Mondi’s Global Leadership Training Program (Customer story)

Mondi’s Global Leadership Training Program (Customer story)

Mondi’s new global leadership training program will be launched in the fall of 2017. The program will focus on intercultural leadership and the preparation of leaders for international challenges. We talked about the program with Birgit Höttl, head of The Mondi Academy and Helena Gutierrez, MDI Training & Development consultant. They explained the benefits for the company, the complexity of the topic and gave some tips for the successful transfer of intercultural content.

 

What were the main reasons for the development of the Global Leadership Program?

 

Birgit Höttl: As a globally operating company we often send out our managers to other countries, for example as part of the integration of new plants. It is important that managers who come to a new country have a sense of what intercultural leadership means and what risks are involved. With our new training we want to create awareness for cultural differences and show the participants what they have to keep in mind when they come to a new culture, one which is maybe completely different than the own one – especially when it is about leadership. An integration phase is already a stressful time. If a leader doesn’t have a feel for the new culture, particularly during such a stressful time, many things can go wrong – such as loss of time, friction loss and in the end can lead to something like financial loss.

 

So does it mean that the program is a preventive measure?

 

Birgit Höttl: Yes, prevention is one focus of the program. We want to help our managers to better understand others cultures and their ways of working. We want to support the global mind-set of our managers in general. Mondi is globally operating and we all work in a world that is growing together. This is why we want leaders with a broader view and who have intercultural sensitivity. In relation to their leadership mind-set they should have a holistic approach to leadership and think globally.  “Think global, act local” is a good example of explaining it.

 

Intercultural competence is an important skill at Mondi and at the same time the core of the new program. What makes a manager at Mondi culturally competent?

 

I think that it is important to get some information about the foreign country in the first place and to compare your own values with the values from the foreign culture. This makes someone cultural competent. Another thing is to recognize and reflect your own learning fields. This gives you the chance to work on them and enables you to meet your own expectations as well as the expectations of the company and your future employees.  Self-reflection is therefore something that is important in a culturally competent leadership.

 

Does this mean that cultural competence is more a mind-set than a toolbox?

 

Not only – I think that it definitely starts with a mind-set because you have to be open for the new culture and start to compare their values with your own. It is important to show openness for new cultures, perhaps as well a healthy curiosity for how things work in the foreign culture and what you can learn from the people there. An open mind-set is not enough. You need a toolbox you can go back to as well, tools that help you to apply and implement things. The right mixture of mind-set and toolbox is therefore important for cultural competence.

 

 

Intercultural competence can be a sensitive topic in terms of stereotypes. How do you avoid clichés?

 

I think that in training like this – you may not necessarily use stereotypes – but you must emphasize certain things. However it should not remain on this level – it is important to provide the participants with practical examples such as exercises to get them out of their comfort zone as well as personal experience reports from participants. This creates a truly practical work environment. In the pilot training, employees from many different cultures were involved as well as managers who already gained international experiences as expats. This was a very valuable and important contribution that made the training work and implementable without sticking to stereotypes.

 

Keyword comfort zone: the new program should get the participants out of their comfort zone to develop new skills. How does this work exactly? 

 

You need practical exercises to get out of your comfort zone. I can especially remember the exercises which had insecurity as their basic motive. The good thing about such exercises is that you get out of your comfort zone relatively fast because you do not know what is going on and how to react. No basic rules were made in the beginning – the participants were thrown into the deep end. This reflects very well what can happen when you are not informed about the habits and values of the new culture. Exercises like this demonstrate how misleading and dangerous it can be to go unprepared into such situations.

International leadership development

Exercises which have insecurity as their basic motive get you out of your comfort zone very quick – which is a very good learning effect

How did the participants like the pilot training?

 

They liked it very much! They particularly enjoyed the exchange of information with other participants who have already gained international experience. But of course – and that is the reason why we have a pilot training – there are some things we have to refine a little bit. Perhaps we must even add more of those “uncomfortable” exercises to the training – our employees like hands-on exercises such as the ones we had in our training. All in all the feedback was very positive. One sales director liked it even so much that he is now offering the training to his team – apart from the training we offer.

 

What would have been different without the pilot group?

 

This is hard to say because we always have a training with a pilot group before the complete roll-out. The participants of the pilot training are people with a lot of experience. In this way we are able to get really good, critical and constructive feedback.

 

Is this a measure you would recommend?

 

Yes, definitely. The training can be designed by a professional training provider and can be in line with the shareholder’s expectations: the practical implementation will always differ from the actual plan. This is why I would always make a test run first – it simply enables quality assurance.

 

What has to be done until the launch in September?

 

We will advertise and change and adapt certain things – based on the feedback from the pilot group. Afterwards we can start with the international roll-out.

 

In the end a look into the future: what must happen that Mondi considers the program as successful?

 

Well, it is successful when the participants recommend this program to their colleagues afterwards – positive word-of-mouth is always a sign of success.

We asked our consultant

Helena Gutierrez is MDI Training and Development Consultant for Mondi’s program. We asked her some questions as well.

 

From a training provider’s point of view: What was the most challenging task in designing this new Global Leadership Training Program?

 

The most challenging thing was to come up with the right learning transfer strategy, mostly because the employees of Mondi are very well equipped with a lot of soft skills and a lot of training in their pockets. We wanted something that would not only take them out of their comfort zone but also offer them a deeper look into culture and to show them what it really takes to be an outstanding leader in the global environment. It was not an easy task but because we are not dealing with ‘rookies’, success was achieved.

 

How did it work out? Would you say that there is a key to really developing and strengthening such skill as “intercultural competence”?

 

I think it worked out really well plus the feedback was clearly fantastic. The key: Mondi’s got it!  People at Mondi are willing to get out of their comfort zone, they are open for challenges and growth. That is the success factor: Mondi goes the extra mile. They act with global understanding and they want to learn from best practices. That’s one key success factor why this training is so successful.

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Where does the need for this agile method come from?

Our today‘s VUCA world (note: VUCA = Volatility, Uncertainty, Complexity, Ambiguity) is constantly changing. For a company, this means that it must be more flexible and future-oriented to cope with future challenges in the best possible way. One opportunity is to implement a new as well as approved method. OKR exists for over 10 years already and is used by companies such as Google, LinkedIn, and Twitter. However, the method is relatively new and unconventional.

OKR is an agile system and has a 100% transparent framework which helps you to set the right focus, to use resources in an output-oriented way, to make the right decision at the right time and to rethink about your tasks and goals.

  • O’s (Objectives) – describe the target state
  • KR´s (Key results) – describe concrete measurement criteria -> the „how“

A journey to Nice

To visualize this method, I would like to share a story with you I heard about in my OKR-Master training.

Imagine you and your friends spontaneously decide to go to the South of France. Everybody wants to have fun and wants to enjoy some unforgettable spring days together. Everyone gets on the bus. This is your vision. 

Now you have to find the strategy how to get there: do we take the highway or the country road? Both have advantages, both involve some risks – you have to decide. Let’s say you take the country road because it is more charming. But: many people say that the French do not build any traffic lights. Instead, they have roundabouts, one after another. Additionally, there are no detailed signposts, only some with the next big cities such as Paris. So if you want to go to the South of France you have to decide at every roundabout, approx. every 500 meters, where to go. Sea or mountains? Somewhere quiet or fancy? You decide that you want to go to Nice. Therefore you have a focus as well.

Journey to Nice OKR

In the past, you had maps which you could get in advance (alias business plan). But the road network and driving conditions are constantly changing. For your trip you have to get along with the idea of being in an uncertain situation: is the road passable when we get there? For sure we drive at full speed between the roundabouts. After 500 meters we can decide again which exit to take, which way to go. Perhaps to the excellent winery? But if we do so, we have one day less to spend at the beach – so should we leave it? Or does it start to rain? Now the thought and decision could be: before we spend some rainy days in Southern France, we rather go to the winery.

There are so many possibilities, again and again. The important thing is to make a common and flexible decision

Sources: Murakamy

OKR in a nutshell

Let us summarize where there are parallels between the story and the OKR thus for the company context:

  • The vision is fixed but vague: a vacation in Southern France – in the company for instance: biggest supplier for the product x in area y.

 

  • A focus is essential: trip to Nice – in the company for instance: focus on sale, focus on promotion or maybe the focus on product development

 

  • The intermediate goals to realize the vision – the O’s, objectives – are constantly redefined: for the journey, for example, you have to decide at every roundabout which way to go. For a company, this could mean: which market do we focus on? Which department has the greatest leverage effect? What is the preferred product? In the story, you have to make a new decision every 500 meters. In the company, new decisions are made every 3 months at the leadership meeting. Participants are the management and representatives from various divisions.

 

  • Key results are derived directly from the objectives and are measurable: in consideration of the current resources, concrete key results are defined up to the next quarter. On the way to Nice, this would be the tank filling and the fuel price, a decision about the winery or the tires of the car. In the company, there are concrete actions: sales training, advertising campaign, product redesign and so on.

 

Implementing OKR in the company

In contrast to many other agile methods, it doesn’t make sense to implement OKR in only a few teams or departments. There would be conflicts between the OKR and regular system regarding resources and objectives. A policy decision and commitment from the management are essential to implement the system successfully in a long-term.

Those are many:

  • The company’s vision, mission, and strategy will be transmitted into short-term and therefore achievable steps
  • An understanding of the big picture is given to every employee
  • Rise of the clarity and understanding in the daily business
  • Motivation through participation
  • 100% transparency leads to better communication (everyone knows everybody’s tasks and can understand their objectives)
  • Concrete and ongoing success measures
  • Clear instructions are possible even with short resources.

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Euphoria on the one and uncertainty on the other hand: In terms of agile leadership you can see great enthusiasm and thirst for action on the market. More and more companies are playing with the thought of implementing agile methods. However, if you ask for more detailed information, many people are uncertain about what this agile concept really is and how meaningful it is for their company. Here are a few thoughts from three different perspectives: the one from an individual, a team and an organization.

 

Agile leadership picks up speed

In my opinion there are three resons why agile leadership picked up so much speed in the last few months.

First of all, companies and teams are becoming more and more aware that they can no longer rely on the state of facts, at least not in the long-term. This means that not everything which is right today, will be right tomorrow. That is the reason why companies need to find a way to react quickly to changes and learn what is relevant and what is not.

The second aspect why this topic is currently gaining importance is that the increasing complexity and uncertainty of the market and the entire company-, product-, and brand world. To be future-oriented, companies must not only be flexible but also try to create innovation and products or services under complex circumstances. By letting people from different teams work together, companies are hoping to find the best solution to this challenge. Interdisciplinary work is a key factor of agile leadership:

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The third reason is a changed view of the leadership culture in general. In the last few years, it has become clear that people want to think and work more independently than they have been allowed to in companies with classic hierarchical structures. Just think about the generation Y and the upcoming generation. The classical understanding of leadership is no longer contemporary. Modern work demands new models and approaches. Agile leadership is one of them.

 

Implementation of agile leadership: top-down or first in the team?

 

When we talk about agility, we generally talk about three levels: the individual level, the team level and the organizational level. Companies must first weigh up whether and how agile methods can be meaningful for them. In this way they can avoid rushing into this topic and subsequently fail with the implementation. Therefore it is important to know that agile leadership does not always have to be introduced throughout the whole company in order to be successful. In the beginning it can make sense to introduce it only to particular teams or divisions. Especially if a team has to deal with very complex and different tasks or has to cover up different topics. The level of complexity is an indicator that makes agile methods either meaningful or not.

 

If the company’s goal is an agile corporate culture, a top-down approach is certainly needed. Therefore, a complete cultural change must take place, which is impossible without the management level on board. The company has to find answers to questions such as who, where, when and how to participate in projects and decisions, how to deal with information release internally and how much the existing hierarchies should be softened. Transparency is a very important factor as well.

 

There is one central question before deciding whether to introduce it top-down or in individual teams: How far do we want to go and how far do we have to go to stay competitive and sustainable?

 

Agile leadership on three levels

 

To recognize potential resistance and prevent them at an early stage, a company should first analyse the three different levels of agile leadership: the individual, team and organization level.

 

Agile leadership on the individual level

As an individual, I have to ask myself following questions: how transparent am I at the moment, how much can I work independently and how much responsibility I bear and can bear. If I currently work in a very hierarchical-oriented team, where there are almost exclusively instructions from the supervisor, the introduction to an independent and agile way of working can be relatively difficult. If I already have a lot of freedom and work almost independently the difference to agile methods is perhaps hardly noticeable.

Secondly you have to question the status quo: How self-responsible and transparent do I want to be? There are certainly many people for whom agile leadership is not (yet) the declared goal and perhaps will never be.

The third point at this level is an open error culture. As a member of an agile team the willingness to acknowledge mistakes very quickly and openly is important because otherwise you might make the work more difficult for all other team members. And for a previously established leader it can be quite difficult not to be the declared leader anymore but to be an equal member of the team. Therefore you renounce power and status.

 

Agile leadership on the team level

The most challenging part for the team in an agile setting is the communication. Constant coordination, exchange and communication among each other are crucial. This requires openness and extraversion of all the team members on the one hand and the right tools on the other hand. When agile methods are introduced to a team, it is worth investing in the communication structure and skills of all members, otherwise many difficulties could arise.

Constant communication – this is absolutely essential in an agile team

Constant communication – this is absolutely essential in an agile team

 

Agile leadership on the organization level

The entire organization must be ready for the establishment of agile structures, to soften hierarchies and to question the status quo. It is important as well to let the employees question the status quo repeatedly. We must remember that not everything that is right today, will be right tomorrow. For the management level of a large company this constant questioning combined with much flatter hierarchies can be of course presented as a loss of control, which is instinctively something to avoid. That is the reason why the introduction of agile methods is probably most challenging on the organization level. It takes a lot of openness and real commitment to move away from rigid rules and procedures in order to become really agile at this level.

 

The role of leadership and the leader in an agile world

Now, you could get the impression that leadership has become useless or counter-productive in this agile world. In fact, one strongly discussed question is whether and how far classical leadership is still meaningful in an agile setting. Personally, I believe that leadership will always be needed – and I am talking about leadership in the sense of controlling and setting framework conditions. However, there is one thing that is different in the agile world: leadership is no longer the job from one individual, but from several people. It is not important who sets the framework as long as one is set. This is necessary so that everyone knows how far he or she is allowed to go and what budget and resources there are available. Thus there is no elimination of the classical leadership but a change in the roll definition and allocation. Leadership is no longer the responsibility of one leader but of all team members. For this, individuals must be willing to hand over control to a group.

 

Conclusion: the right self-assessment as a requirement for agile leadership

The more familiar you are with the topic, the more you realize that agile leadership is not a tool-box or method you can simply introduce, but more a mindset that starts with oneself. The interaction of all participants with each other as well as the relation to their own tasks and the work in general are central. What drives us? How do we work together? How do we deal with each other? How much transparency do we allow? How much control are we willing to take?

Introducing agile methods only makes sense if the answers to all these question already show a glimpse of “agile thinking and if the people who are involved have the right self-assessment: as an individual, team and organization.

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This article was written by Alexandra Sock for our blog. She is currently living in Vienna and is a managing partner at MDI Management Development International, as well as a passionate trainer, consultant and coach with many years of experience. She is dealing with the topic of agile leadership for a long time already and has now designed an orientation workshop together with MDI. If you are interested in agile leadership you get some insights and targets of the workshop with Alexandra Sock in this video. You are also very welcome to contact her for further information.

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Ursula Weixlbaumer-Norz: Design Thinking originally comes from America but is nowadays established in Europe as well. Together with the d.school in Stanford, the HPI School in Potsdam plays a pioneering role in the development and dissemination of Design Thinking.

The benefits of the concept are explained quite easily: the designers of the IDEO innovation agency developed Design Thinking as a method for solving complex problems in modern times. First of all they explained and illustrated the innovation process to make it more understandable and learnable. This is one main characteristic of Design Thinking. All in all Design Thinking is an innovation process with 6 different levels. Each level includes different methods, which can be selected according to the specific challenge and the problem-solving competence of the participating leaders and teams. The concept works across all industries and business sectors.

So Design Thinking is “just“ a new creative process?

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6 levels of the design process

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What is the difference between Design Thinking and other innovation and creation techniques?

Design Thinking is often named together with agile management methods, “Lean Start-Up” or “Scrum”. As already mentioned, the special feature is that it is not only a technique, but also a whole new kind of collaboration where you can work with flexible rooms and especially profit from interdisciplinarity. At a current customer project which I am doing as a MDI trainer, the participants of the Design Thinking workshop were not only the employees and leaders of the client, but according to the concept of Design Thinking also entrepreneurs, start-ups, students and experts from other companies. They all contributed actively on different challenges – it was incredible to see what it triggered in the participants.

 

As a way of thinking, Design Thinking contributes to the solution of complex problems in all areas and can be applied to a variety of questions – not just for the development of new products and services but also for the improvement of internal processes and services.

Keyword Agile Leadership: What does it mean to you personally? Why do you deal with agile methods such as Design Thinking?  

I am an entrepreneur myself for a long time and a former start-up. And also before that I have already been working in a very agile and international working environment. That is the reason why I am always looking for new innovative methods for myself but especially for all the leaders I meet in my workshops. And I am convinced that Design Thinking can help leaders and teams to deal with complex problems in a strategic and structured way.

From the perspective of HR departments: For which leaders is Design Thinking suitable and what is the benefit for the company?

The method suits especially leaders who have to deal with complex issues. I am teaching Design Thinking at MDI as a tool for those leaders. And one thing I am very happy about at the moment: the HPI School just published a study on the effectiveness of Design Thinking. A large majority of the respondents (71 percent) say that Design Thinking has improved the working culture, especially in the team. Innovative processes have become much more efficient for many users (69 percent) and the involvement of users or consumers is more frequent (48 percent). Cost savings (18 percent) or profit growth (29 percent) were less important. “It is, of course, difficult to measure the exact and direct financial value of Design Thinking. However, the responses show that business processes and customer experiences are sustainably improved which increases the profitability in the long term*” said Jan Schmiedgen, one of the three authors of the study. (*Translation of original quotation in German)

Interview Partner

MDI trainer Ursula Weixlbaumer-Norz answered our questions about Design Thinking. She is working together with MDI Management Development International as an international Management and Leadership trainer for many years.

Since 2016 she improves herself within agile Leadership at IDEO, Strategyzer/Business Model Canvas and the HPI School of Design Thinking. Since 2017 she is offering workshops on Design Thinking, some of them especially designed for leaders.

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