Phoenix Convention Center Phoenix, Arizona Engaging Senior Management to Effect Change Institutional Change: Session 7 Christopher Payne (Lawrence Berkeley

Phoenix Convention Center • Phoenix, Arizona

Engaging Senior Management to Effect Change

Institutional Change: Session 7

Christopher Payne (Lawrence Berkeley National Lab), Rick Diamond (Lawrence Berkeley National Lab),and

Amy Wolfe (Oak Ridge National Lab)August 12th, 2015

Energy Exchange: Federal Sustainability for the Next Decade

Presentation Outline

• Overview of 5-step framework for organizational change

• Applications: Breaking down organizational stovepipes and engaging senior management

• Summary and small group activities

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Energy Exchange: Federal Sustainability for the Next Decade3

5-Step Framework for Organizational Change


5-Step Framework for Organizational ChangeStep 2: Identify Context

● Who are the key players (roles)

● What are the important rules (formal and informal)

● What are the processes and/or infrastructure (tools)

Current context, but also what needs to be modified to achieve your goal


Roles: • Who has responsibility?• Who has authority?• Who has the incentive to act?• Who takes action?

Examples of key roles:• Chief sustainability officer• Building manager• Contract officer

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5-Step Framework for Organizational ChangeRoles


Rules:• What rules exist? (Formal and informal)• Which requirements are salient?• How are they enforced?

Examples:• Statutes, executive orders, regulations• Agency policies, site policies• Trainings, certification requirements• “The way things are done”

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5-Step Framework for Organizational ChangeRules


Tools:• What systems support desired action?• What are the default system conditions?• What additional tools are needed?

Examples:• Physical infrastructure• Standard forms• Training content• Recognition and awards programs

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5-Step Framework for Organizational ChangeTools


4 Key Elements:• Engage• Educate• Enable• Evaluate

How do we address these 4 key elements?• 8 principles provide

guidance

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5-Step Framework for Organizational ChangeDeveloping an Action Plan


EngagePrinciple 1: Social NetworkPeople take cues from others, so identify and highlight change in peers.Example: The single most explanatory factor in a recent analysis of residential PVadoption was proximity to previously-installed systems.

Principle 2: Social EmpowermentPeople often seek engagement to greater purpose, so support a sense of sharedgroup participation.Example: The US Postal Service's 630 Lean Green Teams collaborate across jobfunctions to identify and implement sustainable actions.

Principle 3: Social CommitmentSpecific, public commitments support taking action.Example: Assessors working with a California utility asked homeowners to commit toa time when they would undertake an energy efficiency project, increasing the number of completed projects by 3x - 4x.

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EducatePrinciple 4: Information and FeedbackInformation must be actionable, and results must be perceptible.Example: Workers in an industrial organization increased energy-saving behavior whenthey received weekly updates on their energy use and reductions.

Principle 5: Multiple MotivationsDifferent people will be attracted to different elements of change. Highlightvariety of benefits.Example: Maintenance staff at a Navy base preferred energy-efficient exit signs becausethey lasted longer, reducing effort for replacement.

Principle 6: LeadershipTransformational leadership must be visible and consistent to allow new actionsto be accepted and integrated.Example: At the CDC, the charismatic Director led stair walks that were part of thesustainability connection between health and "green" efforts.

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EnablePrinciple 7: InfrastructureChanging the physical context makes new behaviors easy or desirable.Example: Prompts and enhanced aesthetics, visibility, and accessibility tostairwells prompted an 8.2% increase in stair use.

Principle 8: Continuous Change and InnovationDevelop a process for change, not an outcome.Example: IBM implemented a monthly energy reporting system for itsvarious facilities where operations are driven by simple checklists…Facilitymanagers use the checklists to verify that procedures have been performedon a regular basis.

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Breaking down organizational stovepipes

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• Roles, rules, and tools exist that create organizational stovepipes

• Stovepipes can create obstacles to achieving your goal

Example:Sustainability initiatives may require the involvement of energy managers, sustainability officers, and procurement officials to be successful. However, these groups may not interact with each other within your organization and may not be well-positioned to work towards a common goal.

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Apply framework to your organizational contextWith whom do we need to engage to reduce stovepipes?

• Example: Engage people with authority(leadership principle)

How can we educate about stovepipes?• Example: Are stovepipes inhibiting achieving your goal?

(information and feedback principle)

How can we enable people to work across departments?• Example: Change physical locations

(infrastructure principle)

How can we evaluate our impact?• Example: pilot tests, treatment and control, collect data

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Example from Better Buildings Challenge: Kohl’s Energy Finance Strategy

“Despite a track record of successful projects, the Energy team was having trouble getting and defending sustained corporate funding for unbudgeted energy efficiency projects. In order to overcome this barrier, Kohl’s strengthened the relationship between the Finance and the Energy teams by embedding members of the company’s Finance Department into the Energy team.”

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Takeaways

• How to break down stovepipes is a question of organizational change

• Start with identifying the Roles, Rules, and Tools that create stovepipes

• Think about how to Engage, Educate, Enable, and Evaluate to change the situation

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Engaging senior management

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• Roles, Rules, and Tools analysis shows which roles have the potential to either bolster or hinder success

• Key roles include senior management and/or other individuals in the position to change the way things are done

• Tie goals to mission, consider 8 principles

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Engaging Senior Management


Apply framework to your organizational context

How can we get our leaders to engage?• Example: Participatory activities, what other managers are doing

(social empowerment, social commitment, social network)

How can we educate leaders?• Example: Appeal to different aspects of sustainability, highlight existing data

(multiple motivations, information and feedback)

How can we enable our leaders to act? • Identify steps or opportunities to facilitate action

(infrastructure, continuous change)

How can we evaluate our progress? • Have a clear picture of what success looks like

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Example from the Federal Green Challenge:

“The U.S. Navy’s Naval Station Great Lakes, near Waukegan, Illinois, increased its amount of materials recycled by an astounding 114 percent...Garnering the support of Navy’s senior officers and managers was crucial to the success of the recycling and composting programs. The commanding officer is provided quarterly status reports with tonnages of material recycled at each collection point.”

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Takeaways

• Roles, Rules, and Tools analysis can show that engaging senior management is important for achieving your goal

• Leadership can be a mechanism for allowing change and experimentation

• Engage, Educate, Enable, and Evaluate approach can expand our thinking on how to change current processes

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Questions and Discussion


Small group activity

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Documents

Phoenix Convention Center Phoenix, Arizona Engaging Senior Management to Effect Change Institutional Change: Session 7 Christopher Payne (Lawrence Berkeley