The IdeaMonopoly?The IdeaMonopoly?

KeithDe La RueKeithDe La Rue

http://www.flickr.com/photos/http2007/

Or… Orgsourcing?

http://www.flickr.com/photos/jamescridland/

Why does change fail?

“Nearly 60 percent of projects aimed at achieving business

change do not fully meet their objectives”

2008 IBM study of more than 1,500 change management executives from 15 countries

“Nearly 60 percent of projects aimed at achieving business

change do not fully meet their objectives”

2008 IBM study of more than 1,500 change management executives from 15 countries

http://www.flickr.com/photos/misserion/

http://www-03.ibm.com/press/us/en/pressrelease/25492.wss

A brief history of change

Change by command…

http://www.flickr.com/photos/lyng883/

Change management…

http://www.flickr.com/photos/cote/

Change communication…Change communication…

http://www.flickr.com/photos/andrewfeinberg/

Employee engagement…Employee engagement…

http://www.flickr.com/photos/ideai/

But aren’t we forgetting something?

http://www.flickr.com/photos/pookhy/

Organisations today are complexOrganisations today are complex

http://www.flickr.com/photos/odreiuqzide/

Because they depend on peopleBecause they depend on people

http://www.flickr.com/photos/beglen/

Complexity theory?Complexity theory?

We need to understand how organisations work, before we can effectively change them

• People are:– Complex, unpredictable, dynamic– Resistant to engineering

• Change is only made possible by people

http://www.flickr.com/photos/kevindooley/

The Cynefin Framework• A way to look at the nature of organisations• Tools to work with the environment• Developed by David Snowden, Cognitive Edge• Welsh: “habitat, place”

– Conveys the sense that we all have multiple pasts of which we are only partly aware: cultural, religious, geographic, tribal, etc

http://www.flickr.com/photos/clspeace/

• ComplexCause and effect coherent in retrospect, repeat accidentally– unpredictable

• ComplicatedCause and effect separated over time & space, but repeat – analysableKnowable

• SimpleCause & effect relations repeatable & predictableKnown

• ChaosNo cause and effect relationships generally perceivable

http://www.flickr.com/photos/joestump/

http://www.flickr.com/photos/clspeace/

http://www.flickr.com/photos/g_kovacs/

http://www.flickr.com/photos/111 emergency/

• ComplexMultiple small and diverse interventions to create optionsProbe-sense-respondProbe-sense-respond

• ComplicatedAnalytical techniques to determine facts and option range Sense-analyse-respondSense-analyse-respond

• SimpleStandard processes with review cycles and clear measuresSense-categorise-respondSense-categorise-respond

• ChaosSingle or multi actionsto stabilise situationsAct-sense-respondAct-sense-respond

• ComplexInformalEmergenceSocial Media

• ComplicatedDomain of expertsGood practice20th Century

• Simple“Business as usual”Best practice19th Century

• ChaosNovelCrisis

Catastrophic changeCatastrophic change

Ord

ered

Ord

ered

Uno

rder

edU

nord

ered

DisorderDisorder

Organisations are complexOrganisations are complex

• Dynamic, with rich interactions• Different people operating at different levels• Feedback• Non-linear, unpredictable• Emergent characteristics

– Whole different to sum of parts

• Small changes can have large impacts• History can make a difference

• Dynamic, with rich interactions• Different people operating at different levels• Feedback• Non-linear, unpredictable• Emergent characteristics

– Whole different to sum of parts

• Small changes can have large impacts• History can make a difference

http://www.flickr.com/photos/randysonofrobert/

EmergenceEmergence

• Fly to the centre• Match speed• Avoid collision

http://www.flickr.com/photos/moriza/

Simple wisdom doesn’t apply Simple wisdom doesn’t apply

• ““The definition of insanity is doing the same The definition of insanity is doing the same thing twice and expecting a different result”thing twice and expecting a different result”– In a complex environment, doing the same thing In a complex environment, doing the same thing

twice twice willwill give a different result give a different result

• ““You can't fix what you can't measure”You can't fix what you can't measure”– You You cancan intervene in a complex environment, even intervene in a complex environment, even

though you though you can’t can’t measure it reliablymeasure it reliably

http://www.flickr.com/photos/emmettanderson/

In modern, complex, people-centric organisations, it is people and what they know that provide the only real competitive advantage

http://www.flickr.com/photos/isayx3/

People create value

I came to see in my time at IBM that culture isn't just one aspect of the game - it is the game!

In the end, an organisation is nothing more than the collective capacity of its people to create

value. - Lou Gerstner, IBM

There is no monopoly on ideas!There is no monopoly on ideas!

http://www.flickr.com/photos/gaetanlee/

People need to be creative

I believe that a focus on creativity is absolutely essential for current business success…

I maintain that creativity is possible and desirable in all forms of work, no matter what people are doing. In particular, knowledge workers require

creativity.– Teresa Amabile, Harvard Business School

How to encourage creativity

• Support people emotionally• Monitor work in a positive way• Recognise good performance, in public• Consult with people on the team• Collaborate –spend time with team on tasks

Cognitive rewards

• Monetary rewards don't work where more cognitive work required:– Autonomy– Mastery– Purpose

• Self-directed = better engagement• eg Atlassian

– Dan Pink, Drive

The myth of control

Peter Drucker constantly advisedbusinesses to give employees directcontrol over their own work andenvironment, with teams of “knowledge workers” responsible for work toward goals stated as broad business objectives rather than prescriptive plans. Drucker stated that management could only achieve sustainable profits by treating people as an enterprise’s most valued resources, not as costs.

- Greg Lloyd http://traction.tractionsoftware.com/traction/permalink/Blog1163

Everyone can contribute

When leaders learn to creatively engage their subordinates in everyday decision making,

they can make change happen. - John Smythe, Engage for change

McKinsey Research

• 2008 report• 59 organisations researched globally• Single, most influential cause of more engaged

employees:The appetite and ability of leaders at every level to engage their subordinates in everyday decision making and bigger-ticket change

http://www.flickr.com/photos/cell105/

All of us are smarter than any of us

• The Wisdom of Crowds - James Surowiecki• Under certain conditions• Works for cognition problems• Diversity• Independence

http://www.flickr.com/photos/stephanridgway/

Tools for complexity

• Anecdote circles• Safe-fail probes• Social Network Stimulation• The Future, Backwards• Sensemaking• Knowledge cafés• Change Cards• Organizational Zoo

Build trust through social media

What is the result?

Leaders who engage the right groups in everyday decisions and in designing and executing change

will benefit both in terms of the quality of decisions and the speed of execution that derives from people who feel ownership of the outcome.

- John Smythe, Engage for change

What is your experience?Can we make this work?What can we do?Let’s go and create our future… @kdelarue

0418 51 7676keith@delarue.net

http://acknowledgeconsulting.com/