Defining the Value of Change Management With poll outputs from webinar attendees – July 19 & 20, 2017 Tim Creasey Prosci Chief Innovation Officer [email protected] www.linkedin.com/in/timcreasey
Defining the Value of Change Management
With poll outputs from webinarattendees – July 19 & 20, 2017
Tim CreaseyProsci Chief Innovation [email protected]/in/timcreasey
© Prosci. All Rights Reserved. 2
Foundation of Change Management
Agenda
Foundation of Change Management
SellingPink’s ABCs
Value Proposition
Context
Foundation of Change Management
SellingPink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
© Prosci. All Rights Reserved. 3
Currentstate
Transitionstate
Futurestate
Technical Side
People Side
Design
Deliver
Develop
Embrace
Use
Adopt
ResultsOutcomes
Success
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
Successful Change Requires Boththe Technical and People Sides
© Prosci. All Rights Reserved. 4
The achievements of an organization
are the results of the combined effort of
each individual.Vince Lombardi
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
© Prosci. All Rights Reserved. 5
Current Transition Future
TC F
C C C C C
C C C C C
C C C C
C C C C C
C C C C C
T T T T
T T T T T
T T T
T T T T
T T T T T
F F F
F F F F
F F
F F F
F F F F
T
T
T
F
F
F
F
F
F
F
F
Requires individuals to reach their own future state
An organizational move to a future stateFoundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
© Prosci. All Rights Reserved. 6
= LowerROI
= Not What We Expected/Hoped For
= Less Benefit Realization
= Unachieved Improvement
F F
F F F
F
F
F
F
F
F
F
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
Failed individual change results infailed organizational change
“Swiss cheese”Future State
An email on Mondayfor training on Tuesday
for launch on Wednesday
is NOT the way to prepare and equip individuals to successfully change
M T W R FFoundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
© Prosci. All Rights Reserved. 8
Change management:
Preparing, equipping and supporting individuals through the change journeys
they experience as part of your organization
Capturing people-dependent project ROI
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
© Prosci. All Rights Reserved. 9
Leaders
Internal External
ProjectTeams
You are selling change
management
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
Why It Matters To You!
© Prosci. All Rights Reserved. 10
What WeARE NOT Selling
What We ARE Selling
Communications
Training
Assessments
Stakeholder Analysis
Magic in a bottle
Manipulation and Spin
Templates
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
© Prosci. All Rights Reserved. 11
What Success Looks Like
Buy-in Mindshare Approach Resources
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
© Prosci. All Rights Reserved. 12
old new
AlwaysBeClosing
AttunementBuoyancyClarity
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
Daniel Pink’s New Selling
© Prosci. All Rights Reserved. 13
Value Proposition
Value proposition framework from Michael Skok, Startup Secrets: Building a Compelling Value Proposition, www.entrecapitalist.com/resource/building-compelling-value-proposition. Used with permission.
A positioning statement that describes for whom you do what uniquely well
- Michael Skok
1. Target “buyer” 2. Their problem 3. Your solution 4. Better than the alternative
Foundation
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Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
© Prosci. All Rights Reserved. 14
SponsorSam
PMPatricia
SolutionSimon
What keeps them up at night?
What gets them up in the morning?
How do they define personal success?
What is their experience with CM?
Objections to CM?
Foundation
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Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
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Costs/Risks
Language
Probability
© Prosci. All Rights Reserved. 15
Poll: How often are you having to sell change management to each of these groups?
2% 2% 3%5% 5%
9%
13%19%
20%
33%
44% 34%
47%
30% 34%
0%
25%
50%
75%
100%
Executives andSenior Leaders
Project Managersand Leaders
SolutionDevelopers
Executives andSenior Leaders
Project Managersand Leaders
SolutionDevelopers
Always
Often
Sometimes
Rarely
Never
Always
Often
Sometimes
Rarely
Never
Always
Often
Sometimes
Rarely
Never
Poll results:Pin drop voting:
© Prosci. All Rights Reserved. 16
Priority is a function
of context.
Stephen R. Covey
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
© Prosci. All Rights Reserved. 17
An ounce of context is worth
a pound of isolated facts.
@daveElf
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
© Prosci. All Rights Reserved. 18
People don’t buy a quarter-inch drill bit, they buy a quarter-inch hole.
You’ve got to study the hole, not the drill. The drill is just the solution for it.
Theodore Levitt (Leo McGinneva)
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
© Prosci. All Rights Reserved. 19
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
CMROIX% of expected project benefits are directly tied to employees adopting and using the change; change management’s value is delivering that portion of benefits.
CMROIX% of expected project benefits are directly tied to employees adopting and using the change; change management’s value is delivering that portion of benefits.
SUPThe expected project benefits depend on how quickly (speed of adoption), how many (ultimate utilization) and how effectively (proficiency) employees do their jobs the new way.
CMROIX% of expected project benefits are directly tied to employees adopting and using the change; change management’s value is delivering that portion of benefits.
SUPThe expected project benefits depend on how quickly (speed of adoption), how many (ultimate utilization) and how effectively (proficiency) employees do their jobs the new way.
Costs/RisksThe expected project benefits are diminished by avoidable costs (inefficiencies) and mitigatable risks resulting from ignoring the people side of change.
CMROIX% of expected project benefits are directly tied to employees adopting and using the change; change management’s value is delivering that portion of benefits.
SUPThe expected project benefits depend on how quickly (speed of adoption), how many (ultimate utilization) and how effectively (proficiency) employees do their jobs the new way.
Costs/RisksThe expected project benefits are diminished by avoidable costs (inefficiencies) and mitigatable risks resulting from ignoring the people side of change.
Language All of the above… results, benefits, objectives, success, ROI
CMROIX% of expected project benefits are directly tied to employees adopting and using the change; change management’s value is delivering that portion of benefits.
SUPThe expected project benefits depend on how quickly (speed of adoption), how many (ultimate utilization) and how effectively (proficiency) employees do their jobs the new way.
Costs/RisksThe expected project benefits are diminished by avoidable costs (inefficiencies) and mitigatable risks resulting from ignoring the people side of change.
Language All of the above… results, benefits, objectives, success, ROI
ProbabilityThe expected project benefits are more likely to be achieved, on time and on budget, with effective change management according to industry data.
© Prosci. All Rights Reserved. 20
Project ROI CMROI
Project ROI
PeopleDependentProject ROI
(CMROI)
or
Directly connect CM impact to project results, benefits and objectives
No longer “resource for CM” – becomes “resource for
X% of project results”
Foundation
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Value Proposition
Context
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Prosci CMROI Baseline
© Prosci. All Rights Reserved. 21
For your project, estimate the percent of overall results and outcomes that depends on
employee adoption and usage:
How much are you investing (budget, people, energy) in driving and supporting employee adoption and usage:
depends onadoption
and usageinvested inadoption and usage
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
© Prosci. All Rights Reserved. 22
Gartner BPM SummitDec 12, 2014
Prosci Webinar Feb 11, 2015
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
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CMROI
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Costs/Risks
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Change management is how you capture people-dependent ROI
© Prosci. All Rights Reserved. 23
Poll:
Answer without a "%" and round to nearest 0 or 5.
For a project you are supporting now, what percent of the expected results and outcomes depends on people changing how they do their jobs?
© Prosci. All Rights Reserved. 24
CHANGE INITIATIVESDEPENDENT ON
ADOPTION AND USAGE
INVESTED INADOPTION AND USAGE
Foundation
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Value Proposition
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CMROI
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Now, think about a portfolio
© Prosci. All Rights Reserved. 25
Make the connection for your work
Think about a project you are currently supporting.
Identify…1. What are the results and outcomes
expected from this project or initiative?2. What percentage of those results and
outcomes are dependent on individuals doing their jobs a new way?
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
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CMROI
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Costs/Risks
Language
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© Prosci. All Rights Reserved. 26
How well are individuals performing compared to the level expected in the design
of the change?
How many employees (of the total population)
are demonstrating “buy-in” and are using
the new solution?
How quickly are people up and running on the
new systems, processes and job roles?
Speed of Adoption Ultimate Utilization Proficiency
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
The Human Factors that Determine the Financial Return or ROI
© Prosci. All Rights Reserved. 27
Poorly Managed Change Cash Flow Expected Cash Flow
Net
cas
h flo
w o
f pro
ject
per
iod
+
-
0
Time (periods)
Proficiency contributes to the “height” of each benefit, including the ongoing
benefit after implementation
The height of the benefit after implementation is finished is based
on ultimate utilization
The slope and shape are determined by speed of adoption
Foundation
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Value Proposition
Context
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CMROI
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Costs/Risks
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SUP Impact – Expected vs. Poorly Managed
© Prosci. All Rights Reserved. 28
Assumed With poorchange management
With effectivechange management
Speed of AdoptionX% ↓ ↑
Ultimate UtilizationY% ↓ ↑
ProficiencyZ% ↓ ↑
Resulting ROI f(X,Y,Z) ↓ ↑
Foundation
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© Prosci. All Rights Reserved. 29
Poll: Have you seen SUP (Speed of Adoption, Ultimate Utilization, Proficiency) impact project outcomes?
5%
4%
13%
38%
40%
0% 20% 40%
No
Yes, once or twice
Yes, occasionally
Yes, regularly
Yes, all the time
© Prosci. All Rights Reserved. 30
Think about a project you are currently supporting.
Identify… Definitions of speed of adoption, ultimate utilization and proficiency for your project. Specific assumptions for your project related to:
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
ProbabilitySpeed of Adoption Ultimate Utilization Proficiency
Make the connection for your work
© Prosci. All Rights Reserved. 31
Those who trust to chance must abide by the results of chance.
Calvin Coolidge
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
© Prosci. All Rights Reserved. 32
Costs Risks
Individuals
Project
Organization
The RE costs:REwork REdesign
REdo REscopeREtrain REtreat
Foundation
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Pink’s ABCs
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Context
Perspectives
CMROI
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Costs/Risks
Language
Probability
We apply change management tomitigate risks and reduce costs
© Prosci. All Rights Reserved. 33
Costs: Risks:
To the project if we do not manage the people side of change well
• Project delays• Missed milestones• Budget overruns• Rework required• Loss of work by project team
• Resistance – active and passive• Project put on hold• Resources not made available• Obstacles appear unexpectedly• Project fails to deliver results• Project is fully abandoned
To the organization if we do not manage the people side of change well
• Productivity plunges(deep and sustained)
• Loss of valued employees• Reduced quality of work
• Impact on customers• Impact on suppliers• Morale declines• Legacy of failed change• Stress, confusion, fatigue• Change saturation
To the organization if this change does not deliver the results we expect
• Lost investment in the project• Lost opportunity to have
invested in other projects
• Expenses not reduced• Efficiencies not gained• Revenue not increased• Market share not captured• Waste not reduced• Regulations not met
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
© Prosci. All Rights Reserved. 34
Poll: Identify some specific, concrete AVOIDABLE COSTS and MITIGATABLE RISKS your projects have incurred due to poor adoption and usage:
© Prosci. All Rights Reserved. 35
Poll: Identify some specific, concrete AVOIDABLE COSTS and MITIGATABLE RISKS your projects have incurred due to poor adoption and usage:
• Abandoning of Service/Tool• abandonment of truly good change• additional project costs• additional training• Additional training• Additional Training• additional training• additional training• Additional training• Additional training = additional time
and costs• additional travel• Alienation of team members• and most importantly me• Anger• Attrition• attrition• Audit Findings• backflips• bad attitudes• bad data• bad data• bad decisions due to incomplete data• Budget cuts affecting project support
staff• Business Unit staff frustrated• Buy another technology solution
• buy new technology - over and over• Cancel project• change calendars• change in system• change overload• Change requests• change taking 2+ years of delay• changing requirements• Changing timelines• company• company cash flow• conflict• conflict within teams because some
have adopted and others haven't• confusion• Confusion• Confusion at end user level• Contract delay penalties• Contracting/Legal Agreement
complications• Contractual penalties• cost of a new technology tool• creating shadow systems and all
maintenance costs for those• Creation of silos between teams• Culture of cynical users• customer
• customer dissatisfaction• Customer Pissed off• cycle of project failures• cycle of rework• cynical employees• cynics• Data quality impacts• declining morale• Decreased confidence in management• delay• Delay to cease contracts and use of
legacy system• Delayed implementation• Delayed results• Delayed rollout• delayed timeline• Delays• Delays• Delays• delays• Delays• disengaged associates• disengagement• Disengagement of stakeholders• dissatisfied customers• dissatisfied customers• distrust
• distrust• distrust in leaders• Domino effects on other projects• double license fees for legacy and new
system• Duplicate / conflicting processes and
procedures creating ambiguity and duplication of work
• egg on CIO face• employee disengagement and lack of
adoption• employee engagement• Employee engagement• employee experience - frustration• employee loss• employee resistance• employee retention• employee retention• Entire overhaul of UI• Excess time spent on task - unnecessary
processing• extended contracts• extended project schedules• Extended project schedules• extended utilization post
implementation
© Prosci. All Rights Reserved. 36
Poll: Identify some specific, concrete AVOIDABLE COSTS and MITIGATABLE RISKS your projects have incurred due to poor adoption and usage:
• extra cost to study the issue• Extra time spend training customers• failed efforts• Failed project results - ultimately audit
failures• Failed projects• Failure to deploy a major CRM
implementation.• failure to provide accurate details• Fear of new systems• Fines• frustrated employees• frustration• Frustration• Frustration• Frustration• Further organizational 'scar tissue'• going back to the drawing board• go-live delay• Had to scrap the entire EMR systems
and replace it with an entirely different (and more costly one).
• halting project and reworking training• Have to replace the entire software
with a new one• Here we go- another project yet again-
we had enough
• Hi Mom• High turnover• 'hypercare' costs - longer project
schedule and costs• Identification of the gaps.• impact to customer• inconsistent ways of working• incorrect information• increase on expenses• Increasing resistance from users• initiative failure• involving people• Kleenex - because people are crying. :(• lack of comprehension of roles and
responsibilities• lack of transparency• lack of trust from end users of tool• Lack of updated data• Lengthened time to ROI• Longer delivery to market• Lose the audience of change• losing excellent employees• Losing key team members• losing resources• loss of credibility• loss of credibility and trust• Loss of efficiency
• loss of institutional knowledge to support change when people resign
• Loss of key accounts• Loss of key high performing talent• loss of key talent• Loss of moral• loss of productivity• Loss of productivity• loss of staff• loss of talent• loss of time• Loss of time and money• Loss of trust for future changes• loss of trust in company• Losses due to incorrect handling of
invoices• Lost clients• lost customers• Lost market value due to
misunderstanding of new products• Lost time• Lost trust• Lots of rework• low adoption• low adoption level• Low morale• Low morale
• Low morale• Low morale• low morale as staff don't know how to
use system• lower morale• Lower traffic because managers
delayed adoption of social media• mail management• Managing resistance during training• miscommunication• miscommunication and rumors• mis-integration• Missed implementation date• Missed implementation dates• Missed requirements• missed target ROI• missing key milestone dates• missing revenue and GP goals• morale• Morale• morale• morale• morale• morale• morale degradation
© Prosci. All Rights Reserved. 37
Poll: Identify some specific, concrete AVOIDABLE COSTS and MITIGATABLE RISKS your projects have incurred due to poor adoption and usage:
• morale issues because of assumed layoffs
• morale of staff• More handholding• more training• Need to retrain the employees• negative comments• negative customer impacts• Negative employee morale• negative impact to reputation of the
project and/or those that have sponsored the change
• Negative impacts to future change• Negative impressions of program• New system not used• No result• no usage by intended audience• Not much engagements from sponsor• not sufficient training time• out of budget• Over cost - impact the initial budget• overtime• Overtime costs and additional resource
cost• overtime of nonexempt workers• people resigning• plummeted service levels
• Poor customer experience• Poor customer service• Poor customer service/deliver• poor marketing• Poor results and unhappy leader's• poor service offering• process change• productivity• productivity results not achieved• Project delays• project delays• project failure• proper engagements with sponsor and
stakeholders can help in mitigation of costs and risks
• pull out part of functionality - less delivered for more money
• pulling in consultants to help post-change
• re designed• re explaining• re implementation• re implementation• re planning• re train• re training• Re training because turn over
• re-assess• REboot• re-communicate• REcommunication costs "lot of
questions"• Redesign• Redesign• Redesign• redesign• Redesign• redesign• redesign• Redevelopment• Redevelopment of software• Redo the project• Redo!• Reduced confidence in future changes• reduced trust in process and project
team• Re-engineer• regret• Regulatory impacts• relaunch• remediation• reorganization• reorganization• reorganization
• repeated training• replace• replace resources• Replace with new system• Reputational Risk• Reputational risk; customer
dissatisfaction• rescope• Rescope• rescope project• Rescope work• Rescoping of project• re-sdlc• resentment• Resignation• Resignations• resignations• Resignations• resignations• resignations• Resistance• REsistance• Resistance• Resistance• resistance
© Prosci. All Rights Reserved. 38
Poll: Identify some specific, concrete AVOIDABLE COSTS and MITIGATABLE RISKS your projects have incurred due to poor adoption and usage:
• Resistance to future change• Resistance to future change because it
went so poorly this time• resistance when it didn't exist initially• Resources• resources had to be sent on other
projects due to project delays• resources undesignated• Re-start of projects• resubmission of insurance billing• retaining talent• retrain• retrain• Retrain• retrain• retrain• re-train• retraining• retraining• retraining• Retraining• Retraining• Retraining• Retraining• Retraining• retraining
• retraining• Retraining• retraining• Re-Training• Re-training• re-training• re-training• re-training of end users• revert• reverting• REview• Rework• Rework• rework• rework• rework• Rework• rework• rework• Rework• Rework• Rework• rework• rework• rework• Rework
• rework and late deliveries to customers• rework and resistance• rework training• rework training• Rework!• Reworks• Rogue solutions and shadow systems• Ruined relationships• salary• Salary costs• salary costs• schedule change• scope change• scope creep• Silos within integrator team• Skepticism• staff dissatisfaction• staff resign• staff turnover• staff turnover• Stagnant workers• Stakeholders not available• starting from square one again• talent• team• teamwork
• Terminations• time away from work to deal with
system errors• too many project managers on a
project• training• training• travel• Trust issues with leaders• turn over• turnover• turnover• Uncertainty• Underdeveloped Requirements• unfilled vacancies• Unnecessary software development• Unorganized Training• Unrealistic deadlines• Unused systems• using incorrect success measures• wasted man hours• Wasted Production time• Weak Sponsorship• What's in it for society• work disruption/stoppage
© Prosci. All Rights Reserved. 39
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
We apply change management tominimize negative consequences
© Prosci. All Rights Reserved. 40
Think about a project you are currently supporting.
Identify… Specific avoidable costs and mitigatable risks related to the people side of your effort.
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
Make the connection for your work
© Prosci. All Rights Reserved. 41
Context QuestionsLanguage
If you talk to a man in a language he understands, that goes to his head. If you talk to him
in his language, that goes to his heart.
Nelson Mandela
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
© Prosci. All Rights Reserved. 42
Communications
Training
Stakeholders
Resistance
Resilience
Assessments
Templates
Return on Investment
Benefit Realization
Results
Outcomes
Objectives
Sustainment
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
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Costs/Risks
Language
Probability
In the Words You Use
© Prosci. All Rights Reserved. 43
Mobilizing People
ResultsTo Deliver
Guiding people through personal change impacts Helping people maximally adopt and use
Success through people Helping organizations get to their desired state
Managing people side of change to drive results
Changing behaviors to achieve business needs
Individual transitions that generate org change
Better business outcomes through people
Faster ROI through leading people through change
Turn business objectives into behavior change
Structured process to produce results
Ensuring organization's objectives are met
Producing results
Benefits realization
Making change stick
Delivering people-dependent ROI
People side of change
Helping people to make a difference
Making things better for people
Identify and manage people risks
Making people willing and able to change
It means effectively moving people to success
Tools and process to move people through change
Moving people from current to future
Helping people get from a to b
Moving people from point a to point b
Navigating the undulating floor
Facilitating transitions with finesse and insight
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
© Prosci. All Rights Reserved. 44
Poll: Identify words you will STOP using when describing the value of change management
© Prosci. All Rights Reserved. 45
Poll: Identify words you will STOP using when describing the value of change management• Accountability• Accountability• accountability• accountable• Adaption• Adoption• adoption• adoption• adoption• adoption• Adoption• Agile• alignment• alignment• Assessment• assessment• Assessment• assessment• Assessment• assessment• Assessment• Assessments• assessments• assessments• assessments• attempt• Audit
• Benefit• better alignment• better training• Body language cues• bottom line• Building capacity• buy-in• buy-in• challenges• Change• change• Change• Change• change• change• change and
communications• change management• change management• Change Management• change management• change management• change management• change management• Change Management• Change management• Change Management
• change management• Change management• change management• Change Management• change management• Change Management• Change Management• Change management• change management =
communication plan• Change Managers• change/communication
plan• coaching• communicate• communicate• communicate• communicate more• communication• communication• Communication• Communication• communication• communication• communication• communication• communication
• communication• Communication• communication• Communication• Communication• communication• communication• Communication• communication• communication• communication• communication• communication• communication• communication• communication• Communication • Communication and
training• communication plan• communication plan• communication plan• Communications• communications• communications• communications• communications
• Communications• communications• communications• communications• Communications• communications• Communications• Communications• Communications and
training• creating awareness• Culture Change• delays• deliverables• development• Disruption• doesn´t want to change• Education and training• Email• engagement• engagement• engagement• engagement• essentially the parts ...
need to talk about ROI• executive sponsorship• fluff
• fluffy• getting buy in• human resources• impact• impact• impact assessment• issues• Issues• leadership• manage• manage changes• Manage people side of
change• Manage resistance• Manage resistance• Manage resistance• Management• management• management• managing resistance• meetings• method
© Prosci. All Rights Reserved. 46
Poll: Identify words you will STOP using when describing the value of change management• methodology• Methodology• Minimize resistance• Must• Necessary• necessary• Necessary • not able to change• people engagement• People management• people side• people side• plans• Please Do • prevent failure• Problem• problem• Process• process• Process• process change• program• Resilience• Resistance• Resistance• Resistance• Resistance
• resistance• Resistance• Resistance• resistance• resistance• resistance• resistance• resistance• resistance• Resistance• resistance• resistance• Resistance• resistance• resistance• resistance• resistance• Resistance• Resistance• Resistance• resistance• Resistance• resistance• resistance• Resistance and even
Change Management• resistance management
• resistance management• resistance management• Resistance mitigation• Resistance of user
adoption• Resisters• restructure• risk• Risks• Shift• soft• soft• Soft• Soft side• soft side• soft side• soft side• Soft side of benefits• soft skills• soft skills• solution• stakeholder• stakeholder• stakeholder• stakeholder analysis• stakeholder analysis• Stakeholder returns
• Stakeholders• stakeholders• stakeholders• stakeholders• stakeholders• Stakeholders• stakeholders• stakeholders• Stakeholders• stakeholders• Stakeholders• Stakeholders • strategy• strategy• support• Support• surveys• sustainability• talk with instead of talk to• templates• Templates• templates• Templates• things are going to be
different• to be / future state• Training
• training• training• training• training• training• Training• training• training• Training• training• Training• training• training• Training• training• training• Training• training• training• training• Training• training• training• training• Training• Training• Training
• training• training• training• Training• training• training• training• training • training • transformation• transparency• transparency• UAT• Undisciplined• Upskilling• usability• user adoption• Values• want• weaknesses• What's in it for me
© Prosci. All Rights Reserved. 47
Poll: Identify words you will START using when describing the value of change management
© Prosci. All Rights Reserved. 48
Poll: Identify words you will START using when describing the value of change management• accomplish• accountability• achieve• achieve expectations• Achieve results• achievement• achievement• actionable• adopt• adoption• Adoption• Adoption• Adoption• adoption• adoption• Adoption• adoption• adoption• Adoption & Usage =
Success• adoption = results• agility• avoiding costs• behavior• benefit• Benefit• Benefit• benefit• benefit realization• benefit realization• Benefit Realization
• benefit realization• Benefit realization• Benefit realized• benefits• benefits• benefits• benefits• benefits• benefits• benefits• Benefits• benefits• Benefits• benefits• Benefits• Benefits• benefits• benefits• benefits • Benefits Realization• benefits realization• Benefits realization• benefits realization• Benefits realization• benefits realization• benefits/results• better• Boost the investment• Bottom line• business case realization• Business growth
• business outcome• Business results• Business Transformation• business value• Buy-in• change management
metrics• change management
outcomes• changing hearts and minds• CMROI• CMROI• Collaboration• Communication• Connect• connect• cost benefit• culture• data• Deliver• deliver results• deliver results• deliver results• Deliverable• Delivering on our
outcomes• delivering results• Delivery of results• desired outcomes• difference it makes• discover
• Early adoption• easier• employees that are excited• empower• empowerment• Enable• engage• engage• engaged• engagement• engagement• engagement• engagement• expected outcome• Expected Proficiency• faster go to market• Future• future• giving results• greater efficiency• Hard facts• heart• help• help us understand• impact• Impact• impact• impact• impact• improvements• Increased acceptance of
usage• increased ROI• increased success through
people focus• innovate• innovation• innovation• intake• intent• Investment• investment• IRR• job satisfaction• Journey• KPI usage• leadership• leadership• let's do it together• maximize outcomes• measurable• Measurable Outcomes• Meeting Expectations• metrics• mobilization• mobilization• Mobilization and results• mobilize• Mobilize• Mobilize• mobilize• Mobilize and deliver
• mobilize deliver• mobilize people• mobilize people• mobilize people • Mobilizing people to
deliver results• Mobilizing people to
deliver results• NPV• NPV• objective• objectives• Objectives• objectives• objectives• Objectives• objectives & deliverables• outcome• outcome• Outcome• Outcome• Outcomes• Outcomes• outcomes• Outcomes• Outcomes• Outcomes• outcomes
© Prosci. All Rights Reserved. 49
Poll: Identify words you will START using when describing the value of change management• outcomes• outcomes• outcomes• outcomes• Outcomes• Outcomes• outcomes• Outcomes• outcomes• Outcomes and Results• Outlook• partnership• Payback Period• people• people power• People side of change• people side of change• People-dependent ROI• performance• Performance• performance• performance• proficiency• Proficiency• progress• Project success• project success• quick uptake• realization• realization• realized benefits
• result• Results• results• Results• results• results• results• results• Results• Results• results• Results• Results• results• Results• results• results• Results• Results• Results• results• results• Results• Results• Results• results• results• results• results• Results• Results
• results• results• results• results• Results• results• Results• Return of investment• return on investment• return on investment• Return on Investment• Return on Investment• return on investment• Return on Investment• Return on investment• Return on investments• Return on investments• risk• risk management• Risk Mitigation• ROI• ROI• ROI• ROI• ROI• ROI• ROI• roi• ROI• ROI• ROI
• ROI• ROI• ROI• ROI• ROI• ROI• ROI• ROI• ROI• ROI• ROI• ROI• ROI• ROI/ROE• savings• speed• Speed of adoption• Speed of adoption• speed of adoption• speed to transform• stewardship• Success• success• success• success• Success• success• success• Success• Success• success
• success• success• SUP• SUP• support• supporting business to
achieve• sustainability• sustainability• sustainability• Sustainment• sustainment• Sustainment• Sustainment• synergy• TCO• time to skill• together• transparency• trust• try• try• turnover• understand• Us• Utilization• Utilization• utilization• Value• Value• Value
• value• Value• Value• Value• value• Value• Value• value• value• Value• value• value• value add• Value outcome based
results• Value-added• we• We• we• Were results reached?• WIIFM• Win• work together• Working together to see
impact• You
© Prosci. All Rights Reserved. 50
Think about a project you are currently supporting.
Identify… Specific words and phrases you will START using and STOP using when describing the people side impact and value for your project.
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
Make the connection for your work
© Prosci. All Rights Reserved. 51
6xIncrease in likelihood of meeting objectives with excellent change
management
48%
62%70%
81%
0%
100%
Poor Fair Good Excellent
14%
32%
52%
71%
0%
100%
Poor Fair Good Excellent
15%42%
76%
94%
0%
100%
Poor Fair Good Excellent0%
100%
Poor Fair Good Excellent
Met or exceeded objectivesOn scheduleOn budget
Change Management Effectiveness
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
Prosci research shows that effectivechange management drives outcomes
© Prosci. All Rights Reserved. 52
Top performers:
143%
Worst performers:
35%
Percent of expected value of initiative eventually captured by company
From McKinsey “Helping Employees Embrace Change”http://www.mckinsey.com/insights/organization/helping_employees_embrace_change
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
McKinsey study shows that “effective change management pays”
© Prosci. All Rights Reserved. 53
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
Think about a project you are currently supporting.
Identify… The importance of meeting objectives, on time and on budget, for your project.
Make the connection for your work
© Prosci. All Rights Reserved. 54
Foundation
Selling
Pink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
Five perspectives with a punchy statement for each
CMROIX% of expected project benefits are directly tied to employees adopting and using the change; change management’s value is delivering that portion of benefits.
SUPThe expected project benefits depend on how quickly (speed of adoption), how many (ultimate utilization) and how effectively (proficiency) employees do their jobs the new way.
Costs/RisksThe expected project benefits are diminished by avoidable costs (inefficiencies) and mitigatable risks resulting from ignoring the people side of change.
Language All of the above… results, benefits, objectives, success, ROI
ProbabilityThe expected project benefits are more likely to be achieved, on time and on budget, with effective change management according to industry data.
© Prosci. All Rights Reserved. 55
Poll: Rank order each value perspective based on how useful it will be to you as you engage others around the value of change management.
41%28%
16% 13%2%
24%
20%
26%24%
7%
15%
15% 30%29%
11%
11%
16%
19%24%
30%
9%21%
8% 10%
51%
0%
25%
50%
75%
100%
CMROI Language SUP Costs/Risks Probability
Top rank – most useful
2nd rank
3rd rank
4th rank
Bottom rank – least useful
© Prosci. All Rights Reserved. 56
Foundation of Change ManagementConclusionsand Q&A
Foundation of Change Management
SellingPink’s ABCs
Value Proposition
Context
Foundation of Change Management
SellingPink’s ABCs
Value Proposition
Context
Perspectives
CMROI
SUP
Costs/Risks
Language
Probability
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