Evolution of Change Management in Delaware. Change Management Discussion In the Past In the Beginning Current State Lessons Learned Future of Change Management.

Evolution ofChange Management in

Delaware

Change Management Discussion

• In the Past• In the Beginning• Current State• Lessons Learned• Future of Change Management

• 1999 – PeopleSoft Human Resource Version 6.02

implemented • Benefits Administration & Payroll — Unsuccessful

– Rolled back to Mainframe Legacy System

• 2000– Pulled plug on SAP Financials Implementation

Various False Starts

Birth of Change Managementwith PeopleSoft HCM

• Successful HCM (V 7.51) – July 2001

• Change Management Team formed– Strategy developed– Prepared (readied) State

Organizations– End-User training (1300+)

• Successfully Upgraded through v. 8.8

Lessons Learned fromFalse Starts

• High – level commitment• Acquire “Best of the Best” state resources• Avoid modifications – re-engineer 1st • Visionary Change Management • Production support plan

• 42% Leadership• 27% Organizational & Cultural

Issues• 23% People Issues• 4% Technology Issues• 4% Other• Organizational issues left unchecked

often lead to project failure

Why ERP Implementations Fail

Source: Organization Dynamics, Jim Markowsky

Managing-Planning Process

Review

• Existing Business Processes• Existing Forms• Existing Policies• Existing Procedures• Master Readiness Tracking

Spreadsheet• Functional Impacts• Hardware/Software

Requirements

Comprehensive Change Management Plan is

Developed

Identify and Recruit•Individuals to act as coordinators for project implementation•Hold CM Team Kick-off Meeting

Document

• Process Changes• Functional Impacts

Create

• Master Readiness Tracking Spreadsheet

• Change Management Project Plan

Determine

• Sponsor Model• Avenues for communication that

will be used• Timing, audience, method, topic

for important communication

Change Management Tools

• Organizational & Project Attributes Assessment

• Project Readiness Assessment• Stakeholder Analysis• Sponsor Roadmap• Readiness Methodology

– Change Management Standards Communication Standards– Reporting/tracking standards– Control Book

• Measures of Success/Lessons Learned

Managing Organizational Change

• Tracking, Measuring, and Reporting– Functional Impacts Spreadsheet

– Master Readiness Tracking Spreadsheet

– Readiness Checklist

– Checklist Summary

– On-site Tracking Station

– Project Status

– Executive Sponsor Reporting

Change Management Processes

• Prepare with the project team– Assess change/culture– Develop/educate team

• Manage the strategy– Develop and manage the plan– Track/report readiness– Develop the training strategy

• Reinforce/Support– Celebrate success– Analyze feedback and prepare to manage

resistance

How to get it Done

The Team Structure

ExecutiveSponsors

Project TeamChange Management

Project Lead

Communications Coordinator

Change Management

Coach

Change Management

Coach

Change Management

Coach

Change Management

Coach

Gre

en

Team

Yellow

Team

Blu

e

Blu

e

Team

Team

Red

Team

. .

..

. .

. .

..

. .

ProjectDirector

CM Team Structure

Supervisors

PartnerGroups

Business Owners

MGRs

End-Users

PM Team

Sponsors

CM Team

Change Management as Communications Hub

ComfortComfort

UnawareUnawareDenialDenial

AnxietyAnxiety

InsightInsight

What is happening?

What’s in itfor me?

What will I do differently tomorrow?

How do I prepare?

How do I staymotivated?

Organizational Change Phasesand Communication

Who/What?

• Why is this system necessary?

• Align the change with the mission/vision and strategic direction of the organization

• Offer a broad overview of how the organization will transition – what & when

• Present the benefits

• Identify business risks of not changing

• Make sure the organization knows this will happen – not an option

Senior Executives

The change and impact on the organization

Who/What?

• Provide the ‘what's in it for me’ information – how will roles change?

• How will I get the training to do my new job (will I be able to do the job)?

• Ask for employee’s ideas/suggestions for implementing the change

• Provide timely & and accurate status

The change and the impact on the individual

ManagersSupervisors

“Readiness”

Preparing/Tracking/Reporting

Readiness Methodology

All Project Teams

INPUT

Functional Impacts

Successful System Implementation

End Users

Readiness Checklist

Master Readiness Tracking Spreadsheet

Functional Impacts Documentation

End-User Identification & Skills Inventory

• End-User Inventory

– End-User Identification

– Manager/Supervisor Identification

– Skills Gap Analysis

– Identify IT Support Personnel and Technical Specifications

End-user Inventory1st

End-user Identification and Demographic Information

2ndSkills Inventory

3rd IT

sppt.

Executive Sponsor Reporting

• Customized Coaching Plan• Prepare managers and

supervisors to coach their employees through the change

Coaching Plan

Transition Process

Transition

Develop• Transition Plan

Train• Organization resources

Transition Ownership to Business Owner

• Knowledge Transfer Plan– Identify required skills by project team role– Assess current skills– Develop an agreed upon action plan

and milestones– Re-assess semi-annually for life of project

Current State

Delaware’s Business Structure

• State of Delaware– 73 Organizations

• 35 State Agencies

• 19 School Districts

• 17 Charter Schools

• 2 Higher Ed Institutions

– 342 Business Units

• 38,000 EEs• 12 Unions Represented

– 37 Different Locals

Current State of Delaware’s

ERP

ERP Systems In Progress Implemented

PeopleSoft HCM V8.8 (HR/BA/PR/TL) X

eBenefits X

PeopleSoft HCM

V8.9 X

FMLA V8.9 X

Components of Pay V8.9 X

PeopleSoft FSF V 8.9

12 Modules X

Change Management Lessons Learned

Planning for Major Projects Planning for Major Projects (ERP)(ERP) is a Critical Success Factoris a Critical Success Factor

Addressed Primarilyby OrganizationalChange Management

Type

TypeTypeType

Type

Type

People

Process Technology

Addressed Primarilyby BusinessProcess Redesign

AddressedPrimarily

by Package

People and process issues are sometimes overlooked in planning for this type of project. They need to be addressed for the project to be a success.

Project Management

Project Initiation

Project Planning

Project Executing

Project Controlling

Project Closing

Change Management

Managing Change-Planning

Managing Change-Execute

Preparing for Change

Monitoring Change

Transition

Process Integration

AchievingSuccessful Organizational Change

1. Dedicate resources to Organizational Change Management

2. Secure visible executive sponsorship early in the project

3. Repeat key messages early and often

4. Involve State organizations in the change process

5. Create a transition strategy with achievable timeframes

Monitor Change

Survey End Users• Post implementation

– Three months– Six months– One year

• Complete control book– Lessons learned tracking– Survey results– Training and meeting evaluations– Help desk call analysis– Checklist statistics

• Celebration & Recognition!!!

–Milestones/successes

–Implementation success

Reinforcement

Change ManagementIn the Future…

• Focus of all Major Projects Statewide

• Utilize Change Management for Benchmarking Initiatives for ERP– Setting the Stage for Shared Services

• Centralized Fixed Assets• Start Slow for Centralizing AP

– Analyze Drivers For Process Change

• Use for ERP Production Support

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Please Contact

Pam Waters, Delaware Change Management Coordinator

[email protected]

Phone: 302-739-9815

Delaware Change Mgmt Standardshttp://dti.delaware.gov/majorproj/standards.shtml