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SCANDINAVIAN SKANDYNAWSKIE INSPIRATIONS INSPIRACJE
No 2/2020
INTERVIEW WITH JANUSZ STROKA PRESIDENT OF NETTO POLSKA LABOUR MARKET IN THE NEW REALITY. THE PERSPECTIVE OF SCANDINAVIAN EMPLOYERS JULA POLAND: DEVELOPMENT - A SOLUTION FOR HARD TIMES
SPCC Patrons:
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INSPIRACJE
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Letter from the Managing Director NEW BOARD OF THE SCANDINAVIAN-POLISH CHAMBER OF COMMERCE LABOUR MARKET IN THE NEW REALITY. THE PERSPECTIVE OF SCANDINAVIAN EMPLOYERS SPCC has joined SCI, Swedish Chambers International
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NEW SPCC MEMBERS SUSTAINABLE, ENERGY EFFICIENT SOLUTIONS FOR BUSINESS. JULA POLAND: DEVELOPMENT - A SOLUTION FOR HARD TIMES
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Arnold Brzezinski
SpCC COMMUNITY
Alexandra Kazimierski
Michał W iznerow
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PANDEMIC DOES NOT STOP NETTO’S DEVELOPMENT STRATEGY
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SPCC PHOTO CONTEST 2020
p. 15 SPCC E-magazine: Scandinavian-Polish business community online E-magazine is a quarterly publication in online format distribu tedby Scandinavian-Polish Chamber of Commerce (SPCC) among wide group of readers interested in Scandinavia and Scandinavian-Polish cooperation. We reach SPCC Members, business organizations, media and individual readers interested in topics related to Scandinavia.
Editor: Ewa Lisiewska-Szczygieł PR & Communication Manager Scandinavian-Polish Chamber of Commerce elisiewska@spcc.pl phone 22 849 74 14 Cover image - press materials Netto Polska Follow us on:
Janusz Stroka
DEVELOPING THE CULTURE OF AGILITY
Letter from Managing Director
IKEA) or the opening of new store by the Swedish chain Jula - you will read more in this issue of E-magazine. Other factors distinguishing Scandinavian companies are their openness to innovation, rapid processes’ digitalization, willingness to explore new areas, the fast implementation and reshaping of existing business strategies to reduce the negative impact on the environment. An example of this is Velux’s strategy announced in September, which aims at achieving carbon neutrality in 2041. This makes long-term economic sense and will ensure the company’s sustainability for years to come.
Dear SPCC Members, The current situation which we are facing now is a fundamental paradigm shift. We continue to reorganize our activities, our previous understanding of the world and its mechanisms - the way companies conduct business, their new areas of social responsibility, new working styles, and development of a wider range of competences. The reality requires us to adapt quickly to changes, which is often combined with enormous pressure. I was wondering if there is any specific model of dealing with the crisis among Scandinavian investors present in Poland. Many conversations I have had with Scandinavian companies have shown that there are factors and values that remain constant. In the chaos of changes, this fundament still gives companies a competitive advantage and allow them to assure feeling of security among employees. Above all, among such factors one can mention a proactive attitude. In the case of Scandinavian companies during the COVID19 crisis the immediate revision of the strategy helped save many jobs, but also has led to searching for new areas of investments and diversification of services. Excellent examples are one of the major transactions during the pandemic - the acquisition of Polish Tesco stores by Netto, the record financial result of the IKEA chain (Poland is one of the fastest growing online markets for SPCC e-magazine
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Scandinavian investors have built for years, also in Poland a trust-based business culture. SPCC has repeatedly emphasized how it is important as a value-integrating factor. Social responsibility of the Scandinavian employer in relation to the employee is another puzzle in the model of “resistance to crisis”. Managers of many Scandinavian companies could see, how the culture built over the years based on trust, diversity, talents development, resulted in the loyalty of employees, their readiness to cooperate and co-create new solutions, the implementation of which often depended on the fate of the company and workplaces. There is no return to the pre-pandemic state. We have all gained new competences and skills. We will develop them to be ready for the next “butterfly effect”, which, as Prof. Piotr Płoszajski argues, is always possible. Finally, I would like to share the Professor’s thoughts: “The coronavirus is a start-up-dream of all startups in the world: infinitely scalable, ruthlessly rational and deadly effective. All business theorists and practitioners know this: new players require completely new combat strategies”. *. Agnieszka Zielińska Managing Director
* Moralitet Beta, Prof. Piotr Płoszajski 03
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NEW BOARD OF THE SCANDINAVIAN-POLISH CHAMBER OF COMMERCE On 10 September, The General Meeting of the Scandinavian-Polish Chamber of Commerce appointed a new Management Board of the organisation. Carsten Nilsen took up the position of President for another term. “I would like to thank the associated companies for their confidence in my ability to serve as the President of SPCC for another term. We have a special year ahead of us, full of uncertainties that require us to be flexible. Over the past months, we have proven that we can effectively support our member companies even under these difficult conditions. We are ready for any scenario the next year may bring”, said Carsten Nilsen after being elected President. This year, due to the epidemiological situation, the General Meeting for the first time was held online. The Managing Director, Agnieszka Zielińska, presented the implemented actions: “The COVID crisis has forced us to reconsider our plans. Since March, we have held over 70 webinars on topics that were most relevant to the companies in this situation, such as law, economics and team management. We have also introduced new benefit forms to support our member companies even more effectively. It is a difficult year for everyone, and that is why I am especially glad that the companies appreciate our organization and continue to work with us. Next year we will keep striving to improve our digital channels of communication and hybrid solutions, thanks to which SPCC can operate
effectively in all circumstances. One of the most important initiatives that we will start to implement this year in cooperation with our member companies is a project related to energy transition and “greening” the economy, also in the context of recovering from the pandemic crisis”, says Agnieszka Zielińska. The function of Vice-Chairmen of the SPCC Management Board, who also act as chairmen of the national sections, was assumed, respectively, by: Leif Christiansen, CEO Proactive, Chairman of the Board of the SPCC Danish Section; Artur Swirtun, Legal Adviser, PENTERIS, Chairman of the Board of the SPCC Swedish Section; Marcin Bruszewski, Legal Department Director, Fortum, Chairman of the Board of FTG, the Finnish Section of the SPCC. The new Management Board will also include: Artur Tomaszewski, DNB Bank Polska SA, Wanda Brociek, Wings of Change Wanda Brociek Advisory, Daniel Jastrun, Maruta Wachta i Wspólnicy, Tuomas Asunmaa, Spondeo, Siren Knudsen, PURO Hotels, Lech Gniady, Peter Nielsen & Partners Law Office, Alexandra Kazimierski, Morgan Philips Hudson Executive Search, Markku Ekholm, Suomen Unipol Oy.
This year, for safety reasons, the General Assembly was held online.
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Carsten NIlsen, Chairman of the SPCC and Agnieszka Zielińska, Managing Director before AGM 2020.
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PARTNERS OF SPCC PANEL DISCUSSION:
LABOUR MARKET IN THE NEW REALITY. THE PERSPECTIVE OF SCANDINAVIAN EMPLOYERS After several months of living in a pandemic, the time has come to analyse and summarise the actions taken under enormous pressure at a time when the “safety first” slogan gained a completely new meaning. During a panel discussion organized by the SPCC, representatives of Poland’s largest Scandinavian employers talked about their experiences and forecasts for the future. Among the participants were: Aleksandra Rychta, HRBP Director Operations BA Europe, Electrolux Poland, Katarzyna Broniarek, Director of Communication, IKEA Retail (Ingka Group), Robert Żelewski, HR Director, Mowi Central Europe, Michał Wiznerowicz, HR Director, Nordea Poland. During the meeting, companies Morgan Phillips Group and Enhance presented a report entitled “New Normality in the Labour Market”.
HR after the pandemic – new challenges When discussing the changes brought about by the pandemic, remote working is most often mentioned. The remote switchover of office workers was very smooth in most cases, but the crisis has also created many other, new challenges for the HR departments. Reorganising work and providing employees with physical security was only the first step, and it became just as important to help them find their way in the new reality. And reasons for anxiety are plenty: the fear of job loss or working longer hours for a lower salary was experienced by nearly 39% of respondents to a survey conducted by Morgan Phillips three months after the beginning of the lock down. Factory workers and employees in largeformat stores worked under great pressure; the omnipresent “stay at home” was not addressed to them, so employers had to make every effort to provide them not only with safe working conditions, but also with psychological comfort.
How did the HR departments in Scandinavian companies cope with the new challenges? Each of the panelists stresses the importance of direct, effective communication with employees. Katarzyna Broniarek, Director of Communication at IKEA Retail, notes that the IKEA intranet has never been so crowded before. Employees have access not only to information about professional SPCC e-magazine
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Alexandra Kazimierski Executive Director Morgan Philips Executive Search
issues, but also to a knowledge base on COVID-19, which is an invaluable aid in the age of fake news. Employees can also participate in online sessions which help them cope with stress. IKEA has also set up a special fund to support the employees who are particularly affected by the crisis caused by the pandemic. Only a tiny fraction of the employees could switch to remote working. Aleksandra Rychta, HRBP Director Operations Europe at Electrolux, stresses how important it was to maintain regular contacts with the employees of the temporarily 05
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In Poland, Nordea provides services to group companies operating in other countries. Switching to remote working was not difficult. Now, the entire recruitment process and integration of new employees is also carried out via the Internet, which opens up the possibility of employing people living outside the city in which the company has its office.
What will remain? The authors of the Morgan Phillips Group study took a closer look at the factors that will play the most important role in the future labour market. The undisputed winner is flexibility – according to 65% of the respondents it is the most desirable skill. The respondents stressed also the importance of the ability to use new technologies (49%) and the relevance of learning speed (46%). Michał Wiznerowicz Director HR Nordea
closed Electrolux factories. An application created for this purpose proved to be helpful, but phone calls made by team leaders and direct superiors played the key role. Mowi Central Europe, a company active in the processing of Atlantic salmon, employs over 4.000 people in Poland. Its food processing plants maintain high hygiene standards; the pandemic has not changed much in this matter. Robert Żelewski, HR Director at CE Mowi, points out, however, that the crisis has charged employers with many new responsibilities, from arranging parking spaces and covering taxi costs for employees who are afraid to travel by public transport to providing psychological support. Żelewski predicts that some of these tasks will remain in the HR departments’ scope of duties for good.
The employee market? In a survey conducted by Morgan Phillips Group, 61% of respondents said they were ready to change jobs, and 18% of them were actively looking for a new employer. Michał Wiznerowicz, HR Director at Nordea, observed that in the initial period after the introduction of the restrictions, the candidates were less open to change jobs. However, over time, recruiters have noticed a growing interest in Nordea’s offers. In case of the lowest positions, this change can be attributed to the redundancies in the retail sector. In addition, increasing uncertainty in the market has prompted employees to seek employment in a stable, reliable financial institution. SPCC e-magazine
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There is no going back to the pre-pandemic situation. We have all learned new things and will expect greater flexibility both as employers and as employees. The digital tools we have already mastered will continue to accompany us. But we won’t abandon our offices. According to Aleksandra Rychta, the hybrid working style will be maintained, where possible, and the “work-life balance” will be replaced by “work-life integration”. The pandemic proved that employees do not need constant control to perform their tasks effectively. Michał Wiznerowicz believes that employers will now trust their employees more and reduce micromanagement. For companies with a Scandinavian background, social responsibility is an important foundation. This responsibility also applies to relations with employees, claims Aleksandra Kazimierski, Managing Director at Morgan Phillips in Poland and member of the Board of the ScandinavianPolish Chamber of Commerce. “The pandemic outbreak was a kind of exam for all organizations. Trust, as well as close and honest communication, are invaluable in crisis situations. Companies that bear this in mind came out of this extremely difficult test on the winning side. It was in these organizations that team leaders were able to effectively support their teams. Covid-19 has proven that investment in employee development means real benefits for companies, and when the crisis comes, it may turn out to be crucial for the company’s survival”, concludes Aleksandra Kazimierski. Ewa Lisiewska-Szczygieł PR & Communication Manager, SPCC 06
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Plan your travels again with a new travel policy! You can count on our knowledge and experience! Travel safely and economically with Weco-Travel! Ask us how we can organize your business meetings and private stays in Poland and abroad.
Zaplanuj podróże z nową polityką podróży! Możesz liczyć na naszą wiedzę i doświadczenie! Podróżuj bezpiecznie i oszczędnie z Weco-Travel! Zapytaj jak możemy zorganizować Twoje spotkania biznesowe i podróże prywatne.
Więcej informacji / More information: www.wecotravel.pl
SPCC has joined SCI, Swedish Chambers International
We have the pleasure to inform you since September 2020 SPCC is a part of the network “Swedish Chambers International” which gave the Chamber another tool to promote SPCC Members to share experiences and to discuss best practice.
The first meeting of SCI Network which we want to recommend you will take place on 20th October 17:30. You will have a chance to meet Anna Throne-Holst, president of the Swedish Chamber of Commerce in New York.
The SCI is a platform for Swedish Chambers of Commerce outside of Sweden. As of today, it has 29 member Chambers, from among others the US, the UK, Germany, China, Brazil, France and Hong Kong.
The event will take place just before the upcoming United States presidential election
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Over the past year, 27 companies have joined our organisation. Welcome in our Polish-Scandinavian business community!
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SUSTAINABLE, ENERGY EFFICIENT SOLUTIONS FOR BUSINESS. As our customers come from basically any industry type, our strategy is to be technology drivers and promoters of sustainable solutions for all businesses.
From experience, we know that the biggest source of waste is simple air leakages. These are the result of neglected pipes not properly tightened, corrosion, old installations. Often 20% of total compressed air consumption is lost through leaks. Other improvements can be achieved by resetting the way multiple compressors are working, adjusting the pressure bands to the lowest necessary pressure and correctly sizing compressors. However, there is another technology that offers many manufacturers a significant opportunity for savings, and this is to recover the heat generated by the compressors. Typically heat generated by the compressors is lost in the atmosphere, just like the heat from a car engine is simply lost into the air. We know that companies utilize heat to warm up water, heat a room, or even in many production processes in food and beverage (pasteurizing for example), or pharma (drying and sterilizing), textile (fibre treatment), and many others.
Press materials, Atlas Copco
Water, electricity and gas are identified as the 3 main utilities in industry.
With an energy recovery system all this heat can be utilized reducing the need for purchasing additional energy.
The 4th one is compressed air, which on average represents 12% of the total yearly utility bill for most industrial manufacturers, and in some cases, this can reach up to 40%. This is a substantial portion of the amount of money spent and any saving that can be achieved in the energy utilized for the compressed air system will have a big impact on both the yearly total energy consumption as well as on the CO2 emissions. There are a number of things that can be done to achieve substantial savings making the installation more efficient, and these are typically identified through a professional air and energy audit performed by a qualified specialist.
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Press materials, Atlas Copco
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To companies that are looking to become more energy efficient and less carbon emitting, I would say there are many actions that can be taken especially where you least think of. Don’t underestimate the importance of hiring an energy specialist and make sure your team in charge of procurement is not overlooking the quick savings that can be achieved with some small investments in optimizing the way your utilities are used. Alessandro Fantacone General Manager Atlas Copco Polska Sp. z o.o.
Press materials, Atlas Copco
The amount of electrical energy that can be recovered varies between 70% and 94%, depending on size and type of installation. This results in most cases in substantial savings and we believe the vast majority of industries can benefit from such system.
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Atlas Copco is a world-leading provider of sustainable productivity solution. Our industrial ideas empower our customers to grow and drive society forward. We are pioneers and technology drivers, and industries all over the world rely on our expertise. Our market-leading compressors, vacuum solutions, generators, pumps, power tools and assembly systems can be found everywhere. Atlas Copco pays special attention to efficiency, energy savings, safety and ergonomics. Founded in 1873, the company is based in Stockholm, Sweden, and operates in more than 180 countries around the world.
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JULA POLAND: DEVELOPMENT - A SOLUTION FOR HARD TIMES For many industries the last few months have been particularly difficult and the trade sector undoubtedly belongs to this group. Arnold Brzeziński, Country Operations Manager at Jula Poland, told us about how JULA, a chain offering products for home, garden and leisure, went through a lockdown and how plans for the near future look like. upon to stay at home is a difficult, mentally burdensome task. That is why we took care of the personal protective equipment for our employees and the priority was to make people fee secure. We focused on internal communication in order to react quickly to any suggestions coming directly from the staff. It was the salesmen and cashiers who worked at the front line and it was their needs that we wanted to address first of all.
- Two years ago, the HR department of Jula Poland started a leadership development programme; initially it comprised a team of leaders and in the next stage also store managers. Now, in a crisis situation, can you see the results of these investments in employee development? Was it worth it? Arnold Brzeziński Country Operations Manager, Jula Poland
The total lock down is over, probably, despite the increasing number of COVID-19 cases, such measures will not be implemented anymore. What conclusions do you draw from these few months of working under special conditions? The beginning was difficult, largely due to the information chaos. For example, at the time the lock down was imposed, DIY stores could function normally according to the regulations, however not all shopping centre operators interpreted the regulation in right way. Clear guidelines would certainly make the work of all commercial actors easier. Like other chains, we quickly had to adapt our stores to the new requirements: supply disinfectants, personal protective equipment, checkout covers, signs, etc. At that moment it was a big organizational and financial challenge. However, our priority was to guarantee safety to our employees and customers. Shop assistants had to deal with a lot of stress; working and contact with customers when all are called SPCC e-magazine
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No doubt about that. All employees in managerial positions were more aware of how to act, but also had greater openness and the right tools to effectively support their teams. I have a feeling that if we can talk about the good side of this crisis at all, strengthening us as a team was certainly one of them.
- How do you assess the anti-crisis shields prepared by the government, did Jula Poland benefit from any form of aid? We met the formal requirements to apply for funds from the shield, but the Board of Directors decided that the support of the Swedish parent company was sufficient and we did not apply for any form of government assistance.
- In May and June, the media were showing pictures of queues in shops offering products for work and leisure in the garden, renovations or DIY. We have heard about record sales in e-commerce of various stores. What’s Jula’s situation six months after the pandemic started? In the first weeks, although shops were open, the number of visitors dropped dramatically. In any case, 13
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Jula Targówek. Press materials Jula Poland.
we suggested that our customers should reduce visits in stationary stores. We encouraged online shopping, the Click&Collect service was developed into “drive through”, products ordered online could be picked up at stationary shops, without leaving the car. As a result, online sales have increased several times when compared year-over-year. Although all courier and logistics companies faced many challenges which had also some impact on our services , Jula’s e-commerce undoubtedly helped us to survive the most difficult time. In May and June we actually registered record sales in almost every product category. Interestingly enough, we have not sold the entire stock of children’s products for outdoor activities and games so quickly in any season before. It is a small but interesting category in our assortment and this season has proved to be a salutary one for many parents.
Many companies verify their plans and strategies. And what will Jula have this fall? We are following the epidemiological situation and we are ready for any scenario. Now, thanks to the experience of March, we are well prepared and provided with the necessary protection measures. We scrupulously follow the sanitary regime, we have developed procedures and our employees are well trained. From an operational point of view, we are most afraid of sudden changes in regulations, SPCC e-magazine
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which must be implemented in a short time. We also look forward to another discussion on Sunday trading ban. In the current situation, lifting the ban would certainly help many operators to survive a difficult time, make up for some of the losses, but it would also reduce traffic on the remaining days of the week, making shopping safer. At the same time, we consistently implement our network development plans. In April we opened the fourteenth shop in Poland, it is our second location in Szczecin. In October our shop will emerge in Nowy Sącz, and the next projects will be finalized in 2021. We are not slowing down! Sounds ambitious, keep our fingers crossed!
About Jula Poland: Jula offers handy people a carefully selected range of low-price products to home, garden and leisure. We want to encourage people to make their everyday life more active and interesting. We aim higher - together we will encourage everyone to act individually. The range in stores is mostly based on private labels, which are distinguished by high quality, just like in Sweden. In Poland, the company has 14 markets located in 12 large cities and conducts Internet sales, employing over 350 people. Jula is a Swedish family business based in Skara, founded in 1979 by Lars-GÖran Blank and Karl-Johan Blank. The first Jula market in Poland was opened in 2011. 14
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PANDEMIC DOES NOT STOP NETTO’S DEVELOPMENT STRATEGY In June, when many companies were counting their losses caused by the pandemic and the measures introduced to limit the spread of the virus, the number one news item for the retail industry was the acquisition of Polish Tesco stores by the Danish Salling Group. We talked with Mr. Janusz Stroka, President of Netto Polska, about the background of the transaction and Netto’s plans for the future. All facilities we take over will be renovated according to our flagship concept 3.0. This will happen not later than a year and a half after the contract is finalised. Of course, we will try to make sure that the rebranding is carried out smoothly and quickly, but due to the scale it will certainly be a process stretched over time. Before that, however, the 301 stores covered by the agreement will continue to operate under the Tesco name.
The acquisition of Tesco stores by the Salling Group was announced during the pandemic. How did these extraordinary circumstances affect the implementation of your strategy?
Janusz Stroka President of Netto Polska
The transaction is this year’s most important news for the retail sector, thanks to which Netto chain has joined the top players on the Polish retail market. What will be the next steps in the acquisition process and when will it be finalised? We will only be able to proceed with the contract regarding the acquisition of Tesco after obtaining the approval and positive decision of the antitrust authorities. We expect this to happen in the fourth quarter of 2020. Until then, we are going to focus on developing plans for each of the acquired stores and preparing further actions. SPCC e-magazine
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The development of Netto in Poland is one of the key points of Salling Group’s strategy. Our priority is to reach out to our customers by increasing the scale of our operations and consequently strengthening our position as one of the leaders on the discount market in the country. Therefore, if we recognize space to develop, we try to make the most of this opportunity. Taking over Tesco stores and adding them to our existing chain in Poland is an important step that allows us to materialise these assumptions. The current epidemiological situation, although obviously having a significant impact on the present functioning of the stores, does not affect our far-reaching plans and the implementation of strategic objectives.
Tesco’s compact hypermarkets have a larger surface area than Netto stores, so are you planning to introduce new store formats or will the newly acquired stores be adapted to the 3.0 concept introduced in Netto stores in 2019? Our plans include transforming the acquired outlets into Netto 3.0 stores. Already now, most of the Tesco stores covered by the agreement fit into our 3.0 concept. However, some of them will have to be rebuilt and reduced to correspond to the model of a modern discount store. 15
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Press materials, Netto Polska
Press materials, Netto Polska
The transaction with Tesco incorporated, apart from stores, also two distribution centres; what impact will the addition of two new distribution centres have on the organisation of the Netto network’s logistic facilities? Currently, Netto stores are located mainly in the north and west of Poland, but also in central Poland. This is primarily due to the location of our distribution centres. Thanks to the acquisition of Tesco, we will gain the opportunity to spread the network throughout Poland, also in the east of the country, where we have been absent so far. All this results from the fact that the location of both the shops and the distribution centres of Netto and Tesco is well suited and perfectly complementary. This is an opportunity for us to achieve a scale which helps us make the most of our proven business concept. I can also add that the expansion of our network in new areas meets
Press materials, Netto Polska
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great interest and gives us a chance to create a strong Netto position in Poland. E-commerce is growing in strength, over 70% of Polish people already do online shopping. Although, as the Deloitte report shows, even during the pandemic Polish consumers were cautious about online grocery shopping (only 4% of us buy food this way); it can be expected that e-commerce will gradually develop also in this segment. Is Salling Group planning to develop a Netto e-commerce channel for a selected food or non-food product range? Salling Group is currently testing several e-commerce solutions, developing among others its own online store Netto Fillop model. Of course, we are constantly monitoring it, but at the moment we are focusing primarily on two priority issues for us - activities related to the acquisition of Tesco in Poland, as well as remodelling of our stationary stores. By the end of this year, we are planning to renovate more than 30 older facilities and transform them into Netto 3.0.
Press materials, Netto Polska
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Developing a culture of agility Are there any positive outcomes that businesses can look forward to post-Covid-19? Are you as business leaders concerned about how you and your company can respond to the disruption and innovate quickly. If yes, are the people in your organizations ready to come onboard and support the necessary changes? Barrett Values Centre has recently conducted a study to better understand the impact of Covid-19 on organizational culture and what is required to move forward. Two key themes came out strongly: 1. In this crisis, people are experiencing a culture change in the company they work in. There is a significant shift from a culture that used to focus on performance, control and hierarchy to one that that is now more focused on people, adaptability and working together. 2. When asked for their requested values for their organizations post-Covid-19, participants reinforced the importance of focusing on similar values such as agility, adaptability, teamwork, cross group collaboration. Based on the above insights, if there is one opportunity that organizations must take advantage of during this pandemic, it is to quickly leverage on this situation to develop a culture of agility. Covid-19 has already helped to overcome the inertia and accelerated the speed of change for organizations. Cultural shifts that would normally have taken 5-7 years have now been observed happening in 6 weeks. There is no longer a need to sell the case for agility to your management and staff because the pandemic has forced companies to change or run the risk of going out of business. Many companies are already perceived as agile organizations. What characterizing them is often : – A shared vision/purpose – An organization structure that enables teamwork – The ability to learn and fail quickly – Passionate and engaged people – Leaders who have learned how to be agile as a team – The ability to embrace enabling technologies In this Covid-19 period, it is the opportune time to strengthen and imbue agile practices because SPCC e-magazine
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everyone is experiencing the “burning platform” and therefore more ready to change. In fact, the results from Barrett Values Centre suggest that organizations are already changing. In change management terms, the “unfreezing” of how we used to act has taken place. Business leaders’ role now is to quickly “shape” the necessary changes and “refreeze” or “unleash” the culture to one that is agile. So how can leaders take advantage of this opportunity to develop and strengthen organizational agility? The following are some recommended practices: 1. Create platforms for the senior leadership team to have strategic conversations on “agility” – how important is “agility” for the organization moving forward and how it would look like. Once the “new way of working” is envisioned, 17
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develop a roadmap to strengthen and anchor the new culture. 2. Review the structure of the organization to get rid of unnecessary hierarchy. Agility always includes exercising empowerment and more team-based approach to deliver innovations and customer value. It is a good opportunity to shed unnecessary control and fear and replace
5. Develop new leadership competencies. Enabling an agile culture requires leaders to be role models. Being role models for an agile culture at work requires leaders to take on new skills such as critical thinking, coaching, feedback and servant leadership skills. Many managers see themselves as experts and adopt a “know it all” stance when solving problems. Developing an agile culture requires, in many circumstances, the managers to play to the role of a coach to enable individuals and teams to make their own decisions. This requires a change in managerial mindset. From my many years of Change Management Consulting experiences different companies, I have never come across any organization that denies the importance of having an agile culture. However, many executives seams to not be able to create the necessary culture transformation. The most common excuse for this is that there are other pressing priorities which requires urgent attention. The second most common excuse is that cultural transformation is difficult to measure in terms of Return On Investment. It seams like the persistence and determination are crucial skills as results does not happen as quick and measurable as when we implement other business initiatives.
it with a flatter and team-based structure. A good starting point for empowerment is to have the leaders admit that they do not have all the answers. 3. Agility is mainly based on team members consciously living agile team values. These values shall be developed together with the senior leaders and shall be reflecting the people in the team. 4. Take this opportunity to develop a good practice of “checking in” with employees regularly. Frequent engagements promote trust and offer opportunities to address concerns immediately before problems escalate. There are various useful online platforms and face to face leadership communication methods that allow you to engage people in fast, frequent and focused dialogues around topics that matter most. SPCC e-magazine
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Today, the Covid-19 pandemic has created a natural desire among people to embrace agility. Businesses that survive and thrive are those who are agile and adaptable. A good old anecdote related to this is about the 2 unarmed tourist in the wild terrain who suddenly spots a tiger who has also spotted them. One of the tourists panics and try to hide. The other one puts on his snickers for running. First one says “You can not run away from a tiger”. The other one replies “I don’t have to”. “I just have to be faster than you”. My conclusion of the obvious agile culture opportunity given at the moment is; That the question is no longer how long will you wait, but instead whether you can afford to wait at all. Leif Christiansen, Vice- Chairman of the SPCC Board, Danish Section CEO PROAKTIVE - Change with Impact 18
SCANDINAVIAN InspiraTION
2020 SPCC Photo Contest Scandinavian Inspirations Results of the contest will be announced soon! You will meet 12 lucky winners in November. Follow the SPCC on Facebook! This year we have invited you to share photos which remind you of the best of Scandinavia. Scandinavian Inspirations can also be found outside the Nordic countries, therefore this year you could send us also photos from Poland. We would like to thank all generous sponsors for great prizes
SPCC e-magazine
No 2/2020
19