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Mahboob Ali Khan, MHA,CPHQ, Change Management Presented for Faculty of Psychology 4 th December 2011, KSA. CHANGE MANAGEMENT - Concepts And Tools
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Change Management By Mahboob Ali Khan ,MHA,CPHQ

Jun 19, 2015

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Page 1: Change Management By Mahboob Ali Khan ,MHA,CPHQ

Mahboob Ali Khan, MHA,CPHQ,Change Management

Presented for Faculty of Psychology4th December 2011, KSA.

CHANGE MANAGEMENT

- Concepts And Tools

Page 2: Change Management By Mahboob Ali Khan ,MHA,CPHQ

“God will not change people’s fate if they do not change it themselves”

(Al-Qur’an, Ar-Ra’d: 11)

4TH DECEMBER ,2011.MAHBOOB ALI KHAN,MHA,CPHQ 2

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‘R U MAD’? Are You Ready for

“Making A Difference”?

An Initiative of the Education Foundation

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‘Learning is an experience, everything else is just information.’

 (Albert Einstein) 

‘The mind is not a vessel to be filled, but a fire to be ignited.’

 (Plutarch)

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AGENDA

What is Change? Two Sides of Change People Oriented Change Organizational Change Managing Resistance to Change Tools for Change The Problems of Change The Best Practice of Change Antam’ Experience

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WHAT IS CHANGE?

”Change is inevitable. In a progressive country change is constant.” (Benjamin Disraeli,1804 - 1881)

”We must become the change we want to see” (Mahatma Gandhi, 1869 - 1948)

” Change the way people think, and things will never be the same” (Steve Biko, 1946 - 1977)

 ”If we don't change our direction we're likely to end up where we're headed” (Chinese Proverb)

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WHAT IS CHANGE?

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To change is to take different actions than previously. To take different actions than previously means to make different choices. Different choices produce change. The same produce sameness, a reinforcement of the status quo.

Change management is defined as the systematic deployment of change management programs, tools and processes throughout an organization.

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WHAT IS CHANGE?

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The goal of CM : Create competitive advantage or economic

value of an organization Improve the utilization of human capital Ensure vision/projects meet their goals

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THE IMPACT OF ENVIRONMENTAL CHANGES

Change:• Economic

• Politic• Social

• Technological

CustomersSuppliersBusiness partners

Organization

Indirect impacts

Direct impacts

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CHALLENGES FACING BUSINESS

Discontinuities in the business environment

Old New

Confidence and rigidity Insecurity and opennessPermanence and certainty Turbulence and uncertaintyIncremental change Revolutionary changeFacts and theories ValuesLogic IntuitionBoundaries and disciplines Interest, issues and problemsOrganization AdaptationAttitudes FeelingsPersonalities and vested interest Principles & business philosophyQuantity Quality and post – quality Getting ahead Achieving balance and harmonyDrives NeedsProducer centered Customer centeredFocus on activity Focus on outputConflict and rivalry Cooperation and consensus

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Discontinuities in the business environment

Old New

Command and control Two-way communication & sharingBureaucracy hierarchy Horizontal relationshipAbsolutes Solutions relative to contextSimplicity Diversity and relative complexityOne-dimension maximization Multi-dimensional trade – offs Answer QuestionSolutions Temporary accommodationSanction ConsentAuthority EncouragementDepartmentalism and procedures Business processesDiscrete problems Holistic issuesUniformed customers Demanding customersHomogenous customers Diverse customersStandard products and services Tailored products and servicesLocal customers International customers

CHALLENGES FACING BUSINESS

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Discontinuities in the business environment

Old New

Established relationship Integration and fragmentationSales Account managementIndividuals TeamsThe self and the organization The group and the environmentThe ‘here and now’ The consequences and the futureUnsupported Facilitating processes & technology‘Hoarding’ by the few Empowerment of the manySingle discipline Multi – disciplinaryDiversification FocusGeneralization SegmentationKnowledge CompetenceTeaching Learning Specialist teaching institution Integration of learning & workingInitial qualification Continual updatingLifetime practice Functional mobility

CHALLENGES FACING BUSINESS

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CHALLENGES FACING BUSINESS

Discontinuities in the business environment

Old New

Career ladders Succession of projectsStandard employment Various patterns of workCommodity products Search for differentiationLimited competition Open competitionBarriers to entry Diversity of supplyCartels and oligopoly Competition and choiceZero – sum relationship Positive – sum collaborationIndependence and dependence Interdependence & partnership

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Any organization is facing today’s business challenges:

* Severe competition

* Rapid change in technology, communication

and information

WHY WE DO CHANGE?

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To have competitive supremacy, increasing

profits, and maximum control over organization’s destiny it

is essential to innovate, learn quickly and respond quickly

Being aware of the environment and trends outside

the organization and working with those within the

organization who are keen to make change a strategic

approach to required change

BENEFITS OF CHANGE

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AGENDA

What is Change? Two Sides of Change People Oriented Change Organizational Change Managing Resistance to Change Tools for Change The Problems of Change The Best Practice of Change Antam’ Experience

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TWO SIDES OF CHANGE

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People Oriented Change

Organizational Change

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TWO SIDES OF CHANGE

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People Oriented Change: before changing other people, we have to change our self, first!

Organizational Change: changing the strategy, policy, system and procedures for achieving an high performing organization

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AGENDA

What is Change? Two Sides of Change People Oriented Change Organizational Change Managing Resistance to Change Tools for Change The Problems of Change The Best Practice of Change Antam’ Experience

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PEOPLE ORIENTED CHANGE

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Changing the mindsets:C Creating hope

C Building beliefsC Shifting paradigms

C Courage to Take Action

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CREATING HOPE

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Creating hopes

Dream..Dream …

Dream …

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Adapted from Ackerman (1997)

Developmental of change• Improvement of existing situation

Time

Perf

orm

ance

• Transitional change Implementation of a known new state Management of the interim transition state over a controlled period of time

Transformational change• Emergence of a new state, unknown until it takes shape, out of the remains of the old state; time period not easily controlled

OLDstate

NEWstate

Transition

Birth

GrowthPlateau

Chaos

Death

Re-emergence

CREATING HOPE

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Creating a New Vision

Vision is a reality that has not yet come to be Vision is not a dream Vision reflects a depth and breadth of

understanding that enables one to detect patterns or trend, and it guide a leader through the present and into the future A vision of the future is more than just a plan or a

goal. It a picture of what we want to be in the future Leader have a responsibility to transform the

vision into reality

CREATING HOPE

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Creating a New Vision

A true vision must provide a clear image of desirable future – one that represents an achievable, challenging, and worthwile long – range target toward which people can direct their energies

CREATING HOPE

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BUILDING BELIEFS

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Yes, I’m sure that I can be happybecause of ….

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Values and Beliefs

Values and beliefs are the critical dimensions in leadership

effectiveness because they serve as the basis for direction and action

A person with vision who cannot articulate beliefs and

values and inspire others is a dreamer, not a leader

BUILDING BELIEFS

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Values and Beliefs

Tom Peters and Waterman describe the seven basic beliefs shared by the excellent organizations they studies:

Belief in being the best Beliefs in the importance of the details of execution Beliefs in the importance of people as individuals Beliefs in superior quality and service Beliefs that most members of the organization should

be innovators Beliefs in the importance of informality to enhance communication Beliefs and recognition of the importance of economic

growth and profits

BUILDING BELIEFS

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Values and Beliefs

Ray Kroc, founder of Mc Donald’s, provide a good example of the leader’s role in promoting and protecting values. The stated values of McD are quality, service, value and cleanliness.

Motorola, the first winner of MBQNA is a organization with a strong belief system. Its stated “seven attributes of a quality system”. The attributes are follows:• Extend leadership and quality commitment form top to

bottom• Communicate to every employee so that each knows

that his or her individual contribution helps• Train every employee and teach them the corporate

language

BUILDING BELIEFS

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BUILDING BELIEFSValues and Beliefs

• Establish challenging goals and very high standards

• Recognize success in achieving quality through incentives and other rewards• Create a participative and cooperative culture throughout the organization and between divisions• Develop a high quality, creative, receptive, and

adaptive work force by developing employees to their fullest potential

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SHIFTING PARADIGMS

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So I have to change all the ways that I have done…..

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OLD PARADIGMS NEW PARADIGMS

THE BUSINESS Ore-Mining ExploitationUp-stream industry

Mining-Based ProcessingDown-stream industry

THE OPERATIONS

Local and Domestic organization (Mind-set) Local standards

Global and International Operations (Mind-set) World-class standards

THE QUALITY Good organization Great Institution

THE PEOPLE People = Costs

People = Human Capital, Strategic Assets and Strategic Partners

LEADERSHIP Managers are promoted

Leadership is earned. You do not need a title to be a leader.

Transactional Leaders Transformational Leaders

Effective Managers should be nice and kind.

Effective Leaders deliver results.

LEADERSHIP DEVELOPMENT

Survival of the fittest (By Nature)

Development of the fittest (By Nature + Nurture)

SHIFTING PARADIGMS

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OLD PARADIGMS NEW PARADIGMS

THE CULTURE Strategy and Culture are independent and standing alone

Culture can drive or drag Strategy

Build Any Culture Build High Performance Business Culture

DEVELOPMENT Training Learning

Class Training – Training is one way & knowledge transfer.

Learning can be any where and by any means. The role of Interventions are key.

Training = Costs (Key word: REDUCE!)

Development = Investment (Key word: MEASURE THE RETURNS!)

COST Efficiency Effectiveness (Cost Conscious-ness is still important)

Bureaucratic Operations

Speedy + Agile Operations

SHIFTING PARADIGMS

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OLD PARADIGMS NEW PARADIGMS

EMPLOYMENT

Attracting mediocre people

Employee of Choice – Ability to attract the best talent

The dullest = the brightest

Employer of Choice – Ability to retain the best people

Life-time employment

Life-time employability

KNOWLEDGE Knowledge = Certification

Knowledge is the ability to act

BUSINESS Business is dirty, the ends justify the means.

Business with ethics. Business is noble. To improve the quality of life of mankind.

Business is complex. You need sophisticated solutions to play.

Business is simple. The business principle uses common sense.

H.C Staffs Administrators Performance Consultant

SHIFTING PARADIGMS

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• Leader must possess the discipline, determination, and courage necessary to get the job done. “A unique feature of the human brain is its ability to form mental images of the future and to translate these images into reality though leadership and action”.

• Leaders must possess more than vision and values. They must discipline, energy, determination, zeal, and courage to carry them through the difficult periods and more important, to keep them moving forward during thee good times as well.

COURAGE TO TAKE ACTION

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Page 35: Change Management By Mahboob Ali Khan ,MHA,CPHQ

Turning Point

“The road stop here, what got you here, won’t get you there”

GoodGre

at

First Curve

Second Curve

COURAGE TO TAKE ACTION

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2003 2008 (20XX)(2012) 20112003

Long-Term Plan

Strategic Scenario

HistoryOld ParadigmsIndustrial EconomyContinuous Improvement

Future VisionNew ParadigmsKnowledge EconomyInnovation and Breakthrough

ExtrapolationProjection

Interpolation

Strategic Scenario - A Transformation Approach

 

GAP

BAU

THE ROAD STOPS HERE

STRATEGIC INITIATIVES

STRATEGIC TARGETS

COURAGE TO TAKE ACTION

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COURAGE TO TAKE ACTION

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Capacity for change (resources)

• Capacity here means resources and these are staff time and,

where appropriate, money. To implement change you need to identify the resources that will be required before you proceed and make sure these are provided. Often, the cost benefits from implementing energy efficiency measures and waste minimisation programmes can provide the financial resources for an ongoing programme of improvement

• It is usually the organisation’s own employees that have the

information, intuition, ideas and instincts necessary for implementing change effectively. When given the capability and the opportunity to participate in improvement programmes, it is employees who often can find the greatest cost savings and efficiency improvements

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COURAGE TO TAKE ACTION

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“We are what we repeatedly do. Excellence then, is not an act, but a habit” – Aristotle

“Energy is equal to desire and purpose” - Sheryl Adams

Having got the other three factors in place (pressure, a clear

shared vision and capacity) you now have to implement the planned change.

Keeping up momentum is what matters here and implementing the PLAN – DO - CHECK – ACT management methodology is essential to maintaining the effectiveness and appropriateness of the change. Good monitoring and analysis of the resulting data is essential. > Make sure you continue to keep employees informed of progress

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AGENDA

What is Change? Two Sides of Change People Oriented Change Organizational Change Managing Resistance to Change Tools for Change The Problems of Change The Best Practice of Change Antam’ Experience

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ORGANIZATIONAL CHANGE:Change Management Orientation

* Theory E Theory E has as its purpose the creation of economic value, often expressed as shareholder value. Its focus on formal structure and systems. It is driven from the top down with extensive help from consultants and financial incentives. Change is planned and programmatic

* Theory O Theory O has as its purpose the development of the organization’s human capability to implement strategy and to learn from actions taken about the effectiveness of a changes made. Its focus is on the development of a high – commitment culture. Its means consist of high involvement, and consultants and incentives are relied on far less to drive change. Change is emergent, less planned and programmatic

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Theories E and O of Change

Purpose & Means Theory E Theory O

Purpose Maximize economic value Develop organizationalcapabilities

Leadership Top – down Participative

Focus Structure & systems Culture

Planning Programmatic Emergent

Motivation Incentives lead Incentive lag

Consultants Large/knowledge – Small/process driven driven

ORGANIZATIONAL CHANGE:Change Management Orientation

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DimensionsOf Change

Theory E Theory O Theory E and O Combined

Goals Maximize shareholdervalue

Develop organizationalcapabilities

Explicitly embrace the paradoxbetween economic value andorganizational capabilities

LeadershipManage change from the top down

Encourage participationfrom the bottom up

Set direction from the topand engage the people below

Focus Emphasize structureand systems

Build up corporate culture, employees’ behavior and attitudes

Focus simultaneously on the hard (structures and systems) and the soft (corporate culture)

Process Plan and establish programs

Experiment and evolve Plan for spontaneity

Reward System Motivate through financial incentives

Motivate through commitment – use payas fair exchange

Use incentives to reinforcechange but not to drive it

Use ofConsultants

Consultants analyzeproblems and shape solutions

Consultants support management in shapingtheir own solutions

Consultants are expert resources who empoweremployees

ORGANIZATIONAL CHANGE:Change Management Orientation

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• Incremental Change Strategy – taking necessary changes in sequential order

• Fundamental Change Strategy – the whole organization and its relationship will simultaneously change

TWO STRATEGIES OF CHANGE

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MANAGEMENTCHANGE

Generate energy, allocate resources, shift paradigms, develop transformation team, develop transformational leaders at all levels

STRATEGYCHANGE

Product portofolios, market repositioning, value proposition, competitive advantages, the winning formula, business success model (KPI, strategic initiative)

STRUCTURALCHANGE

Realignment and rebuilding of policies, management systems, organization structures, business processes, enabling technology

CULTURALCHANGE

Cultural assessment, value definition, a set of behaviors, socialization, internalization, externalization (Moments of Truth), reassessment

Fundamental Change

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CULTUREBusiness Acumen

A Culture of Excellence

THE STRATEGY MODELThe Strategy Model for Fundamental Change

PEOPLE

HUMAN CAPITAL

STRATEGY

EXECUTION

RESULTS

KPI & Goals Strategic Initiatives

Management Disciplines Reward/Incentives

LEADERSHIPResults-Based

Transformational

CHANGEFundamental, Strategic and Comprehensive

First WHO then WHAT

STRUCTURE & SYSTEMSAccountabilityRelationship

THE SOCIAL CAPITAL

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BUSINESSTRANSFORMATION

TECHNOLOGY CHANGE

PROCESS CHANGE

PEOPLECHANGE

Source : AGILE Change

Results

1. Anticipate Change2. Generate Confidence3. Initiate action4. Liberate thinking5. Evaluate results

1. Phase One: FOCUSED Communicate

Vision, Strategy and

commitment2. Phase two: Fast Target3. Phase three : Build on going capability

The Business Transformation Implementation of Change Model (Simplified Framework)

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AGENDA

What is Change? Two Sides of Change People Oriented Change Organizational Change Managing Resistance to Change Tools for Change The Problems of Change The Best Practice of Change Antam’ Experience

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Before change After change

DesiredCondition

CurrentCondition

Restraining

forces

Drivingforces

RF

DF

RF

DF

Lewin’s Force Field Analysis Model

Restraining and Driving Forces

MANAGING RESISTANCE TO CHANGE

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Level of Acceptance

MANAGING RESISTANCE TO CHANGE

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SUCCESS FACTORS FOR CHANGE USING ADKAR

Awareness Desire KnowledgeAbilityReinforcement

Business Need

Concept and Design

Implementation

Post-implementatio

n

Ph

ases o

f a

ch

an

ge p

roje

ct

Phases of a change for employees

SuccessfulChange

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FACTORS INFLUENCING THE SUCCESS FOR CHANGE

Awareness ofthe need for

Change

How a personperceivesproblems

Credibility ofthe sender

Circulation ofmisinformation

or rumors

Contextstability

of the reasonsfor change

A person’sview of the

current state

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Desire tosupport and

participate in the change

Nature of thechange and

WIIFM

Organizationalcontext

and history

Personalsituation

Intrinsicmotivator

Desire

FACTORS INFLUENCING THE SUCCESS FOR CHANGE

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Knowledgeof how tochange

A person’scurrent

knowledgebase

Capability ofthe person

to learn

Resourcesavailable to

provideeducation

and training

Access to or existence of

requiredknowledge

Knowledge

FACTORS INFLUENCING THE SUCCESS FOR CHANGE

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Ability toimplement new

skills andbehaviors

Psychologicalblocks

Physicalabilities

Intelectualcapability

Time availableto develop

needed skills

Availability ofresources tosupport skilldevelopment

Ability

FACTORS INFLUENCING THE SUCCESS FOR CHANGE

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Reinforcementsto sustain

the change

Degree to which

reinforcementis

meaningful

Association ofreinforcement

withaccomplishment

Absence of negative

consequences

Accountabilitysystems

to reinforcethe change

Reinforcement

FACTORS INFLUENCING THE SUCCESS FOR CHANGE

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AGENDA

What is Change? Two Sides of Change People Oriented Change Organizational Change Managing Resistance to Change Tools for Change The Problems of Change The Best Practice of Change Antam’ Experience

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TOOLS FOR CHANGE

Ø  Analysis “Force Field”Ø  Planning and Strategy ”Strategic

Triangle”Ø  Implementation ”8 Steps”Ø  Supporting implementation ”Cycle

of Change” ”Storytelling”

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UNDERSTANDING THE PRESENTFORCE FIELD ANALYSIS

Desired state

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DRIVINGFORCES

RESTRAININGFORCES

CURRENT STATE

Kurt Lewin

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The Strategic Triangle

OperationalCapacity:Ability to

deliver results

Legitimacy and Support:

Comes fromauthorizing

environment

Creating Public Value, Mark H. Moore

• Mission

• Goals

• Objectives

• Value

PLANNING & STRATEGY

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CREATING PUBLIC VALUE

In developing a change strategy, a leader must bring three elements into coherent alignment: • The change strategy must be substantively valuable in the sense that the organization or the program produces things of value to overseers, clients, and beneficiaries at low cost in terms of money and authority.

Creating Public Value, Mark H. Moore

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CREATING PUBLIC VALUE

• It must be legitimate and politically sustainable. The organization or program must be able to continually attract both authority and money from the political authorizing environment to which it is ultimately accountable

Creating Public Value, Mark H. Moore

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CREATING PUBLIC VALUE

• It must be operationally and administratively feasible in that the authorized, valuable activities can actually be

accomplished by the existing organization with help from others who can be induced to contribute to the organization’s or program’s goal.

Creating Public Value, Mark H. Moore

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IMPLEMENTATION:8 STEPS FOR SUCCESSFUL CHANGE

“People will not make sacrifices, even if they are unhappy with the status quo, unless they think the potential benefits of change are attractive and unless they really believe that a transformation is possible.”

The Heart of Change (John P. Kotter and Dan S. Cohen)

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IMPLEMENTATION:8 STEPS FOR SUCCESSFUL CHANGE

�    Increase urgency�     Build the guiding team�       Get the vision right�          Communicate for buy-in*�             Empower action�               Create short – term wins�                 Don’t let up�                  Make change stick

* “70% of people’s problems need no other solution than understanding”

“Resolving conflict”, McConnon

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CHANGE EQUATION

If A + B + D > Z, then C 

C = Change 

A = Dissatisfaction with the status quo 

B = Knowledge about first practical steps 

D = Shared vision of the future 

Z = Costs of change (economic, psychological)

Adapted from Richard Beckhard’s Change Equation C= f (A+ B + D) > Z

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SUPPORTING IMPLEMENTATION:CYCLE OF CHANGE

Daryl R. Conner

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Explain complex idea to spark action

Image

Transmit values

Further team work

Tame the grapevine Share

information and

knowledge

Lead people into the future

“Squirrel Inc.” Stephen Denning

SUPPORTING IMPLEMENTATION:STORYTELLING 7 POSSIBILITIES

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SUMMARY Important to factor in the change

process Techniques to work with change: - Force Field Analysis, - Strategic Triangle, - 8 Steps model, Change Equation - Cycle of Change, Storytelling

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AGENDA

What is Change? Two Sides of Change People Oriented Change Organizational Change Managing Resistance to Change Tools for Change The Problems of Change The Best Practice of Change Antam’ Experience

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If change without direction business as

usual Change for better and the

importance of change is adapting to new era and survival

MISCONCEPTION ABOUT CHANGE

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For most organizations, the problems with managing change derive from two key areas:

Too many unnecessary changes caused by cross - functional misunderstandings; And too many well-intentioned changes made in later stages without adequate consideration of their negative impact

MISCONCEPTION ABOUT CHANGE

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These four factors for failure then lead to the “treadmilleffect”:

• No time for reflection, planning and learning• No improvement in design and implementation • Increasing need to do something•  Increasing failure and unplanned consequences•  Go back to 1. and repeat 

THE FOUR FACTORS FOR FAILURE

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“The main dangers in this life are the people who want to change everything or nothing” - Lady Nancy Astor

Before looking at the four factors for success, recognising the four factors for failure in managing change can help identify problems more rapidly, and can show where initial action should be concentrated:

• Lack of consistent leadership• De-motivated staff kept in the dark• Lack of capacity: budget cuts, no spend-to-

save policy, short-term approach to investment, stressed out staff working hard just to stand still • Lack of initiative to “do something different”

WORST PRACTICE IN MANAGING CHANGE

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LESSONS LEARNED

Change process goes through a series of phases that, in total require a considerable length of time

Skipping steps creates only an illusion of speed and never produces a satisfying result

Critical mistakes in any of the phases can have a devastating impact, slowing momentum and negating hard won gains

Even very capable people often make at least one big error

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8 COMMON ERRORS

Not Establishing a Great Enough Sense of Urgency Not Creating a Powerful Enough Guiding Coalition Lacking a Vision Undercommunicating the Vision by a Factor of Ten Not removing obstacles to the New Vision Not Systematically planning for and Creating

Short-Term Wins Declaring Victory Too Soon Not Anchoring Changes in the Corporation’s

Culture

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ERROR #1: NOT ESTABLISHING A GREAT ENOUGH SENSE OF

URGENCY

Transformation requires the aggressive cooperation of many individuals

Change by definition always demand leadership The message that the status quo is more

dangerous than launching into the unknown must be given

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ERROR #2: NOT CREATING A POWERFUL ENOUGH GUIDING

COALITION

Successful transformation requires a minimum “critical” mass

Guiding coalition members must include those that operate outside of the normal hierarchy

Teamwork is essential

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ERROR #3: LACKING A VISION

In failed transformations, you often find plenty of plans and programmes, but no vision

A vision says something that clarifies the direction in which an organization needs to move

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ERROR #4: UNDERCOMMUNICATING THE VISION BY A FACTOR OF TEN

In more successful transformation efforts, executives use all existing communication channels to broadcast the vision

Communication comes in both words and deeds Nothing undermines change more than behaviour by

important individuals that is inconsistent with their words

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ERROR #5: NOT REMOVING OBSTACLES TO THE NEW VISION

Too often,an employee understands the new vision and wants to make it happen. But something appears to be blocking the path,

Organization structures, systems and procedures can seriously undermine transformation efforts.

The worst of all are bosses who refuse to change and make demands that are inconsistent with the overall effort.

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ERROR #6: NOT SYSTEMATICALLY PLANNING FOR AND CREATING SHORT-

TERM WINS

Without Short-Term wins, too many people give up or actively join the ranks of those who have been resisting change

Short-Term wins help keep the urgency level up and force detailed analytical thinking that can clarify or revise visions

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ERROR #7: DECLARING VICTORY TOO SOON

While celebrating a win is fine, declaring the war won can be catastrophic.

Changes must sink deeply into an organizational culture.

New approaches are fragile and subject to regression.

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ERROR #8: NOT ANCHORING CHANGES IN THE CORPORATION’S

CULTURE

Change sticks when it becomes “the way we do things around here.”

There must be a conscious attempt to show people how the new approaches, behaviours, and attitudes have helped improve performance.

Take sufficient time to make sure that the next generation of top management really does personify the new approach.

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AGENDA

What is Change? Two Sides of Change People Oriented Change Organizational Change Managing Resistance to Change Tools for Change The Problems of Change The Best Practice of Change Antam’ Experience

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Pressure for change

Clear shared vision

Capacity (resources)

Action (and performance)

3Policy and action plan in

place Regular reviews

Active commitment from top management

3High level of awareness and

support at all levelsStaff highly motivated

3Resources (staff and

funding) routinely committedCost savings re-invested for

further improvements

3Action being taken and

embedded throughout the organisation

Monitoring and reporting of progress

2Policy agreed and

communicated to all staff

2Representatives from all

levels of management chain involved in planning process

and drawing up action plan(s)

All staff given opportunity to make an input

2Key staff working on plans

and projects.Staffing and funding needs

identified and resources becoming available

2Wider engagement across

the organisation‘Low-cost’ and more ‘no-

cost’ measures implemented

1Board level “champion”

appointedDrafting of policy

1Key and supportive staff identified for assisting in

drafting policy, taking action, and driving the process

1“Champion” appointed at

middle management level (to support the Board’s

“Champion”).Training & development

needs assessment

1Commencement of action at

some levels of the organisation.

Some ‘no-cost’ measures implemented

0No explicit policy

‘Business as usual’, no forward planning

Lack of consistent leadership & responsibility

(buck-passing)

0De-motivated staff kept in

the dark

No communication.General mistrust

0No investment. High stress levels in over-worked and

under-valued staffNo training & development

0Zero action

(or limited to crisis management)

THE FOUR FACTORS FOR SUCCESS

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ELEMENTS OF CHANGE MANAGEMENT

Vision

Vision

Vision

Vision

Vision

Skills

Skills

Skills

Skills

Skills

Incentives

Incentives

Incentives

Incentives

Incentives

Resources

Resources

Resources

Resources

Resources

Action Plan

Action Plan

Action Plan

Action Plan

Action Plan

Change

Confusion

Nervousness

Gradual Change

Frustration

False Starts

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# 1: DEVELOP A COMPELLING VISION

How Things Will Be Better With the Change

More Than Sloganeering Leaders and Change Agents Need Their

Own Individual Visions and Need to Know How That Fits Into the Organization’s Vision

People Need to See How They Fit Into That Vision

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THE LAW OF 23BEST PRACTICES/LESSONS

LEARNED

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# 2: CHANGE IS A JOURNEY,NOT A BLUEPRINT

Develop Detailed, Multi-dimensional Plans Change Description Business Objectives Human Objectives Key Role Map Vision Detailed Activities, Resources, Timelines Measurements

Recognize That This Is a Journey Will Need to Adapt Plan As Needs Change

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WARNING: NEED TO BALANCE “PREPARING FOR” AND “IMPLEMENTING”

There Is a Need to Develop a Comprehensive Plan for the Change

There Is a Need to Get the Organization Ready for the Change

But If It Takes Too Long, People Lose Interest and Motivation

So, Plan for Short Projects That Will Engage the People

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# 3: UNDERSTAND ANDOWN THE PAST

The Past Bounds Future Success Identify Critical Success Factors From

Previous Successful Changes in the Organization Surveys Interviews Lessons Learned Sessions

Acknowledge Past Failures Explicitly Plan on Countermeasures

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# 4: BUILD A STRONG, COMMITTED MANAGEMENT COALITION

At All Levels Within the Organization Teach Them Their Job

Establish a Clear Vision Articulate That Vision Communicate With the Affected Groups Focus Energies on Their Direct Reports Monitor Progress Eliminate Obstacles Recognize and Reward Short-term Wins Stick With It for the Long Haul

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# 5: IDENTIFY ALL THE PEOPLE WHO ARE AFFECTED OR WHO NEED TO BE INVOLVED

Create a Key Role Map of the Formal Organization Sponsors (at All Levels) Change Agents Targets

Augment With Identification of Informal Organization Key People (Understand Why They Have This Influence) Opinion Shapers Gate Keepers Idea Champions

Develop an Understanding of Their Level of Influence Level of Commitment to the Change

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# 6: ANALYZE THEIR READINESS FOR CHANGE

Assess the Organization on Their Readiness for This Particular Change Surveys One-on-One Discussions

Understand Where People Are Early Adopters Late Adopters Laggards

Are There Outside Organizations That Are Influencers?

Understand Their Frames of Reference and Develop Communication Strategies

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# 7: START WHERE PEOPLE ARE MOST RECEPTIVE

Avoid the Dedicated Resistors, Focus on Early Adopters (About 20% of the Population)

Helps to Get Some Early Wins

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# 9: PEOPLE DON’T RESIST THEIR OWN IDEAS

Get People Involved Early in the Planning Even If They Can’t Plan “What”, They Can Plan

“How” They Are Changed by the Act of Participating in

Planning the Change Surfaces Resistance Early and Can

Potentially Manage It

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# 10: MANAGE THE DRIVING FORCES AS WELL AS THE RESTRAINING FORCES

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# 11: ESTABLISH A GOOD REASON TO CHANGE

Substitute One Fear for Another Make the Anxiety Associated With Not

Changing Greater Than the Anxiety of Changing

Intentionally Create Disorder Remove the Mechanisms That Allow People

to Stay the Same

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# 12: SAY IT ONCE, SAY IT TWICE, AND SAY IT AGAIN

Keep It Simple – No Jargon Use Language of the People Use Storytelling Use Different Mediums

Memos Group Meetings Stories in Newsletters One-on-one Meetings (Have Different Levels of Impact)

Change Style of Communication Depending Upon Where You Are in the Change Who You Are Communicating With

Walk the Talk, Be Honest

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# 13: BUT MONITOR THE COMMUNICATIONS

Sample

Memo From Director General to Manager:Today at 11 O'clock There Will Be a Total Eclipse of the Sun. This Is When the Sun Disappears Behind the Moon for Two Minutes. As This Is Something That Cannot Be Seen Every Day, Time Will Be Allowed for Employees to View the Eclipse in the Car Park. People Should Meet in the Car Parking Area at Ten to Eleven, When I Will Deliver a Short Speech Introducing the Eclipse, and Giving Some Background Information. Safety Goggles Will Be Made Available at a Small Cost.

Memo From Manager to Department Head: Today at Ten to Eleven, All Staff Should Meet in the Car Parking Area. This Will Be Followed by a Total Eclipse of the Sun, Which Will Disappear for Two Minutes. For a Moderate Cost, This Will Be Made Safe With Goggles. The Director General Will Deliver a Short Speech Beforehand to Give Us All Some Background Information. This Is Not Something That Can Be Seen Every Day.

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# 14: ENCOURAGE THE HEART

In Terms That Have Meaning to Individuals and Teams Ask Them What a Reward Would Look Like to

Them Highly Visible Reward Throughout the Change, Not Just at the

End

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# 15: SHOW RESULTS – EARLY AND OFTEN

Plan for Goals (Long and Near Term) That Are Measurable, Tangible and Clear Explicitly Tied to Vision

Not a Count of Activities # Of People Trained in CM Projects/programs # Of Procedures Written

Performance Results That Matter to Customers, Employees or Shareholders Reduction in Delivered Defects Reduction in Cycle Time Reduced Escaped Defects Resulting in

Reduced Rework

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# 16: PREPARE FOR “IMPLEMENTATION DIP”

Things Often Get Worse Before They Get Better Increase the Communication

Change the Medium and Words Focus on What Is Ahead Provide As Much Information As Possible

Allow Resistance to Surface and Manage It

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# 17: VALIDATE THE FEELINGS OF PEOPLE

Resistance Can Be at Systemic or Behavioral Level Systemic – Lack of Appropriate Knowledge,

Information, Skills and Managerial Capacity (Cognitive)

Behavioral – Reactions, Perceptions and Assumptions (Emotional)

Acknowledge the Pain of Changing

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Letting Go of Familiar Past (Perhaps a Romanticized View)

Confronting Feelings About an Uncertain Future

Dealing With Loss of Face Redesigning a Focus on New Realities Working on These in Public, Facilitated

Forums Allows People to Constructively Express Their Anxiety and Anger and Helps to Reduce Passive-Aggressive Inertia and Sabotage

# 18: DEAL WITH THE FOUR “F’S OF LOSS AND CHANGE”

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# 19: DON’T RESIST RESISTANCE

Resistance Is Inevitable A Natural Function of Change Manageable

Resistance Is Not Necessarily Logical A Sign of Disloyalty To Be Taken Personally A Sign That the Change Project Is Out of

Control

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# 20: FACILITATE, RATHER THAN JUST TRAIN

Train Managers As Facilitators for the Change Helps Them to Demonstrate Active

Commitment to the Change Can Immediately Reinforce the Training on

the Job Trainers Are Generally Not Held Accountable

for Achieving Results Development and Delivery Are Much Less

Important Than Group Dynamics and the Perception That Leadership Is Interested

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# 21: USE A VARIETY OF MEDIUMS TO BUILD COMPETENCY IN THE CHANGE

Study Groups “On-the-Dash” Coaching Web-based Classroom Training

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# 22: RECOGNIZE EVERY PERSON IS A CHANGE AGENT

Educate Leaders of the Change As Well As the Targets of Their Roles in the Change To Be Open to Change To Anticipate Change, Not Just React to It To Accept That Change Causes Stress and to

Developing Coping Mechanisms

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# 23: CHANGE AGENTS MUST BE ABLE TO WORK WITH POLAR OPPOSITES

Simultaneously Pushing for Change While Allowing Self-learning to Unfold

Being Prepared for a Journey of Uncertainty Seeing Problems As Sources of Creative Resolution Having a Vision, but Not Being Blinded by It Valuing the Individual and the Group Incorporating Centralizing and Decentralizing

Forces Being Internally Cohesive, but Externally Oriented Valuing Personal Change Agency As the Route to

System Change

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FINAL THOUGHTS

“The Ultimate Measure of a Man Is Not Where He Stands in Moments of Comfort,

but Where He Stands at Times of Challenge and Controversy”

(Martin Luther King, Jr.)

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AGENDA

What is Change? Two Sides of Change People Oriented Change Organizational Change Managing Resistance to Change Tools for Change The Best Practice of Change Antam’ Experience

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THIS IS THE END….. OF THE BEGINNING?

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Questions and comments, please…

Thank You, and Good Luck…..

[email protected]

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