45

WILLIAM A. ADAMS AND CYNTHIA A. ADAMS

The Whole Systems Approach Using the Entire System to Change and Run the Business

Change is the law of life. And those who look only to the past or present are certain to miss the future.

—John F. Kennedy

A Privately Owned Enterprise

Carlson Companies, Inc., a privately owned, family enterprise, has more than 190,000 employees in 50+ countries providing services in travel, hospitality (hotels and cruises), marketing, and the restaurant industry. Top company leaders include second- and third-generation family members of founder Curt Carlson.

For 65 years, Carlson operated as a holding company with six distinct business units managing more than 16 brands, including Radisson Hotels and Resorts, Country Inns and Suites, TGI Friday’s, Carlson Marketing Group, Carlson Wagonlit Travel, and Regent Seven Seas Cruises. In 2003, Carlson leaders strategically chose to move from a holding company to an integrated operating company focused on the customer, as illustrated in table 1.

The changes have impacted every area and system of the organization. Since the official kickoff in February 2003, Carlson has realized substantial enterprise-wide and business unit results. December 2007 is the date for achieving a fully transformed organization, resilient and positioned to thrive over the next 65 years.

As Jay Witzel, CEO of Carlson Hotels Worldwide observed, “We’ve created a culture accustomed to change. Continuous change will be the methodology of the day. Long-term success means continuous change.”

Table 1. Carlson Companies, Inc., Moving to an Integrated Operating Company

Frequently Asked Questions

WHAT IS THE WHOLE SYSTEMS APPROACH? WHAT IS ITS PURPOSE?

The Whole Systems Approach (WSA)^sm is a framework for effectively weaving multiple organizational change initiatives into a well-designed, highly effective, coherent whole. The purpose of WSA is to achieve organization-wide change and large-scale employee engagement, buyin and results through enhanced leadership, and employee commitment and accountability.

The name itself—whole systems—goes to the heart of the approach. Every system within the organization is evaluated, created, modified or redesigned and then integrated and aligned. By filtering each system through the WSA framework, organizations can ensure the various parts are connected in a thoughtful, consistent manner to support employee engagement, effective leadership, and peak performance levels. Every stakeholder—including employees, vendors, management, contractors, and customers—is involved in the process.

WHEN AND WHERE IS THE WSA USED?

The WSA framework is particularly valuable when:

1. A need to fundamentally change or transform is evident;

2. A number of existing efforts require integration into a comprehensive whole;

3. Large-scale engagement/commitment of all constituencies is desired;

4. A new organizational focus is required;

5. A new possibility could potentially yield significant value or enhanced capability; and

6. Current efforts lack speed, results, or broad ownership.

WHAT ARE THE OUTCOMES FROM USING THIS METHOD?

The WSA framework focuses on:

• increasing leadership effectiveness,

• large-scale engagement

• creating changeable organizations, and

• producing exceptional business results.

Grounded in practicality, the WSA is centered on what works. When the blinders come off and people develop a sense of ownership, contribution, and significance, enthusiasm and heightened motivation become contagious.

As Al Pino, COO of First Security Information Technologies, Inc., observed, “I have never experienced anything so natural, tiring, rewarding, difficult, and, at the same time, energizing in my life. I feel very close to this work. It has created many opportunities for me. I find satisfaction in knowing I have expended everything I can for the values in which I believe.” Pino likened his organization to an elephant on an invisible chain. “Once we let go of our limiting beliefs, new possibilities were evident in every area of our organization.”

Companies investing in the WSA can expect to:

• accelerate the speed of change implementation,

• stimulate cooperation, engender commitment, and reinforce teamwork,

• generate organizational-wide ownership of efforts with all stakeholders,

• produce results that could not have been accomplished using traditional methods,

• develop organizational self-reliance and resiliency for sustaining a thriving organization, and

• achieve successful fundamental change and corporate reinvention.

Figure 1. Conditions of Thriving Organizations. Leadership is responsible for creating and maintaining the conditions that allow the organization to thrive.

Figure 2. Alignment Model. Line of sight is achieved by aligning the organization from organizational identity (mission/vision/values and strategy) to team and individual results.

HOW DOES WSA WORK? WHAT IS THE FLOW OR PROCESS?

This approach is centered on three core models and a systematic process, as shown in figures 1 through 4.

Through experience, we have found the application of these models within the context of the Phases of Transformation to be the most effective means of planning for and implementing transformation, from inception through implementation to running the business. The beauty of this approach is that any change methodology, small or large in scale, may be incorporated under the WSA umbrella.

Figure 3. Six Systems of Organizational Effectiveness. Six Systems ensures that the organization continues to be healthy and that changes are sustained.

Figure 4. Whole System Phases of Transformation. Four phases provide the process framework for transforming an organization and sustaining the changes once they are made.

Table of Uses

About the Authors

William A. (Bill) Adams ([email protected]), with more than 30 years of leadership experience, coaches and develops CEOs, presidents, and their teams to create a compelling vision and lead large-scale change and cultural transformation. His clients, Fortune 500 corporations to venture-capital start-ups, represent diverse industries. Coauthor of The Whole Systems Approach: Involving Everyone in the Company to Change and Transform Your Business, Bill holds an MS in interpersonal and organizational communication.

Cynthia A. (Cindy) Adams’s ([email protected]) primary talent is in guiding clients through all aspects of cultural and systems transformation, including work redesign, large-group conferencing, organizational development, continuous improvement, and customer service enhancement. Coauthor of The Whole Systems Approach: Involving Everyone in the Company to Change and Transform Your Business, she has worked with clients including GOJO Industries, Ameritech, and Michigan Consolidated Gas. She holds an MS in organizational management.

Where to Go for More Information

REFERENCES

Adams, Cindy, and W. A. (Bill) Adams, with Michael Bowker. The Whole Systems Approach: Using the Entire Organization to Transform and Run Your Business. Provo, UT: Executive Excellence Publishing, 1999.

Maxcomm’s Whole Systems Approach to Changing and Running Your Business Guide. Salt Lake City, UT: Maxcomm, Inc., 1999.

A comprehensive “how-to” manual documenting the entire changing and running the business process from a Whole Systems Approach perspective. The purpose of the guide is to create “a world of work where people thrive.”

INFLUENTIAL SOURCES

Gerstner, Louis V., Jr. Who Says Elephants Can’t Dance? New York: Harper Business, 2002.

Kaplan, Robert S., and David P. Norton. The Balanced Scorecard: Translating Strategy into Action. Boston, MA: Harvard Business School Press, 1996.

Wheatley, M. Leadership and the New Science. San Francisco: Berrett-Koehler, 1992.

ORGANIZATION

Maxcomm, Inc.—www.maxcomminc.com