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Change quadrants, Salvador Trinxet

Then management tools and practices that will improve your business

Title: Key management models

Author: Steven ten Have Wouter ten Have, frans Stevens and Marcel van der Elst with Fiona Pol- Coyne

Isbn:-10: 0-273-66201-5

Isbn-13: 978-0-273-66201-3

Editorial: Prentive Hall , Financial Times

Text:

The change quadrants model helps management to define an approach for successfully managing organizational change. The change quadrants can be useful in determining the change agents, identifying active participants in the change process, and establishing the scope of change and the timing in order to maximize the success of change efforts.

The basic premise is that the approach for change depends on whether an organization is ‘warm’ or ‘cold’, and whether the change is ‘warm’ or ‘cold’:

■ A cold organization is one where rules, regulations, systems, structures and procedures drive direction, control and co-ordination to get results; there is little or no intrinsic willingness to (out)perform. In a warm organization, however, it is shared norms and values, and a common understanding of direction that make the organization work.

■ A cold change is the result of an objectively discernible situation or emergency, such as a near bankruptcy, a drastic drop in market share, revenues, profits or an unavoidable (new) competitive threat. A warm change, on the other hand, is primarily driven by personal and professional ambitions.

Based on the various warm/cold combinations of organization and change, there are four possible change strategies: intervention, implementation, transformation and innovation.

When to use it

The model of change quadrants is qualitatively constructed for each company, drawn up on the basis of interviews with key figures within the organization. Besides the warm/cold typology, our experience with change processes has revealed several underlying dimensions that also need to be investigated: necessity of change, momentum, resistance to change, culture and empowerment.

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Salvador Trinxet, The capability maturity model

Book: Key management models

Author: Steven ten Have Wouter ten Have, frans Stevens and Marcel van der Elst with Fiona Pol- Coyne

Isbn:-10: 0-273-66201-5

Isbn-13: 978-0-273-66201-3

Editorial: Prentive Hall , Financial Times

Have you ever wondered why that expensive new system did not pay off as much as expected? The capability maturity model provides insight into the stage of development of maturity of an organization for software development.

This model describes five evolutionary levels of ways in which the organization manages its processes. Specific steps and activities to get from one level to the next are provided. The most ominous message is that the organization should be able to ‘carry’ its software applications.

When to use it

Use the capability maturity model to determine which of the following describes your organization best:

Initial. The development process is characterized as ad hoc, occasionally chaotic. Few processes are defined, and success depends on individual efforts.
Repeatable. Basic project management processes are established to track cost, schedule, and functionality. The necessary process discipline is in place to repeat earlier successes on projects with similar applications.
Defined. The software process for both management and engineering activities is documented, standardized, and integrated into a standard software process for the organization. All projects use an approved, tailored version of the organization’s standard software process for developing and maintaining software.
Managed. Detailed measures of the software process and product quality are collected. Both the software process and products are quantitatively understood and controlled.
Optimizing. Continuous process improvement is enabled by quantitative feedback from the process and from piloting innovative ideas and technologies.

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Business process redesign, Salvador Trinxet

Business process redesign (BPR) gurus Hammer and Champy (1993) define BPR as the fundamental reconsideration and radical redesign of organizational processes, in order to achieve drastic improvement of current performance in cost, quality, service and speed. Value creation for the customer is the leading factor for process redesign, in which information technology often plays an important role.

There are generally five important rules to keep in mind with any BPR project:

Determine strategy before redesigning.
Use the primary process as a basis.
Optimize the use of information technology.
1. Organizational structure and governance models must be compatible with the primary process.

In addition, there is a general condition for success, namely that management and employees must participate.

Often, the redesign entails a ‘back to square one’ approach. In an effort to allow discussion of any new views on how to design the organization, the existing organizational structure and processes are considered ‘nonexistent’, or irrelevant in the redesign.

When to use it

Before engaging in a BPR project, the organization must come to the realization that there is a need for BPR. Consequently, the very first step is determining the scope of the BPR project, or even more fundamentally, deciding if there is a need for BPR at all. The BPR team should determine this need by assessing indicators such as:

■ numerous conflicts within (parts of) the organization;

■ unusually high frequency of meetings;

■ excessive amount of non-structured communication (memos, e-mails, announcements, etc.).

Successful BPR projects executed by Berenschot consultants have yielded such remarkable results as:

– 70% reduction in order delivery time

– 60% reduction in average inventory level

– 25% increase in revenues

– 50% reduction in indirect labour

– 98% delivery reliability, up from 70%.

One way to determine whether or not there are too many conflicts or whether or not meetings and additional communication are excessive is by benchmarking the organization or department with another.

Having established the need, the next step in the BPR process is the redesigning of (part of) the organization in accordance with strategic requirements. Ask:

– What is the focus of our efforts (think about products, services and target customers)?

-What are the critical success factors?

– How can we achieve maximum efficiency based on the required output levels?

The third step is determining the required management of the newly designed organization. Typical questions here are:

– How can we ensure that processes will function as intended?

– How can we measure performance?

– How can we adjust for improvements, if needed?

– How can we compensate or reward?

The last step comprises the implementation of the new organizational structure, the installation of management and procedures, and the integration of the organization’s work methods into its environment.

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Business process redesign, Salvador Trinxet

Benchmarking, Salvador Trinxet Llorca

Book: Key management models

Author: Steven ten Have Wouter ten Have, frans Stevens and Marcel van der Elst with Fiona Pol- Coyne

Isbn:-10: 0-273-66201-5

Isbn-13: 978-0-273-66201-3

Editorial: Prentive Hall , Financial Times

The big idea

Benchmarking is the systematic comparison of organizational processes and performances in order to create new standards and/or improve processes. There are four basic types:

-internal – benchmarking within an organization, e.g. between business units;

-competitive – benchmarking operations and performance with direct competitors;

-functional – benchmarking similar processes within the broader range of the industry;

-generic – comparing operations between unrelated industries.

All types of benchmarking can be very rewarding: they can provide new insights into strengths and weaknesses of (parts of) an organization, illustrate possible improvements, objective norms, new guidelines and fresh ideas.

When to use it

Much has been written on the methodology of the benchmarking process. Most variations on the basic elements of the methodology are the result of including situational characteristics or explanatory factors to account for differences, forward-looking industry analyses or simply practical issues that arise in certain industries or in communication between benchmarking partners and analysts.

Benchmarking entails the following (sometimes overlapping) steps:

– Determine the scope.

– Choose the benchmark partner(s).

– Determine measure(s), units, indicators and data collection method.

– Collect data.

– Analyse the discrepancies – get facts behind the numbers.

– Present the analysis and discuss implications in terms of (new) goals.

– Make an action plan and/or procedures.

– Monitor progress in ongoing benchmark

Ideally, the benchmarking partner is considered to be performing at least equally as well or better. Potential partners are often identified through industry experts and publications.

Quite often, differences in products, processes and management make comparison difficult, if not impossible. Berenschot uses the BETTI® Benchmark model, depicted in the figure. This particular variation of benchmarking accounts for explanatory factors or situational characteristics that define the company’s situation, e.g. a complex product or very wide assortment. Performance indicators can be adjusted using the situational characteristics, to allow for a ‘fair’ comparison and derive the improvement potential for each particular performance indicator.

An example of such an explanatory factor is product complexity. If your company has a higher product complexity, e.g. in terms of number of parts or actions, than that of the benchmark partner, that could (partially) explain a lower on-time completion reliability. Not only can an analyst use multiple benchmarks to derive an approximation of the ‘benchmark’ for your company, the very determination of the explanatory factor triggers an improvement opportunity. In this example, a lower number of parts or actions could increase on-time completion reliability.

Site visits to the benchmark partner, as well as mutual interest in the benchmarking project increase the rate of success of benchmarking significantly. Warning: the buzzword to describe unprepared or non-specific benchmarking visits is ‘industrial tourism’.

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Belbin’s team roles, Salvador Trinxet

Belbin’s team roles, Salvador Trinxet

Book ” Key management models”

The big idea

Belbin (1985) derived the concept of nine distinct and interdependent team roles from his study of successful and unsuccessful teams competing in business games.

According to Belbin, a team role is ‘a tendency to behave, contribute and interrelate with others in a particular way’. In order to be successful, a team and its members need to fulfil the following complementary nine roles:

Belbin states that team members with complementary roles are ‘richer’ and more successful.

When to use it

In order to make use of the model, members of a prospective team should first determine which roles they can and want to fulfil.

Each member should subsequently be assessed using the following indicators to see whether, and to what extent they can play one or more of the following nine roles:

The co-ordinator is a mature and confident person. He or she probably brings to the table experience as a chairman or leader of some kind. This person clarifies goals, encourages decision-making, and delegates tasks, but can, however, be manipulative or bossy, especially when he or she lets others do work that could and should be done by himself/herself.

The team worker is co-operative, mild, perceptive and diplomatic. In * a nutshell: everybody’s friend. The team worker listens, builds, balances, and averts friction. His or her inherent indecisiveness surfaces in crunch situations. The doers in the team tend to think the team worker talks too much.

The resource investigator is an enthusiastic, communicative extrovert who explores opportunities and develops contacts that he thinks will benefit him/her now or later. Although opportunistic and optimistic, the resource investigator tends to have a short span of attention and quickly loses interest.

The ‘plant’ is Belbin’s name for the creator or inventor. The plant is creative and imaginative, brilliant at times. His or her unorthodox thinking helps to solve difficult problems. The plant ignores incidentals and is too preoccupied to communicate effectively. The problem is that this self-aware genius has a tendency to get other team members’ backs up.

The monitor evaluates actions and ponders the strategy. The person is sober, yet discerning and keeps track of progress. He or she oversees all options and judges accurately, but lacks drive and ability to inspire others.

The specialist is a single-minded, dedicated self-starter. The specialist provides rare knowledge and skills so his/her contribution is limited to a narrow front. This person gets a kick out of technicalities and needs to be told to get to the point.

The shaper is challenging, dynamic, and thrives on pressure. He or she has the drive and courage to overcome obstacles, sees no evil, hears no evil. The shaper might rub people the wrong way in his/her zealous efforts get things going. Don’t people share the shaper’s vision?

The implementer is disciplined, reliable, conservative and efficient, and turns ideas into practical actions. Once at work, the implementer will keep going and stick to the plan. This person might be a little rigid and unwilling to adapt alternative approaches or solutions along the way.

The finisher is meticulous, punctual, conscientious and anxious to make sure everything turns out perfect. The finisher delivers on time, but sometimes worries too much. He or she certainly hates to delegate work. Nobody else seems to understand that it has to be perfect.

The assessment can be done in various ways:

■ self-assessment (apply scores, rank, rate or distribute weights), possibly overseen by a third party;

■ team assessment (let the team work on a small assignment or game and let the members grade each other);

■ assessment by mentor, co-worker or supervisor, former team members, etc.

With a profile of each team member’s ability to fulfil one or more roles, potential under or overrepresentation of certain roles in the team can be detected. If necessary, management may decide to use this information to reshuffle the team.

Analysis of team members using the Belbin model is especially useful in situations where a team must be created to undertake an assignment that requires a certain set of skills and combination of roles.

Such an assessment is in itself beneficial in that it encourages individuals to take a closer look at themselves, and at their strengths and weaknesses. These can then be exploited or corrected as appropriate, ultimately resulting in a more flexible and thus stronger team.

Book title: Key management models

Author: Steven ten Have Wouter ten Have, frans Stevens and Marcel van der Elst with Fiona Pol- Coyne

Isbn:-10: 0-273-66201-5

Isbn-13: 978-0-273-66201-3

Editorial: Prentive Hall , Financial Times, Activity-based costing

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