How do you think about change? or control? or strategy?

Life is about not knowing, having to change, taking the moment and making the best of it, without knowing what’s going to happen next. Delicious ambiguity! – Gilder Radner

 

You can try to control people, or you can try to have a system that represents reality. I find that knowing what’s really happening is more important than trying to control people. – Larry Page

 

The command and control methods used to achieve scalable efficiency for the industrial era don’t work well for a world of constant change where predictability has been lost to the wind, and innovation and imagination are now the coin of the realm…Embrace change as an adventure. – John Seely Brown

 

We don’t have a two year plan. We have a next week and a next quarter plan. Most of our successful products were built by small teams reacting quickly.” Indeed, awhile ago I asked Android head Andy Rubin what Android would look like in three years. He said there was no way to know; they have a one-year plan for it that they tweak every couple of months.

So, can this be made into a general principle, applicable across lots of industries? With a few challenges, yes. For one thing, this kind of high-speed innovation seems to require a near-addiction to a rapid flow of data that everyone can agree on, with a good feedback loop to test ideas...You also probably need to tolerate a certain level of waste – which people should start calling learning and experimentation.” – Eric Schmidt

Adaptation: the interplay between culture and strategy

To influence change in an organization, I have found that these two elements are fundamental:

  • The strategic objectives of the change initiative to be implemented, and
  • The culture of the organization, and how it may support those strategic objectives       

Organizational culture is what emerges over time through small day-to-day events and in large significant shifts, including in particular shifts that are unplanned or unanticipated that have lasting impact.

Culture is understood in the norms that are seen, the stories that are told, in small groups, in big settings – it is what is known about the organization – its internal environment. Each norm and story, and the way that people respond to them, form the basis of the organizational culture. The more consistent the stories, the stronger the culture becomes.

Strategy is executed through the behaviors and actions of everyone in the organization. Those behaviors and actions are impacted by the cultural norms.

So - culture provides the context for options for strategic action. This context is critically important. The successful implementation of any new strategic opportunity depends on the fit – does the culture support it? In general, if an organization’s culture does not fit with the implementation realities of the new strategy, there are three options:

 

  • Find other opportunities more attuned to your culture.
  • Work to prepare your organization’s culture before full-scale implementation.
  • Press ahead while expecting to fail. Obviously the resulting failure will get embedded in the culture. If the culture holds that “failure is not an option” this could be problematic, although some organizations do learn well by failing.

 

Picking an option in guiding the organization is a blend of science and art, logic and emergence. Given the vital role of cultural context, if you take the stance that strategy is more about insight than process, you more readily take culture into account in implementing strategic direction.

So what is change really about? Adaptation.

Think of the yin-yang symbol - culture renews strategy, and conversely, strategy shifts culture. They form an interdependent pair - any problem with one will affect the other, yet the success of one creates the potential for the success of the other. Adaptation is the overall interplay between the two.

Adaptive capacity is the key to sustaining culture and achieving strategic objectives.  Big strategic opportunities depreciate in value and expire over time, unless they are bolstered by smaller strategic moves that renew and revitalize those opportunities. These small yet significant moves at times must be chosen in the moment – to adapt to current conditions. An organization that is quick to adapt to internal and external changes improves its chance to deliver on large change initiatives.

Culture is a key variable in the chaos of inputs that you must organize and think through to craft strategic direction. If you are looking for a quick in-and-out strategic opportunity, where you have no intention or need of sustaining long-term gains, culture does not matter in the design (although the culture WILL surely be affected by this event). If you are looking at long-term significant opportunities where your intention is to build and grow a company to exploit those opportunities, managing culture is vital. Achieving strategic intentions depends on the development or shaping of culture toward these intentions. When culture is ignored, strategic objectives almost surely fall short of the intentions. There is no “there” there to support them.

 

Process Improvement + Change Management = Better Outcomes

 

There is nothing permanent except change. - Heraclitus 

Change means that what was before wasn't perfect. People want things to be better. - Esther Dyson

To improve is to change; to be perfect is to change often. - Winston Churchill 

All organizations deal with change. Sometimes change is intentional, sometimes it arrives out of the blue. Even if a change was unanticipated, sometimes it is well within capacity, but other times it becomes wholly disruptive. How do organizations best deal with significant change, small change, planned change, unpredictable and out-of-control change?

In all cases, it depends on adaptation - considering the questions "Where are we now? Where do we want to be? How do we get there?". Adapting well regardless of the size and type of change is a key to sustainable organizations. Organizations make choices about how to invoke change from within, and how to respond to changes that come from external sources. Change management, or change leadership (or whatever name works well for you) requires understanding and influencing these choices, and the impacts on the people affected. Doing this well is necessary for any organization to remain relevant within its environment.

Organizations often focus on and invest in having the best processes for getting things done. Smart organizations consider how their members respond to change, big or small. This focus on people must be seen as a work process of its own - one that helps the organization progress from one operating state to the direction of the new desired state. This focus requires an adaptive organization, one that is not static. Change is not a single transition or transaction - it is a core process constantly in operation.

Change work is complementary to process improvement - ensuring essential processes are viable with the people involved with them, adapting along the way.