Strategic Management
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NOTESWEEKTWO.docxInternal Consultants
The capacity to manage change has thus become a key strategic capability—and an important component of this capacity is internal expert support.
The dynamic capability to change and redefine the business underlies the ability to respond to new opportunities and/or to fulfill existing needs both nimbly and accurately to the fullest satisfaction of key stakeholders.
Similarly, it has long been suggested that embracing organization development (OD) based principles that promote and sustain the change (Kolb, 1970; Worley & Lawler, 2006) can help organizations develop the ability to create timely innovations and adaptations without creating “toxic” consequences for people, processes, and the institution’s culture (Barnett & Shore, 2009).
Although internal consultants (ICs) have been described as the “poor cousin” of their external counterparts (Sturdy & Wiley, 2011), research suggests that a potentially more powerful intervention is to combine the insights of ECs with the experience base of ICs to overcome change- related resistance and build commitment to the change (Lambert, 1998; Savall & Zardet, 2009).
Within this context, an IC’s effectiveness is shaped by a number of factors including the ability to analyze and understand the environment, influence key organizational players, facilitate learning, serve as a mentor and role model for organizational members, and select an appropriate change approach with the intent of maximizing the probability of success for the initiative and its stakeholders.
Along similar lines, Meyer and Stensaker (2006) define change capacity as the key to maintaining daily operations while adopting change on a continual basis. They postulate that developing change capacity is the key for sustaining long-term organizational performance in a global business environment, especially one that is increasingly unstable and often unpredictable, requiring agility and flexibility on the part of organizations and their members.
Their role within the organization has the potential to enhance operational effectiveness and efficiency, guide strategic analyses and assessments, and conceptualize and support OD- related interventions.
Internal consultants often play the role of trouble-shooter of minor and major problems that an organization faces, in essence serving as an expert operational resource.
Through their roles as coach and mentor, ICs have the potential to impact the knowledge, ability, and motivation of an organization’s people, helping develop the part of its infrastructure focused on training, education, and development.
McLagan (2002) suggests the use of a directed approach in a situation where a clear solution is found to resolve the issue/problem and the probability of achieving the predicted outcome is very high.
Planned change is typically used when the change initiative covers many facets and/or is broad and deep in scope, requiring a considerable amount of planning to obtain and manage resources, engage key stakeholders, and increase the probability of success in achieving the sought-after objectives.
Kerber and Buono (2005) refer to this approach as “guided changing,” most appropriate in situations that are characterized by uncertainty and ambiguity. Mabey (2008) uses the term “stakeholder approach” and calls for its deployment to reconcile “competing values and conflicting agendas,” drawing on the insight, expertise, and commitment of organizational members.
“We are changing X so that we can accomplish Y”; Kerber & Buono, 2005; Ulrich, Zenger & Smallwood, 1999).
ICs, potentially in collaboration with their external counterparts, are well positioned to reflect on their past and current experience with respect to organizational issues and concerns, and conceptualize what needs to change, how it needs to be changed, and how it should be implemented.
Building and Sustaining a High Performance Internal O.D. Practitioner Team
As a result, the need for organizations to remain flexible and willing to change their strategies and approaches, both quickly and flawlessly, has never been greater. In this environment, an internal O.D. practitioner can serve as a invaluable consultant to line managers and business leaders on how to optimize business performance in an environment of perpetual change.
Events that require significant change can be external, such as new regulations or customer driven requirements, or internal such as a merger, acquisition, or business realignment. Ideally, the formation of such a group becomes part o the leadership response strategy.
The sponsor’s challenge is to imbue the new organization with instant credibility and perceived value. This can be done by connecting the new internal group to a part of the current organization where strategic business issues are managed.
Selecting a team leader and team members wo possess internal organization credibility resulting from demonstrated performance and relevant sills gets the group off to a fast start.
Engagement
1. Speak the language of the customer
2. Work from a mindset of abundance
3. Form a team of practitioners
4. Capitalize on established personal relationships
5. Live with those you seek to influence
Driven by a belief that there is an abundance of work for all who produce results, such partnerships have increased business referrals and modeled teamwork to our customers. This attitude has helped prevent team members from engaging in unhealthy competition with other internal groups for business. Instead team members share contacts, pass on leads, and help open doors within the organization for new consultants.
Innovation demands risk. Risk is more easily managed in a team framework.
ET consultants are embedded as part of the project team’s leadership structure and become planned project resources.
Entrepreneurial and O.D. teams are created to increase profitability, for strategic development, to foster innovativeness, and to develop future revenue streams.
What is Happening with Values in Organization Development?
Two primary considerations exist in an exploration of values in relationship to OD practice. The first consideration is to understand what is meant by a value and the second consideration is an appreciation or understanding of what is valued.
Values affect the entire consulting enterprise. For example, a consultant might value doing no harm to clients or client systems. The consultant enacts the value through choice and approach. Importantly, values will determine how parties to the consultation feel about information and data gathered during intervention, affecting confidentiality and transparency.
Values significantly influence attitudes and behaviors, and contribute to performance.
When individuals are recognized and valued, the greater good is achieved. A successful OD practice acknowledges that people are in process, and that process is a developmental journey. Consequently, OD practitioners work to create inclusive environments in engagements.
There are four essential values for OD prac- titioners that provide a starting, or jump- ing-off point, for additional consideration, exploration, and practice:
1. Self-awareness
2. Authenticity
3. Effective use of self
4. Competence
It is true that many organizations, particularly those with any size, have identified values. There is, however, often a divide between stated values and values in practice. In some circumstances, values are not enacted – values are merely words on paper. In addition, some values have become commonplace in organizational, and among those are the value of integrity and passion. If values remain words on paper, it may be reasonable to discover transgressions or the complete absence of actions associated with stated values.
Similarly, in internal OD, it is superior practice to encourage the involvement of others as active partici- pants in the consultative enterprise.
Reflections on Values as an OD Consultant
It is useful to talk about two levels of values: (a) The values underlying the work of OD, e.g., participative management and employee engagement, and (b) values about how the work is best done by the consultant (use of self).
