Organizational Change

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What is Organization Change Management?

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Organizational Change

  1. 1. What is Organization Change Management?<br />A structured approach that helps manage the people components during<br />a business transformation initiative to realise the desired outcomes<br />Focus<br />Outcome<br /><ul><li>Change Readiness Acceleration
  2. 2. Change Leadership Development
  3. 3. Performance Lever Gap Analysis
  4. 4. Stakeholder Involvement Strategies
  5. 5. Culture and Values Alignment
  6. 6. Transition Planning and Management
  7. 7. Team Development
  8. 8. Organisational Learning
  9. 9. Clear and Compelling Business Casefor the Change
  10. 10. Engaged, Skilled Change Leaders and Sponsors
  11. 11. Accelerated Change Readiness
  12. 12. Flexible and Adaptive Workforce
  13. 13. Leverage Learning Capability</li></li></ul><li>Cell<br />Impact on Desired<br />Business Objectives<br />I<br />Failure<br />II<br />Failure<br />III<br />Failure<br />IV<br />Success<br />Why the need for Change Management?<br />SOLUTION IDENTIFICATION<br />WRONG<br />RIGHT<br />III<br />II<br />INEFFECTIVE<br />70% of occurrences<br />10% of occurrences<br />SOLUTION IMPLEMENTATION<br />I<br />IV<br />EFFECTIVE<br />10% of occurrences<br />10% of occurrences<br />The value of MIS Upgrade Project is realised only through successful implementation<br />
  14. 14. Why efforts fail<br />PERCEPTION<br />MANAGEMENT<br />OF CHANGE<br />TECHNOLOGY<br />INFRASTRUCTURE<br />
  15. 15. Why efforts fail<br />PERCEPTION<br />REALITY<br />MANAGEMENT<br />OF CHANGE<br />INFRASTRUCTURE<br />TECHNOLOGY<br />
  16. 16. Commitment versus Compliance<br />Pay now...<br />or pay later?<br />Commitment building costs are significantly less than the cost of:<br />managing post-implementation resistance<br />compromised implementation efforts<br />project failure<br />
  17. 17. Commitment versus Compliance<br />Commitment is a powerful phenomenon in transition management<br />Commitment generates productive behaviour without the need for monitoring<br />Compliance may result in similar behaviour, but rarely generates initiative. Compliance strategies rely on external enforcement<br />
  18. 18. Detailed Workplan<br />Proposed Approach to<br />Organisational Change Management<br />Phase 1<br />
  19. 19. Change Readiness Assessment<br />What<br />Identifies key factors which may help or hinder the change process and<br />is used to determine BIMB’s readiness to change. Action plans can then<br />be developed to leverage strengths and minimise potential risks.<br />How<br />A series of one day workshops delivered to a select number of staff<br />representing identified stakeholder groups. Surveys and other tools<br />will be used to identify potential risks to MIS implementation.<br />Benefit<br /><ul><li>Action plans to address implementation issues
  20. 20. Greater ownership and awareness of MIS Upgrade Project
  21. 21. Structured approach to identify potential implementation risks
  22. 22. Consistent application of E&Y world-wide OCM tools
  23. 23. Objective methods to determine potential implementation risks
  24. 24. Involvement of stakeholder groups throughout Bank
  25. 25. Comparison of perceived risks across management levels and locations
  26. 26. Comparison of perceived risks over time</li></ul>Value of<br />Approach<br />
  27. 27. Change Readiness Assessment<br />Implementation Factors for Success...<br />Powerful Business Case<br />AlignedPerformance& Culture<br />Integrated Planning & Teams<br />VisionClarity<br />Change Leadership & Accountability<br />Increased Change Capability<br />Change Specific Communication<br />Stakeholder Commitment<br />
  28. 28. Communications Strategy and Plan<br />Determines the strategies, goals, themes, messages and vehicles used to<br />communicate with key stakeholders (internal and external) throughout<br />the duration of the MIS Upgrade Project.<br />What<br />Working directly with Project Teams and Task Force staff, drawing<br />on the results of the Change Readiness Assessment and using Consultant’s<br />methods to identify most appropriate communications methods.<br />How<br /><ul><li>Accelerates contact, awareness, understanding and acceptance of the</li></ul> intended changes<br /><ul><li>Reduces stakeholder resistance resulting in positive action</li></ul> (thinking and behaviour)<br /><ul><li>Greater ownership and awareness of MIS Upgrade Project</li></ul>Benefit<br />Value of<br />Approach<br /><ul><li>Structured approach to develop communication plans
  29. 29. Consistent application of Consultant’s world-wide OCM tools
  30. 30. Greater re-use of data collected during Change Readiness Assessment</li></li></ul><li>Communications<br />Building Commitment Through Communications is a process...<br />Internalization<br />Communication<br />Phase<br />Institutionalization<br />Adoption<br />Genuine<br />Grudging<br />Formal<br />Compliance<br />Commitment/<br />Compliance<br />Compliance<br />Installation<br />Installation<br />Installation<br />Compliance<br />Acceptance<br />Threshold<br />Phase<br />Positive Perception<br />Understand<br />Understand<br />the Change<br />Disposition<br />the Change<br />Preparation<br />Threshold<br />Phase<br />Awareness<br />Awareness<br />Awareness<br />I Contact<br />Noncommitment<br />Noncommitment<br />Noncommitment<br />Time<br />OC160<br />
  31. 31. Change Facilitator Network<br />Establishing an internal network of change champions to build awareness<br />and understanding of change management principles.<br />What<br />Network is established initially by involving client staff in a one day<br />workshop to explore business change principles and concepts within<br />the context of the MIS Upgrade Project.<br />How<br /><ul><li>Establishing a change infrastructure of staff who will promote the</li></ul> Bank MIS Upgrade Project<br /><ul><li>Generating greater communication across the branch network
  32. 32. Involvement of those most affected by the changes
  33. 33. Greater understanding of change and their important role in the process</li></ul>Benefit<br />Value of<br />Approach<br /><ul><li>Structured approach to managing change
  34. 34. Opportunities for testing management potential
  35. 35. Build on Change Readiness Assessment results
  36. 36. Develop a link to customer facing staff in the branches
  37. 37. Opportunities for breaking down barriers between branches</li></li></ul><li>Change Facilitator - Tips<br />Involve those most impacted by the changes<br />Develop objective method for selecting candidates<br />Select staff of equivalent seniority<br />Select staff who are:<br />well regarded by their peers<br />credible<br />reliable<br />eager to learn and be involved<br />“opinion leaders”<br />Do not select staff:<br />who are perceived to be management mouthpieces<br />
  38. 38. Transition Management Plan<br />Incorporates data gathered during the Change Readiness Assessment,<br />Change Facilitator workshops and communication planning stages to<br />produce a comprehensive roadmap addressing the human aspects of<br />change for the duration of the project. It will also provide other people<br />related issues which are beyond the scope of Phase 1.<br />What<br />Working with project managers and the Task Force to thread together all<br />relevant information.<br />How<br /><ul><li>Provide a Blue Print for Bank to manage change beyond March 1998
  39. 39. Provide further issues to consider to help align business needs with </li></ul> desired behaviour<br />Benefit<br />Value of<br />Approach<br /><ul><li>Structured approach to managing change
  40. 40. Benefit of E&Y experience across similar IT enabled change projects
  41. 41. Assistance with the identification of HR issues using Consultant’s</li></ul> Organisational Alignment methodology<br />
  42. 42. Looking into the future<br />ALIGNED CULTURE<br />STAFFING & DEPLOYMENT<br />MEASUREMENT & REWARD<br />COMMUNICATION<br />ORGANISATIONAL STRUCTURE<br />LEADERSHIP EFFECTIVENESS<br />EDUCATION & DEVELOPMENT<br />
  43. 43. Looking into the future<br />The value of Organisational Alignment<br />Drives organisational behaviour needed for process, technology and culture changes<br />Creates the environment where desired behaviours are communicated, modelled, measured and rewarded<br />Reinforces and sustains desired behaviours over time through alignment of human and organisational systems<br />
  44. 44. Looking into the future<br />Organizational<br />Performance <br />Levers<br />Current State<br />Behaviour<br />Future State<br />Behaviour<br /><ul><li> Act without consideration</li></ul> of other units and their<br /> purpose<br /><ul><li> Withhold information from</li></ul> others<br /><ul><li> Elevate issues / problems</li></ul> upwards for resolution<br /><ul><li> Discount all ideas “not</li></ul> invented here”<br /><ul><li> Focus on own needs rather</li></ul> than those of the<br /> organisation<br /><ul><li> Work with other units to</li></ul> address problems and<br /> opportunities<br /><ul><li> Share information with</li></ul> others<br /><ul><li> Take initiative to solve</li></ul> problems<br /><ul><li> Search out and welcome</li></ul> new ideas<br /><ul><li> Focus on the needs of the</li></ul> company, the customers and<br /> other employees<br />Communication<br />Education & Development<br />Leadership Effectiveness<br />Organizational Structure<br />Measurement & Reward<br />Staffing and Deployment<br />

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