize details of org design and generate leadership buy-in
Establish governance process to prepare for change while still running the business
Org Capabilities & Roles Define organizational roles, including outcomes, responsibilities & interfaces
Assess current talent and engage in structured process to restaff the organization
Culture & Values Socialize proposals for new mission, vision & values to get feedback from stakeholders
Finalize mission, vision & values and recruit cross-functional team to chamipon and roll out
HR Systems Develop metrics, values and behaviors that will drive the new strategy
Align compensation, rewards & recognition, performance management and learning systems
Leadership Identify and define key leadership roles within the new org structure
Institute leadership development program to ensure “horsepower” to deliver on strategy
14. OPEN DISCUSSION
At PAN Consulting Group
our focus is on building
successful, collaborative
organizational design
with our customers
Concerns?
Thoughts?
Questions?
Feedback?
16. WHAT WE UNDERSTAND SO
FAR
Where you ARE today…
A top large, global marketing
advertising firm that has been losing
market share since early 2000s to
key competitors due to the disruptive
technology shift to digital media
Current org structured around
geographies
Growth has been driven primarily
through acquisition; these have not
been fully integrated
Where you WANT to be…
Regain dominance in this space
need to shift focus to digital and
become leader in on-line and mobile
marketing solutions
Refocus organization to align to
customers
Strong leadership across the
company to support the new
direction and drive change
Restructure organization to unite all
previous acquisitions
17. WHAT WE UNDERSTAND SO
FAR
What you KNOW today…
Digital technologies have been a
significant disruptor in your market
Adapting to these new market
conditions will take organizational
change with strong leadership
support not just new technical
marketing skills
Timing is critical, must deliver plan to
CEO and board by March 2013
Where you asked for our HELP to
LEARN more…
First must gain a full assessment and
understanding of where you really are
Must have qualitative and quantitative analysis to
build full plan from
Comparative analysis to best practices and
competition
Second order to have recommendations
on full implementation plan
19. NOTES – WORKING DRAFT
You take frantic notes as she in quickly gives you the download on the key
business challenges and asks for a proposal to assess Blue Ribbon’s current
culture, organizational design, HR systems, and the challenges it will face as
it transitions it’s new business model. Further, Patti is looking for you and
your team to develop recommendations on how Blue Ribbon can mitigate
these challenges.
Next chart has all of the notes
20. Blue Ribbon Corporation is a marketing and advertising company with over $6 billion in sales annually. With offices in 26 countries, divided into five key regions
(Americas, Asia-Pac, Europe, India, and China) and over 17,000 employees,
While they were one of the leading marketing and advertising companies in the 2000’s, they were very slow to understand the importance of digital media/advertising,
etc. As a result, they have had declining sales over the last 3 years and are losing key global customers like Coke and Nike.
To regain their leadership role, they are planning a massive shift in focus from mostly doing off-line marketing and advertising (Print, TV, Radio, Billboards, etc.) to
becoming a leader in on-line (display ads, interactive campaigns, etc.) and mobile advertising. There is significant risk that they will not make this transition successfully
and why this change has to be managed properly.
Blue Ribbon recognizes that their culture, organization design, and people are the key to making this transition successful and with their sales declining in their off-line
business, it is imperative that they have the right culture, organizational systems, and talent to make this shift and quickly.
Blue Ribbon’s culture is best described as bureaucratic, political, and highly competitive. While they have a mission, vision, and cultural values the CEO and his
leadership team feel it is uninspiring and not aligned with where the company must go. One example, the company is very decentralized and has let many of their
business run on their own with little oversight from corporate headquarters. While this worked in the past, it has led to a culture where functions, business units, and
countries have competed for resources or even to win customers. The new culture will require significant collaboration across business units, etc and that all
leaders, teams, and functions put the company ahead of their own agenda.
Currently, they are organized by Geography’s with each country having their own team selling all products to customers in the local markets. Going forward they want
to move to a Customer focused structure where they are organized by the type of customer they are serving. They need help in assessing this decision and advise on
how to manage the transition.
They are worried that they do not have the “horsepower” to lead this shift to on-line and mobile advertising. She is particularly worried about the top 300 leaders in the
organization and if they have the key capabilities and competencies for such a drastic change. She is also concerned about how they can assess where these leaders
are and how Blue Ribbon can accelerate their development.
Beyond top leadership, Patti recognizes that they need to re-calibrate and get clear on which organizational capabilities are critical and how that translates into
the critical job roles they should be focused on attracting, engaging, rewarding, and retaining.
As the company grew through acquisitions, not organically, they have put little emphasis in centralizing or standardizing their Human Resources practices, except for
payroll and benefits, which they have outsourced. Now that they are centralizing these functions, there is significant opportunity to drive change via HR processes.
The CEO and the Board of Directors has told Patti that she is responsible for supporting this significant business transition and must deliver a comprehensive
Organizational Change Strategy & Plan by end of March 2013.
In terms of the CEO, she was brought in from a competitor that specializes in the digital side of advertising and analytics. She has no experience in Blue Ribbon’s core
non-digital advertising business and some internal people feel it was a mistake to bring her in. She has replaced/upgraded two of her current executive team and
instituted monthly Executive Committee meetings to be better manage the company and the transformation’s progress. Lastly, she has laid out a bold transformation for
the company is willing to do what it takes to reverse the declining sales trend of the last three years.
While she may want our help developing/implementing the Org Change Strategy & Plan, our first order of business is to develop a comprehensive assessment
21. OUTLINE FOR OUR PROPOSAL
– WORKING DRAFT
o Our understanding of the current situation at Blue Ribbon
o Key business challenges/issues
o Project objectives & scope
o Our approach to assessing their current culture, organization design, and HR systems (e.g. what tools, methodologies
or concepts will you use to assess Blue Ribbon)
o Key work tasks for our approach
o Key project deliverables and outputs
o Project timeline
o Project fee’s
o Project structure (who is required on Blue Ribbon’s side and who will be on our team)
o Bio’s on each of our team members
22. PAM TOP IDEAS
My initial thoughts
1. If culture is truly trying to be changed (why is Patti solely responsible for this change? ESPECIALLY with this timeframe.
2. The time frame is ridiculous! If the company is dedicated to turning itself around, they need to put in the time.
3. How dedicated is Patti? Are we going to be able to leverage her as we go forward and try and help? (it almost sounds like they want us to “silver spoon” them a new company…?)
4. How are we going to define or be defined by success?
My understanding of the current situation at Blue Ribbon
1. Key business challenges/issues (from a consultant POV)
a. True change in culture (wanting to go from individual focus to team (or product))
b. New mission, vision, and strategy
i. BUT….(Do they really need to change????= “leader in on-line”) or should they maybe stay as a niche for off-line???
c. STRONG focus on: Success indicators,value proposition, organizational capabilities, current state assessment & ensure there is LOTS of participation from the multiple
people in multiple companies to ensure “buy-in” and success
Project objectives & scope
1. Develop a comprehensive assessment approach for BR culture, organizational design and HR systems
2. Provided in a qualitative and quantitative view of current practices, strengths and opportunities
3. * (if time allows/ foundation for recommendations on how to improve): How these compare to existing best practices/research
Our approach to assessing their current culture, organization design, and HR systems (e.g. what tools, methodologies or concepts will you use to assess Blue Ribbon)
1. Focus on design criteria (compare other companies in the online marketing AND offline marking) = Galbraith’s success indicators, value prop,= our recommendation pf design
2. ….(thinking…..)
Key work tasks for our approach
Need more...
Key project deliverables and outputs
1. A qualitative and quantitative assessment of BR’s current practices, strengths, opportunities and how these compare to existing best practices/research
a. External Review of BR company as is, their current competitors and customers (both current and potential).
b. External Review of BR company's future outlook (online marking). Top 3 current companies, their customers, and our possible niche
c. Internal Review of strengths, weaknesses, culture and structure
d. Internal Review of what’s going good, what’s going bad and what could be different...
2. An assessment of BR’s culture, organizational design and HR systems
a. Internal Review of culture, organization and HR
23. PAM TOP IDEASCont.
Project timeline
1. Above deliverables ONLY= 60 days (NO Quant/Qual)/ 90 days (complete Quant/Qual assessment)
2. Additional help in developing & implementing Org. Change Strategy and Plan= 9-12 months
Project fee’s
1. Above deliverables ONLY=
a. 60 days (40 hrs per week* 3 people * 2 months)=1000 man hours @ $125ph.pp) (NO Quant/Qual)= $125,000
b. 90 days (complete Quant/Qual assessment) (2000 man hours @ $125ph.pp)=250,000
2. Additional help in developing & implementing Org. Change Strategy and Plan= 9-12 months (=retainer and possible internal help)= flat fee of $1M
Project structure (who is required on Blue Ribbon’s side and who will be on our team)
1. Above deliverables ONLY
a. Patti and another high ranking HR team member
b. Access to all department heads
c. 1 Representative from each country and each region and at least 1 rep. from each additional level of the company
2. Additional help in developing & implementing Org. Change Strategy and Plan
a. Board of Directors
b. All of the above
Bio’s on each of our team members
Pamela (Pam) DeHollander: Pamela has been with “PAN” consulting group for 9 years. Her background is mostly in teams; with her specialty being in global team development/relations
and training. (this is what I am doing my paper on, that’s why I choose it :)
24. AMBER TOP IDEAS
Leveraging a lot of Galbraith: perhaps our recommended ‘steps’ mirrors his outline from strategy definition to
Implementaiton
First need to fully understand Corporate Strategy: Can regurgitate what we have heard but also this should be our key first
step. Then we propose our approach - outline the workshops; goal and deliverable of each step
First step (parallel efforts here) get the strategy right:
Implement Current State assessment (30%? workforce involved; multiple methods surveys/focus groups) p.39
Galbraith example
Executive Leadership team in brief offsite Strategy workshop - get clarity p.31 Galbraith example)
Second extended leadership offsite - design the organization:
Executive offsite activity: p.50-2 exercises
Share assessment findings; align this to strategy perhaps leverage tool on p 56 to id gaps/changes needed
design structure: claim customer focus - will this structure fit or do they need front-back hybrid
org roles - this will be key to spend time on
To be continued as we learn more of the model….
ALSO see the powerpoint example in our folder this week - we could build out this type of planning visual for our
presentation
25. NICK TOP IDEAS
BACKGROUND
● Blue Ribbon Corporation is a marketing and advertising company with over $6 billion in sales annually. With offices in 26 countries, divided
into five key regions (Americas, Asia-Pac, Europe, India, and China) and over 17,000 employees,
● To regain their leadership role, they are planning a massive shift in focus from mostly doing off-line marketing and advertising (Print, TV,
Radio, Billboards, etc.) to becoming a leader in on-line (display ads, interactive campaigns, etc.) and mobile advertising. There is significant
risk that they will not make this transition successfully and why this change has to be managed properly.
REQUEST
Assess Blue Ribbon’s current culture, organizational design, HR systems, and the challenges it will face as it transitions it’s new business
model
RECOMMENDATIONS
● Assessment -> base recommendations on results
o qualitative and quantitative view
o current practices, strengths, and opportunities.
o existing best practices/research
● Redo mission/vision/values
● Reorganization
o Customer focus? assess if right move
o Lateral processes to drive cross-functional collaboration
26. Framework for Proposal Components
Mission / Vision /
Values -> Culture
Organization
Design
Leadership Org Capabilities &
Job Roles
HR Systems &
Practices
Assessment of
current practices,
strengths &
opportunities
Survey & focus
groups
Galbraith
instruments,
Chapter 2
Needs assessment
(Cummings &
Worley, p. 466)
Galbraith (p. 124-
128) - Chapter 3
Galbraith Chapters
5 and 6
Best practices &
existing research
List examples List examples List examples List examples List examples
Likely challenges
business will face
TBD TBD TBD TBD TBD
Recommendations
for mitigating
challenges
Large-group
intervention to
redefine
mission/vision/valu
es (AI based?)
Facilitate definition
of design
framework with
CEO & executive
team
Management &
leadership
development
(Cummings &
Worley, p. 467)
Steering
Committee & Work
Groups (Galbraith
p. 117)
27. PROJECT PRICING AND
COMMITMENTS
FEES
Flat-rate for assessment = $ 75,000
up to 6 weeks (to include facilitation for off-site)
Hourly Rate for implementation for any/all recommendation or
additional help
3 full-time experienced employees @ $83 per hour
Signature:……
