leading an effective change management program · 2009-11-03 · ¾building your incremental,...

Leading an Effective Change Management Program

A Key Tool for Realization of the Expected Benefits

BPMI BrainStorm ConferenceNew York City

November 3, 2009Izabela Waglay

© copyright 2006 Proprietary and Confidential

Topics

EELI Group – Who are we?Learning ObjectivesWhat is Business Transformation and why is it important?Role of Change Management & its importanceChange impact areasChange adaptation dilemmaChange Management Program scopeKey rolesChange DefinitionChange AcceptanceChange Management Program – a critical component of the Business Transformation ‘puzzle’

Empowering Business Transformation2


What Do We Do?

We help you incrementally transform ‘Within’Leveraging Your people capital to align with Your strategic goalsBuilding Your incremental, realistic, and measured path to achieving Your visionBringing Your People, Process and Technology together!Protecting Your day to day business operations and Your Customers’and Employees’ experience while on the Path to achieving your vision

We deliver the following services:Business Design consulting & program management

Business Architecture & Change Governance set up & sustainmentCustomer experience driven business process analysis & innovation Business process driven requirements managementPerformance management Business parameters & rules managementAcceptance testingProcess driven training development

Change Management consulting and managementImpact AssessmentStakeholders Engagement

Contact us:[email protected]

3 Empowering Business Transformation

BusinessStrategy &Operations

EAEnterprise Architecture

BABusiness Analysis

ITInformationTechnology

CMChange

Management

PMProject

Management

DesignIntegration


What is Business Transformation?

‘If you don't design your own life plan, chances are you'll fall into someone else's plan. And guess what they have planned for you? Not much.’Jim Rohn, an American entrepreneur, author, and motivational speaker

Current: Product / Service-Centricity

Future: Customer-Centricity

Strategic Direction

Change Governance

Business Design

Change Management

Business Transformation is a key executive management initiative to align People, Process and Technology of an organization with its business strategy and vision leading to realization of

the expected benefits.



Business Design‘Starting with Business Process’

People

Business Processes

Systems

Customers

ProcessesBusiness Drivers

Roles Measurements Responsibilities Skills & Behaviours

Coaching &Mentoring


Policies Procedures

Business ChangeGovernance

PerformanceMonitoring

BusinessParameters & Rules

Information Content

Knowledge MgmtContent

Business PerformanceMeasurementsSystem Functions Systems Change

Governance

Aware Buying Consuming EvaluatingInterested Recommending


Transformation: Change Management

● Change Management program brings people in the organization through a transformation by identifying and communicating all changes

● CM Program is a key tool and support mechanism to take successfully the journey from the state of awareness to acceptance

● CM is the key differentiating factor in achieving true internalization vs. Implementation of the change

Organizations & stakeholders are fully committed and accountable for the change and are thinking in alignment with the strategic perspectivesThe full value of the change is realized

“ Change Management is a proactive, structured process of realizing business transformation benefits at an organizational and individual level”



Why is Change Management important?

● Without an effective CM program and tactical plan the organization will not:Fully realize the measurable and non-measurable benefitsEffectively transform from current operating model to the future operating model

● The transformation initiative success:Tactical level – system & process implementation on time and on budget Strategic level - All executives, management and staff begin working in new ways:

• Processes & systems supporting strategic goals (e.g. customer perspective)• People performance measures and reward mechanisms at all levels promoting new behaviour (e.g.

customer focus, business convergence)• Strategic goals driven decision making (e.g. customer perspective and convergence) • Strategic goals based management and performance reporting (e.g. customer relationship and convergence)

Strategic level – Strategic goals driven mindset becomes an integral part of the core operations of all business units



Change Impact Areas• Change Management targets the

effect of change on:• Organization• People• People systems



Four Stages of Change AdaptationFour stages of adaptation to change

Degree of Support for the Change

“Light at the End of the

Tunnel”“High

Expectations”

“Valley of Despair”

Project Timeline

“Honeymoon’s Over”

Change Stages: With Change

ManagementWithout Change

Management

Empowering Business Transformation9*Rogers ICM Change Management Program


Change Management – Employee PerspectiveChange Actions RequiredEmployee Challenges

“I don’t see why the company is investing in this initiative or what the benefits will be.”

“I don’t know how to use all these new systems and processes.”

“I am afraid that these new processes and systems will take more time. I need to be out selling.”

“I am afraid it is yet another program that will require a lot of effort and nothing will change”

“My role and responsibilities are changing”

“Will I have a job? Who will I report to? Will the team operate differently?”

“Will I be measured differently…”

Communicate Vision &Strategy

Skills Training

Modify Performance Systems

Shift Culture

Change Roles and Responsibilities

ID opportunitiesfor org. change

Define new Performance Metrics



Change Management Scope



Change Management: Key Roles

Business Operations

Supports



Objectives of the Change Definition Program

● Identify organizational and people impacts● Define all changes necessary for a successful

transformationUser groups Roles mapped to core ProcessesResponsibilities by Role & core ProcessSkills, Behaviours & Mindsets by RoleMeasurements by Role & Process (if applicable)

● Ensure input and validation from the impacted user groups

● Identify and summarize the consistencies across user group roles

● Identify and present to the executives the recommended organizational and cultural changes to enable the realization of the strategic direction

● Deliver the integrated definition of all the changes resulting from the transformation

• Who’s impacted and how? (User Groups)

• What’s changing?• What new skills, behaviours,

& mindsets must be adopted?

• How will people be measured & compensated?

Organization & People Change Definition Program



Change Definition – Core Output



Objectives of the Change Acceptance Program ● Identify and classify the key stakeholders● Determine the stakeholders needs, their readiness and willingness

to accept the change and become the change agents ● Define & manage the stakeholder engagement process and the

working relationships with all impacted user groups● Develop and maintain required acceptance tools to be used by the

change agents and impacted users● Build readiness and change acceptance capabilities within the

impacted user groupsExecutivesSenior managementLine managementUsers

● Communicate the Change Definition & Acceptance Programs to:Field change agentsKey stakeholdersImplementation Team MembersSenior Leadership

• What are the stakeholder needs? • How will stakeholder be

engaged?• What are Stakeholder CM Roles?• How and when will we

communicate changes? • How the effectiveness of the

program will be monitored?

Organization& People ChangeAcceptance

Program



Change Acceptance Program Framework



"I have to do it this new way"

Reaction"I will react to this change -if I must"

Testing"I must absorb this change

Negative perception"I feel threatened by this change"

Positive perception"I see the opportunity in this change"

Engagement"I see the implications for me / us"

Understanding"I know why and what will change

Awareness"I am being told about upcoming change"

Testing"I will put myself at stake for this change"

Action"I will act to achieve this change"

"I want to do it this new way"

Change ManagementStrategies

Compliance Commitment

Stakeholder Management: Why focus on Stakeholders at all?


*Rogers ICM Change Management Program


Stakeholder Management: Awareness to Adoption

Level of Involvement / EngagementLow

High

High

Leve

l of

Com

mitm

ent

AwarenessUnderstanding

CommitmentAdoption

Objective Stakeholders…are informedcan understand the context, why the change is occurring & the overall benefitsknow where to get more information

Stakeholders…understand the personal impact; their role in the change is more clear are able to explain the

change to othersstart to create a bias for

action

Stakeholders…demonstrate a willingness to change; begin to take ownership for the changehave a clear understanding of what must change & what theyneed to do to prepare

Stakeholders…are working & behaving in new wayshave internalized the change and made it part of the fabric of how they do what they dohave taken ownership

Benefits begin to be realized

Approach broad communications, not customized per stakeholder groupone way communication (with feedback vehicle for more information)e.g., print, e-mail, voicemail intranet/internet,

start to leverage relationshipsincreased level of targeted messaging for specific stakeholderse.g., Road Shows, Town Halls demos, Q&A, targeted scenarios by stakeholder groupmore opportunity for dialogue

consulting, open dialogue, feedbackfocus on hands-on, face

to-face communications & dialogueability to touch & test

e.g., walk-through customized scenarios, involvement in testing, process and role changes, readiness

ownership no longer with the projectconsulting, co-creating leverage testimonials & change champions to grow momentumestablish a new norm (e.g. use new language, model new culture, etc.)make it clear that old ways are no longer acceptableprovide support; measure results


*Rogers ICM Change Management Program


Engagement Process:Change Definition Input & Validation

A

Bus. Processes

Telecom Queues

HRIS Det ail

HR Position Dat a

HR Skills

Perform. Measu res

Valid Imp acts

B

Change Definition Process

Step 1 Output: Validated Maps with Stakeholders



Engagement Process:Communications Approach

● The Change Management team responsible for the management of all project communications and communications materials

● Communications target audience at all levels in the organization

ExecutivesManagement teamsUser groups

● Sources of communications requests:Proactive - Project team initiated requestsResponsive - Externally initiated requests

● The communications materials available via the intranet● Ongoing collaboration with the existing communications teams



Change Acceptance Tools

Measurements ReferenceDocuments

Courseware & Presentations



Communications Tools

Web Content



Change Management – a Critical Success Factor of the Business Transformation ‘Puzzle’


Strategic Direction

Change Governance

Business Design

Change Management


Business Design – Stakeholder Perspective

Engaged User Communities:•Make Management Vision a reality•Enable realization of benefits

Who?

Need for:•Customer experience excellence•Convergence•Effectiveness

Why?

• Change Governance

What?

•Change Management & Communication

•Training & Implementation

How?

Business Design



Integrated Business Transformation The Integrated Approach

Strategic DirectionCustomer Experience Excellence, Convergence, Performance & Productivity, Employee Satisfaction

System Solution and Enterprise Architecture

Proposed Policy

Validated and Decomposed Business Requirements

To-Be Process Flows (Level 2)

Benefits Realization Framework



Implementation Success FactorsMaking Business Transformation Work

● Universal understanding of the vision & the strategy● Executive commitment & corporate readiness to change● Empowering program leadership● Multi-disciplinary design integration● Effective and collaborative team (business, IT, and vendors) ● Availability of the experienced, knowledgeable and committed

resources (enterprise experts & methodology consultants)● Pragmatic & experienced program management● Process driven approach

Scope & solution designTraining & testingChange managementMeasurements

● Proactive stakeholders management● Effective and timely communications● Change governance● Benefits realization monitoring


BusinessStrategy &Operations

EAEnterprise Architecture

BABusiness Analysis

ITInformationTechnology

CMChange

Management

PMProject

Management

DesignIntegration


Thank You


Transformation Drivers: Telecom Service Providers Example

Source:Primary research initiative completed by Yankee Group (2008):Survey of more than 150 respondents from Tier 1 and 2 Service Providers in

North America, UK, France & Germany



Role/Process Inventory Responsibility to Role Mapping

Role Behaviour Table Role Skill Table

Change Definition Core Output: User Group Impact Map Working Documents



Example Impact Map

Roles & Responsibilities

Customer Care

PEOPLE

Skills & Behaviours Ongoing SupportProcesses

Other Impacts

New reporting elements willrequire specific training forProduction Support personnel.

Based on changes to theresponsibilities, skills and behaviours that have been identified to support an improved, consistent customer experience,the existing quality program criteria will require some change.

New or changed responsibilities translate into new skills & behaviours for Project X users. The mastery of these skills will ensure that a consistent customer experience can be delivered. For each responsibility that has been identified corresponding skills have been mapped. Skills & Behaviours Summary:There are 185 new or changed skills and 20 recommended behavioural changes associated with Project X. Of the skills, 53% are directly related to learning Project X system functionality and 47% are related to changes in processes, policies, procedures and items related to reviewing and selecting correct data elements in Project X. New Skill Areas: (Ex. only) The primary impacts on Customer Care are in the following areas: - Searching for, creating and adding

contacts and assigning their role- Selecting Topics and Reason codes forinteractions

- Creating cases and managing caseinquiries.

Behaviours Summary:Identified behaviours are related mostly to new capabilities that are being delivered in Project X Phase I. The key behaviours are:- Exploring customer needs- Interaction Handling- Creating and managing Cases- Action Items

Orienting and supporting employees during the change process is a critical component in helping people to adopt and embrace change.

The Project X Change Management team has developed a change program which includes the delivery of a toolkit to help you to facilitate change at the user level.

Project X will assist employees using legacy systems deliver a consistent and exceptional experience in all customer interactions. It includes important new concepts and functionality that will change the way jobs are currently performed. Change Description:The new concepts and functionality introduced by Project X includes an Enterprise Customer Profile that offers a complete, enterprise-wide view of the customer’s products and services with Company; the recording of an interaction every time a customer contacts Company; and the creation of a Case whenever a customer’s request needs to be addressed by an offline support groupStatus QuoAll changes to an account will continue to be made in the Legacy systems. Agents will begin an interaction in Project X, launch to legacy, as needed, and then return to Project X to close the interaction.Responsibility Summary: 114 new/changed online functions have been identified (25% changed, 21% unchanged, 54% new) Please refer to file Project X Responsibilities V1.0 for details. New Responsibility Areas: The following summarizes key areas of change:- Contact- Enterprise Customer Profile- Contact authorization - Opening, recording and closing Interactions - Interaction History- Topics, Reason Codes, and Results- Case and status updates communication requirements- Literature Requests


Processes Policies Procedures

Case

Implementation SupportBusiness Drivers

Business Processes

Project X Impact MapCustomer Care

One of the largest bodies of work completed by the Project X team, in partnership with all business areas, was the design and documentation of 247 business processes of which a significant number impacts your team. Key process changes will be communicated via online and/or classroom training. Additional support will be available in The Library.

Key Process Changes: The most significant process changes for Customer Care are as follows:

There are a number of policies that have been updated or created to provide direction related to new Project X enabled processes and capabilities.The following are examples of Project X related policies that will be presented to the business for review:

In support of both process and policy changes, procedural and support information has been created and/or updated in The Library where applicable. Refer to Project X Processes V1.0 and Project X Policies V1.0 for a full list.

New Procedures: Examples of new procedures for Customer Care include:

During Implementation the following will be managed by the Project X team:

Existing e-forms and some emails that are currently being used for customer requests that cannot be handled during an interaction will be replaced with Cases in Project X.There are approximately 85 technical and non-technical case templates which will be distributed to approximately 114 queues.For details on which eforms and emails will be replaced as well as queue information please refer to “Case Table V1.0” on the Project X website.

• Searching & accessing customer accounts

• Case - replaces all e-forms and provides complete tracking of all outstanding customer requests

• Searching for, creating and adding Contacts

• (Wireless) Alerts• Topics• Action Items• Interaction Notes• Providing Interaction ID & Case ID

to customers• Processes have been developed in

alignment with First Time Right call flows.

• How/if Case SLA’s are to be communicated to customers.

• How undeliverable emails are to be managed and handled.

• When Interaction ID’s and Case ID’s will be provided to customer.

• The ability for anyone to perform certain functions across lines of business to reduce the number of transfers.

• How Case customer notification functionality is to be used and how customer call backs will be managed. Guidelines on when emails will be used rather than Case.

• Responsibilities for handling Special Instructions.

• Project X process changes • A War room (Central point for

any issues related to Project X that need to be managed during rollout)

• Change Request management process (assess, approve, administer, communicate and monitor)

• Data parameters (e.g. reason codes, alerts, case types, scripts etc.)

All these support functions will be performed in full collaboration with all impacted user groups Post Implementation

SupportPost Implementation Support Model is currently being defined and will be reviewed with the business and will be ready prior to rollout completion.


Reporting Data Content Business Data Parameters

Library Content

Data

Project X Impact MapCustomer Care

Concurrent to the Project X project the Library project is underway to replace existing knowledge management tools with an enterprise wide tool. Changes related to Project X are being documented and these updated or new documents have been provided to the Library team.

Case• New Case Types are being

configured to document and route to the appropriate User Groups. Five levels of case types are used to accurately document and route the Case.

• The proper use of case types will enable automatic or manual Case routing. In most scenarios, Cases will be routed to the appropriate queue, based on the Auto-Destination-Rules (ADR). Approximately 120 queues will be used in Project X to support all User Groups.

Interaction & Topic• Topic Reason Codes and Result will

be used to accurately document the reason for the Customer Interaction across all channels. CTI Wrap codes will be replaced with 3 levels of Reason Codes and Result.

• All customer facing agents will be required to save and close each interaction.

• Before closing the Customer Interaction, all Topics created need to be closed by selecting the appropriate Result for each Topic.

Project X data will be housed in its own warehouse and Cognos will be used to generate reports from this warehouse. Using Cognos, business units will be able to obtain reports, catalogues and packages from the Project X warehouse. GCDM, Odin and Marquee data can be available along with Project X data to generate reports. Each business unit will be responsible for determining their additional reporting requirements.

Project X will capture all customer interactions, inbound or outbound, across all channels, phone, voicemail, e-mail, fax, written and web. New data elements will be available for Topics, Interactions, and Cases. It will include interaction attributes such as product and account contact. Call transfers will be tracked with the capability to report on multiple topicsfor single interactions.

Reporting Development TimelineApril: Warehouse build May: UAT report testing continuing through the first week of June. Data review and discussions with data users

SupportSupporting documentation will be available from IT prior to pilot ie: schematics, data dictionaries. Data model walkthroughs will also be conducted.

Cognos LicensesIT will assign Cognos licenses (read only + power user) for the Project X Project (process for application TBD)

Reports

All existing reports currently using CTI Wrap codes will use the Topic Reason Codes and/or Case Types.Decommissioned tracker reports will no longer be available.New reports using Project X Phase I data will be available:

• Enterprise Customer Interaction Summary (Cube)

• Enterprise Case Performance Management Summary (Cube)

• Customer Save Survey Report • Employee Productivity - Case -

Supervisor Level 3 Summary Report• Case Management Employee Case

Detail – Supervisor 3 Level - Report• Technical Case Resolution Performance

Detail – Total - Report • Top 100 Customers with Highest

Number of Interactions Report • Top 100 Customers with Highest

Number of Cases - Report • Call Transfer Detail Reporting - Report • Authentication Exception Report -

Report


Change Definition Example Program CM & Communications Core Deliverable(1 – Strategy, 2 – Process Mapping (BRD 100)3 - CM Maps, 4 - Organizational ImpactAssessment)Validation & Approval by SLT

Input

CM & Communication Team Activity

Input to Change Acceptance Program (CAP)

4

DecJulyJuneMar NovOctSeptAugFeb MayJan April

Develop CM & Communication Strategy

Change Impact Analysis

ID Potential Org Opportunities

ID Impacted Roles – Map Processes- All groups

ID Impacted Responsibilities- all groups

ID Impacted skills & Behaviours-all groups

Create IA Templates

Validate Roles & Processes

ID CommonCustomer

Facing Roles & Resp

Create IA Document

ID CommonNon-Facing

Roles & Reso

V/A

Build Business Cases V/A

ID key Stakeholders to Champion Change

Business Design

3

ID Cultural Chg

Opportunities

1

V/A

Develop CM Maps All groups V/A

2

Input to

CAPTraining

TrainingInput

to CAP

Input to

CAP

ID Unique impacts to User Groups



Stakeholder Management: Example Engagement Model

Care Tech. & Engineering Sales Marketing

Finance & CC

Business Readiness

Testing

Implementation

Business Process

Interfaces

CRM & Ordering

Billing / Invoicing

Engineering

Stakeholder Prime -Finance & C

redit and Collections

Pro

gram

Com

pete

ncy

Are

asFu

nctio

nal

Are

as

Stakeholder Prime -C

are

Stakeholder Prime -M

arketing

Stakeholder Prime -Technology & Engineering

Stakeholder Prime -Sales

PMOGovernance

Ope

ratio

ns



Example Change Acceptance Program TimelineDevelop Communication Tools Design

Organizational ChangeProgram

ID Changes toCompensation

ID Changes to Incentives

Awareness Communication Package (s)

Dev Organizational Readiness Materials

Change Impact

Assessment

Key Performance

Measures

CM & Communications Core Deliverables1 – Comm Toolkit Part 1, 2- Org Change

Program,3 – Communication Toolkit 2, 4 - Organizational Readiness Assessment, 5 – Organizational Readiness Materials

Nov Newsletter

Intranet

Contests

Video

1

CM MapsBy User Group

Determine Tactics for

Stakeholder Engagement

Map Tactics to

StakeholdersV/A

2

4

Ongoing CM Repository Maintenance

Jan Newsletter

Validation & Approval by SLT

Input

CM & Communication Team Activity

AprMarDec AugJulJunMayNov FebOct Jan Sept

Ongoing Communications Tool Kit Content Management

Comm. Tool Kit 2

3

Organizational Readiness

Assessment

5



Example User Group Communication Plan

Acceptance CommunicationCommitment CommunicationAwareness/Understanding Communication

Awareness PresentationsSr. & Line Managers

Regular Communications

(Video, Web, Conf Calls, Contests, bi-weekly mtgs w/ care support team)

Change Agent Orientation

Sr & Line Managers

User Roadshow

Communication Support

Team Huddles &Communications

Training/Rollout Support

Pilot Training

CM & Communications Team

Field Change Agents

Implementation & Training

Rollout Training

AugJulJunMay Sept OctAprMarOct FebJanDecNov
