Book Summary By Bud Roth

	Leading Change By John P. Kotter

Book Summary by: Bud Roth

Change management is a subject that we’ve heard so much about that we gloss over it. Why are we still getting it wrong? Or, why aren’t we learning how to manage change better?

John Kotter’s book is a clear refresher about how to lead organizational changes. I’ll point out the newer models and wake-up calls.

Kotter is a MIT and Harvard grad and a long time faculty professor at Harvard. He’s consulted in many of the largest companies and written numerous books. So, he’s well known and credible.
________________________
The author starts by pointing out the errors we most frequently make in a change effort where the carnage has been appalling.
--Allowing too much complacency.
--Failing to create a sufficient powerful guiding coalition.
--Underestimating the power of vision.
--Under communicating the vision by a factor of 10 (or 100 or even 1000).
--Permitting obstacles to block the new vision.
--Failing to create (or acknowledge) short-term wins.
--Neglecting to anchor changes firmly in the corporate culture.

None of these change errors would be costly in a slower moving and less competitive global market place. The problem for us is that stability is no longer attainable. And most experts agree that over the next few decades business will become only more volatile.

The consequences of only one of these errors can be devastating. I won’t go into detail about the consequences you’ve already experienced or heard about: acquisitions that fail, quality programs that don’t deliver, etc.

The Eight Stages for
A successful change effort:
--Establish a sense of urgency.
--Creating a guiding coalition, and work as a team.
--Developing a vision and strategy.
--Communicating the change vision multiple times and in different ways.
--Empowering broad-based actions to change systems and structures.
--Generating short-term wins and keeping them visible.
--Consolidating gains and producing more change by using increased credibility to get momentum.
--Anchoring new approaches in the culture by connecting success with new organizational behavior.

Let’s separate managing change and leading change. Management is a set of processes that keep people and technology running smoothly. Leadership defines the future, aligns people with the vision, and inspires them to make it happen despite the obstacles. Unfortunately, the emphasis on management has often been institutionalized in corporate cultures that discourage employees from learning how to lead.

Now, let’s take a look at the successful, organization of the future. Enterprises everywhere are presented with terrible hazards and wonderful opportunities, driven by the globalization of the economy along with related technological and social trends. The traditional or standard company of the 20th century is the dinosaur of the 21st century.

Bud’s Notes:_____________
It is critically important to rethink not only how we do business but also what business we’re really in. We need to do this annually. I recently heard Polly LaBarre speak at a conference. Polly is the Senior Editor of “Fast Company” magazine. She said that the normal business environment is here. We need to make appropriate adjustments to our business models. Don’t wait for things to turn around. This is it for a long time. Polly also reinforces the need to change quickly and effectively to meet global competition, satisfy the changing needs of our customers and remain unique.

Back to Kotter:_________ Implications for 21st Century companies are:
--Have a persistent sense of urgency.
--Make sure you have a senior team that really works as a team.
--Senior team members will need to be switched in and out (not out of the company).
--Eliminate giant egos and snakes in the succession process.
--Develop leaders as a life long learning process (What you learned yesterday won’t work tomorrow).
--Don’t waste good talent and never lose them.
--Eliminate interdependencies and bureaucracies that don’t add value.
--Create an adaptive culture.

21st Century Executives
Future leaders will keep learning at a similar rate as young adults. As the rate of change increases, the willingness and ability to keep developing becomes central to individual career success and to economic success for organizations. Kotter’s research shows that competitive drive and lifelong learning are the 2 most important success factors for leaders. These factors helped develop new skills and increased competitive capacity.

Since lifelong learning is critical to our growth and success, let’s discuss the mental habits that support lifelong learning:
--Risk taking: Pushing ourselves out of our comfort zone.
--Humble self-reflection: honest assessments of successes and failures.
--Soliciting opinions, information and ideas aggressively.
--Careful listening: Listening very closely to others.
--Openness to new ideas: Staying open minded. (Even to counter intuitive ideas: Bud’s thought)

Bud’s Note:__________
How do we take the action steps to create these habits? DISCIPLINE and manage your fears to change your leadership style.

Kotter says that we must think about our personal renewal. It’s better for most of us, despite the risks, to leap into the future and stop embracing the past.

Bud’s final note:______
This coach can help you renew yourself and take the risks to grow into a 21st Century leader.

This summary is compliments of Roth Consulting Group

Roth Counsulting Group, LLC
5914 Silas Moffitt Way, Suite A, Carmel IN 46033
ph: 317-843-9521 webmaster@rothcg.com

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