Ryan Lanyon Manager, Smart Commute November 7, 2012 ACT Canada Sustainable Mobility Summit

1. Change Agent at Work Applying Change Leadership and Management Principles to TDM Ryan Lanyon Manager, Smart Commute November 7, 2012 ACT Canada Sustainable Mobility Summit

2. Agenda • Assessment • Preparation • Leading Change: Eight Stages • Urgency • Coalition • Vision • Dialogue • Empowerment • Piloting • Tipping Point • Culture

3. Assessment: Types of Change Source: Balogun

4. Assessment: Culture Web Source: Balogun

5. Assessment and Preparation: Kaleidoscope Source: Balogun

6. Preparation • Change requires: • Leadership • Vision • Strategy • Management • Plans • Budgets • Organizations are made up of individuals

7. Preparation: Individuals • Awareness, trial, usage • Consumer Behaviour Model • Identification of a need • Information search • Evaluation of alternatives • Purchase decision • Post-purchase behaviour • Community-based social marketing • Identify barriers and benefits • Use tools to address these • Transtheoretical Model (TTM) / Stages of Change Theory • Pre-contemplation • Contemplation • Preparation • Action • Maintenance • Relapse

8. Preparation: Individuals Source: Balogun

9. Assessment: The Change Formula • Is it worth moving forward? • Dissatisfaction x Vision x First Actions > Resistance • D x V x F > R • D/10 x V/10 x F/10 > R/1000 • D, V, F = / = 0

10. Leading Change: Eight Stages • Adapted from Leading Change by John P. Kotter • Urgency • Coalition • Vision • Dialogue • Empowerment • Piloting • Tipping Point • Culture

11. Step 1: Urgency • Fight complacency! • Incent action • Gain cooperation around an initiative • Raise priority • Get buy-in

12. Raising Urgency • Crisis • Move, parking supply • Examples of excess • Frivolous mileage • Targets • Environmental, transport • Accountability • Data • Did you know…? • Talking • Consultants • Spending too much • External demands • Municipal requirements • Stop “happy talk” • I’m going to quit for parking • Bombard people

13. Step 2: Coalition • Importance of Coalitions • Need a balance of power, resources and influence • Green teams? • Change must be guided by stakeholders affected by it • All business units or operating divisions • Cross-section of the department or company to ensure change is managed and led from various viewpoints • CEO’s Office, HR, Real Estate, Health & Safety, Sustainability

14. Building the Coalition • Existing or new? • Find the right people • Power position • Expertise • Credibility • Leadership • Create trust • Develop a common goal

15. Step 3: Vision • Purpose of a Vision • Forced planning • Agreement • Clarity • Efficiency • Inspiration

16. Creating the Vision • Steps • Draft • Develop • Engage • Revise • Considerations • Teamwork • Investment • Emotion • Indirect path

17. Effective Visions • Imaginable • Desirable • Feasible • Focused • Flexible • Communicable • Tear down comfort zones • Appeal to customers, employees, stakeholders • Take advantage of opportunities • Exploit no one

18. Testing Your Vision • If the vision is made real, how will it affect employees? Will they be more satisfied? • In a few years, will we be doing a better job? • How will the vision affect stockholders or stakeholders?

19. Vision Statement Examples • We are going to sell healthier food to our customers. • We are going to reduce red tape and make our customers happier. • We are going to move our office to be closer to our employees. • Metrolinx: Working together to transform the way the region moves.

20. Step 4: Dialogue • Why is it important to engage in dialogue about change? • Change makes people uncomfortable • Everyone needs to be part of the change • The change is not simple; questions arise • Everyone needs to know, feel included

21. Effective Communication • Simple • Through metaphor, analogy or example • Multiple channels • Large meetings/town halls • Memos • Newsletters/bulletins • Posters • Word-of-mouth • Events • Mass mail (voice and electronic) • Repetition • Leadership • Address inconsistencies • Two-way

22. Simple and Effective Communication • Before • Through a process of debureaucratization, we will empower our frontline employees to better serve idiosyncratic customer requirements. • After • We are going to throw out some of the rule books and give employees more discretion to do the right thing for our customers.

23. Metaphorically Effective Communication • Before • We need to retain the advantages of economies of great scale and yet become much less bureaucratic and slow in decision making in order to help ourselves retain and win customers in a very competitive and tough business environment. • After • We need to become less like an elephant and more like a customer-friendly Tyrannosaurus Rex.

24. Step 5: Empowerment • How do you empower employees? • See: Stages 1-4 • Make them change agents • Provide autonomy, resources and support • Ensure their voices are heard • Reinforces the importance of dialogue

25. Step 6: Piloting • Pilot projects create short-term wins. • Possibility and feasibility • Demonstrate cost savings • Demonstrate increased revenue • Streamline procedures • Increased effectiveness

26. Necessity of Piloting • Sacrifices are worth it • Provide an opportunity to celebrate • Fine-tune vision and strategies • Undermine cynics and resisters • Keep management on board • Build momentum • Criteria for a short-term win • Must be explicit • Must be visible throughout the organization • Must be clearly related to the change effort

27. Step 7: Tipping Point • Change moves from a project to an operation • More people will need to get involved • Multiply the change agents • Senior management needs to lead • Multiple initiatives will run concurrently • Timeframe for change will extend • Eliminate obsolete interdependencies • Parking minimums!

28. Balance of Leadership and Management

29. Tipping Point Challenges • Longer timeframe; task seems more daunting • Deeper organizational commitment • Personal dynamics • Staff turnover / reorientation • Exhausted coalition member • Complacent manager • Complimentary saboteur

30. Step 8: Culture • What is culture? • Norms of behaviour • Shared values • Metrolinx: Commitment, Service, Working Together, Innovation • Culture impacts • Corporate culture affects everyone • Subcultures are specific to subunits • Difficult to change - Invisible and hard to address • Linked to human emotion

31. Power of Culture • Can influence behaviour • Is pervasive • Exists through thousands of small interactions • Reinforces itself • Must ‘fit’ the organization • Stories and legends set and maintain the tone • Happens without conscious actions or thoughts

32. Role of Culture • Anchoring change • Comes last, not first • Depends on visible results • Requires much discussion • May involve changing key people • Makes decision on succession crucial • Takes time, patience and persistence

33. Mapping a New Culture Web Source: Balogun

34. Mapping a New Culture Web • Symbols • Free parking. • Stylish bicycle racks at the door. • Controls • Do we pay people to drive to meetings, but expect them to cover the cost of taking transit? Cycling? • A policy that provides a decision-making process favouring sustainable (and most affordable) modes • Stories • Was: “I got a huge mileage check and bought a new TV.” • Now: “I started carpooling and saved enough for a new TV.”

35. Thank You! Contact Sources Balogun, J. “Strategic Change” in Management Quarterly. UK: Cranfield University (2001). http://www.tomorrowsleaders.com/A5569D/icaew/content.nsf/DocumentLookup/ICAEWSTR0109/$file/MQ10+Strategy.pdf Brown, P. A Brief Introduction to Change Management. YouTube (2011). http://www.youtube.com/watch?v=3Jk6clmMycI&hd=1 Kotter, J. Leading Change. USA: Harvard Business Review Press (1996). Mckenzie Mohr, D. and Smith, W. Fostering Sustainable Behaviour. Canada: New Society Publishers (1999). Ryan Lanyon Manager, Smart Commute Metrolinx 416-874-5933 ryan.lanyon@metrolinx.com www.smartcommute.ca