Its all about managing people side of change

1. Change Management
Leading Corporate Transformation
PANKAJ AGRAWAL

2. CHANGE – THE WAY OF LIFE
 Change is inevitable
 There is only one thing constant in the world –
Change
 Nothing Lasts Forever
 If mankind denied changes – We would still be
living on tree

3. BUT STILL – WHY TO CHANGE
 When the rate of change outside is more than rate of
change inside, end is in sight – JACK WELCH (CEO GE
1981-2001)
 A Change Paradox - To not introduce change in
changing environment may present as much risk as
to introduce change in a non – changing
environment.
 At this moment of history, change is so rapid that we
see the present, only when it is already disappearing.

4. AND THOSE WHO DON’T CHANGE
Do you remember :-
 FIAT and AMBASSOADAR Cars
 From Omni Present status to the rubble
 NOKIA PHONE
 Synonyms to mobile - Struggling for survival
 KODAK
 From USD 30 billon company to less then a
 billion company now.

5. FORCES FOR CHANGES
 Technological Advancements
 Changing customer aspirations
 Mergers & Acquisitions
 Privatization
 Knowledge Economy
 E-commerce
 Human Resource – Problem & Prospects
 External Economy – World Politics

6. EXAMPLES OF CHANGES ORGANIZATIONS ARE
CURRENTLY TAKING ON
Ad hoc processes Documented and managed processes
Multiple, legacy systems One integrated database
Haphazard & inefficient duty roster New efficient & lean roster
No web interface for suppliers Supplier website integrated into supply chain
Two different companies Merged organization
Current
state
Transition
state
Future
state
Manual Work Flows Automated Machines

7. FORMAL CHANGE MANAGEMENT PROCESS– A
NEW MANAGEMENT TOOL
Consequences of no/improper Change
management
 Lower productivity
 Passive resistance
 Active resistance
 Turnover of valued employees
 Disinterest in the current or future state
 Changes not fully implemented
 People revert to the old way of doing
things

8. CHANGE MANAGEMENT
 Two sides of changes
 Technical Side of Change
 Human Side of Change
Change Management here is the process, tools
and techniques to manage the people side of
change to achieve the required business results.
(Change Management at Technical changes is part of Project
Management).
PROPER CHANGE MANAGEMENT IS IMPERATIVE TO
ACHIEVE DESIRED RESULTS FROM THE INTENDED
CHANGE

9. CHANGE MANAGEMENT PROCESS
Create Vision
for Change –
Prepare for it
Manage
Change
Post
implementation
Reinforcement

10. PHASE 1 – PREPARE FOR CHANGE
 Define nature of
change
 Do benefit analysis
 Identify Risk
 Prepare Risk Handling
Plan
 Devise Strategy
 Prepare Sponsor Plan
 Take Approval

11. PHASE 2 – MANAGE CHANGE
 Communication
plan
 Sponsor Roadmap
 Training Plan
 Coaching Plan
 Resistance Mgmt
Plan

12. CHANGE MANAGEMENT – CRITICAL SUCCESS
FACTORS
 COMMUNICATION WITH STAKEHOLDERS

13. COMMUNICATION
 List all the stakeholders to be affected
 Make a clear communication to them about
changes
 Explain new risk/comfort profile subsequent
to change
 Check and handle scepticism
 Take Acknowledgement

14. CHANGE MANAGEMENT – CRITICAL SUCCESS
FACTORS
 TRAINING & COACHING

15. TRAINING & COACHING
 Assess current competency level of people
 Assess competency level required post
change
 Do gap analysis
 Provide adequate training & coaching at
each level
 Check & freeze preparedness
 Keep Plan B ready in case of fallout

16. CHANGE MANAGEMENT – CRITICAL SUCCESS
FACTORS
 PEOPLE’s RESISTANCE

17. RESISTANCE TO CHANGE
 Resistance to change (individual) is the main
barrier for change – 60% time this is the
case.

18. OVERCOMING RESISTANCE

19. TRANSITION OF CHANGES

20. TRADITIONAL CHANGE MODEL

21. PHASE 3 - POST IMPLEMENTATION
REINFORCEMENT
Audits and
employee feedback
Corrective action
plans
After action review
Finally freeze the
change

22. MOOT QUESTION - WHO WILL DO IT ………….
Project team
Change
management
Senior leaders
Managers and
supervisors
Employees
SENIOR LEADER
(Main Project Sponsor)
• DRIVES CHANGE AT
MACRO LEVEL
• Build the needed coalition
with peers and other
managers
• Overall communicate the
business messages about
the change to all

23. MOOT QUESTION - WHO WILL DO IT ………….
Project team
Change
management
Senior leaders
Managers and
supervisors
Employees
MANAGERS/SUPERVISOR
(The Key Link)
• Communicate the personal
messages about the
change to stake holders
• Conduct group and
individual coaching
sessions
• Identify, analyze and
manage resistance
• Provide feedback to the
rest of the change
management ‘gears’

24. MOOT QUESTION - WHO WILL DO IT ………….
Project team
Change
management
Senior leaders
Managers and
supervisors
Employees
EMPLOYEES
(Critical Success Factor)
• IF THEY EMBRACE IT, IT
WILL HAPPEN
• Seek out information
related to the business
reasons for change and the
personal impact of the
change
• Provide feedback and
reaction to the change
process
• Take control of the personal
transition

25. MOOT QUESTION - WHO WILL DO IT ………….
Project team
Change
management
Senior leaders
Managers and
supervisors
Employees
PROJECT TEAM
(The executor on ground)
• Provide timely, accurate
and succinct information
about the change (or
project)
• Integrate change
management activities into
project management plans
and activities. Both should
be well interlaced

26. CHANGE MANAGEMENT AND
PROJECT MANAGEMENT
Current
state
Transition
state
Future
state
Project management
Change management
Project Management & Change Management Process to work in tandem
and should be in sync with each other

27. CONCLUSION
 Continual Change is imperative for success of any
organization
 Proper Change management is key to success behind
any change implementation
 Managing resistance, proper communication and training
are key success factors for proper change management.
 Change management requires action and involvement by
leaders and managers throughout the organization
 Change management and project management are both
tools that support project benefit realization – project
management is the ‘technical’ side and change
management is the ‘people’ side

28. SO ITS TIME FOR A CHANGE