English Assignment: Case Study 2: Zappos

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Organization Change: Theory and Practice, Sixth Edition Chapter 5: The Nature of Organization Change

Revolutionary Change (1 of 3)

Punctuated equilibrium idea.

Theory of individual change.

Group change.

Organization change.

5.1. Describe the revolution of organization change using the three common domains found across the many theories.

Revolutionary Change

Punctuated equilibrium idea: Connie Gersick (1991) took notice of how the punctuated equilibrium idea had emerged in six distinct domains to explain change as revolutionary.

Theory of individual change: We live our lives through a relatively orderly sequence, but at times, many of us, especially around 40 years of age, dramatically change that sequence.

Group change: Groups do not develop in a linear set of stages; rather, they proceed with not much happening and then recognize (almost suddenly) a need to move forward rapidly in a new way.

Organization change: Organizations do not evolve but are more likely to change in strategic reorientations that demand significantly different patterns of operations.

Revolutionary Change (2 of 3)

Change in scientific fields.

Change in biological species.

Grand theory.

5.1. Describe the revolution of organization change using the three common domains found across the many theories.

Revolutionary Change

Change in scientific fields: Truth is probably not discovered through the accumulation of individual findings, but more likely in paradigmatic shifts, that is, breaks in the prevailing mode of thinking.

Change in biological species: Change occurs after long periods of equilibrium and then in “rapid and episodic events of speciation”.

Grand theory:

Systems vacillate between some kind of transition and the status quo, or equilibrium.

At times of transition, that is, punctuated equilibriums, there is no end state that is a given, because during times of transition, system parts interact unpredictably.

The change, therefore, becomes revolutionary.

Revolutionary Change (3 of 3)

Deep structure.

Equilibrium periods.

Revolutionary periods.

5.1. Describe the revolution of organization change using the three common domains found across the many theories.

Revolutionary Change

Deep Structure:

A network of fundamental, interdependent choices about the basic configuration into which a system’s units are organized and the activities that maintain both this configuration and the system’s resource exchange with the environment.

For individuals, it is the underlying pattern of a person’s life at a given time.

For groups, it is the structure and process a group chooses to accomplish its task.

For organizations, it is the underlying culture—the structure itself, that is, organizational design for decision making, accountability, control, and distribution of power, and the way the organization monitors, reacts to, and, in general, relates to its external environment.

For scientific fields, it is the paradigm, that is, the pattern and set of standards for how a discipline develops and is maintained or sustained over time through scientific achievements.

For biological species, it is a network of circular and interdependent interactions with feedback loops; thus, no single unit or part can interact with the environment independently.

For grand theory, collective modes and parameters determine order for the overall system.

Equilibrium periods:

The equilibrium period consists of (1) maintenance of the system and (2) choosing of activities, “calling the plays,” but within an overall pattern of rules, standards, mores, and circular processes.

Homeostasis: Continual change is not a natural condition of life; hence resistance is a healthy human instinct.

Three powerful barriers to change: (1) cognition, (2) motivation, and (3) obligation.

Cognitive frameworks shape our awareness and thinking, how we interpret reality, and how we consider choices for action.

With respect to motivation, change is accompanied by loss of some kind and by uncertainty.

Regarding obligation, the inertial constraints of obligations among stakeholders inside and outside a system.

Revolutionary periods:

Revolutions occur by:

Internal disruptions that pull subsystems and activities out of alignment with each other or the environment, and

Changes in the system’s environment that threaten its ability to obtain resources.

These internal changes or external ones do not in and of themselves bring about revolution. They simply create the need for change.

change can be seen as a jolt (perturbation) to the system.

The change of mission affects all other primary dimensions of an organization: leadership, strategy, structure, culture, and systems.

Evolutionary Change (1 of 2)

More than 95% changes evolutionary.

Continual improvement.

Continuous change.

5.2. Discuss evolutionary change as seen in organizations.

Evolutionary Change

More than 95% of organizational changes are evolutionary.

Continual improvement: Most organizational change in Japan is referred to as kaizen, meaning continual improvement.

Continuous change:

The idea that small continuous adjustments created simultaneously across units, can cumulate and create substantial change.

That scenario presumes tightly coupled interdependencies”.

The “looser” the interdependencies, the less likely that overall organization change will occur.

Evolutionary Change (2 of 2)

Diffusing of innovation.

Overcoming inertia and equilibrium.

Organization learning.

5.2. Discuss evolutionary change as seen in organizations.

Evolutionary Change

Diffusing of innovation:

Change is more likely to remain primarily within subunits of the organizations—although not necessarily exclusively.

Ultimate organization change could occur if consistent with managers’ abilities and desires to diffuse innovation from one unit to other units.

Overcoming inertia and equilibrium: Organization change does occur with continuous attention and effort, but it is unlikely that fundamental change in the deep structure of the organization would happen.

Organization learning:

Learning occurs simultaneously at various collective levels within business units and sometimes within an entire company.

Demonstrates organizational capacity for change.

Accelerates individual learning capacity but also redefines organizational structure, culture, job design, and mental models.

Involves widespread participation of employees and often customers in decision making, dialogue, and information sharing.

Promotes systemic thinking and building of organizational memory.

Revolutionary Change: Case Example (1 of 8)

Dime Bancorp, Inc.: Background

Founded in 1859.

Anchor Savings Bank.

Merger of equals.

5.1. Describe the revolution of organization change using the three common domains found across the many theories.

Dime Bancorp, Inc.: Background

Founded in 1859:

Dime Savings Bank was founded in 1859.

The founder, William Edwards, encouraged all New Yorkers to save with a minimum deposit of a dime.

In 1862, the Dime was the first bank to offer banking by mail, permitting depositors fighting in the Civil War to send money to their families in the North.

Anchor Savings Bank:

Anchor Savings Bank was founded at about the same time and encouraged savings and focused on the local community as its primary market.

Over the years, both Anchor and Dime grew by way of mergers and acquisitions that led to regional expansion and a broader range of services to individual customers and businesses.

Merger of equals:

With the merger of Dime and Anchor, it seemed at the time that with such similar histories and resemblances in size, revenues, customer base, and so on, the two organizational cultures would be alike.

The two cultures were highly dissimilar.

Revolutionary Change: Case Example (2 of 8)

Dime Bancorp, Inc.: Background

The idea of attractors.

Anchor: attention to detail rewarded.

Dime: more concerned with presence.

Significant difference at the time of merger.

5.1. Describe the revolution of organization change using the three common domains found across the many theories.

Dime Bancorp, Inc.: Background

The idea of attractors:

Attractors are patterns of behavior with the dual characteristics of “sensitivity to initial conditions” and “stability.”

The former characteristic suggests that the early history and founding of an organization is highly significant.

Initial behaviors in the organization’s start-up phase that receive positive feedback become reinforced and stabilize quickly.

Anchor: attention to detail rewarded:

Early in the development and growth of the Anchor Bank, attention to detail was rewarded.

Their culture some 150 years later reflected this emphasis.

Dime: more concerned with presence: Dime was more concerned with the bigger picture and becoming a presence in the greater New York City area.

Significant difference at the time of merger: The difference between the two banks, though perhaps minor over a century ago, was highly significant at the time of the merger.

Revolutionary Change: Case Example (3 of 8)

Dime Bancorp, Inc.: Background

Consultative help sought.

Launching a strategic planning process.

Conducting an opinion survey.

Drafting a new mission statement.

5.1. Describe the revolution of organization change using the three common domains found across the many theories.

Dime Bancorp, Inc.: Background

Consultative help sought:

The merger occurred because the two CEOs and their respective boards of directors realized that their pieces of the financial services pie were shrinking.

An intent of the merger was to become less savings and more commercial.

Launching a strategic planning process: A strategic planning process was launched to better understand how the resources of the two former companies could now be deployed to gain market share rather than losing share, which had been true for each of the two prior to the merger.

Conducting an opinion survey: An organization wide opinion survey was conducted:

To determine the state of morale,

To assess employee understanding of the company’s strategy, its new culture, leadership, organizational structure, and so on, and

To establish an internal benchmark for future survey comparisons and to track trends and progress.

Drafting a new mission statement:

The old mission statements were discarded, and a task force was formed to draft the new mission statement.

This task force tapped another 100 or so employees to get opinions and suggestions about what the mission content should be.

The final version was presented to the board of directors and was unanimously approved.

Revolutionary Change: Case Example (4 of 8)

Dime Bancorp, Inc.: Organizational Survey

Survey outcome.

Actions taken.

The CEO a role model.

5.1. Describe the revolution of organization change using the three common domains found across the many theories.

Dime Bancorp, Inc.: Organizational Survey

Survey outcome:

The initial organizational survey, designed according to the Burke–Litwin model, revealed that most employees at all levels were positive about the merger, supported leaders at the very top of the organization, believed in the mission statement, and understood the overall business strategy.

However, they were not very clear about the newly merged organizational culture and structure and were critical in general of several system elements and of leadership and management.

Actions taken: Changes were made to:

The information system was strengthened,

The reward system was improved,

Some of the organization’s structure was changed, and

A major initiative was launched to improve leadership and management.

The CEO a role model:

The CEO was highly supportive of these change efforts deriving from the survey and served as a role model for leadership and change.

The CEO and the head of human resources authorized, planned, and implemented a major effort to clarify the organization’s culture and to develop and train managers in both leadership and management skills.

Revolutionary Change: Case Example (5 of 8)

Dime Bancorp, Inc.: Organizational Survey

Values serving as content guides.

A 2½-day leadership program.

The second survey.

5.1. Describe the revolution of organization change using the three common domains found across the many theories.

Dime Bancorp, Inc.: Organizational Survey

Values serving as content guides:

Using the mission statement as a primary source, five values were extracted and eventually, a sixth one was added.

The six values served as content guides for determining a set of practices that were behavioral manifestations of these values.

These 36 practices, 6 per value, were then used in a questionnaire for the purpose of providing feedback for the top 125 people in the company.

A 2½-day leadership program:

A 2½-day leadership program was conducted for these top managers, and this feedback was the central element.

Before the program, each participant rated themselves on the 36 practices and simultaneously were rated by their respective bosses, peers, and subordinates.

During the program, all participants received this multirater feedback and could compare how they viewed themselves with how the other three rating sources perceived them on the same set of behavioral practices, the primary content of which was leadership.

Six months later, these 125 top people participated in another 2½-day program, but this time the focus was on performance and project management.

Multirater feedback was integral to this second program as well, coupled with a “Time 2” assessment of the earlier 36 leadership practices to see how these top managers were doing.

The second survey:

A second organization wide survey was conducted using approximately 90% of the questions asked at Time 1, so that comparisons could be made, and trends determined.

The ratings via a 5-point Likert-type scale showed that out of 125 questions asked at both Time 1 and Time 2 (about 2 years later), except for two items, which remained about the same, all ratings were higher at Time 2.

Significant improvements had been made over the 2-year period, at least in the eyes of the employees.

Revolutionary Change: Case Example (6 of 8)

Dime Bancorp, Inc.: Organizational Survey

Burke–Litwin model.

Employee responses.

Message to the client.

5.1. Describe the revolution of organization change using the three common domains found across the many theories.

Dime Bancorp, Inc.: Organizational Survey

Burke–Litwin model:

The survey items of both Time 1 and Time 2 and the results reported to the managers and employees of the bank were organized according to the Burke–Litwin model.

Further statistical analyses within the framework of the model were conducted.

Employee responses:

Their responses are perceptions of organizational performance, not performance measurements per se.

The employees’ responses to questions in the four model categories of business environment, mission and strategy, individual needs and values, and motivation had the strongest statistical relations with perceived organizational performance.

Message to the client: Working on morale issues (e.g., employees’ perceptions of morale, empowerment, and control), should improve motivation and, in turn, performance.

Revolutionary Change: Case Example (7 of 8)

Dime Bancorp, Inc.: Organizational Survey

More revolutionary than evolutionary.

Factors facilitating change process.

Significant changes made.

5.1. Describe the revolution of organization change using the three common domains found across the many theories.

Dime Bancorp, Inc.: Organizational Survey

More revolutionary than evolutionary:

This case represents organization change that is more revolutionary than evolutionary in nature, because the emphasis of change was mission and strategy and culture.

A compelling case for change as a consequence of the merger was made by the respective leaders of both companies, and a disruption ensued as a consequence.

Factors facilitating change process:

The CEO’s leadership, support for change, and modeling behavior.

Change initiatives carefully planned and driven by data.

An enlightened human resource leader and staff.

Strategic change expertise provided by external consultants.

Key changes made among the top 20 executives.

Significant acquisitions of additional businesses.

Significant changes made:

The fundamental nature of the business changed somewhat in that the organization made a deliberate effort to become more of a commercial and less of a savings bank.

The merged culture was a bit more representative of one of the previous organizations than of the other.

Systems were significantly improved with the introduction of new technology.

Shifting demographics caused changes in managers’ behavior to becoming more attuned and sensitive to individual differences.

Revolutionary Change: Case Example (8 of 8)

Dime Bancorp, Inc.: Organizational Survey

Objectives of the Dime case.

Acquisition by Washington Mutual.

5.1. Describe the revolution of organization change using the three common domains found across the many theories.

Dime Bancorp, Inc.: Organizational Survey

Objectives of the Dime case:

The main objective of presenting the Dime case was to demonstrate how revolutionary change can be implemented and managed.

Another objective was to provide an overview of the entire change effort at Dime so that our major theme of organization change can be continued.

The initial change was transformational.

The transformational factors in the model were the primary levers for change: external environment, mission and strategy, leadership, and more gradually, culture.

Acquisition by Washington Mutual:

In 2002, Washington Mutual acquired Dime, but could last only for a few years.

Perhaps if it had adopted more of Dime’s culture, leadership, and ways of doing business it would have survived.

Evolutionary Change: Case Example (1 of 14)

Small professional services partnership.

Highly individualized services.

Mission: to remain specialized.

Serves many corporations.

5.2. Discuss evolutionary change as seen in organizations.

Evolutionary Change: Case Example

Small professional services partnership:

This case concerns a comparatively small professional services partnership that was close to a century old.

The partnership consists of about 50 partners, with approximately the same number of associates, plus administrative and technical staff.

Highly individualized services: It is a specialty house providing highly individualized services, to corporations primarily.

Its mission is to remain specialized, not to provide a broad array of general services for clients.

Serves many corporations:

It serves more than half the Fortune 500 corporations, and more than half its revenue comes from clients it has served consistently for more than 20 years.

The firm serves clients in 400 U.S. cities and in 15 foreign countries.

Although growth of the firm is a goal, the partners do not favor “rapid growth, mergers, and branch offices.”

Evolutionary Change: Case Example (2 of 14)

Simple and straightforward structure.

Performance evaluation of partners.

360-degree feedback process.

5.2. Discuss evolutionary change as seen in organizations.

Evolutionary Change: Case Example

Simple and straightforward structure:

The structure of this professional services firm is rather simple and straightforward.

At the top is the managing partner and working closely with him is a small executive committee consisting primarily of department heads or “practice group chairs.”

Following the managing partner and the executive committee are the senior partners, then the junior partners, followed by the associates, and the staff.

Performance evaluation of partners: The organizational consultants were initially asked to evaluate the performance of their senior and junior partners and to cascade the process down to include the associates.

360-degree feedback process:

A 360-degree feedback process gets its name from a “full circle” procedure of rated behavioral practices.

The behaviors rated are usually in the domains of management and leadership.

The central person rates himself or herself on a set of behavioral practices that are employed in leadership or management, and three other categories of raters rate the person on the same set of behavioral practice.

The three other categories of raters are the central person’s supervisor, the person’s peers, and the person’s direct reports or subordinates.

The self and three other sets of raters compose the full circle, or 360 degrees, as it is often called.

The degree of congruence or divergence in the ratings is the main focus of attention.

Evolutionary Change: Case Example (3 of 14)

Multirater or multisource feedback.

Exploratory discussion by consultants.

Strong possibility of rater bias.

5.2. Discuss evolutionary change as seen in organizations.

Evolutionary Change: Case Example

Multirater or multisource feedback: A more accurate description would be multirater or multisource feedback, because other raters may be included, such as clients or customers.

Exploratory discussion by consultants:

The consultants asked many questions and offered opinions and suggestions.

The managing partner stressed the need for more leadership especially from among the senior partners, the need for identifying potential leaders among the junior partners, and the need for more teamwork.

The consultants explained how a multirater feedback process works and then offered the opinion that using this kind of procedure as a measure of performance for certain organizational purposes was not wise.

Strong possibility of rater bias:

To employ multirater feedback in the service of performance appraisal and then to base organizational rewards accordingly would create the strong possibility of rater bias.

To base evaluations and rewards on the rating procedure would mean that one’s ratings become somewhat public.

When one knows that his or her ratings of someone will be used for evaluative purposes, rather than for the purpose of individual and organization development, the ratings are likely to differ.

Evolutionary Change: Case Example (4 of 14)

Individual purpose of rating.

Organizational purpose of rating.

Tailoring behavioral practices.

5.2. Discuss evolutionary change as seen in organizations.

Evolutionary Change: Case Example

Individual purpose of rating: to increase one’s self-awareness in particular and to increase personal and professional development in general.

Organizational purpose of rating:

Select behavioral practices related to functioning as a leader and manager and to teamwork that fit with the managing partner’s objectives

Encourage partners through the feedback process work on improving their leadership qualities and to improve them to enhance teamwork in the firm.

Tailoring behavioral practices:

The consultants recommended that the behavioral practices be as tailored as possible to the firm’s change needs, mission, and values.

Not recommended were off-the-shelf or “general purpose” practices but, instead, the process of identifying and selecting behaviors that they, as the firm’s leaders, thought made the most sense, that is, in terms of aligning partner behavior more closely with desired values and change directions for the firm.

Evolutionary Change: Case Example (5 of 14)

The Tools for Assessment and Ratings

Inquiry into desired future state.

Course of action.

Nature of services unchanged.

5.2. Discuss evolutionary change as seen in organizations.

The Tools for Assessment and Ratings

Inquiry into desired future state: The consultants asked for certain materials and documents from the firm, such as their mission statement, strategic plan, statement of values, and any other information that addressed their desired future state.

Course of action: Because the firm’s leadership were rather conservative and careful about organization change, the course of action was consistent with continuous improvement, rather than a significant and sweeping change of mission.

Nature of services unchanged: Despite wanting to expand their services to new clients and broaden their base, the range and nature of these services would continue as they were.

Evolutionary Change: Case Example (6 of 14)

Behavioral Practices

List of 59 behavioral practices.

Rating questionnaire.

Categorized according to firm’s values.

5.2. Discuss evolutionary change as seen in organizations.

Behavioral Practices

List of 59 behavioral practices:

The consultants developed a working list of behavioral practices that were as relevant to the firm as possible.

These behavioral statements were categorized according to the firm’s list of values.

Through a collaborative, back-and-forth, iterative process, the consultants and the firm’s leadership agreed on a final list of 59 behavioral practices.

Rating questionnaire:

The 59 practices were arranged into a rating questionnaire using a 5-point Likert-type scale.

Each of the behavioral statements was rated twice:

First, according to the extent to which the person being rated practiced that specific behavior, and

Second, according to how important the behavior was to the part of the firm represented by the partner being rated.

Comparing the behavior in terms of how much it is practiced with how important it is viewed to be helps the individual being rated decide how much change in the given behavior may be needed.

Categorized according to firm’s values: The 59 practices were categorized according to the firm’s 12 primary values.

Evolutionary Change: Case Example (7 of 14)

Behavioral Practices

Three additional questionnaires.

Context.

Potential for leadership in the firm.

5.2. Discuss evolutionary change as seen in organizations.

Behavioral Practices

Three additional questionnaires: These additional three were related more to one’s personality than to specific behaviors.

Context:

In providing feedback to a person about behavior, that form of feedback can be understood more thoroughly if one can also see the rated behavior in the context of one’s personality and temperament.

Linking this dimension of personality to behavior can help one more clearly understand feedback from others.

Potential for leadership in the firm:

The firm’s leaders wanted to encourage their junior partners to assume more leadership.

Providing leadership and management in a professional services firm is not exactly easy.

So, the managing partner wanted to know whether he could count on more help with leadership for the firm.

Evolutionary Change: Case Example (8 of 14)

Behavioral Practices: Myers-Briggs Type Indicator

Extroversion-introversion.

Intuition-sensing.

Thinking-feeling.

Judging-perceiving.

5.2. Discuss evolutionary change as seen in organizations.

Behavioral Practices

Myers-Briggs Type Indicator

Extroversion-introversion: the degree to which individuals differ with respect to sociability and being energized while around others, as compared with introversion, which stresses keeping more to oneself and being energized more while alone than with others.

Intuition-sensing: the degree to which individuals depend more on intuitiveness and hunches for assimilating information, as compared with a preference for concrete, fact-based information, that is, more a function of what a person sees, touches, hears, smells, and so on.

Thinking-feeling: the degree to which individuals differ with respect to what they do with information once they take it in, that is, whether one:

Uses primarily thought processes such as logic, analysis, and objectivity or

Prefers instead to rely more on emotional consideration when making decisions.

Judging-perceiving: the degree to which individuals prefer order, planning, achieving closure, and decisiveness, rather than keeping one’s options open and “going with the flow,” or spontaneity.

Evolutionary Change: Case Example (9 of 14)

Behavioral Practices: NEO-Personality Inventory (NEO-PI)

A 240-item instrument.

Neuroticism.

Extroversion.

5.2. Discuss evolutionary change as seen in organizations.

Behavioral Practices

NEO-Personality Inventory (NEO-PI)

A 240-item instrument: The NEO-PI has 240 items, is based on extensive research and practice, and has some overlap with the MBTI.

Neuroticism: the higher the score, the more one tends to be anxious, depressed, and angry.

Extroversion: very similar to the same measure on the MBTI; that is, the higher one’s score, the more the individual tends to be gregarious, warm toward others, and outgoing.

Evolutionary Change: Case Example (10 of 14)

Behavioral Practices: NEO-Personality Inventory (NEO-PI)

Openness.

Agreeableness.

Conscientiousness.

5.2. Discuss evolutionary change as seen in organizations.

Behavioral Practices

NEO-Personality Inventory (NEO-PI)

Openness: primarily meaning open to ideas and new learning; the high-scorer’s behavior is likely characterized by curiosity, a love of intelligence, and creativity.

Agreeableness: the higher the score, the more one tends to be cooperative, trustworthy, kind, and sympathetic toward others.

Conscientiousness: high scorers on this factor tend to be reliable, well organized, responsible, and disciplined.

Evolutionary Change: Case Example (11 of 14)

Behavioral Practices: Leadership Assessment Inventory (LAI)

Preference of leadership to management.

Peer ratings not included.

5.2. Discuss evolutionary change as seen in organizations.

Behavioral Practices

Leadership Assessment Inventory (LAI)

Preference of leadership to management:

This instrument was included to determine the extent to which partners in the firm preferred leadership to management.

If neither, a person’s scores would be relatively low on a large set of norms.

The LAI consists of 18 items that measure an individual’s preference for leadership over management.

Peer ratings not included:

The LAI is a multirater instrument including ratings by oneself, one’s supervisor, and one’s subordinates but not one’s peers.

The content of the 18 items does not lend itself to peer ratings.

Peer ratings in this case are not as relevant or as reliable as those from supervisor and subordinates.

Evolutionary Change: Case Example (12 of 14)

Data Summary of the Firm’s Partners

50 partners rated the highest.

LAI ratings.

MBTI pattern.

NEO-PI results.

5.2. Discuss evolutionary change as seen in organizations.

Data Summary of the Firm’s Partners

50 partners were rated the highest:

The 50 partners in the firm were rated the highest on practices categorized as “Solidifying and Maintaining Close Client Relationships” and “Promoting a Courteous, Collegial, and Trusting Culture.”

Their “Teamwork” ratings were fairly strong, but “Developing the Business” resulted in so-so ratings, and the lowest were “Leading and Managing.”

The lowest-rated practice of all was “Provide a Vision of the Future that Captures the Commitment of People.

LAI ratings:

The ratings on the LAI reflected little desire for service as a leader.

Management activities were not exactly popular, either.

MBTI pattern:

The MBTI pattern of the firm did not fit norms for the United States very closely.

Whereas 25% of the overall U.S. population scored as introverts, 56% of the partners did so.

On intuition, the partners scored 68% compared with 25% for U.S. norms; thinking was at 72% for the partners, compared with about 50% for U.S. norms; and 62% scored as judging compared with approximately 50% for U.S. norms.

The overall combination of traits among the partners, among the 16 possibilities for the MBTI of introversion, intuition, thinking, and judging, occurs in less than 2% of the U.S. population.

So, there may be some potential in the firm for leadership but, in the main, not a clear, strong profile for it.

NEO-PI results:

The results on the NEO-PI were well within the normal range for neuroticism.

The scores on extroversion were low, with openness and conscientiousness being strong.

Agreeableness was in the average range.

Evolutionary Change: Case Example (13 of 14)

Conclusion

Highly professional firm.

Insufficient attention paid to mentoring.

Bleak leadership picture.

5.2. Discuss evolutionary change as seen in organizations.

Conclusion

Highly professional firm: This professional services firm is indeed highly professional, showing a strong emphasis on serving clients promptly and effectively; internal firm norms of courtesy, respect, and collegiality; and a clarity about mission and the identity within the larger professional community, that is, strong specialization.

Insufficient attention paid to mentoring: Although a reasonable amount of teamwork in the firm seems to exist, there is insufficient attention being paid to mentoring and providing professional development for junior partners and associates.

Bleak leadership picture: The leadership picture is rather bleak. Although there may be leader ability among the partners, there is little motivation.

Evolutionary Change: Case Example (14 of 14)

Conclusion

External hiring to lead and manage.

Suggested future options.

Point of this case example.

5.1.

Conclusion

External hiring to lead and manage: Approximately halfway into this consultant-client relationship, the managing partner hired a senior partner from another firm to help with leading and managing.

Suggested future options: This method of providing further leadership for the firm could be followed and focus could be made on changing the firm’s reward system in such a way that internal leadership could be reinforced more strongly and be recognized to the same degree as effective client work.

Point of providing this case example:

Organization change for this firm comes slowly; it is clearly evolutionary in nature.

Future work is on leadership development, whether internally or externally by means of new hires.

The firm needs to do a much better job of (1) mentoring, (2) considering the firm more as a business and less as a professional club, and (3) learning how to improve its multirater feedback program.