Tag Archives: culture change

Innovation Mythbusters – Top 5

Innovation Mythbusters - Top 5

GUEST POST from Janet Sernack

Amazingly Fabulous Tools is an award-winning, entrepreneurial market leader in the global machine engineering industry. The ambitious and proactive CEO Charlie Chaps invested in dispatching a Terrific Team of Enthusiastic Engineers to Silicon Valley to research, investigate, and report on how to capture and emulate the critical ingredients of its “secret innovative sauce.” Upon their return, the Terrific Team of Enthusiastic Engineers created and shared a beautiful, illustrated PowerPoint presentation with the board despite secretly knowing and passively avoiding saying that Amazingly Fabulous Tools could not replicate what they had discovered, primarily due to how the top five innovation myths clandestinely operated in the organization.

The Corporate Antibodies

This is due to their overt experience with the organization’s “innovation antibodies,” which cause an organization to resist change and protect the status quo. These antibodies consist of rigid people and inconsistent processes that extinguish a new idea as soon as it begins to course through the organization. In the Amazingly Fabulous Tool company, most people, especially the founders and the board, unconsciously and powerfully neutralized any forces that threatened to destabilize the company’s current state and stunt its growth by shutting down the fresh ideas and unconventional thinking their company badly needed.

Charlie Chaps built a fantastic, largely incomprehensible strategic plan with a BHAG, strategic goals, and sets of individual KPIs. This plan provided concrete evidence that reassured the board that the company was taking action to sustain its leadership position in the market and would take the business to the next level by growing its ROI. It also aimed to leverage the collective genius of its owners, Bob the Brave Builder and Eric the Energetic Entrepreneur, to ensure a legacy was left no matter who was at the helm.

The Innovation Culture Diagnostic Findings

A quantitative and qualitative cultural diagnostic revealed that people lacked permission, safety, and trust to speak up, rock the boat and challenge the status quo. It also showed that the organization lacked rigor in its process disciplines and a focus on developing its people’s capabilities.

It also revealed that Amazingly Fabulous Tools was secretly driven by its founders’ and sales directors’ self-interest and greed due to the highly competitive profit-share sales model. Not by an obligation and commitment to creating, inventing, designing, and delivering disciplined, innovative process improvements, products, and services that their customers purchased and did not appreciate and cherish.

This was a stark contradiction and barrier to the company’s ability to sustain its enviable global reputation. Finally, people believed that Charlie Chaps’ fantastic strategic plan, BHAG, goals, and KPIs were confusing and disconnected from the organization’s current reality and would not produce a collaborative and innovative organization.

So, they did not accept or apply the plan and kept safe by conducting business as usual.

The Top Five Innovation Myths

Because the corporate antibodies revealed that people unanimously believed each of the key myths, including:

Myth # 1: Innovation is a solo activity; people believe that ” only the owners can innovate.”
The Brutal Truth: Innovation is impossible without inclusion and collaboration, which are achieved through practical and disciplined teaming and networking.


Myth #2: Innovation is top-down; people believed they were not responsible or accountable for planning and were forced to be reactive. “The planning is difficult, that is for sure, because we are firefighting all the time, and that goes back to the frustration of not having enough time to do what needs to get done…and resources and …tools.”
The Brutal Truth: When people have the permission and safety to challenge the status quo, make mistakes, and are trusted to learn through experimentation, innovation can emerge anywhere in an organization, or team.


Myth #3: Innovation is about the newest thing; people believed that radical innovation was needed when agility was the problem; “The scary thing is our key competitor is getting more flexible (agile); we’re just getting more reliable (stable). It’s the stupid things that are so annoying. It’s the embarrassing things.”
The Brutal Truth: Innovation is guided by its strategic intent. It can be incremental, continuous, radical, breakthrough, disruptive, or differentiated, as there is no one best way of innovating.


Myth # 4: Innovation can’t be taught; people believed that they did not have to learn to improve or innovate when they encountered quality issues continuously; “A lot of times, it’s not because the customer wants the machine tomorrow but because we want to ship it tomorrow because we want to get it off the floor, we want to meet numbers, we want the cash. We usually drive the time frame and rush it out the door, creating many internal problems. It also creates problems externally with the customer when they think they’re getting a machine fully intact, but half its parts are missing….”
The Brutal Truth: Innovators are not born and are made. Anyone can learn to innovate,


Myth #5: You can’t force innovation; people were dis-empowered and did not take responsibility for influencing their environment to provide order and discipline; “It’s a traffic jam. That’s what we’ve got. It’s a traffic jam. Cars sitting bumper to bumper look like they are gridlocked. It represents the log jam of our activities. Where people are trying to push so many activities through two lanes of traffic when we’ve got six lanes worth of traffic.”
The Brutal Truth: Innovation can emerge when people have a sense of urgency, understand, and are motivated to engage in necessary, high-impact cultural and organizational change.

People must be prepared for it, change-ready and receptive, and intentionally pulled towards a compelling and desired future within an equalized environment that balances chaos and creativity with rigidity and discipline through rigorous planning.

The real costs to the organization

People believed that “This business makes money despite itself. There is potential to be truly great”. This was the most significant innovation antibody because there was no sense of urgency or even a financial or growth necessity to innovate. The company was quite comfortable with the status quo and had no reason to shift its habitual and unconscious comfort zone in ways that people and organizations must do to innovate because it involves being ready and receptive to mega-changes.

The significant investment in sending the Terrific Team of Enthusiastic Engineers to Silicon Valley sadly remained in the mythical realm of Innovation Dreamland.

So, lacking focus, discipline and rigor, the group of seriously qualified and intelligent engineers knowingly consistently dispatched faulty million-dollar machines to highly valued, global customers.

The cost of rework and brand erosion were considerable.

These machines required considerable analysis, problem-solving, and rework upon their return. Their costs were not recorded as repairs, causing the engineering division to be consistently over budget. Charlie Chaps reacted by restricting its budget and inhibiting its investment in critical research and development, which is needed to create, invent, and innovate to repair and sustain its global reputation as an innovator.

Innovation Dreamland remained a mythical and magical fantasy in Amazingly Fabulous Tools.

Sadly, the organization failed to shift its focus from challenge to opportunity because it could not resolve the corporate antibodies (implicit killers), remove the roadblocks, break down the internal cultural barriers to innovation and develop the agility necessary to become both a people-centric and customer-centric organization.

It lost an opportunity to make innovation a daily habit for everyone by failing to embed it in its organization as a way of life. It needed to empower, enable, and equip its talented, experienced and motivated people with the emotional energy, change, cognitive, and innovation agility to expose, challenge and resolve the underlying corporate antibodies.

It did not prioritize customer satisfaction and keep its promises by creating, inventing, and innovating high-value, quality products and services that improve the quality of their lives that are appreciated and cherished.

Many transformations and change-led innovation initiatives designed as strategic interventions fail due to a lack of alignment between strategy, structure, processes, and human skills, resulting in unproductive actions and poor human behaviors.

This is a short section from Chapter One of our new book, “Conscious Innovation – Empowering People to Be, Think and Act Differently in a Constantly Changing World”, which will be published in 2025.

Find out more about our work at ImagineNation™.

Please find out about our collective learning products and tools, including The Coach for Innovators, Leaders, and Teams Certified Program, presented by Janet Sernack, it is a collaborative, intimate, and profoundly personalized innovation coaching and learning program supported by a global group of peers over 9-weeks, and can be customized as a bespoke corporate learning program.

It is a blended and transformational change and learning program that will give you a deep understanding of the language, principles, and applications of an ecosystem-focused, human-centric approach and emergent structure (Theory U) to innovation. It will also up-skill people and teams and develop their future fitness within your unique innovation context. Please find out more about our products and tools.

Image Credit: Wikimedia Commons

Subscribe to Human-Centered Change & Innovation WeeklySign up here to join 17,000+ leaders getting Human-Centered Change & Innovation Weekly delivered to their inbox every week.

A Tipping Point for Organizational Culture

A Tipping Point for Organizational Culture

GUEST POST from Janet Sernack

Like millions of others globally, I watched with fascination, the sensational and striking spectacle of the ceremony, significant symbolism, spectacular artifacts, and rituals at the recent King of England’s majestic coronation. At the same time, I allowed my mind to wander and wondered how this visually stunning and unrivaled British ceremony would impact the nations and realms’ culture and leadership, today and in the future, wondering if, indeed, it is at a cultural tipping point.

Where it is believed, by some, that the coronation made “two statements of great importance for today’s world about the place of religion in public life and the importance and meaning of the nation”. Acknowledging that such a monumental and marvelous event is indicative of a cultural tipping point, not only for the people it embraces but also for organizations, nations, and realms as a whole, to search for what is meaningful and valued by its people.

Making the connection

My mind wandered and made some obvious connections between the core and common elements that embody both organizational, and national cultural realms – the values, beliefs, assumptions, and mindsets that drive key behaviors and deliver the common implicit messages. As well as the disciplined systems and processes that deliver the results, the rituals that are enacted, and finally, the artifacts whose symbols represent what the culture values.

Maintaining relevance and engagement 

Like the monarchy, what do organizations need to do to maintain relevance and engagement to thrive in unstable and uncertain times, especially when their existence and legacies are being questioned and evaluated by the people they serve?

At a pivotal time when new sets of global, societal, and organizational demands are being made, largely as a result of the fourth industrial revolution, encompassing the convergence of exponential technologies impacting all of us globally.

At the same time, we are all still affected by the consequences of the global pandemic-induced lockdowns, impacting every fabric of our social and civic structures in our world today.

A case study for leveraging cultural tipping points differently 

The coronation of King Charles III provides us with a great case study of an outstanding and remarkable display of English cultural attributes.

This enables us to ask some serious questions about how national and organizational cultures and leadership in times of exponential change, like today, might thrive with uncertainty and co-create solutions to some of the most complex global challenges, by leveraging the range of cultural tipping points differently.

A range of organizational cultural tipping points

We are in effect, experiencing globally a range of cultural tipping points:

  1. At the macro level, according to a recent article here in Australia, where King Charles still resides as our head of state, the local SMH states that this realm is in a state of flux:

“The King is head of state in 15 countries. More than half of the so-called “realm states” are in the Caribbean and most of them are bailing out. Barbados two years ago, Jamaica probably next year. Belize, Grenada, Saint Vincent and the Grenadines are planning their exit as well”.

  1. At the micro level, according to Mc Kinsey & Co, in a recent article “New Leadership for a new era of thriving organizations” stated that organizations and leadership are also in a state of flux:

“Organizations such as Allianz, Haier, Microsoft, and Nucor are transforming their industries with a new organizational approach that seeks to be open, fluid, and adaptable; unleashes the collective energy, passion, and capabilities of its people; reimagines strategy; and focuses on delivering greater value to all stakeholders”.

“Their cultures support a more open, collaborative, and emergent way of working. And the shift to this new kind of model changes the way businesspeople must lead”.

Going back to culture and leadership fundamentals

Because culture and leadership are, according to Edgar H. Schein “two sides of the same coin and cannot understand one without the other” we have to be in charge and focused to intentionally, constructively, and creatively manage their interdependence.

He also states that culture matters because it is a “powerful, tacit, and often unconscious set of forces that determine both our individual and collective behaviors, ways of perceiving, thought patterns, and values”.

If we do not intentionally and strategically take charge, focus, and leverage these forces, we will simply always be at the effect of them, as they take us down the path of least resistance, remain implicit, and will not deliver the results we want and need in a disruptive world.

Going back to culture and leadership fundamentals

Because culture and leadership are, according to Edgar H. Schein “two sides of the same coin and cannot understand one without the other” we have to be in charge and focused to intentionally, constructively, and creatively manage their interdependence.

He also states that culture matters because it is a “powerful, tacit, and often unconscious set of forces that determine both our individual and collective behaviors, ways of perceiving, thought patterns, and values”.

If we do not intentionally and strategically take charge, focus, and leverage these forces, we will simply always be at the effect of them, as they take us down the path of least resistance, remain implicit, and will not deliver the results we want and need in a disruptive world.

Sharing the key messages

My mind then wandered and considered what might be the key messages being communicated by this incredible series of marvelous events, and wondered how relevant and engaging they might be to people today:

  • A coronation signals the conferment of God’s grace upon a ruler,
  • A coronation appoints the king as the Supreme Governor of the Church of England,
  • A coronation is a joyous and celebratory event.

Back to the SMH “The people got what they wanted. The cheers in the Mall, the boulevard built for the adoration of royalty, were real, even if the masses were down on those for the Queen’s Jubilee.”

Impacting the future

It remains to be seen if this powerful, majestic, memorable, and significant once-in-a-lifetime ceremonial event will ultimately help unify or divide the English realm. Which it seems, is facing its own range of unique challenges and a controversial cultural tipping point, ultimately and seriously impacting its future viability.

Back to the SMH “But Charles’s big show might be his last great day. The last dance of a wheeling, brilliant circus that has entertained and beguiled but which soon enough, in its distant realms, will stutter and shrink and reel no more.”

Why does this matter?

This matters today because we are individually, and collectively at a range of social, civic, and organizational cultural tipping points.

Where our organization and leaders are also dancing many of our “last dances”, and “stutter and shrink and reel nor more” because, according to some, we are not strategically focussed on leveraging the culture and leadership basics:

  • Implicitly clarifying values that focus on delivering value that improves the quality of people’s lives that they appreciate and cherish and explicitly making them an active part of corporate life.
  • Ensuring that leaders role model and enact behaviors that demonstrate the values in action, where people are accountable and rewarded by rigorous systems and supportive disciplined, and agile processes.
  • Co-creating powerful sets of rituals, symbols, and artifacts, aligned to the values, that deliver the “new architectures” to create permission, safety, and trust that drive collaborationexperimentation, innovation, inclusion, and sustainability.
  • Communicating engaging and inclusive messages that resonate creativity, respect, and appreciation for people, profit, and the planet.

Shifting the organizational cultural tipping points

It’s time to transform leadership to transform organizations, in ways that are self-aware and inspiring, meaningful and purposeful, equitable and sustainable, with increasing speed, resilience, and efficiency to guide organizational cultures and leadership that:

  • Helps people navigate and balance in-person and remote work, be mentally healthy and well, and make the way for both applied AI and human skills development.
  • Develops new rules for attracting and retaining people, close the capability chasm and walk the talent tightropes to better equip, empower and harness people’s harness collective intelligence to make both the organization and the world better places.
  • Creates, invents, and innovates new ways of thinking, and acting that ultimately shift the range of cultural tipping points to meet new sets of global, societal, and organizational demands and challenges emerging in the 21st century, and lets go of what is no longer relevant to better serve humanity as a whole.

Find out more about our work at ImagineNation™

Find out about our collective, learning products and tools, including The Coach for Innovators, Leaders, and Teams Certified Program, presented by Janet Sernack, is a collaborative, intimate, and deeply personalized innovation coaching and learning program, supported by a global group of peers over 9-weeks, which can be customised as a bespoke corporate learning program.

It is a blended and transformational change and learning program that will give you a deep understanding of the language, principles, and applications of an ecosystem focus, human-centric approach, and emergent structure (Theory U) to innovation, and upskill people and teams and develop their future fitness, within your unique innovation context. Find out more about our products and tools.

Image Credit: Pixabay

Subscribe to Human-Centered Change & Innovation WeeklySign up here to join 17,000+ leaders getting Human-Centered Change & Innovation Weekly delivered to their inbox every week.

Cultural Change Management: Strategies for Success

Cultural Change Management: Strategies for Success

GUEST POST from Art Inteligencia

In today’s dynamic business environment, organizations often face the need for cultural change to stay competitive and adapt to new market demands. Cultural change management refers to the structured approach and strategies employed by leaders to facilitate successful transformations within an organization’s culture. This article aims to explore effective strategies for cultural change management by presenting two case studies that exemplify successful cultural change initiatives.

Case Study 1 – IBM

IBM, a technology giant, embarked on a significant cultural change management initiative in the 1990s. At the time, the company was facing multiple challenges, including a rigid hierarchy and siloed departments that hindered collaboration. Recognizing the need for change, IBM’s CEO, Lou Gerstner, implemented several strategies:

1. Clear Vision and Communication: Gerstner articulated a clear vision for IBM’s future as a client-focused, solutions-driven company. He communicated this vision extensively to employees, shareholders, and customers, ensuring a unified understanding of the desired cultural transformation.

2. Training and Development: IBM invested heavily in training and development programs to equip employees with the necessary skills to adapt to the changing landscape. The company developed educational programs, such as the “e-business Institute,” which provided training in emerging technologies and client-oriented practices.

3. Collaborative Decision-Making: IBM fostered a culture of collaboration and inclusiveness by involving employees at all levels in decision-making processes. Initiatives such as “World Jam,” an online brainstorming platform, enabled employees worldwide to share ideas and engage in dialogue, breaking down silos and promoting a sense of ownership.

4. Recognizing and Celebrating Success: IBM acknowledged and celebrated the achievements of individuals and teams who embraced the cultural change. This recognition fostered a positive environment, encouraging others to embrace the desired behaviors.

The successful implementation of these strategies led to a cultural shift at IBM, transforming the company from a hardware-focused business to a global technology and consulting leader.

Case Study 2 – Zappos

Zappos, an online retailer renowned for its exceptional customer service, underwent a cultural change management initiative to maintain its strong organizational culture during rapid growth. In 2013, the company implemented a managerial framework called “Holacracy” to enhance employee empowerment, autonomy, and decision-making.

1. Holacracy Implementation: Zappos introduced Holacracy, a non-hierarchical management approach that aimed to distribute authority and decision-making throughout the organization. The framework emphasized self-organization, accountability, and transparency. Employees were grouped into self-governing roles and circles, allowing greater flexibility and adaptability.

2. Employee Involvement: Zappos actively involved employees in the implementation of Holacracy by encouraging their input and soliciting feedback. The company recognized the importance of engaging employees in the change process and allowing them to shape their own work environment.

3. Continuous Learning: Zappos placed a strong emphasis on providing training and support to help employees understand and adapt to the new management framework. Regular workshops, mentoring programs, and knowledge-sharing initiatives were conducted to nurture a learning culture.

4. Respecting Core Values: Throughout the cultural change, Zappos remained committed to its core values of delivering exceptional customer service and maintaining a positive, supportive company culture. This consistent focus on values helped anchor the change within a familiar framework.

Zappos’ cultural change management efforts based on Holacracy resulted in increased employee engagement, operational efficiency, and innovation.

Conclusion

Cultural change management requires a holistic and strategic approach tailored to an organization’s specific needs. The case studies of IBM and Zappos showcase successful strategies, including clear vision and communication, training and development, employee involvement, and upholding core values. These strategies, when implemented effectively, foster a positive cultural shift and enable organizations to thrive amidst change. By embracing cultural change management, companies can remain adaptable, innovative, and ready to meet the challenges of the ever-evolving business landscape.

Image credit: Pixabay

Subscribe to Human-Centered Change & Innovation WeeklySign up here to get Human-Centered Change & Innovation Weekly delivered to your inbox every week.






The Role of Change Management in Corporate Culture Change

The Role of Change Management in Corporate Culture Change

GUEST POST from Art Inteligencia

Corporate culture is a set of shared values, beliefs, and attitudes that guide how an organization operates and interacts with its employees, customers, and partners. As companies grow and evolve, their culture often needs to change in order to stay relevant and competitive. Change management is a process used to help organizations successfully transition from one state to another. It includes activities such as identifying the need for change, outlining goals and objectives, planning and implementing the change, and monitoring and evaluating the results. Change management plays an important role in corporate culture change, as it helps ensure that the desired changes are made in a smooth and efficient manner.

Case Study 1: Airbnb

Airbnb is a popular home-sharing platform that has experienced tremendous growth over the past decade. As the company expanded, its culture and values needed to evolve in order to keep up with the changing business environment. To facilitate this change, Airbnb implemented a comprehensive change management program. This included engaging stakeholders, communicating the need for change, and providing employees with training and support. Additionally, the company created a set of core values that serve as the foundation for all of its decisions. These values include being open and honest, being a host of trust, and creating a sense of belonging. By taking the time to ensure that all stakeholders were on board with the transition, Airbnb was able to successfully transform its culture and continue to grow and thrive.

Case Study 2: Microsoft

Microsoft is a global technology giant that is constantly innovating and adapting to the changing business environment. In recent years, the company has made a concerted effort to shift its corporate culture from one that was focused on competition and individual achievement to one that emphasizes collaboration and team work. To facilitate this transition, Microsoft implemented a comprehensive change management program. This included engaging stakeholders, providing employees with training and support, and communicating the need for change. Additionally, the company created a set of core values that serve as the foundation for all of its decisions. These values include being passionate, having a growth mindset, and embracing diversity. Through its change management program, Microsoft was able to successfully transform its culture and continue to be a leader in the technology industry.

Conclusion

Change management plays an important role in corporate culture change. By engaging stakeholders, communicating the need for change, and providing employees with training and support, organizations can successfully transition from one state to another in a smooth and efficient manner. This is exemplified by the case studies of Airbnb and Microsoft, who both implemented comprehensive change management programs in order to successfully transform their cultures and remain competitive in their respective industries.

Image credit: Pexels

Subscribe to Human-Centered Change & Innovation WeeklySign up here to get Human-Centered Change & Innovation Weekly delivered to your inbox every week.