Tactics and Tools for Project Success

1. © 2007 International Institute for Learning, Inc.
Organizational Change
Tactics and Tools for Project Success
Presented by:
Maureen McVey
Director, Business Analysis
International Institute for Learning, Inc.
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2. © 2007 International Institute for Learning, Inc.
Maureen McVey, CBAP, Director of Business Analysis
 12+ years of experience in Business Analysis
 22 years of experience in Information Technology
 Background
 Consulting Fortune 1000 Companies
 CMMI Process Optimization
 Founding Member IIBA
 BA Centre of Competency Development
 Experience in: SAP, Learning Management Systems.
Telecommunications, Finance, Insurance and Manufacturing
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Today’s Topics
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What is organizational change and why is it important?
Organizational change management as an investment
The roles in organizational change management
The fundamental activities that must be executed to be
successful
Organizational change and Project Management
Resistance behaviour - identification and action to address
issues
Questionnaires, Assessments and Surveys that will help you to
determine organizational readiness

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Standish Group -2008
Factors that Affect the Success of a Project

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A Business Solution has Three Aspects
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People
Process Technology
Solution
Change one aspect
the others are affected
Organizational Change
is the
People
side of projects

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What is Organizational Change Management?
Organizational Change Management entails thoughtful
planning and sensitive implementation, and consultation
with, and involvement of, the people affected by the
changes.
Change must be realistic, achievable
and measurable
Must include motivation and incentives
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Why Consider Investing in Organizational Change?
User adoption of new processes and systems
Productivity realized earlier
Skilled users
Less resistance
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Manage Change to…
Contain the Loss and Attain the Result
Contain Productivity Loss / Cost / Schedule
Attain Performance
and
Financial Benefits
K. Judge
Productivity
Productivity

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What Does Organizational Change Management Do?
Reduces resistance to change
Cuts the costs associated with that
resistance
Shortens the project cycle
time resulting from resistance to change
Increases the probability of successful
change
Decreases the cost of subsequent
changes
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What is Needed to Achieve Success?
Connected to real work, goals and processes
Connected to improve performance
Involve those who have the power to take action
regarding the goals
Balance action and reflections
Afford people with the time to think and
reflect without pressure
Intend to increase people’s capacity, individually
and collectively
Focus on learning about learning, in settings that matter
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The Dance of Change, by Peter Senge, copyright 1999

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What will Get you in Trouble?
Inconsistencies between management's words and actions
Unclear or overreaching expectations without a good measurement
system to evaluate the change
Not changing compensation, organization, information,
promotion/selection systems
Management not realizing successful organizational change takes
persistent efforts that may last years
Management blindly following a technique or buzzword - trying to
force a square peg into a round hole
Assuming training employees is the only change that is needed
Dr. Chaudron, Phd. Organizational Change Consultancy
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Hammer Approach: Fantasy
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Time
Future
State
Change
Approach
Present
State
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Reference: Michael Hammer

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Hammer Approach: Reality
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Future
State
Time
Present
State
Reference: Michael Hammer

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Transition Management
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Future
State
Transition State
Unfreezing Consolidating
Opportunity Need Discomfort Pain
Time
Present
State
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Reference: Michael Hammer

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Unfreezing: Pitfalls
Well over 50% of change efforts never really get started.
We underestimate how hard it can be to drive people out of their comfort
zones
We overestimate how successful we are at doing ‘it’
Too many managers and not enough leaders
Change requires creating a new system
New systems demand leadership
Bad business is a mixed blessing
Losing money catches people’s attention
Resources are tight
Good business is also a mixed blessing
Convincing people change is needed is tough
Resources are easier to get
75% of your managers must be convinced
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Transition State Characteristics
High uncertainty, low stability, and less predictability
Insufficient and conflicting information
High perceived inconsistency with control becoming a
major issue
More interdependence with increased conflict, particularly
across groups
Past patterns of behavior become explicitly and reverently
valued as the “good old days”
People experience a great deal of emotional stress
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(Source: Deimel, Maher and Myers)
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Start Early and Be Consistent
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Requirements phase: define organizational impacts and high level
change needs – assess sponsor stakeholder analysis- produce
vision statement
Continue assessments, start to establish communication
with management teams, construct change hierarchy
structure, determine motivations and rewards
Bring in Change Agents Communicate,
Communicate, Organizational Readiness
Assessment
Training & Other
Activities
WHO:
BA, PM, Training,
Org. Change Group,
Change Team, Human
Resources
Initiate Plan Execute
Control
& Close

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Integrate Organizational Change Management
into the Project Plan
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ID Task Name
Dec’03
T F S S M T W T F S
1 Managed Change
™
Methodology
2 Steps
3 Project Governance
4 Deliverables
5 Statement of Work
6 Tasks
7 Gather data about the change project
8 Define the boundaries and responsibilities
9 Integrate the information into formal document
10 Team Infrastructure
11 Tasks
12 Select the change management team members
13 Negotiate for their release
14 Develop team charter
15 Develop individual job descriptions
16 Position change management within program management
17 Step One: Identify the Change
18 Deliverables
19 Current State
20 Plan meetings with subject matter experts
21 Gather and consolidate existing data
22 Prepare visual diagram and narrative
23 Present and obtain sponsor(s) approval
24 Publish the Current State diagram
25 Desired State
26 Plan meetings with subject matter experts

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PMBOK® & Managed Change™
Side by Side
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PMBOK®
Managed Change™
Initiating
Planning
Executing
Controlling & Closing
Defines and authorizes the project
or a project phase
Defines and refines objectives, and
plans the course of action
Integrates people and other
resources to carry out the project
management plan for the project.
Regularly monitors progress;
Formalizes acceptance of the product
Identify the Change
Current Desired Delta
Prepare to Change
Sponsor Change
Agent
Target
Culture History Resistance
Plan the Change
Communications Learning Reward
Implement the Change
Sustain the Change

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What do you need?
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VISION
SKILLS
INCENTIVES
RESOURCES
ACTION
PLAN
+
+
+
+
= CHANGE

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Create a Vision/ Desired State
Serves as the foundation for communications
Can be prepared by the Business Analyst
Answers these questions:
How does the change fit into the overall business
strategy?
What will the desired state look like?
 Structure: operations, resources, infrastructure
 Process
 People: knowledge, skills, performance,
 Culture: behavior, rules,
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Planning for Change
What would happen if we did not change?
What change forces are internal/external?
How much time do we have to change?
What if our attempt to change fails?
What opportunities are not being exploited?
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Questions for Desired State
What elements of the desired state (if any) are
negotiable during implementation?
How will we know we have reached the desire state?
How long will it take to reach the desired state?
How will we measure the desired state?
What will motivate employees to move to the desired
state?
How will employees be rewarded?
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Change Analysis – Business Analyst
Area of Change Impact Questions Action Required
Project Objectives • What are the project objectives?
• What are the causes underlying the change?
• Are project goals aligned with company vision,
mission and values?
Your input here…
Processes • Which processes are affected?
• How will process objectives change?
• How will interfaces change?
Organizational
Structure
• How will the composition of teams change?
• How will process objectives change?
• How will localities change?
Employees • How will areas of responsibilities change?
• What new skills and competencies will be needed?
• How will conditions of employment change?
Basic Principals and
Rules
• To what extent will basic principles change for IT, HR,
direction and quality?
• To what extent will the new rules affect the company?
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Assess Sponsor
Does s/he have a clear vision of desired state?
Understands what it will take to achieve desired
state?
Requires feedback on measurable /incremental
desired state?
Is willing to provide resources to achieve desired
state?
Encourages people to express concerns?
Will align rewards/reinforcement to support the
desired state.
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Organize a Change Team
Executive Support
Management Support
Change Agents
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Attributes of a Change Team
Sr. Management participation
Representatives from each of the stakeholder
groups
Leadership (motivating, communicating)
Diversity (culture, opinion)
Expertise (business)
Skills (conflict resolution)
Credibility
Motivation
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Resistance
Resistance is triggered by logical and emotional
responses to the change and the amount of control a
person feels they have over what is happening.
Why is this happening?
How big an impact this will have on me?
what’s in it for me?
How long will it take?
Do I really have to conform to the changes?
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Plan for and Manage Resistance
This can be done by the BA or the lead of the change team and
executed by the change agents
Identify and engage key opinion leaders
Use leader visibility, modeling, communication and sponsorship
Be clear and emphatic about what is not changing
Assist employees in understanding why they are being asked to
make the change
Legitimize and acknowledge people’s feelings
Develop, communicate, reward, and reinforce new behaviors
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Who can Manage Resistance
This can be done by the BA or the person leading the
change effort
Assess groups for resistance
Strong change agents/managers who can
communicate
Include strong resisters to the change
on your change team
Know how will you build trust
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Survey Questions to Assess Resistance
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1. There is a real need for change.
2. I understand what is expected of me.
3. I am afraid I will lose my job.
4. The change will expose current deficiencies.
5. The change is too disruptive.
6. There are consequences for non-compliance to the
changes.
7. I like the status quo.
8. I do not know what the desired outcome of the change is.

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Determine Extent of Resistance
5 point scale
(from: not enough information to strongly agree)
TTL. Score ÷ # of questions __ x 100 = %
Less than: 45% Danger
Between 46% and 65% Serious Concern
More than 66% Opportunity
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Reaction and Response to Resistance
Reaction: Response:
Feeling fear, confusion,
or overwhelmed
Allow and accept people’s feelings, avoid
confrontations, focus on small first steps and clarify
expectations.
Acting defensively, Test for acceptance of reality, avoid confrontations,
focus on small first steps and reconfirm the need for
change.
Showing a need to regain
control
Allow them to voice their anger and legitimize it
without taking it personally.
Trying to minimize the
impact of the change
Listen
Feeling frustrated, low coping
ability
Provide support, and encouragement.
Beginning to try new
alternatives
Help to explore realistic options, acknowledge
progress.
Responding to change
realistically
Reward and acknowledge progress,
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Motivation to Help Mitigate Resistance
Motivation:
1. the psychological feature that arouses an organism to
action toward a desired goal; the reason for the action; that
which gives purpose and direction to behavior; "we did not
understand his motivation"; "he acted with the best of
motives"
2. the condition of being motivated; "his motivation was at a
high level"
3. the act of motivating; providing incentive
People often say that motivation doesn't last.
Well, neither does bathing - that's why we recommend it daily.
Zig Ziglar
WordNet® 3.0, © 2006 by Princeton University.
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Incentive to Influence Productivity
Incentive:
1. a positive motivational influence [ant: deterrence]
2. an additional payment (or other remuneration) to
employees as a means of increasing output [syn: bonus] *
3. Something, such as the fear of punishment or the
expectation of reward, that induces action or motivates effort.
adj. Serving to induce or motivate: an incentive bonus for
high productivity. **
* WordNet® 3.0, © 2006 by Princeton University.
** The American Heritage® Dictionary of the English Language, Fourth Edition
Copyright © 2006 by Houghton Mifflin Company.
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Moving from Motivation to Habit
“Motivation is what gets you started.
Habit is what keeps you going.”
Jim Ryun
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Motivation and Rewards will help you to manage
resistance to the change.

37. © 2007 International Institute for Learning, Inc.
Determine How to Motivate
This can be done by the BA or the Change Lead
and the organizational management team
What are the positive messages that will be
communicated?
Pick motivated change agents
Determine early wins
How will wins be communicated
Determine “What’s in it for…”
Ensure Clarity of messages, instructions
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Determine Rewards
This can be done by the BA or the Change Lead and
the organizational management team
Must be consistent with vision
Which new behaviors should be encouraged?
On what achievements and conditions are
promotions based?
Set goals that are consistent with overall objectives
Which skills and competencies are needed
How will performance be measured
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Determine Training Requirements
This can be done initially by the BA and then in
tandem with the training lead
Based on desired performance outcomes
Based on skill gaps
Include training team early
Remember Training alone
isn’t change management
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Plan to Communicate
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Clearly
Consistently
Constantly

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Assess Readiness
Is leadership aligned
Has a sense of urgency been established?
Have guiding teams been established?
Can the change vision be communicated clearly
and is it compelling?
Is communication simple, candid and sincere?
Can individuals take action for change?
Are short term wins identified?
Will measurement be used to further the change effort?
Have clear performance measures have been established?
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Manage Your Risk
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VISION SKILLS INCENTIVES RESOURCES
ACTION
PLAN
ANXIETY
+
+
+
+ =
VISION SKILLS INCENTIVES RESOURCES
ACTION
PLAN
GRADUAL
CHANGE
+
+
+
+ =
VISION SKILLS INCENTIVES RESOURCES
ACTION
PLAN
FRUSTRATION
+
+
+
+ =
VISION SKILLS INCENTIVES RESOURCES
ACTION
PLAN
FALSE STARTS
+
+
+
+ =
SOURCE: “Managing Technological Change”; Carnegie Mellon University, SEI

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Remember
Ensure you have a committed sponsor and change
agent infrastructure
Insist on realistic goals and measurement
Determine clear messages
Train people
Introduce change as early as possible
Ensure incremental wins!
Communicate, Communicate, Communicate:
current state, incremental state, desired state
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Questions
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Contact Information
Web: www.iil.com
E-mail: maureen.mcvey@iil.com
Phone: 1-416-889-0496
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46. © 2007 International Institute for Learning, Inc.
Resources
The Heart of Change Field Guide, Tools and Tactics
for Leading change in Your Organization
Dan S. Cohen , Harvard Business School Press
The Consultant’s Tool Kit
Edited by Mel Silberman
Information from LaMarsh and Associates
www.lamarsh.com/newsletter
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