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Key Management Models (Books).pdf

Key Management Models (Books).pdf

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Published by Trya Agung Pahlevi
Key Management Models (Books).pdf
Key Management Models (Books).pdf

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Published by: Trya Agung Pahlevi on Jan 07, 2013
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08/05/2013

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8.Anchor

I

Improve

performance

through customer

and productivity

orientation, and

more effective

leadership, and

management

7.Consolidate

and keep

moving

I

Build on gowing

credibility to

gradually change

all systems,

structures and

policies that don’t

fit in the vision

I

Hire, promote and

develop successful

changers

I

Reinvigorate the

change process

with new projects,

themes and change

agents

6.Secure

short-term

wins

I

Plan for visible

performance

improvements

I

‘Create’ and

declare the wins

I

Visibly recognize

and reward those

who made the

wins possible

5.Empower

people to clear

obstacles

I

Get rid of

obstacles

I

Change

structures and

systems that

obstruct the

change effort

I

Encourage risk

taking and non-

traditional ideas,

activities and

actions

4.Share the

vision

I

Use every

possible way to

communicate

the new vision

and strategies

I

Let guiding

coalition

members be

role models

for the rest of the

organization

3.Develop a

clear vision

I

Create a vision

to direct the

change effort

I

Develop

strategies to

realize the

vision

2.Create a

coalition

I

For a powerful

and influential

group to lead

the charge

I

Align this guiding

coalition to work

like a team

1.Establish

a sense of

urgency

I

Research

market

I

Analyse

competition

I

Identify

and discuss

(potential)

crises and

opportunities

7.Declaring victory too soon.It is OK to celebrate a won battle, but
the war may not be over. Until changes sink down deeply into the
culture and systems, it is too early to declare victory.

8.Not anchoring changes in corporate culture.Change sticks only
when it becomes ‘the way we do things around here’.

When to use it

Kotter stresses the importance of using the sequence in the eight phases.
After all, if the mission isn’t clear, then how can you possibly communi-
cate it successfully?
Different change efforts require different skill sets and attitudes. A
crisis change process requires a leader, rather than a manager. Very large
change efforts usually involve projects within projects, and projects with
evolving visions. For example, an organization might be in a crisis when
the change efforts start, but the end of the crisis is not necessarily the end
of change. The result of multiple stages in the change effort can be com-
plex, dynamic and very messy.
Kotter makes a clear distinction between management and leadership.
Management is a set of processes that can keep a complex system of
people and technology running smoothly. Leadership, on the other hand,
defines the future, aligns people, and inspires them to pursue that vision.
Kotter argues that too much emphasis is placed on managingchange,
whereas the key to success is in leadingchange.

The final analysis

Kotter notes that there are many more ways in which people manage to
make mistakes in efforts of change. In fact, even successful change efforts
are messy and full of surprises.
Anyone attempting to effectuate a change effort in an organizational
setting should consider Kotter’s model, if only for no other reason than to
prevent making the ‘usual mistakes’, and be able to face challenges spe-
cific to the particular change effort in full capability.

114Key management models

115

The big idea

Kraljic’s (1983) purchasing model and the variations developed over the
last decades help management select the most appropriate purchasing
strategies for different types of products, thereby optimizing the trade-off
between cost and risk. Costs include both the direct and indirect cost of
purchasing, for example, management time, trouble shooting and draw-
ing up contracts.
Two basic dimensions are included in Kraljic’s matrix:

Iimpact on financial result

Isupply risk (or uncertainty).

These two dimensions generate four quadrants, representing four cat-
egories of products:

Istrategic products

Ileverage products

Ibottleneck products

Iroutine products.

When to use it

There are essentially three steps to making a Kraljic purchasing matrix
for any company:

1.logical grouping of products

2.determining financial impact and risk

3.discerning purchasing categories in Kraljic’s matrix (drawing
the lines).

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