change management in an it methodology context · pdf filechange management in an it...
TRANSCRIPT
Change Management in an IT Methodology Context The Experience of TEDO (Technology Enterprise Delivery Office)
December 2012
Speakers:
Lydia Galanti ([email protected]) Iphigénie Ndiaye ([email protected]) Claude St-Hilaire ([email protected])
2
Agenda
Change Management Fundamentals
Change Management in IT Methodology: a TD Case Study
Lessons Learned
Conclusion
Questions
Change Management Fundamentals
4
“The number one obstacle to success for major change projects is employee resistance and the ineffective management of the people side of change”.
Data from 327 companies undergoing major change projects; Prosci Best Practices in Business Process Reengineering benchmarking study (2002).
5
What is Change Management?
Change management is the application of a set of tools, processes, skills, and principles for managing the people side of change to achieve the required outcomes of a project or initiative
A system for encouraging employees to embrace, adopt, and utilize a change to how they do their jobs
A framework for enabling successful individual transitions resulting from a project or initiative
Organizations introduce change through projects and initiatives
These changes impact how individuals do their work (behaviors, processes, tools)
The success of the organizational change is the result of individuals doing their work differently
6
What is Change Management?
Prosci® PCTTM Model
PCT: Project Change Triangle
17%
49%
80%
95%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Poor(n=177)
Fair(n=441)
Good(n=561)
Excellent(n=107)
Per
cent
of r
espo
nden
ts th
at m
et
or e
xcee
ded
proj
ect o
bjec
tives
Overall effectiveness of change management program
Correlation of change management effectiveness to meeting project objectives
*Data from 2007, 2009 and 2011© Prosci. From Prosci’s 2012 Best Practices in Change Management benchmarking report
7
Change Management and Benefits Realization
6X!
“Participants with the highest level of change management effectiveness were nearly 6 times more likely to meet or exceed project objectives”.
n = Number of research participants within 650 companies
8
Change Management Objectives
Achieve: Desired business outcomes & results
Maximize: Speed of adoption
Pervasive utilization of
change Proficiency
Minimize: Resistance
Productivity loss Negative
customer impact Undesired turnover
Strengthen: Organizational
agility Personal resilience
9
Why Change Management?
When change management is not applied, or brought into a project too late, benefits realization is delayed and there are many “RE” costs:
REevaluate
REtrain
REscope
REschedule
The “RE” costs are a complete waste as they are unnecessary and do not add any value.
REdesign
REwork
REvisit
REdo
10
States of Change
Current
Current
Current
Current
Current
Current
Current
Transition
Transition
Transition
Transition
Transition
Transition
Transition
Future
Future
Future
Future
Future
Future
Future
INDIVIDUALS
Future
ORGANIZATION
11
Incr
easi
ng re
sist
ance
Dec
reas
ing
prod
uctiv
ity
1st communication or1st rumor
Time
Worry / uncertainty
Comfort / security
Risk / flight
Prosci’s Flight Risk ModelCopyright Prosci 2009.
Change Journey Done Right!
12
Incr
easi
ng re
sist
ance
Dec
reas
ing
prod
uctiv
ity
Turnover of valued employeesTangible customer impactActive resistanceOpt-out of the change
1st communication or1st rumor
Time
Dept. A
Dept. B
Dept. C
Dept. D
Productivity lossEmployee dissatisfactionPassive resistance
Prosci’s Flight Risk ModelCopyright Prosci 2009.
Change Journey Gone Wrong…
13
Change Management Roles
Project Team Project Support
Functions
Middle Managers & Supervisors
- Sponsors - Executives &
Senior Managers
Change Management Resource or
Team
- Sponsors- Executives & Senior
Managers
14
Change Management Roles
Project Team
Project Support
Functions
Middle Managers & Supervisors
1. Participate actively and visibly throughout the project 2. Build a coalition of sponsorship and manage resistance 3. Communicate directly with employees
1. Communicate change rationale and impacts 2. Advocate change 3. Coach employees through change 4. Liaise with project team 5. Manage resistance
1. Design the actual change 2. Manage the technical side 3. Engage with CM team/resource 4. Integrate CM plans into project plan
1. Share knowledge 2. Provide experience and expertise 3. Share tools
Change Mgmt
Resources or Team
1. Apply a structured change management methodology 2. Formulate strategy 3. Develop and lead the deployment of plans 4. Support other change roles
15
Change Management Process & Outputs
Outputs:
Change characteristics profile
Organizational attributes profile
Change management strategy
Change management team structure
Sponsor assessment, structure and roles
16
Change Management Process & Outputs
Outputs:
Plans: Communication plan
Sponsor roadmap
Training plan
Coaching plan
Resistance management plan
Executed plans
17
Change Management Process & Outputs
Outputs:
Reinforcement mechanisms
Compliance audit reports
Corrective action plans
Individual and group recognition approaches
Success celebrations
After action review
Change Management in IT Methodology: a TD Case Study
19
IT@TD: a Federated Model
Enterprise CIO
CIO TD Bank US
CIO TD Canada Trust & Insurance
CIO TD Wealth
Management
CIO TD Wholesale Banking
CIO TD Auto Finance
SVP Office of the CIO
CIO Corporate Services
CIO Direct Channels
SVP Enterprise
Architecture
SVP Risk & Information
Security
Lines of Business (LoBs)
Enterprise Services
TEDO
TEDO: Technology Enterprise Delivery Office
20
IT@TD: Change Initiative
Problem: TD needs to improve IT project delivery performance
Solution: Delivery Excellence (DE) program including 6 workstreams (projects) to create a sustainable framework for improving TD’s performance and capabilities
Program Objectives: – Establish and adopt enterprise-wide processes and standards for
technology project delivery. – Measure Enterprise Technology performance using a standard set of
project delivery KPIs. – Deploy adherence processes across the enterprise with initial focus
on large projects.
Begin to act as One Technology Organization focused on creating a common IT experience for our business partners and technology employees.
1. Situational Awareness
Identify change characteristics for each workstream: – What is the scope of the changes? – How many people will be impacted in each IT group? – Which roles will impacted? – What is being changed - processes, systems, job roles, etc? – What are the timeframes for the changes?
Identify organizational attributes of each IT group: – Where do we start from? – What is the perceived need for change among employees and managers? – How have past changes been managed? – How much change is going on right now?
Identify specific impacts for in each IT group: – How will each role be specifically impacted?
.
21
Phase 1 – Preparing for Change Define Change Management Strategy
2. Change Strategy Definition
Assess risks – What are the risks to consider for each IT group? – What are the risks to consider for each impacted role?
Anticipate resistance – Are some groups impacted differently than others? – Were certain groups advocating a different solution to the same problem? – Are some groups heavily invested with how things are done today?
Define special tactics – What do we need to do to overcome risks and resistance across IT groups?
.
22
Phase 1 – Preparing for Change Define Change Management Strategy
Challenges Strategies High impact in a short period • Ensure engagement of Senior Advisory Committee as sponsors and change
agents inside each IT group
• Ensure the participation of the right stakeholders and engage them in the deployment strategy
Stakeholder buy-in • Refine the approval and governance model for the DE Program outcomes
• Ensure the participation of stakeholders from each IT group in the Program work streams, workshops & change management activities
• Ensure the explicit commitment of IT Executive Team and the Senior Advisory Committee with the program objectives and outcomes
• Create a close relationship between the DE Program team and the Advisory Committee members
Dynamic Program scope • Identify criteria to measure the success of the program from a delivery and a change adoption standpoints
Stakeholders hard to identify and geographically distributed (no standard role definitions across IT groups)
• Engage Advisory Committee members in the identification of impacted roles inside each IT group
• Analyze different options to ensure delivery of training & support to geographically distributed teams
23
Phase 1 – Preparing for Change Define Change Management Strategy
Challenges Strategies Lack of support resources within TEDO to ensure change adoption
• Define a support model for each change involving champions inside each IT group
Alignment with Enterprise SDLC methodology varies across IT groups
• Align deployment strategies with the reality of each IT group
High # of parallel change initiatives that affect the DE Program scope, timeframe and stakeholders
• Ensure coordination with other initiatives to validate deployment dates, communications and training periods
• Frequently communicate DE Change Roadmap to Advisory Committee members and jointly identify high-risk periods for deployment activities
Low awareness about TEDO’s mission in IT groups
• Develop distinct communication plans for the DE Program and TEDO as an organization
24
Phase 1 – Preparing for Change Define Change Management Strategy
25
DE Senior Advisory Committee Executives from all IT groups
DE Advisory Committee PMO Directors from all IT groups
Workstream 1
Workstream 2
Workstream 3
Workstream 4
Workstream 5
Workstream 6
DE Change Management Team Lead & Specialists
- Sponsors -Executives &
Senior Managers
Middle Managers
Cross-IT Group Project
Teams & Support
Functions
Change Management
Team
Phase 1 – Preparing for Change Prepare Change Management Team & Develop Sponsorship Model
26
1. Situational Awareness
2. DE Change Strategy
3. DE Sponsorship
Model
drive
DE Communication Plan
DE Sponsorship Roadmap
DE Coaching Plan
DE Training Plan
DE Support Model
Phase 2 – Managing Change Develop Change Management Plans
Execution
27
Phase 2 – Managing Change Communication Plan & Execution
Audiences
Target Dates
Owner
Communication Channel
Key Messages
1
2
3
4
5
28
Phase 2 – Managing Change Sponsorship Roadmap & Execution
Prosci® PCTTM Model
Communications Calendar
Draft Communications
Awareness Tools
Sponsorship Tools
SharePoint site
Change Story
1
2 3
PCT: Project Change Triangle
29
Phase 2 – Managing Change Coaching Plan & Execution
Diff
eren
t Le
vels
-Sponsors- Executives & Senior
Managers
Middle Managers
Cross-LoB Project
Teams & Support
Functions
Coa
chin
g A
ctiv
ities
Change Management Training
Weekly Change Management follow up with Stream Lead
Change Management Workshop
Provide Communication and Training Toolkits
Biweekly One-to-One Meetings with each AC
member Advisory Committee
Program Stream Leads
Senior Advisory Committee
Change Management Summary Presentations
30
Phase 2 – Managing Change Training Plan & Execution
Training Process 1
Training Requirements 2
Training Curriculum 3
Training Schedule 4
Training Agenda 5
Training Reporting 6
1
3
4
5 6
2
31
Phase 2 – Managing Change DE Support Model & Execution
Support Cycle 1
Support Structure 2
Support Process 3
Support Matrix 4
Champions Meeting Workspace 5
5
4
3 2 1
-Training Surveys, - Champions feedback - ADKAR®* Assessment
32
Phase 3 – Reinforcing Change
* Prosci ADKAR® Model: Awareness, Desire, Knowledge, Ability, Reinforcement
Listen to employees &
gather feedback
1
- Adoption KPIs - Gap Analysis
Diagnose gaps &
manage resistance
- Training - Communication - Coaching - Sponsorship
Implement corrective actions & celebrate
success
2
3
33
Phase 3 – Reinforcing Change ADKAR Assessment
Dimension Definition
Aware of the need to change The impacted person or group understands the business reasons for the change, the impact on day-to-day activities and the risks of not changing.
Desire to participate and support the change
The impacted person or group is motivated to be part of the change, supports it and looks forward to it.
Knowledge of how to change The impacted person or group has the skills and knowledge required to be successful with the change.
Ability to implement the change on a day-to-day basis
The impacted person or group is able to perform the new duties required by the change and can get support for problems and questions.
Able to Reinforce to keep the change in place
The impacted person or group is committed to keep the change in place and is rewarded for performing the new way.
34
Phase 3 – Reinforcing Change Gap Analysis
Observations
• Scores went from high to low for Awareness (no sense of urgency) and Desire (satisfaction with current estimating approach & mixed experience with pilot version of the tool)
• Low scores on Knowledge (lack of information about the new tool)
Workstream 1 - Deliverable A Deployment: October 2012 ADKAR Assessment Results:
Required Actions
• Controlled availability to further improve tool and increase desire
• Organize demo during AC meetings
• Develop change story to help AC members socialize the tool within their IT group
LoB1
LoB2
LoB3
LoB4
LoB5
LoB6
LoB7
LoB8
LoB9
LoB10
Lessons Learned
36
Lessons Learned What would we do differently?
1. Obtain measurable Program benefits To better promote the Program in the impacted IT groups To be able to better measure change success at the end
of the Program
2. Allocate more efforts on phase 1 – Preparing for change To improve knowledge of stakeholders and change
impacts To better evaluate sponsorship in each IT group To better assess and fulfill changement management
team requirements To enhance risk and resistance assessments and
improve the effectiveness of the CM Strategy
37
Lessons Learned What would we do differently?
3. Deliver change management training to Sponsors and Program team earlier To create awareness about importance of change
management on program success To officialize expectations and obtain buy-in about their
change management roles & responsibilities
4. Embed CM activities in Program Management activites To better plan and assign change management efforts
throughout the Program To be able to make more realistic Program delivery
commitments
Conclusion
39
Conclusion Why Change Management in IT Methodology?
IT is strategic and critical to the success of financial organizations
The IT reality is complex and fast-changing
The application of IT methodology increases IT’s ability to achieve organizational benefits
IT methodology changes have significant impacts on the way IT people work
For changes and related benefits to quickly realize, specialized IT change management resources are required
40
While it is called the “soft” side of change, managing the people side of a change is the most challenging and critical component of an organizational transformation. The people side of change is not the “soft” side of change; in reality, it is the “harder” side.
Prosci
Do you have any questions?
Questions
41
42
References
Change Management references
Prosci: http://www.prosci.com/
Contacts
Lydia Galanti: [email protected]
Iphigénie Ndiaye: [email protected]
Claude St-Hilaire: [email protected]