CHANGE MANAGEMENT: MOVING FROM GOOD INTENTIONS TO GOOD RESULTS

Wednesday, January 21, 2009 Gary Vansuch

A question for you: What is Change management?

Another question for you: Have your change management efforts worked as well as you wanted?

Managing change: people

8. My organization is good at managing the people side of change initiatives.
40% 30%

36% 20% 24% 8% 2%

Stongly Disagree Disagree Neutral Agree Strongly Agree Don't Know & N/A

20% 10% 0%

10%

Almost 1/2 disagreed

People Readiness for change

For corporate process improvement involving systems investments:

28% are abandoned 41% come in behind schedule and/or over budget 80% are NOT used in the way they were intended, or NOT USED AT ALL, 6 months after completion of installation
-- Gartner Group, 2003

Here is what I believe change management is:

The process, tools and techniques to manage the people-side of change to achieve the required business outcome(s)

Have our good intentions for change management addressed this?

The process, tools and techniques to manage the people-side of change to achieve the required business outcome

Do our good intentions for change management address this?

Look carefully at the last part

The process, tools and techniques to manage the people-side of change to achieve the required business outcome

Or, do our good intentions for change management look more like this?

A email memo about the change, from the project team (or maybe, from a senior executive) A bulletin board about the project or the change A website about the project or the change Another email Some quick training

 and, is this approach successful?

A email memo about the change, from the project team (or maybe, from a senior executive) A bulletin board about the project or the change A website about the project or the change Another email Some quick training

Change management is not:

Managing the technical side of change Just communication plans

Summary of Key Points

Key point 1: To move from good intentions to good results, we have to realize that effective change management is more than just a few pieces of communication

Key point 2: To move from good intentions to good results, we have to realize that we (the changers) may be living in the future state, while everyone else (the changees) is living in the present
Key point 3: To move beyond good intentions, effective change management MUST be focused on helping individuals change Key point 4: Individual change is a process Key point 5: To move beyond good intentions, we need to select and use the tools available to us Key point 6: To move beyond good intentions, we need the right people involved and engaged in the right ways Key point 7: Begin with end in mind. Measure the right things for this change, at the organizational level and the individual level

Key point 1: To move from good intentions to good results, we have to realize that effective change management is more than just a few pieces of communication

Change management is the process, tools and techniques to manage the people-side of change to achieve the required business outcome

Benchmarking findings Causes of resistance

Employees:
1.

Managers:
1.

2.

3.

4.

5.

Not aware of the business need for change Lay-offs were announced or feared Unsure if they had the skills needed for success in the future state Comfort with the current state Believed they were being asked to do more with less, or do more for the same pay

2.

3.

4.

5.

Loss of power and control Overloaded with current responsibilities Lacked awareness of the need for change Lacked the required skills Fear, uncertainty and doubt

Can mere communications address these?

Key point 2:
To move from good intentions to good results, we have to realize that we (the changers) may be living in the future state, while everyone else (the changees) are living in the present future

Three Phases of Change: How people experience change

Current State

Transition State

Future State

Current State
Employees (including management and executives!)

generally prefer the current state, because that is where they live

Current State

Transition State

Future State

better the devil you know is better than the devil you dont

Future State
The future state is unknown to the employee; will it be

better, or worse? This is where Project teams live

Current State

Transition State

Future State

Transition State
The transition state creates stress and anxiety

Current State

Transition State

Future State

Key point 2, revisited: To move from good intentions to good results, we have to realize that we may be living in the future state, while everyone else is living in the present People will resist change, but not because they are being contrary

better the devil you know is better than the devil you dont

Key point 3: Effective change management MUST be focused on helping individuals change

Successful change addresses both the technical and the people side
Project Management

Solution is designed, developed and delivered effectively (Technical side)

Future

Current

Transition

+
Change Management

Solution is embraced, adopted and utilized effectively (People side) = CHANGE SUCCESS

Individual PEOPLE change, NOT organizations

Individual change management it the Centerpiece of success

The secret to successful change lies beyond the visible and busy activities that surround change. Successful change, at its core, is rooted in something much simpler:

A D K A R

How to facilitate change with one person.

From ADKAR: a model for change by Jeff Hiatt

Effective change management requires two perspectives

Individual perspective How does one person makes a change successfully? Organizational perspective What tools we** have to help individuals make changes successfully?

** we means project leaders and team members, HR, OD, training, communications, managers, supervisors

The focus of Change management is on helping individuals make their own personal transition

Organizational The change to how we do business

Current

Transition

Future

Individual From: How I do my job today How I will do my job after the change is implemented

Current

Transition

Future

Current

Transition

Future

To:

Current

Transition

Future 25

Key point 3, revisited: To move beyond good intentions, effective change management MUST be focused on helping individuals change

From an organizational perspective, we need to determine what we** can do to help individuals change

Key point 4: Individual change is a process

The five building blocks of successful individual change

Awareness Desire Knowledge Ability Reinforcement
of the need for change to participate and support the change on how to change to implement required skills and behaviors to sustain the change

ADKAR is the (relatively) easy-to-remember acronym

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ADKAR
Awareness of the need for change (why). Desire to support and participate in the change

(our choice). Knowledge about how to change (the learning process). Ability to implement the change (turning knowledge into action). Reinforcement to sustain the change (celebrating success).

Employees have preferred senders of change messages

Top-level executives and senior leaders when the message pertains to the business need for change and alignment of the change with the organization's overall direction. Employees immediate supervisors for messages that pertain to the individual impact resulting from the change (discussing 'what's in it for me' with each employee).
31 31

Communication checklist
Yes No Question: Have you identified all of the different audiences you need to communicate with throughout the organization? Have you identified who the ideal sender of communication messages will be? Have you identified what are the most effective channels of communication? Have you created mechanisms to enable two-way communication to take place?

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Not Everyone Changes at the Same Pace

Address the needs of each INDIVIDUAL

Recommendation: Create a Change Management Profile for Each Employee

Key point 4, revisited: Individual change is a process

From an organizational perspective, we need to determine what we** can do to help individuals

Key point 5: To move beyond good intentions, we need to understand, select and use the tools available to us

Some Key Change Management Tools

Communications Sponsor Roadmap Training
Readiness / Resistance Mgt.

These channels enable Effective change management

Coaching

Mapping the tools to the personal change elements (ADKAR)

Communications

Awareness Desire Knowledge Ability Reinforcement

These channels enable project team to facilitate organization through phases of ADKAR.

Sponsor Roadmap Training

Readiness / Resistance Mgt.

Coaching

Key point 5, revisited: To move beyond good intentions, we need to select and use the tools available to us Use the right tools, in right place
Communications
Sponsor Roadmap

Training
Readiness / Resistance Mgt. Coaching

Who is this We

Key point 6: To move beyond good intentions, we need the right people involved and engaged in the right ways

Change management requires a system of doers

Executives and senior managers Middle managers and supervisors

Change management resource/team

Each gear plays a specific role based on how they are related to change
Project support functions

Project team

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Change management roles

Role
Change mgmt resource/team

Ideal implementation
I develop the change management strategy and plans. I am an integral part of project success.

Executives and senior I launch (authorize and fund) changes. I sponsor change. managers Middle managers and front-line supervisors Project team Project support functions * Change management group, dept or office
I coach my direct reports through the changes that impact their day-to-day work. I manage the technical side of the change. I integrate change management into my project plans. I support different activities of the change management team and project team. We own the change management methodology and support its implementation in the organization.

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Current common reality that we need to move beyond

Role
Change mgmt resource/team

Common implementation
I feel like Im on an island here people expect me to do everything and have all the answers.

Executives and senior I gave you funding and signed the charter now go make it happen! managers

Middle managers and front-line supervisors

Project team Project support functions * Change management group, dept or office

I feel like Im the direct target for some of these changes, and I wish I knew what was going on.
My focus is just the technical side. Once I flip the switch, Im moving on to the next project. I get called in on projects and given one little task, but Im not sure how I fit in to the overall picture. I dont even exist yet.

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Executives and senior mgrs What is their role

1.

Executives and senior managers

Middle managers and supervisors

Change management resource/team

Project team

Project support functions

2.

3.

Participate actively and visibly throughout the project Build a coalition of sponsorship and manage resistance Communicate directly with employees

Not just signing checks and project charters!

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Middle mgrs and supervisors Why are they important

They are close to the people who adopt the change They play a role in all types of change in the organization They need to be trained to be successful

Executives and senior managers

Middle managers and supervisors

Change management resource/team

Project team

Project support functions

Macro top-down changes

Executives and senior leaders

Middle managers and supervisors

Front-line employees

Micro daily changes

Executives and senior leaders

Middle managers and supervisors

Front-line employees

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Executives and senior managers

Middle managers and supervisors

Middle mgrs and supervisors What are their roles

Role 1 Communicator Role 2 Advocate Role 3 Coach Role 4 Liaison Role 5 Resistance manager

Change management resource/team

Project team

Project support functions

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Project team Why are they important

Drive the technical side of change
Design solutions Develop solutions Deliver solutions

Executives and senior managers

Middle managers and supervisors

Change management resource/team

Project team

Project support functions

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Project team What is their role

1.
2.

Executives and senior managers

Middle managers and supervisors

Change management resource/team

Project team

Project support functions

Design the actual change Manage the technical side of the change

Charter, business case, schedule, resources, work breakdown structure, budget, etc.

3. 4.

Engage with CMgt team/resource Integrate CMgt plans into project plan
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Executives and senior managers

Middle managers and supervisors

Project support functions

Change management resource/team

Project team

Project support functions

Examples

HR OD Training Communication SMEs

Bring specific experience, knowledge, tools and expertise to the project Sometimes act as the change mgmt resource
Key pieces of the technical and people puzzles

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Mapping change management roles

1. 2. 3. 4. Apply methodology Formulate strategy Develop plans Support other doers

1. Authorize and fund 2. Participate actively and visibly 3. Create coalition 4. Communicate directly

Executives and senior managers

Middle managers and supervisors

1. Communicator 2. Advocate 3. Coach 4. Liaison 5. Resistance manager

Change management resource/team

1. Design the change 2. Manage technical side 3. Engage with CM 4. Integrate CM

Project team

Project support functions

1. Experience 2. Knowledge 3. Tools 4. Expertise

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Change management resource What is their role

Enable others
Help execs and senior leaders
Executives and senior managers Middle managers and supervisors Change management resource/team

Executives and senior managers

Middle managers and supervisors

Change management resource/team

Project team

Project support functions

Effectively fulfill the role of sponsor of change Effectively coach their employees through transitions Make the bridge between implementing a solution and realizing benefits 60

Project team

Project support functions

Help managers and supervisors Help project teams

Employee-facing vs. enabling

Employee-facing roles
Executives and senior managers Middle managers and supervisors

Enabling roles
Executives and senior managers Middle managers and supervisors

Change management resource/team

Change management resource/team

Project team

Project support functions

Project team

Project support functions

One-to-one interactions One-to-many interaction Observable behaviors

Creation and implementation of plans that are executed by the employee-facing roles
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Homework: Where is your group?

Role:
Change mgmt resource/team Executives and senior managers Middle managers and front-line supervisors Project team

Who:

Understanding:

Effectiveness:

Who in the organization plays each role?

How well do they understand their role?

How effectively are they fulfilling their role?

Project support functions * Change mgmt group, dept or office

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Key point 6, revisited: To move beyond good intentions, we need the right people involved in the right ways
Executives and senior managers Middle managers and supervisors

Change management resource/team

Project team

Project support functions

Do you have the right people involved in the right way?

How will you know if your change has been effective?

Key point 7:

Begin with the end in mind.

-- Stephen R. Covey from The Seven Habits of Highly Effective People.

Begin with the end in mind.

-- Stephen R. Covey from The Seven Habits of Highly Effective People.

and, measure your progress accordingly

Two points of measurement: Organizational perspective

Outcome:

Organizational

Did the project deliver the intended results?

Current

Transition

Future

Process:

#s
Organizational
Current Transition Future

Was the project delivered on time and on budget? Were milestones met along the way?

Two points of measurement: Individual perspective

Outcome:

Individual

Are employees doing their work the new way required by the project?

Current

Transition

Future

Process:

Individual
Current Transition Future

How well did employees make the transition? How well did we** support that transition?

A D K A R

Framework for measurement

Organizational Individual

Process

Speed of adoption Utilization rate Proficiency

Individual change management:

-Awareness -Desire -Knowledge -Ability -Reinforcement

Outcome Business performance against objectives

Individual performance for each job role

Framework for measurement

Organizational Individual
Individual change management: -Awareness -Desire -Knowledge -Ability -Reinforcement

Process

Speed of adoption Utilization rate Proficiency

Measured by group, function, and or location

Measure by assessment
Business performance against objectives, such as: Individual performance for each job role

Outcome

Financial Performance Quality of product, service Quality of worklife Speed of implementation Etc.

Performance towards objectives, as defined in personal objectives with immediate manager

Key point 7, revisited: Begin with end in mind. Measure the right things for this change, at the organizational level and the individual level

Change management is the process, tools and techniques to manage the people-side of change to achieve the required business outcome

Summary of Key Points: Revisited

Key point 1: To move from good intentions to good results, we have to realize that effective change management is more than just a few pieces of communication

Key point 2: To move from good intentions to good results, we have to realize that we (the changers) may be living in the future state, while everyone else (the changees) are living in the present
Key point 3: To move beyond good intentions, effective change management MUST be focused on helping individuals change Key point 4: Individual change is a process Key point 5: To move beyond good intentions, we need to select and use the tools available to us Key point 6: To move beyond good intentions, we need the right people involved and engaged in the right ways Key point 7: Begin with end in mind. Measure the right things for this change, at the organizational level and the individual level

Everyone thinks of changing the world, but no one thinks of changing himself.

- Leo Tolstoy