Fall 2008 issue of Horizons

GENERAL TOPICS

Leadership in a Changing World “There is nothing more difficult to take in hand, more perilous to conduct, or more uncertain in its success, than to take the lead in the introduction of a new order of things.” The Prince, Niccolo Machiavelli – 1532 Change is one idea that by nature instills automatic resistance within most of us. However, change is as necessary today as it was centuries ago because of the economic and cultural influences that require us to be better, faster and smarter than our competition. Those organizations that do not successfully embrace change not only find themselves in a position where healthy growth and profitability is a figment of the past, but oftentimes find themselves on a path to certain failure in the future. RubinBrown Internal Audit has partnered with many organizations to successfully transform their businesses. These changes range from re-engineering individual business processes to a complete reorganization of the people, processes and systems of the organization. These companies have set the tone to drive change into the very fabric of their organization. They have turned a negative situation into positive action that is embodied from the highest executive to the most entry-level position. As a result, we would like to share with you the five best practices used by those leaders of change. By Kristin Parshay

1. Define the Vision Themost meaningful changes that move an organization forwardare not those that aremade individually but those that are made as a team. The success of the team lies in the ability of the team’s leader to inspire every member to bring his or her best each day. A leader will not be successful in inspiring his/her team if the team is not focused on a defined vision. A defined vision becomes the center of the team’s ability to make the decisions necessary in the execution of meaningful change. 2. Establish Clear and Honest Communication It is human nature to fear the unknown, and the responsibility of the organization’s leadership is to eliminate the unknown by establishing an environment that supports clear and honest communication. Communication must be a two-way process in which ideas and concerns communicated from the bottom up are addressed with the same vigor as the expected response to the top-down communication from the organization’s leadership. 3. Set Meaningful Milestones To achieve sustained change, it must become part of the organization’s culture. Sustained change, by definition, requires continuous focus; however, employees must have meaningful milestones to work toward; otherwise they will lose sight of the end goal. Make the achievements visual by continually posting the metrics to show the continuous improvements. 4. Align Incentives One of the most successful tools to inspire your team into action is to give an employee a meaningful stake through defined incentives in the successful execution of established milestones. 5. Provide Continuous Guidance and Support Meaningful change is not achieved without the team facing a series of barriers in its execution. A successful leader is a vital resource in assisting his/ her team in remaining focused on the goals and not on the problems by providing continuous guidance and support in identifying the solutions to break through those barriers.

11 ◆ fall 2008 issue