Former Chairman of the Board of Goodwill Industries and have participated in a lot of other seminars and team excellence award competitions where I was a judge. So,a manager is someone who plans and administers, directs and controls the use and coordination of resources in order to achieve a goal. There's significant research that says, many of our worlds most prominent organizations are very aptly and expertly led by people who are considered to be brilliant managers not necessarily leaders.

Now today with the cost of replacing employees, anywhere from 50 to 300% of a person's annual salary depending upon the level of sophistication and complexity of their job, HR managers are now tracking the numbers of people that leave by boss. Initiating momentum, staying connected with change, having people want to follow voluntarily, inspiring and gaining commitment, and providing support. Social issues are also something that a manager has to do, with stem cell research, population changes and growth and world hunger, human rights, and technology.

It forces executive and people throughout the organizations to respond quickly to changes in the market. Another driver is mergers and acquisitions and the revolving door of executives, the global economy and geopolitical pressures. And you see the small arrows on the inside of this cloud representing people going in different directions, confused and misaligned.

I'm Dave Nagy, and I would like to talk to you and help share with you one of the concepts, one of the drivers of business and their organizational behavior, and that is lean. Can we get the material, the resources, the equipment, the parts from the supply chain in order to handle that increased capacity? The PDCA process, Plan Do Check Act, goes back to the Deming days and it is based upon the scientific method.

The outcome of that study was to develop a routing system for the drivers and only in major cities and metropolitan areas, route the drivers with right turns only, eliminating the need to wait to the end of the traffic light to do a left hand turn. People don't want it when it's bad, it gets obsolete, and you end up throwing away excess inventory, a waste. So we talked about lean, and I introduced you to that concept as one of the drivers in an organization, and affecting the behavior of its members.

All of a sudden, you find that you can no longer use the Excel spreadsheet that you have been using for years, because the company has introduced a new SAP software platform. We have the desired state where we have bridged the gap and we now are doing, putting into effect that new learning, the new training. So that concludes this section on transition, remember you have the ability to control how you adjust and respond to this fear.

And as we talk about the change, our thoughts and our feelings with others, if they are supported then we are now able to move forward and start to develop new actions toward our goal. From research, from trauma, from natural disasters, a earthquake in New Orleans, Katrina, and it destroys part of the city. Excitement, stress, frustration, anxiety, and we have supportive mentors or other people confidants and they say, that's very natural at this point in time.

We make people aware of why the existing situation is unsatisfactory, and we have end users to help us formulate the change process. Depending on the size of the organization, it took a long time for people to fully adapt to all of the changes in that SAP implementation where they had to abandon their Excel spreadsheets. Well, as the experts say, executives, senior management decide that we have won the battle with the first few minor victories, and they move on to new agendas, new priorities.

So if we have 40% of the people on board in the proactive camp, if we have 50% on the fence, and we have 10% who are total distractors to the change initiative, where should you spend time? You're really involved with the fence-sitters because you want them having the change agents also work with them to bring them over to the proactive supporter side. And the jobs were posted for cell number one, machinists and operators and forklift drivers and technicians and data entry people.