Thursday, 16. June 2011 19:51
Change is hard enough for the average person, CEO or company. But for Oprah and her Harpo Productions it has to be monumental. But she is doing it anyway – changing her life by dropping her talk show, the mainstay of her company and reinventing her company with her OWN television network. Pretty amazing. Just think how many people are invested in having Oprah stay exactly as she was.
- There is the audience who has watched her every weekday for 25 years of their lives. They will experience a loss, missing the comfort of this steady relationship and a repeated life pattern.
- There are the ABC network, affiliates and the advertisers that make so much money from her audience’s attention. They will most certainly experience a large loss of revenue as she changes to Cable with a currently smaller outreach.
- There all the employees who rely on her for employment to feed themselves and their family.
She has said they will all come with her on the new venture. Hopefully that’s true.
- There are the friends, especially Gayle, who have so much invested in their relationships staying just the way they were, good or bad. Gayle has a new role. Will it keep her satisfied and supportive?
- Then there is Oprah herself and all the personal things Oprah has garnered from her success – all the trappings (the home, clothes, and celebrity), the pride of accomplishment, the ego gratification and the power. She has said these are secondary to her good works and influencing of her fans’ lives.
Human beings rely on others for a sense of self. Take away those relationships and we feel great loss. Oprah and everyone connected with her has been spoon fed love, comfort and empowerment in abundance over the years. Will everyone survive the loss, bridge the gap or will they fall into the chasm?
The Oprah Way – Something for Everyone
Oprah’s management of this transition is perhaps the best example of corporate change management to come down the pipe, ever. In this case, Oprah, the CEO, chose the change. Everyone else had the change thrust upon them. Her strategy to ease the pain – create a very public, year-long process, providing something for everyone.
Audience: First of all she didn’t just announce, then do. During the final year, the bulk of the process was devoted to a celebration of the past and all things wonderful contained within. Episode after episode was a last hurrah enabling her audience to relive, then applaud and laud, all of the good, albeit a carefully selected and scripted, past. .
Advertisers: I am sure, though not certain, that each one will be given the opportunity to accompany her. Whatever their choice, she has made great effort to offer them final opportunities to promote themselves. Through her free giveaways and ever-growing final audiences, she gave them their own last hurrah. It is rumored that the cost of ad spots for her final shows rivaled that of the Super Bowl’s.
Employees: By not quitting, retiring or taking a break and continuing to work in a similar but different aspect of her industry, she keeps opportunity of employment for her employees. They don’t all suddenly lose their jobs. And if some do, she has given them a longer, softer, certainly less painful transition. Complete with a huge thanks for past work, instead of the typical ‘too-bad, that’s life’ boot on the backside as they go out the door.
Friends: Gayle is perhaps the best example. With her own show on the new OWN, she continues with a role, perhaps even a better one, in Oprah’s life. She has been given a new opportunity and her own set of risks and challenges to accomplish or fail.
Corporate Translation
Companies going through transformative change should adopt Oprah’s process. Examples of botched corporate reinventions laden with lead balloons of bad press, failed spin PR, golden parachutes and legions of never fading ill-will abound. Hers is a framework that translates into a positive strategy and plan for any company.
Customers and clients = her audience: If you make any large scale change – tell them, explain, be open and honest and give them a long time to transition. Oprah’s was a full year. Your customers are not your enemy. They are your biggest fans. They fill the stands that are the coffers of your revenues. They, like Oprah’s millions of followers, are number one. It’s not about what you make. It’s about who makes you. They know if you are lying and spinning and will jump ship to the competition, fast.
Vendors, outside service providers = her advertisers: Think up and give them other opportunities to come along on the new wave. They are your biggest cheer leaders.
Employees = her employees: Don’t cut your costs here. Get creative instead. Invent a vehicle, any vehicle, to take them along and keep them. The vehicle that saves them may just become your best, new business product or service.
Share holders, investors = friends: Ensure they come along by giving them a role to play in the next phase.
This isn’t really a change management (CM) plan. It is a business plan involving change, devised at the highest level of the company. Most CM plans are low-level, one-off initiatives designed to spin, keep employees contented and control fall out in order to make the change “easier” on management. Oprah’s plan, whether conscious or instinctive, is not a reactive, add-on, change management plan. It is a proactive business plan with integrated business priorities. This is what really has made Oprah so successful. She knows how to run a business well.
Bottom Line
A change management of this type is not a keep everyone ‘happy’ HR retention plan. Rather as an integrated business plan, every level of the organization is engaged to drive the business reinvention and next success. Oprah dug deep and invented a new business to grow in a new area and in new ways. Reaching beyond the short-term and the easy obvious, the new business retains its most valuable assets – its people – the customers, product and service providers, employees, investors. An intentional mandate of full retention and inclusion strategy drives of the new business type. Collateral damage is not an option
Just as People made Oprah’s past success, it makes all companies’. People want their company to succeed again. The business’ success is their success. It has a value to them too whether spiritually, monetarily or otherwise. If change is planned and executed with taking everyone along on the journey as the number one, the right next thing will be invented. They will actively and voluntarily make the next success again, no matter what it is.
The bottom line business strategy:
Celebrate the past. All in it was relevant, useful and valuable.
Now let’s all move on and make the next succes
————————————————————————————————-
Coda and Kudos
Dear Oprah,
At first I thought this new venture was more of the same and thus easier for you. That after 25 years you were really just afraid to take a break or retire, a common fear for hyper-accomplished people. Upon fuller examination, I now understand it would have been easier to just walk away, or stay exactly the same while watching your audience and success dwindle.
Instead you chose to work really hard at re-invention. No golden parachute, no mass layoffs, no blaming others, no quitting at the ‘top of your game’. You choose to climb the next mountain; to continue to innovate, create and develop something more and larger, not for just yourself, but for all others. This way is the hard way, and yes the nobler way. This way takes real guts. This is real corporate leadership. You continue to break new ground. I am in awe.
Best wishes and may you continue to reap rewards,
Catherine Adams Lee
Copyright © 2011. Catherine Adams Lee Consulting. All rights reserved.