Professional Documents
Culture Documents
&
October 4, 2004
First Data has earned respect for both financial and human
performance. During this session, we will share with you the First
Data journey in a case study format, highlighting the use of
organizational culture assessment as a tool to understand cultural
gaps and improve performance. It is our hope that this session will
provide you with an understanding of organizational culture, culture
assessment and key interventions for the benefit of improved
performance in the workplace.
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MERGER INTEGRATION ___________________________________
___________________________________
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UNDERSTANDING AND
DEVELOPING AN ___________________________________
ORGANIZATIONAL CULTURE:
A CASE STUDY ___________________________________
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Statistics are Sobering ___________________________________
Value Creation
– 70% of today’s mergers and ___________________________________
acquisitions fail to add value
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• KPMG - 2001 Study of 700 firms
Merger Managers
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Conclusion:
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Mergers and Acquisitions
are Risky Business!!!
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The First Data Growth ___________________________________
Challenge
___________________________________
Meeting the Street without
missing a beat. ___________________________________
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The Cultural ___________________________________
Challenge ___________________________________
Addressing Differences,
capitalizing on best ___________________________________
practices
___________________________________
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“Any merger is doomed if there is no ___________________________________
real effort beforehand to see whether
___________________________________
the two cultures have anything in
common.” ___________________________________
- Anne Fisher, FORTUNE, ___________________________________
January 24, 1995
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What is culture? ___________________________________
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“Organizational culture is
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the way we do things
___________________________________
around here.”
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- Burke & Litwin, 1995
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___________________________________
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For Example…
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) Hierarchical vs. Empowered
) Risk Avoiders vs. Risk Takers ___________________________________
) Reactive vs. Proactive ___________________________________
) Sales Driven vs. Profit Driven
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) Cautious vs. Innovative
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Culture clash: When two organizations
have different beliefs and ___________________________________
behaviors about:
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___________________________________
Examples: ___________________________________
Novell & Word Perfect
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Cultural
___________________________________
assessment
gives you a ___________________________________
roadmap to ___________________________________
successful merger
___________________________________
integration.
___________________________________
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Organizational Culture Assessment
___________________________________
• How alike are we? ___________________________________
___________________________________
How do you ___________________________________
assess ___________________________________
organizational ___________________________________
___________________________________
cultures?
___________________________________
___________________________________
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The Qualitative Approach:
___________________________________
) Senior management interviews
) Customer / supplier interviews ___________________________________
) Focus groups ___________________________________
) Annual reports
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) Press releases
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___________________________________
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The Quantitative Approach: ___________________________________
) Surveys ___________________________________
) Metrics
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• Generic instruments
___________________________________
may not be suitable
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First Data’s Approach
• Combined Approach
___________________________________
– Quantitative
___________________________________
– Qualitative
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• Internally developed
___________________________________
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___________________________________
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The CMI – Culture Merger
Integration Survey ___________________________________
___________________________________
___________________________________
___________________________________
___________________________________
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CMI Abbreviated Exercise
___________________________________
___________________________________
Refer to your
___________________________________
___________________________________
handout
___________________________________
___________________________________
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CMI Abbreviated Profile
Leadership Culture
The purpose of this profile is to diagnose an organizational culture in terms of its leadership practices.
Please circle the number that best represents the organizational culture in which you work.
Leadership Culture
Add your answers for your Leadership Culture Score and divide by 3: _________________
Planning Culture
The purpose of this dimension is to assess the given culture based on its approach to planning. Please
circle the number that best represents the organizational culture in which you work.
Planning Culture
Add your answers for your Planning Culture Score and divide by 3: _________________
The purpose of this domain is to facilitate understanding of the culture in terms of its ability to make
decisions and execute. Please circle the number that best represents the company in which you work.
Add your answers for your Decision Making Culture Score and divide by 3: _________________
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CMI Map
Plot your leadership, decision making and planning scores on the chart below.
Leadership
7
6
5
4
3
2
1
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CMI Maps
Decision Making Culture Leadership Culture
Leadership Leadership
7 7
5 5
3 3
1 1
Planning Culture
Scale
Leadership
7 Low = 1, 2 & 3
5 Mid = 4
High = 5, 6 & 7
3
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___________________________________
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The Culture Team
___________________________________
Designing and Delivering
Interventions ___________________________________
___________________________________
___________________________________
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Culture Team History
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• FDC Finance – 1995
– “Making the routine routine” ___________________________________
• HP/Compaq – 2003
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– “Adopt and go”
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Culture Team Charter
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Goals
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Selection: Key Shareholders
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HR ___________________________________
Communications/Marketing
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Operations
Organizational Development ___________________________________
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Results
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Creating Interventions from ___________________________________
Results
___________________________________
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Interventions ___________________________________
• Identify quick wins (e.g. guidebook to ___________________________________
company)
• Focus groups to validate and expand ___________________________________
survey results.
• Post-close talent assessment ___________________________________
• Address culture differences
___________________________________
• Values communication
• Change management training ___________________________________
___________________________________
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Notes, questions, ideas, actions to take
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Action Plan
Date to Date to
Development Areas Interventions
begin complete
What potential barriers may impede the success of this action plan?
_______________________________________________________________
_______________________________________________________________
________________________________________
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1. Discuss your results from
the CMI with a colleague
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LIZETTE ZUNIGA, PH.D.
Dr. Lizette Zuñiga is CEO of LCZ Integrated Solutions, Inc., a research and consulting firm focused on
organizational improvement and accountability. With more than 15 years of professional experience,
Dr. Zuñiga has expertise in leadership and team development, organizational culture assessment,
program evaluation, ROI and general assessment.
Lizette has served as both an internal as well as an external consultant for Fortune 500 companies.
Formerly with First Data Corporation, she led the corporate university's team in assessment and
measurement efforts. She executed a University dashboard, linking strategic business objectives to
organizational development initiatives as well as critical success factors and key measures. Lizette
executed impact studies showing the value of learning and development efforts. In her current capacity
as a performance consultant, she assists organizations by conducting various types of assessments and
surveys, including organizational culture assessment, needs assessment and leadership competency
assessment. Lizette also assesses the business impact of organizational development interventions and
facilitates leadership and team development activities. In addition, Dr. Zuñiga conducts leadership and
team development sessions to improve workplace performance.
Dr. Zuñiga’s academic contribution is extensive, including serving as an adjunct professor for a major
university, teaching Adult Learning Theory & Practice and Presentation Skills. She Lizette holds a
Master's degree in Psychology with a concentration in Cross-cultural Psychology and Psychometry
from Georgia State University, and a Ph.D. in Leadership & HRD from Barry University. She is
certified in ROI evaluation and in Myers Briggs Typology Indicator. Lizette has contributed to the
human resource development literature by publishing several articles on leadership development and
program evaluation.
Lizette was born in Miami, Florida of Cuban parents, and has a strong interest in the study of different
cultures. Her dissertation was published and presented at the 2000 Academy for Human Resource
Development was on The Role of Acculturation in Career Development Among Hispanic Managers. In
addition to spending time with family and friends, Lizette enjoys travel, exercise, dance, and hiking.
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MYRON BEARD, PH.D.
Dr. Beard is currently the Senior Vice President in charge of Merger Integration at First Data. He was
previously head of the Organizational and Leadership Development. Prior to joining First Data, Dr.
Beard was a Senior Consultant and Merger Integration Practice Leader for RHR International, an
international management consulting firm. He has published several articles and book chapters on
mergers and acquisitions and leadership development. He maintains Colorado licensure as a
Psychologist. He has a Ph.D. in Counseling Psychology from the University of North Texas and a BS
degree in Psychology from Southern Methodist University
Dr. Beard was born in Santa Fe, New Mexico and has had a lifelong interest in the Southwest. He
collects art from Southwest artists including a storyteller collection from the pueblos of New Mexico.
He also has coached youth sports (basketball and soccer) for over 9 years. He is active with the Gold
Crown Foundation, and has served on the board of ArtReach. He is currently on the Advisory Board
to the Executive and Professional Development Program at the Daniels School of Business at the
University of Denver. He previously served on the Gifted and Talented Committee for the Littleton
School District and on the Healthcare Committee at the Denver Metro Chamber of Commerce. He
attends St. Andrews United Methodist Church in Littleton.
Dr. Beard is married to Nicki Stanton. He has two sons aged 13 and 16, currently enrolled in Littleton
Public Schools. In addition to coaching, He enjoys family activities, playing golf, reading, writing,
hiking in the mountains, exercise and travel.
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