SwitchPoints - Judy Johnson - E-Book

SwitchPoints E-Book

Judy Johnson

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Beschreibung

SwitchPoints is the inspiring story of how Canadian National Railway (CN) advanced from good to great in a few short years–becoming North America's top-performing railroad and a favorite with of corporate customers and investors. In it, the authors reveal how company-wide culture change propelled this aging transportation giant to become the profitable powerhouse it is today. Rich with insights and anecdotes, SwitchPoints offers lessons that can be applied to any organization seeking to improve the bottom line by improving their culture.

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Seitenzahl: 350

Veröffentlichungsjahr: 2008

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Table of Contents
Praise
Title Page
Copyright Page
Dedication
Foreword
Preface
Getting the Most from This Book
Acknowledgements
Introduction
The Culture of Early Quits
A New Trip Plan
Switchpoints
Spiking the Switch
PART I - BUILDING ONE OF NORTH AMERICA’S TOP RAILROADS
CHAPTER 1 - The Road to Best-in-Class
1830: Pioneering Days
1919: Nationalization
The 1980s: Deregulation
1992: Organizational Redesign
A Quick Change
1995: Privatization
The Right Leaders for the Job
1998: Precision Railroading
2003: Passing the Reins
CHAPTER 2 - Culture Change on the Fast Track
Acquisitions
Buying Other Cultures
The Challenge
The Results
The Trip Plan for Culture Change on the Fast Track
PART II - CLARIFYING THE VISION
CHAPTER 3 - CN’s Five Guiding Principles
CHAPTER 4 - The Culture of Precision Railroading
The Organizational Culture Continuum
The Spectrum of Employee Engagement
The Role of Organizational Leaders
Washing Out the Mud in the Middle
PART III - CHOOSING THE RIGHT SWITCHPOINTS
CHAPTER 5 - How to Change CN’s Culture?
Culture Equals Behavior
CHAPTER 6 - Creating a Culture of Discretionary Performance
What’s in It for the Employee?
CHAPTER 7 - Creating Q4 Leaders to Drive Change
Culture Change Begins with Leadership
The Q4 Leadership Model
How Did CN Create Q4 Leaders?
Changing Your Style Isn’t Easy
Building Leadership Fluency
PART IV - SELECTING THE TOOLS FOR CHANGE
CHAPTER 8 - The Science of the ABCs
It’s All about Behavior
The ABCs of Behavior
The ABCs Make Fundamental Sense
CHAPTER 9 - The Commanding Power of Consequences
Timing
Importance to Recipient
Probability of Recurring
Where Does the Consequence Come From?
Which Consequences Should I Use?
Consequences and Culture Change
Authors’ Note: Doing the Right Thing with the ABCs
CHAPTER 10 - The ABC Toolkit
The Five-Step Model
PART V - ALIGNING THE SWITCHES
CHAPTER 11 - Finding a Champion
A Quiet Tryout in Capreol
“I Hate Consultants!”
CHAPTER 12 - Testing the Business Case
Pilot 1: Partnering in Memphis
Pilot 2: Partnering in Capreol (Northern Ontario)
Pilot 3: Partnering in Transcona (Winnipeg)
Learnings from the Pilots
We Did What We Said We Would Do
A Skeptical Hunter Gives the Nod
CHAPTER 13 - Gaining Visible Sponsorship: The CEO’s Essential Role
“How We Work and Why”
Addressing the Naysayers
CHAPTER 14 - Learning from a Strike
Spiking the Switch
Start with the Supervisors
CHAPTER 15 - Planning the Trip
Going to Rome (and Paying for It)
Implementing the ABCs CN-Wide
Selling the ABCs to the Operating Regions
I Love Your Passion, But . . .
Managing the Pull
Deployment Wasn’t All Rosy
CHAPTER 16 - Making the Case for Change
The Case for the ABCs
Spreading the Word
Answering Four Basic Questions
CHAPTER 17 - Expanding Sponsorship
Example 1: Visiting Sites to Set the Stage
Example 2: Sponsoring a Safety-First Culture
Example 3: Personally Walking the Talk
PART VI - ASSESSING SWITCHPOINTS’ IMPACT
CHAPTER 18 - Applying the ABCs: Dressed & Ready
Guess I’ll Have Another Coffee . . .
Another Switchpoint
The Science behind the Change
Of Course There Was Resistance!
“I Can’t Ask My Friends to Do That!”
The Rewards of “Dressed & Ready”
CHAPTER 19 - Early Wins with the ABCs
CHAPTER 20 - Demonstrating Q4 Leadership Through the ABCs
“More Work? Are You Nuts?!”
Improving Reliability: Getting KIST
Understanding Q4 Leadership—by Knowing What It Is Not
CHAPTER 21 - Life or Death Leadership
A Grim Tale
Safety and Culture Change
Developing Safety Programs
Zero Tolerance and Why
CHAPTER 22 - Sawing Our Way to Improvement
Tackling Old Problems in New Ways
Reducing Overtime
“Improve” Can Even Mean Tossing Old Paper Files
Formalizing the Opportunity
PART VII - SPIKING THE SWITCHES
CHAPTER 23 - Leadership Competencies to Support the Change
Accountability and Importance
The New Competency Framework
Leadership Equals Bonus
The New Power of Performance Reviews
CHAPTER 24 - Performance Scorecards for Unionized Employees
Doing the Unthinkable
Executing EPS
Communicating EPS
Then Came the Problems
Rollout for Success
Supervisors: I Didn’t Know That!
EPS Was Another Switchpoint
CHAPTER 25 - Learning through the Railroad MBA
The Railroad MBA
Railroader Undergraduate Programs
CN Is a Destination, Not a Job
Today North America, Tomorrow the World
CHAPTER 26 - Hunter Camps Develop Leaders
Expanding the Impact
Learning from the Master
Twelve Characteristics of Leadership
Leadership Is about People
Some Campers’ Views
CHAPTER 27 - The Power of Consistency (17 out of 17)
Inconsistency in the Rules
Inconsistency in Applying Rules
Inconsistency Breeds Opportunity
Be Consistently Flexible
CHAPTER 28 - Developing Internal Consultants
Why Internal Consultants?
Transitioning from CLG to Internal CN Consultants
Selecting the Right People
Developing Internal Consultants
Reality Hits
The Value of Internal Consultants
CHAPTER 29 - Sustaining Culture Change
Preventing Backsliding
Techniques for Sustaining Change
Examples of Sustainability
CHAPTER 30 - Sharing Our Story
Sharing with Our Customers
Sharing with Our Suppliers
Sharing with Our Competitors
Sharing with Our Communities
CHAPTER 31 - Improving Relations with Our Unions
The 2007 UTU Strike
When to Say Yes, When to Say No
Confronting a Long Legacy
The United Steelworkers
Improving Labor Relations
What CN Brings to the Bargaining Table
The Future
PART VIII - LEARNING FROM OUR JOURNEY
CHAPTER 32 - Top 10 Tips for Leaders Using the ABC Methodology
Tip 1: Manage Your Culture
Tip 2: Measure What You Value
Tip 3: Challenge, Disagree, and Then Make the Decision
Tip 4: Focus on Behavior You See or Hear at Work
Tip 5: Ask “Would You, If Your Life Depended on It?”
Tip 6: Transition from Good to Great Performers
Tip 7: Deal Quickly with Poor Performers
Tip 8: Get Face-to-Face
Tip 9: Balance Your Use of Consequences
Tip 10: Manage the Learning Curve
CHAPTER 33 - The Culture Change We Achieved
Ten Lessons Learned from Our Switchpoints
CHAPTER 34 - The Final Word
The Transformation
What Lies Ahead
Where We Are Now
The Trip Is Not Over
Notes
About the Authors
About the Companies
Index
Praise forSwitchPoints
No other serious book on leadership and change management has been able to so successfully combine organizational science, business, and good storytelling. The authors’ use of data-driven science and real-life storytelling draws the reader into the fascinating world of railroads and the men and women who have such an impact on our lives. Down-to-earth examples compellingly highlight their fundamental ideas and principles.
SwitchPoints illustrates how to transform the culture of an organization and gain the much-needed organizational and people alignment essential to transforming a struggling or average company into a truly great and consistent performer.
Here are the tools, both credible and practical, that can focus a company’s collective efforts by streamlining what is important: how to align people, priorities, and capital—an easy-to-understand common-sense approach to getting people to align actions and activities with a common set of goals.
—John W. Coyle, COO (retired), Trigon Healthcare Inc. and Aetna U.S. Healthcare
Brilliant and thought-provoking. Best book I have read on how to change a company’s culture and start tapping the talents of all your people. An organized and readable how-to manual with a practical approach. Filled with clarity and powerful insight.
—Jim Grossett, Senior Vice President of Human Resources, Agrium Inc.
SwitchPoints requires little translation from railway stories to a large corporate arena. With different process challenges and similar people issues, effecting and sustaining behavior change is the most difficult thing we face as leaders. CN and CLG share the nuts-and-bolts tools used to turn a struggling enterprise into an industry leader. Be prepared to update your current business plan with ideas, tools, and methodologies proven in SwitchPoints.
—Capabilities Director, Fortune 100 Financial Services Company
SwitchPoints delivers a compelling story of the value of doing all the basics really well, and by doing so, achieving extraordinary success—for shareholders, customers, and employees.
The book delivers excellent lessons on how to engage employees in total alignment with a company’s mission, how to train them, stay the course—and in doing all of these things, achieve noteworthy success in distancing CN from its competitors. It’s an easy read, blending personal anecdotes with good academic theory, and grounded in commercial reality.
Well done—congratulations to CN, to Hunter Harrison, its steadfast CEO leader, and to the authors. There is something in SwitchPoints for everyone—from people starting careers all the way to veteran executives. A great story!
—Doug Tough, CEO, Ansell Healthcare LTD
A road map to achieving enhanced results for shareholders—and employees. The power of the ABCs [behavioral science] is made clear through specific examples. This book will help you analyze your situation by closely examining the secrets of a tremendous success story. It’s a must-read for leaders who desire a high-performing team like no other!
—Michael D’Ambrose, Senior Vice President, HR, Archer Daniels Midland Company
Through the powerful story of CN, SwitchPoints offers a valuable point of reference for all leaders who are working in an environment that is experiencing or is in need of change. I have found myself revisiting the various models outlined and applying them to current issues I was dealing with in my organization—a clear sign to me that this book makes an impact. Regardless of the industry you work in, I highly recommend it.
—John Silverthorn, Senior Vice President, Human Resources
Any leader who longs to transform the organization from a low-performance culture to a high-performance culture should pay close attention to the lessons of CN’s transformation, as told in this book. CN achieved spectacular results from its frontline workforce, not by inventing new ideas, but by brilliantly executing the fundamentals we are all familiar with. It focused the behavioral change directly on measurable business results. It invested thousands of hours of hands-on coaching to help frontline supervisors become better performance managers. And it harnessed the sustained commitment from the CEO and other senior leaders. SwitchPoints tells a rare and compelling story of a company that really did it.
—Helen Handfield-Jones, President, Handfield Jones Inc.
SwitchPoints captures the leadership philosophy of CN’s dynamic CEO, Hunter Harrison, and the approach his team employed to engineer one of the most successful corporate turnarounds in recent history. Few believed CN could survive, much less become a thriving, world-class example of best-in-class practices across business disciplines. Hunter quarterbacked the team, which built and sustains a successful business enterprise, practices corporate responsibility with diligence, and respects employees and partners while never losing sight of customers.
Every organization and corporate executive can benefit from the principles, practices, and lessons contained in SwitchPoints. The LPGA’s course, which includes substantial business model and organizational change, is clearly benefiting from the CN journey and the example it teaches.
—Carolyn F. Bivens, Commissioner, Ladies Professional Golf Association
This is a book about a great railroader, Hunter Harrison, and the incredible results he and his team have achieved at CN. It is about a largely self-educated man who has been a continuous learner all his life. Hunter thinks outside the box and has a charismatic personality and good judgment. Most business leaders talk about the importance of people, but as this book illustrates, Hunter lives and breathes it, and the rewards from such a commitment to people are obvious at CN.
Hunter developed Five Guiding Principles which became the major component of CN’s strategy. The fifth Guiding Principle is people, and Hunter is of the view that if you get the people thing right, the first four Guiding Principles look after themselves. If you want to see the importance of having easily understood strategies and an incredible ability to execute, read this book.
—Purdy Crawford, C.C., Osler, Hoskin & Harcourt
This eye-opening book puts you into the vision and work being done at CN. I could relate to their vision, issues, and concerns while applying their techniques to my own environment and culture.
You can feel the engagement of the people and understand how the foundation was being built. It shows the real-life experiences, risk-taking, leadership, and vision being pulled together to satisfy the customer and grow the business. Most books tell what was done and recommend what you need to do, then leave you hanging. This book does not do that. It offers the tools used to achieve success. This book can be understood by and be helpful at every level in an organization.
—Gary Cook, Facility Leader, Owens Corning Glass Metal Services
I found this book refreshing and thought-provoking. SwitchPoints will help me become a better leader.
—Dean Moll, Vice President, Continuous Improvement, Pepperidge Farm, Incorporated
We have all admired the revolutionary speed with which CN has become a legend in the industry, and wondered just how this achievement was realized. SwitchPoints provides the answer. It also provides a blueprint for other organizations to follow. In true Hunter Harrison fashion, SwitchPoints describes the arcane use of behavioral science tools with fascinating and inspirational stories. Anyone who reads SwitchPoints and is not motivated to apply the same principles to their own organization has jumped the switch.
—Don Krusel, President & CEO, Prince Rupert Port Authority
In addition to tracing the near-term evolution of what arguably is the best-run railroad in North America, SwitchPoints serves as a primer for propagating culture change in the far-flung, steeped-in-history environment that is this thing called railroading. But you don’t have to be a railroader to reap what this book sows. The story is supported by data and case study-like anecdotes detailing the enlightened journeys that various CN managers and employees have taken during the past few years. And it is sprinkled with drop-dead candor from CEO Hunter Harrison. SwitchPoints is a blueprint for would-be change agents at organizations of any size or ilk. It’s a living, breathing benchmarking tool that strategic thinkers can use as they attempt to chart their own continuous improvement courses.
—Pat Foran, Editor in Chief,Progressive RailroadingMagazine
So many important themes and ideas in one small package! It is not easy to change the direction of an enterprise, especially one where the existing ways of operating are so deeply engrained. CN has succeeded in an arena where most fail. “If you accept what you believe to be your limitations, you’ll never become better.” If you want to improve, and succeed with dramatic change, read this book!
—Paul Juniper, Director, Industrial Relations Centre, Queen’s University
Change is the only constant in today’s business environment. This fact, while readily accepted by leaders, often results in poorly conceived and executed change initiatives—leading to a frenzy of debilitating organizational activities. SwitchPoints is a fascinating story of the opposite—an inspiring success story. It is a powerful documentation of successful culture change on the fast track as CN moves on a journey from a grand old railroad Crown Corporation, with all its entitlements to a publicly owned company requiring rigorous business acumen and laser-focused performance. This in-depth account of CN’s journey will be immensely valuable to corporate leaders facing the change challenge.
—Dr. Anne Golden, C.M., President and Chief Executive Officer, The Conference Board of Canada
Many talk about changing culture or transformation, but few actually do it. SwitchPoints is an outstanding chronology of how CN fundamentally transformed itself. More than a case study, it is based on pragmatic principles for sustained change. These ideas can be adapted to any executive wanting to shift employees from cynicism to commitment. It shifts culture change from academic ideas to concrete behaviors. It will return far more than the 2:1 results improvement it advocates.
—Dave Ulrich, Professor, University of Michigan Ross School of Business, and Partner, The RBL Group
SwitchPoints details the transformation of a stodgy, government-owned railroad from a perennial poor performer nicknamed “The Pig” to one of North America’s most efficient, well-run businesses.
The book highlights the importance of having a leader who understands the contribution of operations to the success of any railroad. Hunter truly knows the railroad business, having begun his career in an entry-level position as a teenager and working his way through almost every position and level of management in the industry.
Hunter was aided by a human resources department and a consulting group that helped implement his vision across their system. His vision is that everyone in the company should understand the importance of operations. The company’s financial results reflect that vision.
SwitchPoints encapsulates one of the great turnaround stories, not only of the railroad business, but in all of North American business.
—Dick Davidson, Chairman (retired), Union Pacific Railroad Company
SwitchPoints stands as a testament to the commitment of Hunter Harrison to maintain CN as a premier transportation company.
The book provides insights into his straightforward approach to being an agent of change, adapting principles of behavioral science to real life inside the rail industry. Methods to drive change such as the “ABC” approach are well illustrated, and business leaders may be intrigued by the Consequence Pyramid.
The change of culture within CN—through leadership training, employee development at all levels, and measurement feedback—makes for a worthwhile read.
—Kelley Anderson, UPS Corporate Transportation
I enjoyed reading SwitchPoints. The book reminded me of my first meeting with Hunter, which almost turned into a fight. Hunter turned out to be a straight-talking, sincere man. We are both passionate about safety and training—he gave me his word to fix many of the issues we raised, and he delivered. Our respective teams have worked hard to do the right things for CN and our members, including resolving long-festering issues. When leaders decide to work together for a common good, it is a powerful combination. It starts with mutual respect and integrity. We took the first important steps at that first meeting.
—Leo Gerard, International President, United Steelworkers Union
The book is absolutely practical, full of examples. It is a testament to all the best practices from CLG. Its content applies to any business in any sector.
—Stéphane Boisvert, President, Enterprise Group, Bell Canada
Copyright © 2008 by Continuous Learning Group, Inc. (CLG). All rights reserved.
Published by John Wiley & Sons, Inc., Hoboken, New Jersey. Published simultaneously in Canada.
No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, scanning, or otherwise, except as permitted under Section 107 or 108 of the 1976 United States Copyright Act, without either the prior written permission of the Publisher, or authorization through payment of the appropriate per-copy fee to the Copyright Clearance Center, Inc., 222 Rosewood Drive, Danvers, MA 01923, (978) 750-8400, fax (978) 750-4470, or on the web at www.copyright.com. Requests to the Publisher for permission should be addressed to the Permissions Department, John Wiley & Sons, Inc., 111 River Street, Hoboken, NJ 07030, (201) 748-6011, fax (201) 748-6008, or online at http://www.wiley.com/go/permissions.
Limit of Liability/Disclaimer of Warranty: While the publisher and author have used their best efforts in preparing this book, they make no representations or warranties with respect to the accuracy or completeness of the contents of this book and specifically disclaim any implied warranties of merchantability or fitness for a particular purpose. No warranty may be created or extended by sales representatives or written sales materials. The advice and strategies contained herein may not be suitable for your situation. You should consult with a professional where appropriate. Neither the publisher nor author shall be liable for any loss of profit or any other commercial damages, including but not limited to special, incidental, consequential, or other damages.
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• Consequence PyramidSM
• DCOM® Model
• E-TIP AnalysisSM
• Discretionary PerformanceSM
• Fluency ModelSM
• Q4 LeadershipSM Model
• SaFESM Curve
Library of Congress Cataloging-in-Publication Data:Switchpoints : culture change on the fast track for business success / Judy Johnson . . . [et al.]. p. cm. Includes index.
eISBN : 978-0-470-44943-1
1. Canadian National Railways—History. 2. Railroads—Canada—History. I. Johnson, Judy, 1971- HE2810.C14S95 2008 385.065’71—dc22 2008022841

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