302. behavioral implementation & leadership

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    Implementing Strategies

    Activating Strategies.

    StructuresDesign & Change.

    Behavioral Implementation.

    Functional & Operational

    Implementation.

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    After nearly 45 years, the theory of business

    strategy is well developed and widelydisseminated. Yet, the Business world remains

    littered with examples of bad strategies. What

    makes CEOs back them? Flawed analysis,

    excessive ambitions, greed and other possible

    cause

    Rather there is one contributing factor that affects

    every strategist:

    THE HUMAN BRAIN

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    OrganizationalLeadership

    Organizational Leadership Involves:

    The ability to anticipate, envision, maintainflexibility and empower others to create strategic

    change

    Multi-functional work that involves workingthrough others

    Consideration of the entire enterprise ratherthan just a sub-unit

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    The ability to influence those with whom you work

    within your organization to voluntarily make

    decisions on a day-to-day basis

    The result is that the long-term viability of the

    organization will be enhanced while, at the

    same time, the short-term financial stability ofthe organization will be maintained

    Organizational Leadership

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    Organizational Leadership Presumes:

    An ability to influence co-workers

    Leader understands the emergent strategy process

    Visionary leadership entails many characteristics, such asa willingness to take risks

    Managerial leadership entails many characteristics, like anintended rational way of looking at the world

    Visionary leadership & managerial leadership can co-exist

    That strategic leadership synergistically combines visionaryleadership and managerial leadership

    A faith in their ability to change their firms in a waythat the environment they operate in will change

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    Want stability & to

    preserve the

    existing order

    Guide without astrategic vision.Constrained by values& by using explicitknowledge

    Guideknowledgecreationbyencouraging contradictorycapabilities (e.g. individual,

    group, and organizational tacit &explicit knowledge)

    Are comfortablehandling Short-term day-to-dayactivities

    Managerial Leaders, StrategicLeaders, VisionaryLeaders

    Define boundaries by useof metaphors, analogies &

    models to allow for a mix ofcontradictory concepts

    Want stability & to

    preserve the

    existing order

    Guide without astrategic vision.Constrained by values& by using explicitknowledge

    Are comfortablehandling Short-term day-to-dayactivities

    Want stability & to

    preserve the

    existing order

    Guide without astrategic vision.Constrained by values& by using explicitknowledge

    Are comfortablehandling Short-term day-to-dayactivities

    Manage the paradox created by

    use of managerial & visionaryleadership models

    Control by social-ization & sharingcommon norms,values & beliefs

    Are not dependent onthe organisation fortheir sense of who they

    are

    Are future-orientedconcerned with risk-

    taking

    Control by social-ization & sharingcommon norms,values & beliefs

    Are future-orientedconcerned with risk-

    taking

    Are not dependent onthe organisation fortheir sense of who they

    are

    Control by social-ization & sharingcommon norms,values & beliefs

    Are future-orientedconcerned with risk-

    taking

    Are not dependent onthe organisation fortheir sense of who they

    are

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    Role of the CEO

    Provide Executive Leadership & Strategic Vision

    Manage the Strategic planning process

    Articulating a Strategic Vision

    CEO presents a role model

    Communicating performance standards &

    Implementing them

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    Determines

    StrategicDirection

    Developing a long-term vision of thefirms Strategic Intent

    Exploits & Maintains

    Core Competencies

    Leaders must ensure that the firms core

    competencies are emphasized instrategic implementation efforts

    DevelopsHuman

    Capital

    No strategy can be effective unless thefirm is able to develop & retain good

    staff to carry it out

    Sustains an EffectiveOrganizational Culture

    Leaders play a critical role in shaping

    and reinforcing the firms culture

    Determines

    StrategicDirection

    Exploits &

    Maintains CoreCompetencies

    DevelopsHuman

    Capital

    Sustains anEffective

    Organizational Culture

    Effective Organizational Leadership

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    Level 5 LeadershipJim Collins

    Level 1

    Highly Capable Individuals (Contribution by Competencies)

    Level 2

    Contributing Team Member (Contribute to Group Goals)

    Level 3

    Competent Manager (Organizing People & Resources to Goals)

    Level 4

    Effective Leader (Vision + Commitment + High Perf. Std.)

    Level 5

    Executive (Personal Humility + Professional Will)

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    Jack Welch

    on

    Leadership

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    Authenticity

    Ability to see around Corners

    Strong penchant to surround themselves with

    people better and smarter than they are.

    Heavy-Duty Resilience

    Characteristics of a Leader

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    The problem is worse than it appears There are no secrets in the world, and everyone will

    eventually find out everything You and your organization's handling of the crisis will

    be portrayed in the worst possible light

    There will be changes in processes and staffing. Almost

    no crisis ends without blood on the floor

    The organization will survive, ultimately stronger for

    what happened

    Assumptions for a Leader

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    Leaders relentlessly upgrade their team, using everyencounter as an opportunity to: Evaluate (Right Manon Right Job)

    Leaders make sure people not only see the vision, butlive and breathe it

    Leaders exude positive energy and optimism Leaders establish trust with candor, transparency and

    credit Leaders have the courage to make unpopular decisions

    and gut calls Leaders inspire risk-taking and learning by setting the

    example

    Leaders celebrate

    LeadershipSetting an Example

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    Top Management

    Managing the Company:

    Running the company as a whole rather than onesegment

    Guidance, Motivation & overall control

    Setting Competitive Strategy Establishing Major Policy:

    Calls for Broad Judgment

    All Possible Trade offsAffecting the entire company

    Long Range Planning & Timing:

    Timing & Magnitude of Future actions

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    Top Management

    Changing Organization Structure:

    Reorganization as per the environmental demands

    Selecting Key Personnel:

    Identifying & recruiting key personnel

    Success or Failure of any Strategy

    Approving Large Expenditures & Contracts

    Specific Location, Capacity, Capital Allocation

    Negotiating Mergers & Major Agreements:

    Complex Matters involving Top Management

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    Top Management

    Officially Representing the Company

    Approving Annual Budgets

    Financial Aspects of the company

    Integration of Short run & Long run plans

    Coordinating & Controlling

    Guiding Influence on current activities

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    Culture Defined

    Organizational culture is the underlying

    values, beliefs, and principles that serve as the

    foundation for an organizations managementsystem.

    In addition, it includes the management

    practices and behaviors that exemplify and

    reinforce these basic principles

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    Organizational Culture

    A pattern of basic assumptions - invented,discovered, or developed by a given group as it

    learns to cope with its problems of external

    adaptation and internal integration That has worked well enough to be considered

    valid and, therefore, to be taught to new

    members as the correct way to perceive, think,

    and feel in relation to those problems (Schien,

    1985)

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    Organizational Culture

    Once established it may be resistant to change

    Nurtured and sustained through hiring practices

    Socialization of new hires

    Organizational culture largely dictates issues like:

    Formalization of rules

    People/team orientation

    Task orientation

    Work hours and dedication to the company

    Dress code

    Ethical standards

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    Functions of Organizational Culture

    Culture is the social glue that helps hold an

    organization together by providing standards for

    what employees say or do.

    Culture provides boundary-defining roles.

    Culture conveys a sense of identity for organization

    members

    It serves as a sense-making and control

    mechanism that guides and shapes the attitudes and

    behavior of employees

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    Significant Components of Culture

    Relationships

    Language and communication

    Institutional and legal systems

    Values and value systems

    Time orientations Mindsets or world views

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    Strategy- Culture Connection

    Link Changes toMission and

    Organizational

    Norms

    Manage Around

    CultureSynergistic

    ReformulateStrategyMany

    Few

    High Low

    Changesin

    Organiz

    ationFactors

    Potential Compatibility of Changeswith Existing Culture