Leading Organizational Change: Best Practices and

Leading-edge Thinking

Presented byJohn Thomas

1

● JFT Management Consulting Inc. ● 5381 Long Island Rd ● Ottawa, Ontario ● K4M 1J7●● Tel: 613 692 1391 ● Fax: 613 692 1396 ● Cell 613 291 2741 ●● johnfthomas@rogers.com ● www.jftmanagementconsulting.ca ●

Objective

The objective of this instructional presentation is to give you an overview of the best practices in change management to increase the success of change in your organization.

2

Outline

• Why focus on Change Management• The key success factor in change initiatives• How do you manage change– the Change Management Model• Assessing readiness for change and GAP analysis• Vision‐ “What do we want to be when we grow up?”• Change Management Strategy and CM Plans• Implementing Change management

– Leadership and Communications– Strategic Directions– People– Culture

• Principles of Change3

Context and Forces For Change

Capitalization and Modernization of Processes, Systems and Infrastructure

Implementing New Programs, Products

and Services

Governance Changes Business Model Changes/New Ventures

4

New Marketing Campaigns or Client Services Strategy

Improvements to Risk Management or Other Management Processes

Budget Constraints, Restructuring, Job redesign and Staff Reductions

Implement Strategic Improvements at Same Time as Ongoing Work

Changes that Impact SuppliersChanges that Impact Customers

Consider this……

• Research consistently indicates that the #1 obstacle to success for change initiatives is employee resistance and ineffective managementof the PEOPLE side of change. 

• And the corollary is also true• Managing the Change is the #1 success factor for project teams

Prosci, data from 327 companies undergoing major change projects (2008)

5

6

Why Change Management?

Many CM Approaches, BUT All Have Common Features

7

Change Management ModelForces for Change

Forces for Change

Strategic Directions• Integrated Mgt Framework;• Mandate, Mission & Vision; • Structure, Objectives, 5yr

Outcomes, Annual Priorities • Performance/Risk Management • Reporting

5Leadership & Communications• Governance• Promote the strategic directions• Need communications to reduce

uncertainty & build trust• Be consistent in what you say, do

and reward

4

People• Training/coaching• Readiness & Capability, ADKAR• Values “Golden Rule”• Deal with resistance & casualties

6 Culture• Client Focus & Client Satisfaction• Engagement, Sharing, Training &

Development, Rewards & Recognition all oriented towards new Vision & Values

7

8

8

Identify Governance, CM Strategy and Implementation PlansADKAR             Strategic Directions Leadership, People, or Culture 

3Vision of To-Be organization, description of future state and culture

2Understand As-Is by undertaking Research, Assessment & Employee Survey to identify likely areas of CM challenges

1

At the Beginning Complete Employee Survey

• The Employee Survey will provide information to define the “As‐Is”, the “To‐Be” cultures and the GAP between them. 

• Six domains of questions– Understanding of What Organization Does – Serving Our Clients / Stakeholders – How Organization Operates Today – Work Resources – Performance Management & Training – Managing Change at Organization

• Several questions in each domain • For each  question a separate write in section on, “What 

would help to improve ….”

1

9

Sample Survey Question from Ministry of Trade and Industry (MTI) GORTT

10

Please use the following rating scale to reply to the statements below, and reply to the open-ended questions for each section as you wish to do so.

SD D N A SA N/AStrongly Disagree

Disagree Neutral Agree Strongly Agree

Not Applicable

Understanding of What MTI Does SD D N AA

SSA

NN/A

I have a good understanding of the MTI Strategic Plan

I am aware of the priorities of MTI for 2011

I am aware of the priorities for my work team for 2011

What would help to improve your understanding of what MTI does?____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________ 

1

Part of Analysis is on Readiness for Change

• Part of the analysis is based on determining whether individualsare ready to participate  or what further steps you need to take:– Do they have the Awareness of why we need to change?

– Do they Desire to be part of the change?

– Do they have the Knowledge of the vision & plan & their role in it?

– Do they have the Ability to implement the change?

– Do we have the skills to help in the Reinforcement of the change to 

make it sustainable?• Under each of the five building blocks of this model, there are 

suggested methods and tools (drawn from Prosci Best Practicesresearch) used throughout the change process

11

RAKDA

1

12

ACTIVITIES TO ADDRESS ADKAR BUILDING BLOCKS Priority ()

BUILD AWARENESSCOMMUNICATIONS GAPS IDENTIFIED BY SURVEY: Employees want access to strategic plan, and other key plans, and want to understand how what they do fits with the priorities; they also want greater emphasis placed on keeping in touch with them through meeting, better sharing of information and use of the Intranet, and ensuring information flows through proper channels1. During the change process, ensure ongoing, effective communications with

Change Sponsors (this role is shared among members of the executive team), the CM Working Group and consultants

Change Sponsors Monthly status updates about Change Project through various

mechanisms including communiqués from DM to all staff (by e-mail, as well as posted to Intranet site; hard copies posted on bulletin boards throughout Ministry)

DM to chair management meeting of all managers to highlight expectations during this change process; encourage all managers to hold short, weekly meetings with staff to provide updates about what is happening across the Ministry

Chair monthly meetings of Transformation Steering Committee (TSC); share Minutes of meetings with other executives

CM Working Group Attend TSC monthly meetings After each meeting, provide verbal debrief to work unit, and encourage

employees to check the Intranet and to ask questions and put forward their views to CM Working Group members about the project

Consultant Assist DM in preparing Communiqués Provide feedback to DM and Steering Cttee on progress made and

performance of Working Groups

First 2 commu-niquesfrom DM sent

Done

Done

What is YOUR Idea of the “VISION or DESIRED FUTURE STATE”

in YOUR Organization?

2

13

2

14

Vision (and Culture Change) Using Appreciative Inquiry (AI)

• Managing individual performance helps me to make a difference in my workplace. Seeing how my work aligns with the Strategic Plan helps to clarify the role that I play as part of a larger, stronger team. When every employee is engaged in improving their performance, they have the opportunity to play a more significant role in helping the organization achieve its objectives. When we work to be the best that we can be, we help to create the future for Trinidad and Tobago.

• Tell me a story about a high point when you felt excited and engaged in the course of an individual performance appraisal. Looking back at that experience, what made it exciting? Who was involved? Describe the event in detail. How successful was the appraisal? What was it about the experience that you most valued?

Imagining the future: • If you had the ability to make any wish come true what would you wish

for that would make a dramatic difference in the performance appraisal process and the enjoyment of being involved 15

Vision and Culture Change Using Appreciative Inquiry (AI)

Dream State – Envisioning the Future State

2

16

Plans For Managing Transition

• Build The Transition Team & Governance Structure• Based on the results of the employee survey, categorize change 

tasks as Leadership, Strategic Directions, People, or Culture  and then feed this back to staff

• Identify responsibility for managing change for each task in the CM Strategy

• Determine CM Strategy  with critical success factors • Develop CM Plans: Leadership, Strategic Directions, People, 

and Culture • Link Performance Agreements to Implementation Plans• Communicate the Future & What is Being Done to Get There

3

17

4Leadership and

Communications

1818

19

Planning              

Risk Mgt 

Accountability 

Stewardship

People and Healthy 

Workplace Focus

Supplier and Partner Focus

Client Focus

Results and Performance

•Quality Products and Services

•Client Satisfaction

•Efficient Delivery Processes

•Engaged Employees

•Excellence in Mgt Practices

Policy, Program, Process and System Management

Learning , Innovation and Change management

Leadership and 

Governance1

6

7

8 10

11

9

2

3

4

5

Integrated Management Framework5

• People will stick with what they know until they are shown a better way of doing it 

• Redirect training to put it in the service of the organizational and cultural change

• Engage trainers (Managers) who are committed to the new Vision, strategic directions and culture

• Training builds confidence, competencies, a willingness to change and an ability to contribute

• Provide a penetrating orientation on rationale for change, new Vision, how it will be achieved and their role in making the change

• Walk the talk of Org’s Values of  “Golden Rule” environment• Deal with resistance (ADKAR) & casualties

20

People6

Culture Change Using Brainstorming to Engage People for a Transformational Process

“Enabling extraordinary staff to implement MTI’s dynamic strategic direction”

“Enabling extraordinary staff to implement MTI’s dynamic strategic direction”

Work Planning and Performance Management 

BPR Process Team

21

7

1. The rationale for change has to be understood and accepted2. When making a change do it fast3. Know where you are going: Establish the Strategic Direction4. Ensure strong, visible, cohesive leadership5. Be comprehensive. Change should be all encompassing not

incremental or marginal6. Build commitment through participation7. Look after the people8. Communicate- Communicate- Communicate

You cannot over communicate9. Manage the cultural change- It doesn’t just happen10. You have to MANAGE THE CHANGE

Principles of Change8

22