1. 1 Building a Change-Ready Organization Dr. Michael McIntyre Director, UT Professional MBA Program mmcintyr@utk.edu

2. 2 Audience participation is required!

3. 3 How to tell if your dog is involved in a sex scandal…

4. 4 Results Front-line People & Processes Culture Leader Attitudes & Behavior The Results Needle

5. 5 Results Front-line People & Processes Culture Leader Attitudes & Behavior The Results Needle When you don’t get the results you want, you typically try to fix the problem here. You try to get more out of your people or you try to change a process. And what usually happens?

6. 6 Results Front-line People & Processes Culture Leader Attitudes & Behavior The Results Needle What you really need to do is change the culture. But what’s the problem with that when you’re facing an urgent situation?

7. 7 Building a Change-Ready Culture You all know the steps for leading change – that’s not what this is about. This is about preparing your organization for change before it happens. It doesn’t matter how well you follow the steps for leading change, if your organization is not ready for change.

8. 8 Part of what we’re up against, in creating a change-ready culture, is people’s emotional hard-wiring.

9. 9 HAPPY Elated Excited Overjoyed Thrilled Exuberant Ecstatic Fired up Passionate Cheerful Gratified Good Relieved Satisfied Glowing Glad Contented Pleasant Tender Pleased Mellow SAD Depressed Agonized Alone Hurt Dejected Hopeless Sorrowful Miserable Heartbroken Somber Lost Distressed Let down Melancholy Unhappy Moody Blue Upset Disappointed Dissatisfied ANGRY Furious Enraged Outraged Boiling Irate Seething Loathsome Betrayed Upset Mad Defended Frustrated Agitated Disgusted Perturbed Annoyed Uptight Resistant Irritated Touchy AFRAID Terrified Horrified Scared stiff Petrified Fearful Panicky Frantic Shocked Apprehensive Frightened Threatened Insecure Uneasy Intimidated Cautious Nervous Worried Timid Unsure Anxious ASHAMED Sorrowful Remorseful Defamed Worthless Disgraced Dishonored Mortified Admonished Apologetic Unworthy Sneaky Guilty Embarrassed Secretive Bashful Ridiculous Regretful Uncomfortable Pitied Silly

10. 10 If left to their own devices, people go to a bad place.

11. 11 “The single biggest challenge to any organization is the constant cloud of fear and doubt that swirls around the heads of the people involved.”

12. 12 Change is especially scary.

13. 13 Change evokes a fear of loss in most people. What are they afraid of losing?

14. 14 Change evokes a fear of loss in most people. What are they afraid of losing? Identity Competence Comfort Security Reputation Time Money Power Control Status Resources Independence Righteousness Job

15. 15 Change evokes a fear of loss in most people. What are they afraid of losing? Identity Competence Comfort Security Reputation Time Money Power Control Status Resources Independence Righteousness Job “People don’t resist change; they resist loss.”

16. 16 To build a change-ready culture, you need to build people’s… 1.Trust 2.Confidence 3.Commitment

17. 17 10 Things You Can Do To Build a Change-Ready Culture 1.Be clear on expectations. 2.Give people as much authority and control over their work as possible. 3.Involve people in decisions that affect them. 4.Ask people for their ideas and listen to them. 5.Recognize people when they do a good job. 6.Address low performance. 7.Support risk-taking. 8.Share business information. 9.Remind people why their work matters. 10.Make a personal connection with people.

18. 18 Exercise Read the case study, and circle every mistake you see.

19. In conclusion: “Adversity doesn’t build character; it reveals it.” Build your company’s character during the calm times, so you’ll be ready for the hectic times. 19

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