21 Century Leadership 1

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New Jersey OD NetworkAnnual Sharing DayMay 4, 2006

Malcolm Conway, Managing Consultant

IBM Global Business Consulting Services

Elena Feliz, Principal, Feliz Consulting

Tim Lannan, Tim Lannan Consulting

David Lipsky, Sony Electronics

Jeana Wirtenberg, Ph.D, President, Jeana Wirtenberg & Associates, LLC

*

Leading in the 21st CenturyThe Role of OD as a Bu siness Partner: Lessons Learned from

the Global Comm ittee on the Future of OD (GCFOD)Volunteers


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Global Committee on the Future of OD (GCFOD)

Vision: Linking OD values and contributions worldwide to create vital, successfulorganizations and communities

Mission: Uniting, energizing and mobilizing thousands of OD practitioners, businessleaders and academics worldwide to advance the field of OD and add value to allstakeholders, in an ever-changing world

Organization

10 person self managing Leadership Team

Over 200 volunteers, over 60 Advisory Board Members

Project Sponsors

Institute for Sustainable Enterprise, Fairleigh Dickinson University The OD Institute (ODI)

OD Network (ODN)

International OD Association (IODA)


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GCFOD TIMELINE

September 2003Ted Nguyen organizes The Global Committee on theFuture of OD

January 2004OD SWOT Survey

2004Business Sector COP launched

2004Advisory Board Meetings

2004-2006Presentations: ASD, ODN, ODI, AOM, FDU, AU, many others2004Portal launched

September 2004Nonprofit Sector launched

December 2004JABS article published

2005Referenced in Bradford/Burke book Reinventing OD

2005Business Leader Survey (For Profit/Non Profit)2005Decision to become a Self-Managed Team

2006Action Teams launched

???


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Goals for Today

To provide insight on Leadership in the 21stCentury

To demonstrate how OD has to change (this is

not your mothers/fathers OD) To support you to become a better OD

practitioner

To help you understand how your knowledge

can support GCFOD efforts To support your understanding of GCFOD as

a resource


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New Jersey OD NetworkAnnual Sharing DayMay 4, 2006

Malcolm Conway, Managing Consultant

IBM Global Business Consulting Services

*

Leading in the 21st Century


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Acknowledgments

The survey was supported by the Institute for Sustainable Enterprise,Fairleigh Dickinson University.

The web survey design and administration was generously supported byQuantisoft, LLC.

The work was performed by the Global Committee Research Team, led byJeana Wirtenberg, Ph.D, Jeana Wirtenberg & Associates, LLC, and TheInstitute for Sustainable Enterprise, Fairleigh Dickinson University.

Acknowledgments for significant contributions go to Elliott Greene,Quantisoft;

Lilian Abrams, Ph.D; Joan Slepian, Ph.D; and Jeff Wides, Ph.D.

This material states the authors' opinions but does not necessarily reflectthe positions or practices of the IBM Corporation or the other presenterscompanies.


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Topics

SWOT Survey2004

Business Leader Survey 2004Purpose & Objectives

Key FindingsFor Profit Sector

Demographics

Business Success Factors Performance Gaps

Sources of OD Support

OD Investment Plans

Summary of Findings


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Phase I OD SWOT SurveyOver 900 Responses

GCFOD survey sent to over 6000 members of OD Network, O.D. Institute,

International Organization Development Association, NTL Institute and NJ ODNetwork to assess present weaknesses and strengths of the field.

Findings published in article by J. Wirtenberg, L. Abrams, & C. Ott, Assessing

the Field of Organization Development, Journal of Applied Behavioral Science,

December, 2004.

Top Three Strengths Systemic Orientation/Change Management

Techniques and ProcessesTeamwork/Leadership Development

Values OD Brings to Practice

Top Four Areas For Improvement

Lack of Definition and Distinction of the Field of OD

Lack of Quality Control of Practitioners

Insufficient Business Acumen of Practitioners/Insufficient

Emphasis on Customer Needs

Insufficiently Clear ROI/Value of the Work


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Survey Purpose and Objectives

Gather information from business leaders to help define the future ofOrganization Development

Identify the most important factors driving business success from apeople and organizational perspective, as reported by seniorbusiness leaders

Understand the most likely sources of expertise and resources thatsenior business leaders will use to address those challenges (and tosee where HR/OD professionals fit in)

Determine potential OD clients awareness and perceptions about OD

Identify the likelihood of future investments in OD resources

Provide the academic community with information that may be usefulin planning/redirecting academic programs and courses


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Business Leader Survey

For Profit Methods:

Survey designed and piloted with COPs (Nov-Dec 2004)

Internet based survey sent to approx. 16,500 business leaders:

CEOs, VPs, Directors of Fortune 1000 companies across all industriesfrom a purchased list, mostly from U.S. with some Canada

Supplemented by COPs forwarding to their actual/potential clients and/orsubmitting names anonymously

Supplemented by e-mail notices with links in newsletters of fivesponsoring organizations, GCFOD newsletters and notices, letters toAdvisory Board members, etc.

Press releases sent to 36 major business and HR organizations withpersonal follow-up

Numerous announcements at OD network meetings, conferences, etc.


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Respondent Gender

64%

36%

Males Females

Demographics of For Profit Respondents

Respondent Level of Management

59%

9%32%

Middle Management Executive Management Other

235 Total respondents:

120 For Profit and 115 Nonprofit

Respondents are predom inant ly male, m iddle-aged, execut iv es.

Respondent Age

5% 13%

32%41%

9%

20 - 29 30 - 39 40 - 49 50 - 59 60+


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Business Success Factors

(17 questions)

Framed by the six KITs from

Phase I research

Sources of Expertise and

Support

(17 questions)

Framed by the six KITs from

Phase I research

Future Investments

(4 questions)

Respondent Demographics

(9 questions)

Questionnaire Design


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Sample Questions for Importance and Effectiveness

Question ImportanceVery Very DontUnimportant Important Know1 2 3 4 5

EffectivenessVery Very DontIneffective Effective Know1 2 3 4 5

1. Aligning and executing strategies in a way that

meets financial goals and are consistent with corevalues.Comments:

2. Effectively addressing organizational culture

during organizational realignments, industry

consolidations and mergers and acquisitions

(M&As).Comments:

Sect ion 1: Business Succ ess Factors: A series of s tatements about k ey areas of

busin ess succ ess fol lows . For each s tatement there are two quest ion s for yo u to

answer:

1. What is the imp ortanc e of this k ey area to yo ur org anization (i.e., that level of yo ur

com pany w ith wh ich y ou are mo st clos ely associated, e.g., ent ire enterpr ise, busin ess

uni t , etc.)?

2. How effect ive is you r organizat ion 's perform ance in th is key area?

In answ ering each quest ion, th ink about how it im pacts your " bot tom -l ine results" .Performance Gap = Importance - Effectiveness


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1. Aligning and executing strategies in a way that meets financial goals and are consistent

with core values2. Effectively addressing organizational culture during organizational realignments,

industry consolidations and mergers and acquisitions (M&As)

3. Effectively applying organizational change principles to business and product life cycles

4. Aligning strategies, people, systems and processes organization-wide to enhance

productivity and profitability

5. Developing and maintaining the commitment of the workforce to the goals of the

organization for better overall performance results

6. Clarifying purpose and mission to inspire and engage the workforce7. Attracting and retaining top talent

8. Leveraging and aligning existing information technology with business and people

strategies

9. Facilitating adoption and use of new information technologies for competitive advantage

10. Using information technology to support learning and innovation

11. Enhancing reputation among communities where we work, with consumers and with

employees and investors

12. Enhancing employees commitment by focusing on corporate citizenship in thecommunity and contributions

13. Ensuring accountability for business ethics among employees at all levels

14. Building leadership capacity for now and the future

15. Solving organizational problems systemically as opposed to solving them on a piecemeal

basis

16. Establishing collaborative relationships and partnerships among public, private and

nonprofit sectors

17. Increasing speed to market and profit for critical products and services through sharedcommitments and organizational values

Gap

1.03

1.35

1.02

1.26

1.12

1.071.27

0.92

0.78

0.72

0.67

0.34

0.63

1.45

1.27

0.58

0.93

Business Success Factors:

Performance Gaps


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Business Leader For Profit Survey

Key Findings for Importance and Effectiveness* **

For Profit Importance & Effectiveness

2.90

3.55

4.20

3.80 4.35 4.90

Importance

Effectiveness

1

5

13

7

4

142

6

11

LL

8

15

17

910

12

3

HL HH

LH

16

Note: Items were pre-selected as important based on Phase I

research and KITs.

Weakness

Strength

Gap of 1.35 Gap of 1.45


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Key Results

Urgent?

Items:

2. Effectively addressing organizational culture during organizational

realignments, industry consolidations and mergers and acquisitions

(M&As)

Importance = 4.52

Effectiveness = 3.17

Gap = 1.35


Importance = 4.63

Effectiveness = 3.18

Gap = 1.45


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Key Results

High Prior i ty?

Items:

1. Aligning and executing strategies in a way that meets financial goals and are

consistent with core values

Importance = 4.80; Effectiveness = 3.77; Gap = 1.03

4. Aligning strategies, people, systems and processes organization-wide toenhance productivity and profitability


5. Developing and maintaining the commitment of the workforce to the goals of

the organization for better overall performance results


6. Clarifying purpose and mission to inspire and engage the workforce


7. Attracting and retaining top talent



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Urgent Areas?

Positioning industry consolidation, M&A, and strategic alignment forsuccess from a cultural perspective?

For Profit

Position f or Success f rom Cultural Perspectiv e

Consulting Firm

Line Magm't

HR

External OD

Internal OD

40

30

20

10

0

Bus iness leaders turn to l ine management f i rs t , consu l t ing f i rms second , HR

third, and OD fourth wh en pos i t ioning indus try consol idat ion, M&A, and

strategic al ignm ent for suc cess from a cul tura l perspect ive.

Support Sources


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Urgent Areas? Building leadership capacity for now and the future

For Profit

Identify /Attracting/Dev elop/Retain Leadership Talent

Consulting Firm

Line Magm't

HR

External OD

Internal OD

60

50

40

30

20

10

0

Bus iness leaders turn to HR fi rs t , and l ine management second for

identi fy in g, attract ing , develop ing and retainin g leadersh ip talent.

Bus iness leaders turn to l ine management to foster leadership

courage, decis ion making and prob lem solv ing

For Profit

Foster Leadership Courage/Decision Making/Problem Solv ing

Consulting Firm

Line Magm't

HR

External OD

Internal OD

80

60

40

20

0

Support Sources (continued)


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High Priority Areas: Building a Performance Culture

Leaders turn to Lin e Management f irs t , HR second , and OD third, for :

Enhancing w orkplace, produ ct iv i ty and per formance cul ture

Foster ing employ ee engagement and commitment

For Profit

Enhance Workplace, Productiv ity and Perf ormance Culture

Consulti ng Firm

Line Magm't

HR

External OD

Internal OD

60

50

40

30

20

10

0

For Profit

Foster Employee Engagement/Commitment

Consulting Firm

Line Magm't

HR

External OD

Internal OD

70

60

50

40

30

20

10

0

Support Sources (continued)


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63% of respond ents indicated they were ei ther very l ike ly (40%) or s omewhat

l ikely (23%) to invest in OD over th e next three years.

Do you expect that your investments in OD resources over the nextthree years will be less, about the same or more than during 2004?

39% of respond ents indicated their investments in OD would be mo re, 54% about

the same and 7% less th an in 2004.

For Profit

Likely to Invest in OD over Next 3 Y ears

Very Likely

Somewhat Likely

Neither L or UL

Somewhat UnL

Very Unlikely

50

40

30

20

10

0

For Profit

OD Investment in Next 3 Years Compared to 2004

MoreAbou t the SameLess

60

50

40

30

20

10

0

Likelihood of Investing in OD Resources


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Summary of Findings and Implications forOrganization Development and Human

Resources

Business Leaders across a wide swath of industries see opportunity for

HR and OD related work

There is considerable room to improve the perceived effectiveness of

organizations in areas that business leaders consider very important.

A high percentage of business leaders are likely to invest in OD over the

next three years, with about half planning to invest about the same, and

more than another third planning to invest more.

However, OD as a distinct field or function is barely even on the radar

screen for much of the work that OD could/should be helping with.

Business leaders usually go elsewhere, at least initially, for the support

they need and want (especially line management, HR, and consulting

firms).

OD needs to work with line management to support them, transfer their

knowledge, and exhibit a high degree of flexibility to make it happen.

Findings call for further inquiry as to ODs fundamental identity,marketing, branding, and positioning with executives and line managers.


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Leading in the 21st Centu ry

Nonprofit Review

New Jersey OD Network

Annual Sharing Day

May 4, 2006

Tim Lannan, Tim Lannan Consulting


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Respondent Gender

43%

57%

Males FemalesRespondent Age

45%27%

9.6%2.6%

14.8%

20 - 29 30 - 39 40 - 49 50 - 59 60+

Demographics of Nonprofit Respondents

Respondent Level of Management

23.5%3.5%

67.8%Middle Management Executive Management Other

235 Total respondents:

120 For Profit and 115 Nonprofit

Respondents are predom inant ly female, m iddle-aged, execut iv es.


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Organization Success Factors: Performance Gaps

1. Aligning and executing strategies in a way that advances the mission and is consistent

with core values2. Effectively addressing organizational culture for collaboration and strategic alliances

3. Effectively applying organizational change principles

4. Aligning strategies, people, systems and processes organization-wide to enhance

productivity and sustainability

5. Developing and maintaining the commitment of staff and volunteers to the goals of the

organization for better overall performance

6. Clarifying purpose and mission to inspire and engage staff and volunteers

7. Attracting and retaining top talent8. Leveraging and aligning existing information technology with business and people

strategies

9. Facilitating adoption and use of new information technologies for mission effectiveness

10. Using information technology to support learning and innovation

11. Enhancing reputation among communities where we work, and with clients, employees

and donors/funders

12. Enhancing employees commitment by focusing on service and contributions in the

community13. Ensuring accountability for values and ethics among employees and volunteers


15. Solving organizational problems systemically as opposed to solving them on a

piecemeal basis

16. Establishing collaborative relationships and partnerships among public, private and

nonprofit sectors

17. Increasing speed of response to emerging client and stakeholder needs through shared

commitments and organizational values

Gap

0.91

1.01

1.24

1.25

0.99

0.79

0.901.00

0.84

0.83

0.81

0.37

0.75

1.44

1.33

0.64

0.89


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Survey of Nonprofit Leaders

Key Findings for Importance and Effectiveness* **

*Actual Items appear on slides 15.

**Note: Items were pre-selected as important based on Phase I research and KITs.

Non-Profit Importance & Effectiveness

3.2

3.7

4.2

4 4.45 4.9

Importance

Effective

ness

4

2

315

14

8

10

9

17

111

57

13

6

16

LL LH

HHHL

12

High

Priority

Urgent

Weakness


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Survey of Nonprofit Leaders

Key Results

Urgent

2. Effectively addressing organizational culture for collaboration and strategic

alliances


3. Effectively applying organizational change principles


4. Aligning strategies, people, systems and processes organization-wide to

enhance productivity and sustainability



Importance = 4.75; Effectiveness = 3.30 Gap = 1.44

15. Solving organizational problems systemically as opposed to solving them ona piecemeal basis



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Survey of Nonprofit Leaders: Key Results

High Prior i ty

Items:

1.Aligning and executing strategies in a way that advances the mission and isconsistent with core valuesImportance = 4.90; Effectiveness = 3.99; Gap = 0.91

5. Developing and maintaining the commitment of staff and volunteers to the goals ofthe organization for better overall performanceImportance = 4.88; Effectiveness = 3.88; Gap = 0.99

6. Clarifying purpose and mission to inspire and engage staff and volunteers


7. Attracting and retaining top talentImportance = 4.83; Effectiveness = 3.91; Gap = 0.90

11.Enhancing reputation among communities where we work, and with clients,employees and donors/fundersImportance = 4.85; Effectiveness = 4.04; Gap = 0.81

13.Ensuring accountability for values and ethics among employees and volunteersImportance = 4.72; Effectiveness = 3.99; Gap = 0.75

16.Establishing collaborative relationships and partnerships among public, private andnonprofit sectorsImportance = 4.64; Effectiveness = 4.00; Gap = 0.64


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Survey of Nonprofit Leaders: Key Results

High Priority Verbatim themes and illustrative quotes

Establishing collaborative relationships and partnerships among

public, private, and nonprofit sectors (Item # 16)

This is the key to sustainability in the 21st century


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Sources of Expertise and Support

Building leadership capacity for now and the future

Nonpro f i t leaders turn to Line Management f i rs t and HR secon d foridenti fy in g, attract ing , develop ing and retainin g leadersh ip talent.

Line management is the pr imary resource for foster ing leadership co urage,

decis ion m aking and pro blem s olv ing, with HR and Internal OD a distant

second.

Non-Profit

Identify /Attracting/Dev elop/Retain Leadership Talent

Other

Nonprofit Management

Consulting Firm

Line Management

External O.D. Firm

HR/Internal O.D. De p

40

30

20

10

0

Non-Profit

Foster Leadership Courage/Decision Making/Problem Solving

Other

Nonprofit Management

Consulting Firm

Line Management

External O.D. Firm

HR/Internal O.D. Dep

50

40

30

20

10

0

To whom do you/would you most likely turn for support in each of the

following areas?


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OD Investment Intentions

How likely is it that your organization will invest/continue to invest

in OD resources (people and money), either in-house or

outsourced, over the next three years?

67% of respondents in dicated they were either very l ik e ly (36%) or s omewhat l ike ly

(31%) to invest in OD o ver the next th ree years

Do you expect that your investments in OD resources over the

next three years will be less, about the same or more than during

2004? 40% of respo ndents indic ated their investments in OD wou ld be more, 47% about

the same and 9% less than in 2004

Non-Profit

Likely to Inv est in OD over Next 3 Years

Very Likely

Somewhat Likely

Neither L or UL

Somewhat UnL

Very Unlikely

40

30

20

10

0

Non-Profit

OD Investment in Next 3 Years Compared to 2004

MoreAbout the SameLess

60

50

40

30

20

10

0


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Summary of Findings and Implications for

the Organization Development Community

Nonprofit Leaders across a wide swath of industries see opportunity for

HR and OD related work

There is considerable room to improve the perceived effectiveness of

organizations in areas that nonprofit leaders consider very important.

A high percentage of nonprofit leaders are likely to invest in OD over thenext three years, with about half planning to invest about the same, and

more than another third planning to invest more.

However, OD as a distinct field or function is barely even on the radar

screen for much of the work that OD could/should be helping with.

Business leaders usually go elsewhere, at least initially, for the support

they need and want (especially line management, HR, and consultingfirms)

OD needs to work with line management to support them, transfer their

knowledge, and exhibit a high degree of flexibility to make it happen

Findings call for further inquiry as to ODs fundamental identity,

marketing, branding, and positioning with executives and line managers


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Conclusions and Next Steps

Promote awareness of survey results: Disseminate andfacilitate dialogue about and use of findings with key stakeholders(HR, OD, line management, professional organizations, academics,etc.)

Continue to evolve Nonprofit Sector Team: Recruit otherswith expertise in and passion around organization development andnonprofits to join us in exploring how Organization Development asa profession can add value to US-based nonprofit organizationsand empower them to deliver their missions more effectively Define Organization Development within the larger context of

capacity building in nonprofit organizations

Make available online a list of resources that OD professionals working

in the nonprofit sector have found helpful (ideally in a wikipedia-typeformat), along with a summary of how OD is understood and used in thesector.

???


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Enterprise Sustainability ActionTeamESAT)

Jeana Wirtenberg, Ph.D David Lipsky, Ph.D

Annual Sharing DayMay 4, 2006


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What is Sustainability?

How can the present generation meet i ts needs inways that are not only econom ically viable,environmentally sound and socia lly equi table butthat also allow future generations to do the same

United Nations World Commission on Environment and Development (The

Brundtland Commission), Our Common Future, 1987

Companys ability to achieve its business goalsand inc rease long -term shareho lder value by

integrat ing econom ic, environmental and social

opportunities into its business strategies.From participants of Symposium on Sustainability Profiles in Leadership,

NYC, October 2001.


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What is Sustainability?


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When It All Comes Together tm

What does it take to bui ld

The Sustainable Enterprise?


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Enterprise Sustainability

Action TeamOverview and Purpose:Develop a fieldbook or primer including practical tools, case

studies, references and resources for supporting the sustainableenterprise. Outputs will be multi-dimensional: online, multi-media(DVDs, CDs), and a hard copy book

Target Audience: Boards of Directors, Senior Management,Business leaders and managers, OD practitioners working(internal and external), HR Leaders and HR professionals

Methods: Sub-teams design and work on sections on SustainabilityKnowledge Network Portal (www.sknworldwide.net). Monthlyconference calls of entire team to dialogue, ensure integrationand synthesis, build momentum, and create accountability.
http://www.sknworldwide.net/http://www.sknworldwide.net/


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Action Team

Fieldbook Outline:

1. Mental Models and Sustainability

2. Strategy Formulation

3. Leadership

4. Employee Engagement

5. Trans-Organizational Collaboration

6. Change Management

7. Making it Personal

E i S i bili


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Action Team

Who is on the team?

Overall Team Leaders: Jeana Wirtenberg & David Lipsky

Mental Models and SustainabilityJohn Adams, Tom Drucker,* BethApplegate, Linda Kelley

Strategy FormulationJohn Adams, Eric Balinski, Govi Rao, SusanNickbarg* LeadershipDan Twomey, Karen Davis, Shakira Abdul-Ali, Beth

Applegate, Terri McNichol, Linda Kelley*

Employee EngagementJeana Wirtenberg*, Bill Russell, Orrin Judd,Dick Knowles, Kent Fairfield

Trans-Organizational Collaboration, Social Networks - BillRussell*, Linda Kelley, Govi Rao, Karen Davis, Susan Nickbarg

Change ManagementRosemary Dietrich*, Sangeeta Rao

Making it PersonalDavid Lipsky*, Beth Applegate

*

E t i S t i bilit


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Action Team

Chapter Contents. Examples:

Mental Models and Sustainability

Introduction and overview

Mental Models and sustainability

Building the Case for Sustainability

The Role of Global OD in Fostering Mental Modelsfor Sustainability

Building a Critical mass of Sustainability Thinking

Implementing ChangeKey Success Factors

E t i S t i bilit


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Action Team

Chapter Contents. Examples: Employee EngagementKey Assumptions

Employee engagement underlies and is foundational to anorganizations ability to be sustainable

We co-create the conditions and invite people to come into theconversations that are important to the people in the organization andthe organizations sustainability

Key Question: How do we purposefully engage with the natural tendenciesto self-organize rather than doing something to employees,manipulating or coercing them?

Methods:

Identify and interview key representatives from companies which are

committed to moving towards sustainability for lessons learned,best/next practices.

Create how tos and Case Study examples to illustrate

Examine companies that have great employee engagement initiativesbut have not applied to sustainability


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Making It Personal

Team Leaders: Beth Applegate & David Lipsky

Purpose:

Create a vehicle where people who are

passionate about sustainability have

the opportunity to learn and share

personal stories of success and

failures. Make these learnings available

to the Sustainability community to help

build the energy for our efforts.

Example:


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Business Strategy Action Team (BSAT)

BSAT plans to produce a reference guide for senior executives interested in utilizing OD principles and

practices to improve overall business performance (late 2006, working title only Strategic TalentDevelopment Investments: A Reference Guide for Business Executives).

The Scope Team has recommended the following focus areas:

What measurable value does OD offer to profit & nonprofit organizations?

How Can clients recognize an OD opportunity

What benefits may clients expect from OD interventions?

What professional competencies should clients consider in selecting a consultant to pursue potential OD benefits?

The ROI team has recommended:

Expanding focus beyond ROI formula to business performance metrics

Defining the role of metrics within OD, focusing on tangible (quantifiable) and intangible (non-quantifiable) benefits

of OD initiatives on business results

Examining metrics targeting key OD/talent development areas of a) business impact; b) processes andapproaches; c) learning organizations; d) OD/talent development department performance; and e) individual

OD/talent development program performance

The Systems team has summarized key topics covered in the latest OD practitioner literature to outline the

headings to be included in the new executive reference guide.


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Change Model Action Team (CMAT)

More challenging to launch; need more

members

Emphasis on Action Learning

Will partner with ESAT and Change

Management subteam

Will review Boeing Change Model and

other models


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What Next?Not the end of the story

What is your passion around these areas?

21 Century Leadership 1

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