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Corporate Culture Change: G.M.’s Ignition Switch Death Toll Hits 100 - Auto Recalls Hits Record in 2014

Corporate Culture Change: G.M.’s Ignition Switch Death Toll Hits 100 - Auto Recalls Hits Record in 2014 | Change Leadership Watch | Scoop.it

"The ignition-switch crisis is cementing G.M.'s status as one of the deadliest automotive safety issues in American history."


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GM's...internal investigation showed that dozens of engineers, lawyers and investigators had known about ignition problems for years but failed to fix them.

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The GM ignition switch has gained notoriety because the defect was essentially hidden for a decade until G.M. began recalling 2.6 million affected cars last year.

       

...G.M. set up the compensation fund last year after its internal investigation showed that dozens of engineers, lawyers and investigators inside the company had known about ignition problems for years but failed to fix them.

         

Mary T. Barra, G.M.’s chief executive, dismissed 15 employees as a result of the internal inquiry, overhauled the automaker’s vast engineering operations and changed its safety protocols.

   

From another New York Times article, "Over 62 million vehicles have been recalled in the United States [in 2014], the highest total ever."


Photo:  Kenneth Feinberg, an independent compensation expert hired by G.M., has made settlement offers to the families of people who died. Credit - Drew Angerer for The New York Times

   

Related posts by Deb on Learning and Failure:
     

    
    
Deb Nystrom, REVELN's insight:

A sad, instructive cautionary tale from G.M. updated with the newest information as of May 2015.  From another article from the New York Times in ongoing coverage,  “G.M.'s decision-making, structure, process and corporate culture stood in the way of safety.”  ~ D

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Workers fight for culture, wages and win: Demoulas, reinstated as CEO, Market Basket

Workers fight for culture, wages and win: Demoulas, reinstated as CEO, Market Basket | Change Leadership Watch | Scoop.it

Boston Herald: TEWKSBURY, MA — Arthur T. Demoulas was reinstated as CEO late last night after a two-month standoff over his firing that saw rank-and-file workers walk off their jobs and customers jump to competitors in protest — thanked his workers this morning, hours after his historic purchase of the company.

   

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“You taught everybody that Market Basket is a place where respect, honor and dignity is a way of life.” ~ Arthur T. Demoulas, reinstated CEO, Market Basket

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"You are simply the best,” Demoulas said …There is very little I can ever add to your brilliant work…and the power of your enduring human spirit over the past six weeks.”

    

Early this morning, a massive fleet of delivery trucks lined up ready to roll and hundreds of ecstatic employees reported to work for the first time in weeks....heralding the return of a boss they said had provided generous pay and benefits and a culture of respect for workers.


“You taught everybody that Market Basket is a place where respect, honor and dignity is a way of life,” Demoulas told his workers. “You displayed your unwavering dedication and desire to protect the culture of your company...You have demonstrated that everyone has a purpose....that no one person holds a position of privilege.”

   

The chain employs 25,000 workers in Massachusetts, Maine and New Hampshire.  [It was worth] $4 billion before Arthur T.’s June 18 firing touched off a customer boycott and employee walkouts.  [It] racked up millions in losses and shelves were left empty due to a halted supply chain.

   

Demoulas said he hopes to take less than two weeks getting shelves restocked and stores back to some semblance of normalcy.


Click the title or photo to see the full story.

    

Related posts by Deb:

    

Revelation, Leadership Integrity at All Levels

    

Company Priorities Reveal People Values and Forecast Long Term Profitability

      

6 Steps Beyond Industrial Age Performance Appraisals

    

Think like an Entrepreneur: Be Anti-Fragile No Matter Where You Work

   

  • Stay in touch with the monthly Best of the Best news, taken from Deb's  multi-gold award winning curation streams.  Preview it here, via REVELN Tools.

        

  • Are you local to SE Michigan?  Find out more about horse-guided leadership development sessions (no fee demos) for individuals by contacting Deb, after reviewing her coaching page here.  
Deb Nystrom, REVELN's insight:

I haven't heard of a worker celebration like this since Henry Ford doubled wages and in effect, created middle class prosperity. Maybe more companies will take notice of employee ownership successes like these, also like Costco and Zingerman's in Ann Arbor.

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Deb Nystrom, REVELN's curator insight, August 28, 2014 12:49 PM

I haven't heard of a worker celebration like this since Henry Ford doubled wages and in effect, created middle class prosperity. Maybe more companies will take notice of employee ownership successes like these, also like Costco and Zingerman's in Ann Arbor.

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How Rejection Can Inspire Great Movements: The Story Of MAKERS

How Rejection Can Inspire Great Movements: The Story Of MAKERS | Change Leadership Watch | Scoop.it

"You can’t tell the story of the women’s movement through one person," Gloria Steinhem.

Veteran documentary producer Dyllan McGee has worked on more than a dozen films for PBS and HBO, but MAKERS is unlike anything she’s ever created.


First of its kind...the entire idea was born out rejection.


What came out of that first roadblock flipped the script ...


MAKERS evolved into a “digital first” online platform for archiving dozens of interviews with feminist trailblazers, an approach that the Washington Post called a “sweeping documentary covering 50 years of feminism, pro and con, from the days when highly educated women were expected to live happily ever after as wives and mothers.”


Interview subjects include well-known women leaders like Condoleezza RiceSheryl Sandberg, and Ruth Bader Ginsburg alongside lesser-known women with powerful stories like Brenda Berkman, the first NYC firefighter, and Kathrine Switzer, the first woman to run the Boston marathon.


Related posts by Deb:  

    

  

Deb Nystrom, REVELN's insight:

MAKERS is a powerful documentary and series.  I've posted one of my own "rejection" stories (Entre-Slam) that made a big difference in my career and launched my work as a consultant back in the 80's.  


MAKERS is about listening to a persistent inner voice and turning points, as well as "resistance as a resource."  ~ Deb

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Signs of Changes Taking Hold in Electronics Factories in China

Signs of Changes Taking Hold in Electronics Factories in China | Change Leadership Watch | Scoop.it
After the hardships of workers in China’s electronics factories were exposed to a global audience, working conditions have changed.
Deb Nystrom, REVELN's insight:

After FoxConn & Apple made front page news and were parodied for their treatment of workers, there is now a shift globally in investment for staff.  The bottom line and social resposibility have gone global. ~ D

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Russell Goldsmith of City National, on Storytelling’s Power in a Powerful, Positive Culture

Russell Goldsmith of City National, on Storytelling’s Power in a Powerful, Positive Culture | Change Leadership Watch | Scoop.it

The power of a story to teach, reinforce culture, and reward behavior, is central for how this bank executive leads at City National Bank in Los Angeles.


This reminds me of the power of the story by consulting colleague, Dr. Rick Fenwick, of Fenwick-Koller Associates.  We recently completed another round of Team Concept training for the UAW workers at GM Powertrain.  Our 4 day session is nuanced by story, Rick's colorful examples as well as stories shared by team members, learning about managing team experiences, including tools to help.


Goldsmith's example below embeds recognition and reward of the story into the culture of City National Bank.



Excerpt:

Russell Goldsmith is chairman and chief executive of City National Bank in Los Angeles. In its “Story Idol” competition, he says, employees talk about “what they did that promoted teamwork or helped a client by going the extra mile.”


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We [taught] people how to share stories [including] something called “Story Idol,” and every quarter there’s a competition...

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...we have a lot of great stories to tell. If you look up City National, one of the stories you will see is the story of Frank Sinatra’s son who was kidnapped. The first C.E.O., Al Hart, was a real friend of Frank Sinatra’s and famously opened the vault on a Saturday and got the ransom money. That happened in the early ’60s, but people are still telling that story. It’s a source of pride.


We brought in consultants to teach people how to share stories in a more organized way that underscored the culture. We do something called “Story Idol,” and every quarter there’s a competition among our 79 offices.


It’s a way to give colleagues a pat on the back and a moment in the sun for doing the right thing, and it democratizes and decentralizes positive reinforcement.


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...what matters most is the recognition, and the respect from your peers as you stand on the stage in front of 300 people.

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The people who submit the winning stories [Story Idol competition] all get iPads. The winners themselves ...get significant cash awards. But what matters most is the recognition, and the respect from your peers as you stand on the stage in front of 300 people.


Read the full post via the New York Times by author ADAM BRYANT here.


===


Thanks to my change colleague, Liz Guthridge, @LizGuthridge, for the heads up. If you have a change leader that merits a look via this curation stream, let me know via DebNystrom@Reveln.com or suggest it as a curation post in ScoopIt.


More about us, on the Fenwick Koller Associates team with Reveln Consulting is here.

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Failure as Strength - The power of Failure for Innovation & Learning from Defeat

Failure as Strength - The power of Failure for Innovation & Learning from Defeat | Change Leadership Watch | Scoop.it

It’s really hard to talk about failure. The "Admitting Failure" website, connected to engineering failure stories at its creation, hopes to change that. 

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...acknowledging failure is often a catalyst for innovation... 
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It is painful for civil society organizations to acknowledge when we don’t meet our goals and objectives...   The paradox is that we do everything we can to avoid these pains even though we all know failure is the best teacher and we have to be open and talk about our failures in order to learn. ....acknowledging failure is often a catalyst for innovation that takes our work from good to great.
    

To address this conundrum we need a paradigm shift in how civil society views failure.  We think this starts with open and honest dialogue about what is working and what isn’t so Admitting Failure exists to support and encourage organizations to (not surprisingly) admit failure.
 

ad·mit   /ədˈmit/
verb: 
1. To concede as true or valid <admit responsibility for a failure>
2. To allow entry <admit failure into the organization, allowing a safe space for dialogue>
 

Fear, embarrassment, and intolerance of failure drives our learning underground and hinders innovation.
    
No more. Failure is strength. The most effective and innovative organizations are those that are willing to speak openly about their failures because the only truly “bad” failure is one that’s repeated.
   
Related posts by Deb on Learning and Failure:
   

   
   
    

 

Deb Nystrom, REVELN's insight:

"To begin again, this time more intelligently" is exactly why embracing failure is important to building high performing teams and to high performance cultures that truly support learning, adaptation and change.  For that reason, this innovative website is referenced on several websites, including an Oprah.com blog post about "What to Do When You're Feeling Defeated."   

Engineers Without Borders (EWB) set up this website to encourage aid workers to share their mistakes—and to kickstart future success, and then some.

After allowing for the process of accepting defeat, realize defeat and crisis can transform us, renew us, and provide a different perspective.  I may be the transformative feedback we need and have been missing.
  
~  Deb 

Reference:  Tracking the Defining Moments of Crisis Process and Practice by Amisha Mehta, , Robina Xavier. Public Relations Review, Volume 38, Issue 3, September 2012, Pages 376–382, Available online 29 December 2011

 

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Kristin Newton's curator insight, May 4, 2015 1:58 AM
Starting over fresh, with new wisdom, can be a gift in disguise.
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Restaurant fires all its employees by text message - How not to do it

Restaurant fires all its employees by text message - How not to do it | Change Leadership Watch | Scoop.it

More than a dozen workers at a Florida bistro reportedly received a text message from the boss saying they were losing their jobs.


"Despite my efforts there were circumstances that I was not able to address. I wish you all the best and sincerely thank you for everything you have done. Any final payroll checks will be addressed after the accounting has been finalized."


Jackson said she and the other employees are still waiting for their final paychecks.


Deb Nystrom, REVELN's insight:

Sensitive messages by text , esp. mass text = never.  Leadership fail.  Epic #fail.~ D

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8 Powerful Speaking Lessons from 57 Inaugural Speeches: The Good, The Bad, and The Ugly - Forbes

8 Powerful Speaking Lessons from 57 Inaugural Speeches:  The Good, The Bad, and The Ugly - Forbes | Change Leadership Watch | Scoop.it

"To date, there have been 44 United States presidents - on  January 21st Barack Obama delivered the 57th Inaurgural Address."



Here are excerpts from eight (8) lessons the author, Margaret M. Perlis, learned from the best and worst of the inaugural addresses including:


Excerpts:


Keep It Real:  James Buchanan, our 15th president, was one of the worst in American history, when the issues of slavery and secession were reaching a boiling point. While Buchanan rejected slavery...he refused to challenge the constitutional establishment...and states that were threatening secession.


...His inauguration speech ...diminish(es) the severity of impending conflicts by peppering it with words like “simple” or “happy.”


Know Your Audience, Understand Your Outcome:


Abraham Lincoln’s second inaugural address was delivered to a war-torn and weary nation.  ...Lincoln’s brief 600-word address, ....one of the most powerful in U.S. history ...spurned triumphalism, instead choosing a tone of magnanimity: “both sides read the same Bible and pray to the same God, and each invoked His aid against the other.” 


Read the full text here.


For examples of the power of story, see these two examples:

A personal and a human story of overcoming adversity via a classic from Deb's blog:

Several story & case study examples of how to build agility in a volatile business climate:
Deb Nystrom, REVELN's insight:

Via the highest office of the land, USA, change & progress is portrayed in ways that work and ways that do not, showing that storytelling and speeches are important to the leadership art of inspiration and influence.  ~  Deb


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J.C. Penny update: Too Much Change, Too Fast? Or Customer Connection failure?

J.C. Penny update:  Too Much Change, Too Fast? Or Customer Connection failure? | Change Leadership Watch | Scoop.it

It is less about how fast CEOs are willing to move than how quickly their most reliable customers are prepared to change.

   

Ron Johnson's bold overhaul of the sagging American retailing icon J.C. Penny went too far too fast.


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Failure simply means leadership went too fast or didn't go fast enough. That's rationalization, not insight.


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 When "reckless" moves succeed, they're retrospectively rebranded as "bold." When "timidity" triumphs, it's celebrated as "patient" and "safe."

  

Failure simply means leadership went too fast or didn't go fast enough. That's rationalization, not insight.

  

How fast are your customers willing to change?

 

Your own rate of change is determined less by the quality or price/performance of your offerings than the measurable readiness of your customers and clients.

  

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Electrolux's  70% rule helps identify and clarify their customers' readiness for change.


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Their internal readiness matters more than yours. Their inertia matters more than your momentum.

  

Electrolux, has implemented a new "70% rule" for testing its new product innovations to make sure it's not getting too far ahead or falling too quickly behind either its customers or competitors.

 

Electrolux CEO Keith McLoughlin has declared that new product prototypes have to enjoy at least a 70% customer preference rate in blind competition with best-selling rival products. "

 

Speed to market" isn't what's driving the change.

 

The goal is assuring that the firm's ability to innovate is effectively aligned with the customers' willingness to value them. The 70% rule helps identify and clarify their customers' readiness for change.

Deb Nystrom, REVELN's insight:

It's alluring, thinking it is about getting the amount of change just right.  Wrong focus.  It is about where and who the customers area, and how adaptable and ready they are for change.


On the individual level, it's also about preferences for change.  The assessment tool, iWam (the Inventory for Work Attitude and Motivation) has a "clock" feature that shows individual preferences for change.  

As goes the individual, probably so goes the customer culture, witness the articles overview of the tech market and the appliances market.  ~ D

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To Spark Change, Begin with a Provocative Action | Paul Niven

To Spark Change, Begin with a Provocative Action | Paul Niven | Change Leadership Watch | Scoop.it

Examples! Provocative action is a great kick start to change.


Paul cites several examples including:  A Danish organization, tired of watching customers defect because of frustrating and outdated policies and procedures, vowed to re-engineer the customer experience. Rather than begin the effort with a dry discussion of what was to be done, executives gathered the many volumes of current policies and procedures, stacked them up, and to the delight of assembled employees, threw a torch on the pile. The signal that things were about to change was clear.


To overcomethe high failure change implementation rate, organizations need to get off to a fast start, generate momentum for the cause, and convert skeptics to advocates. Provocative action can kick-start the change process memorably.  More examples are listed in Paul's post:  Cortes burning ships, cash dumped on a  table in front of staff, and more.

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