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What every project manager should know about change management

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Short overview on why the people side of change should not be ignored in project management.

Published in: Leadership & Management
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What every project manager should know about change management

  1. 1. CHANGE MANAGEMENT IN PROJECTS By Edda Nömmela
  2. 2. WHY: Project Failure
  3. 3. TO MANAGEMENT INTRO CHANGE
  4. 4. DEFINITION Change management is the application of structured processes and set of tools for leading the people side of change to achieve a desired outcome (Prosci, 2016). It focuses on the PROCESS – how change is implemented.
  5. 5. IN AN IDEAL WORLD If I build it, everyone will use it If I build it, everyone will use it immediately If I build it, everyone will use it effectively
  6. 6. IN A REAL WORLD Organizations are introducing more EMPOWERING structures, cultures and ways of working Change management is discretely incorporated into the existing roles and responsibilities of project managers. INTERPERSONAL and POLITICAL SKILLS are needed to work cross-functionally with a diverse group of stakeholders
  7. 7. WHAT IS CHANGE MANAGEMENT  Crucial part of a change project  Deals with the most important yet most unpredictable aspect of the implementation; THE PEOPLE  Each and every project manager should know the basics Meet objectives Finish on time and on budget Return On Investment (ROI) realized LEADERSHIP CHANGE MANAGEMENT PROJECT MANAGEMENT (Prosci, 2016)
  8. 8. “Valley of despair” Without change management With change management WHY IS IT IMPORTANT (Newton, 2007)
  9. 9. PROJECT FAILURE PART I
  10. 10. FOR INTERNAL USE ONLY A TYPICAL PROJECT 10 0% 10% 20% 30% 40% 50% 60% 2002 2004 2006 2008 2010 2012 2014 Successful Challenged Failed (The Standish Group International, 2015)
  11. 11. No stakeholder involvement EARLY WARNING SIGNS OF FAILURE No documented success criteria (Kappelman et al. 2006)
  12. 12. AND CHALLENGED PROJECTS Top 5 responses for what project managers would do better next time: 1. Engage sponsors better 2. Start change management activities sooner 3. Emphasize employee engagement and involvement 4. Secure sufficient resources for change management 5. Improve communications (Hiatt & Creasey 2003, p. 129.)
  13. 13. MANAGING CHANGE PART II
  14. 14. Common vision and direction that is separate from the past Find sponsors and supporters to create a guiding coalition Craft an implementation plan including quick wins Communicate extensively and encourage involvement Consolidate gains and produce more change Reinforce and institutionalize the change Commitment Engagement Awareness & understanding
  15. 15. PRINCIPLES “if you fail to plan, then you plan to fail”  Remember the 5 P's: Proper Planning Prevents Poor Performance  Projects are 90% planning, 10% implementation There are no IT projects! If a project is seen solely as an IT project, getting the buy-in from business teams is a lot more difficult  the project is likely to fail
  16. 16. FOR INTERNAL USE ONLY FAMOUS CHANGE MANAGEMENT MODELS 16 Lewin 1951 Kotter 1996 Beer et al. 1990 Nadler 1998 Unfreeze 1. Establish a sense of urgency 2. Create a guiding coalition 1. Commitment to change through joint diagnosis of business problems 1. Recognize the change imperative Move/Change 3. Develop a vision and strategy 2. Develop shared vision 2. Develop a shared direction4. Communicate the vision 5. Empower employees to action 3. Consensus, competence to enact and cohesion around new vision 6. Generate short-term wins 7. Consolidate gains and produce more change 4. Spread through all departments without push from the top 3. Implement change Refreeze 8. Incorporate changes into the culture 5. Institutionalize through formal policies 4. Consolidate change 6. Monitor and adjust in response to problems 5. Sustain change
  17. 17. ORGANIZATIONS HAVE MANY DIMENSIONS CHANGES HAVE TO BE ANALYZED FROM ALL DIMENSION: WHAT CHANGES AND HOW? DATA PROCESSES SYSTEMS CULTURE PEOPLE STRUCTURE TASKS
  18. 18. CHANGE ACTIVITIES PART III
  19. 19. KEY CHANGE MANAGEMENT ACTIVITIES  Change analysis and planning  Stakeholder engagement  Communication  Expectations management  Training coordination  Change monitoring / follow-up
  20. 20. INSPIRING CHANGE SEE: Point to the destination and why it’s worth going there FEEL: Knowing isn’t enough – make people feel something CHANGE: Shrink the change – find small milestones Build the guiding team Behaviour is contagious – build habits Remember: What looks like a people problem is often a situation problem (Heath & Heath 2010)
  21. 21. RESISTANCE TO CHANGE Resistance is a way of saying ‘NO' to change. Change brings new choices that create uncertainty. Their resistance is expressed through a lack of motivation and low commitment to change. What looks like resistance is often lack of clarity. The best approach to managing resistance is an open and honest dialogue with the resistors, where their concerns are heard and addressed.
  22. 22. SUMMARY Managing change(s) is an essential value-adding activity in successful project management. People’s behaviour, attitude and support often decide if a project is a success or a failure. Most projects won’t have a special resource for doing change management. Therefore, it is essential that every project manager knows the basics about change analysis, stakeholder engagement, communication and managing resistance.

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