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Stockholm, 6. May 2009

Driving Change in Tough Times
Bo Øksnebjerg
Todays program

 The challenge of change

 Communicating change

 Driving strategic direction in tough times

 Discussion
What the boss is saying

  We will merge      This is a great
  with company    opportunity for the
      XXX          company to reach
                     new markets




                                         We have a
                                        detailed plan




                                It’s going to be
                                      great!
What are employees hearing

  We will merge
  with company    Bla Bla
      XXX




                                 Bla Bla




                            Bla Bla
What the boss thinks the employees are thinking

                          I will immidiately
                          start planming my    I miss a little info – I
                             part of this        will find it myself
                                project
  This is a great idea!                                                     Perhaps I should
                                                                          also do xxx and yyy
                                                                          to help the process
They should have
What employees actually think!                                                       done this years
                                                                                     ago – but they
                                                                                    never listen to my
                              New markets?                                               advice
                                                               I wonder if this
                            Perhaps this is my
                                                                means I will no
                             chance to get a
                                                               longer share my
                             job in England!
                                                               office with Peter
Oh No! not again!                                                                    That’s what they
                                                                                       said to YYY
                                                                                   company – and then
                                                                                    120 people were
                                   He doesn’t have a                                      laid off
                                    clue. He has no
                                   idea what is going
        I’ll bet you this
                                          on.
        means another
       reorganization of
        our department



                                            They have said
   After the merger,                         stuff like this
   he will get fired.                       before – but it
   Maybe I can get a                        never happens
     chance for a
      promotion
What employees actually think!


                                 Me!
                 Me!




          Me!
What’s in it for me?
It’s all about : ”What’s in it for me?”

        Personal gain                                        I’m better off after this




        Personal involvement                       I invented this




        Inspiring goals                   I want to make this come true




        Inspiring leaders        I want to follow that guy




        Strong company culture      I feel great here



Source: Bo Øksnebjerg
Change is not linear
      Accept




                                Time



Source: Bo Øksnebjerg
Everybody starts off with a ”Big Bang”
      Accept




                                                  Time



Source: Bo Øksnebjerg
But it also requires a series of small moves
      Accept



                        Launch of the
                        new strategy




                                                   Time



Source: Bo Øksnebjerg
The ’Attention makers’

      Accept
                        Large, coordinated
                        initiatives set the agenda




                                                     Time



Source: Bo Øksnebjerg
Everyday changes

      Accept
                            Managers and
                            ’small everyday
                            changes’ keeps up
                            momentum




                                                Time



Source: Bo Øksnebjerg
Communications

      Accept




                          Communications
                            ’fill the gaps’



                                              Time



Source: Bo Øksnebjerg
The 4 phases to succes




                        Communicating progress
Source: Bo Øksnebjerg
Reactions to a big change process


       Inattention                                  Engaged



               Denial                            Responsability



                        Fear                  Negotiation



                               Anger     Acceptance



                                 Employee A



Source: Adams 1976
Employees respond later than managers


       Inattention                                                    Engaged



                Denial                                             Responsability



                              Fear                              Negotiation



                                           Anger           Acceptance



                                                    Manager A       Employee B



Source: modified from Adams 1976 by Bo Øksnebjerg
Only 4 out of 10 knows the goals of their organization
Imagine if only 4 out of 10 knew that the
Apollo project was aiming for the Moon …
The information level is good
A very clear objective
But they see 72 different objectives
”What is the objective for the creation of the new GEOCENTER?”

    MOST SAY: ”Have no idea”

    COPERATION: ”Cooperation”, ”Synergy”, ”Utilize ressources better”

    ECONOMY: ”Cost reductions”, ”Make more money”, ”Rationalizations”

    IDEOLOGY: ””Advance knowledge of the Geosciences”
    VISIBILITY: ”Visibility” , ”Prestige”, ”Bosses that wants brass plates in
    front of the buildings”, ”Higher profile compared to other research
    areas”
    POSITION: ”Become a leading Geoscience center in Europe”, ”Create
    a strong center for geosciences in Denmark”.

    SOLVE PROBLEMS: ”Create a symbiosis and tear down the walls
    between us”, ”attract more money to geosciences in Denmark”.
What is the colour of the zebras’ stripes?
Employees want information and
    directions from their nearest manager
                                                                                                    Importance
                                                                                                    state 1-5

  Nearest manager                                                                             87%    4,48

  Colleagues                                                                            81%          3,84

  Meetings                                                                  71%                      3,68

  Executives                                                   54%                                   3,38

  Union                                                  47%                                         2,77

  Message boards                                               55%                                   2,54
  Intranet                                           43%                                             2,51

  Employee magazine                                   45%                                            2,32

  Trade press                                34%                                                     2,16

   Newspapers                                      39%                                               2,04

                                                                                                     2,02
   Radio/TV                              30%
                      0%   10%   20%   30%     40%       50%    60%   70%         80%         90%   100%




Source: AC Nielsen
Translate and fit message to and with
                  each specific target group…




                  My
                picture
While at the same time keeping line of sight…




        The big picture
Manager training and network groups
Please notice

         Beware
         Of
         The
         Powerpoint©
         CEO




         (8 out of 10 CEOs abandon their big change projects)




Source: Post mortem on 20 big change projects, 2007; Bo Øksnebjerg
Stories
                       Heroes
                       Symbols
                       Rituals, rites, ceremonies
                       Routines and key processes
                       Recognitions / rewards
                       Status symbols
Visible changes        Management style



Cultural changes       Beliefs
                       Values
                       Assumptions




Source: Schein, 1992

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Driving changes in tough times

  • 1. Stockholm, 6. May 2009 Driving Change in Tough Times Bo Øksnebjerg
  • 2. Todays program The challenge of change Communicating change Driving strategic direction in tough times Discussion
  • 3. What the boss is saying We will merge This is a great with company opportunity for the XXX company to reach new markets We have a detailed plan It’s going to be great!
  • 4. What are employees hearing We will merge with company Bla Bla XXX Bla Bla Bla Bla
  • 5. What the boss thinks the employees are thinking I will immidiately start planming my I miss a little info – I part of this will find it myself project This is a great idea! Perhaps I should also do xxx and yyy to help the process
  • 6. They should have What employees actually think! done this years ago – but they never listen to my New markets? advice I wonder if this Perhaps this is my means I will no chance to get a longer share my job in England! office with Peter Oh No! not again! That’s what they said to YYY company – and then 120 people were He doesn’t have a laid off clue. He has no idea what is going I’ll bet you this on. means another reorganization of our department They have said After the merger, stuff like this he will get fired. before – but it Maybe I can get a never happens chance for a promotion
  • 7. What employees actually think! Me! Me! Me!
  • 8. What’s in it for me?
  • 9. It’s all about : ”What’s in it for me?” Personal gain I’m better off after this Personal involvement I invented this Inspiring goals I want to make this come true Inspiring leaders I want to follow that guy Strong company culture I feel great here Source: Bo Øksnebjerg
  • 10. Change is not linear Accept Time Source: Bo Øksnebjerg
  • 11. Everybody starts off with a ”Big Bang” Accept Time Source: Bo Øksnebjerg
  • 12. But it also requires a series of small moves Accept Launch of the new strategy Time Source: Bo Øksnebjerg
  • 13. The ’Attention makers’ Accept Large, coordinated initiatives set the agenda Time Source: Bo Øksnebjerg
  • 14. Everyday changes Accept Managers and ’small everyday changes’ keeps up momentum Time Source: Bo Øksnebjerg
  • 15. Communications Accept Communications ’fill the gaps’ Time Source: Bo Øksnebjerg
  • 16. The 4 phases to succes Communicating progress Source: Bo Øksnebjerg
  • 17. Reactions to a big change process Inattention Engaged Denial Responsability Fear Negotiation Anger Acceptance Employee A Source: Adams 1976
  • 18. Employees respond later than managers Inattention Engaged Denial Responsability Fear Negotiation Anger Acceptance Manager A Employee B Source: modified from Adams 1976 by Bo Øksnebjerg
  • 19. Only 4 out of 10 knows the goals of their organization
  • 20. Imagine if only 4 out of 10 knew that the Apollo project was aiming for the Moon …
  • 22. A very clear objective
  • 23. But they see 72 different objectives ”What is the objective for the creation of the new GEOCENTER?” MOST SAY: ”Have no idea” COPERATION: ”Cooperation”, ”Synergy”, ”Utilize ressources better” ECONOMY: ”Cost reductions”, ”Make more money”, ”Rationalizations” IDEOLOGY: ””Advance knowledge of the Geosciences” VISIBILITY: ”Visibility” , ”Prestige”, ”Bosses that wants brass plates in front of the buildings”, ”Higher profile compared to other research areas” POSITION: ”Become a leading Geoscience center in Europe”, ”Create a strong center for geosciences in Denmark”. SOLVE PROBLEMS: ”Create a symbiosis and tear down the walls between us”, ”attract more money to geosciences in Denmark”.
  • 24. What is the colour of the zebras’ stripes?
  • 25. Employees want information and directions from their nearest manager Importance state 1-5 Nearest manager 87% 4,48 Colleagues 81% 3,84 Meetings 71% 3,68 Executives 54% 3,38 Union 47% 2,77 Message boards 55% 2,54 Intranet 43% 2,51 Employee magazine 45% 2,32 Trade press 34% 2,16 Newspapers 39% 2,04 2,02 Radio/TV 30% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Source: AC Nielsen
  • 26. Translate and fit message to and with each specific target group… My picture
  • 27. While at the same time keeping line of sight… The big picture
  • 28. Manager training and network groups
  • 29. Please notice Beware Of The Powerpoint© CEO (8 out of 10 CEOs abandon their big change projects) Source: Post mortem on 20 big change projects, 2007; Bo Øksnebjerg
  • 30. Stories Heroes Symbols Rituals, rites, ceremonies Routines and key processes Recognitions / rewards Status symbols Visible changes Management style Cultural changes Beliefs Values Assumptions Source: Schein, 1992