SteelTech Manufacturing is a leading industrial manufacturer based in Ipswich, UK employing 5,000 people across multiple production sites. Over the years, SteelTech has built a strong reputation within the sector but in recent times, has gone through a turbulent period with 4 CEOs in the space of 2 years. Several change initiatives have played out, but none have materialised into something successful or meaningful. Lauren McDonald has recently been appointed as the new CEO and is determined to steady the ship and restore stability, leading SteelTech toward a brighter and more successful future. Lauren has highlighted the key issues that SteelTech are facing and include:
Silo’d departments with the manufacturing team having minimal interaction with the supply chain team resulting in severe production delays.
- Declining employee engagement/satisfaction with 80% of employees not feeling connected to the company’s vision.
- Employees have reported feeling disempowered.
- Disconnect with the senior leadership team.
- Bureaucratic processes resulting in slow decision making.
Lauren has got in contact because she wants to implement a successful change programme within 12 months. She wants to ensure its people are aligned and committed to a shared purpose and ensure that this change is not only implemented but owned by the entire organisation. Lauren summarised by stating that, “we need a transformation that unites everyone, creates alignment and empowers our organisation. Can you help?”
Yes, Lauren. I believe I can…
What is Whole Scale Change?
Before diving into WSC, let’s briefly touch on why traditional top-down change approaches, like those previously deployed at SteelTech, often fail to implement sustainable change. Traditional approaches to change management often rely on a top-down methodology where leadership dictates the change process, leaving little room for collaboration or input from across the organisation. These methods frequently operate in silos, isolating departments or teams and neglecting the interconnections that drive organisational success. Additionally, they often fail to include the diverse perspectives of employees at different levels, which can result in resistance and lack of ownership. Ultimately, top-down approaches risk implementing change that is misaligned with on-the-ground realities, which we can attribute to why SteelTech is stuck in a precarious position.
In contrast, WSC engages the knowledge, wisdom and heart of it is people to create and sustain change. It begins with the end in mind as the clearer your end goal is, the easier it is to make positive strides towards achieving it. But how is this achieved?
Through the power of the microcosm…
A microcosm is a group of people that effectively represent the organisation. They are comprised of people representing a diversity of roles, perspectives and hierarchies. In other words, a microcosm contains the essential “DNA” of the whole organisation. The key here is creating a diagonal slice that is representative of the SteelTech DNA. This could include but not limited to leaders, frontline employees, technical experts, middle managers, HR representatives etc… The main point is that the group represents the ‘whole system’, ensuring all perspectives are utilised to shape the change. A simple rule of thumb to ensure the microcosm is representative is the 3 I’s:
- Does the microcosm have sufficient information?
- Can it make the required impact?
- Does it have the necessary influence?
A fundamental issue of implementing change is the speed in which members of the organisation take ownership and commit to their future world. We live in a climate where time is a precious commodity and SteelTech, like many other organisations, are now in a position where they cannot afford to wait for results. As previously mentioned, SteelTech must implement this change within 12 months, making a rapid and high impact solution essential. WSC is inherently designed to drive change at speed due to engaging multiple microcosms simultaneously. This is what helps create a ‘critical mass’ of the organization. Think of critical mass as the vehicle that drives enough people within the organisation to adopt the change. As the critical mass builds with more microcosms across SteelTech being identified and engaged, it triggers a ‘paradigm shift’ where the widespread adoption of change redefines how SteelTech operates and perceives itself. A paradigm shift is achieved when individuals find it almost impossible to return to their previous ways of working as the benefits of the future world that they have created become so deeply embedded. Most importantly, they are ready to take ownership of the actions that will transform their shared vision into their shared reality. To summarise, microcosms ignite change, critical mass propels it forward, and paradigm shifts solidify it as the new norm.
Creating a paradigm shift
The DxVxF>R formula is a cornerstone of WSC. It demonstrates what an organisation must do to enable a paradigm shift. Let’s apply this formula to SteelTech:
- ‘D’ = Dissatisfaction – people must recognise that there is a need for change. SteelTech are working in silo’d departments causing misalignment, employees reporting feeling disempowered, bureaucratic processes hindering decision making speed and so on… This is what is forming a common database of dissatisfaction, which acts as the fuel for the initial change process.
- ‘V’ = Vision – a compelling but most importantly, co-created vision of success. Essentially, this represents the future state that SteelTech should aim to achieve. For instance, to address the challenges of silo’d working, one possible future state could be for SteelTech to adopt end-to-end processes, ensuring every stage of workflow is connected and aligned.
- ‘F’ = First Steps – the actions that must be taken in order to reach the vision. Continuing the end-to-end process example, create cross-functional microcosms to map out existing workflows, identify bottlenecks and design streamlined end-to-end processes. This will act as a first step to reduce inefficiencies, create alignment of teams and improve communication
- ‘R’ = Resistance – found when 1/more of the above elements has not been achieved. This is the obstacle that must be overcome for the initiative to succeed. When you help facilitate an organisation to combine the D, V and F elements the organisation taps into the ‘wisdom of the whole’ leading to that all important paradigm shift. This shift is marked by a palpable surge in energy and excitement, signifying a shared commitment to the new way of thinking or operating. Unlike temporary enthusiasm, a true paradigm shift has a lasting impact.
The essence of WSC is that when individuals feel as if they have a voice in the process, they are more likely to champion the new world as people support what they help create. Organisations like SteelTech now face un-parallelled demands and without the willingness to evolve, can become trapped in their current struggle and ultimately, fall behind or fail. WSC harnesses an organisations true power, it’s people. When people are aligned on a shared vision they become the driving force behind sustainable change that endures over time.
WSC forms the foundation of ON THE MARK methodology. As process consultants, we know that the organisation possesses the knowledge, experience and context to understand and resolve their own challenges. Using principles of WSC, it is our role to empower an organisation through sequential steps to implement meaningful and enduring change.
Disclaimer: This blog aims to present a practical example of how Whole Scale Change (WSC) can be applied to a business. It is important to note that it is a fictitious example, with no real names of individuals or organisations included. It is intended solely to demonstrate the effectiveness of WSC as a tool to drive change.
References
- Dannemiller, K, D., James, S, L., Tolchinsky, P, D. (1999). Whole Scale Change.
- Dannemiller, K, D. et al (2000). Whole Scale Change: Unleashing the Magic in Organisations
- Blixt, A, B., James, S, L. (2004). Accelerating Strategic Change: Application of the Whole Scale Approach to Leading and Managing Change
- Tolchinsky, P, D., Wenzl, L. (2014). High Engagement Organisation Design
