Change Narratives

This is an excerpt from my upcoming book, Organizational Psychology for Managers.

I live in a small town west of Boston. Halloween is a big deal here. It doesn’t matter which night of the week Halloween falls, that’s the night the kids are out trick or treating. Naturally, the kids prefer it when Halloween falls on a Friday or Saturday night so that they don’t have to worry about going to school the next day, but the idea of celebrating Halloween on the nearest Friday or Saturday night is anathema. Witches have more flight capability than the idea of moving Halloween. It just doesn’t happen.

My son, though, came up with a different approach: he asked me what would happen if there was a snow day on Halloween. Would that mean a full day of trick or treating?

“What are the odds of a snow day in October?” was my response.

I’ve always heard that it’s not nice to fool Mother Nature. The converse is apparently not true. In 2011, we got a Halloween snowstorm. Not only did schools close on Halloween, they closed for the next two days as well. So much for the odds.

But Mother Nature’s little treat quickly revealed itself as a trick: due to downed trees and power lines, Halloween was postponed, and ended up being the evening of a school day after all. Halloween moved and no one objected: when Mother Nature makes a change, it can be best described as, well, a force of nature.

A year later, we had Hurricane Sandy. Some towns kept Halloween on schedule, some moved it. The force of the story is very strong: Halloween is supposed to be on October 31st. Even though there was still storm damage, the cultural habits produced different results in neighboring town. The kids, of course, made out like bandits: they got to go trick-or-treating twice!

This is the problem most organizations face when it comes to implementing effective and lasting organizational change. So long as enough force is applied, the change will happen. As soon as the force is removed, people revert to their old behaviors. They might not even wait for the force to stop. Sometimes a crisis can force permanent change, as happened at IBM when Lou Gerstner took over. A crisis can also force the sort of permanent change that happened at DEC: they were acquired by Compaq. Waiting for a crisis to force a change to occur is a very risky way to approach organizational change.

In chapter one, we discussed the process of unfreezing a culture in order to make change possible. What we are going to look at now is how change affects the narrative of the organization and how to frame the changes in the context of the existing narrative. Not only does change reactivate all the issues we’ve already discussed, it introduces a whole new set of cocnerns that need to be addressed if you want people to become active agents of change instead of opponents of it. While these new questions can manifest in a variety of ways, the seven canonical versions are:

  • What will this do to the organization?
  • How will my place in the organization change?
  • How will this affect my job?
  • Will I still enjoy working here?
  • Will this hurt our product quality?
  • Will I still measure up?
  • Would I be able to get a job in this new organization?

Let’s look at each of these questions individually.

What will this do to the organization?

In other words, “I have an image of the organization, based on the vision and the stories and my experiences here. What is going to happen to that organization? Will I still be proud to work for the new organization?”

Fundamentally, people base their perceptions of the organization on their experiences. The organization is as they have found it to be. The longer they’ve been there, the more deeply immersed they are in the culture of the organization. It’s become something solid, something predictable. Now that is all changing! Like living in California during the Loma Prieta earthquake, it’s very disconcerting to have the solid ground under your feet suddenly not feel quite so solid. For several weeks after the quake, whenever the cat jumped on the bed, I would awaken bolt upright. Don’t make change in your organization feel like that!

In constructing the story for why change needs to occur, we have to connect the existing values of the organization to the new values. It’s a sequel, not a completely new story. People need to be able to see that at the end the values of the organization and the underlying culture they are part of will still be there. They may be different, but they’ll be there. By connecting the dots, by telling the story of how the current values and vision are transforming into the new values and vision, people can feel comfortable with the change, rather than worried or anxious. Anxious people resist; comfortable people join in the process. Resistance is a sign that you’re going too fast.

If there are organizational values or processes that are going to disappear, again, connect that to the story. You’ll recall that in chapter one, we discussed the process for getting employees to convince themselves that change in necessary. In inviting people to talk about why the current situation isn’t working, include those things that are changing: “How is this process getting in the way?” “What are two or three better ways of getting this done?” Your goal is to have people telling you why the values or processes need to change or disappear, rather than you fighting to convince them.

In conducting serious organizational change, sometimes a few sacred cows need to become hamburger. The less sacred they are when that happens, the easier it is for everyone to swallow.

How do I create the rest of the story?

This is an excerpt from my new book, Organizational Psychology for Managers

In creating the rest of the story, we need to recognize some basic facts: people operate in their own perceived best interest and people preferentially choose higher status over lower status. The problem is that we don’t always know what they perceive their best interest to be, and we don’t necessarily know how someone measures status. However, we do that there are certain things people seek in a job, be that volunteer work or their careers. To paraphrase psychologist Peter Ossorio, when people value a concept or an ideal, they will value and be attracted to specific instances of that ideal. The goal, therefore, is to understand what you offer along the dimensions of things people value. Understanding what you offer along each of these dimensions is critical to being able to construct an organizational narrative that will attract the right people to the organization, provide the framework in which motivation can occur, and maximize your chances of creating a highly motivated, loyal, productive work force: it’s not enough to merely provide opportunity; you have to make sure people both know that the opportunity exists and believe it’s worth chasing.

We need to start by recognizing that everyone is the hero of their own story. We all have dreams, hopes, and aspirations for the future. When the job we are doing fits into our self-narrative, we feel connected and excited. The work matters, it’s helping us get where we want to go. Note that this doesn’t mean that you need to hire a college graduate straight into the role of CEO in order for them to feel heroic; that would be foolish on many levels. Rather, people will work hard at even menial jobs provided those jobs provide a path to something bigger. Conversely, high profile jobs with lots of perks won’t hold someone who feels that, even in such a role, they are relegated to being a bit player or an interchangeable component. Nobody likes being the sidekick forever. People want to feel important, as if they matter as individuals. People who feel like cogs in the machine disengage.

Next, the story has to be exciting, or at least interesting. It has to hold our attention, particularly in today’s distraction filled world. What we are doing has to matter sufficiently that it’s what we’ll choose to do because it matters, not because we’ll get yelled at by the boss or fired. Remember, you might find writing software to be the most boring thing imaginable, but most software engineers find it incredibly enjoyable. In building your narrative, you need to understand at least a little bit about the people you want to attract so that you can speak to them in their language. That means that you will have multiple overlapping stories for different parts of the organization and different jobs within it. Generic stories attract generic people.

In building the story, there are then six key elements that we have to consider: the variety, or lack thereof, of the skills a person will be called up to use; the visibility of a task; the importance of a task; how much autonomy or supervision the person will have; how they will receive feedback; opportunities for growth; and safety. Frequently, we will have to balance different competing values of at least some of the first five elements. A lack of a path for growth, however, never goes over well. A lack of safety, itself a rather complex subject, can undermine everything else.

What Is Organizational Narrative?

This post is an excerpt from my upcoming book, Organizational Psychology for Managers.

Humans are pattern-matching creatures. We are built to try to make sense of our environment. Indeed, as more than one psychologist has observed, we see patterns even when they aren’t there! This tendency toward pattern-matching is a very powerful tool, though, because it enables us to impose structure on our environment. If we’ve done a good job of imposing structure, we can not only make sense of what is happening now, we can make reasonably accurate guesses about what will happen in the future. In fact, our ability to impose order and identify patterns is a big part of what enables us to think and plan strategically.

Culture, you will recall, is a device for making the world predictable. It tells us what to do when. Structurally, what we have is a narrative: in a certain situation these actions led to these results or these actions expressed these values, and that’s why we do things that way today. Quite simply, we impose a narrative structure on our own experiences and those of the organization. Consider how many of our metaphors reflect this view: “turning over a new page,” “starting a new chapter in our lives,” “taking a page from his book,” and so forth.

This narrative structure is so powerful that many people will ignore information that doesn’t fit the narrative: for example, there are still many people who believe that Humphrey Bogart said, “Play it again, Sam,” in the movie Casablanca. He didn’t, but he should have. It’s a much better line than the one he actually says.

This narrative structure helps us understand, or at least explain, our own lives: Elizabeth Loftus, a psychologist and Harvard professor, is also the world’s expert on memory. She believed that this stemmed from her experience of repressing her memories of discovering her mother’s drowned body in the family swimming pool. She later recovered her memory of the event and, over the course of a few years, the rest of the details came back to her. It made sense; it explained her fascination with memory. Then one of her relatives told her that she hadn’t discovered the body, her aunt had. Other relatives confirmed this. The memory expert had, herself, created a false memory and believed it because it made sense.

Organizational stories are most obvious in older organizations, be they corporations, religious institutions, professional groups, and the like. However, even small organizations, including start up companies, quickly develop their own organizational narratives. Indeed, the question is not whether you will develop a narrative, but who will do it. Will you define your narrative or will others define it for you? If you don’t define your own story, you can be certain that your competitors will be only too happy to do it for you. All too often, companies allow themselves to accept default stories about their business and then wonder why they are seen as “just like everyone else.”

Think about how often you’ve heard someone talk about your company’s “story.” We assemble incidents into chronological events and draw lessons from those events. The following three snippets play out in organizations all the time:

“Bob ignored his assignment to deal with what he felt was a serious problem and the boss fired him even though Bob was right.”

“Bob ignored his assignment to deal with what he felt was a serious problem. The boss saw what Bob did, and thanked Bob for saving the company money.”

“Bob stood up to the boss, the boss was going to fire him for insubordination, but the boss’s boss said, ‘Hey! Bob just saved the company a ton of money! What is wrong with you?’”

Each of these stories teaches a different lesson about how to behave. The first says never argue with the boss. The second says you should bring up problems. The third says that if you bring up a problem and your boss doesn’t appreciate hearing it, don’t worry, his boss will see that justice is done. I saw this one play out in just my first few weeks at IBM after I graduated from college. When Bob’s boss was subsequently reassigned to a remote branch office, that cemented the lesson that employees should act on serious problems.

The problem with most organizational stories is that they just happen. Events occur and are assembled after the fact into stories that current employees tell one another and pass along to new hires. These stories become part of the background, repeated often without really thinking about it. Frequently, the lessons taught to new employees are not the lessons management thinks are being taught. Taking control of the process, however, can dramatically improve organizational performance in all areas.