Change Management:
Leading Corporate Transformation
2
Contents
• Principles of Change
• Five Activities Contributing to Effective Change
Management
• Motivating Change
• Crea...
3
“When the rate of change outside
exceeds the rate of change inside,
the end is in sight”
Rate of Change
Jack Welch
4
Activity – Change Your Seat
5
1. Change is a process that can be enabled, not
managed
2. The belief that you can change is the key to change
3. It is ...
6
5. Behavioral change is a function of perceived need
and occurs at the emotional, not the intellectual level
6. Resistan...
7
Activity – Goodies Auction
8
Five Activities Contributing to
Effective Change Management
9
Five Activities Contributing to Effective
Change Management
1. Motivating Change
2. Creating Vision of
Change
3. Develop...
10
1. Motivating Change
Motivating change
and creating
readiness for
change
Sensitize
organizations to
pressure for
change...
11
Force Field Analysis Model
Current
Situation
Restraining Forces for Change
Driving Forces for Change
12
Force Field Analysis Model
Strengthening
or adding
driving forces
Removing or
reducing
restraining
forces
Changing the
...
13
Activity – May the Forces be With You!
14
Group Exercise
• Take this opportunity to think of a situation in your organization
where Force Field Model could be de...
15
Activity – Perceptual Barriers To Change
16
Resistance to Change
20% 40% 60% 80% 100%
Source: Information Week, June 20, 1994
Limitations of Existing Systems
Lack ...
17
Individual Resistance
Individual
Resistance
Habit
Selective
Information
Processing
Economic
Factors
Job Security
Fear o...
18
Organizational Resistance
Organizational
Resistance
Threat to Established
Power Relationship
Group Inertia
Threat to Es...
19
Activity – Wedding Guests
20
Denial
Resistance Exploration
Past Future
Four Phases of Transition
Commitment
21
• “How good things were in
the past”
• “It can’t happen here”
• Numbness
• Everything-as-usual
attitude
• Refusing to h...
22
Exploration Commitment
• “What’s going to happen to
me?”
• Seeing possibilities
• Chaos
• Indecisiveness
• Unfocused wo...
23
Overcoming Resistance to Change
Education and
Communication
Participation and
Involvement
Facilitation and
Support
Nego...
24
2. Creating Vision of Change
Constructing
the Envisioned
Future
Bold and
Valued
Outcomes
Desired
Future
State
25
3. Developing Political Support
Assessing Change
Agent Power
Identifying Key
Stakeholders
Influencing
Stakeholders
Deve...
26
Roles in Organizational Change
Change
Sponsor
Change
Agents
Change
Target
These are individuals or groups with
the powe...
27
4. Managing the Transition
Current
State
Desired Future
State
Transition
State
• Activity Planning
• Change Management ...
28
Critical Skills of Change Agents
Understands
change
dynamics
Appreciates
diversity
Anticipates
and manages
resistance
U...
29
5. Sustaining Momentum
Sustaining
Momentum
Providing Resource for
Change
Building a Support System
for Change Agents
De...
30
Activity – Change is the Name of the Game
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Change management

  1. 1. Change Management: Leading Corporate Transformation
  2. 2. 2 Contents • Principles of Change • Five Activities Contributing to Effective Change Management • Motivating Change • Creating Vision of Change • Developing Political Support • Managing the Transition • Sustaining Momentum
  3. 3. 3 “When the rate of change outside exceeds the rate of change inside, the end is in sight” Rate of Change Jack Welch
  4. 4. 4 Activity – Change Your Seat
  5. 5. 5 1. Change is a process that can be enabled, not managed 2. The belief that you can change is the key to change 3. It is not the duration of the treatment that allows people to change but rather its ability to inspire continued efforts in that direction 4. Repeated efforts are critical to changing Principles of Change
  6. 6. 6 5. Behavioral change is a function of perceived need and occurs at the emotional, not the intellectual level 6. Resistance to change is predictable reaction to an emotional process and depends on a person’s perception of a change situation 7. People do not usually succeed all at once. But they can show significant improvements; and all improvement should be accepted and rewarded Principles of Change
  7. 7. 7 Activity – Goodies Auction
  8. 8. 8 Five Activities Contributing to Effective Change Management
  9. 9. 9 Five Activities Contributing to Effective Change Management 1. Motivating Change 2. Creating Vision of Change 3. Developing Political Support 4. Managing the Transition of Change 5. Sustaining Momentum Effective Change Management
  10. 10. 10 1. Motivating Change Motivating change and creating readiness for change Sensitize organizations to pressure for change Reveal discrepancies between current and desired states Convey credible positive expectations for the change
  11. 11. 11 Force Field Analysis Model Current Situation Restraining Forces for Change Driving Forces for Change
  12. 12. 12 Force Field Analysis Model Strengthening or adding driving forces Removing or reducing restraining forces Changing the direction of some of the forces Change
  13. 13. 13 Activity – May the Forces be With You!
  14. 14. 14 Group Exercise • Take this opportunity to think of a situation in your organization where Force Field Model could be demonstrated. Begin by identifying a change being instituted in your organization • List the driving forces • List the restraining forces
  15. 15. 15 Activity – Perceptual Barriers To Change
  16. 16. 16 Resistance to Change 20% 40% 60% 80% 100% Source: Information Week, June 20, 1994 Limitations of Existing Systems Lack of Executive Commitment Lack of Executive Champion Unrealistic Expectations Lack of Cross-Functional Team Inadequate Team and User Skills Technology Users Not Involved Project Charter Too Narrow Barriers to Change
  17. 17. 17 Individual Resistance Individual Resistance Habit Selective Information Processing Economic Factors Job Security Fear of the Unknown
  18. 18. 18 Organizational Resistance Organizational Resistance Threat to Established Power Relationship Group Inertia Threat to Established Resource Allocations Structural Inertia Limited Focus of Change
  19. 19. 19 Activity – Wedding Guests
  20. 20. 20 Denial Resistance Exploration Past Future Four Phases of Transition Commitment
  21. 21. 21 • “How good things were in the past” • “It can’t happen here” • Numbness • Everything-as-usual attitude • Refusing to hear new information • Anger • Loss and hurt • Stubbornness • Blaming others • Complaining • Getting sick • Doubting your ability Some of the Signs in Each Phase Denial Resistance
  22. 22. 22 Exploration Commitment • “What’s going to happen to me?” • Seeing possibilities • Chaos • Indecisiveness • Unfocused work • Energy • Clarifying goals • Seeing resources • Exploring alternatives • “Where I am headed” • Focus • Teamwork • Vision • Cooperation • Balance Some of the Signs in Each Phase
  23. 23. 23 Overcoming Resistance to Change Education and Communication Participation and Involvement Facilitation and Support Negotiation Manipulation and Cooptation Coercion Overcoming Resistance to Change
  24. 24. 24 2. Creating Vision of Change Constructing the Envisioned Future Bold and Valued Outcomes Desired Future State
  25. 25. 25 3. Developing Political Support Assessing Change Agent Power Identifying Key Stakeholders Influencing Stakeholders Developing Political Support
  26. 26. 26 Roles in Organizational Change Change Sponsor Change Agents Change Target These are individuals or groups with the power to determine that a change will occur These are individuals or groups responsible for seeing that a previously determined change occurs These are individuals or groups who are asked to change something (knowledge, skills, or behavior) as a result of the change
  27. 27. 27 4. Managing the Transition Current State Desired Future State Transition State • Activity Planning • Change Management Team
  28. 28. 28 Critical Skills of Change Agents Understands change dynamics Appreciates diversity Anticipates and manages resistance Understands power and influence Has high credibility Manages multiple tasks
  29. 29. 29 5. Sustaining Momentum Sustaining Momentum Providing Resource for Change Building a Support System for Change Agents Developing New Competencies and Skills Reinforcing New Behaviors Staying the Course
  30. 30. 30 Activity – Change is the Name of the Game
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