The waves of change consist of
I. First Wave – Agricultural age: The societal and cultural triumph over hunting and gathering. Leaders were viewed as hero and masters of nature. Uncertainty is caused by nature or the environment. The agricultural age is defined by
v The control of land and the agricultural products became the primary sources of wealth, privilege, and prestige in society.
v Surplus crops were traded for other goods and products.
v Development of a monetary based economy and specialization of work.
v The economically strong (controllers of land and water) dominated and suppressed the weaker nations and controlled the economy.
v Emergence of social classes and the rise of entitled nobility.
* The explosion of pent up human creativity, the challenging of old ways and thoughts lead to the beginning of scientific thought and the start of the second wave (The 4th change wave, 2004).*
II. Second Wave – Industrial age: Emphasizing the nuclear family, synchronization, mass-production, mass-education, mass-everything, and mass-anything. Leaders were viewed as executives and masters of machines. Futile attempts to eliminate or reduce uncertainty through the application of structure, controls, rules, and procedures. This age was defined by
v Development of a large amount of paying consumers.
v Beginning of fixed discoverable and governing laws for society. Impersonal rules, regulations, and the rigidity of a mechanical universe ruled this age.
v Wealth and power shifted to those who controlled the means of mass producing products and the supply of the raw materials needed to manufacture these goods.
* The speed of transportation continued to increase and global travel was cost effective for many types of business. The invention of vacuum tubes and the electronic circuit lead to the creation of computers. This provided the necessary technology to mark the beginning of the third wave (The 4th change wave, 2004).*
III. Third Wave – Information or Knowledge age: Emphasis is on networks, which lead to the destruction of hierarchal structures and de-massification. The concept of a one-size fits all is no longer a valid assumption or belief. Leaders were viewed as networkers and masters of information by making knowledge productive. Uncertainty was created by lack of leadership. The third wave was defined by
v Information replacing physical forms of power and means of growth.
v Wealth shifts toward those who control information and knowledge in an organized form.
v The creation of socially value products instead of physical goods.
v Service products surpass products as the major economic power generator.
v The gap of wealth between knowledge based societies and agricultural/industrial (third world countries) widens.
v Production capacity has out stripped consumer demand of physical products.
* Continued release of pent up religious emotions and differences in opinions become more prevalent and pronounced, which leads to heated debates and religious wars. The growing concern over world wide poverty and concerns of the environment leads to corporate global stewardship. A revival and realization the power of knowledge and that knowledge is non-adversarial. The more people that consume knowledge, then the more powerful that knowledge becomes. The greater number consuming the knowledge results in the generation of more knowledge and the development of wisdom. Use of knowledge does not diminish it (The 4th change wave, 2004).*
IV. Fourth Wave – Judgment or Wisdom age: Emphasis is the accumulation of knowledge and this will be the main way people generate wealth in this age. It will be an age of judging what is true and what is untrue, what is real and what is virtual or fake. Uncertainty is accepted and embraced as a natural occurrence. Leadership will be the ability and awareness to recognize the dangers/risks and opportunities/successes that reside inherently in uncertainty.
v Life will make more demands and you will have more choices.
v Must exhibit flexibility and adaptability to survive and grow.
v Must embrace and feel comfortable with instability, chaos, change, and surprise.
v There are six adversary criteria that allows us to judge truth and untruth. These criteria are consensus, consistency, authority, revelation, durability, and science.
v Society shifts from the emphasis on information to imagination.
v Storytellers, coached, and mentors are rewarded more than leaders.
v Experiences and wisdom is more valuable than goods and services.
v Integration of principles (values, beliefs, and ethics) into the growing concern for the environment, personal integrity, and spiritual values.
v The melding or convergence of biology, information technology, knowledge systems, and business.
v Endless desire to mimic nature and the evolution patterns.
v The world operates at higher levels of complexity, ambiguity, unpredictability, and chaos.
Must have the ability to adapt to the evolving environment.
v Must be able to develop an awareness to believe what you see and observe instead of seeing only what you believe.
v Solutions reside in the simplicity of the complexity of the problems and issues.
v The fears and dangers are
o The impact of high technology on human connections.
o Not acknowledging the addictions and the consequences of technology’s ability to satisfy the quick fix.
o Worshipping of technology.
o Blurring or the inability to recognize what is real, fake, or virtual.
o Life void of human interaction.
*Leadership in the fourth wave will be like riding a bull. The actions and reactions of the bull are uncertain and can not be controlled, though some will try. To be successful, the rider must embrace the reality of uncertainty and careful ride and hold on for a set period of time. The only power is the power of sound judgment and decision making of when you choose to jump off and ride another bull (Gray and Otte, 2006).*
**Future markets and the fifth wave emergence will be due to the pent up need for togetherness, caring for others, being cared for, and human interactions. Stewardship becomes important after many years of avoiding human interactions and selfish acts against others. There will be the desire to display our personal conviction in peace and have our feeling and emotions safe and secure (The 4th change wave, 2004).**
The main points of interest that relate to Vantage MBA graduates and their impact to the post graduates are
v Due to the rate of change increasing, the actual skills taught or what is learned is obsolete by the time this knowledge is applied.
v Spending too much time gathering data and information that is obsolete before it becomes knowledge.
v There is an enormous amount of obsolete knowledge residing in our heads, books, culture, and databases.
v We are drowning in our own obsolescence and making big and personal decisions all based on irrelevant information.
v Important public and political decisions are based on aged knowledge of yesteryear that has no bearing on the present or future impact of the decisions.
v The continual upheaval of our social, political, and cultural institutions of values and beliefs will take place with the pace of change continuing to quicken. This is created by
o Fear of cloning
o Impact of virtual reality
o Continued emphasis on sculpting out niche markets
o Information overload
o The never ending product customization
o Spread of loneliness, due to increased reliance on technology
o Rise of religion and pent up hostility of religious factions
o The continued “Externalization of labor costs” (ATMs instead of inside bank teller, scanning your own groceries, shopping via the internet, etc.).
o Continued emphasis on insourcing where new technologies permit activities outside of the money economy. Channeling deeper inside the prosumer part of our wealth system.
o The prosumer costs and benefits are ignored and go unnoticed by our changing economy, which leads to consequences of these activities.
v The obsolesce of law, government, and politics due to technology and knowledge sharing moving many times the rate that government can react. Companies and consumers will adapt/evolve before societal governments react and address the behavior/activity/action.
v The de-synchronization of America’s institution and possible collapse in our economy and infrastructure.
v The mistake of society trying to slow down technological development instead of speeding up the necessary organizational changes.
v Growing intangibility of wealth and importance of knowledge and redefining capitalism.
v The convergence and inevitable clashes of the 1st, 2nd, 3rd, and 4th wave societies and cultures of the global economy. There will be a push to remove and eliminate cast systems or different classes of people.
v Continued movement of the USA from a land, labor, and capital of manufacturing based system to one of knowledge. Knowledge based wealth is infinite, unlike physical resources. The value of knowledge increases in value and benefits with wider circulation and acceptance of this knowledge.
Leveraging the 4th Wave as a recent Vantage MBA graduate
The judgment age will be a period of wide spread globalization and the melding of science, nature, economics and leadership. There are five regions of the future that are important to focus, because this will be a period of solutions and not just short-term results. The convergence of science, nature, and business results in the develop of these five views and consist of
Super tech is the super abundance of scientific and technological solutions.
Limits tech is based on scarcity, the need to work to survive, and the realization that nature knows best.
Local tech assumes that there are enough resources for everyone in the world.
Nature tech assumes that nature can meet all of humanities needs and that the solutions to critical problems reside in the secrets of nature.
Human tech conceptualizes that humanities real needs are not material or physical. Our principles, values, and beliefs drive our thinking and actions.
The sciences of genetics, robotics, nanotechnology, and information technology are tools to assist in the gaining of knowledge and information. Evolution of society is rapidly progressing and past or present information will not be an accurate guide to the future. The Vantage MBA graduate must
v Stop thinking and expressing in terms of either/or and start using both/and to develop the necessary flexible thinking.
v The future demands will require the use of your entire brain and the ability to learn is critical to future success.
v Innovational leadership will be the ability to understand radical and disruptive change, figure out what these changes mean (opportunities, risks, consequences, etc.), and then leveraging to your advantage.
v Wisdom will be the ability to integrate science, ecological, and economic discoveries, which contributes to leading through change and capitalizing on opportunities.
v Mastering the navigation through uncertainty and conflict and willfully engaging in coaching activities.
v Ability to shift back and forth between the big picture and the narrow details of issues, which allows one to address local, national, and global issue simultaneously.
v Leading by doing the right things as well as completing activities correctly and focusing on building relational networks.
v Focused leadership will be the effective application of knowledge, experience, and opportunity in the pursuit of optimal success.
v Mastery of judgment/wisdom will be the ability to make well reasoned choices from existing, possible, and future opportunities. Decision making is based on experience, values, principles, beliefs, and knowledge while voiding out assumptions, bias, self servicing agendas, and prejudices.
v Recognizing that the power of the internet and information technology obsolete present financial indicators that measure success of new age companies.
v Knowledge and experience is highly transportable and recognition of the real value of humans over machines is beginning.
v Future measures of success will be intangible and more behavioral than quantitative. The measurement will be the superior ability to execute. It will be the executable application of knowledge and experience into action that will define success.
v Sound judgment skills will be a highly sort after skill and will be how organizations will assess ones success and future potential. Current society and organizations are plagued by the leader’s inability to have good judgment. Poor judgment signs include poor decision making, inability to see the big picture, poor customer service, missing the implications of actions, failure to see or admit mistakes, and refusal to learn from mistakes.
v Guard against ethical malfeasance, which includes decision making for personal self gain at the expense of others. This will not be tolerated in this age.
v Values, beliefs, principles at an individual and organizational level will define ones ability to have sound judgment skills. The quality and soundness of the judgment will be based on the character of the individual.
v Judgments reflect your ideals. Employees will begin to select organizations that share their values, will leave organizations that conflict with their principles, and the importance of ethical concerns will become dominate.
v Endless pursuit of the perfect decision is not possible and leads to decisions that are not timely and results in loss of valuable opportunities.
v Organization need to become “large families” with shared values, beliefs, and principles. The focus will be on relationships and relationships will be defined as the pursuit of achieving positive goals.
v Leadership will be about taking on obligations for people, to develop them, and treat them like a colleague.
v Conflicts and embattlement will occur between the entrenched 2nd wave management values of structure, control, power, blame/fault finding, and superior/subordinate and the 4th wave values of relationship building and decentralized thinking (Gray and Otte, 2006).
References
Leading and managing closure. (2006). Boston, MA: McGraw-Hill Custom Publishing.
Franklin University. (2004). The 4th change wave.
Franklin University. (2004). Leveraging the 4th wave.
Gray, A. and Otte, P. (2006). The conflicted leader and vantage leadership. Columbus, OH: Franklin University Press.
Toffler, A. and Toffler, H. (2006). Revolutionary wealth. Knopf, a division of Random House.
Tuesday, July 24, 2007
Thursday, July 12, 2007
MBA 765 - Relections on Module 4
How may the implementation of action steps differ in the closure stage from the prior stages?
Implementation during closure usually includes an organizational change in culture and leadership. Additionally, the leader will be attempting to shake everyone up in order to revive them and get them excited. During implementation, communication and open dialogue will be critical in this stage. The previous stages that required implementation had new and excited personnel. The leader was trying to keep them focused and limit the chaos and uncertainty of entering uncharted waters. Communication was important, but it is critical in the closure stage. Change is disrupting to most people and even more on an organization. People will want to know what is going on, why this is happening, are we going to lose our jobs, etc. If the leader does not communicate effectively, timely, and openly, then people will make up their stories and start leaving the organization. Talent leaving the organization would be devastating. Also the leader must think about the trust factor.
What types of personal and professional risks do leaders run into while attempting to complete the closure process?
The risks are not remaining objective and getting too emotionally involved in the closure process. This could lead to depression and lose of all motivation to complete the task at hand. The other danger/risk is how the leader implements and completes the closure is how the leader will be viewed by workers, the community, and other leaders. It is important that the leader looks at all of the stakeholders and their perspectives in order to sculpt out the best strategy for closure.
What type of closure implementation activity would you find to be the most personally difficult? Why?
I would find shutting down a business the most difficult activity to engage in. Shutting the doors on a facility would displace employees and I would feel powerless to help them. At least with bankruptcy the business is on life support and there is chance to save the business.
In what ways might the closure stage actually not be final?
Acquisition, mergers, and definitely IPO really mark closure with a new beginning for the organization. So closure would not really be final. Also there are times where the closure strategy would never enter into completion, due to plans falling through.
Should particular kinds of stakeholders be given priority in obtaining the remaining organizational assets? Why?
I would say no, but legally certain stakeholders are given priority over others. Typically the lien holder get their money up front. These include the banks and bond holders. The common share stockholders typically do not receive any funds after a company goes bankrupt or out of business. During takeover and mergers everyone is typically taken care of, but I suspect some stakeholders are given priority over others. The remaining assets should be equally distributed to all of the stakeholders that invested money and time with the organization. But many times powerful stakeholders with selfish and self gaining agendas dominate the decision making processes.
Implementation during closure usually includes an organizational change in culture and leadership. Additionally, the leader will be attempting to shake everyone up in order to revive them and get them excited. During implementation, communication and open dialogue will be critical in this stage. The previous stages that required implementation had new and excited personnel. The leader was trying to keep them focused and limit the chaos and uncertainty of entering uncharted waters. Communication was important, but it is critical in the closure stage. Change is disrupting to most people and even more on an organization. People will want to know what is going on, why this is happening, are we going to lose our jobs, etc. If the leader does not communicate effectively, timely, and openly, then people will make up their stories and start leaving the organization. Talent leaving the organization would be devastating. Also the leader must think about the trust factor.
What types of personal and professional risks do leaders run into while attempting to complete the closure process?
The risks are not remaining objective and getting too emotionally involved in the closure process. This could lead to depression and lose of all motivation to complete the task at hand. The other danger/risk is how the leader implements and completes the closure is how the leader will be viewed by workers, the community, and other leaders. It is important that the leader looks at all of the stakeholders and their perspectives in order to sculpt out the best strategy for closure.
What type of closure implementation activity would you find to be the most personally difficult? Why?
I would find shutting down a business the most difficult activity to engage in. Shutting the doors on a facility would displace employees and I would feel powerless to help them. At least with bankruptcy the business is on life support and there is chance to save the business.
In what ways might the closure stage actually not be final?
Acquisition, mergers, and definitely IPO really mark closure with a new beginning for the organization. So closure would not really be final. Also there are times where the closure strategy would never enter into completion, due to plans falling through.
Should particular kinds of stakeholders be given priority in obtaining the remaining organizational assets? Why?
I would say no, but legally certain stakeholders are given priority over others. Typically the lien holder get their money up front. These include the banks and bond holders. The common share stockholders typically do not receive any funds after a company goes bankrupt or out of business. During takeover and mergers everyone is typically taken care of, but I suspect some stakeholders are given priority over others. The remaining assets should be equally distributed to all of the stakeholders that invested money and time with the organization. But many times powerful stakeholders with selfish and self gaining agendas dominate the decision making processes.
Tuesday, July 3, 2007
MBA 765 - Reflections on Module 3
When choosing the best option for organizational closure, what categories of selection criteria seem particularly important to employ?
Reason and purpose for closure
Financial condition of the organization
Lifecycle stage of the business
Organizational structure of the company
Present condition of market environment and future projections of the market
Where would you look for possible organizational closure strategies?
Looking internally and externally, among all of the stakeholders will help one decide on the best closure strategy. The other places include the balance sheet, income statement, cashflow statements, and P&L statement. Other places are to look at the changing market environments as well as emerging markets.
Has the organization lost its way in terms of competitive advantages, vision, and mission? Has the company diversified too much and into businesses that do match their core competencies.
What are the dangers involved with identifying and selecting among closure options?
The obvious ones are the bias and prejudices of the leaders or consultants used in the decision making. Must be careful to list all the pros and cons after the true purpose of closure has been revealed in order to ensure it is the best way. Additionally, consultants, etc. may have hidden agendas or incentives that lead the organization down the wrong path.
Selecting the best closure option should attempt to ensure a win-win for all of the stakeholders and not just monetary gains for a few. One must be watchful for greed creeping into the decision making process.
What emotions are likely to surface during the process of identifying and choosing among options?
Assuming that the decision makers are the founders and close to the business being decided for closure, emotions will run high. Emotions will include worthlessness (for a failed business), fear, greed, guilt, emptiness, frustration, denial, anxiety, excited, optimist, secure, strong, empowered, and various other feelings - depending on the circumstances.
How would you deal with them?
The best way to deal with them is to first acknowledge each and every one of the emotions. Break them down to as why you feel the way you feel. Objectively looking at why these emotions are coming out may help you find the true reason or purpose for closure. Acknowledging them will also help you see the closure all the way through - execution and great follow through.
All of this will help you consul others on the management team, employees, and all other stakeholders.
Reason and purpose for closure
Financial condition of the organization
Lifecycle stage of the business
Organizational structure of the company
Present condition of market environment and future projections of the market
Where would you look for possible organizational closure strategies?
Looking internally and externally, among all of the stakeholders will help one decide on the best closure strategy. The other places include the balance sheet, income statement, cashflow statements, and P&L statement. Other places are to look at the changing market environments as well as emerging markets.
Has the organization lost its way in terms of competitive advantages, vision, and mission? Has the company diversified too much and into businesses that do match their core competencies.
What are the dangers involved with identifying and selecting among closure options?
The obvious ones are the bias and prejudices of the leaders or consultants used in the decision making. Must be careful to list all the pros and cons after the true purpose of closure has been revealed in order to ensure it is the best way. Additionally, consultants, etc. may have hidden agendas or incentives that lead the organization down the wrong path.
Selecting the best closure option should attempt to ensure a win-win for all of the stakeholders and not just monetary gains for a few. One must be watchful for greed creeping into the decision making process.
What emotions are likely to surface during the process of identifying and choosing among options?
Assuming that the decision makers are the founders and close to the business being decided for closure, emotions will run high. Emotions will include worthlessness (for a failed business), fear, greed, guilt, emptiness, frustration, denial, anxiety, excited, optimist, secure, strong, empowered, and various other feelings - depending on the circumstances.
How would you deal with them?
The best way to deal with them is to first acknowledge each and every one of the emotions. Break them down to as why you feel the way you feel. Objectively looking at why these emotions are coming out may help you find the true reason or purpose for closure. Acknowledging them will also help you see the closure all the way through - execution and great follow through.
All of this will help you consul others on the management team, employees, and all other stakeholders.
Friday, June 29, 2007
MBA 765 - Reflections on Module 2
What are some of the most critical decisions leaders must make during the closure stage of the organizational lifecycle?
The leader must keep everything in perceptive for the sake of the company and the employees. Critical decisions include whether to revive the company, merge or become acquired by another company, to shut down and liquidate, or file bankruptcy.
Other decisions are how open should the leader be to the employees and other stakeholder in times of decline. This depends mainly on the trust between the leadership and the stakeholders. Open dialogue is a good way to open up the communication channels. The leader must ensure that the culture of the company does not become overly politicized and fiefdoms do not spring up within the company.
The leader must also identify what is causing the decline of the company. Once these have been identified through scoping out the emerging trends and the current as well as the future market place, the leader must decide how to attack these issues. The leader must also be able to understand what organizational pathologies plague the company and decide how to restore trust and creditability.
Under what conditions do rational logical decision making methods appear to work best?
These methods work well when the problem or dilemma is complex and inputs from various stakeholders are needed to make the final decision. The rational logical allows all of the facts to be gathered and critical questions asked about the facts, assumptions made, and possible solutions. These methods allows everyone to be heard and facilitates creative and innovations solutions to be discovered through open dialogue.
Under what circumstances do more intuitive approaches work best?
Intuitive approached work best when there are not many facts. This deals with the uncertainty and chaos of the future and how to react to it. This is also useful when a decision must be made quickly with a limited amount of information. The decisions are best guesses and reactions to the market environments. They are based on trends and patterns that have been identified.
Leaders that are attuned to emerging trends and the uncertainties in the markets can use this approach to seize opportunities that other wise would go undetected by the organization. The dangers are making decisions too quick and with emotion or bias. This may lead to not making the best decision or choice.
Which of the tools presented in the module has a particular appeal to you? Why?
The six facet approach seems to be the best tool for complex decisions. It allows one to drill down to what the facts, assumptions, bias, and solutions are in order to make the best decision. This tool allows a combination of rational logical and intuitive approaches to be used.
The regression equation and decisional balance tool would probably be good to use with intuitive approaches, since the pros and cons need to be reviewed.
How might you apply the tools presented during the module to a situation that you are now facing at work?
Cause and effect tools are used more on the manufacturing floor than any other tool. Problems are common and repetitive in nature. Additionally, most people are not worried about the real root cause of the problem. All they want to happen is trouble shoot the problem and have it go away, so they can get their job done before they go home. The six facet approach should be used for complex and repetitive problems, so a long-term solution can be found for the issues at hand.
Applying the six facet approach at work would take a team effort and the tackling of long standing and complex problems that have plagued the company. This would require cross-functional teams and rules to allow everyone to be heard and listened to by everyone. Open dialogue leads to great solutions, because every perspective is covered, assuming representation from all departments are included in the team. The intent is not for any one person to be right and every else wrong, but the stimulation of creative solutions from the free flowing of conversation.
At home?
Most of the problems are going to be simple and quick to solve - so cause and effect. Others are more complex and are decisional on which direction to go based on several scenarios, so the decisional balance sheet tool would work well. The six facet approach would also work at home, but would have to be a complex problems where a life changing solution must be arrived at.
The leader must keep everything in perceptive for the sake of the company and the employees. Critical decisions include whether to revive the company, merge or become acquired by another company, to shut down and liquidate, or file bankruptcy.
Other decisions are how open should the leader be to the employees and other stakeholder in times of decline. This depends mainly on the trust between the leadership and the stakeholders. Open dialogue is a good way to open up the communication channels. The leader must ensure that the culture of the company does not become overly politicized and fiefdoms do not spring up within the company.
The leader must also identify what is causing the decline of the company. Once these have been identified through scoping out the emerging trends and the current as well as the future market place, the leader must decide how to attack these issues. The leader must also be able to understand what organizational pathologies plague the company and decide how to restore trust and creditability.
Under what conditions do rational logical decision making methods appear to work best?
These methods work well when the problem or dilemma is complex and inputs from various stakeholders are needed to make the final decision. The rational logical allows all of the facts to be gathered and critical questions asked about the facts, assumptions made, and possible solutions. These methods allows everyone to be heard and facilitates creative and innovations solutions to be discovered through open dialogue.
Under what circumstances do more intuitive approaches work best?
Intuitive approached work best when there are not many facts. This deals with the uncertainty and chaos of the future and how to react to it. This is also useful when a decision must be made quickly with a limited amount of information. The decisions are best guesses and reactions to the market environments. They are based on trends and patterns that have been identified.
Leaders that are attuned to emerging trends and the uncertainties in the markets can use this approach to seize opportunities that other wise would go undetected by the organization. The dangers are making decisions too quick and with emotion or bias. This may lead to not making the best decision or choice.
Which of the tools presented in the module has a particular appeal to you? Why?
The six facet approach seems to be the best tool for complex decisions. It allows one to drill down to what the facts, assumptions, bias, and solutions are in order to make the best decision. This tool allows a combination of rational logical and intuitive approaches to be used.
The regression equation and decisional balance tool would probably be good to use with intuitive approaches, since the pros and cons need to be reviewed.
How might you apply the tools presented during the module to a situation that you are now facing at work?
Cause and effect tools are used more on the manufacturing floor than any other tool. Problems are common and repetitive in nature. Additionally, most people are not worried about the real root cause of the problem. All they want to happen is trouble shoot the problem and have it go away, so they can get their job done before they go home. The six facet approach should be used for complex and repetitive problems, so a long-term solution can be found for the issues at hand.
Applying the six facet approach at work would take a team effort and the tackling of long standing and complex problems that have plagued the company. This would require cross-functional teams and rules to allow everyone to be heard and listened to by everyone. Open dialogue leads to great solutions, because every perspective is covered, assuming representation from all departments are included in the team. The intent is not for any one person to be right and every else wrong, but the stimulation of creative solutions from the free flowing of conversation.
At home?
Most of the problems are going to be simple and quick to solve - so cause and effect. Others are more complex and are decisional on which direction to go based on several scenarios, so the decisional balance sheet tool would work well. The six facet approach would also work at home, but would have to be a complex problems where a life changing solution must be arrived at.
Monday, June 25, 2007
MBA 765 - Reflections on Module 1
What appears to unique about the closure stage of the organizational lifecycle?
The closure stage is about the leadership of a company waking up out of their hubris dream and having to face reality. Companies start to re-invent themselves and create a winning culture. It appears, based on the reading assignments, new leadership must be brought in during this stage and maybe even a new board of directors.
What closure stage issues appear to warrant particular attention from company leaders?
Addressing and getting rid of all of the organizational pathologies. This is necessary for the company to become successful again and for the employees to regain their motivation - also allows respect to be built.
What critical ethical issues need to be dealt with at this stage?
The leader must allows weigh the economic and social consequences of a decision. The leader is typically torn between maximizing the profit and increasing shareholder value and doing what is morally right for the other stakeholder and the environment.
This stage is about exploring the company's values and standards for doing business. Looking to see if the current ethical standards have strayed from these values and beliefs. Have the employees started to take the moral high ground and become righteous and devoid of any action.
How might I creatively express what I have learned in the MBA program to an audience of my peers?
I have learned that leadership is the most important skill a person can continually develop. As we enter deeper into the knowledge wave, people and their experience will be very valuable. Present and future leadership needs to exploit every employees knowledge through effective communication channels. Also the leader needs to continually explore the global markets for continued success and a means to stretch the employees' knowledge. Continually challenging the workforce and using education, mentoring, and coaching will sustain a company.
Many companies have leaders of the industrial age and no ability to think or manage pass this wave. The MBA have taught me that open dialogue and communication, especially bottom - up is very important. It helps to stop denial and hubris. Arrogance and "boss mentality" still dominate the styles of today.
The closure stage is about the leadership of a company waking up out of their hubris dream and having to face reality. Companies start to re-invent themselves and create a winning culture. It appears, based on the reading assignments, new leadership must be brought in during this stage and maybe even a new board of directors.
What closure stage issues appear to warrant particular attention from company leaders?
Addressing and getting rid of all of the organizational pathologies. This is necessary for the company to become successful again and for the employees to regain their motivation - also allows respect to be built.
What critical ethical issues need to be dealt with at this stage?
The leader must allows weigh the economic and social consequences of a decision. The leader is typically torn between maximizing the profit and increasing shareholder value and doing what is morally right for the other stakeholder and the environment.
This stage is about exploring the company's values and standards for doing business. Looking to see if the current ethical standards have strayed from these values and beliefs. Have the employees started to take the moral high ground and become righteous and devoid of any action.
How might I creatively express what I have learned in the MBA program to an audience of my peers?
I have learned that leadership is the most important skill a person can continually develop. As we enter deeper into the knowledge wave, people and their experience will be very valuable. Present and future leadership needs to exploit every employees knowledge through effective communication channels. Also the leader needs to continually explore the global markets for continued success and a means to stretch the employees' knowledge. Continually challenging the workforce and using education, mentoring, and coaching will sustain a company.
Many companies have leaders of the industrial age and no ability to think or manage pass this wave. The MBA have taught me that open dialogue and communication, especially bottom - up is very important. It helps to stop denial and hubris. Arrogance and "boss mentality" still dominate the styles of today.
Monday, June 4, 2007
MBA 755 – Reflections on Module 6 Concepts.
MBA 755 – Reflections on Module 6 Concepts.
What is it that appears to make implementation of a renewal strategy so difficult?
I would say the changes that are required to implement and execute the renewal strategies successfully. People will always resist change and to diminish this resistance they need to understand why change is necessary. Using the organizational change strategies help explain the need for change to the workforce and provide communication channels for questions and concerns.
Which of the identified implementation pitfalls have you observed in your own experience with organizations?
Most of the experience deals with organizations solely using the power-coercive change strategies coupled with no reward or incentive system in place. Renewal occurs through strong arming and micromanaging the process. Continually monitoring the renewal through herding the workforce leads to short-term gains. Cultural change evolves to the rewarded behavior of pay for hours worked and not performance. This all leads to poor implementation and execution of corporate goals and strategies. The other part of this is all of the secrecy of what the goals, objectives, and strategies really are? Poor or no communication just leads to the workforce putting their hours in - tolling around completing tasks that may or may not help or contribute to the bottom line.
How did the pitfalls impact the overall outcome of the change implementation?
Most of the change is in new product lines and the core processes really do not have to change. This is not to mean that core processes do not need to change, but it will not occur with the sole use of power-coercive change strategies. After the focus of top management has been given to another priority - the workers all go back to the status quo. There is never any real commitment from the work force for success. They are only there to do as little as possible to get their time in - just being paid for physically being there.
What elements of the implementation process seem particularly relevant to your own experience?
Communication and education of the workforce. Many companies claim "open door" policies, but in practise it does not exist. To have strong and sustainable implementation processes, an organization must have open dialogue and sharing of ideas and concerns. Most companies' management team do not take the time to listen and interact with the workers actually carrying out the implementation. The workforce must not only understand why the renewal change is necessary but exactly how they are going to get there and they must have the ability to be heard and give input.
How does communication fit into implementation planning?
Communication is the major tool needed in the implementation planning process. Without it the plan will fail or not be sustainable. The workforce needs to be fully committed through total buy in of the need to change and communication is the only way to get there.
Which aspects of change theory seem particularly useful during renewal implementation? Why do you think so?
The informational and educational strategies are useful for the successful implementation and execution of renewal strategies. The more a company has to re-invent itself or cultural change to meet the evolving market environment the more important they are needed. Long-term and sustainable change will only occur if people understand why they must change and then educated so they have the tools to actually change. People do not respond to threats - threats only build up resentment, which will hurt a company in the long term.
What could you do differently as a result of your learning in implementing a change in your own organization?
Continually educate my department and keep them as informed as I can. Showing them how and why to communicate will help the overall quality of work performed by the department. I t also builds a strong team, one that is willing and able to help their fellow workers as well as other employees outside of their department. It allows me to align them toward what I think the corporate goals are so the bottom line is positively impacted.
Team's experience with the Mike's Bikes simulation during this courses in your learning journal blog:
What strategy did your team decide to adopt during the renewal stage of the simulation?
Our team, Firm 2, decided to launch the BMX bike and stay in the additional five bike segments - for a total of 6 bike segments. All of the teams appears to stay in all 6 segments. We chose to enhance two bikes, Adventurer and Kids, in order to stay within the customer design preferences and lower the prime cost. This was moderately successful.
How did the strategy work?
It worked moderately successful. Part of the problem was incorrectly pricing the BMX at launch, which may have hurt us throughout the simulation.
What concepts from the course did you see reflected in the game play?
Renewal is more than just launching new products or modifying them. It is about reinventing the company and the company's culture to address changes in the market. Strategic planning on how customers will react to the changes in the market and what your competition will do in reaction to your moves in the market place. Moving too far one way or another will hurt the profitability and market share of your company.
What could your team do differently if you were to play the simulation again?
One would be to price the BMX bike correctly at launch. The other would be to explore the branding aspect of the simulation more aggressively. It appears that branding may have had a dramatic effect in the later rollovers, which allow the significant cut in advertisement and PR budgets - leading to great profitability.
What is it that appears to make implementation of a renewal strategy so difficult?
I would say the changes that are required to implement and execute the renewal strategies successfully. People will always resist change and to diminish this resistance they need to understand why change is necessary. Using the organizational change strategies help explain the need for change to the workforce and provide communication channels for questions and concerns.
Which of the identified implementation pitfalls have you observed in your own experience with organizations?
Most of the experience deals with organizations solely using the power-coercive change strategies coupled with no reward or incentive system in place. Renewal occurs through strong arming and micromanaging the process. Continually monitoring the renewal through herding the workforce leads to short-term gains. Cultural change evolves to the rewarded behavior of pay for hours worked and not performance. This all leads to poor implementation and execution of corporate goals and strategies. The other part of this is all of the secrecy of what the goals, objectives, and strategies really are? Poor or no communication just leads to the workforce putting their hours in - tolling around completing tasks that may or may not help or contribute to the bottom line.
How did the pitfalls impact the overall outcome of the change implementation?
Most of the change is in new product lines and the core processes really do not have to change. This is not to mean that core processes do not need to change, but it will not occur with the sole use of power-coercive change strategies. After the focus of top management has been given to another priority - the workers all go back to the status quo. There is never any real commitment from the work force for success. They are only there to do as little as possible to get their time in - just being paid for physically being there.
What elements of the implementation process seem particularly relevant to your own experience?
Communication and education of the workforce. Many companies claim "open door" policies, but in practise it does not exist. To have strong and sustainable implementation processes, an organization must have open dialogue and sharing of ideas and concerns. Most companies' management team do not take the time to listen and interact with the workers actually carrying out the implementation. The workforce must not only understand why the renewal change is necessary but exactly how they are going to get there and they must have the ability to be heard and give input.
How does communication fit into implementation planning?
Communication is the major tool needed in the implementation planning process. Without it the plan will fail or not be sustainable. The workforce needs to be fully committed through total buy in of the need to change and communication is the only way to get there.
Which aspects of change theory seem particularly useful during renewal implementation? Why do you think so?
The informational and educational strategies are useful for the successful implementation and execution of renewal strategies. The more a company has to re-invent itself or cultural change to meet the evolving market environment the more important they are needed. Long-term and sustainable change will only occur if people understand why they must change and then educated so they have the tools to actually change. People do not respond to threats - threats only build up resentment, which will hurt a company in the long term.
What could you do differently as a result of your learning in implementing a change in your own organization?
Continually educate my department and keep them as informed as I can. Showing them how and why to communicate will help the overall quality of work performed by the department. I t also builds a strong team, one that is willing and able to help their fellow workers as well as other employees outside of their department. It allows me to align them toward what I think the corporate goals are so the bottom line is positively impacted.
Team's experience with the Mike's Bikes simulation during this courses in your learning journal blog:
What strategy did your team decide to adopt during the renewal stage of the simulation?
Our team, Firm 2, decided to launch the BMX bike and stay in the additional five bike segments - for a total of 6 bike segments. All of the teams appears to stay in all 6 segments. We chose to enhance two bikes, Adventurer and Kids, in order to stay within the customer design preferences and lower the prime cost. This was moderately successful.
How did the strategy work?
It worked moderately successful. Part of the problem was incorrectly pricing the BMX at launch, which may have hurt us throughout the simulation.
What concepts from the course did you see reflected in the game play?
Renewal is more than just launching new products or modifying them. It is about reinventing the company and the company's culture to address changes in the market. Strategic planning on how customers will react to the changes in the market and what your competition will do in reaction to your moves in the market place. Moving too far one way or another will hurt the profitability and market share of your company.
What could your team do differently if you were to play the simulation again?
One would be to price the BMX bike correctly at launch. The other would be to explore the branding aspect of the simulation more aggressively. It appears that branding may have had a dramatic effect in the later rollovers, which allow the significant cut in advertisement and PR budgets - leading to great profitability.
MBA 755 – Reflections on Module 5 Concepts.
MBA 755 – Reflections on Module 5 Concepts.
What trend and pattern information does your organization pay attention to?
My company tends to pay attention to trends in the foundry market as well as growth in metal melting in China and Eastern Europe. Patterns seems to be focused on monitoring of days receivable and potential bankruptcies in the USA. Also tend to watch where our competitors are challenging us and what products or imitation of products they are bringing to market.
Could scenario planning be effectively used in your organization?
Yes, I think using it plan for further consolidation in the supplier side as well as the metal melting side. Mittal continues to purchase blast furnaces in the USA and globally. What would happen if Mittal decides to vertically integrate into refractories, by acquiring refractory companies - like the Japanese steel producers? Or would the Japanese steel producers decide to sell off their refractory companies? Additionally, there are suppliers that will vertically integrate up and start producing refractories and challenge their customer base.
All of these scenario may be feasible and should be explored, so indicators of this occurring can be developed and watched. Global environments tend to change quickly and there are usually no real surprises if you are on the lookout for the correct indicators.
In what ways could you personally use scenario planning?
Scenario planning would be good at creating a future for myself and how the strategically plan out how to exploit my MBA degree in the market place. It would also be good for me to scan the current environment and start recognizing what kinds of opportunities there are out there for me. The "green" trend should have plenty of opportunities to seize.
Scenario planning would also allow me to set lofty, but achievable goals and objectives. Plan out training and further education that would position me for different jobs, etc.
What do you see as the principal disadvantages of employing the scenario approach to strategic planning?
Scenarios are not strategic planning and should not be used as such. They are separate approaches. Scenario planning allows a company to scan the current environment, look at numerous trends and decide what the possible future will be. The important aspect of scenarios is developing and/or using key indicators that validate the scenario. If indicators start painting a clear picture of the future, then strategic planning can used to address the emerging trends quicker than the competition.
Setting strategic plans based solely on scenarios can be dangerous and lead the company down the wrong path. Scenario are based on assumptions and views of current trends. Strategic plans need address current environments and mid-term environments. These strategic plans however do need to be flexible enough to revise them if scenarios start to become realities.
What trend and pattern information does your organization pay attention to?
My company tends to pay attention to trends in the foundry market as well as growth in metal melting in China and Eastern Europe. Patterns seems to be focused on monitoring of days receivable and potential bankruptcies in the USA. Also tend to watch where our competitors are challenging us and what products or imitation of products they are bringing to market.
Could scenario planning be effectively used in your organization?
Yes, I think using it plan for further consolidation in the supplier side as well as the metal melting side. Mittal continues to purchase blast furnaces in the USA and globally. What would happen if Mittal decides to vertically integrate into refractories, by acquiring refractory companies - like the Japanese steel producers? Or would the Japanese steel producers decide to sell off their refractory companies? Additionally, there are suppliers that will vertically integrate up and start producing refractories and challenge their customer base.
All of these scenario may be feasible and should be explored, so indicators of this occurring can be developed and watched. Global environments tend to change quickly and there are usually no real surprises if you are on the lookout for the correct indicators.
In what ways could you personally use scenario planning?
Scenario planning would be good at creating a future for myself and how the strategically plan out how to exploit my MBA degree in the market place. It would also be good for me to scan the current environment and start recognizing what kinds of opportunities there are out there for me. The "green" trend should have plenty of opportunities to seize.
Scenario planning would also allow me to set lofty, but achievable goals and objectives. Plan out training and further education that would position me for different jobs, etc.
What do you see as the principal disadvantages of employing the scenario approach to strategic planning?
Scenarios are not strategic planning and should not be used as such. They are separate approaches. Scenario planning allows a company to scan the current environment, look at numerous trends and decide what the possible future will be. The important aspect of scenarios is developing and/or using key indicators that validate the scenario. If indicators start painting a clear picture of the future, then strategic planning can used to address the emerging trends quicker than the competition.
Setting strategic plans based solely on scenarios can be dangerous and lead the company down the wrong path. Scenario are based on assumptions and views of current trends. Strategic plans need address current environments and mid-term environments. These strategic plans however do need to be flexible enough to revise them if scenarios start to become realities.
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