CVE 5074 CVE 5074 Leading Construction Leading Construction

OperationsOperationsOrganizational LeadershipOrganizational Leadership

Part V –Part V – Managing ChangeManaging Change

Part VI – Strategic ChangePart VI – Strategic Change

Organizational Organizational LeadershipLeadership

1. Motivation of individuals1. Motivation of individuals

2. Shaping the organization2. Shaping the organization

3. Directing/delegating tasks3. Directing/delegating tasks

4. Organizational culture4. Organizational culture

5. 5. Changing the organizationChanging the organization

Book Reports Monday…Book Reports Monday…

– You Just Don’t UnderstandYou Just Don’t Understand•Alexis MillerAlexis Miller•Alex LasurdoAlex Lasurdo

Test update…Test update…• No class: No class: Monday, March 23 & April 20 – Study DaysMonday, March 23 & April 20 – Study Days

• Test 2 – Organizational LeadershipTest 2 – Organizational Leadership Wednesday, Mar 25Wednesday, Mar 25thth - will cover all material in - will cover all material in

Part II & Book Reports; I’ll publish a guide. Part II & Book Reports; I’ll publish a guide.

A-Group in Skurla 110; B-Group in Skurla 116A-Group in Skurla 110; B-Group in Skurla 116

• Test 3 – Team LeadershipTest 3 – Team Leadership Wednesday, Apr 22Wednesday, Apr 22ndnd - will cover all material in - will cover all material in

Part III and Book ReportsPart III and Book Reports

A-Group in Skurla 110; B-Group in Skurla 116A-Group in Skurla 110; B-Group in Skurla 116

Grading update…Grading update…HW #1 – MBTI ProfileHW #1 – MBTI Profile 100100

HW #2 – Ldr. Definition HW #2 – Ldr. Definition 100 100

HW #3 – Ldr. Style PaperHW #3 – Ldr. Style Paper 100100

HW #4 – BR NotesHW #4 – BR Notes 100100

HW #5 – Ldr. Paper/N’bookHW #5 – Ldr. Paper/N’book 300 300

Tests 1, 2 & 3Tests 1, 2 & 3 600 600

ParticipationParticipation 200200

TotalTotal 1500pts 1500pts

Special Opportunity-1…Special Opportunity-1…

• New situation/opportunity…New situation/opportunity…– A A significant opportunitysignificant opportunity exists exists

to improve leadership to improve leadership learning… learning…

– 5 Engineering CEOs agree to 5 Engineering CEOs agree to lecturelecture this class and meet with this class and meet with students.students.

Special Opportunity-2…Special Opportunity-2…

• The conditions…The conditions…– Extra classExtra class on 5 Saturdays; 0900 to on 5 Saturdays; 0900 to

1200 March 28 to April 251200 March 28 to April 25– Must submit Must submit 5 written reports (1-5 written reports (1-

page each)page each) – Guaranteed “A”Guaranteed “A” if all conditions are if all conditions are

metmet– I needI need 100% participation 100% participation– I need a I need a yes or noyes or no in 5 minutes in 5 minutes

Change is Change is (very)(very) difficult…difficult…

• Why is it difficult???Why is it difficult???

• What did you What did you observeobserve from the from the exercise?exercise?

• What can the leader do to make What can the leader do to make this change this change more successfulmore successful??

Change is Change is (very)(very) difficult…difficult…

• Why?... the Why?... the impactimpact on peoples’ lives… on peoples’ lives…• Mazlow priorities… Mazlow priorities… survival and safetysurvival and safety• Chester Barnard… Chester Barnard… personal vs. personal vs.

organizationorganization• New goals, opportunities... but will the New goals, opportunities... but will the

employee benefit?employee benefit?

• The future ain’t what it used to The future ain’t what it used to be!!!!be!!!!

(author?)(author?)

Employee resistance to Employee resistance to changechange

• Personal Personal securitysecurity jeopardized jeopardized• Change viewed as Change viewed as unnecessaryunnecessary• Poor Poor communicationscommunications; poor planning; poor planning• SurpriseSurprise, poor timing, poor timing • No personal No personal inputinput; people feel ; people feel

manipulatedmanipulated• Lack of Lack of confidenceconfidence the change will the change will

succeedsucceed• No No resourcesresources provided provided

Basic model for changeBasic model for change•External Appraisal•Threats & Opportunities

•Key Success Factors

•Internal Appraisal

•Strengths & Weaknesses

•Core CompetenciesCreationOf

Strategy

Evaluation &Choice

ofOptions

Social Responsibility

Organizational

Values

ImplementationOf Change

Another viewpoint…Another viewpoint…

• Use the VCR analysis…Use the VCR analysis…– ValuesValues… you, the firm, the profession… you, the firm, the profession– ConsequencesConsequences & Contingencies & Contingencies– Rights & ResponsibilitiesRights & Responsibilities

• Use the stakeholder approachUse the stakeholder approach– WhoWho are the stakeholders; who is are the stakeholders; who is

impactedimpacted– What is the impactWhat is the impact of the change on of the change on

themthem

Recognizing the need for Recognizing the need for changechange

• StakeholderStakeholder input… MBWA input… MBWA• CustomerCustomer feedback; sales records feedback; sales records• Hard Hard datadata on problems on problems• Concrete Concrete examplesexamples needed needed• Calculate Calculate benefits and costsbenefits and costs of of

changechange• Obtain Obtain feedbackfeedback from employees from employees

The Change ProcessThe Change Process1.1. Create an atmosphere for changeCreate an atmosphere for change2.2. Recognize the need for changeRecognize the need for change3.3. Champion the changeChampion the change4.4. Planning & brainstormingPlanning & brainstorming5.5. Structures for changeStructures for change6.6. Motivational techniques for Motivational techniques for

change change 7.7. Communicating the changeCommunicating the change8.8. Facilitate the changeFacilitate the change9.9. Follow-up and feedbackFollow-up and feedback10.10.Change is the leader’s job!!Change is the leader’s job!!

Brainstorming Brainstorming techniquestechniques

1.1. Set time limitsSet time limits

2.2. Record all ideas; quantity vs. Record all ideas; quantity vs. qualityquality

3.3. Avoid judgmentAvoid judgment, detail or analysis, detail or analysis

4.4. Neutral controllerNeutral controller

5.5. Light free flowing atmosphereLight free flowing atmosphere

6.6. Non-competitive; all contributeNon-competitive; all contribute

7.7. Review and categorize at endReview and categorize at end

Championing changeChampioning change

• Limit change to Limit change to significantsignificant items items• Relate change to "strategic plans"Relate change to "strategic plans"• Relate change to Relate change to external eventsexternal events• Demonstrate Demonstrate value to employeesvalue to employees• Generate Generate enthusiasm ! ! ! ! enthusiasm ! ! ! ! • Prepare the audiencePrepare the audience; timing; timing• Identify and Identify and eliminate barrierseliminate barriers• Personal commitment… Personal commitment… lead from the lead from the

front!front!

Pitfalls to change…Pitfalls to change…• Commitment at the top is Commitment at the top is essentialessential• Commitment lower down Commitment lower down is key to successis key to success• Decentralize the planning Decentralize the planning & delegate!& delegate!• Inflexible plansInflexible plans are unrealistic… are unrealistic…• Normal operations vs. Normal operations vs. incremental incremental

changechange• Internal politics... Internal politics... the informal the informal

organizationorganization• Over control… Over control… stifles creativity & energystifles creativity & energy• Lack of training… Lack of training… is unfairis unfair• Lack of communications… Lack of communications… causes causes

confusionconfusion

Motivational techniquesMotivational techniques• LeadershipLeadership.... be involved.... be involved• Demonstrate Demonstrate commitmentcommitment• Change is normal; Change is normal; necessarynecessary; ;

routineroutine• Emphasize the positive; Emphasize the positive; benefitsbenefits• Encourage & assist personal Encourage & assist personal

growthgrowth• TolerateTolerate mistakes mistakes• Allow time for Allow time for trainingtraining • NeutralizeNeutralize the negative the negative• Celebrate success!!!Celebrate success!!!

Communicating the Communicating the changechange

• Have a vision!Have a vision!

• Determine stakeholders... Determine stakeholders... explain the explain the vision!vision!

• Provide clear; Provide clear; convincingconvincing information information

• Bad newsBad news simple and straightforward simple and straightforward

• Obtain feedback; answer questions; Obtain feedback; answer questions; be be honesthonest

• Provide mechanisms for Provide mechanisms for worker inputworker input

• Use Use active listeningactive listening

Example 3:Example 3: FIT Construction Management ProgramFIT Construction Management Program

2004… Teach 2 courses & develop strategic 2004… Teach 2 courses & develop strategic planplan

Enhance CM program within CEEnhance CM program within CE Research new programsResearch new programs

2005… Launch new CM course2005… Launch new CM course Obtain input from industry & Obtain input from industry & studentsstudents

Expand industry involvement in CM Expand industry involvement in CM coursescourses

20062006… … Develop 4-year undergrad CM programDevelop 4-year undergrad CM program Research existing programs & Research existing programs &

accreditationaccreditation Expand industry internshipsExpand industry internships

20072007… … Launch 4-year undergrad CM programLaunch 4-year undergrad CM program Obtain university approval & resourcesObtain university approval & resources Monitor progress & successMonitor progress & success

Update & revise strategic planUpdate & revise strategic plan

1

2

3

4

Facilitate changeFacilitate change• Set direction & Set direction & visionvision• DelegateDelegate authority authority• ClarifyClarify new challenges new challenges• ProtectProtect "idea" people "idea" people• Tolerate failureTolerate failure• RecognizeRecognize innovators innovators• Establish networksEstablish networks for innovators for innovators• Reward the champions!!!Reward the champions!!!

Follow-up & feedbackFollow-up & feedback

• Grass rootsGrass roots; MBWA; MBWA• Ensure Ensure timetime for management for management

of processof process• PublishPublish status; results; status; results;

rewardsrewards• Revise plan if needed; Revise plan if needed; adjust!adjust!• Keep employees Keep employees informedinformed• Be Be available & approachableavailable & approachable

Employee acceptance of Employee acceptance of changechange

• Personal gain & Personal gain & securitysecurity• New opportunity or challenge New opportunity or challenge

recognizedrecognized• More interesting workMore interesting work• Right thing to do; makes senseRight thing to do; makes sense• Right timingRight timing• Respect the championsRespect the champions• Believe in the leaderBelieve in the leader

A summary on change...A summary on change...• Investigate the environment for change; Investigate the environment for change; EEIEEI• Develop a clear visionDevelop a clear vision• Define Define identifiable milestonesidentifiable milestones; obtain input; obtain input• Outline transition in detail; Outline transition in detail; neutralize neutralize

uncertaintyuncertainty• Establish Establish clear tasksclear tasks and impacts and impacts• CommunicateCommunicate the plan and the actors the plan and the actors• Provide statusProvide status updates updates• Obtain Obtain feedbackfeedback• Role of key individuals; Role of key individuals; gaining commitmentgaining commitment• Personal briefings; Personal briefings; explain rationale and explain rationale and

benefitsbenefits• Involve the employeesInvolve the employees; obtain input; obtain input• Monitor level of support; Monitor level of support; get continuous get continuous

feedbackfeedback

End of Part 1End of Part 1

CVE 5074 CVE 5074 Leading Construction Leading Construction

OperationsOperationsOrganizational LeadershipOrganizational Leadership

Part V – Strategic ChangePart V – Strategic Change

Organizational Organizational LeadershipLeadership

1. Motivation of individuals1. Motivation of individuals

2. Shaping the organization2. Shaping the organization

3. Directing/delegating tasks3. Directing/delegating tasks

4. Organizational culture4. Organizational culture

5. 5. Changing the organization... Changing the organization... strategicallystrategically

Strategic PlanningStrategic Planning

• OrganizationalOrganizational•Set a vision of the future for the Set a vision of the future for the organizationorganization

•Establishing an action plan to get thereEstablishing an action plan to get there•Providing an organization to build the Providing an organization to build the futurefuture

• PersonalPersonal• Deciding where you want to goDeciding where you want to go• Laying the ground work for that futureLaying the ground work for that future• Taking one small step at a timeTaking one small step at a time

What strategic What strategic planning planning is not...is not...

• Not a set of Not a set of techniquestechniques• Not Not forecastingforecasting the future the future• Not a set of Not a set of decisionsdecisions• Not an attempt to Not an attempt to eliminate eliminate

riskrisk

What strategic What strategic planning planning is...is...

• A A continuouscontinuous process process• A series of A series of systematicsystematic

decisionsdecisions• An organization to An organization to executeexecute

decisionsdecisions• A system of A system of measurementmeasurement of of

progressprogress• A system of A system of feedbackfeedback

Success factorsSuccess factors• Get rid of Get rid of non-productivenon-productive functions functions

•Do we still need buggy whips?Do we still need buggy whips?•If not committed to “X” today… would we If not committed to “X” today… would we startstart??

• Plant the seedsPlant the seeds for tomorrow’s success for tomorrow’s success•Think out of the box, look for new waysThink out of the box, look for new ways•Backward planBackward plan

• Must have Must have upper management supportupper management support•ResourcesResources•PersonnelPersonnel•AccountabilityAccountability

Basic planning modelBasic planning model

•External Appraisal•Threats & Opportunities•Key Success Factors

•Internal Appraisal

•Strengths & Weaknesses

•Core CompetenciesCreationOf

Strategy

Evaluation &Choice

OfStrategy

Social Responsibility

Managerial

Values

ImplementationOf Strategy

Strategic Change CycleStrategic Change Cycle

1

2

3

4 Develop Plan

Implement

Monitor &

Get Feedba

ck

Review the need

Example 1:Example 1:

Project Management

STV S

tand

ards

STV Procedures

Tech

Net

work

Tech

Rev

iews

PM Process

PM Certification

Design QA/QC

PM Training

True

TQM

ISO 9000

Quality Audits

Skill N

etwor

k

BST System Implementation - Upgrades Financial Management Capabilities

LAN/WAN Development - Upgrades Computer Resources and Networking Capabilities

CADD Mgt

ImprovedQuality

Operations Integration

EnhancedProductivity

SkillSharing

Example 2:Example 2:

Regional Village

1. Build LAN/WAN2. Seamless interaction

• Hardware• Software

3. Conserve manpower• Share skills• Level workload

4. Train regional PMs5. Improve customer

support

EA

B

CD

RegionHQ

Personal planPersonal plan• Where do you want to be in 5 Where do you want to be in 5

yearsyears• What’s your plan to get thereWhat’s your plan to get there• What actions are neededWhat actions are needed

• TrainingTraining• ExperienceExperience• ResourcesResources

• How will you measure How will you measure progressprogress

• Will you need a mentorWill you need a mentor

Individual planning Individual planning exerciseexercise

• If you want to be a PE/PM in 5 If you want to be a PE/PM in 5 yearsyears

• Develop a personal plan to achieve this Develop a personal plan to achieve this objectiveobjective

• Follow the basic planning modelFollow the basic planning model• What are the key steps in your plan – be What are the key steps in your plan – be

specificspecific• What is the timing – set datesWhat is the timing – set dates

Individual planning Individual planning exerciseexercise– Example: My goal is XXXX (be realistic!)Example: My goal is XXXX (be realistic!)

•What training do you need? What training do you need? – Where, when, how?Where, when, how?– Funding?Funding?

•What experience do you need? What experience do you need? – Where, when, how?Where, when, how?

•Do you have to pass any tests or get Do you have to pass any tests or get certified?certified?

– Where, when, how?Where, when, how?

•How will you measure progress?How will you measure progress?•Who will be your mentor?Who will be your mentor?

Pitfalls of PlanningPitfalls of Planning• Commitment at the topCommitment at the top• Commitment lower downCommitment lower down• Inflexibility of plansInflexibility of plans• Incremental change vs. Incremental change vs.

operationsoperations• Internal politicsInternal politics• Over controlOver control• Lack of trainingLack of training• Lack of communicationsLack of communications

ConclusionConclusion

If you are going no where in particular… If you are going no where in particular… you’ll probably get there !you’ll probably get there !

The men decided that computer should definitely be of the feminine gender because: 1. No one but their creator understands their internal logic.

2. The native language they use to communicate with other computers is incomprehensible to everyone else.

3. Even the smallest mistakes are stored in long term memory for possible later review. 

4. As soon as you make a commitment to one, you constantly find yourself spending more money on accessories for it.

 

The women concluded that computers should be masculine because:

1. In order to do anything with them, you have to turn them on.2. They have a lot of data but still can't think for themselves.

3. They are supposed to help you solve problems, but half the time they ARE the problem.

4. As soon as you commit to one, you realize that if you had waited a little longer you could have gotten a better model!

Book Reports Monday…Book Reports Monday…

– You Just Don’t UnderstandYou Just Don’t Understand•Alexis MillerAlexis Miller•Alex LasurdoAlex Lasurdo

Company Policy

Start with a cage containing five monkeys. Inside the cage, hang a Start with a cage containing five monkeys. Inside the cage, hang a banana on a string and place a set of stairs under it.  Before long, a banana on a string and place a set of stairs under it.  Before long, a monkey will go to the stairs and start to climb towards the banana.  As monkey will go to the stairs and start to climb towards the banana.  As soon as he touches the stairs, spray all of the other monkeys with cold soon as he touches the stairs, spray all of the other monkeys with cold water.  After a while, another monkey makes an attempt with the same water.  After a while, another monkey makes an attempt with the same result; all the other monkeys are sprayed with cold water.  Pretty soon, result; all the other monkeys are sprayed with cold water.  Pretty soon, when another monkey tries to climb the stairs, the other monkeys will try when another monkey tries to climb the stairs, the other monkeys will try to prevent it.to prevent it.

Now, put away the cold water . Remove one monkey from the cage and Now, put away the cold water . Remove one monkey from the cage and replace it with a new one.  The new monkey sees the banana and wants to replace it with a new one.  The new monkey sees the banana and wants to climb the stairs.  To his surprise and horror, all of the other monkeys climb the stairs.  To his surprise and horror, all of the other monkeys attack him.  After another attempt and attack, he knows that if he tries to attack him.  After another attempt and attack, he knows that if he tries to climb the stairs, he will be assaulted.climb the stairs, he will be assaulted.

Next, remove another of the original five monkeys and replace it with a Next, remove another of the original five monkeys and replace it with a new one  . The newcomer goes to the stairs and is attacked.  The previous new one  . The newcomer goes to the stairs and is attacked.  The previous newcomer takes part in the punishment with enthusiasm!  Likewise, newcomer takes part in the punishment with enthusiasm!  Likewise, replace a third original monkey with a new one, then a fourth, then the replace a third original monkey with a new one, then a fourth, then the fifth.fifth.

Every time the newest monkey takes to the stairs, he is attacked.  Most of Every time the newest monkey takes to the stairs, he is attacked.  Most of the monkeys that are beating him have no idea why they are not the monkeys that are beating him have no idea why they are not permitted to climb the stairs or why they are participating in the beating permitted to climb the stairs or why they are participating in the beating of the newest monkey.of the newest monkey.

After replacing all the original monkeys, none of the remaining monkeys After replacing all the original monkeys, none of the remaining monkeys have ever been sprayed with cold water. Nevertheless, no monkey ever have ever been sprayed with cold water. Nevertheless, no monkey ever again approaches the stairs to try for the banana.  Why not?  Because as again approaches the stairs to try for the banana.  Why not?  Because as far as they know that's the way it's always been done around here.far as they know that's the way it's always been done around here.

And that, my friends, is how a company policy begins.And that, my friends, is how a company policy begins.

Atmosphere for changeAtmosphere for change• Discuss new concepts frequentlyDiscuss new concepts frequently• Show enthusiasm for new thingsShow enthusiasm for new things

• Logical methods… do research & Logical methods… do research & analysisanalysis

Matrix Matrix Attribute Attribute listing listing

Force field analysisForce field analysisDesign/decision treeDesign/decision tree

• Intuitive methods… big pictureIntuitive methods… big pictureImageryImagery Draw or Draw or

diagramdiagramAnalogies Analogies BrainstormingBrainstorming

Steiner modelSteiner model

Organizational Purpose

Values of Top Managers

External & Internal

Opportunities Problems

Strengths & Weaknesses

CompanyMissions

& Long

RangeObjectives

PoliciesStrategies

MediumRange

Programs&

ObjectivesPolicies

Strategies

ShortRangePlans

&Goals,

Targets,Tactics

Imple

menta

tion o

f Pla

ns

Revie

w &

Evalu

atio

n

Feasibility Testing

Planning Studies