benefits management to enable change, tuesday 27th january 2015
TRANSCRIPT
Neil White Managing Director – ChangeVista Ltd
07890397046
Benefits Management
to enable change APM – North East Branch
27th January 2014
Neil White Change Management Specialist
>20 yrs RAF (System Engineering+) Change Management for >20yrs Business Improvement (SEI CMMI) - Assessment and Services Lead Transformation Change Manager Benefits & Business Change MSc Change Management
‘an ardent believer that the ability to change is more important than the required changes themselves’
Association for Project Management (APM)
Enabling Change SIG – Change Futures Pillar lead Benefits Management SIG - Secretary
Benefits Management SIG
‘To develop and promote benefits
management as a core driver of
successful project, programme
portfolio and change management’
The SIG’s mission is ‘to improve
the change capability of
organisations, teams and
individuals’
Enabling Change SIG
‘my standpoint is that although outcomes are greatly improved through
the application of each one of these disciplines – they become particularly effective when implemented together’
‘the only constant in life is change itself’
The simple truth about change
Herakleitos of Ephesus
(c.535 BC -475 BC)
Greek philosopher
Goal
Change Management
Knowledge Effort
Change Management & Knowledge
Project
Managers? Change
Managers?
Benefit
Realisation
Managers?
What is your main profession?
Business
Change
Managers?
Other?
What change problems have you experienced?
Mistake #1 – Starting too late Mistake #2 – No winning strategy Mistake #3 – Fanfare Mistake #4 – Employees hear it from the media first Mistake #5 – Failure to make a compelling and urgent case for change Mistake #6 – Only focusing on the rational elements Mistake #7 – Not dealing proactively with resistance Mistake #8 – Lack of communication Mistake #9 – Not enough leadership Mistake #10 – Ignoring current corporate culture Mistake #11 – Failure to understand and shape the informal organization Mistake #12 – Not involving the employees Mistake #13 – Over-reliance on structure and systems to change behavior Mistake #14 – Failure to distinguish between decision-driven & behavior dependent change Mistake #15 – Lack of skills and resources Mistake #16 – Focusing only on the long term Mistake #17 – Failing to plan small successive successes Mistake #18 – Using the wrong indicators to measure progress Mistake #19– Assuming that change is complete once initial goals are achieved Mistake #20 – Excessively open-ended process
http://www.torbenrick.eu/blog/
My change management observations
Management agenda – underestimation of what is required to achieve a successful outcome
A cultural inability for staff and management to talk
An inability or willingness to learn from experience
Inappropriate change management approaches
Poor to non-existent appreciation of stakeholder needs
Failure to recognize the importance of roles
The knowing-doing gap John Thorpe - MOVING BEYOND WORDS TO ACTION (August 2008)
Change Models and what they tell us
Need for
Change
Change
Behavior
Change
Direction
Change
Sustainability
1. Establish a Sense of Urgency
2. Form a Powerful Guiding
Coalition
3. Create a Vision
4. Communicate
the Vision
5. Empower Others to Act on the Vision
6. Plan for and Create Short Term
Wins
7. Consolidate Improvements
& Produce More Change
8. Institutionalize
New Approaches
Committed
Leadership
Kotter's Eight Phases of Change
Change
Sustainability
Change
Behavior
Change
Direction
Need for
Change
Kotter's Eight Phases of Change
1. Establish a Sense of Urgency 2. Create a Guiding Coalition
3. Develop a Vision & Strategy 4. Communicate the Change Vision
5. Empower Action 6. Generate Short-Term Wins
7. Consolidate Gains & Produce More Change 8. Anchor New Approaches
The ADKAR Model helps organisations understand change from the position of both individuals and groups
Source: Prosci ADKAR Model
Awareness
Desire
Knowledge
Ability
Reinforcement
ADKAR Change Model
• Understand the need for change
• Understand nature of the change
• Sustain the change
• Build a culture and competence around change
• How to change
• Implement new skills and behaviors
• Support the change
• Participate and engage
• Implement the change
• Demonstrate performance
Lewin’s Three Stage change process is a simple framework in which to understand and manage organisational change
Ensures that employees are ready for change
Unfreeze
Execute the intended change
Change
Ensures that the change becomes permanent
Refreeze
Lewin, K (1952) Field Theory in Social Science
Kurt Lewin’s change model
Apparent ‘equilibrium’
Refreeze
Change
Kurt Lewin’s change model
Unfreeze
Lewin, K (1952) Field Theory in Social Science
Kubler Ross Transition Curve
Numbness
Shock
Denial
Fear
Anger
Depression Understanding
Acceptance
Moving On
Time
Change Challenge - Individuals
Adams, Hayes & Hopson (1976)
Understanding the organisation
French, W and Bell, C (1984) Organizational Development: Behavioral Science
Interventions for Organization Improvement,
Question: What do each of these change models have in common?
Answer: An appreciation that people matter, context matters, engaging with the change process matters, knowledge of the change matters
What can we understand from these models?
Communication: what to say, when to say it, who to say it to
Engagement: opportunity to establish meaningful stakeholder relationships
Method: people knowing what to do and when it should be done
Key Change Enablers
Accountability: people knowing who is responsible and for what
Benefits Realisation
Management
Having identified the key reasons for poor change performance (outcomes)
and how change models have been developed to help mitigate them, my aim now is to show how Benefits Realization Management (BRM) can overcome them
A Benefits Management Model
5 Practices
7 Principles
Benefits Management
Practices
Benefits Management – 5 Practices
Identify & Quantify
Value & Appraise
Plan
Realize
Review Benefits Management
Practices
Align benefits with strategy
Start with the end in mind
Utilize successful delivery methods
Integrate benefits with performance management
Manage benefits from a portfolio perspective
Apply effective governance
Develop a value culture
Benefits Management - 7 Principles
The centrality of BRM
Benefit Realisation
Management
Benefits
Identifies & analysis
Plans
Highlights dependencies
Stakeholders
Engages
Reviews & Governance
Vision or End Goal
Establishes
Enablers & Business Change
Defines requirements
Blueprint
Shapes
Roles
Clarifies
Business Case
Informs
Delivery Structures
Qualifies
Risks Identifies
Measures Determines,
tracks & reports
Drives
Benefits Realisation Management, Gerald Bradley, Gower
An overview of the BRM Process
The BRM process provides assurance that an organisation’s investment in change stays aligned to its strategic goals
Vision
Strategic Objectives
Functional Objectives
Manage Benefits
Changes
Realise Benefits
But BRM brings much more to the change process…….
Vision & Objectives
Identify Benefits & Changes
Define Initiatives
Optimise the initiatives
Manage Initiatives
Manage Performance
Engage Stakeholders
Steve Robinson – June 2014 Project Magazine
Stakeholders and BRM
Projects [APM, BoK6]
Project, Programme, Portfolio Relationship
Programmes [MSP, 2011]
Sponsor/Business Change Managers
responsible for benefits realisation
Organisational Strategy
Portfolio
Positioning of related disciplines
The order of precedence shown here ensures that the resulting organizational changes meet the required business needs
Benefits Realisation
Management
ADKAR
Lewin
Kotter
Kubler-Ross
What it boils down to is that BRM is best implemented with a Change Management mindset and Change Management should seek to capitalise on the opportunities provides by BRM
This presentation was delivered
at an APM event
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