1 creating a learning organization and an ethical organization strategic management buad 4980

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1 CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION STRATEGIC MANAGEMENT BUAD 4980

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Page 1: 1 CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION STRATEGIC MANAGEMENT BUAD 4980

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CREATING A LEARNING ORGANIZATION AND AN ETHICAL

ORGANIZATION

CREATING A LEARNING ORGANIZATION AND AN ETHICAL

ORGANIZATION

STRATEGIC MANAGEMENT BUAD 4980

STRATEGIC MANAGEMENT BUAD 4980

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CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATIONCREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION

Leadership

The process of transforming organizations from what they are to what the leader would have them become

Desire to change the status quo

Vision of the desired future

Process for bringing about change

Organizational Leadership AttributesOrganizational Leadership Attributes

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CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATIONCREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION

Organizational Leadership AttributesOrganizational Leadership Attributes

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CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATIONCREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION

Setting a Direction

Understand the organization and all of its stakeholders – capabilities, limitations, potential

Understand the current environment, environmental trends and “futures”

Create a vision that positions the company in a future state – what it should become to realize its potential relative to its future environment

Organizational Leadership AttributesOrganizational Leadership Attributes

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CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATIONCREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION

Designing the Organization

A strategic leadership activity of building structures, teams, systems, and organizational processes that facilitate the implementation of the leader’s vision and strategies

Requires a lot of insight, decisions and internal organizational support to implement

Organizational Leadership AttributesOrganizational Leadership Attributes

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CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATIONCREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION

Difficulties in implementing the leaders’ vision and strategies

Lack of understanding of responsibility and accountability among managers

Reward systems that do not motivate individuals and groups toward desired organizational goals

Inadequate or inappropriate budgeting and control systems

Insufficient mechanisms to coordinate and integrate activities across the organization

Organizational Leadership AttributesOrganizational Leadership Attributes

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CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATIONCREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION

Developing an excellent and ethical organizational culture

The organizational culture should reinforce core competencies and high ethical standards

Leaders are the role models for the organizational culture

Leaders who fail to demonstrate ethical behavior undermine the ethical standards of the organization

Organizational Leadership AttributesOrganizational Leadership Attributes

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CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATIONCREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION

Integrative Thinking

The process by which people reconcile opposing thoughts to identify creative solutions that provide them with more options and new alternatives

Identify and consider multiple avenues and conflicting ideas

Determine multiple outcomes from following each idea to its logical conclusion

Decide on the best or most feasible outcome

Elements of Effective LeadershipElements of Effective Leadership

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CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATIONCREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION

Overcoming Barriers to Change

Reasons why organizations are prone to inertia and slow to change

Risk aversion and resistance to change

Systemic organizational barriers

Individual behavioral barriers - mindset

Political barriers – power relationships

Personal time constraints

Elements of Effective LeadershipElements of Effective Leadership

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CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATIONCREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION

A Leader’s Bases of PowerA Leader’s Bases of Power

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CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATIONCREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION

Key Leadership Traits

Technical Skill (Applied Knowledge)

Cognitive Ability (Analytical Capability)

Emotional Intelligence

Leadership TraitsLeadership Traits

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CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATIONCREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION

Emotional Intelligence

An individual’s capacity for recognizing his own emotions and those of others

Encompasses five components of self awareness:

Self Awareness

Self Regulation

Motivation

Empathy

Social Skill

Leadership TraitsLeadership Traits

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CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATIONCREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION

Emotional IntelligenceEmotional Intelligence

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CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATIONCREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION

Effective leaders have empathy for others

Effective leaders are astute judges of people

Effective leaders are passionate about what they do, and they show it

Effective leaders create personal connections with their people

Leadership TraitsLeadership Traits

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CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATIONCREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION

Successful Learning Organizations

Create a proactive, creative approach to the unknown

Actively solicit the involvement of employees at all levels

Enable all employees to use their intelligence and apply their imagination

Inspiring and Motivating PeopleInspiring and Motivating People

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CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATIONCREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION

Top-Down Approach (Control-Oriented)

Start at the top

Clarify the organization’s mission, vision and values

Clearly specify the tasks, roles and rewards

Delegate responsibility based on demonstrated capability

Hold people accountable for results

Empowering PeopleEmpowering People

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CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATIONCREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION

Bottom-Up Approach (Trust-orientated)

Start at the bottom

Learn the needs of employees and what motivates them

Teach employees self-management skills and model desired behaviors

Build teams to encourage cooperative behavior

Encourage innovation and intelligent risk-taking

Trust people to perform

Empowering PeopleEmpowering People

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CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATIONCREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION

Open Book Approach

Track daily, weekly and month-to-date performance metrics at all levels of the organization

Share metrics with all levels of employees

Teach employees what the metrics mean and how they influence them

Share key financial results tied to metrics and explain what they mean

Sharing Internal KnowledgeSharing Internal Knowledge

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CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATIONCREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION

Benchmarking

Comparing basic performance metrics and financial indicators across comparable organizational units

Internal benchmarking compares key metrics and financial indicators across similar functional units of the same company

External benchmarking compares key metrics and financial indicators across similar functional units of the same industry

Sharing External KnowledgeSharing External Knowledge

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CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATIONCREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION

Create a sense of urgency to change and improve

Allow challenge of the status quo and dissenting opinions

Foster innovative risk taking

Foster curiosity and experimentation

Stimulating Creativity and ChallengeStimulating Creativity and Challenge

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Organizational Ethics

The values, attitudes, and behavioral patterns that define an organization’s operating culture and that determine what an organization holds as acceptable behavior

Creating an Ethical OrganizationCreating an Ethical Organization

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CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATIONCREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION

Organizational vs. Personal Ethics

Organizational ethics policies benefit the organization by creating boundaries that limit legal liability and maintain regulatory compliance

Organizational ethics are also valued in customer and supplier relationships, and convey a sense of social responsibility and trust in the marketplace

Creating an Ethical OrganizationCreating an Ethical Organization

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CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATIONCREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION

Organizational vs. Personal Ethics

Management leadership at all levels provides the role model for ethical behavior

Personal ethical values that are inconsistent with organizational ethics can create organizational conflict

Punitive actions taken against employees who violate ethical standards are after-the-fact and not likely to change personal values

Recruit employees whose ethical values are consistent with the organizational standards

Creating an Ethical OrganizationCreating an Ethical Organization

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CREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATIONCREATING A LEARNING ORGANIZATION AND AN ETHICAL ORGANIZATION

Compliance-Based Ethics Programs

Programs for building ethical organizations that have the goal of preventing, detecting, and punishing legal violations

Integrity-based ethics programs

Programs for building ethical organizations that combine a concern for law with an emphasis on managerial responsibility for ethical behavior

Creating an Ethical OrganizationCreating an Ethical Organization

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Creating an Ethical OrganizationCreating an Ethical Organization

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Elements of Corporate Ethics Programs

Leadership role models and involvement

Corporate codes of conduct

Detailed policies and procedures defining specific situations and issues

Employee training with management involvement and leadership

Review of rewards and incentive systems for potential conflicts with ethical standards

Creating an Ethical OrganizationCreating an Ethical Organization

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