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ocess redesign UPRR Booz Allen Continuous improvement Exxon United Research Process redesign and facilitation Mobil Delta Point Transformational change SmithKline Beecham McKinsey’s consulting approach must evolve as our clients evolve. These changes provoke a shift in the nature of our work and an evolution of the role of the associate on engagements. The increased demand for anizational work impacts associates directly. Associates are drawn into leadership roles on larger teams at an earlier point in their careers. This places greater emphasis on the need for associates to develop quite soon after joining McKinseysuperb team leadership skills. EVOLUTION IN McKINSEY’S APPROACH *Survey of 23 MGMs across the Firm From… To… ? ―The answer‖ ? Solving for the ―answer‖ and the change process ? Managing client teams ? Building client capabilities ? Small, analytically focused teams ––average client team of 3* ? Multiple, highly leveraged McKinsey/client teams —Average client team of 10* ? CEO counseling by senior people ? Coaching and feedback at all levels Before we dive into the anization materials, we should announce one critical caveat: the frameworks you are about to see are only as good as the judgment and insight used to fill them out. The frameworks are often mere checklists, useful tools to ensure you do not overlook a key dimension. The OP can provide interview guides and questionnaires that you can use to flesh out the frameworks, as well as applied examples in a range of settings. However, almost all anizational issues are ―situation dependent‖, and almost all client settings are unique. Your judgment, insight, creativity, and anizational acumen will determine whether you add value in the client setting . A CRITICAL CAVEAT “ Garbage in, garbage out” Garbage Good judgment, keen insight, creativity, anizational acumen Garbage Client impact CONCEPTUAL A series of frameworks are available to help clients identify and address anizational limits on effectiveness or obstacles to change. They also point toward solutions. These frameworks help teams answer two fundamental questions: 182。 What change is needed? 182。 Energized by an extraordinarily intense, performancedriven environment. HPOs have a demanding, occasionally punishing, work pace. There is real accountability, especially at the top. HPOs, while being very good places to work, are not always nice places to work. ATTRIBUTES OF AN HPO Driven by leader ?Very high performance aspirations held by all key leaders ?Demanding, ―unreasonable‖ CEOs ?Effective working group at top ?Ability to perate to micro level of their businesses ?Singleminded adherence to simple, clear success measuresnot just financial ?Productive ―fear of failure‖ Built by relentless pursuit of beforethefact strategies/vision ?Highly motivating, if not inspiring, ―end‖ state ?Frequently oriented toward industry leadership ?Consistently striving for both profitability and growth ?Passionate defenders of core businesses ?Understanding of how industry(s) works, what customers want, and what petitors can do and how these might change Energized by an extraordinarily intense, performance driven environment ?Demanding, occasionally punishing, work pace。 Rejuvenated by welldeveloped people systems. The CEO in these panies is the Chief Personnel Officer. The CEO interacts regularly with the entire leadership group, understands the individual development needs and goals, and leads staffing reviews. ATTRIBUTES OF AN HPO (CONTINUED) Aligned by simple structures and core processes ?Straightforward alignment of authority, accountability, and performance challenges ?Unplicated lines of munication and approval – line to line ?Similar internal structural units and key management processes across the pany ?Minimal critical staff reviews ?Regular calendar of key management processes and munication Based on worldclass pany skills ?Do many things well, but at least 1 functional skill at worldclass petence level underpins strategy ?Also focus on building corporate skill in the way they run the place ?Company key management processes viewed as real petitive advantage Rejuvenated by welldeveloped people systems ?CEO is Chief Personnel Officer ?Clear focus on performance and motivation – successful longterm wealthbuilding programs seem key ?Management processes ensure leaders have ―informed‖ view of key contributors 23 levels down ?CEO leads annual ―staffing review‖ – best people/teams in most critical/demanding jobs ?―Bench strength‖ is a top priority The HPO research found something else mon to the HPOs: all 10 were experimenting with selfgovernance. Selfgovernance in these HPOs means empowerment with accountability. The HPOs share the mon characteristic of involving ―a wide range of ―or ―broad crosssection of‖ employees in driving for improved performance. Their goal is to imbue every employee with an owner’s mindset. Self –governance in these HPOs is different from that practiced in other ―engaged and empowered‖ panies. In HPOs the singleminded objective of empowerment is performance. In the matrix below, the HPOs we studied were all in the top half of the matrix (high performance)。Shared values. Simple, agreedupon principles that say what is important around here. Taken together, the first 3Ss define the pany’s vision: an overriding goal that people in the anization strive to achieve。Staff. The people in the anization considered in terms of their capabilities, experience, and potential. 182。 For example, McDonald’s has a visiondriven ―winning formula,‖ as described below. McDONALD’S WINNING