Preparing for Change:“A Midstream Perspective”

Mike Stice

Agenda

• Defining Change• Leadership as a Process for Change• Change as a source of learning• Change Management• Technological Development• Change within a Midstream

Environment– People– Processes– Tools

• Questions & Answers

Defining Change

• Change is defined as a means of adapting the organization to survive in an ever-changing external environment (Porras and Silvers, 1991)

• Change is the key source of learning

“In a time of constant change it is the learners who inherit the future. The learned usually find themselves equipped to live in a world that no longer exists.”

-Eric Hoffer, American social writer

Leading Change

• Change can be a continuous, episodic or punctuated initiative that comes about as the result of actions by leadership (Weick and Quinn, 1999)

• Change can be either radical or incremental• Punctuated equilibrium (Gersick, 1991)

The Learning Paradox

• Chaos versus Order Paradox• Chaos Leadership Theory

highlighted the leader’s role in “managing this chaos.” (Uhl-Bien, Marion, and McKelvey, 2004)

• Complexity Leadership Theory highlighted the leader’s role as serving three important roles as a part of a broader system in which he has no control. (Schneider and Somers, 2006)– Administrative Leadership– Adaptive Leadership– Enabling Leadership

Purpose of Change Management

• Minimize disruption and accelerate the acceptance of change

• Maximize organizational learning anticipated from the change

Change Management

Typical level of performance and motivation in changing environments

Time

Mo

tiva

tion

to

Ch

ang

e

Transition Transition Design Design Implement Implement Improve

Level of Acceptance Improve

Level of Acceptance

Awareness

Understanding

Involvement

Acceptance

An effective Change Management program maximizes performance at implementation An effective Change Management program maximizes performance at implementation by minimizing disruption and accelerating the acceptance of changeby minimizing disruption and accelerating the acceptance of change

Categories of Change ManagementThree categories of change management strategies (Chin and Benne, 1989):

• Empirical-Rational

• Normative-Reductive

• Power-Coercive

Technology is a Stimulus for Change

Vertical Drilling(Number of Wells ~20)

Horizontal Drilling(Number of Wells = 18)

Change within a Midstream Environment• People

Staffing Training

• Processes Transparency Knowledge Management

• Tools Information Systems Knowledge Networks

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