integrated change management page 0 usaid/liberia governance & economic management support...

INTEGRATED CHANGE MANAGEMENT

USAID/LIBERIAGovernance & Economic Management Support

(GEMS) Project2012

What is Change Management?

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Deliver Business Deliver Business BenefitsBenefits

Change Management is a systematic

process of ensuring that people are

prepared for and committed to the

changes that the project involves

This results in:

• Ownership of, and commitment to change;

• Sustained and measurable business benefits; and ,

• Improved capability to manage future change.

Sustain ImplementDesign Assess

Fast Track / Quick Hit Opportunities

Benefits, Project and Integrated Change Management

Communication and Training

Project Phased Approach - Revisited

The performance improvement initiative utilizes an approach encompassing four distinct phases:

Integrated Change Management Approach

WHAT IT IS:Implementation of new processes and systems will place tremendous demands on the organization/ institution and its myriad operating units. Effective Change Management will be critical to the success of the project, as, ultimately, success depends upon the people who will be working in the new environment and their ready adaptation to and full utilization of the capabilities from the new processes and systems. Successfully managing these complex organizational changes requires a comprehensive approach across the project lifecycle.

WHY IT IS:A framework of tools and techniques that enable projects, people and organizational change methods to be aligned with the phases of the project lifecycle - ensuring an integrated change program

Integrated Change Management Program Components

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ProcessChange ReadinessStakeholder ManagementCommunications Organizational AlignmentKnowledge Sharing & Training Team Building & EffectivenessBenefits Realization & Performance Measurement

Stakeholder Management

The approach drives true stakeholder ownership in the development, implementation, and communication of the solution. Formal steps are incorporated throughout the duration of the project to actively engage people at all levels of the institution to build commitment. The more stakeholders are involved in defining the current and future states of the institution, the higher the quality of the work products and the greater the staffs’ level of buy-in to the program.

Some of the key components of the Stakeholder Management approach include:Identifying and segmenting stakeholders;Developing stakeholder maps for sponsors, managers, and staff to understand current and desired profiles and to identify their critical opportunities;Creating intervention and relationship interface protocols; Developing and implementing Stakeholder involvement plans;Partnering team members with key stakeholders to manage key stakeholder relationships.

Communications Management

The underlying philosophy of a communication strategy is that people will be less resistant to change if they have a consistent understanding of institution-wide objectives and results. Throughout all phases of the project, the communications plan should address:

What is happening; Why it is happening; When it is going to happen; What to expect; How the changes are relevant to the various stakeholders; How stakeholders will be supported during and after the changes.

The strategy will identify the key groups to be targeted for communications and determine the best methods that should be used to

deliver messages to each targeted audience group.

The strategy will identify the key groups to be targeted for communications and determine the best methods that should be used to

deliver messages to each targeted audience group.

Organizational/Institutional Alignment

The Change Management approach includes a significant component designed to align the institution with the new processes and systems.

Key elements of the organization alignment process include: Understand “As-is” structure, activities, and skills;Drive the appropriate “To-be” organizational and functional structures to fit the new process design;Analyze the gap between the “As-is” and “To-be” structures, roles, and activities;Restructure roles and responsibilities to ensure alignment to the new standardized processes and systems;Develop appropriate skills and competency models for the “To-be” roles.

Knowledge Sharing (KS):2 Key Activities

Develop the Knowledge Sharing Plan. The approach includes elements such as: Identifying skills to be shared to institution’s team members;Conducting knowledge assessments; Setting target levels for skills at the end of the project; Setting formal knowledge sharing activities that will occur throughout the project and determining how progress will be monitored and tracked; Reviewing and finalizing the knowledge sharing plan with project sponsors, managers, and team members.

Implement the Knowledge Sharing Plan. Throughout the project, knowledge sharing activities should be conducted. This KS typically is carried out through a variety of media, including formal project team training classes, one-on-one coaching, lunch-and-learn sessions, workshops, and phase kick-off sessions. Evaluate the Knowledge Sharing Plan.Track the effectiveness of the KS plan throughout the project by measuring the progress of the institution team members. Team member measurements may include: % of time spent acquiring knowledge and sharing learning, and, progress made on attainment of target learning levels.

Knowledge Sharing (KS) Continued

It is critical to note that Knowledge Sharing integrates with Education and Training, as the Knowledge Sharing strategy is built on a stepped approach, starting from the core project team extending toward the eventual institution’s members and staff.

The illustration below depicts a system/application implementation, which could be applied to process redesign where training on new process and procedures are warranted:

• Self Sufficiency• Operational

Effectiveness

• Job role focusedbusiness process,skills and knowledge

• Business areaprocesses andsystem expertise

• Delivery Skills• Course specific

business processand systemexpertise

• Business processand system expertise

• System technical skills• Tools and methodology• Project and Change

Management

Project Team Train the Trainers Super Users End-Users Support Tools

Benefits Realization & Performance Management

Normally, the Change Management approach to Benefits Realization fully incorporates Six Sigma principles and Process Excellence tools, so that project benefits are identified, prioritized, measured, delivered, and sustained.

Key elements of the Benefits Realization approach are to:

Develop the Business Case;

Obtain the Voice of the Customer (VOC);

Transform VOC into critical customer requirements (CCR);

Develop a structure to identify and measure benefits and Key Performance

Indicators (KPIs)/Intermediate Results (IRs) for each requirement;

Identify benefit owners (at Institution/within Function) to drive the benefits

realization plan.

Integrated Change Management Approach: Key Activities

Change Process

Assess Design Implement Sustain

Stakeholder Management

Assess change history & readiness for each institutionID & categorize key stakeholdersStart the stakeholder engagement process

Conduct Change Readiness workshops with institutionsEnsure management commitment to the vision & change effort

Document transition change readiness issues and risksContinue to manage stakeholders & coach change leaders

Structure a plan for stakeholder commitment to continuous improvement

Communications Management

Develop initial communication plan and strategy Prepare communication tools / templatesDevelop communication matrixDetermine all effective vehicles to deploy

Engage SMPs and functional/ operational business expertsCommunicate the vision of designed state

Audit communication plan activities and refine plan

Execute ongoing communicationAudit communications effectiveness

Change Process

Assess Design Implement Sustain

Organizational Alignment

Understand business / organizational structuresEstablish org design baseline using key design principles

Envision change organization & business impactDefine & design org. structure (To-Be)

Prepare for transition strategy development

Implement new organization, and performance measuresAssess post-implementation results

Knowledge Sharing (KS)

Plan for project team trainingPlan for teambuilding workshops

Create project team learning and training planConduct team training

Execute KS planMonitor and review teams' effectiveness

Execute transition monitoring and supportEvaluate KS process effectiveness

Benefits Realization (BR)

Determine & understand benefit opportunities: business caseConfirm business case benefits based on correct assumptions

Identify and secure benefits ownershipDevelop BR action plan

Define the organization performance measurement frameworkUpdate benefits case

Track metricsTrack organization and team performance measuresRecognize and reward benefits achievements

Integrated Change Management Approach: Key Activities

CHANGE VISIONING

Creating a good Change Vision

Create a compelling need for change :

Identify the change drivers behind the project/initiative;

Outline the benefits to the organization and the individual(s)

implementing the change ;

Define clearly the Current (As-Is) and Desired (Future/To-Be) states;

Clarify the path between the current and desired states;

Describe the behavior change required to achieve the vision.

Identify the ‘change drivers’ behind the initiative

Real-time information

Technology options (e.g. Internet)

Reduce cycle time (time to complete activity or set of activities)

Accurate information – no guessing or “massaging”

Timely information for better decision-making

Flexibility to realign institutions

Single source of data for inter and intra-institutional needs equally

Supports rapid deployment of new/changing services

Increased Expectationsof Customers

Funding Pressure onCosts/Expenditures

Fast Changing Business Context

The change is needed because of …

To the institutionas a whole

Contains/reduces costs, increases service levels and speed of response

Ensures business continuity

Streamlines functional processes in some areas

Avoids cost of replacing some existing systems

Removes duplication of administration functions

Facilitates Group wide information integration

To staff members and/or end users

Enables data to be entered ONCE

Ensures data is accurate and current

Provides valued new skills

Reduces data reconciliation

Improves the range and visibility of analysis

Allows faster response to internal/external inquiries

Removes frustrations and adds interest to jobs

New Process/ System

Example “What are the benefits of this initiative to the institution/function as a whole as well as internal staff?”

Silo mentalityRisk averseSlow decision-making

Hierarchical structuresPrimarily functionally focusedFragmented between areas

Distributed between many locations

Large number of customer groups

Information Technology

Multitude of separate legacy systems

Generally slow and outdated

Non-standardized processesFragmented, multiple hand-offs

Processes

Culture

Structure

Location

Customers

StaffNarrowly defined rolesUndefined roles Low skill levels

Current State

Customer focus Sensible risk takingResponsive

Primarily process focusedOne centralized unit Flat structure

One single location

• Key customer groups

• One system for whole business • GOL compliant

Standardized best practice processes

Multi-skilled Clear roles and directivesHigh skill levels

Information Technology

Processes

Culture

Structure

Location

Customers

Staff

Desired State

Example: Defining a vision for a change initiative and key differences between the current and desired state

In essence, What does this

current state represent?

Things to consider when creating a Change Vision for your project

Do:Ensure the integration of project changes with other related changes and the rest of the business;Build interim stages on the road to the vision .

Do:Ensure the integration of project changes with other related changes and the rest of the business;Build interim stages on the road to the vision .

What is the compelling need for change? (link it to the organization's

past and present; tell the story) What is the exciting idea for change? What skills, behaviors, and values will be important? Which must

change? What will it mean to people? How will the lives of those I must

convince change?

Don’t :Underestimate complexity of the vision;Focus on total solution rather than parts.

Don’t :Underestimate complexity of the vision;Focus on total solution rather than parts.

CHANGE VISIONING EXERCISE

Exercise: Create a compelling change vision for your component of the GEMS initiative.

A. Consider what will change as a result of the initiative and by when (final Change Vision)?

B. Define: What is the compelling reason for pursuing the initiative and its objectives and what is its link to the various GOL policies and development strategies.

C. Identify which current skills, behaviors, and values must change to achieve the benefits.

D. Identify what it will mean to the people involved ? Ask, “How will their lives change?”

E. Identify what it will mean to you? What do you stand to lose and to gain professionally from this initiative? Personally?

Take 15 Minutes; Work in Teams; Present Take 15 Minutes; Work in Teams; Present

CHANGE READINESS

Change Readiness

Change Readiness Background

Given the organizational complexity of the scope of this project (multiple institutions, many organizational models and reporting structures, more than one location, internal cultures, etc.) it is clear that change cannot be driven in a top-down fashion.

While a change readiness assessment will pinpoint and analyze the particular concerns of each entity, at a macro level, concerns going into this effort are likely to be:1.Authority and responsibility to achieve this change is not clear2.Change is not readily accepted and/or has not been successful in the past in some of the impacted institutions and areas3.How to counteract perceptions that the institutional or functional vision being articulated may clash with the cultures, values, and/or “the way we’ve always done things.”

Change Readiness

This approach can be used to drive the strategy of each element of the Change Management plan, so that we:

Identify Change Readiness baseline and factors to be measured & monitored;Determine the appropriate influence and intervention strategies for each institution;Determine the strategies and approaches that will drive a successful implementation at each institution;Understand what “success” looks like (and measure it) for each institution.

IMPORTANT: Ask the question, “What will success look like?”

IMPORTANT: Ask the question, “What will success look like?”

CHANGE READINESS ASSESSMENT Purpose The Tool is designed to help clarify the change issues associated with a particular change project. It takes a forward look at issues as distinct from the Change History Assessment which examines past change projects.

How do I use it? You can use the assessment at the beginning of a project /initiative and later to gather data from those leading and managing the change project and from those impacted by change, which may be useful:At the start of a major change effort;At the start of a significant phase in a major change effort; and,At any time when the change effort or a change team seems "stuck.”

The tool has also been used successfully as part of the change management training for a project to build an understanding of the change issues faced by a particular team, possibly together with a Change History Assessment.

Change Readiness Assessment Tool

Question Number

Topic Score

Vision 1 Compelling Need Clear 2 Operational vision clear

Leadership 3 Share vision 4 Demonstrate commitment 5 Create sense of urgency 6 Trust each other

Commitment 7 People expect change to succeed 8 People will learn new ways 9 People can be constructively critical 10 Managers have change skills 11 Little attitude / behavior shift needed 12 No change losers 13 Middle manangers commitment built

Sustain 14 Processes don't block change 15 Processes being changed as needed 16 Sufficient cross-functional co-

operation Configure 17 Chosen approach will work

18 Interest sustained

Manage 19 Authority / responsibility clear 20 Managers disciplined 21 Change kept on track 22 Decision making not slowing change 23 Problems solved quickly

Untrue True 1 2 3 4 5 6 7 8 9 10

Untrue True 1 2 3 4 5 6 7 8 9 10

Untrue True 1 2 3 4 5 6 7 8 9 10

Untrue True 1 2 3 4 5 6 7 8 9 10

1. Is there is a clear and compelling need for this change?

2. It is clear what this change will mean in practice?

3. Is there a shared/common vision of this change?

4. Are members demonstrating their personal resolve for change through their actions?

Untrue True 1 2 3 4 5 6 7 8 9 10

Untrue True 1 2 3 4 5 6 7 8 9 10

5. Are they creating a sense of urgency to change in the organization?

6. Does the team understand, trust, and respect each other?

Survey Example Qs:Survey Example Qs:

Change Risk Management Plan Using the results and key findings from a Change Readiness Workshop, in conjunction with lessons learned from past projects, the following is a high level plan to address and mitigate the risks associated with potentially major obstacles to progress. Following the initiation of a project, recommended actions should be developed in further detail and appropriately scheduled within project methodology stage/phase:

Risk Factor Recommended Action Responsible Party

Time-frame

INTEGRATED CHANGE MANAGEMENT

USAID/LIBERIAGovernance & Economic Management Support

(GEMS) Project2012

integrated change management page 0 usaid/liberia governance & economic management support...

Documents

effective change management

communications management

future change

integrated change program

organizational change

project lifecycle

stakeholder maps

key stakeholder relationships