9 THINGS THAT CHANGE RESISTORS MIGHT SAY

q  "That seems risky." Of course it's risky. The question is whether the risk is worth it, given the chance that it might work -- and also the inherent risk of not changing.

q  "Let's go back to the basics." What basics? Mass production? Command-and-control organizations? The idea that "basics" exist is usually wrong, because the world has changed profoundly since the time when there was one right way to do everything.

q  "It worked before." Past success is the enemy of change -- especially when it's offered as a safe alternative to blazing a new trail.

q  "We're fine just the way we are." Maybe -- but it's unlikely that you'll stay fine unless you change. Success breeds complacency.

q  "There's no threat." There's always a threat, there are always dangers -- and if they're not "out there," they're "in here": Internal threats are often the most destructive.

q  "That's not in our core competence." Too bad. You'd better learn. Any organization that lets itself be bound by its old competencies is building its own coffin.

q  "The numbers don't work." Old models are often irrelevant to the new economy. Pay attention to cash flow, but don't let the "green eyeshades" prevent change from happening.

q  "It's a slippery slope. Once we start down that road, there's no stopping place." The real message: I'm not in control anymore! That part is true: Customers are in control. Old-fashioned control freaks are not in control. Anything that's not working can be ended immediately. What can't be stopped are successes.

q  "There will be unforeseen consequences." Naturally there will be, because the new economy is nothing but unforeseen consequences -- which is why constant change is necessary.

8 Critical Components when starting your Change Journey

1.    People - It is not leadership that implements change but people.

Questions to consider:

·         Do you have the right calibre of people?

·         Do they have the competencies to implement the change?

·         Are they motivated to do so?

2.    Business Case - The emotional and numerical rational for adopting the change.

Questions to consider: 

·         Why is the change centre stage?

·         Do your staff members know what to do differently on the Monday morning after implementation is announced?

·         Do they have the right tools and techniques to implement the change?

3. Communication - People can only adopt change if they know about it and understand it.

Questions to consider:

·         Do all your staff know what the new change is and why it has been adopted?

·         Is the change communicated in a way that it comes alive?

4. Measurement - You must inspect what you expect. Have the right measures in place.

Questions to consider:

·         Do you have the right measures for the change?

·         Are the measures being leveraged to guide the implementation?

5. Culture - You must change the day-to-day activities of your staff members and have a culture that support and fosters change.

Questions to consider:

·         What needs to change in the fundamental way you are working so as to encourage the adoption of the new culture?

·         Are we using the language of the new change?

6. Process - There must be alignment between what you say you are going to do (the implementation) and what you are doing (the process).

Questions to consider:  

·         Do your processes support or hinder the change?

·         Where can you redesign the process so it is more supportive and effective?

7. Reinforcement - You must reinforce the expected behaviours so that they are continuously repeated.

Questions to consider:

·         When staff members step in to the unknown and demonstrate the new behaviours, are they recognized and rewarded?

·         Does the reinforcement encourage them to continue to demonstrate the desired new behaviours?

8. Review - The weakest of the eight points among leaders. You must constantly review to make sure the right actions are being taken to deliver the right results.

Questions to consider:

·         Do you know if the actions being taken are producing the right results?

·         Do you know what has been learned from the implementation in the last 90 days?

·         Do you know what you need to start doing differently from today?

By paying attention to all of these areas and assessing the organisation strengths and weaknesses against each one, the organization can prepare itself with a realistic perspective of the challenge ahead and leaders can identify the actions to take to deliver the new strategies anticipated results.

 

6 KEY ELEMENTS OF MANAGING BUSINESS BENEFITS

MANAGING BENEFITS

This is about planning and managing the overall delivery of benefits from the programme.  The activities cover tracking the benefits from their initial identification to their successful realisation.  This process also covers managing the transformation from old to new ways of working while ensuring that business as usual is maintained.  The process is repeated through each tranche of the programme.

1.    Establishing Benefits Measurement

What you need to do

To measure improvements resulting from benefits realisation, the 'before' or 'as is' state needs to be measured and baselined in the Benefits Profile.

Benefits realisation, which happens towards the end of the benefits management process, is reinforced by the implementation of relevant measurement processes.

Points to consider

Providing realistic and usable measures for benefit realisation is not straightforward.  Benefits may be owned by different parts of the organisation. Some benefits can be tracked using financial measures, others will need more complex measures, or indicators, to demonstrate their realisation.

2.    Refining the Benefits Profile

What you need to do

The Benefits Profile should be managed and controlled as rigorously as costs.  It will need to be reassessed and adjusted as necessary during the programme.

Points to consider

Conduct regular reviews of the main benefits led by key stakeholders from the business or operational areas and facilitated by the programme.

3.    Benefits Monitoring

What you need to do

Progress should be monitored against the Business Case, the Programme Plan, the Benefits Realisation Plan and the Blueprint.  Adjustments may be identified from a range of events or circumstances:

·         Business operations may be unstable

·         Forward plans are no longer realistic
·         External circumstances changing

Programme's objectives being re-focused.

Points to consider

Some projects may not contribute to benefits in their own right, but they may be providing prerequisites for other projects that will contribute to realisation of benefits.

Linkages between enablers, improved capability and business outcomes should be clearly mapped and tracked over time.

4.    Transformation Management

What you need to do

The Transition Plan (part of the Programme Plan) provides the route map for implementation of the changes.

Managing the transition will also require careful consideration of individuals' personal concerns about what the changes will mean to them. This should be co-ordinated as part of managing the programmes communications.

Points to consider

Benefits Management should be an integral part of normal good management and service improvement, but the principles of effective change leadership and people skills are especially important in maximising the expected outcoes fo change.

5.    Supporting Benefit Realisation

What you need to do

The embedding of new capability into the business such that it becomes business as usual is where benefits realisation occurs.  New ways of working will inevitably require a settling down period and may produce dis-benefits and additional costs.  The Business Change Manager(s), supported by the programme, should ensure the programme provides sufficient support during this period.

Points to consider

Some benefits may not mature for some time after programme closure. A continuous improvement philosophy should be established such that the organisation is able to encourage further improvements in performance. There may be a need to ensure that a means is in place to continue to measure the benefits.

6.    Measuring Benefits

What you need to do

The Benefits Profile provides the baseline before measurement and details of the measurement of improvements.

Points to consider

Measuring benefit achievement should focus on the improvements in performance achieved by the business operations and changed working practices.

10 LESSONS FROM CULTURE CHANGE

Lesson 1 – Effective corporate culture change must begin with changing mindsets No change can be implemented without first a change in mindset.

Changing mindsets is about uncovering blind-spots with regard to areas for improvement. It is about questioning assumptions of thinking, behaviour and practices that are no longer relevant or useful. It is about reducing complacency in the workplace to increase innovation, productivity and performance.

Changing mindsets is about eliminating unproductive habits or work practices that do not add value to the individual or the organisation. It is about inculcating a positive attitude towards oneself, work, people, the management and the organisation as a whole. With mindset change, one then is aware of the need to change the policies, procedures and practices accordingly.

The uncovering of the blind-spots and the constant questioning of assumptions help reduce the level of complacency of leaders and executives which results in the abandoning of unproductive work practices in the workplace and an overall more positive attitude of people towards one another, towards their respective departments, their work and the organisation as a whole.

Lesson 2 – Successful organisations have corporate culture aligned to their visions, mission, strategies, goals and their environment.

It is generally agreed that the purpose of corporate culture is to develop an internal environment that is conducive for people to perform effectively. However, a corporate culture will only be relevant and useful if it is aligned to the organisation's vision, mission, strategies, goals and the external environment it operates.

What this implies is that an organisation must first get its vision and mission right before deciding on the desired corporate culture. Of course, having determined the right vision and mission it can then formulate the relevant goals and strategies.

The reason why determining the corporate culture needs to take into consideration of the environment because the nature of industry or the type of business often dictates certain ways of doing things to enable it to compete or stay successful.

Lesson 3 – To achieve credibility and win commitment of people, policies, procedures and practices must be consistent with the new culture.

Consistency is an important factor in gaining credibility of any change program. Saying one thing and doing another thing is the surest way of losing credibility. Once a new culture is identified and the desired core values and behaviour communicated to employees, it is important to simultaneously change the existing policies, procedures and practices in the workplace to align to the new culture.

Thus, for example if a new culture promotes openness, it is important to share information and disseminates relevant information freely and openly based on needs rather than hierarchy.

Lesson 4 – To gain buy in of corporate culture change requires a strong rationale.

It is true that most culture change takes a lot of effort and time to overcome resistance. An effective way to overcome resistance is provide a strong, compelling and sound rationale for the culture change.

Such a rationale must often incorporate not just what is good for the organisation but also for the individuals. Thus for example an organisation which is promoting a performance-orientated culture should not just stress on the benefits of increasing productivity and performance to enable the company to compete and survive. It should also stress that by developing such a culture it will also enhance the competency of individuals, help them develop a performance track record and increase their market value in terms of knowledge, skills and experience. It should also communicate to the staff that such a culture also adds meaning to their work and bring about personal satisfaction in the process.

Lesson 5 – To ensure company-wide culture assimilation, culture change programmes should utilise various culture transmission mechanisms available.

To succeed in culture change, there must be prevalent practices of behaviour that reflect the new culture. Thus, to ensure company-wide internalisation of the new culture, an organisation should utilise every channel of communication and every opportune occasion to promote and communicate the new belief system, core values and desired patterns of behaviour to every level of staff from the top right down to the lowest level of staff.

Companies should use formal and informal channels of communication to undertake influence and educate others on the new culture. Just like in advertisement, the publicity blitz should be frequent, focused and impactful to achieve maximum results.

Lesson 6 – To achieve deep and sustainable culture change, requires participative approach.

Culture change is by nature a deep and fundamental change. Such a change requires not just opening up minds but also touching hearts. People must really not just think it but they must really feel it before they behave in the way of the desired culture. The way to achieve sustainable culture change is to first have people want to practise the new culture rather than being forced to do things in a certain way.

A good way to do this is by highlighting the aspect of the culture that shows care for people. Thus showing how the practice of the new culture will enhance respect between one another, create a more enjoyable workplace and increase the competency and value of individuals speaks well of the care the organisation has for its people.

Another good way develop sustainable culture change is to get people's involvement. Involvement can come in many ways. It could be involvement in their input and suggestion on how they would they translate certain core values into practice in their daily tasks. Or it could be soliciting their suggestions on how they could promote the practice of respecting one another in the workplace.

Lesson 7 – The commitment of top management is essential for the success of culture change.

The success of culture change requires company-wide acceptance. A limited change in ways of thinking and working within a small unit or department does not constitute a culture change in organisation. To have company-wide practice of new corporate culture requires the commitment of top management. Support is needed to change policies and systems to align to the new culture

Lesson 8 – To speed up culture change there is a need to leverage on "opinion leaders".

Every resource is needed to help speed up the culture change process. A good way to tap into the organisation resource is seek out "opinion leaders" to assist in promoting the new culture. Opinion leaders can be formal or informal leaders whose opinion matters to others.

Often these leaders have people who look up to them and listen to what they say and do what they say. Thus, it will make sense to first convince these opinion leaders and then involve them as change agents and as role models to help spread the new culture in the organisation.

Lesson 9 – Create a powerful dream of the new culture.

Every great achievement starts with a powerful dream. There is a compelling force of change in creating a powerful dream. And great changes come from powerful dreams it is therefore important to create a powerful dream of the new culture an organisation wants to develop.

It should come across as exciting, inspiring and worthwhile for everybody in the organisation.

Lesson 10 – Recognise and reinforce change success early and frequently.

A culture change is on ongoing process and may take a long time to see tangible results. Too often leaders wait too long before they start to recognise, reward or reinforce the motivation of people in the process of implementing culture change.

If the wait is too long, people will run of stamina and the interest will simmer down and the assimilation process will come to a halt. It is thus important to look up for "early wins" and "small wins" along the way of culture change implementation and recognise and reward people to ensure they stay motivated.

And rewards need not just in monetary terms. It can come in terms of commendation letter recognising a particular team in recruiting the most number of change agents or a public pronouncement in a family day outing whereby individuals are single out having play effective role models in leading team effectively. It is the culmination of all these small positive gestures and steps taken on a continuous and relentless fashion that ultimately lead to a culture transformation for the organisation.

6 WAYS OF REDUCING RESISTANCE TO CHANGE

1.    Persuasion, rewards and bargaining

Whether employees can be ‘persuaded’ to accept change depends essentially on whether they can be assured that their specific anxieties are groundless, or that they will be adequately compensated for any loss suffered. This may involve bargaining for change with employees’ representatives, as well as dealing with individuals. How successful management’s approach will be depends largely on how well the rewards they offer match employees’ wants and expectations, whether they give serious consideration to grievances, concerns and suggestions; and whether they are prepared to make reasonable concessions to achieve their objectives.

2.    Time and timing

Introducing a change in a way that minimises resistance may take a fair amount of time. Management will usually find that the cost of taking time to prepare employees for a change will be less in the long run than the cost of increased resistance and decreased benefits otherwise.

Where possible, it may be worth making changes tentative – a ‘trial period’ – so that employees can test their reactions before committing themselves fully, to get more information and to view the change more objectively. This approach allows some flexibility for management and employees are able to evaluate the method of change and propose modifications. There should always be some room for people’s suggestions and contributions, as well as unforeseen factors, to be taken into account.

3.    Group participation

Where appropriate, the group should be actively involved in the process of assessing the need for, and introducing, the change.

4.    Understanding and information

There is a direct relationship between how much those involved in a change understand about it and its implications and their attitude towards it. When as many people as possible understand as much as possible about the change and how it will affect them, their resistance will probably be lessened. This doesn’t mean that management, simply by keeping people informed, can automatically get them to accept its point of view – a fact which management often fails to appreciate. Full knowledge of the implications of a change may well reveal that the interests of certain individuals and groups are threatened. There is now, however, a rational basis for discussion, consultation and negotiation to resolve the conflicts in an objective way. When, on the other hand, little information is given, the vacuum created will be filled by rumours, conjectures and assumptions, which are likely to increase barriers to the acceptability of the change.

During a change, therefore, management must pay special attention to communicating a full understanding of all aspects of the change and its probable consequences. This will involve discussion and consultation with individuals and work groups, as well as with the normal joint consultative mechanisms such as joint committees, staff associations and trade unions. They must also ensure that they have feedback on how effective an understanding is being achieved.

5.    Consultation, communication and participation

Gaining co-operation in a change situation often requires going beyond merely providing information, or even persuading employees that the decision taken is the right one. It may mean involving them in the decision making process until their consent is secured to a proposal after a period of consultation – or, where conflicting interests are involved, after negotiation – to achieve a compromise acceptable to all interested parties. Otherwise, groups or individuals who feel their interests have been ignored, may put up a good deal of resistance – perhaps to the point of taking some form of action.

The process of achieving consent and commitment is often referred to as participation. Management has recognised how important it is for them to find ways and means to allow and encourage employees to share in the processes of decision- making which directly affect them. This may reduce some of the hostility and mutual suspicion surrounding the change.

Communication and consultation are essential. They are necessary to promote operational efficiency and mutual understanding, as well as the individual employee’s sense of satisfaction and involvement in their jobs. Management, staff associations, employee representatives and trade unions should co-operate in ensuring that effective communication and consultation take place.

Communication and consultation are particularly important in times of change. The achievement of change is a joint concern of management and employees and should be carried out in a way which pays regard both to the efficiency of the undertaking and to the interests of the employees. Major changes in working arrangements should not be made by management without prior discussion with employees or their representatives.

In its day-to-day conduct of business, management needs both to give information to employees and to receive information from them. Effective arrangements should be made to facilitate this two-way flow.

The most important method of communication is by word of mouth, through personal contact between each manager and their immediate work group, or individual employees and between managers and employees representatives. Management, staff associations, employee representatives and trade unions should co-operate in keeping employees informed of the conclusions reached through negotiation and consultation.

Consultation means jointly examining and discussing problems of concern to both management and employees. It involves seeking mutually acceptable solutions through a genuine exchange of views and information.

Consultation between management and employees or their representatives about operational and other day-to-day matters is necessary in all organisations, whatever their size. Organisations with more than 250 employees should have systematic arrangements for management and employee representatives to meet regularly.

Management should take the initiative in setting up and maintaining consultative arrangements best suited to the circumstances of the organisation, in co-operation with employee representatives and trade unions concerned. In setting up the consultative arrangements, management should ensure that:

·       The arrangements provide opportunities for employees to express their views on proposed changes which affect them and encourage discussion, at whatever level is most appropriate, of matters closely associated with the work situation.

·         Employee representatives have all the information they require to enable them to participate effectively in discussions.

·         Senior management take an active part in consultation.

Where committees are set up, management and employee representatives should agree on their composition; how representatives are to be chosen; the rules of procedure; and the range of subjects to be discussed.

6.    Negotiating change

Consultation and negotiation are closely related, but distinct, processes. Consultation involves seeking the views of workers before planned changes are implemented. As a result, management may decide to modify their plans; but they reserve the right to take the final decision. In negotiation, the parties accept that there is a conflict of interest between them and seek to resolve it by comprehensive agreement, in which the perspectives of both can be accommodated in a kind of trade-off. Which party benefits most ultimately depends on the balance or power between them; but there is an acceptance that each side has a legitimate part to play in determining the final outcome.

Management and employee representatives involved in seeking to implement change with minimal conflict should consider carefully how to link the two processes. Management will want to give priority to consultation. Employees representatives, on the other hand, often prefer not to make a clear-cut distinction in practice between the two processes – changes about which they are consulted may also become the subject of negotiation (or bargaining). Trade unions representatives may well press management to make formal written agreements on the introduction of change covering, for example, job security and/or the introduction of new technology.

8 FACTORS FAVOURING A SUCCESSFUL CHANGE PROGRAMME

1.    Acceptance of the need and scope for change

There is always room for improvements to jobs and work organisation. The key to success of a change programme is to get all parties to accept the need for change.

2.    Visible commitment from the top

Unless there is a clear commitment at the top, even a participative oriented change programme is likely to founder. The contribution of senior management lies in setting objectives, agreeing to commit resources, approving planes and acting as an arbiter when choices are not clear. Those affected by the changes need to feel confident that this commitment and leadership is present at the highest levels of the management hierarchy. Usually it falls to the change agent to ensure that this commitment is made apparent to employees and their representatives.

3.    Technical competence

Assess to people either within the organisation or brought in from outside who have technical abilities both with respect to communicating with prospective users at all levels and in any new technology that is to be introduced.

4.    Someone with accepted status and influence, acting as the driving force

The change agent may come from within, or be recruited externally; in either case the need to spend time gaining trust and credibility with all parties in order to be the focal point or driving force. A working party or user group is strongly recommended, but such groups can flounder if they lack leadership.

5.    Acceptable environment

There should be no serious deficiencies in physical working environment or in conditions or employment calling for urgent attention. The introduction of new methods should not be used to try to mask such deficiencies.

6.    A climate of trust

There needs to be a degree of trust and openness in relations between managers end employees and the systems for negotiation and consultation are reasonably sound and effective in use. This and the next factor are necessary for successful participation.

7.    Adequate and effective communication

Communication must be relevant: employees need to be able to discuss, on a face to face basis, how their particular jobs and working relationships are likely to be affected and to feel that their points of view on issues which affect them have been taken into account when decisions are mad, even if their needs and hopes cannot be fully met.

8.    A feeling by employees that changes are fair

There is agreement to consider the distribution of any financial benefits accruing from the changes and agreement on manning levels.

8 STEPS TO CHANGE FAILURE & SUCCESS

8 STEPS TO CHANGE FAILURE
 

1.    Just telling people to do it.

2.    Designing the perfect solution … processes, technology, organisation structure.

3.    Just expecting people to get on with it.

4.    Signing the cheque, signing the charter and then moving on.

5.    Letting middle managers figure out what they need to do by themselves.

6.    Telling people what would happen to them if they didn’t comply.

7.    Communicating project timelines, milestones and design details.

8.    Ignoring the people side of change.

8 STEPS TO CHANGE SUCCESS

 

1.    Make a compelling case for why the change is needed.

2.    Spend as much time managing people through the change as developing the right answer.

3.    Recognise that the desire to change is a personal choice.

4.    Ensure senior leaders are active and visible sponsors throughout the change.

5.    Engage middle managers as change leaders and as critical feedback channels.

6.    Try to anticipate resistance and work on proactively addressing objections and concerns.

7.    Communicate key messages e.g. why the change is needed, what’s in it for me etc.

8.    Apply effective change management tools and techniques.