W0ghsOfeQR6IIbDn3lEeZA - Module 4 Transcript - Leading Teams Building Effecive Team Cultures

Leading Teams: Building Effective Team Cultures
Professor Elizabeth A. Luckman, Kari Keating,

and Denise Lewin Loyd
Module 4: Cultures of growth
Table of Contents
Module 4 Information ....................................................................................................................2
Module 4 Introduction .......................................................................................................................................... 2
Lesson 1 : Creating Cultures of Problem-Solving ..............................................................................6

Creating Cultures of Problem-Solving ................................................................................................................... 6
Creating Cultures of Problem-Solving - Skill Development ................................................................................. 17
Lesson 2: Manifesting Creativity ...................................................................................................28

Manifesting Creativity ......................................................................................................................................... 28
Manifesting Creativity - Skill Development ......................................................................................................... 42
Lesson 3 : Navigating Change ........................................................................................................ 51

Navigating Change ............................................................................................................................................... 51
Navigating Change - Skill Development .............................................................................................................. 61
Module 4 Wrap Up ....................................................................................................................... 71

Module 4 Closing ................................................................................................................................................. 71
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Module 4 Information
Module 4 Introduction
Denise Lewin Loyd: We've talked a lot about the fact that leadership is not a destination,
that it's really journey, and that seems to tie very closely into this idea of a culture of
growth. What is the culture of growth mean for you? Know either why it's important or
knew how does one help to enact and create that culture of growth?
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Elizabeth Luckman: I think you just said it. Life isn't stable. Work isn't stable, teams
aren't stable, and so a big part of what we're trying to do as leaders and what we're
trying to do as team members is evolve and adapt and then grow and change and learn
and innovate and get creative. For me that the cultures of growth really is about, 'how
do we do that?' What's the mental model we need to do that? I think we've talked a little
bit now about teams as complex systems, and the reason I liked that so much is that it's
really about maintaining an equilibrium over time, but then evolving and changing and
adapting based on whatever come s flying at you, and we all know stuff comes flying
out all the time. What a great way to end this course; is now you can have these ideas
in place now. How do we push it forward?
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Kari Keating: Yeah, and I think embedded in there with all of the uncertainty and
ambiguity and adapting are these ideas of creativity and innovation. No matter what
we're in higher education. No matter what industry you're in, you're dealing with issues
of finding creative solutions to problems. Iterating, adapting, innovating, ideating. This is
happening everywhere in all of our industries.
Denise Lewin Loyd: You talked so much about disruption.
Kari Keating: Yeah.
Denise Lewin Loyd: How so many areas have been disrupted and there's active efforts
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to disrupt, and disruption is nothing if not, change and requiring adaptation and
awareness and openness to effecting that change, and avoid obsolescence.
Kari Keating: For leaders to be in an a mindset and be willing to cultivate this culture of
growth and risk-taking and vision setting and develop teams in that way. That gets back
to courage as well, I think.
Elizabeth Luckman: It comes back to learning too, what we're talking about here is
essentially learning all of the new technologies disruption. All of these sexy words and
ideas that are very exciting, and even the word innovation can also be super scary.
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Denise Lewin Loyd: That is what I'm saying.
Elizabeth Luckman:These are some of the foundational things. If we can problem-solve,
get creative, and navigate change, then we have a foundation for it. I think it's fair to say
again, there's no magic pill for this. There's no one answer for this. These are the
nuggets that we all need to form the foundation for managing that growth in that
learning.
Kari Keating: Yeah.
Lesson 1 : Creating Cultures of Problem-Solving
Creating Cultures of Problem-Solving
Jim Luckman: You ask what is a problem solving culture? The model I have for that is
that everyone in the organization understands the corporate purpose, the organizational
purpose. And they see where they fit in trying to achieve that purpose better every
single day. And they use a standard process for problem solving that gets ultimately to
root causes and allows them to put in place irreversible corrective actions so the
problem never shows up again. And they feel the sense of responsibility, they own the
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problem, and they are excited about solving the problem and they're growing and
learning as they do that.
Elizabeth Luckman: Imagine working in a team where the culture of that team was to
create the space for effective problem solving. Cultures of problem solving exist when
the norms and expectations facilitate growth and learning through the process of value
creation. In this video, we will discuss what we mean by cultures of problem solving.
And use a framework developed by two longtime leadership coaches and consultants to
help you think about how to model and instill this culture into your team and
organization. This requires a transformation of sorts, shifting to a new paradigm of
leadership.
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Elizabeth Luckman: The new paradigm of leadership is one in which leaders create
cultures of people empowered to solve the problems they've been hired to solve with
clarity around the real problems that need to be addressed. Two longtime coaches and
consultants, Jim Luckman and Olga Florey worked together at the Lean Enterprise
Institute in Boston, Massachusetts. During that time, they designed and led workshops
to help leaders become more effective and ethical. They began to notice patterns of
effective and ineffective leaders, which helps them develop a model of how leaders can
create cultures of problem solving. They published a book outlining their findings called
Transforming Leader Paradigms, Evolve from Blanket Solutions to Problem Solving for
Complexity.
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Jim Luckman: So a couple of years ago I had a co-author, Olga Florey and I developed
a book called Transforming Leader Paradigms. And the reason we did this, Olga was
the training manager at Lean Enterprise Institute and had an idea. And it was, how can
we do leadership development, not in the classical sense of a training program, but
actually develop leaders over two and a half day time frame? So [COUGH] I helped her
and others develop that, and then kind of took the leadership role in executing this thing
for about, I think it was three or four years. So during that time frame she and I got a
chance to observe leaders from different industries and different levels of leadership
and backgrounds get together and try to solve problems in a simulation. And what I
observed in that was that there are certain leader behaviors that are valuable in doing
good problem solving. And then there are certain leadership behaviors that absolutely
take you down rabbit holes. And you can't build the trust and you can't create the team
atmosphere that I talked about with respect to creating that environment.
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Elizabeth Luckman: Their observations through this workshop of hundreds of leaders led
them to determine that effective leaders operate inside a different paradigm or mental
model than ineffective leaders. They define two paradigms in which they observed
leaders acting. One, of blanket solutions in which leaders, impose their own ideas on
the organization. And one of problem solving for complexity, in which leaders engaged
employees to solve problems in the right way at the right time. Blanket solutions refers
to a paradigm in which problem solving is solely the purview of the leaders and others in
the team or organization are simply functionaries that carry out the vision. Blanket
solutions occur when people throw a solution or a fix without understanding the root
cause of the problem. This leads to rework, overburdening, and mistakes. Problem
solving for complexity refers to a culture in which each person brings unique value to
the team because the responsibility for solving their piece of the problem lies with them.
Leaders provide structure, but they do not tell people how to think. Problem solving
responsibility is deployed to the best person for the job, and the leader ensures that that
person has the tools he or she needs. Problem solving cultures nurture all team
members to encourage learning and contributions and focus on continuous
improvement. Organizations and teams need to be prepared to address complex,
unpredictable, and interdependent problems. Let's explore how Luckman and Florey
describe the transformation process through the four A's, awakening, awareness,
action, and actualization.
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Elizabeth Luckman: Awakening refers to the point at which we wake up and realize that
we need to view our role as leaders differently.
Jim Luckman: My view of leadership has changed over the years where I now believe
that the leader's job is ultimately to change the culture of the company that they
represent and the people they represent. And they have to go through the process of
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transforming that company and that culture into a different paradigm and different
mindset.
Elizabeth Luckman: Awareness refers to seeing the world in which we live differently.
More specifically, it refers to upending some assumptions that we have about the way
work is done, about the way we connect with people, and about the purpose of
organizations.
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Jim Luckman: Yes, so you're asking about the five assumptions that are buried in the
book. And I've actually been developing these paradigm models for some period of time
and they've changed a little bit over time, but not a whole lot. So the first one has to do
with purpose in companies. And I think the paradigm shift is primarily from many
companies believe their purpose is to make money. And it's all oriented toward financial
rewards and bonuses and improving profits and growing the business so you make
more money and all this kind of stuff.
Jim Luckman: But when you peel it back, the alternate paradigm, the one that Toyota
embraces is that the purpose of a company is to actually deliver value to its customers
and continually make that delivery better. So the delivery of value of a car to a customer
from a Toyota perspective is that it's a high quality car, it's done at the right level of time,
the quality is just impeccable, the durability's great, and so on. And you keep looking at
gaps in that delivery and say, how can I engage my whole organization in making that
delivery better? So the very first one is purpose and it's oriented toward delivering value
to customers as opposed to the general model of let's make a lot of money. Because
once you do that, over time, you're going to ultimately lose in the marketplace and
somebody's going to get better at it than you, period. So the second paradigm shift, or
excuse me, assumption inside this paradigm shift is related to systems thinking versus
reductionist thinking. And systems thinking, I got involved in it back in the 80s when it
was kind of a fad going through companies. Peter Senge wrote the book on systems
thinking, it was The Fifth Discipline I think was the name of the book.
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Jim Luckman: And inside the systems thinking model, instead of thinking about
everything broken into parts and you fix the part, you know that all the parts are
connected together and you fix the system. And it's pretty much that's simple and yet it's
that complex. Because we are so oriented toward individual performance and functional
performance and our organizations are cut into these little buckets called functions. And
each function's given a set of goals each year and everybody lines up around that. And
it turns out it's not a very effective way. Whereas the systems view, and if you use this
model that I talked about before of starting with value to the customer, that's a point
where you can get alignment across all functions. And everybody's in together solving
problems associated with value to customer. So it's a system view. But there's another
thing with regard to systems thinking that I think is the most fascinating. And that is that
they claim that the problem is not the individual parts in a system, it's about the
interaction between the parts. So what that means in terms of social systems is, the
problem isn't George or Sue, they're not performing. The problem is that you don't have
the mechanism for people to talk to each other and share their viewpoints on the
problem to solve. And that's a big deal from systems point of view. The third one is
actually an evolution of and an improvement on the systems model, which is complexity
theory.
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Jim Luckman: And in complexity theory, you realize that you can have in the systems
view, you can have a mechanistic system and you can still control it. Once you get to
this level of system where you're thinking more organically and you realize you can't
control anything. And this is a big deal for leaders, because if you as a leader think you
can control everybody by telling them what to do, you're going to lose. If you understand
complexity theory and it's about how patterns emerge by people getting together out of
the system. And you have to take these emergent properties and move them in the
direction that you want to go, that's what complexity theory is all about. So the whole
concept of emergence and how you set up conditions where these things can come
together and grow is a pretty big deal. So those are three, there's the purpose, the
system, and then there's complexity theory. And the next one fits into complexity theory,
and this gets more into the personal aspect of it. And that is that I as an individual, I can
sit in my system and I can blame everybody else. The government did it or I don't have
enough money, the budget's not big enough, you can get into this blame thing. But if
you believe in those first three parts, then you've gotta say, what part of the problem do
I own and how do I connect to the system? So you internalize the problem and say, I
own a piece of it, I wonder what part of it it is and where can I contribute and where can
I connect?
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Jim Luckman: So you go from a blaming mindset to an internalizing mindset and say,
I've got something I can do, and that's the fourth one. And then the fifth one is that we
have all grown up to be knowers, there's knowers versus learners. And the knowers
actually hurt themselves because they say, yeah, I know that, and they walk away from
the problem. And the reality is there's very little we really know, very, very little we know
in life. And there is so much we can learn if we just open our eyes and open our hearts
to the situation and take a look at it from different perspectives.
Jim Luckman: So becoming a learner and having the passion for learning is a very,
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very big part of moving from the old paradigm to the new paradigm. You've gotta say to
yourself, the minute I think I know something, I'm probably wrong. And I've gotta start
from a completely different perspective, look at the problem situation from multiple
perspectives, get the inputs from other people, and then move to a higher level of
understanding about the situation, period. Those are the five different assumptions.
Creating Cultures of Problem-Solving - Skill Development
Elizabeth Luckman: As we all know, transformation in ourselves, our organizations, and

our teams is a process and requires consistent attention. There are various barriers to
success that we may inadvertently engage in that prevent us from modeling the
behavior to help create a culture of problem-solving.
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Jim Luckman: One of the barriers is just maybe the general mindset of taking time out
to really solve problems as opposed to just doing things. It just seems like we're wired to
just go out and do stuff. Then it works or it doesn't, then we go out and do more stuff.
That seems to be one of the biggest barriers is, I don't have time to sit back and think
about what are the real true problems. That's one barrier. Another one is sometimes
leaders come in and they change their minds so much that they have their employees
so confused that they're just waiting for the leader to change their mind again and
they're sitting back and waiting for new directions. That seems to be one of the other
barriers that people have at doing this.
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Elizabeth Luckman: To overcome these barriers and to lead the change, we can look at
the last two elements discussed in the book; action and actualization.
Elizabeth Luckman: Action refers to creating the structure to allow the culture to evolve.
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Elizabeth Luckman: We can think about action in three parts. Having a framework for
problem-solving, growing respectful connections, and accelerating organizational
learning.
Elizabeth Luckman: Building a framework for problem-solving shifts the responsibility of

problem identification and problem-solving from leaders, especially senior leaders, to
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the people closest to the problem. The way to do this is to look at the value streams in
the work.
Elizabeth Luckman: The value stream of the work is a series of activities that looks
across functions in departments to follow the development of the good or service that
the organizational team is creating. When we look at the value stream of the work, we
can identify problems in which the work is being done, which gets us closer to the root
cause of the problem. As an action step, sit down with your team and draw out your
value stream or value streams and identify the hand-offs where work moves from one
person to another or one team to another and look for problems in the process where
the work is being done. Growing respectful connections refers to focusing on developing
trust among team members. Problems are problematic and this means that differences
of opinion and perspective, conflict and hard conversations are likely to occur. Problems
are going to be solved more effectively if the team feels they can have open and honest
conversations about countermeasures to solve problems.
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Jim Luckman: The number 1 thing as a positive that comes from all of the people who
are engaged in this say, I didn't know that all of my coworkers really understood this
problem that well, and they had many problems just like me. It's this level of
communication in this trust that builds. It's important when you go through and create
problem-solving teams that just creates a different level of energy for solving problems.
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Elizabeth Luckman: Finally, to accelerate organizational learning, we can implement
structured reflection to ensure that every change we make is evaluated for its
effectiveness and adapted if necessary. Learning very broadly comes from seeking new
information, reflecting and integrating, then putting it into practice and evaluating the
results. To accelerate learning in our team or organization, we can utilize a structured
reflection process.
Elizabeth Luckman: There are many frameworks for structured reflection and learning in
teams and organizations. Here I'll mention one that I like to use, which is PDCA: plan,
do, check, adjust. A simple place to start playing around with accelerating learning in
your organizational team is to use the value stream to identify a root cause of a problem
and then start practicing PDCA on that particular problem as a team, meet briefly to
discuss where you are in the PDCA cycle and then allow members of the team to do
their part in running experiments before coming again together to reflect.
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Elizabeth Luckman: A simple reflection framework for meetings is to ask these four
questions to set up the problem and determine what experiments to run. What do we
know? How do we know it? What don't we know? How will we find out more about it?
Another series of questions you can ask for reflection is, what went well? What did not
go well? Why did it not go well? What countermeasures do we want to try as an
experiment? Don't overburden yourself or the team. Simply start with open-ended
questions and elicit responses from all in a safe environment.
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Elizabeth Luckman: Finally, actualization means that supporting the evolution of your
team culture to a culture of problem-solving starts with you, the leader. Start by
questioning your own assumptions. Implement PDCA cycles on your own problems that
you're facing as a leader and share that journey with your teams. If we want to be
intentional about changing the culture of our teams, we have to recognize our own role
in that complex system. A leader who models a learning mindset, who runs experiments
in the PDCA standard reflection process, who works on developing trust with team
members? This leader is going to influence the team members in a way that will help
facilitate change.
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Jim Luckman: The mental model of a good leader that I have evolved to is this model
of really how to engage an entire organization in problem-solving. It's about developing
a culture of doing that. There are lots of different well-known principles that really
embrace. How do you really build that energy and that self-motivation in the
employees?
Elizabeth Luckman: Creating a culture of problem-solving is a process. It starts with us
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as leaders and team members. Modeling the behaviors we want to see, encouraging
problem-solving with the right people, and learning consistently over time.
Jim Luckman: I think that if there's one message I'd like to get across to leaders is that
they have to understand the paradigm shift that they need to make. They have to
understand how do you culturally change an organization and then get on a plan to
experiment with small pieces of the organization to see if they're capable of helping
move that organization into the new paradigm.
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Lesson 2: Manifesting Creativity
Manifesting Creativity
Denise Lewin Loyd: Growth requires thinking outside of the box. And cultures of growth
require thinking creatively. Maybe you hear the word creativity and think of artists,
musicians or producers of novel works. But creativity in the context of leadership and
teams refers to looking at a problem in new ways to generate unexpected solutions that
contribute to innovation.
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Jack Goncalo: So what is creative? I think sort of harkens back to where we started,
which is that it's not just, you know, it's not just any kind of work, it's work that involved
coming up with a new way of solving a problem, right? And so our in our studies we've
actually had a very subtle manipulation of this where we have people generate, for
instance, as many candle scent ideas as they can. In 10 minutes, but we tell one half to
be very creative, which means coming up with, novel original ideas and then the other
condition, we tell them be generic and come up with common ideas and the ones who
are creative. Were told to be creative are the ones showing all these effects. It could be
in our data just as simple as just come up with a bunch of ideas. And so that's how
we've been defining it.
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Denise Lewin Loyd: In this video we will explore the psychology of creativity so that you
as a leader can foster creativity in your teams in the context of working in teams,
creativity can be defined as generating ideas that are both novel and useful to solve
business problems. You can think about creativity and problem solving as generating
suggestions or alternatives that go beyond the scope and assumptions of the current
problem. In fact, creativity is largely about looking at things from different perspectives.
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Therefore, creativity can help us learn, see things from different angles and ultimately
grow.
Jack Goncalo: And so creativity the most typical definition in the literature, there are
many is an idea that is both novel and useful so it solves a problem in a new way and
those are the kinds of ideas that we think of as leading to profit changing the way
people think about things. Jeff Lowenstein has also introduced this idea of creativity is
emerging from a change in perspective. So I suddenly sort of reorganize my my view of
the world in ways that allowed me to see things that were were not apparent before.
And so I think all those elements are are part of creativity. I have actually written written
a chapter with a colleague who studies innovation and I have co taught a seminar
connecting creativity and innovation. And so we've spent a lot of time thinking about the
boundaries and there's some overlap but I think of innovation as the process of taking
an idea and bringing it to market. As a psychologist, I think a lot about creative problem
solving and creative collaboration. But at the end of the day, you have to bring that idea
to market. And so innovation is more concerned with the sort of the marketability of
things. But they do connect, I mean, I think innovation and creativity are both interested
in this question of identifying opportunities. And how do you evaluate which ideas are
worth pursuing or not? And so I think there's a lot of neat possibilities of overlapping
topics in that process. But I tend to stop at the point of, okay, we have ideas and then
innovation starts with the next phase in the process.
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Denise Lewin Loyd: Let's consider an example that may help illustrate the value of
creativity. This comes from a study by two Illinois psychologists, Anderson and Pichert.
They presented the research participants with a story about two boys skipping school
and exploring an empty house. These participants were told about the boys and then
they were asked to take the view of a prospective home buyer. They were asked to
recall everything they could from the story about what the boys saw. Some of the things
that stood out to them were the size of the yard, the fact that the basement was damp
and that the sighting of the house had been recently replaced. Then the participants did
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a different task and afterwards were asked to think back to the story about the house,
but this time as though they were burglars looking to rob houses to see if they could
recall anything else from the story that they had not forgotten. Now the participants
recalled things that they had not mentioned before. They listed, things like jewelry and
other expensive items found on shelves and in cabinets. When they switched their
perspective, they actually filtered the knowledge from the story differently.
Denise Lewin Loyd: We cannot take in and remember all information in the world at
once. And so our brains work to focus on what we need. This is the value of shifting
perspectives to generate new knowledge, to engage in creative thinking.
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Denise Lewin Loyd: When we don't bring in the different perspectives, we don't have full
information. We may begin to go down a path that we think is the better path that ends
up not being the best path. If we'd really brought those perspectives in from the
beginning, we would have had a better time and come to a better conclusion earlier on.
There's a story that talks about the you know, creation of the first minivans that didn't
involve many women in the design process, even though the ultimate purchasers, in
many cases decision makers of whether to use that vehicle and primary users of those
vehicles were women. And there's a lot of redesign work that had to happen to really
make that viable for that particular audience. I think that things like that can happen a
lot. And one challenge that oftentimes we don't see it because things are sort of good
enough or it feels like they're good enough when we're using our standard operating
procedures. But we're not recognizing what we're losing in terms of the valued
information that could have been shared, the engagement and commitment of your full,
you know, set of employees in the organization and the power that really comes from
feeling that that you're being heard, right? Feeling that your opinion really matters to
others in the organization, to the leadership of the organization.
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Denise Lewin Loyd: Leading cultures of growth requires cultivating the space for
creative thinking among team members. Creating the space for creativity means
establishing norms that encourage people to challenge assumptions, brainstorm unique
and maybe even initially unpopular ideas and to feel comfortable sharing new
perspectives in the group.
Jack Goncalo: Well, one of the favorite companies that I used to talk about the culture
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of creativity decidio and it's such a famous example, but I still think it resonates and it
continues to resonate, but they are actively building their culture as they go. And there
are many strong culture organizations that do this, but they have their slogans that
mean something to them, on the wall. It's not hard to guess what matters there, right?
So fail early and often is one thing that is plastered everywhere. They have their
brainstorming rules on the wall, right, for everybody to see and they reinforce each
other. And so I think it requires a mindful building of a culture as opposed to a passive
sort of observation of what culture emerges without any effort.
Jack Goncalo: And as I tell my students, if you put a team together and you just allow
norms to emerge, they will emerge whether you like it or not, but they might not be in
the service of good performance. And so it really takes a collective effort to mindfully
build a culture and that starts with who you select the process through which you
socialize people. What sanctions you put in place to punish people who aren't
complying with norms and it sounds kind of ugly, but strong culture organization, as
Collins and Porras said in their famous book. They reject descent like a virus, meaning
that if you're not on board with the way things are going to work, you're not going to find
this to be a very comfortable place. So building a strong culture really requires that kind
of continuous effort and active participation.
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Denise Lewin Loyd: In other words, creative cultures are built intentionally by focusing
on the norms that facilitate the ability to make mistakes and learn by facilitating
opportunities to shift perspectives without punishment. And by encouraging a
willingness to evolve and grow at their core cultures of creativity have to be
psychologically safe. There has to be a space to make mistakes and to learn. People
need to feel like they can share wacky ideas, ideas that push boundaries, creativity can
make us feel vulnerable. It asks us to go beyond what is expected because of that. We
have to remember that creativity is not in everyone's comfort zone.
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Jack Goncalo: I looked at for instance, in one paper we found that being creative is
actually liberating to people who are keeping secrets. So people feel as though when
they're being creative, it's actually an outlet that allows them to feel a sense of being
liberated when they're burdened by keep by some psychological burden. I have another
paper that's sort of in process now, but we've found consistently that allowing people to
be creative leads to self-indulgence. So if you have people be creative in a subsequent
task, they're more likely to build a highly caloric burger cocktail with a lot of alcohol in it.
In an exercise routine that burns fewer calories. We're sort of looking at so many people
do creative work nowadays, like what is the consequence of that kind of work for? How
people are are responding.
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Jack Goncalo: And so that's been sort of what I'm looking at, I have another one where
we looked at asking people to be creative feels like to them as an act of self-disclosure.
So if you share creative ideas, you're not only shared your ideas, but people have this
sense that they've shared something personal about themselves. And so that sort of
speaks to why being creative can be so scary for people. It's not that your ideas might
be rejected, it's that you are part of it, right?
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Jack Goncalo: And part of the creative process, if I ask you to be creative is you
actually you're not thinking of ideas randomly, you're looking into your own personal
experience to come up with things that are personal to you. And so that's where
creativity sort of, it's a self-disclosing kind of an act. And then my favorite finding from
that paper was we actually had people interact in die ads in groups of two and they
came up with creative ideas and then read their ideas to each other. And then we had
them rate kind of a nonsense personality scale, it was a bunch of Barnum statements,
those that could be interpreted anyway. And then we had them rate how confident they
were that their rating of their partner was correct. And the people who heard creative
ideas were more confident that they could predict the personality of the person. They
just interacted with.
Denise Lewin Loyd: One of the biggest barriers to psychological safety in the context of
teams is power and power and influence. Also play a role in fostering or not fostering
creativity.
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Jack Goncalo: I think of influence at least early in my career as an impediment to

creativity in a way because we can influence each other in ways that constraint thought
rather than open it. And so it's very easy to form premature agreements. Powerful
people can impose their views on others that is a constraint on creativity. But I've also
thought about influence more positively. So in an early paper in my career, I published a
paper with barry style where we're looking at culture and creativity and how
individualistic norms were more conducive to creativity than collectivistic norms.
Because they encourage people to stand out to be different to to engage in conflict
when it was required. And so I think it depends on the kinds of norms you have, and but
I think that it's certainly possible to influence people to be more creative than they
normally would have been, had they not been working in a in a particular context that's
conducive to being creativity or being creative, sorry. And so that's how I think of it.
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Manifesting Creativity - Skill Development
June-Young Kim: Innovation is such a hard concept, but a lot of times innovation is
happening out of some interesting recombination of existing ideas. Howard Schultz
traveled to Italy. Why don't we have that coffee culture? He came back to Seattle and
then he simply introduced the Italian coffee culture to Seattle area and then it's
Starbucks. He did not invent the coffee culture, he was connecting different dots. But
were people welcoming the new idea that Howard Schultz introduced back in 1970 or
80? No. People were familiar with making coffee of Folgers and Maxwell coffee. Why
should I pay a big money to buy different types of coffee in a paper cup? That idea was
not really succeeding in the first place, but eventually, it was spreading nicely and then
became a part of our coffee culture. I think that's the key to success if somebody wants
to build an innovative team. How to accommodate, how to welcome, how to not kill
novel and unfamiliar ideas on the spot.
42
Denise Lewin Loyd: How can you develop a culture in which creativity, norms, and
expectations are a part of the team process? Jack Goncalo, a professor here at Gies
and an expert in creativity, has defined what he calls the P-I-E-C-E or PIECE model, as
a way to focus on the norms for creativity in team cultures.
Jack Goncalo: I was asked to write a chapter actually for a book, and they said, What
are the norms that matter for creativity? I was late about a year on it because I had no
43
anchor in which to base this, and so, along with my doctoral student Josh Katz, who just
recently finished his Ph.D. Here.
Jack Goncalo: We came up with an acronym PIECE, P-I-E-C-E, which incorporates a

lot of the norms that really matter if you're going to encourage creativity, which is
participation. You can't have creativity if people are withholding their ideas and so you
want to encourage everybody to take part in the process.
44
Jack Goncalo: Independence. You can't have creativity without independence of

thought, and that means that you have to root out pressure to conform. You have to
think about the status hierarchy. You need to think about whether powerful people are
constraining other people's ability to speak up and speak authentically.
Jack Goncalo: Elaboration. Look for opportunities to elaborate on the work of others.
That means that we're not working in our individual islands we're looking for ways to
build upon and combine and improve on the ideas suggested by others. That means
that you want to be aware of what other people are doing and how to connect with them
and use their insights to combine with yours.
45
Jack Goncalo: Then the next one is communication, which we have to think about,
communicating in an emotionally intelligent way. One of the findings from my research
is sometimes that can take the form of political correctness. A lot of people assume that
being PIECE inherently constraining. But what my colleagues and I found in a 2015
paper is that in a diverse group where people are experiencing uncertainty over how
they should behave and what the rules are actually getting people to endorse being
PIECE makes people more comfortable sharing unusual ideas, and so it actually boosts
creativity, which is something that is counter-intuitive that makes sense if you think
about what the real challenges in a diverse team.
46
Jack Goncalo: Then the last one is exploration. I always talk about get out of your silo,
look for opportunities to interact with other groups, explore widely. Just because your
group does it one way, doesn't mean there are better ways out there. In my class talk
about feeling more comfortable using unique insights that aren't coming from you.
They're coming from someone whose expertise that you might not share, but it might be
nevertheless valuable. Those are some of the things that I think you should think about
when we think about what are the norms that support the creative process as opposed
to inhibited.
47
Denise Lewin Loyd: When developing a culture of creativity, start with the peace model.
Participation, independence of thought, elaboration, communication, exploration.
June-Young Kim: I think a lot of people, a lot of students, a lot of managers, want to be
really good in a team environment. They want to be recognized as a good team
member.To do that, they tend to conform to the existing norms. Because if somebody
speaks up and says a really novel language, the chances are that those opinions are
48
not considered great ones. In that case, you don't want to express the opinions that are
too different from the existing norms and existing expectations. That will lead to really
incremental changes. I'm going to tweak the existing expectations a little bit. Then many
people tend to say, oh, that's a great idea because it conform, is consistent with what
we haven and it's a little tweak. You are trying to make some changes. That's great.
That process will prevent a leap from happening. How can you allow your team
members to deep dive into an ocean far from here and come back with very different
ideas. Can the whole team welcome those different opinions? In a way that is related to
a cognitive process of the existing team members. May be it's not about emotion, it's
more about your, cognitive frame. Does the existing cognitive frames of the team
members allow the new ideas to attach to the current cognitive frames. Everyone
should be open in terms of their cognitive structure. But without that diversity or diverse
cognitive mechanisms, you tend to systematically kill interesting ideas that are different
from the norms and expectations.
Denise Lewin Loyd: Creativity is core to cultures of growth. As leaders, it is important to

foster creative thinking at the individual level, as well as within the structure and norms
of the team.
49
Jack Goncalo: I mean, many of the judgments we have to make are qualitative, and I
think that the mistake is that the fuzziness leads us to not want to pay attention to or not
want to talk about what the standard really is. We're talking very generally here, but I
think whatever that qualitative judgment is, has to be part of a conversation in which
people come together and specify what do we mean when we say an idea as interesting
or creative, or profitable or likely to be competitive, or how are we going to know it? I
think those conversations have to happen early and often. Because if standards shifts,
they can shift and unfair ways. If we don't talk about them at all, we're going get people
who have self-serving judgement's that it becomes whether or not I like you or not,
which is a separate issue. In as an academic, we've heard many of these conversations
in the context of tenure decisions. Although it feels like a very difficult task to define
what is high-impact research. How do we know it when we see it, we have to actually
have those conversations in advance and think about how are people going to be fairly
evaluated, so these biases don't emerge. The creative process can be a way of sharing
who we are with others. It could be a way of building relationships, of connecting people
and so I think there's so much that we don't know about, not just why people are
creative, but what are the consequences interpersonally, psychologically, for engaging
in creativity, creative task.
50
Lesson 3 : Navigating Change
Navigating Change
Kari Keating: You've probably heard the saying that the only constant in this world is
change. With change comes uncertainty, and learning to work with and through
uncertainty is important for teams and team culture. The organizations and teams that
survive are the ones that adapt and evolve to grow towards the changes they face.
51
Lucy Chang Evans: I would have to say in the last two years, even what 2020 is when
I started this program, I left my very comfortable job after taking leadership and teams
and realizing I cannot leadership and teams my way up at this job anymore. It was nice
to walk away from a situation that I realized was a no win situation. Not know win for
everyone, just know when for me. I have learned that I can't predict the future anymore.
When I was at that job I plan to the next 20 years out and I love that. I'm a planner, I
love being able to plan. In the last two years, I have not been able to anticipate anything
that has happened. The pandemic, I made a post on LinkedIn that went completely viral
and I immediately amassed this huge following. I've met so many different people, I ran
for political office. You can't build plans based on that. I'm just having fun watching
where the tide takes me at this point. I think one of the things that I learned in this
program is, I've gotten so many tools to learn how to react to situations that you can't
anticipate anymore.
52
Jeff Brown: The biggest challenge that I think any leader in higher education faces
today is thinking about the fact that after centuries of the higher education model largely
being the same, it is now undergoing very rapid change that is spurred on both by
evolving needs of students and learners, as well as by the technology that is enabling
and actually pushing along some of that change. Right now we're videoing this scene.
We don't have a live audience here. For hundreds, if not thousands of years the
teaching model is, we were in a room together and we were somewhat constrained on
how many people I could teach by who is sitting in the room. Today with the advent of
online education, which we've emerged as a leader in, a lot of those traditional
constraints are going away. It's enabling us to think about how can we have impacted
and even greater scale. But it's also challenging a lot of the assumptions we had.
You've seen it, you can't just take what you took in a traditional classroom and then just
do it in front of a camera, it never work. It won't. In fact, that's what we saw during the
pandemic when thousands of high schools and elementary schools and colleges that
didn't have experience in online were suddenly forced to go remote and it didn't always
go well. It's a very rapidly changing environment where we're heading into territory that
no one has ever been in before. You're having to make some strategic bets. It's not just
going up to a roulette wheel. You do a lot of analysis and you talk to smart people and
you really try to game it out. But at the end of the day, you can't invest in every
conceivable outcome. You pick a few and you pick the ones that you think you can be
successful at, that you think you can shape and that you think are going to solve the
problems of the future. But there is risk associated with that, and there's no getting
around it. That I think as an organization, it's just figuring out what our place is going to
be in that world. It's also exciting though, I think that's what makes leadership fun.
53
Kari Keating: Arguably, we're in the midst of some very unique challenges when it
comes to teamwork. As many organizations are trying to decide how much work should
be done remotely versus in-person or in the office. How to keep employees safe amid a
pandemic or perhaps endemic and how to create a working environment that supports
employees in ways that align with a variety of personal and professional growth goals.
For decades, evidence has generally found that around 70 percent of formal change
efforts fail. Researchers agree people are resistant to change. They have studied how
to overcome resistance to get people on board with change initiatives.
54
Kari Keating: A well-known model for organizational change comes from John Kotter, a
professor emeritus from Harvard, and a thought leader in the field of organizational
change and leadership. The eight-step Kotter model for handling change suggests that
leaders need to: establish urgency, create a guiding coalition, develop a change vision,
communicate the vision for buy-in, empower broad-based action, generate short-term
wins, never let up, and incorporate changes into the culture.
55
Kari Keating: Nothing to disagree with in this model. Give people a safe space to voice
their perspective. Find the people most willing to engage, communicate relentlessly, and
give people short-term wins so that they feel a sense of accomplishment and further
engagement. But one thing to note is that this model, along with others, is answering
the question, how do I get everyone on board with this large scale organizational
change? In essence, that's asking, how do I get everyone to agree to do things my
way? This harkens back to a command and control style of leadership in which team
members are simply expected to carry out the leader's vision. Instead, we can explore
the idea of change from the perspective of creating a culture that facilitates change, one
in which people feel safe, ready to author the change themselves, they feel engaged
and willing to grow. Sometimes formal or a large-scale change initiatives are needed.
Like when we need to introduce a new IT system, a re-organization of titles and roles, a
large-scale hiring or firing, or perhaps enacting a new mission statement. But a more
sustainable way to address the issue of navigating change is to create a culture of
learning and growth inside teams so that they can adapt to whatever change they face
whether external or internal to the organization. Change culture. A culture in which
people are seeking opportunities to grow and evolve, where people face uncertainty
with an open mind and where people learn to adapt, all of that starts with the people
doing the work, the agents in the system.
56
Kari Keating: We can create a culture of change by first understanding two

fundamentals, the nature of teams as systems and why resistance to change emerges.
Once we appreciate these phenomena we can navigate all change more effectively.
57
Kari Keating: First, we can facilitate a culture of change mindset by viewing teams as
complex adaptive systems. A complex adaptive system or CAS describes a set of
elements that all interact with each other in nonlinear ways. Kevin Dooley is a professor
of supply chain management at the W. P. Carey School of Business Administration at
Arizona State University. Dooley has spent his career exploring organizational change
and innovation. He defines a CAS as an aggregate of interacting agents that behaves
and evolves according to three key principles. Order is emergent as opposed to
predetermined, the system's history is irreversible and the system's future is often
unpredictable.
58
Kari Keating: Given this set of principles we need to lead our teams and approach
change in an adaptive way. Mary Uhl-Bien, a prolific researcher in the field of leadership
has along with her colleagues developed what she calls complexity leadership theory
which is defined as a leadership paradigm that focuses on enabling the learning,
creative and adaptive capacity of complex systems within a context of knowledge
producing organizations. In other words, leaders model the behavior they hope that
team members will emulate and they create structures and systems that allow the
individual people in teams to contribute to the overall goals.
59
Kari Keating: Leading teams is not about enacting a particular model of leadership
rather it's about navigating the complex interplay of individuals, relationships, internal
and external pressures and work goals and outcomes.
Jeffrey Loewenstein: We are engaged in social systems and we are designing social
systems and we are living and hopefully thriving in social systems. Absolutely thinking
atomically and thinking in a reductionist way is counter I think to leadership. Because
we're always thinking future and we're always thinking emergence, what emerges from
the collective system of actions and what is that system going to yield down the line.
60
They are all these indirect effects and all these delays between cause and effect that
can be challenging to see immediately.
Kari Keating: Next, it is helpful to understand on a psychological level why humans

resist change. When we understand the underlying cause of resistance we compare this
with our knowledge of CAS to more effectively lead teams that are working through
change. There are cognitive reasons why we resist change. Our brains like routines. It
helps us to free up space to think about things that are more important to us. When
change happens our routines no longer work. That means we have to use cognitive
resources that require extra effort. We like feeling comfortable and consistent. Think
about this when you or your team faces change it's human nature to want to keep things
the same. There are also emotional reasons why we resist change. Facing uncertainty
and change can make us feel nervous, anxious or fearful. When we feel these emotions
our defense mechanisms enact and we put up armor to protect ourselves and this
makes us more rigid and less likely to accept change. If we recognize that individuals
have a variety of reactions to change and uncertainty and that teams operate as
complex systems we as leaders can begin to set ourselves and our teams up to
navigate change more effectively.
Navigating Change - Skill Development
61
Jeff Brown: It's extremely important to get your team to be agile and the organization to
be agile. Now, granted, I'm in a 150 something year old institution known as the
University of Illinois. The business school is over 100 years old. Higher education of this
form is many centuries old. We're not exactly known for being agile organizations. We're
having to learn to become more agile and to some extent, organizations like Gies who
have learned to be more agile, end up with a competitive advantage relative to other
institutions. But it's not enough because we're no longer competing with just other
higher ed institutions that are dealing with these same things. Learning how to have
flexible processes that allow you to experiments, fail quickly if you're going to fail, learn
from it, move on while staying true to who you are and what your mission is and what
your values are, it's so much easier said than done, but it's also just about as critical a
skill as I think any that exists today.
62
Kari Keating: When we conceptualize our teams as complex adaptive systems and we
view our role as leaders, as agents within the system, we can use the following
principles to create cultures that navigate change effectively. First, don't impose on the
system. Think about the last big change initiative that you experienced. How did it work?
Probably not well, there was resistance. Timelines probably got pushed back and I'm
just guessing here, unexpected outcomes emerged. If you impose something on a
system like a large-scale change, you're undoubtedly going to deal with all of these
aforementioned outcomes. That doesn't mean that large scale-change is impossible, but
it needs to be integrated in a way that appreciates the complex adaptive systems nature
of the team.
63
Gopesh Anand: This idea of taking every new best practice that comes out there and
trying to adopt it and trying to implement it, and throwing everything that you had before
out the door, that's something that I get passionate about is that you don't need to do
that. You already have a lot of the pieces in place whenever there's a new idea that
comes out. I feel like there are not too many new ideas left to come out. There are going
to be some tweaks that you can do to your existing idea. I say this because I see
especially in continuous improvement, all these new terminologies coming out, all these
new kinds of programs, my advisor used to hate the word programs, he liked the word
initiatives much more because programs are you implement the program and you're
done but initiatives are things that you are going to continue over time. I think that if you
have the idea of taking what you have and then tweaking it to take care of what are the
changes. What I mean by that is if there's a new technology that's coming out and
you're going to adopt it, you should not just take everything that you have and throw it
out the window. You should take what you have and try to absorb what is the new thing
that's coming in. Nowadays everybody's talking about Industry 4.0 and IoT and artificial
intelligence. Those are all good things. But you should think about whether that's right
for your business or not, and then how you can absorb it while keeping all of the
competencies that you currently have. The most important thing is thinking about how
you are going to train your employees in those things. Having a vision for how you're
going to train your employees not just saying that, we're going to get people who are
trained in that and then replace the current employees who are doing similar things.
64
Kari Keating: Second, know your people and points of influence. System's thinking
encourages us to look at the agents and the relationships between the agents to
understand how information flows and how outcomes emerge. Who are the influential
people in your team? Who are those who have the strongest network? They will
undoubtedly play a role in how your team adapts to change.
65
Kari Keating: I also like to distinguish the difference between leader and leadership. I
think those are two obviously related things, but the lens is just a little bit different. When
we think about a leader, and that's been conceptualized differently across history. But
really contemporary conceptualizations of leader are, I really like Dr. Brene Brown's
definition of what a leader is and she will say that a leader is someone who finds the
potential in other people or in processes and then has the courage to develop that
potential. Really, in the end, a leader is about developing other people in its simplest
form. Then leadership to me is a social process and I borrow that definition from Joseph
Rost and he said that leadership is a set of influence relationships between leaders and
followers. It's a dance between leaders and followers where they might be sharing the
role as leader. But the cool thing about that process is that these leaders and followers
together in this relationship, they intend real change toward a shared purpose. What I
like about that definition is, you don't always have to accomplish the change, it's an
intended change. The people are working together toward an aligned purpose. Whether
they reach the goal or not, they still develop a capacity to work together, so I like that
idea.
Kari Keating: Third, don't expect conformity or consistency. Appreciate emergence.

Instead of telling everyone what to do, tell them where you're going as a team, paint
them a vision and allow team members to provide the value they were hired to create.
66
Ron Myers: The thing that I know is that I've had times where I've dictated the goals and
the objectives. In most cases, we've done an okay job but I found it was so much harder
because I spent all my time following up, chasing those goals and objectives.
But when the team is directly involved and I go, here's high level what we want to do,
you guys tell me how we're going to do this, it always gets done and in an amazing
fashion, usually ahead of time and usually much better than I would have imagined. But
that again is being able to engage and making sure that everyone understands their role
and understands the why.
67
Kari Keating: Fourth, focus on the point of delivery. Leaders still need to provide some
structure and one way to do this in systems is to focus on the point of delivery. The
customer, individual, or team who's going to pick up your deliverable, they should be the
focal point to ask whether you are delivering value in your outcomes.
Kari Keating: Fifth, build trusting relationships. In systems, people are a function of the
relationship in which they are embedded. This is why silos are so problematic. When we
68
isolate functions or people, we separate them from their relationships with others. When
people act in their own silos, information gets absorbed by them and it fails to travel to
the other members of the system who would benefit from that information. Using a
model of CAS to navigate change means we are more likely to create a safe
environment for each person to contribute, provide space for people to engage by doing
the work they were brought in to do, and embrace the opportunity to learn and adapt.
Brooke Elliott: We are always talking about we're an agile organization. That is one
thing that we talk about. We actually had Willie Ocasio come and talk to us about, what
does it mean to be an agile organization. Because when you think about an academic
institution, agile may be the very last thing that you think about particularly from an
organizational structure. Even our unit, the online program administration unit and the
teaching and learning unit, we had to be much more agile than other units within the
university or within the Gies College of Business because we're always innovating and
changing. I mean, within a twelve-month period, applications to iMBA grew by over a
100 percent and enrolled students grew by 75 percent. We had to change and I think
embracing change is what we talk about. We don't necessarily talk about it's an
opportunity to learn but it's embracing change and if you embrace that change, of
course, you have to learn new things because what you did yesterday isn't going to
work tomorrow. We continue to have that conversation about, how do you within an
agile organization get comfortable with the uncertainty. That's one thing that we talk
about a lot and not knowing whether the way that you work today is going to be the way
69
that you work into months and not knowing honestly whether who you report to today is
that going to be who you report to in six months? Maybe not. We might change the
organizational structure to ensure that we can continue to deliver on what we believe to
be our mission in the Gies College of Business.
Kari Keating: We are all navigating change on a daily basis in our work. As leaders, we
can view our teams as complex adaptive systems to help us stay agile and competitive
as we learn and grow.
70
Module 4 Wrap Up
Module 4 Closing
Denise Lewin Loyd: Well, we've covered a lot of ground.

Kari Keating: A lot.
Elizabeth Luckman: A little bit.
Denise Lewin Loyd: And introduced some important concepts, and talked a lot about
culture and different types of cultures that we think are really important to enact as
leaders, to create in the spaces in which we are trying to get individuals to work together
to accomplish goals. But it's not easy.
Kari Keating: No.
71
Denise Lewin Loyd: When we think about a culture growth, how do we simultaneously
facilitate, empower, build a space where people are really open to doing things in a
different way while also making sure that there's enough structure and shared
understanding to actually get something done today in the midst of this process of
change? How does a leader navigate that successfully?
72
Kari Keating: It's so much. As you said, covered a lot of ground here and it's not easy. I
think for learners and we're learners, we're still learning.
Elizabeth Luckman: Building this course has taught us more.
Kari Keating: It's been mind-blowing.
Elizabeth Luckman: We're constantly learning and that's half the fun of the topic that we
do.
Kari Keating: Yeah. I think it's giving yourself the grace to try. You use the term
experiments.
Denise Lewin Loyd: I love that.
Kari Keating: To try. You can't do all of these things every day that you show up at work.
But you can try some things on some days and keep moving the needle. But it all starts
with an awareness that these are even the things that we should be talking about and
focusing on.
Elizabeth Luckman: This is exactly what I was going to say by the way, is there to me,
it's two parts. It's awareness and action. The awareness is you have to think about
these things, read about them, be aware about them. Don't stop here. This is just the
beginning. There's a million things out there on team culture, on leadership. Go read
those things, pick and choose which ones make sense to you and that resonate with
you. Make sure you're reading quality stuff. But then the action piece comes down to
what you said about experiments. It's not imposing a giant system on your system,
systemic change on your team or your organization, it's not going to work.
73
We know that. But find that group of people that is ready to run that experiment and see
how it changes. Let one group innovate first. If that group innovates and it doesn't work,
then they'll learn and they'll try something new. If that group innovates and it does work,
maybe this group takes it on. This notion that change can happen overnight, I think we
just got to let that go. Getting in this mindset of, let's innovate small, let's test it out. That
way the rest of this team or organization is acting like it's supposed to, it's going along
with business as usual, but it can grow and spread from that singular point.
Kari Keating: Organically.
Elizabeth Luckman: Exactly.
Kari Keating: It's why I think you've talked about this taking time. It's why we've been
very intentional about mentioning culture. Yeah. And how these things aren't an
overnight. You don't create a program or hire a guest speaker to come in and they're
going to change the culture of your organization. No. It's on the daily and it's a little bit at
a time and it's these chemical organic interactions that start to spread.
Elizabeth Luckman: We've tried to give the learner some tools for that in the second part
of each topical video. We have this section on developing the skills. They're small
concrete ideas. They're not even all the ideas in the world because that's impossible to
fit into life, let alone a single course. But pick something, pick something that's relevant,
that's interesting, that you're intrigued by. Then find some other people that feel that
way and then go play. Go play with it and test it out and create evidence, create data for
yourself on whether or not it works and then learn from that and grow.
Denise Lewin Loyd: Yeah. Yeah. I have two images in my mind. One is stove top of a lot
of burners and you've got a lot of dishes that are going. In a way it's your culture of
growth over here and engagement and it's all going to be served. This is the full meal,
74
so it's not like one thing exists in itself. It's like, I got to add a spice a little bit of this here
and turn this up and stir over here. I'm constantly monitoring and watching and seeing
where things are and what needs a little bit more attention and where I can pause for a
moment to create this outcome. The other image is going back to our chemistry
analogies which infiltrate, not at all in the area. But now it's we can all envision
ourselves, Bunsen burners and beakers and what have you, but adding in a little
pinches of this and that, and looking at the reactions that are happening and adjusting.
Because it's a system and it all works together. Yeah, we've given out lots of great
information. I think that spirit of experimentation is going to take everyone really far.
75

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Leading Teams: Building Effective Team Cultures

Professor Elizabeth A. Luckman, Kari Keating,

Module 4: Cultures of growth

Lesson 1 : Creating Cultures of Problem-Solving ..............................................................................6

Lesson 2: Manifesting Creativity ...................................................................................................28

Lesson 3 : Navigating Change ........................................................................................................ 51

Module 4 Wrap Up ....................................................................................................................... 71

Lesson 1 : Creating Cultures of Problem-Solving

Creating Cultures of Problem-Solving

Creating Cultures of Problem-Solving - Skill Development

Elizabeth Luckman: As we all know, transformation in ourselves, our organizations, and

Elizabeth Luckman: Building a framework for problem-solving shifts the responsibility of

Elizabeth Luckman: Creating a culture of problem-solving is a process. It starts with us

Jack Goncalo: I think of influence at least early in my career as an impediment to

Jack Goncalo: We came up with an acronym PIECE, P-I-E-C-E, which incorporates a

Jack Goncalo: Independence. You can't have creativity without independence of

Denise Lewin Loyd: Creativity is core to cultures of growth. As leaders, it is important to

Kari Keating: We can create a culture of change by first understanding two

Kari Keating: Next, it is helpful to understand on a psychological level why humans

Navigating Change - Skill Development

Kari Keating: Third, don't expect conformity or consistency. Appreciate emergence.

Denise Lewin Loyd: Well, we've covered a lot of ground.

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