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AIROI - Artificial Intelligence Return on Invest: The AI strategy for decision-makers and managers

19 August 2024

Mastering cultural transformation: KIROI step 4 for leaders

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A successful cultural transformation is essential for companies today in order to remain competitive and innovative in the long term. Managers play a key role in complex change in particular, as they act as multipliers, exemplifying the new values and behaviours and anchoring them throughout the company. The fourth step of the KIROI model shows in a practical way how managers can actively support and shape this change.

KIROI step 4: Managers as key drivers of cultural transformation

In the fourth step of the KIROI approach, managers take on the responsibility of making the new corporate culture visible and tangible. They act as role models and create a „nucleus“ of transformation that inspires and motivates other areas. This is not just about words, but about consistent action and changes in behaviour.

In practice, companies show that managers need to reflect on their personal attitude and be open to new ideas. In a manufacturing company, regular coaching sessions and workshops not only enabled the management level to integrate the new cultural values, but also to involve the entire team in agile working and collaborative decision-making. This created an atmosphere of trust that actively promotes innovation.

One service company reported that the visible role model function of managers made it easier for employees to change. Through targeted team coaching, a common understanding of appreciative behaviour developed, which improved both customer relationships and internal processes. Today, managers always make decisions with the new culture in mind, thereby promoting sustainable change.

In a medium-sized IT company, a development programme for managers was set up as part of the cultural transformation, which, in addition to individual coaching sessions, also strengthened the exchange within the management team. This programme helped the leaders to identify blind spots and develop a shared vision for the corporate culture. The result is a management collective that is agile, empathetic and future-orientated.

Concrete measures for managers in cultural change

In order to successfully accompany the cultural transformation, managers should implement the following steps:

  • Regular self-reflection: Critically question and adapt your own thought and behaviour patterns.
  • Show openness: Try out new things, see mistakes as a learning opportunity and actively promote change.
  • Act as a role model: Not only communicate new values, but live them consistently in everyday life.
  • Conduct team coaching sessions: Promote shared value development and constructive conflict resolution.
  • Strengthen communication: Transparent information about the change and involvement of all employees.

One B2B company used these measures to establish a culture of feedback. Managers regularly promoted dialogue and thus increased acceptance of the change throughout the company. The employees felt more involved and became active shapers of the change process.

Cultural transformation and the special role of leadership in change

Cultural transformation is not a one-off event, but an ongoing process. Managers are responsible for anchoring the new culture in the long term. This can only be achieved if they consistently live and promote the new values both in their leadership behaviour and in their decision-making practice. This is often challenging because old habits and organisational structures have to be overcome.

In cultural institutions, this change is often accompanied by co-creative processes in which managers work together with employees to answer questions on topics such as job quality, staff retention and innovative capacity. This creates a future-orientated culture that reduces resistance and supports sustainable development.

Managers in the healthcare sector are also demonstrating how cultural transformation can succeed. They initiated team workshops to promote values such as trust and appreciation. The shared guidelines help to build a resilient culture that strengthens the entire team and improves patient-orientation.

BEST PRACTICE with one customer (name hidden due to NDA contract) Managers from an international mechanical engineering company intensively supported the cultural change through individual coaching and team processes. In just a few months, a common mindset was established that promotes agility and innovation. The change was measurable in terms of employee satisfaction and product quality.

Tips for accompanying the cultural transformation for leaders

It is advisable for managers to approach cultural transformation with a clear plan and openness to iterative adjustments. The following starting points have proven successful:

  • Initiate a systematic dialogue about values, expectations and desired behaviour.
  • Understand cultural transformation as a learning process and promote continuous training.
  • Rely on transparent communication to reduce fears and resistance.
  • Promote networks within the company that act as multipliers for change.
  • Celebrate small successes to boost motivation and commitment.

These impulses support managers in increasing employer attractiveness and innovative strength. In this way, they create a corporate culture that proactively embraces change and becomes a competitive advantage.

My analysis

Cultural transformation is a profound and complex process that depends largely on the attitude and behaviour of managers. The fourth step in the KIROI model offers leaders valuable guidance on how they can effectively support this change. Leaders can shape a modern, agile and resilient culture through coaching, active role-taking and continuous reflection. Numerous practical examples show that such a cultural transformation supports the company's success, strengthens employee loyalty and increases competitiveness. Managers who take on this responsibility create the basis for sustainable change and future-proof organisations.

Further links from the text above:

Successful cultural transformation for companies

Mastering cultural transformation: KIROI step 4 for leaders

Cultural transformation - 4 steps and 4 networks

Managers as a catalyst for co-creative transformation

Cultural change in companies: Your path to the future

Cultural change: 6 effective steps

Corporate transformation: culture, processes & AI

Culture & leadership development

Conscious cultural transformation

Cultural transformation: tasks of the management

Cultural transformation - definition, procedure, example

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#compliance #Ethical guidelines 1TP5ManagersBalance #KIROI model #Cultural transformation #Sustainability 1TP5Corporate culture #Chains of responsibility #Change process

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