Leading Change

1. Leading Change A Class for Nonprofit Learning Point, March 12, 2014 Conducted by: Susan B. Wilkes, Ph.D. Wilkes Consulting

2. Goals for the Session:For participants to: Apply a change model and tools to their nonprofit organizations; Understand the human resistances people often have to change; and Identify strategies for fostering positive change and managing transitions.

3. Session Agenda Overview of Organizational Change Tools for Advancing Strategic Change Lunch Influencing Change Guest Speaker Dealing with Resistance Managing Transitions

4. Introductions • Name • Job • Organization • What’s a large change happening in your organization?

5. A “Strategic Approach” to ChangeBased on a profound knowledge of your organization and related external trends Future Pathway Now Where do we want to go? Where are We? How do we get there?

6. One of the key practices in The Leadership Challenge • Search for opportunities by seizing the initiative and looking outward for innovative ways to improve • Experiment and take risks by constantly generating small wins and learning from experience

7. Challenging the Process:Involves change and movement In the research on exemplary leaders, participants often talked about times of change. Most frequently used words: challenging, rewarding, and exciting. Words signifying passion (dedication, intensity, commitment, determination) and inspiration (inspiring, uplifting, motivating, energizing) also appeared regularly. 95 percent of cases were described in these terms.

8. Action Steps to Searching Out Opportunities List the practices which are “the way we’ve always done it around here”. Ask: How useful is this in helping us become the best? How useful is this for innovation? Make idea gathering a priority: focus groups, brainstorming, evaluation forms, visits to other agencies, talking with clients and volunteers and other staff. Renew yourself and your team through conferences, training programs, visits to colleagues, classes, etc.

9. A Key Skill is “Outsight” • Staying sensitive to and informed about external realities • 60 to 80 percent of important innovations have been in response to market demands and needs • High performing teams have significantly more communication with people outside their group; low performing teams cut themselves off from external information • The critical “OT” in “SWOT” • Requires a good external network and learning about best practices

10. Lack of “outsight” can come from perceptual biases, “change blindness” ..\..\..\..\..\..\..\..\Videos\The _Door_ Study.mp4

11. The SWOT Analysis:a method for conducting an organizational scan Internal Strengths — what we do well Weaknesses — where we need to improve External Opportunities — trends and events outside of the organization of which we can take advantage Threats — trends and events outside the organization that could jeopardize the organization’s success

12. Partner Discussion With your partner, please discuss: Generally speaking, how well do you do with staying abreast of external realities? What do you do on an ongoing basis to seek out new perspectives? A single opportunity and threat you are aware of related to your organization One positive change you can envision for your organization (an existing change or new idea, large scale shift in strategic direction or smaller programmatic change) in response.

13. Brief Break Please return in 10 minutes

14. Change Formula ( ) x x dissatisfaction with the status quo clarity of the future vision pathways to the future > = possibility for change loss that results

15. Dr. Martin Luther King, Jr.’s “I Have a Dream” speech • One of the greatest instances in U.S. history of change leadership. • Identify the specific aspects of what makes him effective as an agent of change. How does he work the formula? ..\..\..\..\..\..\..\..\Videos\Martin Luther King 'I have a dream'.mov

16. The 8 Step Process of Successful Change: • John P. Kotter • Professor of Leadership, Emeritus at the Harvard Business School • Expert on leadership and transformation • Author ..\..\..\..\..\..\..\..\Videos\RealPlayer Downloads\Watch and Listen John Kotter Explains the 8 Steps to Create Successful Change - Harvard Business Review.mp3

17. Experiencing Change

18. Resistance…. A natural opposition to shifts in the status quo A normal reaction May stem from fear of loss of control May come from ambiguity of what is new May come from habit and fixed neural pathways Key leadership skills are Identifying key stakeholders for the change Analyzing perspectives they may have Identifying strategies for exerting positive influence with high leverage stakeholders

19. John Kotter’s Latest on ChangeAccelerate, Harvard Business Review, November 2012

20. Lunch We’ll begin again in 30 minutes

21. Stakeholder Grid: Strategy for influencing change • Consider a change you think would benefit your organization • Consider the key people • Plot where they currently are with regard to desired change (x = current). • Plot where individuals need to be (o = desired) in order to successfully accomplish desired change • Draw lines to indicate an influence link using an arrow to indicate who influences whom.

22. Stakeholder Grid Example

23. Your Change Grid

24. Resistance Analysis Please complete for one person. Pick a key stakeholder. Key Stakeholder What’s Important Reasons for Resisting Change Level of Resistance (High, Med, Low) Strategy for Dealing with Resistance

25. Welcome Todd McFarlane, President and CEO, Boys & Girls Clubs of Richmond

26. Brief Break Please return in 10 minutes

27. Partner Discussion • How well do the changes at Boys & Girls Club reflect a strategic direction? • What has the CEO done well in leading change and dealing with natural resistance? • Look at either the change formula or Kotter’s 8 steps. Apply these to the B&G Club.

28. Change vs Transition Change – Situational shift, the external event. Leader’s task is to determine outcome, process to get there; remind people of change and its importance. Transition– Letting go of the way things used to be and taking hold of the way things are becoming; the internal process. Leader’s task is to lead people through it. These roles overlap…Effective leaders must manage both!

29. Bridges Stages of Transition Ending Neutral Zone New Beginning

30. Stages of Transition – Ending A time of letting go of the way things used to be A time of letting go of how and who we used to be Often characterized by symptoms of “DABDA” Transition is more significant when it has major impact on our roles, relationships, routines, and assumptions Ending

31. Reactions to Endings ..\..\..\..\..\..\..\..\Videos\Monk Episode.wmv ..\..\..\..\..\..\..\..\Videos\Lettermans Greatest Moments - Dave visits the GE Building.mp4

32. Response to Change Perceived to be positive May catch leaders by surprise Starts with uninformed optimism May move to informed pessimism Leader’s job is to move people to informed realism and optimism It still requires people to “let go” of what they have known before

33. Stages of Transition – Neutral Zone The in-between stage of confusion and uncertainty Creates anxiety and is psychologically uncomfortable Is a necessary part of the process Creativity can be at its peak Neutral Zone

34. Stages of Transition – New Beginning Must begin to behave in a new way Focused on new course of action May still be some cautions Feeling of growth and adaptation Looking for next challenge New Beginning

35. Applying the Stages of Transition Think about a major change in our own life. Reflect on the transition as you experienced it. Give a brief description of what you remember about each stage. What was it like? What reactions where you having? What aided you in getting to the next stage? Ending Neutral Zone New Beginning

36. Stages over Time

37. Change Leadership in Action • What do you notice about leadership and change? • Compare and contrast the “team” at the beginning and at the end. • What does Whoopi do as a change leader that makes her effective? ..\..\..\..\..\..\..\..\Videos\Sister Act - Sister Mary Clarence Taking Over The Choir.avi ..\..\..\..\..\..\..\..\Videos\Sister Act, Oh Maria.avi

38. Managing Endings Sell the need to change Understand what they are losing Get resistance on the table Mark “boundary” events Acknowledge value of the past Give lots of information Set timelines and priorities Protect from further change or cluster the changes Create temporary structures and solutions

39. Communicating the 4 P’s through the Neutral Zone Purpose – Why we have to do this Picture – What it will look like when we get there Plan – How we are going to get there Part – What part others need to play to aid in the change

40. Creating New Beginnings Articulate new attitudes and behaviors needed Provide resources and training for those attitudes and behaviors Celebrate forward movement Express appreciation Reassure people of their role

41. Small Group Discussion Please work on your assigned case scenario. Review the case scenario. Discuss which leadership ideas from the previous three slides might apply to this situation. Agree on about 5 steps (in sequence) you could take in leading through transition in this situation. Write those on the flipchart. Be ready to share your one best idea (the most important leadership action)