Picking The Right Transition Strategy

The Presenters Matteen Afridi Nasir Afridi Nadar Khattak Rehan Khattak Naveed Zeb 

PICKING THE RIGHT TRANSITION STRATEGY Michael D. Watkins

Overview      

Transition Strategy The STARS Framework The two important business situations Organizational change Personal change

Transition 

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A transition is a move from one controlling position to another

Transition Strategy 

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The overall approach to make changes to move the organization in the direction of the strategic vision Usually it is defined by a step-at-a-time process

Transition into new leadership roles 

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The most challenging time in the professional lives of managers Leaders in transition mostly rely on past strategies that worked for them. That’s a mistake! Executives in transition must gain a deep understanding of the situation at hand

Transition into new leadership roles 

Otherwise, “people with hammers will treat everything like a nail”

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The author suggested STARS Framework to asses the situation you are moving into

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By using STARS Framework one can better understand the organizational changes needed

STARS Framework 

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A Model, presented by Michael D. Watkins that discusses the situations businesses face Primarily, five (or mix of five) situations Acronym for Start-Up, Turnaround, Accelerated Growth, Realignment, and Sustaining Success

The STARS frame-work

Start-Up

Turnaround

Accelerated Growth

Realignment

Assembling the capabilities (people, financing and technology) to get a new business or initiative off the ground

Savinga business or initiative widely acknowledged to be in serious trouble

Managing a rapidly expanding business

Reenergizing a previously Coming on the heels of a successful organization highly regarded leader that now faces problems with a stellar record of accomplishment

Have you inherited an organization or project that is being launched as a start-up venture, facing crisis and in need of a turnaround, vaulting into Challenges accelerated growth, Building strategy, drifting into difficulty and structure, and systems due for a realignment, or from scratch without a working at sustaining clear framework or success as it confronts boundaries maturity? The situation (or mix of situations) should Recruiting and welding a influence how you high-performing team approach your leadership transition. Making do with limited resources

Sustaining Success

Reenergizing demoralized Putting in place structures Convincing Living in the shadow of employees and other and systems to permit employees that change is the former leader and stakeholders scaling necessary managing the team he or she created Making effective Integrating many new Carefully restructuring the decisions under time employees top team and refocusing Playing good defense pressure the organization before embarking on too many new initiatives Going deep enough with the painful cuts and Finding ways to the difficult personnel choices business to the next level

Opportunities You can do things right from the beginning

Everyone recognizes that The potential for growth change is necessary helps to motivate people

People are energized by the possibilities

Affected constituencies People will be inclined to People are motivated to offer significant external stretch themselves and People want to continue to continue their history of support those who work for them see themselves as success successful A little success goes a A foundation for long way continued success (such as a long product pipeline) may be in place

There are no rigid preconceptions

The organization has significant pockets of strength

A strong team may already be in place

Major focus… 

The article has mainly focused on the two of them Turnaround  Realignment 

Watkins’ example 

Watkins elaborated all his theme with the help of the Stephen Eizenberg, a German born executive, example.

Stephen in turnaround 

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In the European manufacturing operations a few bold decisions were needed The firm was facing some severe problems and some instant remedies were needed. So he acted more like a hero and worked decisively Those bold steps were bitter at the beginning but were fruitful later

Stephen in realignment 

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Later, in the American operations, Stephen was chosen as the executive vice-president of the supply chain Here, the problem was not that evident and was vague He didn’t take immediate decisions He had to know, the problem, himself and to make the people aware about it

Organizational change 

The prior set-up for the organizational change should be considered regarding the turnaround and realignment.

Six fundamental principles      

Organize to learn Define strategic intent Establish A-item priorities Build the leadership teams Secure early wins Create supportive alliances

In turnaround… 

You need to focus on the:  Strategy  Competitors  Products  Markets  Technologies  

And above all… the Core business!! 

In realignment… 

You need to focus on the:  Culture  Politics  Skills  Beliefs  

And above all… the overall scenario!!

Personal change As a leader, you also need to be flexible enough to mould yourself according to the situation and need to know

Self management 

The personal leadership strategy greatly depends upon the following pillars  Enhancing

self-awareness  Exercising personal discipline  Building complementary teams

In turnaround… 

You need to be:  More

specific  Objective  Clear  Decisive  Bold  

And above all… more like a HERO: to act quickly!!

In realignment… 

You need to be:  Diplomatic  Less

ego-driven  Persuasive  Building consensus  Patient  Systematic  

And above all… more like a STEWARD: to act deliberately!!

The Presentation Summary 

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Leaders in transition rely on the skills and strategies that worked for them in the past. That’s a mistake. They should better refer to the STARS Framework to know where exactly do they stand The STARS Framework gives a clear and vivid idea, most of the business situations, we often face Both Organizational and Personal Changes should be made according to

THANK YOU!!