Monday, 28 January 2008

Cultural Web Appiled to HRP

Cultural Web and HRP
Background
Organisational culture can have a huge impact on an organisation’s work environment and output. Much research done to pinpoint exactly what makes an effective corporate culture, and how to go about changing a culture that isn’t working.

Given:
•HRP’s move from being under a government dept (public sector) to a self-financing charitable trust (commercial entity although still with some government ties)
•The many changes and challenges this has brought
•The highly competitive environment of the “Days Out” tourism and heritage industry, and
•The financial difficulties HRP appear to be under
•Culture, its formalities and informalities and tendency to keep you stuck in the past
Then it can be argued there is a need for a paradigm shift.

Alan Coppin has tried to bring cultural change to HRP in his time there. Importantly, he kicked off a strategic review and planning process on his arrival and this produced the long term aim for HRP as well as the strategic goals. It is worth noting that he kicked the strategic review off on arrival rather than being drawn into the existing paradigm. Argued need to know what strategy is going to be before can change culture (Scheum).
The Cultural Web, developed by Gerry Johnson and Kevan Scholes in 1992, provides one such approach for looking at and changing an organization’s culture. Using it, you can expose cultural assumptions and practices, and set to work aligning organisational elements with one another, and with the organisation’s strategy. (Know what change levers to pull)

What is it


The cultural web is a representation of the taken-for-granted assumptions, or paradigm, of an organisation and the physical manifestations of organisational culture. (JOHNSON & SCHOLES)

Elements of the Cultural Web

The Cultural Web identifies six interrelated elements that help to make up the “paradigm” – the pattern or model – of the work environment. By analyzing the factors in each, you can begin to see the bigger picture of your culture: what is working, what isn’t working, and what needs to be changed. The six elements are:
SOFT – Stories; Rituals and Routines; Symbols
HARD – Power structures; Control systems; Organisational structure
1.Stories – The past events and people (heroes and bad guys) talked about. Who and what the company chooses to immortalize says what the org is all about.
2.Rituals and Routines – The way we do things around here /what is taken for granted.
3.Symbols – Visual representations of the company including logos, offices, titles, language, terminology.
4.Organizational Structure – Formal ways of working; reflect power structures; signal what is important.
5.Control Systems – The ways the organization is controlled. Include financial systems and rewards (including the way they are measured and distributed within the organization.)
6.Power Structures – The powerful managerial groups / individuals in organisation. Key is that these people have the greatest amount of influence on decisions, operations, and strategic direction.

How it works
Step 1 – Analyse culture as it is now (and complete cultural web). Work from the outside in in the web.
Step 2 – Think about how you want the culture to be (complete another culture web).
Starting from your organization's strategy, think about how you want the organization's culture to look, if everything were to be correctly aligned, and if you were to have the ideal corporate culture. Create a culture web – from the inside out this time! NOTE: likely to be working on and implementing the strategy at the same time.
Step 3 - Mapping the differences between the two:
Now compare your two Cultural Web diagrams, and identify the differences between the two. Considering the organization’s strategic aims and objectives:
•Identify strengths, weaknesses and misalignments.
•What factors will you encourage and reinforce?
•Which factors do you need to change?
•What new beliefs and behaviours do you need to promote?

Step 4 - Prioritize changes, and develop a plan to address them. NOTE: may look at Kotter’s “Eight Steps to Transforming Your Organisation (paper from lecture 5) to help with the plan. NOTE: possible the cultural web may be created to help Coppin communicate his vision (step 4 in Kotter). Also mix of Theory E (change based on economic value) and Theory O (change based on organizational capability) may help.

Identify the enablers and constraints. May be some neutrals too.
Constraints should be turned into enablers where possible. Enablers must be maintained and improved continuously to maintain CA.

Cultural web for HRP – you should draw it in the bubbles
HRP Pre 1998 – Public Sector Culture (State supported charity)
Where they were HRP Post 1998 – Self-financing Charitable Trust (but still linked to government)
What HRP want
Stories
Ivory Tower Stories
We have the strongest historic attractions brand
We’re on TV
Symbols
Yeoman Warder uniforms
State Apartment
Royal crest (on all publications) Symbols
HRP brands (likely to be individual palaces)
Yeoman Warders
Royal crest
?Less individual palace identity
?Status & dignity
Rituals & routines
Palace/department subcultures
Staff loyalty
Poor knowledge sharing
No IT
Conservation > Commerce
Lack creativity
“Status and dignity”
?Department rivalry
Rituals & routines
Openness
Knowledge sharing
Creativity throughout
Training / development
Conservation AND commerce
“Status and dignity”
?IT dept creation/expansion
?Reduced rivalry, no “them and Us”, only “us”
Organisational structures
Hierarchical, decentralized
Strong informal networks
Organisational structure issues (HR, Finance, Retail, Conservation)
Conservation focused

Organisational structures
Hierarchical, more centralized
Open communication
Balance between conservation and commerce
Finance important
Control systems
Conservation benchmarks
No consistent performance management system Control systems
Finance-oriented
Performance related pay and rewards
Power structures
Many stakeholders with heavy DCMS power
Conservation department (Ivory tower)
?Old fashioned relations with unions Power structures
No Red-tape
(?Weaker conservation) Responsible CEO, managers and Board
?Better communication with stakeholders & unions.
Paradigm
Status and dignity
State support
Defenders/conservators of heritage
Conservation > commerce
?Dept subcultures
?Informal networks Status and dignity
Self-financing charity
Promoters of heritage
Creativity, conservation AND commerce.
“Leaders in history”
?Centralisation
?Open communication
Comments on paradigms
Status & dignity is a constraint in several ways; donations can only be accepted from suitable donors and tacky, but profitable requests have to be turned down. Yet on the other hand the royal image and status and dignity might be the reason why staff is so loyal to HRP.
NOTE: Status & Dignity is possibly the single most important culture attribute of HRP, and although it is a constraint it is a unique asset at the same time, and very difficult to imagine HRP without it.
Self-financing charity: this is what they are but they could be doing without the numerous stakeholders breathing down their neck and the associated red tape.
Promoters of heritage: linked to fact they are self-financing – all very well being great conservators but need to actively promote the properties over many channels to gain some revenues and avoid insolvency!
Need the balance of creativity (lacking) and to get the conservators and marketing/retailing working together and understanding each other. Probably the biggest challenge and could take a long time.
Lastly, as Alan Coppin is leaving, need to think about the power structures. With Michael Day coming in, may be relevant to consider change again… Then again, paradigm shifts can take many years, may simply see a continuation of the process by Day. It is recommended that Coppin throughout the process takes some measurements such as customer and visitor satisfaction results so can gauge success.
NOTE: from a Miles and Snow perspective, may see a move from Defender type of culture (when under government) to an Analyser approach in the case study (they know they want to do things differently and are trying to find their feet).
?Drop in the Forcefield Analysis?
Advantages and disadvantages of Cultural Web approach
Strengths
•Comprehensive assessment of organisational culture.
•Helps understand the ease or difficulty with which new strategies can be adopted.
•Helps identify if the organisation has the resources/competencies to deliver.
•Identifies key areas of relevant expertise/knowledge within the organisation. Policies can then be developed to capitalise on this expertise.
•Feeds into change management and implementation planning
Weaknesses
•Time consuming and often neglected during the knowledge gathering phase.
•Assessment may not be objective if conducted by the managers of the organisation.
•“Change” costs money – HRP need to be careful given their financial situation.