Presentation at ISPI 2017

1. LEADING
CHANGE
THROUGH
FORESIGHT &
GOVERNANCE
Kristina Schneider
✈ Develops Human Performance Strategies for CivilAviation Organizations

2. “AIRTRAVEL USED
TO BE GREAT”
How many times have you heard this?

3. The Golden
Age of
Aviation
Ended with
• Deregulation in the US –
1978
• Deregulation in the EU -
1993
Image source: Pan Am Historical Foundation

4. Competition
Created
Challenges
Jan Carlzon, upon becoming
the CEO of S.A.S., and the
president of S.A.S. Group in
1981, created a booklet
which he distributed to his
employees entitled ''Let's
get in there and fight.'‘
Image source: Jan Carlzon: ''Let's get in there and fight.‘ (1981)

5. Competition
Created
Challenges
Jan Carlzon called for change
in the 1980s
Image source: Jan Carlzon: ''Let's get in there and fight.‘ (1981)

7. Airline
Headlines:
Spring
2017

8. Airline
Headlines:
Spring
2017

9. Airlines
Respond

10. Airlines
Respond

11. Increased
Security
Threats
Acts of unlawful interference
created the need for
increased security measures,
especially after 9/11

12. Other
Challenges

13. THE PROBLEM
Airlines and airports worldwide have been struggling
to meet shareholder and customer expectations.

14. THE CHALLENGE
Providing a positive passenger experience

15. Improving Performance Requires Change
Leadership through Foresight
and Governance
Foresight and Governance
Model

16. Corporate Foresight
■ a process for examining future scenarios and
identifying potential solutions
■ the ability to detect impending change, interpret
what it means for one’s organization or industry as
well as respond with an appropriate solution
■ tightly tied to risk assessment and management
(Abeyratne, 2012; Rohrbeck, 2011)

17. Corporate Governance
■ setting policy to steer an organisation along the best
path
■ efficiency and efficacy, ensuring that the proper
structures are in place in order to meet rapidly
changing demands from both shareholders and
stakeholders
■ managerial oversight through transparency and
accountability
(Garratt, 2003; Idowu & Caliyurt, 2014)

18. Leading Change
through Foresight
& Governance
Anticipator
y
Intelligence
Direction
Setting
Prioritizing
Catalyzing
Innovation
Empowerin
g People
Model adapted from Abeyratne (2012)

19. Anticipatory Intelligence
The practice of sensing and seeing
emerging patterns and trends that
may require a rapid shift in position
or operation in order to mitigate
threats and exploit opportunities.
(Abeyratne, 2012; Rohrbeck, 2011)

20. Anticipatory Intelligence
Monitoring:
■ Collecting and analysing information and
data focused on trends, events and rapidly
evolving and changing conditions
■ Producing alerts when subtle shifts begin to
emerge or when stable trajectories begin to
deviate

21. Anticipatory Intelligence
■ Applicable on a mega level
– Meteorological predictions
– Safety and security risks
■ Applicable on a macro level
– Maintenance and facilities management
– Passenger demand and growth
■ Applicable on a micro level
– Anticipating passenger’s needs

22. Anticipatory Intelligence
SXSW Safety Command Center
■ SXSW used Nexalogy to monitor in
real time key issues such as crowd
control, police, fires, violence on
social media
■ Upon an incident SXSW staff was able
to get staff on the ground faster than
911

23. Anticipatory Intelligence
“Search is what we call the action of
knowing what you want and questing until
you ultimately find it.
Discovery, on the other hand, is what
happens when the universe (or an
organization, or a friend) helps you
encounter something you didn't even know
you were looking for.”
- Seth Godin

24. Anticipatory Intelligence
■ We don’t know what we don’t know.
■ Finding the threat or the opportunity
requires sifting through big data and
looking for a needle in a haystack.
■ Data is only meaningful as a
prediction of the unknown when
unexpected patterns emerge.

25. Direction Setting
Ensuring an organization’s
viability by crafting a vision
from which a strategy and
key performance measures
can be aligned.

26. Direction Setting
■ What is our unique advantage?
■ What falls outside of our scope
of expertize and/or target
market?
■ What is our strategy path?
■ How will we know when we’ve
achieved our vision?

27. Direction Setting
What happens when an
organization measures
performance only on
financial criteria?

28. Direction Setting
■ “Our Purpose: Connect people to
what’s important in their lives
through friendly, reliable, low-cost air
travel.”
■ “Our Vision:To become theWorld's
Most Loved, Most Flown, and Most
Profitable Airline.”
Image credit: RobertAlexander | Getty Images https://www.southwest.com/

29. Prioritizing
Priorities reveal themselves as
those ideas which are most
aligned with the business
strategy which is concerned
with succeeding in the
organization’s target markets.

30. Prioritizing
Two very distinct yet equally successful
examples from the aviation world, from two
leading airlines:
■ Southwest Airlines which offers service with
a smile on convenient point-to-point routes
a low-cost
■ Singapore Airlines, which offers a superior
passenger experience with best-in-class
catering, service, amenities and comfort
Pieterson (2005)

31. Prioritizing
Priorities should also be revised
regularly in alignment with:
■ data emerging from
anticipatory intelligence
■ adjustments in direction setting

32. Catalyzing Innovation
An approach whereby
the cycle to innovate is
accelerated through
co-creation.

33. Catalyzing Innovation
Intuit’s three core principles for designing for
delight:
1. gaining deep customer empathy which allows
organizations to see the customer from a
different perspective and truly understand their
needs
2. going broad to go narrow which allow
organizations to create many options to
consider before deciding which path to take
3. conducting rapid experiments with customers
in order to understand what will improve their
lives
(Gay, 2013)

34. Catalyzing Innovation
■ In 2015, Munich Airport held an Airport Lab
focussing on the co-creation of new ideas for
airports focusing on customer experience,
airport operations and business development
■ It comprised of 15 participants from 10 countries
and 4 continents.
■ Munich Airport Munich’s Innovation division has
a mission to Enthuse the customer and has
Innovation Embassadors

36. Empowering People
Recognizing that employees are
the key resource of the
organization.

37. Empowering People
“[an] individual without
information cannot take
responsibility; an individual who is
given information cannot help but
take responsibility.”
- Jan Carlzon

38. Empowering People
“[an] individual without
information cannot take
responsibility; an individual who is
given information cannot help but
take responsibility.”
- Jan Carlzon

39. Empowering People
Southwest’s empowering organizational culture:
■ “leads to incredible acts of service for
customers.”
■ “increases the predisposition of customer-
contact employees to meet customer needs at
the highest levels”
■ has—according to industry experts and their
CEO—contributed greatly to their success
Image credit: RobertAlexander | Getty Images
(1) Heskett, Sasser & Schlesinger (1997); (2) Gazzoli, Hancer & Park (2012).; (3) Kelly, 2015; El-
Erian, 2014

40. Empowering People
“To Our Employees
We are committed to provide our Employees a stable
work environment with equal opportunity for
learning and personal growth. Creativity and
innovation are encouraged for improving the
effectiveness of Southwest Airlines. Above all,
Employees will be provided the same concern,
respect, and caring attitude within the organization
that they are expected to share externally with every
Southwest Customer.”
Image credit: RobertAlexander | Getty Imageshttps://www.southwest.com/

41. Recap:A Model for Leading Change
through Foresight & Governance
Anticipatory
Intelligence
• mining
information in
order to detect
early warning
signs of
upcoming
developments
Direction Setting
• developing a
corporate
strategy based
on a vision and
objectives
Prioritizing
• identifying the
endeavours
with the
highest payoff
as well as the
means to
accomplish
them
Catalyzing
innovation
• stimulating
and
supporting
innovation
processes
between
organizations,
their partners,
suppliers and
customers
Empowering
People
• developing
and promoting
the right
people in a
learning
organization

42. TAKE-AWAYS

43. Merci!ThankYou!

44. Bibliography ■ Abeyratne, R. (2012).The use of armed guards on board merchant vessels. Journal ofTransportation Security, 5(2), 157-
167. http://dx.doi.org.proxy3.library.mcgill.ca/10.1007/s12198-012-0088-5
■ Carlzon, J. (1987). Moments of truth. Cambridge, Mass.: Ballinger Pub.
■ El-Erian. M. A. (2014)The Secret to Southwest's Success. Retrieved November 25, 2015, from
http://www.bloombergview.com/articles/2014-06-13/the-secret-to-southwest-s-success
■ Gallo, C. (2014) SouthwestAirlines Motivates Its EmployeesWithA Purpose BiggerThan A Paycheck. Retrieved
November 25, 2015, from http://www.forbes.com/sites/carminegallo/2014/01/21/southwest-airlines-motivates-its-
employees-with-a-purpose-bigger-than-a-paycheck/
■ Garratt, B. (2003) Thin on top: why corporate governance matters and how to measure and improve board performance.
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■ Rohrbeck. R. (2011) Corporate Foresight:Towards a Maturity Model for the FutureOrientation of a Firm. Springer-Verlag
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