Leading and Managing Change Management in Hewlett-Packard - Case Study Example

Leading and Managing Change Management in Hewlett-Packard Leading and Managing Change Management in Hewlett-Packard The process of managing and leading change in organizations determine the success that managers attain while playing their roles. In effect, the contemporary business environment necessitates bold steps and programs modeled to drive the performance of an organization in three different perspectives. First, the perspective of change management is the fundamental dimension that models and programs for achieving high performance aim at accomplishing. On the other hand, these programs focus on the dimension of leadership and culture of the organization since these two perspectives are instrumental in the overall achievement of high performance results in an organization. Importantly, change management and leadership are the most important aspects that any program that seeks to achieve high performance should focus on in order to ensure effective results that guided the success of an organization. Based on the foregoing, this expose is an evaluation of how Hewlett-Packard handled the process of change within its organization structure. Hewlett-Packard introduced an ambitious worldwide program that intended to ‘reinvent HP’ into the technology company, it was before its slow growth. Under the leadership of Carly Fiorina as CEO, HP implemented a program dubbed “Dynamic Leadership’ that was responsible for managing change in the organization. Importantly, the role played by the CEO in leading the process of change management was instrumental since the company achieved its objectives and managed a 15:1 ROI after implementing the program (Carter, Ulrich, & Goldsmith, 2005). In order to carry out a successful evaluation, this investigation will rely on secondary research and individual knowledge regarding the areas of leadership, organizational change, and change management. First, there will be a discussion about the idea behind creating the vision for the change process in Hewlett-Packard. In this case, the article will evaluate the process of constructing the future envisioned by the company. Secondly, there will be an evaluation of the motivation for creating change. In line with this, the factors contributing to the creation of readiness for change and overcoming resistance to change will undergo intense scrutiny. The third step involves an investigation of influencing stakeholders and an assessment of the agents for the change process. In order to achieve effective change management, it is important to manage the transition effectively. In effect, this expose will evaluate the process of transition that Hewlett-Packard followed while implementing the change process. Finally, the expose will evaluate the structures that the company implemented in order to sustain the momentum created by the change process. Creating a Vision An organization will engage in an activity that aims at ensuring that the long-term vision of the organization remained achievable. Hence, any process of change includes creating a vision that directs the organization towards achieving its objectives. For HP, its vision aimed at changing into a program that ensured that the company’s management of change was in line with its objectives and overall aims. Describing the Core Ideology In 1999, HP started experiencing lapses in its response rate and slowing down of their progress, which was worrying for a company that was leading in the technology industry. In effect, this contributed to slowed growth with the company’s top management devising ways that would ensure that the company controlled the slow down and was back to its continued growth while maintaining the leadership position in the technology field (Carter, Ulrich, & Goldsmith, 2005). In order to achieve this objective, the top management designed a program that focused on ensuring that the management of the company remained focused to the key goals of the organization, which effectively meant that there were no overloads on the manager’s side with the distractions from performing their responsibilities’ and duties of the manager (Carter, Ulrich, & Goldsmith, 2005). In effect, this made the manager focus on their roles and ensured efficiency in the day-to-day management of the organization. Constructing the Envisioned Future Hewlett-Packard envisioned a future that ensured effective management. Effective management would contribute to an increase in the rate of growth and restore the response rate of the company. To achieve this, the company envisioned using information from the company’s business processes to create an organic process that improved innovations in the company and managed the process of change in the organization. Importantly, the program envisioned a situation whereby it would ensure follow-up by leaders in order to ensure leadership effectiveness in the change process (Goldsmith, 1996). In fact, HP achieved this vision since the degree of follow-up in the leadership ensured that the company achieved effectiveness in its management structure. Motivating Change Creating Readiness for Change Hewlett-Packard managed to create readiness in the process of implementing change through a series of steps. In order to make the management ready, the company involved all managers in undertaking training in order to equip them with the essential tools required to manage the program. In effect, the company designed a one-week training program aimed at ensuring the participation of all its managers in the training program. In effect, this was crucial in ensuring that all managers were equipped with the knowledge, skills, and requirements that were essential in adopting and managing the program. Importantly, the company adopted a worldwide training program for all its managers and employees (Prevot, 2010). Therefore, the process of making the employees ready for the program ensured that the program achieved efficiency. Overcoming Resistance to Change The company realized the important role of overcoming resistance to change by ensuring that it carried out an implementation program that spread across nine weeks (Prevot, 2010). Nonetheless, the two-week training was instrumental in inculcating the managers into the program and ensured that the adoption of the program would not face any challenges or resistance from the employees. In addition, the company used other tools that handled any form of resistance to change during the implementation process. In this case, the company designed the program using an approach that took care of the multicultural aspects that were present in the organization. These multicultural aspects are responsible for an organization’s diversity, which could be a contributing factor to employee’s resistance to change (Prevot, 2010). Thus, the system by HP collected information and channeled it to the top management that was responsible for its structuring and overseeing its full implementation. In effect, the management would make decisions that would change and incorporate some aspects of the program based on the feedback the program provided to the top management (Carter, Ulrich, & Goldsmith, 2005). Developing Political Support Assessing Change Agent Power Hewlett-Packard’s assessment of the change agent power is not provided in any texts this far. However, the companys declining rate of growth in the technology industry contributed to the need to change into the Dynamic Leadership program. In this case, the company realized that it was slowing in its response rate to the customers’ needs. Nonetheless, the company failed to assess the power of the agent of change in order to ensure that the implementation process would be effective (Carter, Ulrich, & Goldsmith, 2005). Conversely, the company involved all its managers in the training program. Hence, the company carried out an assessment and realized that the managers were the most effective agent of change. Identifying Key Stakeholders During the process of implementing the program, a study conducted by HP identified that there were line managers who failed to align themselves with the priorities that the company asked them to align themselves to during the implementation stage. In effect, the company made a decision to ensure that all line managers aligned their priorities with the priorities of the company. In line with this, it is important to point out that the company had identified the line managers as the key stakeholders. Consequently, these same managers underwent training since the company observed them as the stakeholders who would implement the change process into the company’s organizational structure (Connolly & Burnett, 2003). Influencing Stakeholders Connolly and Burnett (2003) noted that employees and managers, of Hewlett-Packard had identified the importance of changing into a system that was effective, and the only crucial thing that the company required was the development of a system that would be acceptable to the key stakeholders. Since the line managers required influencing in order to adopt the program into the management structure, the company implemented a policy of open communication with these managers in order to listen to their opinion and ensure that they cooperated in the implementation of the project. Managing the Transition Activity Planning Hewlett-Packard carried out a series of events before implementing the Dynamic Leadership program. In fact, the company surveyed its employees to obtain feedback regarding the program to implement. In effect, management developed the program based on the feedback they obtained from their employees. Hence, the planning process was essential in ensuring that the adoption of the program was seamless, which would contribute to its success. In fact, studies indicate that the company’s successful implementation, which was partly due to the efficiency in the planning stage, contributed to a 15:1 return on investment and 90% adoption by managers in the organization (Carter, Ulrich, & Goldsmith, 2005). Commitment Planning The company’s implementation stage ensured that it implemented a commitment plan within its operations. In this case, the plan included a process that evaluated the successful implementation of the program. Along with the evaluation, the company carried out a survey to evaluate the innovation structure it integrated in its system. In effect, the company wanted to ensure that the innovation structure in the Dynamic Leadership system enhanced the commitment of the company’s key stakeholders to the plan. Using concepts in Fulgsang and Sundbo (2005), the company observed that its program was an integration of a value-based entrepreneurial system and a strategic reflective system. In line with this, HP’s integration of these two systems ensured that it effectively planned for the commitment of the line managers who implement the program. Management Structures As earlier mentioned, the company trained 8,000 of its managers worldwide in order to ensure the effective implementation of the program. In this regard, the company knew that the management would oversee a successful implementation of this process. Hence, this ensured that the company’s provision of training to the managers laid the important structures for the implementation of the program (Carter, Ulrich, & Goldsmith, 2005). Conversely, the company implemented an open structure of communication between top management and line management to enhance seamless implementation of the system. Sustaining Momentum Providing Resources for Change Hewlett-Packard implementation process required provision of the requisite resources. For example, the training program required financial and logistic resources that the company provided to ensure the program attained maximum success. On the other hand, the company required technological resources that converted the problems raised by the stakeholders who implemented the program. Effectively, the company managed to provide the requisite resources for the implementation and evaluation of the program. Building a Support System for Change HP built a support system for change that required managers to put the principles of the program into practice. Hence, HP “implemented a rigorous postcourse management system using a commercial web-based follow-through management tool” (Burnett & Hick, 2001, p. 186). In effect, the system was a follow-through process that ensured that managers provided their objectives and goals with the system reminding them these goals on a weekly basis to ensure that they fulfilled their obligations. Developing New Competencies and Skills Other than supporting the system for change, the web-based program ensured that the companys management developed new competencies and skills. In effect, the system encouraged participants to continue implementing the practices they had learned while reflecting on their experiences. In addition, the system encouraged the participants to learn new insights from other participants. Hence, they would learn new skills and competencies over time (Burnett & Hick, 2001). Reinforcing New Behaviors Burnett and Hick (2001) noted that the system required managers to send links that contained their information to their coaches who provided them with feedback and counsel, which effectively reinforced new behavior. In addition, another feature on the web-based program called GuideMeTM reinforced new behavior through suggesting practical material based online that improved the behavior and performance of an individual (Burnett & Hick, 2001). Staying the Course Evaluating the program was the foundation of ensuring its success. In effect, HP carried out short-term and long-term evaluation processes that controlled the goals and objectives of the program to ensure that the implementation process went according to plan (Burnett & Hick, 2001). In addition, participants underwent different appraisals through a number of programs to ensure that the goals of implementing the program stayed on course. Conclusion Based on the foregoing, it is evident that the company’s implementation of the “Dynamic Leadership” program has been beneficial for the company. In this case, the program enabled the company to increase revenue despite the expenditure used to implement this program. Evidence points out that the return on investment was 15:1, which is a clear indication that the company’s program was effective and followed all the basic and requisite steps crucial for success. As the evaluation in this expose points out, HP invested in the approaches that ensured effective management of change by providing a motivation process, creating a vision for change, developing support among the key stakeholders, managing the transition, and sustaining the momentum of the program throughout the planning, training, and implementation stages. References Burnett, S., & Wick, C. (2010). Hewlett-Packard. In L. Carter, D. Ulrich, & M. Goldsmith (Eds.), Best Practices in Leadership Development and Organization Change: How the Best Companies Ensure Meaningful Change and Sustainable Leadership (181-193). New York, NY: John Wiley & Sons, Inc. Carter, L., Ulrich, D., & Goldsmith, M. (2005). Best Practices in Leadership Development and Organization Change: How the Best Companies Ensure Meaningful Change and Sustainable Leadership. San Francisco, CA: Pfeiffer. Connolly, M., & Burnett, S. (2003). Hewlett-Packard Takes the Waste Out of Leadership. The Journal of Organizational Excellence, 1-15. Retrieved from http://conversant.com/wp-content/uploads/hewlett_packard_article.pdf Fuglsang, L., & Sundbo, J. (2005). The Organizational Innovation System: Three Models. Journal of Change management 5(3), p.329-334. Goldsmith, L. (1996). The Leader of the Future. San Francisco, CA: Jossey-Bass Publishers. Prevot, A. (2010). Following in HP’s Success: An Integrated Analysis of Hewlett Packard’s Dynamic Leadership Change Management Program. The Consortium Journal of Hospitality and Tourism 15(1), 35-43. Read More