Professional Documents
Culture Documents
Presentation title
Contents
Why Measure & Manage Organizational Culture Why OCAI OCAI A brief The Culture Assessment Process When is OCAI useful OCAI user speak
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The Need
Background
Almost everyone today talks about Culture, Change and its importance but very few actually know a way to measure it and hence find it difficult to draw a comprehensive Change Management Roadmap. Research shows that the health and long term effectiveness of any organization is directly proportional to its Culture. The impact on individuals (employee morale, commitment, productivity, physical health, and emotional well-being) is also well documented.
Because the world is changing rapidly, most organizations have to adapt to survive and succeed. Change only when its necessary. Signals that indicate change are low productivity, new competition, complaining customers as well as employees, absenteeism, attrition and so on. Sustainable change is possible when executives and employees change their working culture and behavior and thus their results. Using the OCAI is a first step in improving performance. The challenge today is not only to be prepared to change continually but also to respond to change in the external environment. Organizations today are being driven by Operational Excellence Methods / Frameworks which focus on Total employee involvement, Continuous improvement , Zero Defects and so on, however, organizations find it extremely difficult to quantitatively measure Culture Shift, though they do finish some projects, recognize employees and see some physical change/s. But our experience suggest , its not enough!!
Why OCAI?
Why OCAI
The OCAI online culture assessment will provide you with the following:
Insight into the dominant culture of your organization Insight into how market focused, hierarchic, personal and/or innovative your organization works A measure of contentment by assessing the difference between current and preferred culture A quick and easy point of comparison before and after reengineering, change, or merger A clear image of the preferred culture as a starting point for a strategy of change An awareness of culture as an important factor in success An objective and validated measure of how culture is perceived, which is a starting point for change Research shows that organizational culture is the difference that makes the differenceit is the reason why 70 percent of all mergers and reorganizations fail. The powerful cultural factor is really not as vague as prejudice would have it. Culture is usually experienced as obvious: people are not so aware. Thats why a description of it is not so easy, while changing culture is even harder.
The strength of the OCAI measurement is in the typology of your culture so that you can start to see and describe it. It is a first step. OCAI offers you some grip to actually start changing
Why OCAI
It gives a validated and quantified image of overall culture as a starting point for change. It's timely and focused: It measures six key aspects that make a difference for success, and both assessment and change strategy can be done quickly. It's involving, as it is easy to include all the personnel and gives an idea of employee satisfaction, based on discrepancies between current and preferred culture. It's manageable with a step-by-step method for change that involves as many employees as you want, while no outside experts are needed. It supplies a clear vision on the preferred culture that can be adapted to become a road map for change, that will mobilize your organization to sustainable change. The OCAI is practical and focused, timely, manageable, quantitative, involving, and valid! By rating six key aspects of organizational culture that were found to determine success, the respondent assesses the current organizational culture. The outcome is based on the Competing Values Framework and consists of four culture types: Clan Culture, Adhocracy Culture, Market Culture, and/or Hierarchy Culture.
Your organizational culture right now(pink) and prepare for the future(blue).
Why OCAI
The OCAI will provide you with an impression of what the staff considers important. In that sense it can be used to gauge whether employees are content. The OCAI can also be used as a zero measurement preceding any company changes. Once these changes have been made, a second assessment can be performed. The OCAI helps to improve internal communication, if different cultures are mapped between different departments or locations. The OCAI is a useful tool in mergers or reorganizations. The OCAI can also be used if there is a high staff turnover or absence through illness.
People become aware of the current and of the preferred culture. Where are we now and where do we want to or have to go? This can generate momentum for change. It is easier to predict which measures of change will turn out to be effective. Management will get more grip on change. Resistance to change can be anticipated; it will not happen completely unexpected. It offers starting points to encourage employees and thus use their energy and creativity that leads to more support for change. The OCAI assessment is the first intervention to initiate change.
OCAI-A Brief
From a list of thirty-nine indicators of effectiveness for organizations, two important dimensions were discovered by statistical analysis. Cameron and Quinn made four quadrants corresponding with the four Organizational Culture Types that differ strongly on these two dimensions, the so-called Competing Values Framework
Internal focus and integration VS External focus and differentiation Stability and control VS Flexibility and discretion To the left in the graph, the organization is internally focused: what is important for us, and how do we want to work? To the right the organization is externally focused: what is important for the outside world, the clients, and the market?.
At the top of the graph, the organization desires flexibility and discretion, while at the bottom the organization values the opposite: stability and control.
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Clan Culture
This working environment is a friendly one. People have a lot in common, and its similar to a large family. The leaders or the executives are seen as mentors or maybe even as father figures. The organization is held together by loyalty and tradition. There is great involvement. The organization emphasizes long-term Human Resource development and bonds colleagues by morals. Success is defined within the framework of addressing the needs of the clients and caring for the people. The organization promotes teamwork, participation, and consensus.
- Leader Type: facilitator, mentor, team builder - Value Drivers: Commitment, communication, development - Theory of Effectiveness: Human Resource development and participation are effective - Quality Improvement Strategy: Empowerment, team building, employee involvement, Human Resource development, open communication
Adhocracy Culture
This is a dynamic and creative working environment. Employees take risks. Leaders are seen as innovators and risk takers. Experiments and innovation are the bonding materials within the organization. Prominence is emphasized. The long-term goal is to grow and treat new resources. The availability of new products or services is seen as success. The organization promotes individual initiative and freedom.
- Leader Type: Innovator, entrepreneur, visionary - Value Drivers: Innovative outputs, transformation, agility - Theory of Effectiveness: Innovativeness, vision and new resources are effective - Quality Improvement Strategy: Surprise and delight, creating new standards, anticipating needs, continuous improvement, finding creative solutions
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Market Culture
This is a results-based organization that emphasizes finishing work and getting things done. People are competitive and focused on goals. Leaders are hard drivers, producers, and rivals at the same time. They are tough and have high expectations. The emphasis on winning keeps the organization together. Reputation and success are the most important. Long-term focus is on rival activities and reaching goals. Market penetration and stock are the definitions of success. Competitive prices and market leadership are important. The organizational style is based on competition.
- Leader Type: Hard driver, competitor, producer - Value Drivers: Market share, goal achievement, profitability - Theory of Effectiveness: Aggressively competing and customer focus are effective - Quality Improvement Strategy: Measuring client preferences, improving productivity, creating external partnerships, enhancing competiveness, involving customers and suppliers
Hierarchy Culture
This is a formalized and structured work environment. Procedures decide what people do. Leaders are proud of their efficiency-based coordination and organization. Keeping the organization functioning smoothly is most crucial. Formal rules and policy keep the organization together. The long-term goals are stability and results, paired with efficient and smooth execution of tasks. Trustful delivery, smooth planning, and low costs define success. The personnel management has to guarantee work and predictability.
- Leader Type: Coordinator, monitor, organizer - Value Drivers: Efficiency, timeliness, consistency, and uniformity - Theory of Effectiveness: Control and efficiency with capable processes are effective - Quality Improvement Strategy: Error detection, measurement, process control, systematic problem solving, quality tools
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Test takers will judge the six dimensions of their organization: 1. Dominant Characteristics 2. Organizational Leadership 3. Management of Employees 4. Organization Glue 5. Strategic emphases 6. Criteria of Success
Organizational Leadership
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4.0
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Methodology
1 Day Workshop with Different Teams (Senior Team, Executives, Shop Floor Associates etc) A 1.5 hour(each) Overview Session on Cultural Audit and its process for above people. Brainstorming on possible reasons of high attrition from Top Management Perspective with Senior
Team Scoping Exercise to freeze the profile and level of people to be considered under audit.
Outputs
The profile and level of employees to be audited and the complete engagement plan for the assignment.
Pre-Requisites
None
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culture using validated OCAI online (Organizational Culture Assessment Instrument ) developed by Cameron and Quinn. It is used to check employee satisfaction, to help improve leadership & employee retention, enhance organizational performance etc
Methodology
Online questionnaire to be filled by the participants Each candidate will take 18-20 minutes to fill the questionnaire. Based on the profiles and sub-profiles to be assessed the process is carried out
Outputs
Results of all respondents are combined in a report with collective profiles of the current and
preferred culture (Clan, Hierarchy, Adhocracy & Market ), including 6 key aspects of culture
Dominant characteristics Organizational leadership Management of employees Organization glue Strategic emphases A sample report is attached with this proposal Criteria of success
Pre-Requisites
Overview Session on Cultural Audit with site leadership team and Scoping of work
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Inference
Dominant organizational Clan Culture, followed by Adhocracy Culture. Focus on flexibility and professional freedom. Hardly any difference Current versus Preferred culture. Im content. I dont want change.
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capture instances of the way they work in Piramal . This session will also focus on collecting individual data of employees about their opinions and thoughts.
Methodology
One to one discussion with the selected employees . 8-10 hrs of DILO study of employees on a sampling basis. e.g. Sampling of field engineers or
Outputs
Primary report on the Behaviors and Thinking that employees demonstrate at the workplace, along with
individual opinions of employees. Possible JDI (Just Do It) actions to make an immediate impact. Immediate corrective actions, if any
Pre-Requisites
OCAI Online Enterprise Audit.
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reasons for high employee attrition and freeze the detailed action plan to increase employee retention.
Methodology
Offsite work by LICG team . 7-10 Days of work to put together a comprehensive report to manage and control Culture
Outputs
Consolidated report on the Audit findings , Behaviors and Thinking that employees demonstrate at the
workplace, along with individual opinions and thoughts of the employees. A tentative roadmap for Overall Change Management Program for Piramal India
Pre-Requisites
OCAI Online Enterprise Audit + One to One discussion and DILO study.
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Investments
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Investment
Sr No
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Component One Day Profile Scoping exercise Assessment Level 1 ( 2 Options are available) 2.1 or 2.2 OCAI Online Pro (Fixed) OCAI Online Enterprise (Variable)
2.1
Piramal gets One common Profile and Six profiles on individual dimensions of culture In addition to the above , Piramal will get sub profiles as well e.g. department wise profiles or level wise (refer 2.2.1) (* Prices are per Profile) To be decided during Profile Scoping
2.2
2.2.1
Upto 2 profiles From 3 to 5 Profiles 6 or more profiles Assessment Level 2 & Report Out
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*All prices exclude service tax, currently applicable @ 10.30% and of all out of pocket expenses, If any Travel & Stay charges , will be borne by Piramal
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10.Piramal will be responsible for organizing all in-house training and meeting related facilities. . 11.This proposal is valid for 30 days. 12.The professional fees will be revised upwardly by 15% every year.
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Some of the situations where OCAI can be used are as follows: 1. Organizations starting any Change Management journey can begin with this assessment and then do it again after 2 years to measure the impact. 2. Organizations starting on their journey of Operational Excellence can start with this assessment. 3. Organizations going through Mergers and Acquisitions can use this tool to assess the difference in culture. 4. Useful for Stakeholder Analysis within the organization. 5. To measure difference in Culture between departments or different levels of people within an organization. 6. To measure the level of resistance to change in the organization 7. OCAI based assessment can be used to measure how employees think about the organization. 8. It can be used to find reasons for issues like attrition, absenteeism and so on
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My experience is that it is a very useful tool. It provides a quick and easy way for the key players in the organization to look at where they agree and where they disagree. It is a great tool for enabling a discussion about the ideal culture for the organization. It then provides a way to help the rest of the organization to understand their own views of the organization's culture and to understand what the leadership seeks. I highly recommend it. " Jo McDermot, Principal at Catalyst for Change Consulting, USA
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Contact us
Lean India Consulting Group 5, Kanishka Complex, K- block, Kalkaji New Delhi 100019 Mob. +91 9350105212 Ph no. 011-41629387 life@leanindia.co.in www.leanindia.co.in www.leanindia.groupsite.com
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