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Kotter’s 8 Step Change Model
STEP 1
CREATE URGENCY
In Kotter’s Words: Create a Sense of Urgency
Helping others see the need for change &
the importance of acting quickly
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Kotter’s 8 Step Change Model
STEP 2
BUILD A GUIDING TEAM
In Kotter’s Words: Build a Guiding Coalition
Ensuring there is a powerful group, with the
appropriate leadership skills, credibility & authority to
guide the change process
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Kotter’s 8 Step Change Model
STEP 3
CREATE A VISION FOR CHANGE
In Kotter’s Words: Form a Strategic Vision and
Initiatives
Creating a picture of the future & how it
will be different from the present
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Kotter’s 8 Step Change Model
STEP 4
COMMUNICATE THE CHANGE VISION
In Kotter’s Words: Enlist a Volunteer Army
Ensuring everyone understands
& accepts the vision
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Kotter’s 8 Step Change Model
STEP 5
REMOVE OBSTACLES
In Kotter’s Words: Enable Action by Removing
Barriers
Removing the barriers to making change successful
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Kotter’s 8 Step Change Model
STEP 6
CREATE ‘SHORT TERM WINS’
In Kotter’s Words: Generate Short-Term Wins
Create clear, visible success stories early in the
process
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Kotter’s 8 Step Change Model
STEP 7
CONSOLIDATE GAINS &
PRODUCE MORE CHANGE – DON’T LET UP
In Kotter’s Words: Sustain Acceleration
Recognise more change opportunities following the
‘quick wins’ to take full advantage of the momentum for change
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Kotter’s 8 Step Change Model
STEP 8
ANCHOR THE NEW APPROACHES
IN THE CULTURE
In Kotter’s Words: Institute Change
Ensure the new ways of behaving are recognised & rewarded to embed the change into the
organisational culture
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Failure of Change - Reasons
Lack of Knowledge
Lack of Skill and practice
Hidden Conflict working against change
Culture working against change
Lack of Plan
Weak follow through
Not investing resources
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Transition Steps
Review current roles and jobs
Review new skills needed
Assess skills and roles to support new process
Determine skill gaps
Review organisational jobs and roles
Suggest methods for updating skills
Obtain agreement regarding the new job
Support transition
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Why Transformation Efforts Fail
Error 1: Not Establishing a Great Enough Sense of
Urgency
Error 2: Not Creating a Powerful Enough Guiding
Coalition
Error 3: Lacking a Vision
Error 4: Under communicating the Vision by a
Factor of Ten
Error 5: Not Removing Obstacles to the New
Vision
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Why Transformation Efforts Fail
Error 6: Not Systematically Planning for, and
Creating, Short-Term Wins
Error 7: Declaring Victory Too Soon
Error 8: Not Anchoring Changes in the
Corporation’s Culture
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Failure of Change can be due to
Lack of vision: When the corporate vision and/or
strategies are unclear, people are unsure about
how to interpret major new directives.
A history of poor implementation: When there is a
track record of poorly implemented endeavours,
people tend not to expect much when new
changes are announced.
Lack of middle-management support: When
midlevel managers are not enrolled in the change
process and lack a sense of involvement and
ownership, change objectives are jeopardized.
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Failure of Change can be due to
Lack of understanding or belief: When people
don’t understand or believe in changes being
attempted, they typically don’t support them.
An environment of low risk taking: When there is a
tendency to overly punish errors or reward their
absence, people tend to avoid change.
No consequence management: Where there are
few negative consequences for failing to comply,
people usually ignore new directives.
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Failure of Change can be due to
Lack of clear communications: When information is allowed to filter down unmanaged, it often becomes diffused and less specific and is open to interpretation.
Lack of planning for and management of resistance: When overt resistance is not acknowledged and managed properly, it goes underground, creating slowdowns, malicious compliance, or even outright sabotage.
Lack of time: When insufficient time is allowed for implementation, problems prevail and the maintenance costs for change are high.
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Failure of Change can be due to
Poor follow-through: When projects are started with much fanfare but there is no follow-through o their finish, a legacy is created that threatens future change efforts.
Lack of synergy: When interdependence is not recognized between key players or groups, engaging change in one area will often cause resistance from another.
Rhetoric unsupported by actions: When leaders say one thing but their behaviour suggests the opposite, change goals are difficult to reach.
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Role Definitions During Change
Initiating sponsor
The individual or group who strategically
legitimizes implementation of a change, either
within several major areas of the organization or
enterprise wide. Sponsors (regardless of their
level) sanction initiatives through influential
communications and meaningful consequences.
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Role Definitions During Change
Primary sustaining sponsor:
The individual or group who formally sanctions the
change within relevant areas of responsibility,
providing a “united front” of leadership support for
the endeavour and coordinating implementation
activities (across functional or geographical lines
as necessary).
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Role Definitions During Change
Local sustaining sponsor:
The individual or group who orchestrates the
communications and consequences within
relevant tactical areas of responsibility necessary
to ensure successful change implementation.
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Role Definitions During Change
Change agent:
The individual or group who facilitates the
development and execution of the implementation
plans.
Target:
The individual or group who must actually change.
Advocate:
The individual or group who wants to achieve a
change but does not possess the necessary
legitimization power.
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Characteristics of Highly Effective
Change Leaders
Low Level of Anxiety
Emotional Stability
Action Orientation
Confidence
Openness
Risk Tolerance
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Characteristics of Change
management
Resistance
Consistent Communication
Training and Goal setting
Recognition
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Characteristics of organisational
change management team
Lead by example
Recognize achievements
Promote accountability
Include change agent
Communicate effectively
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Norfolk Southern
The Norfolk Southern Railway is a Class I railroad in the United States, owned by the Norfolk Southern Corporation. With headquarters in Norfolk, Virginia
Norfolk Southern serves domestic and international customers.
As a leading transportation provider, Norfolk Southern operates 20,000 route miles in 22 states and D.C., supports international trade with service to every major Eastern seaport, 10 river ports, and nine lake ports, and operates the most extensive intermodal network in the East.
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Norfolk Southern: Case Study
When Katie Frazier first joined Norfolk Southern’s Atlanta terminal, she felt it was running well but still felt more could be done to improve operations. She was also concerned about safety issues.
As she got comfortable in her new job, she was wracking her brain, struggling with how to help the company take its safety and operations standards from just “good enough” to a higher level.
One day, while in a local bookstore’s business section, she noticed a book with penguins on the cover. Penguins had always been her favourite animal, but she wondered what such a book was doing surrounded by books on management!
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Norfolk Southern: Case Study
The book, needless to say, was “Our Iceberg Is Melting.” Once she started reading it, she thought to herself, “wow, this is really helpful.”
She noticed that behaviors in her company sometimes mirrored the penguins’ behaviors, for example, people would see a complex problem, and then either ignore it or wait for someone else to fix it.
Katie thought that if she could get other people in the company to read the book, it might be a big help in giving people perspective on the bigger picture. Katie, being one of the few relatively young workers around, faced an enormous challenge in getting her older co-workers to buy in to the notion that penguins could help the organization.
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Norfolk Southern: Case Study
There were many skeptics. She showed the book
to her manager, a former Marine. He told her
that the book was something his granddaughter
might read, not something he would value as a
business leader.
Katie persevered and insisted that he read it. After
her manager actually did, he quickly began to
realize the same lessons could apply at Norfolk
Southern.
He gave Katie approval to start applying the
learnings.
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Norfolk Southern: Case Study -
Step 1
Katie started by trying to create a sense of
urgency around a willingness to raise safety and
operational standards.
Through evaluation of these problems, not only by
Katie but also by the broader leadership team,
people began to feel that urgency was more than
just the latest fad.
That process of raising the urgency level inside
the Atlanta terminal of Norfolk Southern took about
2 months from start to finish.
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Norfolk Southern: Case Study -
Step 2
After sufficient urgency was raised, a guiding coalition formed made up of a few conductors, engineers & supervisors. Katie’s fear was that the group was too homogenous – she actually wanted to include a few of the company’s more skeptical employees to get their feedback and help strengthen the group’s decision making.
The Guiding Coalition began meeting regularly and called themselves “The Iceberg Group.” This group started out small, but eventually grew to have about 9 people, changing over time, from different parts of the organization, meeting regularly to see how to implement the rest of the 8 Steps.
37
Norfolk Southern: Case Study -
Step 3
The vision that the group created was designed to
change everyone’s mentality and attitude about
safety. Injuries could not be treated as an
acceptable risk at a railroad – they had to be
reduced in order to get the railroad’s efficiency up
and costs down.
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Norfolk Southern: Case Study -
Step 4
Communicating this vision was a constant battle, since most of a railroad’s employees are on the move at any given time. Furthermore, most of the crew members did not have access to modern communications like e-mail.
As a result, the vision was communicated through a vehicle called “job briefings,” where the days weather & track conditions were discussed for crews about to go out on to the tracks. These briefings happen 3 times a day, at the beginning of every shift.
The Iceberg Group started communicating the change vision at job briefings, around the clock, for two weeks straight. Over time, every crew member was touched by the vision multiple times, right at their point of highest awareness – before going out to work on the trains.
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Norfolk Southern: Case Study -
Step 5
The largest barrier Katie felt she needed to overcome were related to the concept of raising the bar on safety standards – how can you make people really care about the highest possible safety standards, when current standards are already high? The way to do it, she said, was to make it personal – get to the heart and not just the mind.
They forced people to think about their families and how they would feel about an injury to their loved ones. Over time, the message began to sink in and people started to change their behaviour. This created a high level of engagement with the crew.
40
Norfolk Southern: Case Study -
Step 6
The Iceberg Group set a goal for a short term win –six months injury free and communicated it broadly. Since the inception of the Iceberg Group’s work, with the exception of a small muscle pull, the Atlanta terminal has gone almost 9 months injury free.
Other outcomes resulted as well, for example, because the terminal became so proficient, they’ve never had to reduce the number of shifts running, even as other companies have cut back.
With injuries down about 97% over last year, the Atlanta terminal has had fewer missed days of work, fewer injury-related costs and more productive workers, enabling it to gain a critical advantage over the competition.
41
Norfolk Southern: Case Study -
Step 7&8
Even with this success, the Atlanta terminal isn’t
content to let up. As they continue to move
through the 8 Step process, they hope to make the
change permanent by anchoring these new
changes into the culture.
The Iceberg Group continues to meet, looking for
other ways in which they can help the company
improve its operations, and hopefully, spread the
Iceberg philosophy to other divisions of the
company
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Norfolk Southern - Vision
Be the safest, most customer-focused, and
successful transportation company in the world
Norfolk Southern believes having a vision helps
create prosperity. It pushes boundaries, creates
new possibilities, and challenges people to roll up
their sleeves and do what it takes to achieve
goals.
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