CRICOS code 00025B
Semester 1, 2023
Dr Sandra Figueira
UQ Business School
The University of Queensland

TIMS7317
Corporate Sustainability
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UQ Business School
Topic 4: Change
Approaches to
Sustainability
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13/03/2023
CRICOS code 00025B
Seminar Aims:
Guest Lecturer – Daniel Nyberg
Break – 10 minutes
Change approaches to sustainability Incremental change & Transformational change
Break – 10 minutes
Seminar Workshop activity
Assignment questions? (throughout the seminar)
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Time to take a 10 minutes
break
3
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Let’s finalise groups…
Anyone doesn’t have a team?
Any questions on Assessment 2? The Team assessment…
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Incremental and Transformational Change
The implementation issues in creating sustainable organisations.
Week 4 Slides – Change Approaches to Sustainability
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“To change successfully, companies should stop changing all the time.
Instead they should intersperse major change initiatives among carefully
paced periods of smaller, organic change”
Abrahamson 2000
Change Quote
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Bridging the Gap
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• Change processes involve not only learning something new – but also
unlearning something which is present and potentially highly ingrained in an
organization
• Change requires a motivation to change. So this motivation may be already
present or you need to find a way to induce a motivation.
• Organisational change comes about through changes by key members –
‘change agents’
• Change can elicit strong emotions and may involve fear and uncertainty.
• Change is a multi-stage process.
Organizational change – some key points
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Most widely used approach
to change.
Focus may be:
o Technical
o Operational
o Social Systems – training
& motivational
Incremental Change
Why and When Should Change be Incremental?
Why - Small changes are needed for continual optimisation.
When - Market is relatively stable
- When organisational products and performance are
in line with market.
- When change can be undertaken over longer
periods of time.
- Incremental change is planned and ongoing – it affects
day to day operations.
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 Planned incremental change works with the phase approach.
 All areas of the organisation can be involved.
 Change is agreed, strategised and coordinated.
 Corporate culture supports the changes.
 Consistent initiatives can raise awareness (but may also dilute impact).
Note: there is no one way to create successful change.
Observations on Incremental Change
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Major Issues Action Strategies
Lack of fit with external
environment
Constant monitoring of the external environment of the firm and a
preparedness to engage in transformational change if necessary.
Decreasing managerial
support for change program
Demonstrate and promote performance improvements. Develop small-
wins approach, market success in order to win management support.
Change faddism Maintain program consistency and link the program to overall corporate
strategies and value statements.
Lack of clear vision &
program objectives
Outline clear goals and priorities – provide clear support & encouragement
for small wins that align with these goals
Lack of learning
mechanisms
Development of teams & processes whereby issues around incremental
change success & failure can be drawn upon. Focus on measurement.
Overcoming Limitations to Incremental Change (From Benn, Dunphy & Griffiths (2014))
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 Development of Small Wins
 Capability Development
 Positive Culture Change
 Efficiency Improvements
 Creation of New Organisational Structures
- Based on teams & improvements in reporting systems & feedback.
 Development of Change Competencies.
Benefits of Incremental Change
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 Can be applied to ecological efficiencies, process improvements and cultural
change.
 Can culminate in a culture of learning/knowledge creation and transferral.
 Can generate a process of systemic sustainability related incremental change.
Small Wins
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Incremental change can facilitate the development of capabilities within the
organisation.
Operational Capabilities = Standard capabilities associated with products and
processes
Dynamic Capabilities = Capabilities which enable change through resources
reconfiguration.
Reference: Benn, Dunphy & Griffith (2014) Organisational change for corporate sustainability. Routledge
Capability Development
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Incremental change can focus on activities which develop the culture of an
organisation either directly or indirectly.
Engaging employees with storytelling and other cultural change techniques can assist
value alignment with strategy development and the identification of opportunities.
Promoting pro-environmental attitudes promote sustainability related organisational
change.
Reference: Benn, Dunphy & Griffith (2014) Organisational change for corporate sustainability. Routledge.
Culture Changes
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We will now consider Transformational
Change
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Why - Where organisations are greatly out of alignment with their environment
- failure to change quickly can be fatal. In this case transformational change =
survival.
- Or new view – when organisations want to transform to lead
When - The market environment is dynamic.
- When opportunities need to be seized (& risks avoided).
- Strebel (1996) says that breakpoints offer opportunities to radically alter an
organisation’s structure for turnaround.
Why and When Should Change be Transformational?
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 Downsizing
 Restructuring
 Mergers
 Acquisitions
 Divestments
 Business Process Re-engineering
 New market entry
 Major technology change
Transformational changes include (but not limited to):
Levels of Intervention for Transformational Change
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Risky – for company (& for the careers of change agents)
• All though risky at times not acting on the need to change will be fatal for the company.
• Successful transformational change can be vital for longevity
• Unintended consequences – uncertainties, environmental disasters have occurred
through supply chains
Costly - Long term pay back.
Organisation wide - Often requires an overhaul of key strategies, values, systems and
assumptions. Disruptive.
Potential Problems of Transformational Change
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So before you decide on a change approach
you need to know about both your
organisation, your market (& future directions)
and the fit between the two.
Keep in mind….The correct approach to change varies by
situation….
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Criteria 5 of Assessment 1:
How will this topic be
assessed in this
course?
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UQ Business School
Identification and justification of
the type of change and how the
sustainability strategy and project
would add value to the company
and society.
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Q&A
Assessment 1
UQ Business School
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Time to take a 10 minutes
break
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Analise and decide in your
table/group what type of change
would you recommend for the
chosen company (preferable the
same chosen company in previous
weeks):
1.Qantas
2.AGL
3.Brisbane Airport Corporation
4.LendLease
5.Boyne Smelters
6.Australian Agricultural Company (AACo)
7.University of Queensland
Seminar Activity: Change Approaches to Sustainability
Your team will need to provide a 5min overview at the end of the Seminar
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UQ Business School
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• The Value of Sustainability
• Understanding the value of
sustainability projects to an
organisation. Consideration of how
to calculate value consistent with a
focus on environmental, social and
financial outcomes?
• Guest Lecturer: Jim Walker
• Read chapter 6 of textbook and the
article Creating and Capturing
Value Through Sustainability
Next week …
UQ Business School