Leadership and Human Resources
Sunflower Electric Power Corporation certainly had compelling circumstances that motivated management to pursue cultural change. Having recently undergone debt restructuring and charges of mismanagement and corruption, employee morale was at an all-time low. The major priority for the company was to completely change its corporation culture with a huge emphasis on interpersonal relationships.
The culture of Sunflower was a command-and-control culture characterized by authoritative and conservative leadership. This culture had encouraged turf wars among managers and had inhibited effective job performance. Sunflower's new CEO, Chris Hauck, undertook many initiatives to change the culture to a competence culture in which leadership is visionary, sets high standards and encourages people to achieved new heights.
Competence cultures, unlike command-and-control ones pursue excellence and innovation. However, resistance to change would make Sunflower's cultural evolution a challenging one. There are four basic reasons for resisting change (Greene, Adam and Ebert, 1995):
Economic factors - a threat to economic security, such as losing a job.
Inconvenience - a threat of making life more difficult, such as having to learn new ways of doing things that were formerly accomplished routinely.
Uncertainty - a threat of not knowing the implications of forthcoming change
Interpersonal relationships - a threat of disturbing or...
"Out-of-balance behaviors unique to competence cultures include: mistrust, secrecy, arrogance, fear of making or revealing mistakes, excessive financial incentives, emphasis on winning, refusing to consider odds of losing, selfishness, and ethics that take a back seat to cashing in quickly? (Schneider). Hauck had initially defined these types of management difficulties as people problems that would go away if individuals could "just be given the right psychological assistance to help them "fix" their personal shortcomings. But, with the help of outside consulting assistance, Hauck, would soon begin to realize that the problem was far more complex. The company would also need to understand what organizational triggers and perpetuates that cause misalignment and dysfunctional behavior. After examining Sunflower, the consultants concluded that Sunflower's work environment did not include any new coherent cultural values or norms of expected behavior.
Hauck's first course of action was to change his own controlling leadership style in favor of servant leadership in which he and his managers would be responsible for managing the assets of their members and helping employees to do…
