ADKAR MODEL

CHANGE MANAGEMENT&Strategic LeadershipTHEORIES ADKAR MODELSIX CHANGE APPROACHConcepts of Change ManagementThe Change ProcessLewins Change TheoryChin & Bennes Effecting Changes in Human System Bullock and Battens Phases of Planned ChangeBeckhard and Harris change formula7-S ModelChange Management Projects BUSINESS PROCESS REENGINEERINGWhat is Change?Change we can believe inBarack Obama

Change has come to America

Change Management:

It is a set of processes that is employedto ensure that significant changes areimplemented in an orderly, controlled and systematic fashion to effect organizational change

Lets concentrate on the businessworld and have a look at what changes mean? Change is an alteration of a companys strategy, organization or culture as a result of changes in its:environment, structure, Technology, or people.These changes can be alterations in corporate structure (design of jobs, span of control, authority relationships or coordinating mechanisms),

In technology (equipment, work processes or work methods) as well as in people (behaviors, perceptions, expectations or attitudes). Reasons for Chang External FactorsMarket situation or market place

Technology

Government laws and regulations Economics Reasons for Chang Internal FactorsCorporate strategy

Workforce

Technology and equipment

Employee attitudes Origin of Change ManagementChange management has his origins in the 1950's. In those days modern forms of management were introduced (e.g. teamwork, autonomous groups) and the war between followers of top-down (change) approaches and bottom-up (change) approaches began.Approaches of Change ManagementTo-Down Management

Bottom-Up ManagementTop-down organizationsTop-down organizations are characterizes by the relatively low influence of subsystems. With the exception of the top management, employees are placed in a given process pattern. The organisation's units are co-ordinated within a system of regulations and the organisation's development is steered from top down.Bottom-up organizationsBottom-up organizations are characterized by the relatively high influence of subsystems. The organisation's development is carried by involved employees. A structural partial autonomy is conceded to the single subsystems. The organisation units are relatively independent in their execution of problems and could be basically capable of surviving on their own. Regulations are found primarily in the form of general behavioural instructions and the basis of "Common Sense. The organisation's development is therefore developing itself bottom-upTop-Down ManagementBusiness process re-engineering and business re-engineering

Business re-engineering, therefore, is based on order and control, while thecomprehensive knowledge of the organisation's development and the participative system's creation ismaintained. Bottom-up ManagementKaizen (Japanese for "improvement" or "change for the better"

Lean Management

Top-down organizations are characterizes by the relatively low influence of subsystems. With theexception of the top management, employees are placed in a given process pattern. The organisation's units are co-ordinated within a system of regulations and the organisation's development is steered from top down. Change LeadershipSelf-esteemTime 1. Immobilisation as rumours of the change circulate, the individual feels some sense of shock and possible disbelief so much so that they deem it worthy of doing nothing.12. Minimisation: As the change becomes clearer, people try to fit in the change with their own personal position and may try to believe that it will not affect them.23. Depression: as reality begins to dawn staff may feel alienated and angry, feelings of a lack of control of events overtake people and they feel depressed as they try to reconcile what is happening with their own personal situation.344. Acceptance/letting go: The lowest point in self-esteem finally sees people starting to accept the inevitable. Fear of the future is a feature of this stage.55. Testing out: Individuals begin to interact with the change, they start to ask questions to see how they might work with the change.66. Search for meaning: Individuals begin to work with the change and see how they might be able to make the change work for them self esteem begins to rise.77. Internalisation: the change is understood and adopted within the individuals own understanding they now know how to work with it and feel a renewed sense of confidence and self esteem.What are Common Reactions to Change? ADKAR MODEL

ADKAR is a goal-oriented change management model that allows change management teams to focus their activities on specific business results. The model was initially used as a tool for determining if change management activities like communications and training were having the desired results during organizational change. The model has its origins in aligning traditional change management activities to a given result or goal. The ADKAR model has the ability to identify why changes are not working and help you take the necessary steps to make the change successful. You will be able to break down the change into parts, understand where the change is failing and address that impact point.

The ADKAR model was first published by Prosci in 1998 after research with more than 300 companies undergoing major change projects. In 2006, Prosci released the first complete text on the ADKAR model in Jeff Hiatt's book ADKAR: a model for change in business, government and our community. This model is intended to be a coaching tool to help employees through the change process. The ADKAR ModelADKAR describes the required phases that an individual will go through when faced with changeADKAR is a foundational tool for understanding how, why and when to use different change management tools

The five building blocks of successful changeAwareness of the need for changeDesire to participate and support the changeKnowledge on how to changeAbility to implement required skills and behaviorsReinforcement to sustain the change

The ADKAR ModelAwareness of the need for change.What is the nature of the change?Why is the change happening?What is the risk of not changing?

For your employees, what is the level of Awareness of the need to change?

Desire to support the change.Personal motivation to support the changeOrganizational drivers to support the change

For your employees, what is the level of Desire to support and participate in the change?

Knowledge on how to change.Knowledge, skills and behaviors required during and after the changeUnderstanding how to change

For your employees, what is the level of Knowledge on how to change?

Ability to implement new skills.Demonstrated ability to implement the changeBarriers that may inhibit implementing the change

For your employees, what is the level of Ability to implement the change?

Reinforcement to sustain the change.Mechanisms to keep the change in placeRecognition, rewards, incentives, successes

For your employees, what is the level of Reinforcement to sustain the change?

Without ADKARIn the absence of:You will see:Awareness andDesireMore resistance from employees.Employees asking the same questions over and over.Lower productivity.Higher turnover.Hoarding of resources and information.Delays in implementation. Knowledge and AbilityLower utilization or incorrect usage of new processes, systems and tools.Employees worry if they are prepared to be successful in future state.Greater impact on customers and partners.Sustained reduction in productivity.ReinforcementEmployees will revert back to old ways of doing work.Ultimate utilization is less than anticipated.The organization creates a history of poorly managed change.ADKAR describes the key building blocks for successful change personal or professional

Success with change requires all elements of the ADKAR model to be present

ADKAR applicationsChange management planning

Diagnosing gaps

Developing corrective actions

To use the ADKAR model effectively, you will need to understand the underlying framework for change initiatives. In the next diagram, change happens on two dimensions: the business dimension (vertical axis) and the people dimension (horizontal axis). Successful change happens when both dimensions of change occur simultaneously.

Mapping ADKAR to change management toolsChange management toolsCommunicationsSponsor roadmapCoachingTrainingResistance mgmtWhy are these channels critical for change management?

What is the goal of each tool?

Diagnosing gaps with ADKARADKAR describes the building blocks and sequence for successful change

When changes are failing, ADKAR can be used to identify which element is the root cause for the change not being successful

Take for example the implementation of a new software tool. If the change is implemented and you believe it was not needed (i.e., you were not aware that any changes were required), then your reaction might be:Our natural reaction to change, even in the best circumstances, is to resist. Awareness of the business need to change is a critical ingredient of any change and must come first.If someone had taken the time to explain that the old software would no longer be supported by the vendor, and that new software was necessary to meet the needs of your customers, then your reaction (based on this awareness) would be:Take this same example one step further. Assume you were made aware that a change was required, but you had no desire to participate or support the change. Now the tables are turned, and you may become the target of an emotional response from individuals within the organization. You may be labeled as difficult, inflexible or unsupportive. Some may say you lack initiative or vision. You may be called a cynic or pessimist. Now its your turn.The change. Briefly describe the personal change you are trying to implement with a friend, family member or work associate:1. Awareness. List the reasons you believe the change is necessary. Review these reasons and rate the degree to which the person you are trying to change is aware of the reasons or need to change (1 - 5 where 1 is no awareness and 5 is total awareness).2. Desire. List the factors or consequences (good and bad) for this person that create a desire to change. Consider these motivating factors, including the persons conviction in these factors and the associated consequences. Rate his/her desire to change on a 1 - 5 scale.3. Knowledge. List the skills and knowledge needed to support the change, including if the person has a clear picture of what the change looks like. Rate this persons knowledge or level of training in these areas on a 1 to 5 scale.4. Ability. Considering the skills and knowledge identified in the previous question, evaluate the persons ability to perform these skills or act on this knowledge. Rate this persons ability to implement the new skills, knowledge and behaviors to support the change on a 1 - 5 scale.5. Reinforcement. List the reinforcements that will help to retain the change. Are incentives in place to reinforce the change and make it stick? Rate the reinforcements as helping support the change on a 1 to 5 scale.Now transfer your scores from each worksheet to the table. Take a moment to review your scores. Highlight those areas that scored a 3 or below, and identify (using the order listed on the score sheet) which was the first area to score less than 3. Now consider the first area in which your score was 3 or below. You must address this area before anything else is done. For example, if you identified awareness as the area with a low score, then working on desire, knowledge or skill development will not help you make the change happen. Five Activities Contributing to Effective Change ManagementMotivating ChangeCreating Vision of ChangeDeveloping Political SupportManaging the TransitionSustaining Momentum49When the rate of change outside exceeds the rate of change inside, the end is in sightRate of ChangeJack Welch

5022No longer a question of WHETHER changes are needed anymore, but whether they can keep pace with the need and leapfrog our competitorstheyd better not be in the same business 5-10 years from now that theyre in today. theyd also better be the first, not the last, to know why, and the first to know what to do about it.Present organization is a good predictor of what will PREVENT you from developing the kind of organization you need -- Like all creatures, it has a vested interest in continuing to exist.In approaching change -- the model of unfreeze, transition, then refreeze worked well for many years -- and was okay for singular changes. Todays and tomorrows challenges require a much more dynamic, and constant approach. Five Activities Contributing to Effective Change Management51Five Activities Contributing to Effective Change ManagementMotivating Change

2. Creating Vision of Change3. Developing Political Support4. Managing the Transition of Change5. Sustaining Momentum

Effective ChangeManagement

52Motivating ChangeMotivating change and creating readiness for changeSensitize organizations to pressure for changeReveal discrepancies between current and desired states

Convey credible positive expectations for the change53Force Field Analysis ModelCurrent SituationRestraining Forces for ChangeDriving Forces for Change54Force Field Analysis ModelStrengthening or adding driving forcesRemoving or reducing restraining forcesChanging the direction of some of the forcesChange55Group ExerciseTake this opportunity to think of a situation in your organization where Force Field Model could be demonstrated. Begin by identifying a change being instituted in your organization.

List the driving forces

List the restraining forces

56Resistance to Change20%40%60%80%100%Source: Information Week, June 20, 1994Limitations of Existing SystemsLack of Executive CommitmentLack of Executive ChampionUnrealistic ExpectationsLack of Cross-Functional TeamInadequate Team and User SkillsTechnology Users Not InvolvedProject Charter Too NarrowBarriers to Change57Individual ResistanceIndividual ResistanceHabit

Selective Information ProcessingEconomic FactorsJob Security

Fear of the Unknown58Organizational ResistanceOrganizational ResistanceThreat to Established Power Relationship Group Inertia

Threat to Established Resource AllocationsStructural Inertia

Limited Focus of Change

59Overcoming Resistance to ChangeEducation and CommunicationParticipation and InvolvementFacilitation and SupportNegotiation

Manipulation and CooptationCoercionOvercoming Resistance to Change602. Creating Vision of ChangeConstructing the Envisioned FutureBold and Valued Outcomes Desired Future State613. Developing Political SupportAssessing Change Agent PowerIdentifying Key StakeholdersInfluencing StakeholdersDeveloping Political Support62Influencing Key StakeholdersWhat would make them more supportive of the change?Information / understanding? Involvement and ownership? Changes in planned actions? Direction from more senior managers? Evidence of the success of the change? 63Influencing Key StakeholdersWhat would make them less supportive of the change?Personal threat ? Non-involvement in decisions ? Personal rivalries ? Insufficient evidence in trial period (defined by them) ?

644. Managing the Transition Current StateDesired Future StateTransition State Activity Planning Change Management Team655. Sustaining MomentumSustaining MomentumProviding Resource for ChangeBuilding a Support System for Change AgentsDeveloping New Competencies and SkillsReinforcing New Behaviors

Staying the Course

66Change should only be implemented for good reason.Change should always be gradual.All change should be planned, and not sudden.All individuals who may be affected by change should be involved in planning for the change.

Kurt Lewin identified several rules that should be followed in implementing change:

Kurt Lewin introduced the three- step change model:

UnfreezingChangeRefreezing

the diagnosis stageAt this stage people realize that something is going to change and they are dealing with strong emotions such as denial, impatience, uncertainty and doubt. Participants are made aware of problems in order to increase their willingness to change their behaviour.

Unfreezing

Changingthe intervention stageIndividuals experiment with new workplace behaviour.Re-freezingthe reinforcement stageIndividuals acquire a desired new skill or attitude and are rewarded for it by the organization.

Six Change Approach by : Kotter and Schlesinger The Six Change Approaches developed by Kotter and Schlesinger is designed to prevent or minimize employee resistance to change. This model can be useful to any size organization as it covers many possible issues, some organization may never even face. The approaches react to the four main resistance factors which are; self-interest, misunderstanding, low tolerance for change, and employee disagreement with reasoning. 4 reasons that people are resisting change PAROCHIAL SELF INTEREST MIS-UNDERSTANDING LOW TOLERANCE TO CHANGE DIFFERENT ASSESSMENTS OF THE SITUATION

6 CHANGE APPROACHES TO DEAL WITH RESISTANCE TO CHANGE1. Education and Communication. "Up-front communication and education helps employees see the logic in the change effort."

6 CHANGE APPROACHES TO DEAL WITH RESISTANCE TO CHANGE2. Participation and Involvement. "When employees are involved in the change effort they are more likely to buy into change rather than resist it." 6 CHANGE APPROACHES TO DEAL WITH RESISTANCE TO CHANGE3. Facilitation and Support. "Managerial support helps employees deal with fear and anxiety during a transition period."

6 CHANGE APPROACHES TO DEAL WITH RESISTANCE TO CHANGE4. Negotiation and Agreement. "Managers can combat resistance by offering incentives to employees to not resist change."

6 CHANGE APPROACHES TO DEAL WITH RESISTANCE TO CHANGE5. Manipulation and Co-option. "Co-option involves the patronizing gesture in bringing a person into a change management group for the sake of appearances rather than their substantive contribution." 6 CHANGE APPROACHES TO DEAL WITH RESISTANCE TO CHANGE6. Explicit and Implicit Coercion. "Managers can explicitly or implicitly force employees into accepting change by making clear that resisting to change can lead to losing jobs, firing, transferring or not promoting employees."

Business Process Reengineering REENGINEERING is about rethinking and redesigning the organization of work that will deliver better products or services

5 Major components of the reengineering process:

1. Preparation2. Identification3. Vision4. Solution5. transformation

StagesTasksPreparationMobilize, organize and energize people and resourcesIdentify program parameters (i.e. costs and risks)Assemble and train reengineering managementFormulate preliminary management planIdentificationDevelop client-oriented process modelDefine customers and performance measuresVisionLook for breakthrough performanceDetermine prevailing process elements, issues and problems, existing measures, improvement opportunities and changes requiredSolutionSpecify technical and social dimensions of the envisioned changeTransformationRealization of the process visionInstitutionalization of change mechanismBPR Definition:HAMMER & CHAMPY (1993)BPR - as the fundamental rethinking and radical redesign of business processes to achieve dramatic improvement in critical contemporary measures of performance such as cost, quality, service and speedBPR Definition:THOMAS DAVENPORT(1993)Uses the term process innovation which he says encompasses the envisioning of new work strategies, the actual process design activity and the implementation of the change in all its complex technological, human and organizational dimensions.

Finally: JOHANSSON et al (1993)

Provide a description of BPR relative to other process-oriented views such as Total Quality Management (TQM) and Just-in-time (JIT) and state:

BPR, although a close relative, seeks radical rather than merely continuous improvement. It escalates the effort of JIT and TQM to make process orientation a strategic tool and a core competence of the organization. BPR concentrates on core business processes and uses the specific techniques with JIT and TQM tool boxes as enablers, while broadening the process vision.Business Process Reengineering - is a model focused more on outcomes and the work process than on employee specific issues.

Seven principles are used to streamline processes and improve time management, costs and quality.

For organizations operating under bloated parameters, BPR is the efficient, if not exactly friendly, solution to downsize costs. The factors include:

1. Organize around outcomes, not tasks.

2. Identify all the processes in an organization and prioritize them in order of redesign urgency.

3. Integrate information processing work into the real work that produces the information.

4. Treat geographically dispersed resources as though they were centralized.

5. Link parallel activities in the workflow instead of just integrating their results.

6. Put the decision point where the work is performed, and build control into the process.

7. Capture information once and at the source.

When changes in technology are in front of employees they can be fearful of having to learn new programs and tasks. They are also wary of the issues that follow working the bugs out of a new program. This includes downtimes or malfunctions. New technology can be a breeding ground for employee frustration. The best way to combat this frustration is to communicate with the employees the potential benefits of the new technologies and to develop an atmosphere of positive change.

"An atmosphere of openness, good communications, clear vision, leadership and training engenders good change management. Consultation, communications, transparency and informality minimize fear and suspicion; staff resent the sense that changes are imposed on them and that they are powerless - they need to be involved. They need to understand the rationale behind decisions which are being made, even if they do not agree with them." (Edwards and Walton, 2000) Don Forrer, D.B.A., of International College states the critical factors that contribute to the importance of technology and its impact on managing employees during change, "Technology factors are elements important to a company's ability to dominate the information systems aspects of their industry. This could include people skills, better communication equipment or more efficient technology. Expertise in any technology-related field can provide a competitive advantage. Technology enhances productivity and leads to better efficiency at a lower cost." (Forrer, 2006) "Key success factors take the form of human and business processes as they evolve to help move a company forward. Organizations and people are dependent upon each other for survival. People contribute ideas, energy and talent to the organization while benefiting from the job, pay and careers provided by the company. Each individual plays an important role in productivity, quality and image. It is management's job to ensure that employees are focused on the vision of the company and change occurs when required." (Forrer, 2006)The ADKAR model speaks highly of employee action plans. The Six Change Approach is a valuable model for management to have in mind for future change. As the company grows and tries to branch out, the six change approaches could become a necessity to implement new changes. Business process reengineering can be modified to develop the focus on outcomes and employee processes that will keep employees focused on the work that needs to be done and what will be measured as their performance metrics.

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