change management – principles and process

CHANGE MANAGEMENT – PRINCIPLES AND PROCESSBE A COMPETENT FACILITATOR OF CHANGE

IN YOUR ORGANIZATION

ROAD ACCIDENT FUNDCENTURION

CHARLES COTTER

14-17 MARCH 2016

Introduction to change management principles and practice

Describing the types of change

Diagnosis: Identifying and applying the characteristics of change capable organizations

Explaining change theories and the change transition cycle

Explaining the leadership role and contribution during change

Differentiating between Type O and Type D oriented people and the effective management thereof

2-DAY TRAINING PROGRAMME OVERVIEW

Applying the Change formula

Identifying the reasons for resistance to change

Describing the managerial techniques to reduce resistance to change

Describing Lewin’s 3-phase Planned approach to change

Describing and applying the 7-step organizational change management process

Applying Prosci’s Change Management Methodology

2-DAY TRAINING PROGRAMME OVERVIEW

INTRODUCTORY LEARNING ACTIVITY

Individual activity:

Complete the following statement by inserting one word only. In order to effectively manage change in the RAF, I need to/to be………………………………………………

Jot this word down and find other learners who have written down the same word.

Write this word down on the flip-chart.

Each learner will have the opportunity to explain their choice of word.

Change and Change Management

The need for change

The V-U-C-A nature of the business environment The reasons/forces of change (refer to pages 4-5)

The metaphoric views of change

First and second order change

The areas/types of change

DEFINING THE FUNDAMENTALS OF CHANGE

THE NEED FOR CHANGE

THE NATURE OF THE BUSINESS ENVIRONMENT – V-U-C-A

REASONS/FORCES OF CHANGE

METAPHORIC VIEWS OF CHANGE

CALM WATERS WHITE-WATER RAPIDS

First Order change is often referred to as evolutionary or gradual change - usually localized – it impacts on one part of a system without major repercussions to other parts of the system. The organization as a whole remains intact and no overall change of its former state occurs in spite of incremental change to one part of it.

Second order change is often referred to as radical or revolutionary change because it impacts on the organization as a whole.

FIRST AND SECOND ORDER CHANGE

AREAS/TYPES OF CHANGE: S-P-O-T-S

Identify examples of both internal and external forces that necessitate your organization to change. How has the RAF responded to these changes? Provide practical examples.

  As a manager, how would you view the organizational

change – calm waters or white water and/or first or second order change? Substantiate your reasoning.

  By referring to the 5 types of change, provide

relevant examples of each. Of these types of change, which is the most challenging? Motivate your answer.

Present a summary of group discussion

SYNDICATE GROUP LEARNING ACTIVITY 1

The literature on “change management” is clear: over 70% of change initiatives fail.

CHANGE MANAGEMENT SUCCESS TRACK RECORD

We started with a single question: Why do some changes succeed and others fail? (https://www.prosci.com/about)

The answer: the people side.

PROSCI’S VIEW OF CHANGE SUCCESS

Unsuccessful means “the goals of change are not achieved or only small parts are achieved.”

Refer to the examples (1-5) of failed change

management projects (pages 39-41)

Refer to the Lessons learnt from these examples (pages 39-40)

Good intentions doesn’t equal change success Self protection mechanism

Refer to the Pitfalls in a change management project (pages 42-49)

CHANGE MANAGEMENT SUCCESS “RECIPE”

#1: Linking the present and the future

#2: Make learning a way of life (learning organization)

#3: Actively supporting and encouraging day-to-day improvements and changes (continuous improvement processes)

  #4: Ensuring diverse teams   #5: Encourage out-of-the-box thinking (innovation)

CHARACTERISTICS OF CHANGE-CAPABLE/FRIENDLY ORGANIZATIONS

#6: Protect and shelter breakthrough ideas (intellectual property)

#7: Integrate technology to implement changes  #8: Build and deepen trust (creating an organizational

culture of management credibility and integrity)   #9: Streamline and align processes, systems and

structures  #10: Leadership have the will and conviction to

change

CHARACTERISTICS OF CHANGE-CAPABLE/FRIENDLY ORGANIZATIONS

Diagnosis: By referring to each of the characteristics of change capable/friendly organizations, measure the degree of the RAF’s readiness to change.

Analysis: Identify those areas which need to be improved and recommend strategies to close these gaps.

Present a summary of group discussion

SYNDICATE GROUP LEARNING ACTIVITY 2

CHANGE TRANSITION CURVE

CHANGE TRANSITION CURVE AND APPROPRIATE LEADERSHIP ACTIONS

As a manager, describe how you can accelerate and guide employees through the change transition cycle to the most sophisticated/mature stage i.e. commitment.

Present a summary of group discussion

SYNDICATE GROUP LEARNING ACTIVITY 3

• The employee does not have a responsibility to manage change.

• The responsibility lies with management and executives of the organisation.

• They must manage change in a way that employees can cope with it.

• The manager has the responsibility to facilitate and enable change.

RESPONSIBILITY FOR MANAGING CHANGE

“Leaders should not only administer and manage change, but pioneer, pilot and drive change towards barrier-busting heights of performance improvement.” (Cotter: 2005)

Managerial Roles and Actions

Change Agents (internal and external)

Building resilience and change-hardiness

Transformational Leadership

Develop Employee engagement strategies

Scaling the Hierarchy of Commitment

THE ROLE OF LEADERSHIP IN CHANGE MANAGEMENT

Provide a future vision for change Leaders should possess diagnostic ability to read, scan and

respond to the changing environment in the perpetual quest for business growth and expansion opportunities

Be a catalytic driver of change Guide, support and lead people through the change

transition cycle Be a change agent Lead by example during change i.e. be a role

model/ambassador and advocate for change Be a transformational leader Break down resistance to change To build resilience and change hardiness amongst the

workforce

CHANGE LEADERSHIP ROLES AND ACTIONS

The five attributes of resilience include:

Positive (they see life as complex but filled with opportunity)

Focused (they have a clear vision of what they want to achieve)

Flexible (they demonstrate pliability when responding to uncertainty)

 Organized (they develop structured approaches to managing

ambiguity) 

Proactive (they engage with change rather than defending against it)

BUILDING RESILIENCE AND CHANGE HARDINESS

CHARACTERISTICS OF TRANSFORMATIONAL

LEADERSHIP

According to Gallup (2013) research, the best organizations deeply integrate employee engagement into the following four (4) areas:

Strategy and Leadership Philosophy

Accountability and Performance

Communication and Knowledge Management

Development and on-going Learning Opportunities

BEST PRACTICE EMPLOYEE ENGAGEMENT

According to Gallup (2013), strategies to improve employee engagement are:

Use the right employee engagement survey

Focus on engagement at the enterprise and local levels

Select the right people and managers

Coach managers and hold them accountable for their employees’ engagement

Define engagement goals in realistic, everyday terms

Develop employees’ strengths

Enhance employees’ well-being

Find ways to connect with each employee

STRATEGIES TO DEVELOP EMPLOYEE ENGAGEMENT

Describe your role and contribution as a change agent. Express your opinion regarding the use of external change agents i.e. do you support or oppose the contracting of external change agents. Substantiate your reasoning.

By referring to the characteristics of transformational leaders, describe how you can demonstrate these during times of change.

  How you will build resilience and change hardiness

amongst the workforce (refer to the characteristics of highly resilient people)

How you will develop employee engagement strategies in the RAF.

SYNDICATE GROUP LEARNING ACTIVITY 4

• Rating of 18 - 35: Highly Type O; interprets the world as a multifaceted and overlapping; maintains a strong purpose or vision that helps during times of change; has a high tolerance for ambiguity; manages many simultaneous tasks and demands successfully; takes risks in spite of potentially negative consequences.

• Rating of 36 - 53: Moderately Type O; predominately views disruptions as a natural result of the changing world, but sometimes needs a long recovery time after adversity or disappointment; exhibits patience, understanding, and humour when dealing with change; fails to ask for assistance from others when it is needed.

 • Rating of 54 - 71: Moderately Type D; believes there are usually lessons to be

learned from challenges, but lacks an overriding purpose and the ability to stay focused; questions and modifies (when necessary) his/her own assumptions or frames of reference; becomes confused when faced with confusing information.

 • Rating of 72 - 90: Highly Type D; expects the future to be orderly and predictable

and sees major change as uncomfortable and something to avoid; feels victimized during change and fails to break from established way of seeing/doing things

INTERPRETATION – TYPE O AND D

Individually: Complete the Type O vs. D-oriented questionnaire.

Group: As a manager, describe how you will manage your staff with both a Type O and Type D orientation towards change.

Present a summary of group discussion

SYNDICATE GROUP LEARNING ACTIVITY 5

Why people resist change?

Why it is so challenging to reduce resistance to change?

Managerial techniques to reduce resistance to change

MANAGING RESISTANCE TO CHANGE

RESISTANCE TO CHANGE – “COMFORT ZONE”

Uncertainty (i.e. fear of the unknown)

People’s self-interest is threatened   A lack of trust and misunderstanding

Belief that change is incompatible with the goals and the interest of the organization

A low tolerance for change is also a barrier to organizational change

Other general reasons (e.g. include inertia where people do not want to change the status quo, poor timing, and unexpected, extreme or sudden change and peer pressure)

WHY PEOPLE RESIST CHANGE?

People and their behaviour is the most difficult to change because unlike structure and technology, in which managers have absolute control, managers do not have absolute control over peoples’ thinking, attitudes and perceptions.

“Unlike technology, structure, processes and strategy, people talk back when confronted by uncomfortable levels of change.” (Cotter: 2014)

People are the greatest source of resistance to change because people have minds of their own i.e. they have personalized and subjective views regarding change.

Change must involve the people - change must not be imposed upon the people

WHY IT IS SO CHALLENGING TO REDUCE RESISTANCE TO CHANGE?

In the RAF work environment, identify the five (5) foremost reasons why employees resist change. For each of these 5 reasons, describe the ways and means that you as a manager can use to break down these “walls of resistance”. Provide practical examples.

Present a summary of group discussion

SYNDICATE GROUP LEARNING ACTIVITY 6

MANAGERIAL TECHNIQUES TO REDUCE RESISTANCE TO CHANGE

By referring to each of the 6 techniques to manage employee resistance to change, describe how you as a manager can apply these techniques in the RAF working environment. Provide practical examples. Also indicate at which stage of the change process, each of these techniques is most appropriate.

Present a summary of group discussion

SYNDICATE GROUP LEARNING ACTIVITY 7

At all times involve and agree support from people within system (e.g. the environment, processes, culture, relationships, behaviours - whether personal or organizational)

Understand where you/the organization is at the moment (status quo)

Understand where you want to be, when, why, and what the measures will be for having got there

Plan development towards above in appropriate achievable measurable stages

Communicate, involve, enable and facilitate involvement from people, as early and openly and as fully as is possible.

BEST PRACTICE CHANGE MANAGEMENT PRINCIPLES

Refer to pages 35-39 in the Study Guide

By reviewing the Advantages and Disadvantages of the five change management strategies (figure 6 – page 38), indicate which strategy is most appropriate for the various change management initiative and interventions at the RAF. Justify your response.

Present a summary of group discussion

SYNDICATE GROUP LEARNING ACTIVITY 8

LEWIN’S 3-PHASE MODEL OF CHANGE

MCKINSEY 7-S MODEL (OF ORGANIZATIONAL EFFECTIVENESS)

KOTTER’S CHANGE MANAGEMENT PROCESS

STEP 1: Forces for change (internal and environmental forces) which affect:

STEP 2: Performance outcomes (individual, group and organizational) which encourages

  STEP 3: Diagnosis of the problem (information, participation and change agent)

which leads to   STEP 4: Selection of appropriate intervention (structural, behavioural and

technological) as constrained by S-P-O-T-S

STEP 5: Limiting conditions (leadership climate, formal organization structure and organization culture)

  STEP 6: Selection and Implementation of the method (timing, scope and

experimentation) provision for   STEP 7: Evaluation of the method (feedback, adjustment, revision, reinforcement)

APPLYING THE 7-STEP, ORGANIZATIONAL STRATEGIC CHANGE MANAGEMENT

PROCESS

Step one of the strategic change management process starts with an assessment of the organization’s Mission and Vision, challenges (pains), enablers and values.

The following strategically-relevant items form the scope to be scrutinized by business managers:

The company's mission statement  The company's strategic plan/vision  The financial status of the organization  How the organization is currently structured and operating  The level of expertise of their employees  Customer satisfaction level

Tools:

SWOT Analysis PESTEL Analysis

STEP 1: FORCES FOR CHANGE - INTERNAL AND EXTERNAL STRATEGIC ASSESSMENT

STEP 5: LIMITING CONDITIONS - FORCE FIELD ANALYSIS

By referring to the 7-step organizational change management process, apply each of the steps in the RAF working environment.

Present a summary of group discussion

SYNDICATE GROUP LEARNING ACTIVITY 9

• Point 1: Change management requires both an individual and an organisational perspective.

• Point 2: A-D-K-A-R (awareness, desire, knowledge, ability and reinforcement) presents an easy-to-use model for individual change.

• Point 3: The 3-phase process gives structure to the steps project teams should take.

HIGH-LEVEL OVERVIEW OF PROSCI’S METHODOLOGY

A-D-K-A-R

PROSCI’S CHANGE MANAGEMENT METHODOLOGY

Evaluate the merits and application and utility value of Prosci’s Change Management methodology to the RAF. Is there a viable, feasible and sustainable business case for it’s implementation value at RAF. Justify your response.

Present a summary of group discussion

SYNDICATE GROUP LEARNING ACTIVITY 10

Summary of the key learning points

Questions

Conclusion

Good luck with the implementation of change management processes, systems and tools in the RAF.

CONCLUSION

CONTACT DETAILSCharles Cotter

(+27) 84 562 9446

charlescot@polka.co.za

LinkedIn

Twitter: Charles_Cotter

http://www.slideshare.net/CharlesCotter