Change Management PowerPoint Presentation

Change Management PowerPoint Presentation

2015-10-02 93K 93 0 0

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Tom Etter and Bin Yu. Change Management . Most change efforts fail. Two thirds fail because of failure to reach intended results. Efforts at “reengineering” experience a 70% failure rate. Companies who fail to sustain significant change end up facing crises. ID: 147907

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Slide1

Change Management

Tom Etter and Bin Yu

Slide2

Change Management

Most change efforts fail

Two thirds fail because of failure to reach intended results

Efforts at “reengineering” experience a 70% failure rate

Companies who fail to sustain significant change end up facing crises

John

Kotter

– 8 phases of driving successful change

Slide3

8 Steps to Managing Change

Establish a Sense of Urgency

Form a Powerful Guiding Coalition

Create a Vision

Communicate the Vision

Empower Others to Act on the Vision

Plan for and Create Short-Term Wins

Consolidate Improvements and Produce More Change

Institutionalize New Approaches

Slide4

Establish a Sense of Urgency

Exhibit Vulnerability in OrganizationExamine market and competitive realitiesIdentify and discuss crises, potential crises, or major opportunities

Slide5

Establish a Sense of Urgency

Over 50% of organizations fail to create a sense of urgency

Underestimate the difficulty in moving people from their comfort zone.

Lack of patience

Complacency

Slide6

Establish a Sense of Urgency

Sources of Complacency

Too much happy talk from senior management

The absence of a major and visible crisis

Too many visible resources

Low overall performance standards

Organizational structures that focus employees on narrow functional goals

Internal measurement systems that focus on the wrong performance indexes

A lack of sufficient performance feedback from external sources

A kill-the-messenger, low-candor, low-confrontation culture

Human nature, with its capacity for denial, especially if already busy/stressed

?

Slide7

1. Establish a Sense of Urgency

When is the level of urgency high enough?When 75% of leadership honestly believes a change is necessary.

Slide8

1. Establish a Sense of Urgency

Ways to raise urgency level

Create a crisis

Allowing financial loss

Exposing managers to weaknesses

Allowing for error

Eliminate obvious examples of excess

Company jet, country club, etc.

Set performance targets so high they can’t be reached by conducting business as usual

Insist on more productivity and broader measures of performance

Slide9

2. Form A Powerful Guiding Coalition

Assemble group with enough power to lead change effort

Encourage the group to work together as a team

Regardless of size, needs at least 3-5 people

Grow team to 20-50 range in large companies

Failures due to:

No history of teamwork at top

Undervalue importance

Strong sense of urgency not established

Selecting wrong leadership

Slide10

2. Form A Powerful Guiding Coalition

Building the coalitionFind the right peopleStrong position powerBroad expertiseHigh credibilityCreate trustCarefully planned off-site eventsLots of talk and joint activitiesDevelop common goalSensible to the headAppealing to the heart

Slide11

3. Create A Vision

Create vision for directing change effortDevelop strategies for achieving that visionA vision says something that clarifies directionThe vision pulls the organization toward the change

Slide12

3. Creating A Vision

Characteristics of an effective vision

Imaginable

Desirable

Feasible

Focused

Flexible

Communicable

Slide13

3. Vision Example

The University of New Hampshire (UNH) is nationally recognized as a

Sustainable Learning Community*

-- a land grant, sea grant, and space grant university that unites the spirit of discovery with the challenge of sustainability across its

Curriculum, Operations, Research and Engagement:

Curriculum

: Educating citizen-professionals to advance sustainability in their civic and professional lives

Operations

: Embodying first principles and best practices of sustainability

Research

: Serving society with scholarship that responds to the most pressing issues of sustainability

Engagement

: Collaborating locally to globally with extension and outreach

-- through four initiatives designed around four foundational systems of sustainability – biodiversity, climate, food, and culture.

Slide14

3. Create A Vision

ExampleUniversity of New HampshireSustainable Learning CommunityLand grant, sea grant and space grant university

Unites the spirit of discovery with the challenge of sustainability across its 4 initiatives....

Curriculum

Operations

Research

Engagement

....designed around 4 foundational systems of sustainability....

Biodiversity

Climate

Food

Culture

Slide15

4. Communicate the Vision

Management must decide how much communication of the vision is needed

Do not limit it to one communication

Use deeds along with words

Will fail unless most members....

Understand

Appreciate

Commit

Try to make happen effort happen

Use every existing communication channel and opportunity

Slide16

4. Communicate the Vision

Key Elements in Effective Communication of a Vision:

Simplicity

Metaphor, analogy and example

Multiple forms

Repetition

Leadership by example

Explanation of seeming inconsistencies

Give-and-take

Slide17

5. Empower Others to Act on Vision

Eliminate obstacles to change

Change systems or structures that seriously undermine the mission

Encourage risk taking and nontraditional ideas, activities and actions

Make tough decisions in removing people who don’t ascribe to the vision

Slide18

5. Empower Others to Act on Vision

Barriers to Empowerment

Employees understand the vision & want to make it a reality but are boxed in by....

Formal structures making it difficult to act

A lack of needed skills undermines action

Personnel & information systems make it difficult to act

Bosses discourage actions aimed at implementing the new vision

Slide19

5. Empower Others to Act on Vision

Empowering people to effect change

Communicate a sensible vision to employees

Make structures compatible with the vision

Provide the training employees needed

Align information & personnel systems to the vision

Confront supervisors who undercut needed change

Slide20

6. Planning for & Creating Short-Term Wins

Create and plan for visible performance improvementsRecognize and reward employees involved in the improvements

Slide21

6. Planning for & Creating Short-Term Wins

The Value of Short-Term Wins

Provide evidence that sacrifices are worth it

Reward change agents with pat on the back

Help fine-tune vision and strategies

Undermine cynics and self-serving resisters

Keep bosses on board

Build momentum

Slide22

7. Consolidate Improvements & Sustain Momentum For Change

Use increased credibility t

o change systems,

structures and polices that

don’t fit the vision.

Hire, promote & develop

employees who can

implement the vision.

Reinvigorate the process w

ith new projects, theme

s and change agents.

Confront even bigger issue

s and problems.

Slide23

Change Management >Project Management

Slide24

Project vs. Change Management

Adopted from Prosci Research

Project Management

is the application of knowledge, skills, tools and techniques to project activities to meet project requirements (i.e. to affect change).

Change Management is the process, tools and techniques to manage the people-side of change to achieve the required business outcome (i.e. to assure the change is accepted; not rejected).

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Slide25

Change vs. Project Management

Change Management

Project Management

Current State

Transition Period

Future State

Existing: Processes Systems Org Structure Job Roles

New: Processes Systems Org Structure Job Roles

ContinousImprovement

Person affected by existing: Processes Systems Org Structure Job Roles

Person successfully transitions / accepts new: Processes Systems Org Structure Job Roles

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Slide26

Change Management Processes/ Tools

Provides situational awareness. Helps us

“Get Ready”

Output examples:

Change characteristic profile

Organizational attributes profileCM StrategyCM Team StructureSponsor assessment; roles

Create Plans, then execute them. Five “should’s”:Communication PlanSponsor RoadmapTraining PlanCoaching PlanResistance Management Plan

Ensure the change is Sustained.Output examples:Reinforcement mechanismsCompliance audit reportsCorrective action plansRecognition approachesSuccess celebrationsAfter action review

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Slide27

Change Management Competency

Organizations must change faster than was previously required in response to a rapidly changing world; managing the people-side of change is essential to successful change. CM competency can be measured via Prosci’s Maturity Model:

Level 1Ad hoc or AbsentLittle or no CM appliedPeople-dependent; no formal practices / plansHighest rate of project failure, productivity loss

Level 2Isolated ProjectsSome elements of CM are applied in some individual projectsMany different tactics used inconsistently

Level 3Multiple ProjectsComprehensive approach for CM applied in multiple projectsSome examples of best practice are evident

Level 4Organizational StandardsOrganization-wide standards and methods are broadly deployed for managing / leading changeSelection of common approach, which is normally used by most areas of the firm

Level 5Organizational CompetencyCM competency is evident in all levels of the org and is part of the org’s IP and competitive edgeContinuous process improvement in placeHighest probability and responsiveness

Slide28

Tips for Successful Change Management

From Barbara Johnson, PhD

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