UNDERSTANDING ORGANIZATIONAL MATURITY (Learning Level) FOR BETTER CHANGE MANAGEMENT OUTCOMES.
Research & Author: - Dr. Myles Sweeney BA (Psych), Dip. (Mgt.), MBS (Fin.), Ph.D. (Psychol.)
THE ORGANIZATIONAL MATURITY INDEX (OMI)
OMI was designed to address the significant failure rates that research shows for organizational initiatives ranging from standard Organization Change & Development to more specific strategic and tactical changes. These could include M&A, Growth Strategy, Turnaround Implementation, etc., to more focused initiatives such as introducing Collaborative Software as an example. The most common reason for such failures is that interventions (Change Actions) are at the incorrect level for the organisation maturity, or that the Organisation systems can accommodate. OMI addresses this problem by ensuring that such initiatives gain traction by being designed as appropriate to the levels of functioning in the organization as mapped on the OMI learning framework.
Many years of research and analysis of current organisation development and learning theory have resulted in the ability to accurately and scientifically determine the organisations (or any sub unit) maturity (learning level) as a whole or across key organisation system dynamics.
OMI provides a normative methodology to 1) assess levels of functioning throughout the organization, 2) show gaps between, and within, organizations, business units or departments across all activities, 3) initiate interventions so that they gain traction, and 4) guide required development and integration in a manner that is sustainable.
The OMI diagnostic framework is as follows:
Stages of learning described from various schools of Psychology, ranked in order of increasing integration
o 15 stages of learning split between 2 Divisions:
§ Integration – At these levels developmental initiatives if deployed with good change-management protocols should achieve traction and desired results.
§ Disintegration – At these levels developmental initiatives if deployed at the incorrect lever or with less than excellent change management will not gain traction and most likely degrade the system further. If not addressed as a priority, will contribute towards failure.
ð Integration refers to the potential to take on board change, development initiatives, growth strategy, etc., and the ongoing alignment of all resources/initiatives/processes within an organisation to drive organisation-wide strategy
ð Many corporate failures have occurred where results had given the impression of a successful organization, where this metric would have revealed critical dimensions operating at disintegrative levels
ð The more organisational dimensions or dynamics measured in the INTEGRATION side (level 6 and up), the fewer critical issues to be addressed.
OVERVIEW of the LEVELS of LEARNING:
Description of Habituated Stage
Description of Developmental Phase
INTEGRATION DIVISION– where the initiatives in place will be suitable and guiding the organization toward organization-wide effectiveness
Sustainable Leadership (12)
Trusted Brand , Market Leader, Continuous Innovation and change etc.
Regularly diagnosing organizational functioning & re-invigorating the phases
Leadership positioning in the sector and beyond, giving direction to the marketplace and beyond. However, habituation brings the risk of a bias to constantly look internally for solutions rather than refreshing the system from outside
People from the organization, as well as the brand, assume leadership positioning within the organization, within the sector and in the broader world at large. External environment to be scanned and new blood introduced regularly
Sustainable C.A. (10)
Organizational Advantage with failure to take macro-systemic Leadership. The organization is well managed and has uniqueness but has not yet achieved leadership or brand leadership.
Systemizing to support innovation etc., maintain quality & manage direction, Self-Organization
Competitive Advantage (9)
Innovation that loses awareness of market, external change, etc.
Systemic Self-Engagement, Innovation, Empowering game-changing connectedness, etc.
Sustainable Competitiveness (8)
Neglect of R&D, innovation, etc.
Systemizing Competitiveness throughout the organization
Performance becomes a matter of discreet contests rather than integrating strategic growth
Customer-Care Excellence internally and externally, organizational results comparable with the competition
A bias to process and procedure rather than the next level of market focus and the organization never becomes adaptive enough
Embedding all of the processes and procedures needed to re-enforce the strategic plan and future development through the phases
OVERVIEW of the LEVELS of LEARNING (cont’d):
Description of Habituated Stage
Description of Developmental Phase
DISINTEGRATION DIVISION – where integrative initiatives would not achieve traction.
Introducing new processes, training, etc. which are neither part of a viable strategic plan nor visibly growing the organization towards Sustainable Competitive Advantage
Training and personal development are established that will ensure that the competence requirements of a strategic plan are in place; learning from pilots, etc.
An internal friction that never integrates into a drive with potential for growth. Dissenters are bipolarized & degrade, or they leave
Allocation of resources, positioning key people, possible piloting, etc.
A niche is allowed to shape the organization to suit its needs. If the niche changes, degradation to a chaotic stage occurs
Getting people on board with the growth strategy, taking stock of progress from the opportunistic phase, planning for resource allocation in the next phase, etc.
Critical Divergence (2)
Chasing opportunities that may not yield strategic value or potential for sustainable competitive advantage, churn, burnout
Strategic Delegation to a network of key people with the credibility to leverage change & grow beyond critical dependency, diversify, strategic opportunism
Critical Dependence (1)
Dependence on a singularity - customer, financier, etc., or deference to a leader or influence (Groupthink), limits growth creates boundaries & competence ceilings
Depending on the dimension this phase means attaining visible leadership commitment to a plan; winning a flagship customer; launching a strategic product, etc.
“Failure To Launch”, etc.
Planning progression through the phases
Deadwood, Switched off people, etc.
Critical mass of people make a resolved decision to stop what is damaging the organization or hindering its progress
Black Hole (<0)
Projects with no ROI, “sunk-cost effect”, Milking the system
HOW TO ORGANISATIONS CAN USE THE OMI
Based on your organisations assessment (on-line diagnosis), a diagnostic dashboard and report based on the OMI findings can be produced. This report segments the findings in 3 Sections, grouped per level of priority:
- Section 1 - Immediate Interventions required.
This section addresses the most urgent diagnosed organisational issues to be addressed through targeted interventions in order to ensure that your organisation develops towards integration. This section is applicable when organisational dimensions are diagnosed as currently operating within the lower stages of the Disintegration division of the model, and highlights the levels of learning that need to be addressed as a priority in order to ensure solid foundations for growth. Section 1 is a platform on which organization-wide engagement is built, and may concern e.g., planning, engagement of leadership, management and key people. This section ensures that all dynamics are operating at Phase 2 as a basis for the Section-2 programme, and comprises:
- an overview of your current levels of learning
- the rationale behind the selected interventions identified as a priority
- often, but not always, a sample intervention recommended to address potential issues at the current levels of learning, to be further discussed with your external OD consultant
- Section 2 - Next Step
This section addresses the subsequent organisational dimensions to be considered as a Next Step toward implementing and promoting sustainable integration so that the organization is internally fit for effective engagement in the marketplace in Section 3. This section ensures that all dynamics are operating at Phase 5 and compromises:
· an overview of the indicated levels of learning to be considered for intervention once the elements/issues in Section 1 have been addressed.
· the rationale behind the selected interventions, identified as a next step often, but not always, a sample intervention recommended to address integration needs at the these levels of learning, to be further discussed with your external OD consultant
- Section 3 - Working towards organizational advantage and Sustainable Leadership
This section addresses the remaining organisational functioning’s that are currently performing at integrative levels, to be considered in the future in order to sustain organisation-wide integration. This section deals with Sustainable Competitiveness, Organisational Advantage through to Sustainable Leadership and compromises:
· an overview of the indicated levels of learning to be considered for intervention once the elements/issues in Section 2 have been addressed.
· the rationale behind the selected interventions, identified as a final section of the O-D programme toward organisation-wide integration and effectiveness.
· often, but not always, a sample intervention recommended to address sustainability needs at the these levels of learning, to be further discussed with your OD advisor