logging in or signing up Does Leadership make a difference to Organisationa BeatRoot Download Post to : URL : Related Presentations : Share Add to Flag Embed Email Send to Blogs and Networks Add to Channel Uploaded from authorPOINTLite Insert YouTube videos in PowerPont slides with aS Desktop Copy embed code: (To copy code, click on the text box) Embed: URL: Thumbnail: WordPress Embed Customize Embed The presentation is successfully added In Your Favorites. Views: 1032 Category: Education License: All Rights Reserved Like it (0) Dislike it (0) Added: April 13, 2008 This Presentation is Public Favorites: 0 Presentation Description No description available. Comments Posting comment... By: ossrfs (23 month(s) ago) gud one...may pl send it to sahay.parvind582@gmail.com, or to omsrisairamfinancialservices@gmail.com, thnx n best regds..parvind sahay. Saving..... Post Reply Close Saving..... Edit Comment Close By: melvin_jara86 (39 month(s) ago) elow... can you pls send me a copy of your ppt?! melvin_jara86@yahoo.com is my add. thank you Saving..... Post Reply Close Saving..... Edit Comment Close By: thabi_2008 (42 month(s) ago) d ppt was vry nice.... can u send a copy of tiz 2 my id thabu_2007@rediffmail.com... it wud b vry helpful for me 2 present in my clss.......... Saving..... Post Reply Close Saving..... Edit Comment Close By: thabi_2008 (42 month(s) ago) please mail me a copy of this ppt. Saving..... Post Reply Close Saving..... Edit Comment Close Premium member Presentation Transcript Does Leadership Make a Difference to Organisational Performance?: Does Leadership Make a Difference to Organisational Performance? Professor Andrew Μ. Pettigrew, FBA Dean School of Management University of Bath Phone: +44 (0) 1225 383052 a.m.pettigrew@bath.ac.ukOur journey…: Our journey… The Contrary Position Fixing the System, not just the person Leadership, Complementary Change & Performance Leadership, Change and Performance in BP Key Messages for Leaders and Leading ChangeThe contrary position…: The contrary position… Performance is largely shaped by external conditions – economic, market and technological factors. Leaders are faced by many internal constraints. Leaders as pawns not potentates. People attribute and thereby exaggerate leader effects to make sense of complex, confusing events. Leaders magnify followers attributions by managing impressions. Luck and chance are key determinants of performance. Fixing the System, Not Just the Person: Fixing the System, Not Just the Person Being honest about the complexities of the system and recognising the complexities of being honest. Leader competence and effectiveness is only as good as organisational competence and effectiveness.The primary questions: The primary questions ? Progress How far have new organisational forms been implemented? Performance ? What are the performance effects? Process ? What are the managerial processes?Research method: Research method Four surveys in: UK Continental Western Europe Japan USA 18 Case studies in 8 UK 10 Continental Western EuropeThree dimensions of change: Three dimensions of change The multiple indicators: The multiple indicatorsKey Outputs: The Innovating Organization (Eds) Andrew Pettigrew and Evelyn Fenton London, Sage, 2000 Innovative Forms of Organizing: An International Perspective (Eds) Andrew Pettigrew et al. London, Sage, 2003 Key OutputsDualities in changing: Dualities in changing Living with hierarchies and networks Greater performance accountability upwards and greater horizontal integration sideways Empowering and holding the ring Centralising strategy and decentralising operations Standardising and customisingDualities in changing: Discipline to identify knowledge and the good citizenship to share knowledge Balancing continuity and change “to change the world one must live with it” Continuous innovation requires platforms of relative stability Delivering a complementary and contextually appropriate set of innovations (not latest fad) Dualities in changing benefits of complementary changes?: benefits of complementary changes? What are theStrategic complementarities: Strategic complementarities “Doing more of one thing increases the returns of doing more of another” Milgrom and Roberts, 1995 Investing in one practice makes more profitable investing in another, setting off a potential virtual circle of high performanceTwo key propositions: Two key propositions The Positive Proposition: Changing only a few of the system elements at a time may not come close at all to achieving all the benefits that are available through a fully co-ordinated move The Negative Proposition: Partial moves may drive down performanceSystemic change: Europe, Japan and US, 1992-1997: Systemic change: Europe, Japan and US, 1992-1997 The 3 Dimensions Structure Processes Boundaries The 4 Systems System 1 (S+P+B) System 2 (S+P) System 3 (P+B) System 4 (S+B) Europe 30.3% 74.9% 44.9% Europe 13.0% 25.1% 34.2% 16.4% Very few companies adopting whole system of change Japan 6.2% 53.7% 30.7% Japan 1.2% 4.7% 18.7% 1.6% US 16.5% 82.3% 57.0% US 8.9% 12.7% 46.8% 11.4% Systemic change and performance: Summary of regression results: One symbol, + or -, indicates weak positive or negative significance; two symbols, ++ or --, indicate strong positive or negative significance. Systemic change and performance: Summary of regression results The 4 Systems System 1 (S+P+B) System 2 (S+P) System 3 (P+B) System 4 (S+B) Pooled Sample of Western Firms ++ - - UK + -- - US + -- The adoption of a full set of changes (System 1) increases the probability of improving corporate performance The adoption of partial systems (System 2 and System 3) is likely to reduce performanceSlide17: Performance gains require doing many practices together Performance effects depend upon whole system thinking and actionSlide18: How do firms acquire the capability to deliver system wide change?BP: Context and Action: BP: Context and Action Late 1970's $35 per Barrel: Industry Diversification 1986 Oil Price Collapse to $13 1987 Acquire Standard Oil and Brit Oil Buy Back Kuwait Shares: Debt Problems Employee Survey and Project 1990 Attempt at comprehensive and holistic change 1990-1991-1992 Recession and Collapse of Profitability Horton asked to resign in June 1992 Holistic intentions, but failure to justify and deliver 1992-1995 Simon Era of Performance : Reputation : Team Work Change and Continuity 1995- Relentless Performance Drive-All Targets Met Browne's strategic moves plus relentless pursuit of other complements drives up relative return on capital BP:Complementary Change & Performance 1990 – 1999 : BP:Complementary Change & Performance 1990 – 1999 H O R TO N S I M O N B R O W N E Leading and Complementary Change: Leading and Complementary Change Key Messages: For Leaders For Leading ChangeKey Messages (1): Key Messages (1) Leader Qualities of Holistic Thinking and Holistic Action Beware of Attempts to Improve Performance through Singular Changes Building the Complementary Changes The Integrated Systems of Mutually Reinforcing Elements This Approach Points to the Importance of: Strong, Aware and Engaged Central Direction Bottom Up Approaches are Handicapped in Delivering Complementary ChangeKey Messages (2): Key Messages (2) Be Prepared for the Dangers of Transitions and the Perils of the 'J' Curve Things may get worse before they get better Need for strong leaders to survive transition processesKey Messages (3): Key Messages (3) Partial changes may be politically and emotionally easier to contemplate, but encourage long term declines Beware of complementary traps: Sticking with the old system that works Learning is crucial, but it is also a challenge Complements may be: Hard to Understand Hard to Implement Hard to Imitate Building the complements and the capabilities that underpin them takes time and courageKey Messages (4): Key Messages (4) Building complements requires customization The virtual cycle of complementary change needs to stay in motion Leading Change is a Continuous Process The crucial importance of: Duration of leader in post Careful management of leader succession Leading continuity and change The importance of inter-generational leader effects Fixing the System, Not Just the Person: Fixing the System, Not Just the Person Being honest about the complexities of the system and recognising the complexities of being honest. 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Does Leadership make a difference to Organisationa BeatRoot Download Post to : URL : Related Presentations : Share Add to Flag Embed Email Send to Blogs and Networks Add to Channel Uploaded from authorPOINTLite Insert YouTube videos in PowerPont slides with aS Desktop Copy embed code: (To copy code, click on the text box) Embed: URL: Thumbnail: WordPress Embed Customize Embed The presentation is successfully added In Your Favorites. Views: 1032 Category: Education License: All Rights Reserved Like it (0) Dislike it (0) Added: April 13, 2008 This Presentation is Public Favorites: 0 Presentation Description No description available. Comments Posting comment... By: ossrfs (23 month(s) ago) gud one...may pl send it to sahay.parvind582@gmail.com, or to omsrisairamfinancialservices@gmail.com, thnx n best regds..parvind sahay. Saving..... Post Reply Close Saving..... Edit Comment Close By: melvin_jara86 (39 month(s) ago) elow... can you pls send me a copy of your ppt?! melvin_jara86@yahoo.com is my add. thank you Saving..... Post Reply Close Saving..... Edit Comment Close By: thabi_2008 (42 month(s) ago) d ppt was vry nice.... can u send a copy of tiz 2 my id thabu_2007@rediffmail.com... it wud b vry helpful for me 2 present in my clss.......... Saving..... Post Reply Close Saving..... Edit Comment Close By: thabi_2008 (42 month(s) ago) please mail me a copy of this ppt. Saving..... Post Reply Close Saving..... Edit Comment Close Premium member Presentation Transcript Does Leadership Make a Difference to Organisational Performance?: Does Leadership Make a Difference to Organisational Performance? Professor Andrew Μ. Pettigrew, FBA Dean School of Management University of Bath Phone: +44 (0) 1225 383052 a.m.pettigrew@bath.ac.ukOur journey…: Our journey… The Contrary Position Fixing the System, not just the person Leadership, Complementary Change & Performance Leadership, Change and Performance in BP Key Messages for Leaders and Leading ChangeThe contrary position…: The contrary position… Performance is largely shaped by external conditions – economic, market and technological factors. Leaders are faced by many internal constraints. Leaders as pawns not potentates. People attribute and thereby exaggerate leader effects to make sense of complex, confusing events. Leaders magnify followers attributions by managing impressions. Luck and chance are key determinants of performance. Fixing the System, Not Just the Person: Fixing the System, Not Just the Person Being honest about the complexities of the system and recognising the complexities of being honest. Leader competence and effectiveness is only as good as organisational competence and effectiveness.The primary questions: The primary questions ? Progress How far have new organisational forms been implemented? Performance ? What are the performance effects? Process ? What are the managerial processes?Research method: Research method Four surveys in: UK Continental Western Europe Japan USA 18 Case studies in 8 UK 10 Continental Western EuropeThree dimensions of change: Three dimensions of change The multiple indicators: The multiple indicatorsKey Outputs: The Innovating Organization (Eds) Andrew Pettigrew and Evelyn Fenton London, Sage, 2000 Innovative Forms of Organizing: An International Perspective (Eds) Andrew Pettigrew et al. London, Sage, 2003 Key OutputsDualities in changing: Dualities in changing Living with hierarchies and networks Greater performance accountability upwards and greater horizontal integration sideways Empowering and holding the ring Centralising strategy and decentralising operations Standardising and customisingDualities in changing: Discipline to identify knowledge and the good citizenship to share knowledge Balancing continuity and change “to change the world one must live with it” Continuous innovation requires platforms of relative stability Delivering a complementary and contextually appropriate set of innovations (not latest fad) Dualities in changing benefits of complementary changes?: benefits of complementary changes? What are theStrategic complementarities: Strategic complementarities “Doing more of one thing increases the returns of doing more of another” Milgrom and Roberts, 1995 Investing in one practice makes more profitable investing in another, setting off a potential virtual circle of high performanceTwo key propositions: Two key propositions The Positive Proposition: Changing only a few of the system elements at a time may not come close at all to achieving all the benefits that are available through a fully co-ordinated move The Negative Proposition: Partial moves may drive down performanceSystemic change: Europe, Japan and US, 1992-1997: Systemic change: Europe, Japan and US, 1992-1997 The 3 Dimensions Structure Processes Boundaries The 4 Systems System 1 (S+P+B) System 2 (S+P) System 3 (P+B) System 4 (S+B) Europe 30.3% 74.9% 44.9% Europe 13.0% 25.1% 34.2% 16.4% Very few companies adopting whole system of change Japan 6.2% 53.7% 30.7% Japan 1.2% 4.7% 18.7% 1.6% US 16.5% 82.3% 57.0% US 8.9% 12.7% 46.8% 11.4% Systemic change and performance: Summary of regression results: One symbol, + or -, indicates weak positive or negative significance; two symbols, ++ or --, indicate strong positive or negative significance. Systemic change and performance: Summary of regression results The 4 Systems System 1 (S+P+B) System 2 (S+P) System 3 (P+B) System 4 (S+B) Pooled Sample of Western Firms ++ - - UK + -- - US + -- The adoption of a full set of changes (System 1) increases the probability of improving corporate performance The adoption of partial systems (System 2 and System 3) is likely to reduce performanceSlide17: Performance gains require doing many practices together Performance effects depend upon whole system thinking and actionSlide18: How do firms acquire the capability to deliver system wide change?BP: Context and Action: BP: Context and Action Late 1970's $35 per Barrel: Industry Diversification 1986 Oil Price Collapse to $13 1987 Acquire Standard Oil and Brit Oil Buy Back Kuwait Shares: Debt Problems Employee Survey and Project 1990 Attempt at comprehensive and holistic change 1990-1991-1992 Recession and Collapse of Profitability Horton asked to resign in June 1992 Holistic intentions, but failure to justify and deliver 1992-1995 Simon Era of Performance : Reputation : Team Work Change and Continuity 1995- Relentless Performance Drive-All Targets Met Browne's strategic moves plus relentless pursuit of other complements drives up relative return on capital BP:Complementary Change & Performance 1990 – 1999 : BP:Complementary Change & Performance 1990 – 1999 H O R TO N S I M O N B R O W N E Leading and Complementary Change: Leading and Complementary Change Key Messages: For Leaders For Leading ChangeKey Messages (1): Key Messages (1) Leader Qualities of Holistic Thinking and Holistic Action Beware of Attempts to Improve Performance through Singular Changes Building the Complementary Changes The Integrated Systems of Mutually Reinforcing Elements This Approach Points to the Importance of: Strong, Aware and Engaged Central Direction Bottom Up Approaches are Handicapped in Delivering Complementary ChangeKey Messages (2): Key Messages (2) Be Prepared for the Dangers of Transitions and the Perils of the 'J' Curve Things may get worse before they get better Need for strong leaders to survive transition processesKey Messages (3): Key Messages (3) Partial changes may be politically and emotionally easier to contemplate, but encourage long term declines Beware of complementary traps: Sticking with the old system that works Learning is crucial, but it is also a challenge Complements may be: Hard to Understand Hard to Implement Hard to Imitate Building the complements and the capabilities that underpin them takes time and courageKey Messages (4): Key Messages (4) Building complements requires customization The virtual cycle of complementary change needs to stay in motion Leading Change is a Continuous Process The crucial importance of: Duration of leader in post Careful management of leader succession Leading continuity and change The importance of inter-generational leader effects Fixing the System, Not Just the Person: Fixing the System, Not Just the Person Being honest about the complexities of the system and recognising the complexities of being honest. Leader competence and effectiveness is only as good as organisational competence and effectiveness.