Manage your Enterprise Change Risk




                                     Do you know?
                                     •	 The top strategic change
                                                                                         Change is like the weather: If
                                                                                         you can’t predict it, how do you
                                        initiatives in your organization
                                        this year?


                                                                                         prepare for the storm?
                                     •	 The degree and volume of
                                        change your employees will
                                        face?
                                     •	 The changes that are likely to                   CEOs expect the amount of change in                            Organizations in the midst of this storm
                                        collide?                                         their organizations to continue to increase,                   are seeing negative impacts with
                                                                                         yet they recognize that their teams’                           measurable financial consequences. The
                                     •	 How much change is too
                                                                                         capacities to manage the escalating                            most costly impacts of change
                                        much?
                                                                                         volume of change is not keeping pace.1 A                       fatigue include:
                                     •	 The potential bottom-line                        conflict is brewing between change
                                        impact of change saturation?                     initiatives and the day-to-day work that                        •	   Employee turnover
                                     •	 How you can mitigate the                         shapes each employee’s experience. The                          •	   Increased project failures
                                        risks?                                           ever-increasing intensity of change is                          •	   Productivity losses
                                                                                         driving “change fatigue.” When change                           •	   Dissatisfaction and disengagement
                                                                                         fatigue overtakes individuals and teams,                        •	   Higher levels of absenteeism    73%
                                                                                         adoption plummets and those impacted
                                                                                         exhibit diminished capacities to adapt to                                                     66%
                                                                                                                                                                              59%
                                                                                         change. The most common driver of
                                                                                                                                                        73% of organizations
                                                                                         change fatigue? The pressures and                              are reporting that they
                                                                                         frustrations of taking on simultaneous                         are at or near change
                                                                                                                                                        saturation, and it’s on
                                                                                         changes without adequate preparation.                          the rise.2              2007   2009   2011



                                                                                          How much is change saturation costing your organization?




                                                                                                                                                                                       $
                                                                                          59% of projects were considered unsuccessful
                                                                                          IBM 2008 Study – “Making Change Work”

                                                                                          $63 billion is spent on IT projects that fail in the U.S. annually
                                                                                          CIO Insight, June 2010

                                                                                          Employee turnover costs range from 30% - 150% of salary + benefits for each
                                                                                          employee loss from burn-out

                                                                                          Unplanned absences drove a 54% decrease in productivity/output and a 39%
                                                                                          drop in sales and customer service
                                                                                          Mercer/Marsh Survey on health, productivity and absenteeism




                                     “Employees at many organizations are already        Mitigate your Risks, Improve your Line of Sight                                                                                           (2, 3) ProSci 2009 Best Practices in Change Management and benchmarking study

                                     suffering from change fatigue. As a result, when
                                     the labor market does recover, companies can        Do you have complete visibility into all of the initiatives impacting your organization? Your
                                     expect a sharp increase in voluntary turnover...”   business unit? Your department or team? What happens when you factor in business cycles
                                     North America Leader at Towers Watson               and industry, geographic, regulatory, and economic changes? If this sounds overwhelming
                                                                                         you might be comforted to learn that you are not alone. Today most organizations lack a
                                                                                         current or complete inventory of change occurring across their enterprise. More than 60%
                                                                                         of companies report having no structured process to manage their portfolio of change.2
                                                                                         Even more organizations report that their course of action is to “do nothing” to mitigate
                                                                                                                                                                                                     ( 1) IBM’s Global CEO Study




                                                                                         the risks of change saturation.

                                                                                         Don’t join the “do nothing” crowd. PeopleFirm can provide much-needed visibility into
                                                                                         your current change portfolio and support the development of a change saturation risk
                                     Your People = Your Success                          mitigation plan.
1. Visualize                                                          Project View

  Enterprise Change Heat Maps
  your Barometer to Change
                                                                                       Dynamic, Data-Driven Views
  Using PeopleFirm’s data-driven approach
  to Enterprise Change Heat Maps, it’s
  possible to gain insight into your change
  portfolio. Not only can we provide you                                                                       Organizational View
  with a visual understanding of the volume
  and scale of change, but we can also help
  you identify opportunities to align the
  work and mitigate the risks of collisions.




  2. Mitigate
  Proactively Manage your Change Portfolio to Mitigate Risks and
  Optimize Investments

  Our Enterprise Change Heat Maps provide an enterprise-wide view and understanding of
  cumulative change impacts. With this understanding in hand, your team can then plan a course of action to make better-informed business
  decisions related to initiative priorities, changes, or sequence, with the goal of proactively mitigating the risks of change saturation and
  fatigue. PeopleFirm’s clearly defined mitigation model gives you the tools to evaluate alternative approaches and build strategies to ensure
  that you deliver your goals while protecting your employees from a flood of change.




  3. Build Capacity
  Developing Organizational Change Capability is Critical to Weathering any Storm

  While gaining visibility and proactively managing your change portfolio are vital to managing the risk of change saturation, building internal
  change capability is critical to ensuring a holistic solution. Today’s leading organizations are recognizing the need to build internal change
  capability as part of a long-term strategy for managing in an environment of continuous change. In partnership with leading global entities,
  PeopleFirm has developed a proven model and tools to help you build a Change Capable Organization™. In short, our solution guides you
  in designing your strategy for developing and implementing change-resilient processes and behaviors across your team.




	 PeopleFirm, LLC                                  About PeopleFirm
	 Seattle Office:
  2201 6th Avenue, Suite 150                       We are a consultancy passionate a bout our singular mission: helping our clients achieve a
                                                   competitive advantage through their people. To that end our service focus is:
  Seattle, WA 98121
	 Portland Office:                                  People Strategy – We                             Organizational Performance – Our
                                                   assess organizational                            approach builds high-performing organizations
  408 NW Fifth Ave
                                                   investment options                               by maximizing individual and team
  Portland, OR 97209                                                                                contributions through strategic alignment,
                                                   across all areas related
o	206.462.6462                                     to people and talent                             effective structures, and supporting cultures.
                                                   management with
f 	888.651.1976                                    the goal of selecting                            Talent Management – Addressing the
	www.peoplefirm.com                                 the best investment                              employee lifecycle from entry to exit,
                                                                                                                                                     © PeopleFirm, All rights reserved.




                                                   course that propels the                          PeopleFirm designs and implements solutions  
                                                   organization’s strategy.                         that optimize talent management processes
                                                                                                    and improve employee experiences.

                                                                                                    Change Management – We are recognized
                                                                                                    for designing and leading change
                                                                                                    management programs that lower risks,
                                                                                                    accelerate results, and deliver value. Our
  Your People = Your Success
                                                                                                    proven approach ensures change sticks.

PeopleFirm Enterprise Change HeatMap

  • 1.
    Manage your EnterpriseChange Risk Do you know? • The top strategic change Change is like the weather: If you can’t predict it, how do you initiatives in your organization this year? prepare for the storm? • The degree and volume of change your employees will face? • The changes that are likely to CEOs expect the amount of change in Organizations in the midst of this storm collide? their organizations to continue to increase, are seeing negative impacts with yet they recognize that their teams’ measurable financial consequences. The • How much change is too capacities to manage the escalating most costly impacts of change much? volume of change is not keeping pace.1 A fatigue include: • The potential bottom-line conflict is brewing between change impact of change saturation? initiatives and the day-to-day work that • Employee turnover • How you can mitigate the shapes each employee’s experience. The • Increased project failures risks? ever-increasing intensity of change is • Productivity losses driving “change fatigue.” When change • Dissatisfaction and disengagement fatigue overtakes individuals and teams, • Higher levels of absenteeism 73% adoption plummets and those impacted exhibit diminished capacities to adapt to 66% 59% change. The most common driver of 73% of organizations change fatigue? The pressures and are reporting that they frustrations of taking on simultaneous are at or near change saturation, and it’s on changes without adequate preparation. the rise.2 2007 2009 2011 How much is change saturation costing your organization? $ 59% of projects were considered unsuccessful IBM 2008 Study – “Making Change Work” $63 billion is spent on IT projects that fail in the U.S. annually CIO Insight, June 2010 Employee turnover costs range from 30% - 150% of salary + benefits for each employee loss from burn-out Unplanned absences drove a 54% decrease in productivity/output and a 39% drop in sales and customer service Mercer/Marsh Survey on health, productivity and absenteeism “Employees at many organizations are already Mitigate your Risks, Improve your Line of Sight (2, 3) ProSci 2009 Best Practices in Change Management and benchmarking study suffering from change fatigue. As a result, when the labor market does recover, companies can Do you have complete visibility into all of the initiatives impacting your organization? Your expect a sharp increase in voluntary turnover...” business unit? Your department or team? What happens when you factor in business cycles North America Leader at Towers Watson and industry, geographic, regulatory, and economic changes? If this sounds overwhelming you might be comforted to learn that you are not alone. Today most organizations lack a current or complete inventory of change occurring across their enterprise. More than 60% of companies report having no structured process to manage their portfolio of change.2 Even more organizations report that their course of action is to “do nothing” to mitigate ( 1) IBM’s Global CEO Study the risks of change saturation. Don’t join the “do nothing” crowd. PeopleFirm can provide much-needed visibility into your current change portfolio and support the development of a change saturation risk Your People = Your Success mitigation plan.
  • 2.
    1. Visualize Project View Enterprise Change Heat Maps your Barometer to Change Dynamic, Data-Driven Views Using PeopleFirm’s data-driven approach to Enterprise Change Heat Maps, it’s possible to gain insight into your change portfolio. Not only can we provide you Organizational View with a visual understanding of the volume and scale of change, but we can also help you identify opportunities to align the work and mitigate the risks of collisions. 2. Mitigate Proactively Manage your Change Portfolio to Mitigate Risks and Optimize Investments Our Enterprise Change Heat Maps provide an enterprise-wide view and understanding of cumulative change impacts. With this understanding in hand, your team can then plan a course of action to make better-informed business decisions related to initiative priorities, changes, or sequence, with the goal of proactively mitigating the risks of change saturation and fatigue. PeopleFirm’s clearly defined mitigation model gives you the tools to evaluate alternative approaches and build strategies to ensure that you deliver your goals while protecting your employees from a flood of change. 3. Build Capacity Developing Organizational Change Capability is Critical to Weathering any Storm While gaining visibility and proactively managing your change portfolio are vital to managing the risk of change saturation, building internal change capability is critical to ensuring a holistic solution. Today’s leading organizations are recognizing the need to build internal change capability as part of a long-term strategy for managing in an environment of continuous change. In partnership with leading global entities, PeopleFirm has developed a proven model and tools to help you build a Change Capable Organization™. In short, our solution guides you in designing your strategy for developing and implementing change-resilient processes and behaviors across your team. PeopleFirm, LLC About PeopleFirm Seattle Office: 2201 6th Avenue, Suite 150 We are a consultancy passionate a bout our singular mission: helping our clients achieve a competitive advantage through their people. To that end our service focus is: Seattle, WA 98121 Portland Office: People Strategy – We Organizational Performance – Our assess organizational approach builds high-performing organizations 408 NW Fifth Ave investment options by maximizing individual and team Portland, OR 97209 contributions through strategic alignment, across all areas related o 206.462.6462 to people and talent effective structures, and supporting cultures. management with f 888.651.1976 the goal of selecting Talent Management – Addressing the www.peoplefirm.com the best investment employee lifecycle from entry to exit, © PeopleFirm, All rights reserved. course that propels the PeopleFirm designs and implements solutions organization’s strategy. that optimize talent management processes and improve employee experiences. Change Management – We are recognized for designing and leading change management programs that lower risks, accelerate results, and deliver value. Our Your People = Your Success proven approach ensures change sticks.