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The Beginning

1.1 Introduction

One of the major areas of focus in industry today is that of improving equipment reliability. Why? To insure that production is always available to meet the demand of the marketplace. One of the worst nightmares of any company and those who manage it is to have a demand for product but not be able to supply it because of equipment failure. Certainly this scenario will reduce company profitability and could ultimately put a company out of business.

For some firms, poor reliability and its impact on production are far more serious than for others. For those that operate on a continuous basis – they run 24 hours per day seven days per week – there is no room for unplanned shutdowns of the production equipment; any loss of production is often difficult or even impossible to make up. For others that do not operate in a 24/7 mode, recovery can be easier, but nevertheless time consuming and expensive, reducing profits.

Many programs available in the industry are designed to help businesses improve reliability. They are identified in trade literature, promoted at conferences and over the web, and quite often they are in place within the plants in your own company. Most of these programs are what I refer to as “hard skill” programs. They deal with the application of resources and resource skills in the performance of a specific task aimed at reliability improvement. For example, you decide that you want to improve preventive maintenance (PM). To accomplish this you train your workforce in preventive maintenance skills, purchase the necessary equipment, and roll out a PM program accompanied with corporate publicity, presentations of what you expect to accomplish, and other forms of hype in order to get buy in from those who need to execute it. Then you congratulate your team for a job well done and move on to the next project.

Often at this juncture, something very significant happens. The program you delivered starts strongly, but immediately things begin to go wrong. The work crews assigned to preventive maintenance get diverted to other plant priorities; although promises are made to return them to their original PM assignments, this never seems to happen. Equipment that is scheduled to be out of service for preventive maintenance can’t be shutdown due to the requirements of the production department; although promises are made to take the equipment off-line at a later time, this never seems to happen. Finally, the various key members of management who were active advocates and supporters at the outset are the very ones who permit the program interruptions, diminish its intent, and reduce the potential value. Often these people do make attempts to get the program back on track, but these attempts are often half-hearted. Although nothing is openly said, the organization recognizes what is important, and often this is not the preventive maintenance program.

I have simplified the demise of the preventive maintenance program in our example. Yet this is exactly as it happens, although much more subtle. In the end, the result is the same. Six months after the triumphant rollout of the program, it is gone. The operational status quo has returned and, if you look at the business process, you may not even be able to ascertain that a preventive maintenance program ever existed at all.

For those of us trying to improve reliability or implement any type of change in our business, the question we need to ask ourselves is why does this happen? The intent of the program was sound. It was developed with a great deal of detail, time, and often money; the work plan was well executed. Yet in the end there is nothing to show for all of the work and effort.

Part of the answer is that change is a difficult process. Note that I didn’t say program, because a program is something with a beginning and an end. A process has a starting point – when you initially conceived the idea – but it has no specific ending and can go on forever.

Yet the difficulty of implementing change isn’t the root cause of the problem. You can force change. If you monitor and take proper corrective action, you may even be able over the short term to force the process to appear successful. Here, the operative word is you. What if you implement the previously-mentioned preventive maintenance program and then, in order to assure compliance, continually monitor the progress. Further suppose that you are a senior manager and have the ability to rapidly remove from the process change any roadblocks it encounters as it progresses. What then? Most likely the change will stick as long as you are providing care and feeding. But what do you think will happen if after one month into the program you are removed from the equation. If there are no other supporters to continue the oversight and corrective action efforts, the program will most likely lose energy. Over a relatively short time, everything will likely return to the status quo.

The question we need to answer is why does this happen to well-intentioned reliability-driven change process throughout industry? The answer is that the process change is a victim of the organization’s culture. This hidden force, which defines how an organization behaves, works behind the scenes to restore the status quo unless specific actions are taken to establish a new status quo for the organization. Without proper attention to organizational culture, long-term successful change is not possible.

Think of an organization’s culture as a rubber band. The more you try to stretch it, the harder it tries to return to its previously un-stretched state – the status quo. However if you stretch it in a way that it can’t return and leave it stretched for a long time, once released it will retain the current stretch you gave it and not return to its original dimensions. That is going to be our goal – to figure out how to stretch the organization, but in a way that when the driver of the process is out of the equation, the organizational rubber band won’t snap back.

1.2 Why I Wrote This Book

I have been involved in the world of change management for sometime. Quite often I have been involved in projects that were well planned and executed and then, when attention was turned to other initiatives, they disappeared in the blink of an eye. I as well as a great many others had difficulty understanding why this happened. Were the projects or effort ill conceived? Not really. They addressed specific business needs and had the potential for delivering value to the company. Were they poorly designed and not rolled out to the organization properly? No, some of the smartest people I know were involved in many of the efforts. Was the organization out to destroy the effort? Actually when these projects were rolled out, there usually was a lot of enthusiasm and interest from the organization. So what was the cause of the failure?

Some of the work I did on my last book, Successfully Managing Change in Organizations: A Users Guide, explored the causes by examining the eight elements of change – leadership, work process, structure, group learning, technology, communication, interrelationships, and rewards in a holistic fashion via The Web of Change. From this and other work I have done, I recognized that properly addressing the eight elements was very important. But beyond these there are two concepts that are critical success factors to the longevity of any change. These are readiness and sustainability.

Coupled with my book and workbook was a training program using my concepts to help deliver successful change. However, as I developed training plans, I recognized that in training people to use new ideas and concepts, readiness and sustainability were two important drivers for success. However, knowing this raises a question. Why are readiness and sustainability required to help implement newly-learned ideas in a plant or any other setting?

It was around this time that I had several discussions with other change practitioners. Although they were not talking about readiness or sustainability, it was clear that both of these elements were an important part of a much larger concept. This concept focused on the need to change the organization’s culture in order to successfully implement new initiatives.

This raised questions in my mind. What is organizational culture and why do you need to change it to have a successful change process implementation? To answer this question, I began doing research on the topic of cultural change. What I discovered is that the concept is talked about, but what it really is and how you go about changing it was not crystal clear. In my search, I again ran into three types of books on this subject, as I had found during my research on my previous book. These books included CEOs describing how they made change at the senior management level; books by academics who explained the concept, but in ways not applicable to middle management; and consultants with many good ideas, some of which were available in the book, but others that required a fee for services.

The conclusion – if you really want to have successful change, changing organization culture is critical, but practical information for those of us in middle management who have to make it happen is lacking.

As a result of my investigation, I found the same motivation for this book as I did for my last book. What I have tried to create in the chapters that follow is a book designed for those of us in middle management who are faced with the day-to-day task of implementing successful change; we need to understand how to change culture so that the initiatives that we are being asked to implement are not only successful at the outset, but provide long-lasting change for the business.

The goal of this book is to show you how to change the culture in order to promote readiness, sustainability, and ultimate success for whatever initiative you are rolling out to the organization.

1.3 Who Can Benefit

Changing the organization’s culture in order to promote long-lasting change benefits everyone from the top of the organization to the bottom. It benefits the top by providing a solid foundation on which to build new concepts, behaviors, and ways of thinking about work. To accomplish radical changes in how we think about or execute our work requires that those who are part of the culture support it. Senior management can only take this so far. They can set and communicate the vision and they can visibly support the effort, but the most important thing they can do is empower those in the middle to make it happen.

As middle managers, we all know that we have many more initiatives on which to work than there is time in the day (or night). This spreads our focus. If we don’t collectively embrace the new change, then no threat, benefit or any other motivational technique will make the change successful over the long term. Although this book can help educate senior management so that they can empower the rest of us, its real benefit is for middle managers. It will help them understand this very complex concept in a way that will enable them to deliver successful change initiatives.

Just as with Successfully Managing Change in Organizations: A Users Guide, I have been unable to find a book that I believe adequately explains the concept of organizational culture to those of us in the middle who are asked to change it. This book provides middle managers with “how to” guidance for cultural change,” targeting reliability improvement.

There is also benefit for those at the bottom tier of the management hierarchy. The term bottom is not meant to demean this roll because this is where the “rubber meets the road.” All cultural change and their related initiatives end here. This is where all of the plans, training, and actual work to implement end. If it doesn’t work here – failure is the outcome. The benefit of this book for you is that this book, unlike any other out there on the market, explains the concepts of cultural change in a manner that is clearly understandable and applicable to the difficult task you have in front of you every day.

1.4 Why Is This Book Different?

When I first heard the expression organizational culture, I had no idea what it meant. What I later learned was that the people telling me that we had to “change the organization’s culture” were not completely sure either. They sensed that, in addition to the skills we were trying to impart and the processes we are trying to change, there was something more basic that, if not addressed, had the potential to impede or even totally destroy what we were trying to accomplish.

The problem was that we were not entirely clear on what that something actually was, yet we knew it was there. As I did more research and questioning of others, I became convinced that people are very much aware of this key ingredient, yet most are not sure how to define it and get their arms around it. There is a general lack of clarity about the concept of cultural change, what is involved to successfully accomplish it, and what parts need to be addressed if one is to be successful.

This book will demystify the concept of cultural change. It will explain organizational culture in a way that will make the concept clear to everyone. As a result, it will enable people to know what to ask for, what to do, and how to implement changes to the very fabric of the organization for sustainable improvement over the long haul.

The book is unique not only in that it makes a complex process easily understood, but it also brings into the equation the eight elements of change and shows how they relate to and support the concept.

To add one other benefit, this book is focused on a specific aspect of change in the work place, namely equipment reliability. There are many books on this subject, but none that tie the concept of cultural change to that of improving reliability of plant equipment.

1.5 What Is Included?

If you have read my book Successfully Managing Change in Organizations: A Users Guide, you will recall that there are many topics that I addressed in detail such as vision, the Goal Achievement Model, outcomes and impacts, and a methodology for portraying the health of your change process through The Web of Change. All of these topics are pertinent to the study of cultural change; although I will reference them, I will refer you to my previous book for the details.

Also in Successfully Managing Change in Organizations: A Users Guide, I discussed the eight elements of change. Each of these – leadership, work process, structure, group learning, technology, communication, interrelationships, and rewards – is important in its own right, but collectively they are even more important in how they relate to one another. In my prior book, all eight elements were addressed in two chapters. This was the short version, but it served to help the reader understand the concept and the connectivity between the elements. In this book, as you will see in the chapter synopsis below, I have addressed each of the elements in its own chapter and will tie them closely to the theme of this book – organization culture and cultural change.

I will also provide you with a tool, The Cultural Web of Change, to assess the progress you are making towards changing the culture of your organization. In this way you will be able to identify the gaps. Then using Change Root Cause Failure Analysis (C-RCFA), you will be able to take corrective action to get your process back on track. This tool will be described in Chapter 17 and is included on the CD at the back of the book.

In addition, the CD contains a file (with voice) providing the reader with an oversight of the topic and material contained in the text. This presentation will help you and those within your company get an initial understanding of the content.

The chapters that follow should prove to be interesting and enlightening. They will include real examples of my own and those of key individuals with whom I discussed this topic so you can get a broader perspective on the issues.

Chapter 1 Getting Started

This chapter opens up the topic of organizational culture as it relates to plant reliability. In Successfully Managing Change in Organizations: A Users Guide. I discussed the eight elements of change. This book takes the next step and introduces the glue that binds the eight elements together – culture.

Chapter 2 Culture Defined

The first step towards understanding culture is to define it. This chapter does just that and introduces the four elements of culture – values, role models, rites and rituals, and cultural infrastructure. These will each be addressed separately in Chapters 4 through 7.

Chapter 3 The Need for Vision and Goals

Equally important in the study of culture are the concepts of vision and goals. The vision sets the overall strategic direction that the firm intends to pursue over the long haul. The goals, or in our case the Goal Achievement Model, is how you get from where you are to where you want to be. These two concepts are foundational and are what an organization’s cultural change process is built upon.

Chapter 4 Organizational Values

Organizational values are how a company communicates to its employees what is important. It enables the workforce to be able to make the right decisions when faced with a number of choices. This chapter provides clarity to this topic.

Chapter 5 Role Models

In the area of work performance, what gets measured gets done. The same maxim applies to human behavior. In this case, how the boss or senior management behaves gets modeled or replicated by those in the organization. Role models are a critical aspect of culture. In changing a culture, specific behaviors need to be instilled in the organization. Because we know that people model behavior of the leadership, these individuals play a crucial role in promulgating the new and specific cultural behaviors.

Chapter 6 Rites and Rituals

Rites and rituals are the third major component of organizational culture. They are two separate concepts but ones that reinforce each other. As defined by Deal and Kennedy in their landmark text Corporate Cultures, rituals are how things are done, not just the major things, but all things. Rituals communicate to everyone the accepted behavior within the context of a company culture. Rituals can even exist at the sub-culture level, but they provide the same level of employee behavioral guidance. Understanding rituals is the key to understanding how to change them.

Rites, the second component, are how the company reinforces acceptable behavior. A grasp of both of these and how they support one another is a good first step towards cultural change.

Chapter 7 Cultural Infrastructure

This chapter introduces a very important concept in the review of organizational culture. The cultural infrastructure is an invisible set of processes that help to shape organizational behavior and communication. If you don’t understand and pay attention to these forces, you will discover that changes you want to institute take a lot longer than expected and some, in spite of all of your efforts, do not get done at all

Chapter 8 Introduction to the Elements

This chapter bridges the discussion in my last book, Successfully Managing Change in Organizations: A Users Guide and the more detailed and culturally focused discussion of these elements in this book. The eight elements are the same, but this book will explore each in more depth and focus on how they individually and collectively support cultural change.

Chapter 9 Leadership

Leadership is the most important of the eight elements. Chapter 9 is written in two major parts. Part 1 provides you with a broad understanding of the term leadership and how it is applied. Part 2 focuses on leadership as a critical part of the eight elements of change and how it impacts the four elements of culture.

Chapter 10 - Work Process

Work process has actually has three parts – information flow, the actual flow of work, and the flow of materials in a company. The first of these three components will be addressed in the chapter on communication. The third will not be a topic in this text because it ties more closely to a text on logistics. However the second component is key to cultural change. The reason for this is that, in many ways, the processes associated with doing work differently are exactly what cultural change is all about. This chapter will discuss ways to change culture by changing the work process.

Chapter 11 - Structure

How organizations are structured is often the difference between success and failure. Structure defines in many ways how things get accomplished. Reporting relationships and how functions are tied together are very important in changing a culture. This chapter looks at structure with a cultural focus and shows how to support change by the proper structural alignment.

Chapter 12 - Group Learning

One aspect of successful cultural change is tied to how we develop goals and initiatives, how we work to accomplish them, and most importantly how we learn from our outcomes and then re-apply what we learn to enhance our future work efforts. Nothing in the world of change happens linearly. We execute, review the outcome, and then make adjustments. This chapter will explore both single and double loop learning as it relates to cultural change.

Chapter 13 - Technology

In our case, technology applies to software applications that support work processes. In the maintenance and reliability arena, these applications usually are the computerized maintenance management systems and others that support the process. Technology in this context is an integral part of the cultural infrastructure by supporting or not supporting how things get done. Technology also plays an important supporting part in the organization’s business rituals.

Chapter 14 – Communication

This chapter addresses how information flows throughout the organization. This is important because work can not be accomplished successfully without proper communication. Neither can any change in organizational culture. Communication is the heart of the matter; without it, a culture can not be altered.

Chapter 15 - Interrelationships

Like communications, interrelationships help or hinder how things are accomplished in business. This element touches all four parts of the cultural model. Our discussion in this chapter will deal with understanding interrelationships and being able to apply this understanding to changing culture.

Chapter 16 - Rewards

Everyone knows that what gets measured gets done. How we reward what gets done is equally important. If we measure to get people to pay attention to specific outcomes and then reward or reinforce appropriately, we will have increased the likelihood of these new behaviors continuing. Conversely, inappropriate rewards can have the exact opposite effect.

Chapter 17 The Web of Cultural Change

This chapter describes and explains the use of the cultural web model. This web diagram has the same spokes as that used in Successfully Managing Change in Organizations: A Users Guide. However, it is focused on the cultural aspects of the eight elements. The questions to complete the web diagram will be in the appendix and on the CD provided at the back of the book

Chapter 18 Assessment and Corrective Action

Having taken the cultural web survey and developed the diagram is only the first step. To successfully alter the culture the reader needs to conduct a cultural root cause failure analysis (C-RCFA). This will identify areas for improvement in multiple elements of the web and position the reader to make the necessary changes. This chapter will explain how this analysis is done.

Chapter 19 Moving Forward

Change is not a one-time event. If the organization is in a continuous learning mode, then it makes changes, evaluates the results, and positions itself to make further changes. This is the realm of continuous improvement or cultural evolution – always improving on what you have created. This chapter closes out the book with a brief recap of what was discussed and encouragement for the task at hand.

1.6 Navigating through the Book

Ideally this book should be read from front to back; the material is presented in a manner that provides you with information that acts cumulatively to build your understanding of organizational culture. This information includes the four elements that describe culture, the concept of vision and the Goal Achievement Model, the eight elements of change, and, finally tying it all together, a discussion of the Web of Cultural Change.

However, the reader may wish to jump around and read chapters out of order based on their immediate and specific areas of interest. For these readers I offer a road map of the book in Figure 1-1. All of the chapters are labeled as well as the way in which they tie together. This should provide you with the tool you need to navigate your way through the text.

1.7 Getting Started

As with any effort, getting started is often difficult. However, the value in a successful effort is well worth the time, energy, and commitment required. The reason behind this is that you are not just changing the way a process is executed, or a procedure is followed. By changing the organization’s culture, you are in essence changing the very nature of the company. This book addresses this change of culture in a general sense that can be applied across many disciplines. But more specifically, it is targeted towards changing the culture as it pertains to reliability. If we are successful in this arena, the result will be a major shift in how work is performed. In addition, a culture that is focused on equipment reliability reaps other closely-associated benefits. These include improved safety and environmental compliance. Both of these are tied closely to reliability in that reliable equipment doesn’t fail or expose a plant to potential safety and environmental issues.

Changing a culture to one focused on reliability also has spin-off benefits in many other areas. Reliability or the concept of things not breaking can easily be applied to other processes that are not related to equipment efficiency and effectiveness.

However, this type of change is very difficult. After all you are trying to alter basic beliefs and values of an organization. These are the behaviors that have been rewarded and praised in the past and may even be the reason that many in the organization were promoted to their current positions. Change may also seriously affect people’s jobs because things they did in the past may no longer be relevant in the future.

I hope that you will find this guidebook useful, not just as a place to start or as a text to provide the initial information for your effort, but also as a book which will help you through all the phases of the process and into the future. I wish you success in your efforts and offer you this quote from Nicolo Machiavelli. Read and think about the message. It clearly describes the work you are about to undertake.

“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, because the innovator has for enemies, all of those who have done well under the old conditions, and luke-warm defenders in those who will do well under the new.”


Figure 1-1 Book navigation

Improving Maintenance and Reliability Through Cultural Change

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