sap consulting & thaibev it department

Change Management

SAP Consulting & Thaibev IT Department

Thai Beverage 2011, Marut Buranasetkul

The process of change and adjustment

Source: based on Kubler-Ross (1969)

Source: based on Satir et al (1991)


Critical Points in the Change Process

Source: based on Weinberg (1997)

What are our Key Concerns?


ProcessProcessProcess

InterpersonalInterpersonalInterpersonal

PersonalPersonalPersonal

For enabling and supporting Organization Change, we need to align the structures

Change



� All modules of SAP are not implemented; hence may not be able to achieve maximum benefits

� Large Scale implementation in limited time frame may impact the success of the initiative

� Limited resources for the job

� New roles have yet to be defined

� Inability to track finished goods in the market

� Training facilities are inadequate

� The quality of the trainers may not be good enough

� Training manuals may not be aligned to the correct to -be processes

Process LevelProcess Level



� People may by-pass SAP and continue to input data in manual systems

� We may continue to have approvals in manual format

� Current training not enough for deciding on new processes

� How do we retain staff with knowledge of SAP?

� How do we get people to change their roles?

� How do we deal with job cuts?

� How do we re-deploy excess staff?

Process LevelProcess Level



� Integration of people and processes within a function and on an inter-departmental level

� People may not have the capability to use the system to do strategic thinking

� People may sabotage change

� Existing culture may sabotage change

� Staff may be hard-working but not responsive to change

� Boss may not have faith in the data and hence ask for manual verifications

Interpersonal LevelInterpersonal Level



� Users may have different skills and hence resistance

� Ability of user to understand end to end processes

� Fixed mind-set leading to resistance to change

� Employees may feel insecure from the new processes

� How do we fit in staff who have high experience but low IT skills and integrate them with the staff who are low on experience but high on IT skills?

� Capability of IT Staff may not be to sustain SAP

Personal LevelPersonal Level

What are some strategiesto manage the Change?


What are some strategies to manage the Change?

Role of Top Management� Top Management actively supporting the initiative

� Top Management provides the right people to do the right job

� Clear Company Policy

� Communicate the needs of the stock exchange

� Introduction of competition

� Success of the implementation to be assigned as a K PI of the staff

� HR must support with employee development master pl an and careerpath for employees

� Create a challenging environment

� Good budget support


What are some strategies to manage the Change?

Role of Project Team� Effective communication with employees

� Project team provides continuous feedback to top ma nagement on the status, progress and areas of concern of the imple mentation

� Effective training on role and skill

� Providing detailed manuals to staff

� Train top management to do analysis in SAP

� Provide Top Management Knowledge on SAP to enable t hem to explain the benefit of the implementation to the user

� Conducting reviews post the implementation

� Employees and all stake holders to be convinced of the benefits

� Involvement of employees in the change process


The SAP Change Management Approach is based on 6 SAP Change Management success factors.

The Scope of Change Management

Ensuring lastingness of change

CreatingConviction

Makingresults felt

Ensuring uniform

perception

CreatingOrientation

Ensuringability

1

2

3

5

6 4


The Success Factors

1. Creating a common orientationEmployees usually have different information about the project and have different interests and goals. Increasing their information and alignment to the objectives of the change facilitate common orientation. This phase is best addressed by an effective communication strategy

2. Creating convictionPeople believe in a system that they create and design therefore involving people in the design of the process facilitates their belief in the new process design.

3. Ensuring abilityThe SAP philosophy in the Change Management Process is that Change works best if it is drive internally. Therefore the Capability building workshops Change Agents who are trained in the Change Management Methodology.

To ensure lasting change it is important to ensure ability for the users in terms of understanding the new processes and the revised roles and having the skills to run the new transactions proficiently. The Change Impact Analysis helps ensure that this is achieved


The Success Factors

4. Ensuring uniform perceptionEfficiency of the change process is driven by uniform perception of goals and objectives of the project. The integration workshops helps in creating the alignment to the common benefit and the effort needed to drive the benefit that is expected.

Business benefit workshops help the business owners focus on the business results that they are seeking to achieve and the SAP tools they can leverage to achieve them

5. Making results feltOne of the biggest individual apprehensions is the fear of failure. This leads them to reject new solutions/ processes offered. Therefore it is necessary that employees should be able visualize and feel the results as soon as possible.

As a part of the Change Strategy the quick wins are identified and study missions to these internal site will need to be organized

6. Ensuring lastingness of changeChange processes are only successful in the long term when the organizational situation also changes and the new way of thinking and acting are positively reinforced. Creating permanent structures and the right reward mechanisms will help ensure the lastingness of the Change.

The Post-Go live issue resolution ensures that we factor in issues not envisaged during the implementation and undertake the root cause analysis


Aligning Change Management efforts to the project

Focus of the Change Management efforts shift as the project evolves

Final prepa-ration

RealizationBusiness Blueprint Golive

Project preparation

Support

6

3. Q 4. Q 1. Q 2. Q 3. Q 4. Q 1. Q 2. Q1.Q 2. Q

Makingresults felt

Ensuring lastingness of change

2

4

1

3

Creating common orientation

Creatingconviction

Ensuring ability

Ensuring uniform perception

5

SAP project change management


The Change Management Interventions

CreatingOrientation

CreatingConviction

Ensuring Ability

EnsuringUniform Perception

Ensuring Lastingness of Change

Making Results Felt

• Organization Diagnostic

• Developing Strategic Communication Plan

• Establishing Change Management Objectives

• Communication sessions

• Analyzing organizational impact

• Analyzing organizational readiness and stakeholder positions

• Appreciative Inquiry workshops

• Study Missions

• Vision workshops

• Enrolment workshops

• Workshop on As-Is process analysis

• Training of Change Agents

• Facilitation Skills

• Change Impact Analysis

• Change Plan for end users

• Performance Coaching

• Continuous Coaching and QA

• Workshop on Systems Thinking

• Large Group Facilitation by Change Agents

• Change Communications Strategy

• Process Engagement Workshops

• Benefit Assessment Workshops

• Certification of Change Agents

• Linkage with HR Training and Development process

• Performance coaching

• Post Go-Live review

• Building Sustenance Structures

• Post Go Live issue Analysis and resolution

• Internal Study Missions

• Identification and Implementation of Quick wins

• Pilots

• Value Tracking

• Post implementation Reviews


Change Management Project Schedule

P2

Final Preparation

RealizationBusiness Blueprint

Go LiveProject Preparation

SupportProject Phase

P1: Diagnostic Q & A

P2: Vision Alignment & Report out

P3: Skill BuildingP4: CM Strategy

P5: Facilitation SkillsP6: Integration

workshops (1 pilot)

P7: Change Impact & Comm. Session

P8: Pilot review and root cause analysis

P1

P4P3

P5 P6

Communication Plan

P7Change Impact & Training

P8

Integration Workshops

Communication Plan


Design of the Communication Plan should happen in the Planning Phase. The implementation and nature of activities vary upon the stages of the commitment curve to be reached in each project phase.

� See “Implementation Plan” for rollout strategy in the line and ways to enable managers

� See “Managing Resistances” for deeper understanding of emotional reactions to change.

Purpose and Approach

Design the Communication Plan:1. Conduct a communication analysis2. Identify target groups of communication3. Develop communication objectives and key messages in

order to inform, reduce resistance, initiate mobilization and ensure commitment

4. Define appropriate communication activities that can be used to reach the target group, its owner and timing

5. Define other activities, that can be conducted to improve mobilization/ support project

6. Document all activities in a communication plan .

� Access from here the “Workshop Design” Tool to get examples of Workshop agendas .

� Access the “Communication Masterplan” spreadsheet to document execution of planned communication activit ies

Communication Plan – Approach Outcome

� Understand elements of a communication strategy, its key success factors and the overall process steps

� Design adequate messages and define appropriate channels for communicating changes to organization and to mobilize affected employees.

Objectives

Activities

� Overall Communication strategy is defined to reach the project goals and is agreed upon

� Target groups, key messages and communication activities are identified and planned over all project phases.

When to use?

Additional tools


Purpose is to timely inform and mobilize all affected employ ees to ensure commitment and thereby project success

� Employees understand the sense of urgency, vision, key benefits of the transformation and how this will be achieved

� They understand their contribution to the new organisation and know how and when their job/role will change

� They are supported in the transition phase, risks and resistances are addressed

� From a companies‘ perspective, a comprehensive communication plan fosters faster and sustainable changes.

� Information (ongoing, from the start): All participants must be kept informed about the aims and strategies of a project and about the current results and decisions

� Mobilization (as kick-off, ongoing as required): To prompt to act and think differently in the changed environment, to alleviate fears and promote personal commitment

� Get Feedback: Feedback is to be sensitive for rumors, resistance, people´s mood and get acceptance. It is essential to analyze feedback and communicate actions.

Ways of communication

Why and How Communication?


Goals of Communication: Move up the Commitment Curve

High

Knowledge „in the eyes“

- Homepage- Mails- Info-Sessions- Info corner- Vision - Future state- Jour fix / meetings

Understand „in the head“

- Discussions- Workshops- Design future

state- Examples- Offer support- Coaching

Accept„in the heart“

- Training/ Pilot- Mobilization

events- Discuss Chances

& Risks/ Mourning

- Team award and motivational events

Commitment„in behavior“

- New Goals, Role- New behaviors- Manager as a

Coach- Recognition- Consequences- Align organization- Implementation fair

Implement„In action“

- Monitoring of Changes

- Consequences- Reviews- Celebrate success- Transfer of ownershipby location

INFORM

High

Low

Odds forSuccess

Degree of Support

CLARIFY

CONVINCE

INVOLVE

ACT


Strategies for executing communication

2. From the Project

Information, Mobilization, Motivation, Enablement� Plan, Design,

Implement and Monitor

� Enable and manage change champions/ agents network

1. Top Down, in the line

Alig

nmen

t and

vis

ible

sup

port

Vision, R

ole Model, W

alk the talk

Inform, M

otivate, Coach ing

3. Bottom Up, from the project or in the line

Proj

ect M

onito

ring

Mobilization events

Change M

onitoring Channels

A proven Rollout approach is a step by step one, wi th top down information and mobilization activities, management of key stakehol ders, feedback opportunities

and change agent network to ensure local communicat ion.

sap consulting & thaibev it department

Documents