prosci webinar: the holistic approach to change management - insights and innovations
TRANSCRIPT
TheHolis*cApproachtoChangeManagement-InsightsandInnova*onsSusie Pa)erson Director of Research and Development @SusieEPa)erson
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Research Founda<on
Innova<ve Topics
Daily Applica<on
CulturalAdapta*ons
IndustryImpact
ChangeAgentNetwork
©Prosci.AllRightsReserved. 3
Research Founda<on
Innova<ve Topics
Daily Applica<on
CulturalAdapta*ons
IndustryImpact
ChangeAgentNetwork
©Prosci.AllRightsReserved. 4
Why research?
For Prac<<oners
Applylessonslearnedfromotherprac**onerstodrivesuccess
Benchmarkagainstotherorganiza*onsandindustries
Gaincredibility
Expandprac*cewithnewtopicsandtac*cs
For Prosci
AvoidcommonpiMalls
Relyontheexperienceofothers,notthetheoriesofothers
Answer:“whydosomechangessucceedandothersfail?”
Driveabestprac*ces-basedmethodologyandsuiteoftools
Provideobjec*ve,groundedguidance
Contributetothechangemanagementdiscipline
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Prosci Research Founda<on
9BestPrac*cesstudies17years4500par*cipants 0
500
1000
102
1120
1998 2015
Par*cipants
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Share your insights now: prosci.com/study
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Greatestcontributors Biggestobstacles
Methodology Sponsorship
Communica*ons Training
1998
Resistancemanagement
ManagerRole Greatestcontributors
Biggestobstacles Methodology Sponsorship
Communica*ons Training
19982000
Resourcesandbudgets Resistancemanagement
ManagerRole Greatestcontributors
Biggestobstacles Methodology Sponsorship
Communica*ons Training
199820002003
Organiza*onalchangecapability Teammembera^ributes
Resourcesandbudgets Resistancemanagement
ManagerRole Greatestcontributors
Biggestobstacles Methodology Sponsorship
Communica*ons Training
1998200020032005
Reinforcementandsustainment Satura*onandporMoliomanagementOrganiza*onalchangecapability
Teammembera^ributes Resourcesandbudgets
Resistancemanagement ManagerRole
Greatestcontributors Biggestobstacles
Methodology Sponsorship
Communica*ons Training
19982000200320052007
Measurementandmetrics Integra*ngCMandPM
Readiness TrendsinCM
Reinforcementandsustainment Satura*onandporMoliomanagementOrganiza*onalchangecapability
Teammembera^ributes Resourcesandbudgets
Resistancemanagement ManagerRole
Greatestcontributors Biggestobstacles
Methodology Sponsorship
Communica*ons Training
199820002003200520072009
Jobrolesandloca*ons
Advicefornewprac**oners Complexchange
AligningCMwithotherdisciplines Measurementandmetrics
Integra*ngCMandPM Readiness
TrendsinCM Reinforcementandsustainment
Satura*onandporMoliomanagementOrganiza*onalchangecapability
Teammembera^ributes Resourcesandbudgets
Resistancemanagement ManagerRole
Greatestcontributors Biggestobstacles
Methodology Sponsorship
Communica*ons Training
1998200020032005200720092011
Jus*fyingCM Jobrolesandloca*ons
Advicefornewprac**oners Complexchange
AligningCMwithotherdisciplines Measurementandmetrics
Integra*ngCMandPM Readiness
TrendsinCM Reinforcementandsustainment
Satura*onandporMoliomanagementOrganiza*onalchangecapability
Teammembera^ributes Resourcesandbudgets
Resistancemanagement ManagerRole
Greatestcontributors Biggestobstacles
Methodology Sponsorship
Communica*ons Training
19982000200320052007200920112013
Culture Globalawareness
Complementaryroles ChangeAgentNetworks
Ver*calindustrycustomiza*on Jus*fyingCM
Jobrolesandloca*ons Advicefornewprac**oners
Complexchange AligningCMwithotherdisciplines Measurementandmetrics
Integra*ngCMandPM Readiness
TrendsinCM Reinforcementandsustainment
Satura*onandporMoliomanagementOrganiza*onalchangecapability
Teammembera^ributes Resourcesandbudgets
Resistancemanagement Managerrole
Greatestcontributors Biggestobstacles
Methodology Sponsorship
Communica*ons Training
199820002003200520072009201120132015
Building the body of knowledge on change management Evolu<on of Prosci Research
NewtopicareaMajorfocusMinorfocus
Key
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Approach from 2016 Forward
CoreFindings(Biennial)
Publishedseparately
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Share your insights now: prosci.com/study
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Research Founda<on
Innova<ve Topics
Daily Applica<on
CulturalAdapta*ons
IndustryImpact
ChangeAgentNetwork
CulturalAdapta=ons
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Whataspectsofandorganiza*on’sculturehavethebiggestimpactonhowchangeshappen?
IndividualismvsCollec=vism Thedegreetowhichpeopleactinwaysthatbenefitthemselvesorthegroup
PowerDistance Thedegreetowhichpowerisdistributedequallyorunequallythroughoutaculture
UncertaintyAvoidance Howmuchacultureseekstoavoidandmi*gateuncertainty
Asser=veness Thedegreetowhichapersonisexpectedandallowedtoadvocateforthemselves
PerformanceOrienta=on Thedegreetowhichhighperformance,standardsandstrivingforexcellencearerewarded
Emo=onalExpressiveness Howmuchorhowli^lepeopleareexpectedtodisplaytheiremo*onalstateinaprofessionalenvironment
Sixculturaldimensionsstudied
Cultural Adapta<ons
Thesedimensionswereiden-fiedfromotherthoughtleaders’worksonculturala8ributes:GLOBE,Hofstede,Trompenaar
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Par*cipantsprovidedthreedatapointsforeachofthesixculturaldimensions:
ExampleForPowerDistance,whereareyouonthespectrum?
Low Moderate High
Becauseofyourplaceonthespectrum,whatwerethe:Specificchallengesyouface:Uniqueadapta*onsyoumake:
Your specific challenges
Your unique adaptations
Cultural Adapta<ons
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PowerDistance
Low Moderate High
Specificchallenges1. Impairedcommunica=on:Duetoextensiveaccess,informa*onojenskippedlevelsoftheorganiza*onwhichresultedinrepea*ng
informa*onseveral*mes.Informalcommunica*onsledtorumorsanddecreasedthecredibilityofinforma*onsurroundingchange.
2. Increasedresistance:Lowpowerdistancestructuresresultedinalargeamountofresistancebecauseindividualsfromalllevelsoftheorganiza*onconstantlychallengedideas.Employeesojendidnotadheretochanges,andmessageswerenotuniformacrosstheorganiza*on.Conflictsarosebetweenlevelsofmanagement,andproduc*vitysufferedconsequently.
3. Decreasedproduc=vity:Produc*vitydecreasedduetomore*mebeingspentongainingbuy-in,lackofgovernanceandslowerdecisionprocesses.
Uniqueadapta=ons1. Increaseengagement:Employeeengagementwasachievedwithanincreaseinfunc*onsandmee*ngsthatwereusedtoensure
alignmentoftheorganiza*onacrossalllevels.Thequan*tyofmee*ngsensuredthatemployeeshadmul*pleopportuni*estoencounterandengagewiththechangeproject.
2. Structurecommunica=onchannels:Communica*onchannelsneededtobeiden*fiedupfronttoprovideaconsistentapproachfortailoringmessagesandtoopenstructuredfeedbackfromindividuals.Communica*onplansrequiredconsistencyandfrequency,socontentcouldbeadjustedtoincorporatethetopicsiden*fiedfromfeedback.
3. Enhancechangemanagementplans:Par*cipantsinlowpowerdistanceorganiza*onsaddedstructuretochangemanagementbyplacingstakeholdersinkeyposi*ons,includingestablishingguidelinestoensurealllevelswerebeingcommunicatedwithandclearlydefiningrolesandresponsibili*es.
Cultural Adapta<ons
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Specificchallenges1. Decreasedabilitytodrivechange:Leadershiphadadecreasedcapabilitytodirectchange,hadtoputmoreeffortintogainingbuy-
inforchangeandhadtoengagemanagersmorethoroughly.
2. Increasedresistance:Resistanceoccurredbecauseseniorleadersdidnotaccountforemployees’inputandconcernswhendealingwithissuescenteredonchange.Employeeswerethenmorelikelytoresistanyaspectofchange.Seniorleadersappearedtothinktheyhadmoreswayoveremployeesthantheydid.
3. Poorstructure:Par*cipantswithmoderatepowerdistanceorganiza*onsreportedaneedtotailorchangeplansmorespecificallytogroupsasopposedtousingauniformapproach.Crea*ngindividualplansrequiredmore*meonthechangemanager’spartandloweredtheeffec*venessofmasscommunica*onregardingchange.
Uniqueadapta=ons1. Balancecommunica=on:Par*cipantsexpressedtheneedtoestablishbalancedcommunica*onduringchangemanagement.Open
andhonestfeedbackwasbalancedwithaclearboundaryandunderstandingof“whohasthefinalsay.”
2. Gainbuy-in:Par*cipantsreportedpunngmoreefforttowardgainingemployeebuy-in.Awarenessoftheneedforandimportanceofchangemanagementwascreatedbyusingmoremee*ngsandteamac*vi*es.Otherac*vi*estogainbuy-inincludedvisiblesponsorshipengagement,involvementofkeystakeholders,crea*onofplansforvariousgroupsanddemonstra*onofthevalueofchangemanagement.
3. Empowersponsors:Sponsorsinmoderatepowerdistanceorganiza*onswereencouragedtotakechargeofchangeasanadap*ontotheposi*ononthepowerdistancespectrum.Empoweredsponsorsbridgedthegapbetweenleaders’direc*onandemployees’concernsandfeedback.
PowerDistance
Low Moderate High
PowerDistance
Low Moderate High
Cultural Adapta<ons
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PowerDistancePowerDistance
Low ModerateLow ModerateLow Moderate High
Specificchallenges1. Restrictedcommunica=on:Par*cipantsiden*fiedtoofewandpoorlevelsofcommunica*onoccurringinhighpowerdistance
organiza*ons.Alargegapwasdescribedbetweenseniorleadersandfrontlineemployeeswhichresultedinalossofproduc*vityandincreased*meforimplementa*on.Fearamongemployeesandexecu*vesappearingunapproachablewereprimarylimita*onstocommunica*onfromlowerlevelstoexecu*ves.
2. Isolateddecisionmaking:Isolateddecisionmakingwaschallenging.Execu*vesmadedecisionswithoutconsideringtheimpacttoemployees.Consequently,thealignmentoftheorganiza*onsufferedbecausedifferentlevelsandgroupshaddifferentdirec*ons.
3. Lackofemployeeengagement:Lackofcommitmentandtrustwereotherchallengesfororganiza*onswithhighpowerstructures.Passiveresistanceresultedfromtheseissuesbecauseemployeesfeltpowerless,unheardandnotcaredabout.Resourceshadtobereallocatedtoaccountfortheseavoidableproblems.
Uniqueadapta=ons1. Communicateopenlyanddirectly:Par*cipantsreportedusingexecu*veandseniorleadersmoreojenduringcommunica*ons.
Higher-levelleadershiplentauthoritytocommunica*on,andresistantemployeesweremorelikelytoadoptchangewheninstructed.
2. Engageleadership:Leadershipvisibilityandengagementensuredthatimpactedgroupsunderstoodthatcompanyleadershipwassuppor*veofandbehindchangefromthebeginning.Earlyleadershipinvolvementencouragedandpromotedearlyadopters.
Cultural Adapta<ons
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Iden*fywhereyourteamororganiza=onfallsonthesixculturaldimensions
Applying this research:
Adaptyourapproachtoaccommodateculturalnorms
AvoidcommonpiMallsWorkmoreeffec=velyincross-culturalprojectsandorganiza*ons
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IndustryImpacts
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Marketchanges
Technologicalchanges
Opera*onalchanges
Organiza*onalchanges
Four types of expected change: 24 ver<cals:
Industry Impacts
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Market Opera*onal TechnologicalRegula*onsand
governmentoversight
Newmarketemergence
Changesindemandrelatedtocustomerexpecta*ons
Tradi*onalmarketsclosing
Increasedcompe**on
Changestocustomer/userrela*onships
Shijingpriori*esandbusinessstrategies
Consolida*onofopera*onsandfocusonprofitability
Digitalbanking
Automa*on
Increasedneedforcybersecurity
Banking
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Market Opera*onal BudgetaryIncreaseincompe**on
Consolida*on
Increaseingovernmentregula*ons
Changetodemand
IncreasedemandforeLearningandvirtual
products
Changestocurricula
Changestostudentrela*ons
Increaseddiversity
Shijingstudentdemographics
Increasedcollabora*onwithcommercialsponsors
Budgetchanges
Changestofederal/statefunding
Educa<on Services
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Technological Organiza*onal Opera*onalDigitaliza*on
Updatestocomputersystems
Virtualtools
CloudeLearningmodules
Reducingemployeeheadcount
Increaseinpriva*za*on
Increaseinoutsourcing
Neworrestructuredbusinessmodel
Changestopriori*es
Changestouser/ci*zenrela*onships
Leadershipdevelopment
Increasedneedforemployeeengagement
Government – State
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Paradigm Technological BudgetaryIndividualorself-managed
healthcaremodel
Increasedregula*onsandlegisla*on
Consolida*onthroughM&A
Standardiza*onofpa*entcare
Electronicrecords
Newdrugs
Pa*entcaretechnology
Automa*on
Budgetcuts
Lossoffunding
Movetowardprofit-focusedbusinessmodels
Health Chare
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Group1 HealthCare Educa*onalServices
Group2Government–Federal
Government–State
Government–Local/Municipal
Group3Banking
Finance
Consul*ng
Insurance
Group4Informa*onServices
Telecommunica*onsProfessional,Scien*fic,TechnicalServices
Group5
OilandGas
Manufacturing
U*li*es
RetailTrade
ConsumerGoodsandManufacturing
Challenges and adapta<ons for CM by industry grouping
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Group1 HealthCare Educa*onalServices
Industry-specificCMchallenges1.Autonomousnatureofemployees 2.Lackofdesignatedresources
• Highdegreeofautonomy• Independentthinking• Donotacceptchangeatfacevalue• Requireconvincingandclearevidence
• Lackofchangemanagementbudget• Lackofdedicatedchangeprac--oners• Lackofchangemanagementtraining• Timeawayfromdailypriori-es
Industry-specificCMadapta=ons1.Alignmentwithemployeecharacteris*cs 2.Communica*on
• Adaptthemethodology• Includeprofessors/physiciansinCMteams• Highdegreeofcollabora-on• Increasedstakeholderengagement
• Resembleacademicdiscourse• Targeted• Detailed• Connectedtovalues(i.e.,pa-entcare)
Challenges and adapta<ons for CM by industry grouping
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Iden*fyyourindustryandreviewchallengesandadapta*ons
Applying this research:
Adaptyourapproachtoaccommodateindustry’sneeds
Useindustry-specificdatatobuildcredibilityforCM
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ChangeAgentNetworks
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39%?
leveragedformalchangeagentnetworksto
supportchangeimplementa*on
Defini*onofthechangeagentnetwork
Reasonstouseachangeagentnetwork
Buildingachangeagentnetwork
Criteriaforselec*ngmembers
Changeagentnetworkroles
Expecta*onsofthechangeagentnetwork
Change Agent Network
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Reasons to use a change agent network
1. ExtendprojectsupportTheprimaryresponsewastoprovideaddi-onalsupporttotheproject,oRenfrompeers,whichexpeditedchangewithfewerobstaclesandgreaterfocus.
2. UseresourcesefficientlyByusingchangeagentnetworks,par-cipantsreadilyallocatedresourcestonecessarypointsofneed.Alargepor-onofpar-cipantsindicatedthatthey…
3. Enhancecommunica*on
4. Alignconsistentobjec*ves
5. Increaseknowledge
6. Buildcredibility
7. Boostownership
Change agent network roles
1. Communica*onroleTherolemostcommonlyiden-fiedbyrespondentswascommunica-onliaison.Membersofthechangeagentnetworkwereusedtodisseminatecommunica-onstotheirrespec-vedepartments,sitesorregionstoshareinforma-onaboutthechangeprojectwithagreateraudienceandprovidevariousformsoffeedbacktothechangeprojectteam,suchasemployeeconcerns.
2. LeadershiproleRespondentsfrequentlyiden-fiedvariousleadershiprolesforthechangeagentnetwork.Examplesincludedac-ngasthechangeleaderfortheirdepartmentorregion…
3. Trainingandsupportroles
4. Managingchangeinternally
Change Agent Network
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Iden=fyyourcurrentformalorinformalchangeagentnetwork(s)
Applying this research:
Mapyourkeyinfluencersandstartleveragingthem
Considerexpandedusesforyourformalorinformalchangeagentnetworks
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Research Founda<on
Innova<ve Topics
Daily Applica<on
CulturalAdapta*ons
IndustryImpact
ChangeAgentNetwork
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