The Wisdom of Teams: Creating the High-Performance Organization
Jon R. Katzenbach and Douglas K. Smith
McKinsey & Company, 1993
ISBN 0-87584-367-0

(p. 196)

"We believe that four fairly straightforward questions--two about
magnitude and two about readiness--can help companies determine the
degree to which they face major change:

1.  Does the organization have to get very good at one or more basic
things it is not very good at now (e.g., new skills and values)?

2.  Do large number so people throughout the entire organization have to
change specific behaviors (i.e., do things differently)?

3.  Does the organization have a track record of success in changes of
this type?

4.  Do people throughout the organization understand the implications of
the change for their own behaviors and urgently believe that the time to
act is now?

A 'yes' answer to questions 1 and 2 and a 'no' to 3 and 4 indicate a
major change situation. ... managing major change requires a set of
actions diametrically opposed to those of normal managerial approaches.

normal change involves managing exceptions and outlying events while
allowing the 'system' to take care of the bulk of the work

major change requires working directly on what most people do day to day
because that is the only way to foster new behaviors, routines, and
capabilities.

normal change involves monitoring established routines and processes to
ensure that the acieve the purpose for which they are designed.

major change requires intentionally derailing and finding replacements
for such activities.

normal management involves relatively limited risk taking at the point
where the cost and value of products and services are determined,
especially at the customer interface.

major change demands risking new approaches and experimentation aimed
directly at the most critical activities of the company itself

First...nearly every promising major change effort appears to attack
change along three critical dimensions:  top-down culture-shaping
initiatives, bottom-up goal achievement and problem-solving initiatives,
and cross-functional redesign and integration initiatives.  Second, the
leading change efforts have moved along all three dimensions
simultaneously and iteratively instead of sequentially.  Third, and most
important, teams have played a critical role in all three dimensions.

(p. 209)

"During periods of major change, the performance aspirations of a
compnay depend on many people throughout the organization learning new,
specific values and behaviors.  The most effective efforts
simultaneously provide top-down direction, bottom-up goal achievement
and problem-solving actions, and cross-functional systems and process
redesign.  In addition, two other patterns distinguish the best major
change programs.  First, all initiatives taken are driven by performance
results.  A new organization structure, a new management information or
compensation system, or even a new strategy do not become ends in
themselves, but rather are means to the end of balanced performance. 
Second, the underlying performance goals of the change programs or
processes themselves practice the behavioral changes they are trying to
bring about.  If new levels of customer service are critical to
performance, for example, then the change programs emphasize the
identification, practice, and measurement of specific customer service
behaviors from the outset.  They do not just train people in preparation
for better customer service and then sit back and wait for good things
to happen."

(p. 211)
Behavioral Changes Demanded by Performance in the 1990s and Beyond

From                        To
Individual Accountability   Mutual support, joint accountability,
                            and trust-based relationships _in
                            addition to_ individual accountability

Dividing those who think    Expecting everyone to think, work, and do
and decide from those who
work and do

Building functional         Encouraging people to play multiple roles
excellence through each     and work together on continuous improvement
person executing a narrow
set of tasks very efficiently

Relying on managerial       Getting people to buy into meaningful
control                     purpose, to help shape direction, and to
                            learn

A fair day's pay for a      Aspiring to personal growth that expands
fair day's work             as well as exploits each person's abilities