ACESA and CEO Forum N. Ireland

Plan or be Planned for

Slieve Russell Hotel14 – 15 April, 2011

Eddie Molloy, Ph.D.DirectorAdvanced Organisation

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Four Stances vs. EnvironmentInactive: • Lie low, sit tight

• Rely on inertia• This too will pass

Reactive: • Do nothing until you’re told• Retaliate, blame them• Minimal response• Good boy scout

Preactive: • Get ready for what you can predict• Plan

Proactive: • Change how you are framed/viewed• Find a new more relevant role• it’s up to us.

‘it is naive to believe someone else will work it out correctly.’

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Strategic Re-think and Adjustment

• Companies on a positive, predictable trajectory, then - - -

• Hit by perfect storm: (Ireland’s Five-Part Crisis; NESC)• Banking• Public finances• Competitiveness• Social crisis• Reputation• Plus legitimacy of major institutions  

• Implications: - Discontinuous change (vs. incremental)

- Urgency of execution

 

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Scale and Urgency

Incremental/Continuous Strategic/Radical/ Discontinuous

Anticipatory Tuning Re-orientationRe-directing

Reactive Adaptation Re-creationOverhauling

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What changes when the change is discontinuous/radical?

• Wind down in orderly way• Rationalisation of portfolio• Mergers, acquisitions• New business model, e.g. fee for service.• On-line vs. face-to-face service delivery• 20 – 30% reduction in costs• New internal structures• Significant innovation• Cultural change• New blood at Senior levels (Public Service)• New Name/brand

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Stakeholders Want to-day Will want tomorrow

Ought to want tomorrow

Fix Plan Reframe

Open Systems Planning

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Unit of Analysis and ChangeFuture competitiveness Plan 23 Separate Performance improvement Plans

- - - 23

1 2 3 4 5 6 7 8 9

Continuing competitiveness Plan

1 Plan for Dublin Brewery

C C P No. 2

1 Plan for all Breweries in Ireland

C C P No. 31 Plan for all Breweries in

Ireland and UK

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Mergers/Joint VenturesOrg. A Org. B Org X

(Prospectus)

MissionValuesStrategy• Portfolio• Differentiation• Vehicles• PaceBus. Model (Financial Strategy)

ORGANISATION • Structure• Skills• Process• Facilities• Info• Measures• Culture

Place to Work• People• HR policies

Leadership/ Management• Competence• Processes

External Relations

+ =

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Why / Drivers

• Compelling Case• Burning platform

• Vision• Destination

Who is impacted +-

When – sequence

Name responsible person

Is budget allocated

System of Accountability

Dates of 1st, 2nd Review

‘Hard’

‘Soft’ How Change

What

Where to• Strategy• Structure • Budget• Culture • Staffing • Facilities, ICT

• Work practices• Measurement• Management• Processes• Etc. Relations

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Appeals to Guilt and Fear

Appeals to Ideals, Inspires

Time

Fast

What has to be addressed?The Organisational Iceberg

• Strategy: Portfolio, priorities, arenas• Structure• Resource allocation• Management processes• Core Business processes• Work practices• Reward systems• Staff numbers• Skills, competencies• Etc.

• Culture

• Loyalties

• Beliefs

• Work Ethic

• Identity

• Attitudes to

Depth

Slow

RiskEtc.Etc.

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Taboo

Discussible

Technical Challenge

Cultural Challenge

Tactics

• Which has been dominant mode• Given urgency and scale where do we need to be?• Consequences of any shift in mode?

The Place of ‘Partnership’

Theory E: Action, Results, Decisiveness - - -

Theory O: Dialogue, Collegiality - - -

5/5 Suboptimal compromise

Avoidance

10/10

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Plan or be planned for

Thank you

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