Transformational Culture

Leadership

Jon R. Wallace, MASiena Heights University/Lake Michigan College

Leadership never occurs in a vacuum. Organizational culture change improving results and profitability require engaged followers whose hearts have been moved by a vision communicated and demonstrated by those in power.

(Deal, 1982; Avolio 1999; Senge, Kleiner, Roberts, Ross, & Smith, 1994; Kouzes & Posner, 2007).

Organizational Learning

(Senge, et al., 1994).

Experience Knowledge Purpose

Organizational Citizenship Behavior• Rules• Collaboration• Governance• Good Sports• Altruistic• Group and the

Organization over self-interests

(VanYperen, Vandenberg, & Willering, 1999; Krishnan & Arora, 2008).

The Full Range of Leadership

Laissez Faire

MBE(Passive/Aggressive)

Transactional (ContingentReward)

Transformational/Servant

(Avolio 1999; Bass & Riggio, 2006)

Leader’s Self Knowledge

Directly impacts followers:• Job satisfaction• Engagement• Autonomy• Adaptability• Cohesiveness• Collaboration

(Goleman 1995, 2002; Tekleab, et al., 2008; Feinberg, et al., 2005; Wang and Huang, 2009)

Idealized Influence

• Admiration, trust & respect• “Modeling the way”• Joint risk & empowerment• Vision, passion & integrity• Moral standards

(Bass & Riggio, 2006; Kouzes & Posner, 2007; Avolio, 1999; Bennis, 2009; Northouse, 2007; Senge, et al., 1994).

Inspirational Motivation

• Emotional Symbolism

• Sharing Vision• Engagement• Charismatic• Followers feel

valued

(Bass & Riggio, 2006; Kouzes & Posner, 2007; Avolio, 1999; Barbuto, 2005; Goleman, 1995, 2002; Northouse, 2007; Senge, et al., 1994).

Individualized Consideration

Transformational leadership practices build psychological capital with followers which

enhances their internal motivation and organizational

learning culture.

(Gooty, Gavin, Johnson, Frazier and Snow, 2009)

Intellectual Stimulation• Organizational

learning culture• Commitment to

increased complexity

• Increased individual skill mastery

• Increased OCB

(Joo & Lim, 2009; Gerhardt & Lulzadis, 2009; Gerhardt, Ashenbaum & Newman, 2009).

Organization Citizenship Behavior

• TL + OCB = higher follower performance• Healthy debate (adaptive

conflict) is required• Leaders behavior is key• Leaders’ OCB and

followers’ OCB are not always equal or directly related.

(Boerner, Eisenbeiss & Gresser, 2007; Heifitz, 1994; Krishnan & Arora, 2008)

Org Culture & Change• Beyond historical• Processes, structure,

strategy, mission, vision & values

• Time factor• Communication• Shared vision

(Avolio, 1999; Schein 1999, 2004; Mallinger, Goodwin & O’Hara 2009; Pepper, 1999; Kotter & Cohen, 2002,

Theoretical

(Bass et al., 2003; Biswas, 2009; Barbuto, 2005; Boerner & Griesser, 2007; Rowold & Roman, 2009; Sarros, Cooper, & Santora, 2008; Wang & Huang, 2009; Wolfram & Mohr, 2009; Kotter & Cohen, 2002).

Gallop – The 12 Key Elements1. I know what is expected of me at

work.2. I have the materials and equipment

I need to do my work right.3. At work, I have the opportunity to

do what I do best every day.4. In the last seven days, I have

received recognition or praise for doing good work.

5. My supervisor, or someone at work, seems to care about me as a person.

6. There is someone at work who encourages me development.

7. At work, my opinions seem to count.

8. The mission or purpose of my company makes me feel my job is important.

9. My associates or fellow employees are committed to doing quality work.

10.I have a best friend at work.

11. In the last six months, someone at work has talked to me about my progress.

12.This last year, I have had opportunities at work to learn and grow.

Wagner, R & Harter, J.K. (2006). 12: the elements of great managing. New York, NY. Gallup Press

Gardner – The 7 R’s

Reason

Research

Resonance

Redescriptions

Resources and Rewards

Real World Events

Resistances

Gardner, Howard (2006). Changing Minds: The Art and Science of Changing Our Own and Other People’s Minds. Boston, MA. Harvard Business

Publishing

Theoretical

(Bass & Riggio, 2006; Kouzes & Posner, 2007; Avolio, 1999; Martin, R. 2009)

The Research

For profit Hotel Non profit youthorganization

The Research• Conducted May 2010 –

September 2010– On site with hotel daily– Survey collection only with

non profit

• MLQ (5x)• Mallinger integrated cultural

framework• Final surveys January &

February 2011

Initial MLQ

The Hotel

The Hotel18 months of customer surveys revealed:

• A 2.76 out of 4.00 rating for the entire organization by guests.

• A 2.61 out of 4.00 for housekeeping department.

• A 2.00 out of 4.00 for the facility’s physical condition.

The Hotel – Mission, Vision & Values

The Hotel

Employee Manuals

Employee Promise

1. I will greet every guest & co-worker with smiling warmth & sincerity.

2. I will be proactive in providing the highest levels of service & quality immediately to guests & co-workers.

3. I will maintain the highest levels of integrity & respect for others.

The Hotel

HCL – Employees FirstCustomer

Employee

Enabling Function

Management

The Value ZoneMaximizing the WOW in the value zone

In a knowledge intensive and service intensive industries, value gets created in the interface

between the customer and the employee

Pillai, A. (2011). HCL

Results

1. The hotel experienced their most profitable summer in five years.

2. The hotel experienced their most profitable fourth quarter in over five years.

3. Leadership got the results they wanted but didn’t care what got them there enough to enable permanent change.

Results

Results

Results

Conclusion

Conclusion

Conclusion

Conclusion

Conclusion• The specific tools leaders use within their organization

are relative to the leader and their followers.• Organizational culture change can be positively

effected at least at the department level within a shorter period of time.

• Rewards don’t necessarily mean money but “You get to keep your job” is not a reward.

• If upper leadership isn’t willing to “model the way” or isn’t trustworthy, results will be mixed and may not be sustainable

(Bass et al., 2003; Biswas, 2009; Barbuto, 2005; Boerner & Griesser, 2007; Rowold & Roman, 2009; Sarros, Cooper, & Santora, 2008; Wang & Huang, 2009; Wolfram & Mohr, 2009; Kotter & Cohen, 2002).