This document discusses change management in Latvian companies. It provides statistics on Latvian managers, including their average tenure and companies' profits, revenues, and other financial metrics. The document asks Latvian business leaders about important aspects of change management and their views. Common mistakes in change management are outlined, including failing to create urgency, communicating poorly, and not empowering employees. The document argues that an excessive focus only on change targets is a main mistake and that building trust between employees is critical for businesses.

1. A vote of trust

2. Content
• Statistics and graphs;
• Latvian view on change
management;
• Common mistakes;
• Why a vote of trust?
• Building trust

3. Division of Latvian managers
by the average time in post
History from 1991 to 2012.05.22

4. The average age of managers and
shareholders

5. Turnover
Median values in LVL. Banks, other financial institutions and
companies with more than 250 employees not included (for
these companies annual accounts for 2011 will be processed in
August)

6. Profit after taxes
Median values in LVL. Banks, other financial institutions and
companies with more than 250 employees not included (for
these companies annual accounts for 2011 will be processed in
August)

7. Rentability
Median values %. Banks, other financial institutions and
companies with more than 250 employees not included (for
these companies annual accounts for 2011 will be processed in
August)

8. Equity capital
Median values in LVL. Banks, other financial institutions and
companies with more than 250 employees not included (for
these companies annual accounts for 2011 will be processed in
August)

9. Average number of
employees
Banks, other financial institutions and companies with more than
250 employees not included (for these companies annual
accounts for 2011 will be processed in August)

10. Performance after the change of
management
Two types of performance: Up (not steady) Down (always steady)
Companies with AA for 10 years and at least one management change during this
period. 11255 companies analysed.

11. Total turnover and profit

12. What are the most important things in change
management? Answers from Latvian
enterpreuners.
Our great philosopher and poet Rainis said: «Only those will exist who 'will change.»
•The leader - he/she is the team's coach, who support and guide the team to the target. Y/N ?
•Eeverything depends on the charisma of a leader. Y/N ?
•The primary is the CEO and his key department heads. Y/N ?
•Change initiators and managers should understand that people are not unhappy handicaps of
change plans, they are the main components of this plan, they can be the most important
instrument of a change. Y/N ?
•The reforms are part of life, even a part of everyday life, but better if they take place gradually and
the people are prepared. Otherwise it can happen that change leads to paralysis. Y/N ?
•Change happens when the right moment has come. Y/N ?
•To try to reduce fixed costs. Y/N ?
​
•A clear strategy and vision for the future, as well as a return to fundamental values and principles
will be important. Y/N ?
•Clearly defined change target. Y/N ?
Source: www.news.lv, Lursoft customers

13. Before proceeding to
common mistakes
One of the most popular mistakes mentioned on the Internet
Moving too slowly with the changes.
Change management isn’t a waltz, it’s rock ‘n roll.*
Do you agree?
*From: http://www.pritchettnet.com/

14. General view on common
mistakes in change management
• Failing to create a sense of urgency and leadership involvement. A sense of
urgency motivates employees to buy in and help in the change process.
Additionally, by involving company leaders, employees will be further motivated
in their efforts.
• Communicating poorly. Develop a clear vision of where the company needs to
be, and communicate that vision to all employees, customers and shareholders.
• Not empowering employees to lead the change. Encourage employees to
develop new ideas, try new approaches and serve as stewards of change.
• Focusing only on the long term. Large-scale organizational change is a long
process. Break down your vision into smaller short-term goals, and communicate
short-term successes at each opportunity.
• Assuming that change is complete once initial goals are achieved. If you
declare victory too soon, the focus will be taken away from your efforts, and all
traces of your hard work could soon disappear. Successful companies
consistently re-evaluate their change efforts to determine where other areas can
be improved, such as employee development and retention, new projects and
new systems and structures.
* Adapted from “Leading Change: Why Transformation Efforts Fail” by John P.
Kotter, Harvard Business on http://blog.tatumllc.com

15. Why a vote of trust?
We think that main mistake is: Excessive
focus on change target!!!

16. Why a vote of trust?
• Life does not end with the concrete
target.
• With whom we will achieve the next
ones?
• If you don't have trusted relationships
between your employees you will not
have trusted relationships with your
customers.
• It's critical for your business!!!

17. Building trust
List of 10 steps to building trust from Christian Fea. Drawing from J.Miruskins.

18. Alice Cooper's 1989 Album
Trash ! / Why Trust You
Thank You!!!