Informal coalitions Mastering the hidden dynamics of organizational change Chris Rodgers ©ChrisRodgersConsultingLimited2007 Softcover reprint of the hardcover 1st edition 2007 978-0-230-01991-1 Allrightsreserved.Noreproduction,copyortransmissionofthis publicationmaybemadewithoutwrittenpermission. Noparagraphofthispublicationmaybereproduced,copiedortransmitted savewithwrittenpermissionorinaccordancewiththeprovisionsofthe Copyright,DesignsandPatentsAct1988,orunderthetermsofanylicence permittinglimitedcopyingissuedbytheCopyrightLicensingAgency, 90TottenhamCourtRoad,LondonW1T4LP. Anypersonwhodoesanyunauthorisedactinrelationtothispublication maybeliabletocriminalprosecutionandcivilclaimsfordamages. Theauthorhasassertedhisrighttobeidentified astheauthorofthisworkinaccordancewiththeCopyright, DesignsandPatentsAct1988. Firstpublished2007by PALGRAVEMACMILLAN Houndmills,Basingstoke,HampshireRG216XSand 175FifthAvenue,NewYork,N.Y.10010 Companiesandrepresentativesthroughouttheworld PALGRAVEMACMILLANistheglobalacademicimprintofthePalgrave MacmillandivisionofSt.Martin’sPress,LLCandofPalgraveMacmillanLtd. Macmillan(cid:2)isaregisteredtrademarkintheUnitedStates,UnitedKingdom andothercountries.PalgraveisaregisteredtrademarkintheEuropean Unionandothercountries. ISBN 978-1-349-28592-1 ISBN 978-0-230-62521-1 (eBook) DOI 10.1057/9780230625211 Thisbookisprintedonpapersuitableforrecyclingandmadefromfully managedandsustainedforestsources. AcataloguerecordforthisbookisavailablefromtheBritishLibrary. AcatalogrecordforthisbookisavailablefromtheLibraryofCongress. 10 9 8 7 6 5 4 3 2 1 16 15 14 13 12 11 10 09 08 07 Everyefforthasbeenmadetotraceallcopyrightholdersbutifanyhave inadvertentlybeenoverlooked,thepublisherswillbepleasedtomakethe necessaryarrangementsatthefirstopportunity. For Vera and Suzie This page intentionally left blank C ONTENTS Preface viii Acknowledgments xvi Chapter 1 Mapping the territory 1 Introduction 1 Rational views on how change happens 2 What’s missing? 10 Interrelationship of the four views of change 15 The change context 16 Key aspects of organizational dynamics 17 Organizational outcomes 22 Roles within the change process 23 The Change Map as a whole 31 The rational view of change 32 Integrating the rational and a-rational dynamics of change 33 Chapter 2 Underlying dynamics of change 36 Introduction 36 Relationship dynamics 36 Shadow-side dynamics 40 The leadership paradox 50 The nature of the leadership task 52 Organizations as networks of self-organizing conversations 54 The origins of organizational change 56 Informal coalitions assumptions 58 Implications of the dynamics of informal coalitions 59 Change-leadership agenda 60 Chapter 3 Reframing communication 62 Introduction 62 Leadership communication grid 63 Conventional forums and processes – Mode C1 65 Workshops and structured dialogue sessions – Mode C2 70 Everyday conversations and interactions – Mode C3 74 v Contents vi Role modeling – Mode C4 83 Three things to remember 85 In summary 86 Chapter 4 Thinking culturally 87 Introduction 87 The culture change industry 87 Taking culture seriously 90 A cultural “snapshot” 93 Organizations as networks of conversations 98 Management myths that obscure understanding 100 Thinking culturally 104 In summary 111 And finally(cid:2)(cid:2)(cid:2) 112 Chapter 5 Acting politically 114 Introduction 114 Politics as “playing dirty” 114 Informal coalitions view of organizational politics 118 The political process 129 Functional politics and the use of power 132 Options for political action 138 Phases of political action 141 In summary 151 Chapter 6 Building coalitions 153 Introduction 153 The nature of coalitions 153 Building coalitions – The leadership challenge 155 Issue coalitions 157 Action coalitions 162 Intellectual understanding and emotional engagement 177 And finally(cid:2)(cid:2)(cid:2) 194 Chapter 7 Embracing paradox 195 Introduction 195 The nature of paradox in organizations 196 Why embracing paradox is not commonplace 197 Why embracing paradox is important 200 Meeting the challenge 201 A practical toolkit 202 Contents vii The leadership paradox 202 The performance paradoxes 204 Organizational paradoxes 215 Embracing paradox 224 Chapter 8 Providing vision 226 Vision as a desired end-state 226 Vision as everyday engagement 229 Gaining perspective 232 Realizing purpose 239 Self-managing processes 242 Exploiting possibilities 247 Unlocking potential 252 Igniting passion 255 Putting it all together – Aiming for 20:20 vision 260 Postscript 262 Notes 266 Bibliography 270 Index 273 P REFACE The challenge The ability of leaders to deal effectively with organizational change is criticaltobusinesssuccess.Andyet,researchshowsthatonlyaroundone in every three change programs deliver the sought-after improvements in business performance.1 Informal Coalitions suggests that, by failing to address the underlying dynamics of organizations, many of these formal change programs inevitably contain the seeds of their own downfall. Against this background, the book offers a fresh perspective on organiz- ational change, and takes thinking and practice beyond its conventional boundaries. In doing so, it aims to increase leaders’ chances of achieving success, by exploring a new change-leadership agenda and introducing a number of practical tools to support it. Background This book has its roots in my background as a practicing manager in UK industry,andasamanagementconsultanttobothpublic-andprivate-sector organizations. During that time, I have come to a view that something vital is missing from most of the models of organizational change and performance that are currently on offer. These are usually well articu- lated and, on the surface at least, offer some practical ways forward. However, they consistently fail to address crucially important aspects of the“realworld”organizationsthatmanagersexperiencedaytoday.Almost invariably, the prescriptions put forward place most emphasis on chan- gingtheformalandstructuredelementsoftheorganization–itsprocesses, systems and structures – and on getting these “right” through rational analysis, project management techniques and detailed implementation programs.Thisapproachisthencarriedoverintothelesstangibleaspects oforganizationalchange,suchastheunderlyingculturaldynamicsofthe organizationorthechallengeofbuildingcommitmenttothechanges.These are also treated as separate work streams in a formal project plan. Other, ever-present features of organizational life – such as the impact of power and politics, the importance of informal processes and the implications ofparadox–tendtobedealtwithsuperficiallyorignoredaltogether. viii Preface ix Assomeonewhowasoriginallytrainedasanengineer,Ivaluerational analysis and project management disciplines; but only when these are usedintheirproperplace.Forthemostpart,organizationsdonotconform to the same rules as inanimate structures, systems and machines. Instead, theycomprisenetworksofpeopleinteractingwitheachother.Andpeople have a habit of not conforming to the mechanistic assumptions that still channel much of the conventional management thinking about organiz- ational change and performance. When reflecting on my own, everyday experiences in organizations, I recognize that many of the most signi- ficant decisions and actions are the outcome of much messier processes than allowed for by the wholly rational school of change management. These precedent-setting shifts in thinking and behavior rarely arise from formal, rational analysis of “the facts” and step-by-step decision-making by people whose agendas are fully aligned. More often than not, they are the result of informal interactions, joint sensemaking and political accommodations made by people who are trying to make a difference in a complex, uncertain and ambiguous environment. I was presented with the opportunity to explore these issues in more depth when I embarked on a part-time master’s degree in organizational change in the late 1990s. My research focused, in particular, on three things that I felt were critical to the ways in which I experienced organ- izations on a day-to-day basis. First, I was interested in the impact that the everyday conversational life of the organization had on performance delivery and on development of the change agenda. This work helped to confirm and refine my roughly formed view that everyday conversations and informal interactions are central to the way that change happens in organizations. Secondly, I wanted to consider more fully the influence of shadow-side dynamics (such as informal organizational practices, and social and political processes) on behavior patterns and organizational outcomes. This proved to be another fruitful area of inquiry, which rein- forced my emerging ideas about the leader’s role in the change process. Thirdly, I was fascinated by the paradoxical nature of much of what takesplaceinorganizations.Inparticular,Iwasinterestedintheinability of conventional, either–or thinking to deal with the challenges that this brings. Having set out to explore paradox, it was difficult to find any aspectoforganizationaldynamicsthatwasnottouchedbyit.Despitethis, our ingrained patterns of perception, language and behavior ordinarily blind us to paradox’s existence, impact and potential power. The above three factors – the centrality of conversation, the impact of shadow-side dynamics and the importance of embracing paradox – underpin much of what follows in this book.