Thursday, November 28, 2013

A631.6.4.RB - Transformational Strategies

Watching both of these gentlemen, Jim "Mattress Mack" McIngvale and Stanley McChrystal, I was inspired and motivated by what that they each had to say. They didn’t sit back and let changes overcome them, they took the change “by the horns” and did their best to adapt and get their followers on board as well.  In the first video I watched about Gallery furniture I was impressed with Jim’s drive to want to make changes the right way.  “I could do as much blubbering, cajoling, screaming, and hollering as I wanted to try to get my team to change behavior, but I knew it wouldn’t get us where we needed to go,” says McIngvale. “I was looking for a process that would get my people to want to change their behavior and act in ways that give the customers what they’re looking for” (McIngvale, VitalSmarts website).
When the housing market dropped drastically in 2008 Gallery Furniture was affected along with many other companies. In 2009 the company suffered another blow when their store had a fire that caused $30 million in damage. He knew he had to do something and do it quickly.  They needed innovation and they needed it now. After reading a review in the Wall Street Journal McIngvale knew that Influencer would be the one to help.  He wanted to be influenced on change and how he could do that with his employees. After getting training for him and management he made sure that everyone in his company from the furniture loaders, drivers and sales team got the same training.
One of the biggest challenges McIngvale faced was changing a 30 year sales process that involved two big changes in how they conducted business including changing the “how can I help you” to “I am disappointed you are not going to buy anything” and becoming prospectors instead of sales people so that they could follow up with the customers who didn’t buy right away.  This way they can touch base and hopefully bring them back in at a later date to purchase furniture. He also implemented a wellness program to bring a great work-life balance to the employees.  One of the things I thought was interesting was that McIngvale put a bell up so that each time a team member got a sale they could ring the bell and the other team members could encourage and congratulate them. He also made sure that all members were taught how to use technology as he felt it was important that everyone was brought up to date.
This ties into the chapter and showing the strength of corporate culture as well as figure 15.4 that reflects members’ commitment to values and shared values as being high (a good thing).  “The more members share the basic values and the greater their commitment to them, the stronger the culture” (Brown, 2011).  I was impressed that McIngvale was open to change and willing to do whatever it took to bring his company where it needed to be. It also goes along with figure 15.5 in the Manage the Change quadrant where change is important to the organization and they are compatible to the existing culture of the company which makes it easier to move forward with major changes using the power of the cultural acceptance (Brown, 2011).
In the video, Listen, Learn…then Lead, Stanley McChrystal did an amazing job of explaining how leadership has changed through his years in the military and what that meant to him as a leader and those that he led. McChrystal walked us through a jump touching on things he had been taught when he was first starting out and watching those young men and women around him performing the same skills exactly the way he himself had been taught. “And I realized that, if they had to go into combat, they would do what we had taught them and they would follow leaders. And I realized that, if they came out of combat, it would be because we led them well” (McChrystal, TedTalks 2011).
With so many changes in the way people communicate, he had to learn how to do this on many different levels.  Making sure all the key leaders are on the same page and understand what is at stake is not easy when your leaders are spread out in different parts of the country.  The thing that stuck out for me was that he mentioned how different it was not be able to look into the leaders eyes to build their confidence and get that trust back from them to know that they understood what they needed to do and that they would do it with success.  This required different techniques. “I've got to use video teleconferences, I've got to use chat, I've got to use email, I've got to use phone calls -- I've got to use everything I can, not just for communication, but for leadership” (McChrystal, TedTalks, 2011).
He realized that he was dealing with a new type of leadership here.  Not one of eye to eye contact, a hand on the shoulder for support, the ability to build that trust and confidence that is so vital for what they do.  Leadership, no matter the age or gender of the person leading change, must have a shared purpose. McChrystal pointed out that you have to become more transparent, be more willing to listen and to be “reverse-mentored” from the bottom.
One of the statements he made that really stood out for me was this, “I came to believe that a leader isn't good because they're right; they're good because they're willing to learn and to trust” (McChrystal, TedTalks, 2011). This is so important for leaders to keep in mind that being good doesn’t always mean you are right, it is about making mistakes and being able to learn from them and trusting your followers and them being able to trust you.  These also tie into both figures on the text when it comes to strategy and culture.  “Implementing strategic changes can be done more effectively when the culture of the organization is taken into consideration” (Brown, 2011).  This is a big part of what McChrystal was talking about, taking the culture (the leaders, location, and mission) into consideration when making changes. Both videos showed how leaders can make changes for the better during transformational change and I know that I have learned a lot from both of these videos.
References:
Brown, D.R. (2011). An experiential approach to organization development (8th ed.).Upper Saddle River, NJ: Prentice Hall
http://www.ted.com/talks/stanley_mcchrystal.html

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