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Mike Cisek@mrcisek

How MSE CIOs Can Create a Sustainable Culture of Innovation

Midsize Enterprise Summit Spring5 – 7 May 2019 / Orlando, FL

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“If you give a good idea

to a mediocre team,

they will screw it up.

If you give a mediocre

idea to a brilliant team,

they will either fix it or

throw it away and

come up with

something better.”

Edwin Catmull Former President of Pixar and Walt Disney Animation Studios


Five Truths About Organizational Culture(s)

1

2

3

4

5

Culture is easy to discuss, but difficult to define or quantify — it is a mass of factors that make up

how an organization “feels.”

Leadership is the linchpin in creating a successful culture. Enabling organizational cultures are

open, dynamic and curated by empathetic managers.

“Cultural barriers” are nearly always people or processes that slow the pace of change.

Antiquated systems are costly and expensive to replace, but mindsets can be harder to change.

Organizational culture can be influenced from the top down, but it needs to be authentic,

consistently applied and “taken seriously” to be adopted by the grassroots.

There isn’t one paradigm — successful organizational cultures can differ considerably from each

other. Success is achieving a harmonious balance between the core elements.


Key Issues

1. Why culture matters to a midsize enterprise CIO

2. Establishing a highly productive culture of innovation within a MSE

3. Tactics MSE CIOs must implement immediately


Culture is the

no. 1 barrier to digital transformation cited by CIOs

Only 31% of CHROs believe current culture can support future performance

We Don’t Have the Culture We Need


How things are done,

but can get us stuck.

Keeps us going, and is

constantly changing.

Gives us sense of

belonging, driven

by perceptions.

Culture Serves Many Purposes for an Organization

Culture is mindsets and practices that shape behavior.

Experiential MotivationalPsychological


73%

41%

32% 31%

2%

11%

Productivity Cost Risk Revenue Other No Impact

$ !

We Believe That Culture Improves Productivity

Employees believe that culture

improves the bottom line metric of

productivity. The one that feels

most directly related to them.

Base: All Respondents, Excludes “Don’t know”; n = 234 (Sample: Gartner Research Circle Members/External Sample)

Q: Does culture impact your organization’s bottom line metrics? Please select all that apply.

Percentage of Respondents

Impact of Culture on Bottom Line Metrics


Attributes of Culture — Impact on Business Goals

Trust

Employee Engagement

Leader’s Tone at the Top

Management Style

Risk Tolerance 35%

29%

20%

21%

24%

Barriers Enablers

Customer Centricity

Empowerment

Leader’s Tone at the Top

Collaboration

Innovation 30%

20%

23%

25%

25%

Base: All Who opine Culture Affects an Organization’s Ability to Achieve Digital Ambitions; Excludes “Don’t know”; n = 223 (Sample: Gartner Research Circle Members/External Sample); “Other” Not Shown

Q: Which elements of culture, if any, do you believe are the top 3 enablers to your organization’s “business goals”/“digital ambitions”? Please select up to 3 responses

in order of impact where (1) is the most impactful.

Base: All Who Opine Culture Affects an Organization’s Ability to Achieve Digital Ambitions; Excludes “Don’t know”; n = 221 (Sample: Gartner Research Circle Members/External Sample) “Other” Not Shown

Q: Which elements of culture, if any, would you say are the top 3 barriers to your organization’s “business goals”/“digital ambitions”? Please select up to 3 responses

in order of significance where (1) is the most significant barrier.


Key Issues





To Break Through, Focus on These Three Attributes

The expectations set

and the modeling done

by the top leaders for

the organization.

The extent that

employees feel their

work matters and

will invest

discretionary effort.

How work is directed

and managed in the

organization.

Leader’s Tone

at the Top

Employee

Engagement

Management

Style


Public Enemy No. 1

Approaching with caution may be more dangerous

than appearances suggest.

Leadership

*Actually it’s creating new habits

to override the old ones.

Real change is a matter of

replacing bad habits with

good habits!*


Leader’s Tone at the Top: Lack of Consistent Messaging

When leaders

don’t communicate

the same thing …

… they cause

confusion.


… they

create distrust

Self-

protection

Fear

Anxiety

Doubt

Suspicion

Leader’s Tone at the Top: Lack of Integrity

When leaders

say one thing

but do

something else …


Three Management Secrets FromThe New One Minute Manager

1. One-Minute Goals

– Being aware of what is expected from t

he beginning

2. One-Minute Praisings

– Being acknowledged for your good work is

higher on the job satisfaction list than money.

3. One-Minute Reprimands

– Praise first then point out the error immediately

and let them know it’s unacceptable.

Immediate Feedback (unlike annual reviews)

Leadership


“It’s nice to be both but it’s very difficult. But if I had my choice, I would rather be feared.

Fear lasts longer than love.”

Sonny LoSpecchio (Chazz Palminteri) A Bronx Tale

Management

Style


“Who you work with matters. Close work friendships boost employee satisfaction by 50%.”

Harvard Business Review

Engagement

“People with a best friend at work are seven times more likely to engage fully in their work.”


“If there’s any mistake we make in business it’s staying with the wrong people too long.”

Tony Robbins

Leadership


Tackle the Barriers and Convert Them to Enablers

Same Page Messaging

You Change First

Right Amount of

Directive

What Is Possible

Conversations

Rewarding Career

Development

Engagement

Conversations

Inconsistent Messaging

Lack of Integrity

Authoritarian Style

Lack of Safety

Lack of Emotional

Commitment

Lack of Knowing

Work Matters

Barrier

Enabler

Leader’s Tone at the Top Management Style Employee Engagement


Key Issues





“Its not the person you hire that will destroy your business it’s one you fail to fail to fire that will destroy your business.”

Tony Robbins

Leadership


First Rule of Culture Hacking …

… clarify what cultural traits you are hacking toward.

Growth Mindset

• Unleashes creativity

• Reduces fear of failure

• Fuels innovation

• Cultivates collaboration

Leadership


“Availability. I wanna stay close to everything, cause being on the spot I can see trouble immediately.”

Sonny LoSpecchio (Chazz Palminteri) A Bronx Tale

Management

Style


Creative Styles’ Hacks

• Pretend every project is

greenfield, then layer in the

current state constraints later.

• Don’t prescribe every process

step. Instead, give people a

problem to solve and watch

which processes emerge.

Management

Style

• Do a one-minute

drawing exercise at the

beginning of a creative session

to prime people for innovation.

• Stop using the word “innovation.”

Disguise innovation projects as

problems to solve, especially

for engineers.


Constructive, moves the ball forward,

targeted toward the idea or solution

and not the person.

Especially important upward to

avoid “bubble” leadership.

A challenge based on values must always be okay.

They 360-Review Everything Management

Style


Get Back to Basics on Leadership Skills

Individual Engagement Drivers

Biggest Drivers of Individual Respondents’ Engagement Levels*

Q: “What is the biggest driver of your level of engagement?”

Leaders improve

engagement by:

• Defining and communicating a

powerful vision for the organization.

• Hiring and developing managers that

are emotionally invested in the

organization’s mission and vision.

• Giving managers the resources to

build great teams with the right

people in the right roles.

• Empowering their managers.

Organization Leadership

Quality27%

Work-Life Balance

17%Peer

Relationships17%

Work Activities15%

Administration Leadership

11%

Benefits and Compensation

6%

Other4%

Work Space or Location

2%

n = 168 Public Sector Respondents.

Source: CEB 2018 Public Sector Employee Engagement Survey.

Note: Percentages may not add up to 100% because of rounding.

*Respondents were allowed to select drivers of their engagement that were either positive or negative.

Engagement


“Build teams that foster friendships and use your current team members to tap new talent.

Harvard Business Review

Engagement


Recommendations

Demonstrate that unacceptable behavior has consequences by

dealing with resource issues immediately.

Improve engagement by defining and communicating a powerful

vision for the organization.

Provide real-time feedback (people, process, projects) by staying

close to everything.

Build teams that foster friendship by tapping current team member

to identify new talent.


For information, please contact your Gartner representative.

Recommended Gartner Research

Leadership Vision for 2019: Midsize Enterprise CIO

Mike Cisek (G00355114)

4 Methods to Assess Your Culture

Bruce Robertson (G00351006)

Break Through Culture Barriers to Power Your Organization

Christie Struckman and Bruce Robertson (G00358825)

The New One Minute Manager

Ken Blanchard, Ph.D., Spencer Johnson, M.D.,

William Morrow, 5 May 2015

https://www.gartner.com/document/3889018?ref=solrAll&refval=220822926&qid=

https://www.gartner.com/document/3889065?ref=solrAll&refval=220822927&qid=e93e8682cfbe0598fdbb838180

https://www.gartner.com/document/3900085?ref=solrAll&refval=220822935&qid=


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How MSE CIOs Can Create a Sustainable Culture of InnovationGartner prides itself on its reputation for independence and objectivity. Its research is produced independently by its research