MAINTAINING QUALITY DESPITE ORGANIZATIONAL CHANGE

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MAINTAINING QUALITY DESPITE ORGANIZATIONAL CHANGE

• Dr. Joan Vermillion
• Vice President, Policy and Program Development
• Family Services of Metro Orlando

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Organizational Change

• 70 of change efforts end in discouraging results
  (Mourier and Smith, 1997).
• Change in the 21st Century is like sailing a
  ship during a storm (Smith, 2002).
• Many change initiatives are poorly planned, lack
  study of the current situation and do not lead to
  improvements.

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How can you measure quality from organizational
change?

• By satisfying all three stakeholders
  (customer/client, employee and shareholder/public)
  at once.
• By measurable improvements in processes and those
  hand-offs most vulnerable to business risks.
• By measurable improvements in cost savings/ cost
  avoidance/revenue generation and program
  outcomes.

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Maintaining Quality Despite Organizational Change

• Use The Congruence Model by David A. Nadler
• Example of a Change Initiative
• Implement Strategy through Organizational
  Learning
• Organizational Learning Checklist
• Focus on Continual Improvement vs. Continuous
  Improvement

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Use the Congruence Model

• An organizational performance model built on the
  view that organizations are systems. Only if
  there is congruence between the various
  organizational subsystems, can there be optimal
  performance.
• It is a useful diagnostic tool used to diagnose
  the current status of your organization.
• Developed by David A. Nadler

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Congruence Model Views Organizations as
Systems
Input
Output
Transformation Mechanism
Feedback
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Congruence Model
OUTPUT
INPUT
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Input
Input
Environment
The givens at any one point in time for the
particular system being diagnosed
Strategy
Resources
History
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Strategy
Strategy
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Congruence Model
Output
Input
Environment
System
Strategy
Resources
Unit
History
Individual
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Congruence Model
Output
Input
Environment
System
Strategy
Resources
Unit
History
Individual
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Congruence Model
Output
Input
Environment
System
Strategy
Resources
Unit
History
Individual
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Congruence Model
Output
Input
Environment
System
Strategy
Resources
Unit
History
Individual
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Congruence Model
Output
Input
Environment
System
Strategy
Resources
Unit
History
Individual
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Congruence (Fit)
Degree of Consistency Between Components
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Core Congruence Hypothesis
Fit Effectiveness
Organizations will be more effective in
transforming strategy into performance, to the
extent that they create congruence among
components
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Congruence Model
Output
Input
Environment
System
Strategy
Resources
Unit
History
Individual
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Congruence Model Applied to Florida DCF
Changes

• Strategy for Change in Organization
• Child Welfare ? Community Based
• ESS ? Modernization
• District to Zones ? Centralization

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Congruence Model Applied to Florida DCF
Changes

• Work - Community Based Redefining Roles
• People - Knowledge, skills abilities are
  different Oversight of contracts/community based
  vs. direct delivery
• Formal Organization - District to Zones
• Contractual Relationships vs. Employees
• Informal Organization-New Communication
  Strategies

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Congruence Model Applied to Florida DCF
Changes

• Output
• System - Satisfaction Process improvement
  Outcome improvement
• We need to continue to analyze the alignment of
  the changes.
• Organizations will be more effective in
  transforming strategy into performance, to the
  extent that they create congruence among
  components.

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Implement Strategy Through Organizational
Learning Is your organization a learning
organization?
An organization skilled at creating, acquiring
and transferring knowledge
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Organizational Learning How do we get there?
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Knowledge Acquisition Maintain Intellectual
Capital
1 Asset

• Represented by the sum total of
• knowledge, expertise and energy
• available from organizational
• members

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Knowledge Acquisition Knowledge Management
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Information Distribution
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Information Interpretation
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Organizational Retention
Individuals
Internal Information Technology
Organizational Culture
ExternalArchives
Internal Documents
Formal Structure
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The Learning Organization Process
1. Action
3. Synthesis
2. Feedback
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Focus on Continual Improvement vs. Continuous
Improvement

• Identify all critical parameters ACCORDING TO THE
  NEW STRATEGY
• Clarify baseline before you force the system
  unstable
• Track parameters throughout the change
• Take action to adjust change initiative if
  necessary
• Prove that the change IMPROVED your quality

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Maintaining Quality Despite Organizational Change

• Use The Congruence Model
• Implement Strategy through Organizational
  Learning
• Focus on Continual Improvement vs. Continuous
  Improvement

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Thank You!
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References

• Nadler, David A. (1998). Champions of Change,
  Jossey-Bass Publishers, San Francisco.
• Mourier, P. and Smith, M. (op.cit.), p.17. See
  Pascale, R. and Milemann, M. (1997, Dec.).
  Changing the way we change. Harvard Business
  Review, p. 139.
• Senge, P., Kleiner, A., Roberts, C., Ross, R.,
  Roth, G. and Smith, B. (1999)The Dance of Change
  The Challenges to Sustaining Momentum in Learning
  Organizations, Doubleday New York.
• Smith, G. P. (2002). Fighting the storm in sea of
  change. The CEO Refresher from http//www.refreshe
  r.com.