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The New Normal:
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The J. Reid Baggett Lectureship
John Spence
The New Normal:Dealing Effectively With Change
The J. Reid Baggett Lectureship
John Spence
A few of my clients:
The J. Reid Baggett Lectureship
John Spence
Anyone who tells you they enjoy change… should seek immediate
professional help.
The J. Reid Baggett Lectureship
John Spence
Emotional Response to Perceived Negative Change
Stability
Immobilization
Denial
Anger
Bargaining
Depression
Testing
Acceptance
Time
Passive
Active
Emoti
onal
Res
pons
e
The J. Reid Baggett Lectureship
John Spence
Managing Positive Responses to Change
Uninformed Optimism
Informed Pessimism
HopefulRealism
Informed Optimism
Completion
CheckingOut
TIME
PESS
IMIS
M
The J. Reid Baggett Lectureship
John Spence
The eight major steps of the change processBuild the case
for change
Create a strong sense of urgency
Form a powerful guiding
coalition
Create a clear vision for successful
change
Relentlessly communicate
the vision
Empower others to act
Plan for and create short-
term wins
Institutionalize new
approaches
The J. Reid Baggett Lectureship
John Spence
Build an irresistible case for change
The J. Reid Baggett Lectureship
John Spence
Create a strong sense of urgency
The J. Reid Baggett Lectureship
John Spence
Form a powerful guiding coalition
The J. Reid Baggett Lectureship
John Spence
Create a clear vision for successful change and communicate it relentlessly
The J. Reid Baggett Lectureship
John Spence
Empower others to act
The J. Reid Baggett Lectureship
John Spence
Plan for and celebrate small wins
The J. Reid Baggett Lectureship
John Spence
Institutionalize the change
The J. Reid Baggett Lectureship
John Spence
Four antidotes to change resistance1. Bring employees face-to-face with the external pressures to change
2. Engage change “zealots”
3. Support the change with new tools, systems and training
4. Manage employee feelings…
The J. Reid Baggett Lectureship
John Spence
Safety
Belongingness
Appreciation
The J. Reid Baggett Lectureship
John Spence
I came to learn in my time at IBM that culture wasn’t one of the things… it was the only thing.
Lou Gerstner, former CEO -- IBM
The J. Reid Baggett Lectureship
John Spence
Definition: • The values, mindsets, and behaviors that constitute an environment conducive to organizational success.
The J. Reid Baggett Lectureship
John Spence
Success
Patient Satisfaction
Engaged and Satisfied Employees
Strong Organizational Culture
The J. Reid Baggett Lectureship
John Spence
Great Places to Work Study
At the heart of our definition of a great place to work - a place where employees "trust the people they work for, have pride in what they do, and enjoy the people they work with" - is the idea that a great workplace is measured by the quality of the three, interconnected relationships that exist there:
• The relationship between employees and management.
• The relationship between employees and their jobs/company.
• The relationship between employees and other employees.
The J. Reid Baggett Lectureship
John Spence
Not Engaged Engaged
Enga
ged
Not E
ngag
ed
Job EngagementO
rgan
izat
iona
l Eng
agem
ent
50%
9%
Benchwarmers
7%
Free Agents
34%
Stars
Disengaged
The J. Reid Baggett Lectureship
John Spence
The Six Universal Drivers of Engagement
1. Caring, competent, and engaging leaders.
2. Effective managers who keep employees informed, aligned and engaged.
3. Effective teamwork at ALL levels.
4. Job enrichment and professional growth.
5. Valuing employees and their contributions.
6. Positive and supportive culture.
The J. Reid Baggett Lectureship
John Spence
The key elements of a strong culture
Positive Culture
Fun
Family
Friends
FairPride
Praise
Meaning
The J. Reid Baggett Lectureship
John Spence
From 8,000 companies down to the top 30 as judged by both customer and employee satisfaction and engagement
• Amazon• BMW• CarMax• Caterpillar• Commerce Bank• Container Store• Costco• eBay• Google• Harley-Davidson• Honda• IDEO• IKEA• JetBlue
• Johnson & Johnson• Jordan’s Furniture• L.L. Bean• New Balance• Patagonia• REI• Southwest Airlines• Starbucks• Timberland• Toyota• Trader Joe’s• UPS• Wegmans• Whole foods
The J. Reid Baggett Lectureship
John Spence
Key attributes of the firm’s of endearment• They align the interests of all stakeholder groups, not
just balance them.• They operate at the executive level with an open
door policy.• They devote considerably more time than their
competitors to employee training.• They empower employees to make sure customers
leave a transaction experience fully satisfied.• They make a conscious effort to hire people who are
passionate about the organization and its products/services.
The J. Reid Baggett Lectureship
John Spence
• They consciously humanize the company experience for customers and employees, as well as the working environment.
• They project a genuine passion for customers, and emotionally connect with customers at a deep level.
• They treat suppliers as true partners and encourage suppliers to collaborate with them in moving both of their companies forward.
• They consider their corporate culture to be their greatest asset and primary source of competitive advantage.
• Their cultures are resistant to short term, incidental pressures, but also prove able to quickly adapt when needed.
Key attributes of the firm’s of endearment
The J. Reid Baggett Lectureship
John Spence
The four key elements to build trust with employees:
• Respect for individuals• Transparency• Team building• Empowerment
The J. Reid Baggett Lectureship
John Spence
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