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Perspectives 2006
 
Organizational Transformation Issue—Winter 2006
 
Why Transform? The Transformation Imperative
The Federal Environment for Transformation
Increasing Competitive Fitness: Moving Towards the Adaptive Enterprise
The Crucible: The Jobs of Middle Management in Transformation
Measuring Organizational Performance
Transformation Reading List

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The Crucible:
The Jobs of Middle Management
in Transformation

Government organizations are transforming by overhauling their processes for creation and delivery of services, empowering the front lines to respond to citizens and constituents, racheting up expectations of all employees, integrating technology tools, radically shifting responsibilities and needed competencies, redefining and deepening their contractor and constituent relationships, and recrafting the way they do business. The middle manager works at the fulcrum of these profound changes. The success of transformation turns on the ability of the middle manager to translate for, communicate, negotiate, inspire, tinker with, and restructure his or her part of the organization.

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This article was published in the Winter 2006 issue of Perspectives.

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The Crucible: The Jobs of Middle Management in TransformationIn change management, much is made of the leader's role in setting the vision, communicating, engaging in the change, setting and maintaining expectations, and holding his or her lieutenants accountable. Much also is made of fostering action at the grassroots level—
empowering employees to act, taking advantage of their more exact knowledge of the customer and market trends, valuing employees technical expertise, and flattening the organization to quicken decision-making.

Grassroots action and leadership are essential to effective change. However, employee engagement in transformation efforts is dependent on the employees taking their cues from their immediate manager, seeing the transformation through the manager's eyes, witnessing the manager's struggle in coming to terms with the transformation and his or her role in it, and looking for the manager to interact and set direction. The ability of the leader to catalyze his vision into action rests on whether he has the active support or only the half-hearted assent of middle managers. According to Gallup and other sources, employee satisfaction is dependent on the manager-employee relationship.

During transformation, the engaged middle manager must make the hardest choices. It is most often the manager's decision to change a process that puts the jobs of a set of employees at risk because staff may not have the analytical skills to work effectively in the new process. And it is the middle manager's responsibility to communicate with those employees; to discuss the impact on their jobs; to provide the rationale, resources, and options available to employees; and to be firm about the changes while compassionate about the impact. If a function is identified as more efficiently and less expensively conducted by a contractor, the middle manager plays a role in that decision and is responsible for facilitating the transition.

Without the middle manager's engagement, the most valuable employees may walk out the door in reaction to the insecurity or lack of recognition in their jobs. Without the middle manager's direction, the employees may understand the broad vision at the organizational level, but never be able to make it operational for their own work, day to day, hour to hour. Without the middle manager's voice, employees may ascribe ill motives to the organization and its leadership to fill the information vacuum. Without the middle manager's relationships, contractors and constituents may become disenchanted as the methods or nature of their transactions shift as a result of the transformation.

A Manager's Role in a Transforming Organization

In ICF International's work with government agencies, the private sector, and nonprofit communities, we have found that middle managers play five essential roles in a transforming or transformed organization.

The Transformation Crucible: The Middle Manager's Roles

Click on each section to read more about the middle manager's roles.

(1) Manager as Information Conduit and Translator.

Managers play a critical role in translating and conveying information, meaning, and application to their employees. They are the conduit—the path through which a leader's intentions are made actionable during transformation efforts. However, the conduit is not a one-way path, but at least two directions, and frequently travels in multiple trajectories given the networked nature of the work of most organizations. Managers can reinforce messages with peers, project teams, consultants, contractors, and others inside and outside the organization. Managers can pass along information on employee reactions to transformation, consider reasons to adjust transformation projects as a result of credible employee objections, and push for developing clear directions when there is ambiguity in the transformation vision. Managers must step up, inhabit this role, and start talking. Leaders, project teams, and stakeholders must seek out the information managers to adjust and make their transformation projects more effective.

(2) Manager as Configuration Wizard – Part 1 (Processes).

Linear, horizontal organizational processes of the past created and delivered services with clear handoffs between departments and specialized job functions to complete each stage of the process. In contrast, these processes are anything but linear in a transformed, networked organization. Managers today have a wide array of tools in their toolkits to reinvent and manage their business processes. To be competitive and meet performance requirements, they need to weave together different kinds of work and workers (full-time employees, contractors, remote suppliers, service centers, temporary/detailee workers), resources, the capacity of all their different types of employees, technologies, suppliers, stakeholders, and customers in a networked process that creates value. This becomes a configuration challenge of matching the right set of skills and capabilities with the resources and necessary outputs at each stage of a networked process. This configuration role must include building in the sensing mechanisms so that the organization can adapt quickly to changing customer conditions and ensure that the system actors learn new information to apply in the next customer or production interaction.

(3) Manager as Configuration Wizard – Part 2 (Relationships).

In addition to configuring operations and processes, managers also must organize and structure the nature of their relationships across the constellation of the network. In supply-chain management, suppliers and contractors are stratified depending on their prices, quality of work, capacity, the history of the relationship, willingness to collaborate, ability to reciprocate with knowledge and innovation, and other factors. The suppliers with closer relationships cost more and reap greater benefits; those with more transactional relationships have less at risk, but do not receive the same benefits. Each transaction has the potential to deepen and make more vital the relationship or to weaken and compromise it. Absence or low-frequency interactions or transactions is an indicator of relationship atrophy. In working during transformations, managers must intervene to shore up or let go of relationships, internally and externally, as the short-term and long-term needs of their operations change.

(4) Manager as Interpreter.

A single, long-time customer complains about response time that has not increased. An isolated contractor describes a piece of technology another client organization is using to track projects and communicate more effectively. Middle managers work every day with employees on the front lines of customer, supplier, regulated community, and other networked stakeholder interactions. Subtle shifts in requirements, expectations, service quality, and needs happen in those interactions. The employees are the first to experience these changes—the manager the second. Employees engaged in the heat of the transactions between themselves and other members of a network frequently miss the patterns and larger meaning behind these highly nuanced changes. The manager is the one who can make those connections, recognize the patterns, and communicate them in a meaningful way throughout the organization. Transformations spring from these interactions, and their effectiveness is influenced by the changes in customer conditions—in workforce demographics, technologies, and supplier relationships. The manager plays the profound role of making these changes meaningful and actionable on the part of the organization.

(5) Manager as Appraiser.

Home appraisers assess the condition of houses, compare them to the local market, and develop and estimate price ranges for the houses. Managers play an appraisal role by constantly monitoring, adjusting, and enhancing the value their operations provide for, and the costs and resources invested. Managers must create, update, and maintain the specific measures that track how value is created for all the network participants involved in their operations. These appraisals not only include measuring cost and financial performance, but include balanced indicators, such as the quality of the supplier and customer relationships, the relative value created at each stage of operations, and development learning and its speed to application. During and after transformation, managers must create, update, and maintain the specific measures that track how value is created for all the network participants involved in their operations.

While organization structures are flattened to speed up decision-making and improve response time, senior executives leading transformations recognize the roles middle managers plan in making the transformations successful. Middle managers bring meaning, energy, and operational acumen so that the entire organization can attain the opportunities available in transformation initiatives.


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