organization management managing organizational change

ORGANIZATION MANAGEMENT

Managing Organizational Change

Change is the process of moving from onestate (current state) to another (future state)

Transition

What is Change?

Current State Future State

Change is inevitable

Change is uncomfortable

Change is disruptive

The complexity of change has increased

Change – Facts & Dynamics

People ...

feel awkward, self-conscious

think first about what they have to give up

feel alone

can only handle so much

are at different levels of readiness

revert to the old as soon as the pressure is off

Facts about Change Dynamics of Change

External Forces Economic Social Organizational Environmental Legal

How Does Change Take Place?

Internal Transition Psychological process to shift behavior Let go of the old and embrace the new Occurs at your own pace Internal transitions must occur before change is fully realized

Transition

Current State Future State

The Cycle of Transition

Denial

Resistance

Commitment

Exploration

ZIGZAGZIGZAG

it will be over soonthis won’t happenapathynumbnessminimize the changeignore

sense of loss of controlconcerned with competencyfuture contribution unclearlack of focus or directioncan’t sleep at nightanger/fightswithdrawal from the teamblaming

teamworksatisfaction

clear focus and plancooperation

balanceclear vision of the future

seeing possibilitiesexploring alternatives

feeling “ I can make it”high creativity and energy

too many new ideaslack of focus

indecisivenesshave too much to do

start “being” in the future

Inform, Communicate and Motivate

Listen,Share

and Understand

Reward and Motivate

Facilitate, Problem Solve and Motivate

Adapted from Managing Change at Work by Cynthia Scott and Dennis Jaffe

Strategies for Managing Reactions to Change

Resistance: Stop Spinning Your Wheels Exploration: Venture into Uncharted Territory

• Gather information from reliable sources.• Avoid getting caught up in rumors and speculation. Discuss rumors openly with your manager and verify facts.• Allow yourself time to internalize and reflect on how you feel about the change. Don’t be swept

away by other’s emotion.• Avoid staying stuck in this stage. It can be draining and defeating.

Adapted from Managing Change at Work by Cynthia Scott and Dennis Jaffe

Denial: Gain Power Through Information Commitment: Keep the Momentum

• Accept that this is a period of emotional turmoil and that you may experience feelings of anger, hurt, disappointment, depression, betrayal and loss.

• Seek emotional support from trusted friends, family, peers and managers.

• Avoid self-defeating behavior such as acting like a victim, developing a bad attitude, and rallying others to fight the change.

• Avoid staying stuck in this stage: A prolonged negative attitude can earn you a poor reputation and undo a lot of your good work.

• Continue to find new solutions to the new situation.

• Revisit and refine your goals.

• Continue to rally people around the change.

• Avoid complacency by assuming a new status quo.

• Continue to expand your skills and knowledge.

• Break out of your comfort zone by taking on new assignments and challenges.

• Continue to suggest ideas and think unconventionally.

• Focus on changes that can be made to work rather than listing all the things that can go wrong.

• Focus on priorities and set short term goals for yourself.

• Acquire new skills and knowledge.

Shifting Behaviors…

For people to consistently behave in a new way, three conditions must be met

the person must

• be aware of what the new desired behavior is;

• have the skills to perform the desired behavior successfully

• be motivated to change his/her old behavior

Managing Organizational Changea disciplined approach to help organizations manage transition

Guiding Principles of MOC People are our only sustainable competitive

advantage - they are the intellectual capital of the organization.

Those who are closest to the work have the best information about what is needed to do it most effectively.

People tend to support more readily what they help to create.

People need to understand the context of the change. Understanding is found through dialogue.

To build a sustainable change, people must experience some personal results.

CommunicationMinimizing thrash to the

organization

Stakeholder AnalysisIdentifying those impacted or

influenced by the project

TrainingTraining strategy

& delivery

Change Impact & Organizational Readiness

AssessmentIdentifying impacts of the change and monitoring organizational readiness

Sponsorship AlignmentMaintain Sponsor Alignment and

Commitment

Knowledge TransferKnowledge capture and transfer to

benefit project and others

Team Effectiveness

Assessing team dynamics and assisting the project

manager

MOC Areas of Focus

Creating Your Business Case

Business case should articulate: The objectives of the project

The intended outcomes and benefits

Specific deliverables (including specific results)

The driving forces

The costs (fixed, short term, long term) and ROI

The timeline and expected delivery date

The constraints, risks, and challenges

The proposed project structure – who is leading, who is participating


organizationThe purpose of a business case for change: To influence alignment around project objectives,

deliverables, and metrics

Critical Success Factors: Gain alignment and agreement between sponsors and key

stakeholders.

Created to be used in future communications to end users

Consider this a decision checkpoint: should we proceed with this investment or not?

Lack of alignment indicates the need for continued refinement of the business case or a halt to the project


organization

Creating Your Business Case

Stakeholder Analysis

Creating a stakeholder analysis: List all groups and individuals you expect to be impacted

Useful to include the following attributes initially: Group name / individual name Manager name Classification (sponsor, focus/target, change agent) Directly or indirectly impacted Impact Assessment (high, medium, low) Key interests or expectations


influenced by the projectThe purpose of the stakeholder analysis: To specifically identify all members of the community

that will be directly or indirectly impacted by the project To assess the ‘reach’ or magnitude of the project

Stakeholder Analysis – 2

Do early and update often

Use for assessments of needs, expectations, and success factors for key stakeholders by conducting interview sessions

Utilize this information throughout the project – communication planning, focus groups, training assessments, and identification of risk areas

Avoid the temptation to create multiple lists. Use a master list and design to future intentions.


influenced by the project

Communication CommunicationMinimizing thrash to the

organization

The purpose of communication planning: To provide discipline around reviewing your communication

strategy

To identify objectives and messages for key communications ‘moments’ within a project

To provide a process to follow for creating messages.

It can take 7-11 times for us to hear a message before we internalize…

Communication – 2CommunicationMinimizing thrash to the

organizationThe communication planning process:

Determine communication vehicles,

owners, and timing

Determine audience

Determine our desired

outcomes

Deliver the communication

Get feedback and analyze

effectiveness

Determine key messages and communication

objectives

START

Communication Process

From stakeholder analysis

What would be observable?

Sponsorship Alignment

Sponsorship alignment includes: Specify sponsor roles and expectations Validate adequate sponsor representation Determine engagement model (expectations for future meetings

and checkpoints) Periodic sponsorship assessments Determining escalation model Clearly stating accountability Establishing effective relationships with sponsors – keeping in touch


Commitment

The purpose of sponsorship alignment: To help build the partnership between the project and the sponsors To set expectations about what the sponsors will be asked to do

to support the MOC activities of the project.

Sponsorship Alignment - 2

Sponsor Roles & Responsibilities: Maintaining program priority

Championing the program through personal actions and

conversations to peers and own organization

Resolves conflicts over policies or objectives

Providing political influence at high levels

Acts as an escalation board for unresolved issues or

cross-functional decisions

Approving scope changes to site project plans

Removing roadblocks and supporting key project decisions

Creating the cultural shifts necessary to realize the business

results and benefits.

EXECUTIVE SPONSORS

Note: There may be different levels of sponsorship needed throughout the life of the project


Commitment

What if you have a weak / passive sponsor?

Training

Training strategy/plan should articulate: A holistic picture of the education required to shift to future state Training goals and objectives Audience analysis Training needs analysis Delivery approach Cost proposals

Use the stakeholder analysis for needs assessment


& delivery

The purpose of training strategy/planning: To identify the educational needs required to update or

alter the skills needed by the directly impacted audience To effectively deliver the training required

Training Strategy/Plan

Audience analysis is key to training success

Critical to understand what is the same and what is different to create that bridge between the familiar and the unknown

Critical to accommodate multiple learning styles in training design

Ensure your business community reviews and sponsors your strategy and delivery plan

Ensure appropriate logistics


& delivery

Change Impact and Organizational ReadinessThe purpose of these activities: To assess the magnitude of the change to the organization

To help assess organizational readiness for go/no go decision checkpoints



Change impact should articulate: What will stay the same

What will be different

What community is impacted how

Change Impact and Organizational Readiness



Sample Change Impact:

Current StateWho does this

today? What systems are

used?Other processes

impacted?

Process Step Engineer Designer RA400 Supplier Notification

Future State Who will do this?What systems will

be used?

Are there differences?

Yes or No

What are the key differences?

What is the impact of this change?

Process Step Procurement New System Yes Transitioning to Procurement

Need training for procurement - need to assess readiness to transition

Knowledge Transfer

Knowledge transfer strategy should articulate: Recommendations for sharing key learnings from past projects Recommendations for conducting retrospectives at end of each

project phase Strategy and process for communicating and sharing key learnings Process for storing and retrieving key learnings Process for analyzing trends

Knowledge TransferKnowledge capture and transfer to

benefit project and othersThe purpose of knowledge transfer: To identify your strategy for leveraging team knowledge To articulate tactical steps in knowledge capture, sharing, and transfer To identify trends in learning within the organization

Critical Success Factors: Understand the intent for capturing knowledge – how will it be used? Develop a psychologically safe environment where learnings are valued

Team EffectivenessTeam

EffectivenessAssessing team dynamics

and effectiveness

Teams are most effective when: Commitment to a common purpose Clearly articulated goals Mutual accountability for success Roles are understood and aligned Processes for decision making are clear Team is able to self-learn about their own effectiveness Team is able to observe and respond to group norms Ability to share leadership Ability to collaborate

The purpose of team effectiveness: To improve team effectiveness and project performance To assess team processes in decision making,

problem solving, and communication

ARE WE GETTING THE RESULTS WE WANT? IF NOT, WHAT DO WE DO ABOUT IT?

Today is a world of complex and frequent change

Cultural and behavioral factors are the essence of organizational change

Supports consistent leadership and communication practices

Why is it important to focus on Organizational Change?

Communication

Stakeholder Analysis

Training


AssessmentSponsorship

Alignment

Knowledge Transfer

Team Effectiveness

Barriers to Success for Organizational Change

Deloitte & Touche Survey of CIO's regarding Business Transformation: Top 10 Barriers to Success

46%

65%

72%

82%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

IT Perspective Not Integrated

Not Horizontal Process View

No Change Management Program

Project Team Lacked Skills

Scope Expansion / Uncertainty

Case For Change Not Compelling

Poor Project Management

Unrealistic Expectations

Inadequate Sponsorship

Resistance To Change

% of Firms

Directly Relates to Managing Organizational Change

How to Hit the Ground Running in Your New Management Job

Fortune March 7, 2005

“35% of managers who change jobs fail in their new ones and either quit or are asked to leave within 18 months. . .

Most managers who blow it have fine technical skills but stumble over the softer side.”

Phase 1. Group talks, manager listens Facilitator leads brainstorm: “Issues that affect the

group” Issues are prioritized (multi-vote) in three categories:

technical, interpersonal and administrative Manager stays in background, takes notes, observes

group processes Manager publishes list of issues and priorities

Group members come prepared to answer: Name a recent group accomplishment What area does the group need to develop? What is a strength of the group? What is the atmosphere of the group? “If I could only change one thing it would be . . . “

Management Transition Meeting

Phase 2. Manager talks, group asks questions and listens

Questions to focus on manager and his/her style, not on issues from Phase 1

Manager can respond “I’ll get back to you on that” Manager can ask and answer his/her own questions

(including issues from Phase 1 if so desired)

Possible questions for the group What strengths do you bring to the group? What pressures do you believe you will face in this job? What do you expect of the people reporting to you? What makes you angry? What should we do if we think you’re making a mistake?

Management Transition Meeting

Reduces the transition time for the group Provides the new manager with group opinions on issues and priorities Helps the new manager get off on the right foot Helps the new manager set the tone for the future

Management Transition Meeting (in the first 2 weeks in the job)

Assignment

Case brief – Allentown

Last names beginning with N – Z

organization management managing organizational change

Documents

complexity of change

organizational change

change facts dynamics

state current state

future state transition

new assignments

new solutions

new situation