IS SYSTEMS THINKING A HOLLOW RITUAL?

The Leader’s New Work: Building Learning Organizations Peter Senge Current Management System –Let the leadership do the thinking –Leadership by control –Leadership by force of rewards or will What is needed is a System which: –Depends on superior learning –Can think at all levels not just the highest

LEARNING CATEGORIES ADAPTIVE –Coping by responding to the environment GENERATIVE –Expanding our capability, it is about creating not just coping.

GENERATIVE LEARNING Different ways of looking at known problems Grasping systemic source of problems not just symptoms Leaders responsible for everyone’s learning Leader creates tension between where you are and where you need to be.

NEW ROLES FOR LEADERS DESIGNER –Clarify visions, values and purpose –design policies, strategies and structures –Create learning processes TEACHER –Help people gain insight into current reality STEWARD –Serve first Create opportunities for people to contribute to organizational purpose

NEW SKILLS BUILDING SHARED VISIONS SURFACING AND TESTING MENTAL MODELS –Leaps of abstraction –balancing inquiry and advocacy –Distinguishing theory from application –Recognizing defensive routines SYSTEMS THINKING –Seeing Relationships, moving beyond blame, distinguishing types of complexity, focus on right areas, and avoiding symptomatic solutions

The Many Faces of the Corporate Code Lisa H. Newton A code must meet three specifications –Creation through participation –Must be consistent with general ethical principles and dictates of conscience (respect for individual, commitment to justice, sensitive to rights of all affected) validity –Must reflect the actions of senior managers and leaders. authentic

CODES FAIL WHEN They are created in a vacuum Do not seem valid to those asked follow them Do not seem authentic

Managing for Organizational Integrity Lynn Sharp Paine CLEAR AND PRESENT NEED FOR CORPORATE CODE OF ETHICS –Business is perceived as incapable of ethical conduct –Market requires efficiency not ethics –Board of Directors and top management responsible for balancing conflicting demands

WHY CODES ARE VIEWED AS VIABLE Academic skepticism View as created by a power elite Subject to bias of senior officers Rules to not apply to those at the top

CREATION OF CODES THAT WORK PRINCIPLE OF PARTICIPATION –Developed through maximum involvement PRINCIPLE OF VALIDITY –Must be consistent with accepted dictates of conscience PRINCIPLE OF AUTHENTICITY –Code must be followed by senior management

MANAGING FOR ORGANIZATIONAL INTEGRITY Lynn Sharp Paine COMPLIANCE BASED CODES OF ETHICS –Use legal compliance as the standard. This mark is to low –Compliance overemphasizes the threat of detection and punishment but does not foster moral discipline

Hallmarks of an Effective Integrity Strategy Guiding values make sense Senior leaders are committed, credible and willing to take action Values are integrated into culture Company systems and structures reinforce values Managers have the skills and ability to make ethical daily decisions Note Page 538 for difference in compliance and integrity