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  Creating a Vision  
  Culture Change  
   
 

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  We are experienced at managing change by:

Creating Commitment to Change

Our capability in creating commitment to change stems from one of our largest failures. We had delivered a strategic action plan to British Bakeries which showed the company how to achieve a £24 million per annum profit increase. One year later, the company told us they had implemented many of our recommendations, and were now making £10m per annum higher profit as a direct result of our work.

Ita Walsh, one of our directors, called a meeting. The subject was to discuss our failure. “Why”, she wanted to know, “had we failed to inspire the company to implement the other £14m per annum of possible profit improvement?”

Chastened by her challenging approach, we analysed why. The reason was that we had presented our plan to the company from the stand-point that we were the experts, showing company management how it should be done. That is bad psychology. No one likes to be told what to do by experts, especially if it requires changes in ingrained ways of working.

From that day (in 1988) onwards we adopted a completely different approach to our work. We made working in partnership with our clients our highest priority, ensuring they understood, contributed to and shared in all important recommendations.

Since then we have had a consistent record of clients adopting our recommendations, with enthusiasm, even where those recommendations required major changes in ingrained behaviour. The essence of our approach is to create commitment to change.

A year after our change of approach, following a profit improvement study in Fine Chemicals, we were making a presentation to BP senior corporate management. The most senior manager present listened politely to our description of the significantly higher profit levels possible, then asked “yes, but how do we know these would actually be achieved?” Before we could say a word the CEO of the subsidiary, who was in the room with his key managers, leaped to his feet and said “But this is OUR plan! We created it, and we know we can deliver on it.”

BP subsequently sold the subsidiary. The buyers used the Cameron plan to help raise the finance to buy the company. The plan was then implemented successfully post-acquisition by the new owners and under its new name Inspec, or International Speciality Chemicals, became a huge success, making its largest shareholder one of the richest men in Britain. The new CEO of the business was one of those to provide feedback for this web site.

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Turning Strategy into Action

Plysu, now part of Nampak, the UK’s largest producer of plastic milk bottles, wanted to create a strategic action plan. A key commitment we made was that the strategy would be a blueprint for action, designed both to stimulate action and monitor progress.

Our work – which included a European market study, a customer critical success factor analysis, an evaluation of management and a SWOT analysis identifying limiting factors – was presented in the form of 6 proposed Company Initiatives each addressing a key issue identified during the strategy process. These were:

1. Entry into new markets
2. A motivated, well-rewarded workforce
3. Customers queuing up to buy
4. Optimising profit
5. Proactive management
6. Implementation

For each Initiative, we created the sections: Current Situation, Response, Action Plan. The clarity of the Action Plans facilitated successful implementation by management.

Creating a Vision

Bemrose, a USA and UK based printer and producer of diaries (e.g. Letts) and promotional products, asked us to help them formulate a Vision for their UK business. The challenge was that their managers identified more closely with the operating divisions and subsidiaries which directly employed them than with the parent company. We facilitated a process, involving the senior management of each division and subsidiary, in which each created its own Vision, owned and inspiring the management of that company, yet which nested within and contributed to an over-riding Vision for the group as a whole. This over-riding Vision was created by the entire senior management team. This ensured ownership and commitment of middle and senior management in all parts of the company. We were subsequently complimented by a number of Bemrose Directors for the enthusiasm and ownership this process engendered.

Culture Change

Johnson & Johnson Medical asked us to assist them to shift the priority given to speed of reaction by their management. A number of business opportunities had been missed due to the thoroughness with which work was being done. They did not, however, wish to compromise on the high quality standards which lay behind this thorough approach.

We tackled this by proposing the creation of a vision for their business which would capture all the qualities sought; help a choice between different strategic priorities; and increase the teamwork and commitment level of their key managers. A project was completed, which resulted in the alignment of their senior team behind the Vision: “Passion, Pride, Pace and Partnership”. This captured such values as management enthusiasm, quality standards, speed of response to customer needs and method of working with customers. The M.D. of the company later estimated the value of the project as a 15-20% increase in annual sales.

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