IMAGINE HOUSTON COMMUNITY COLLEGE 2019
A Transformation Story
Black Swan Theory
Known Knowns Known Unknowns Unknown Unknowns Unknown Knowns
1. The Entrance Plan
2. The Transformation Phase 1
3. The Strategic Plan
4. Progress Snapshot
Imagine HCC
Community Culture
Community Culture - continued
Reid Wilson, Which of the 11 American nations do you live in?,
Washington Post, November 8, 2013.
Service Delivery Area
7
6 colleges 629 sq miles 2.4 MM people
Enrollment & Awards
75.8
69.7
60
62
64
66
68
70
72
74
76
78
80
Fall 10 Fall 11 Fall 12 Fall 13
Th
ou
sa
nd
s
Enrollment TrendFall Semester Unduplicated Headcount
9.0
11.0
6
8
10
12
14
16
18
AY 10 AY 11 AY 12 AY 13T
ho
usa
nd
s
Award TrendAll Awards
YES80%
NO20%
Dual Credit & Institutional Pride
7.1
5.9 5.54.7
0
1
2
3
4
5
6
7
8
Fall 10 Fall 11 Fall 12 Fall 13
Th
ou
sa
nd
s
Dual Credit Enrollment TrendUnduplicated Headcount
2013 Recommend HCC% Faculty and Staff Who
Recommend HCC
Student Demographics & Awards
Student Demographics
#9 - All Disciplines
#6 Minority Grads
#5 African American Grads
#5 Asian American Grads
#8 Hispanic Grads
African American
33%
Hispanic34%
White16%
Asian13%
Other4%
2013 RankingsCommunity College Week
Financial Points
2014 Budget(in millions)
Increase over 2013 Budget
+4%
State App$69
Local Tax$102
Tuition$113
Other$10
Aux Rev$15
Active Bond Projects
$425MM
Time (years)
Stakeholder
Value
Good
Will
Innovation
Customer
Relations
Operational
Effectiveness
1 2 3 4 5
Entrance Plan Framework - Growing Value
Adapted from: Strategy Maps: Converting Intangible Assets into Tangible Outcomes. Kaplan & Norton, 2004. Figure 2-7, p. 48.
Operations Management Processes
Organizational Resource Channels
Improve cost structureo Reduce cost
o Improve yields
Increase asset utilizationo Manage capacity
o Incremental improvementts
Customer Management Processes
Improve value propositiono Programs for high paying jobs
o Accelerate completion
Improve relationshipso Customer focused
o Form partnership
Innovation Processes
Opportunity sweepso Cross unit synergies
o Idea incubation
Portfolio managemento Manage implementation
o Incremental improvements
Social Processes
Improve environmento Relevant community partnerships
o Employee wellness
Talent acquisition/developmento Best in class employment practices
o Employ
Survival
Good Management
Good to Great Leadership
Organizational Lifecycle
(1) Adapted from Havener, C. (2001). The lifecycle of social systems. In C. Heavener Meaning. Minneapolis. p. 38.
Causes of Organizational Decline
(1) Balgobin, R. & Pandit, N. (2001). Stages in the turnaround process: The case of IBM UK. European Management Journal. 19(1).
(2) Schendel, D. & Patton, G. (1976). Corporate stagnation and turnaround. Journal of Economics and Business. 28, p. 236-241.15
INTERNAL CAUSES
1 Divided management or leadership
2 Inadequate financial resources and control
3 Lack of policy adherence
4 High structural cost
EXTERNAL CAUSES
1 Decrease in demand
2 Increased competition
3 Decrease in perceived value
Summary Entrance Plan
1. Financial Stability
A. Cash position
B. Budget
C. Flows
2. Basic Operations
A. Safety
B. Sales
C. Efficiency
D. Asset utilization
3. Political Frame
A. Coalitions
4. Structural Frame
A. Demography
B. Networks
C. Managerial Elites
5. Organizational Assessment
A. Life cycle
B. Build the Brand
(1) Garza Mitchel, R.L. and Maldonado, C. Strategic Planning for New Presidents: Developing an Entrance Plan. Community College
Journal of Research and Practice, 00: 1-9, 2014. July 2014.
The Case for Organizational Change
Analysis of the state of the College
Employee morale
Appraisal/reward systems
Equity and fairness
Financial risk management
Budgeting
Cost consciousness
Product positioning
Too many organizations are structured to have different functions compete with
each other, not work for the good of the total. - H. James Harrington
Customer relations
Quality of service
Quality of product
Organizational alignment
Project management
Community relations
Board relations
Higher Ed Vulnerability
Institutional Characteristics
Full service, soup to nuts; food, safety, financial, environment
Openly diverse
Freedoms at HE are normally controlled in corporate
Expected to be exceptional provider
Encourage to come; be unique
Age groups in first decontrolled experience
Freedoms are self-centered; not focused on institution
Open physical environment
Political activism
Unique goals for diverse stakeholder groups
Therefore the institution serves as a nexus for conflict.
1. The Entrance Plan
2. The Transformation Phase 1
3. The Strategic Plan
4. Progress Snapshot
Imagine HCC
Unknown Known
$21MMCurrent Budget Gap
$75MMBond Project Overrun (est.)
56,400Call CenterDropped Calls per Quarter
Every system is perfectly designed to produce what it is producing.
122k cars/day
Cultural Assessment
59%Hierarchy
20%Market
20%Parochial
1%Innovation
Definitions of leadership say nothing about authority.
Performance Barriers
52%Management
19%Procedures
4%Info Tech
15%HR Practices
5%Finances
5%Other
When the leaders are divided in their answers, you know that there are big problems
throughout the organization a clear sign of vertical misalignment, starting at the
top Lou Gertsner, upon starting IBM turnaround in 1993
Core Behaviors
Drive Continuous Improvement
Accept Responsibility
Support Organizational Goals
Adapt to Change
Communicate Effectively
25% 75%
33% 67%
32% 68%
15% 85%
22% 78%
No matter all the planning - unknowns always exist
Always Sometimes - Never
Core Values
Collaboration
Culture of Trust
Innovation
Passion
Accountability
Consistency
8% 92%
2% 98%
27% 73%
28% 72%
6% 94%
14% 86%
Always Sometimes - Never
Change Theory
CHANGEINTERVENTION
ORGANIZATIONALTARGET VARIABLES
ORGANIZATIONALOUTCOMES
ORGANIZATIONALDEVELOPMENT
VISION Purpose Values Behaviors
SETTING Technology Structure Physical
IMPROVED ORGANIZATIONAL
PERFORMANCE
ENHANCED INDIVIDUAL
PERFORMANCE
Change Theory
CHANGE
INTERVENTION
ORGANIZATIONAL
TARGET VARIABLES
ORGANIZATIONAL
OUTCOMES
ORGANIZATIONAL
TRANSFORMATION
VISION
Purpose Values Behaviors
SETTING
Technology Structure Physical
IMPROVED
ORGANIZATIONA
L
PERFORMANCE
ENHANCED
INDIVIDUAL
PERFORMANCE
Eight Steps to Transformation
1Establish a Sense of Urgencyo Examine market and competitive realities
o Identify potential crises, challenges
2Form Guiding Coalitiono Commission influential group
o Lead to form team environment
3Create a Visiono Clarify direction
o Develop strategy to achieve vision
4Communicate the Visiono Use every method possible
o Teach new behaviors for teaming
5Empower Others to Acto Get rid of obstacles to change
o Change structures that undermine
6Plan for Short Term Winso Have visible improvements
o Communicate the wins
7Consolidate Improvementso Redesign policies and practices
o New projects and themes
8Institutionalize the HCC Wayo Link success to the HCC Way
o Develop new leaders
Adapted from: Leading Change: Why Transformation Efforts Fail, John P. Kotter, 2007.
Findings
1. Leverage our size and resources
2. Have a clear vision
3. Eliminate inefficiencies
4. Align priorities across the system
5. Create opportunities
A more efficient college
A more interconnected college
A more responsive college
A more aligned college
A more innovative college
A more successful student and graduate
Organizational Drivers Aspirations
conceptual view
Centering Excellence & Connecting Community
Guiding Coalition - G65
Guiding Coalition - G65
Vision and Strategy
HCC will be a leader in providing high quality,
innovative education leading to student success
and completion of workforce and academic
programs.
We will be responsive to co
