Realizing Organizational Change

1
Realizing Organizational Change
November 30
2
Todays Agenda

• Speaker Introductions
• Review of an Actual Case Study and Key Lessons
  Learned
• Realizing Organizational Change

"Some cause happiness wherever they go others,
whenever they go." - Oscar Wilde (1854-1900)
3
Our Objectives Today

• Using an existing case study from a recent
  Colorado state project, we will look at key
  lessons learned.
• Our emphasis is to help you succeed in
  implementing technology solutions by making sure
  the organization is suited for the change.

"It has become appallingly obvious that our
technology has exceeded our humanity." - Albert
Einstein (1879-1955)
4
Speaker Introductions
William Browning
Michelle Pedersen
Julie Williamson

• Principal with the North Highland company.
• Lead for North Highland government services.
• Nearly 15 years experience with large system
  implementation, methodology development, and
  organizational change management.
• Recently managed organizational transformational
  project for a Colorado state government Division.

• Director of Human Resources Department of
  Regulatory Agencies
• 16 years government HR Management experience
• Significant experience leading public sector
  reorganization and business re-engineering
  projects
• 15 years developing and delivering training and
  workshops
• Industrial/Organizational Psychology Degree

• Senior Manager with the North Highland company.
• Nearly 15 years experience with IT system
  development, implementation, and maintenance
• 5 years experience in organizational development
  and design, especially related to IT
• PhD in progress, Organizational Development

Qualifications
5
Case Study Overview

• The Division is responsible for licensing and
  compliance activities.
• The Division decided to upgrade the core system
  that provided most business transactions and
  reporting functions.
• Division leadership was not sufficiently engaged
  in the implementation planning and execution.
• This was a completely new system and was a
  transformation from an existing legacy system.
• The Division decided to use current state
  business process documents and had not completed
  an organizational assessment prior to initiating
  the process.
• The understanding of additional statutory and
  possible external impacts was not included in the
  system planning.
• The goal was to update system performance by
  using off the shelf software.

6
The Elements for a Perfect Storm
Poor Organizational Structure
Despite a strong IT group, it could not overcome
the business issues
7
The Result

• Business operations failed to provide licensing
  services to the public.
• Data integrity issues resulted in expiration of
  valid licensees.
• Investigators were not able to efficiently track
  caseload.
• Key staff members started worrying about the
  system instead of core operations.
• Staff morale fell as vacations are cancelled and
  hours become longer.
• Despite heroic efforts by the staff, significant
  backlogs started to appear.
• Under distress, Division leadership began to
  minimize the extent of backlogs and issues.
• The media began to report on the issues within
  the Division.

8
Case Study Execution Actual vs. Ideal
Actual Implementation
Organization First What if?

• There would have a change in leadership and
  structure.
• Major organizational and process issues would
  have been revealed.
• Key gaps with current functionality would have
  been better understood.

• Technology selected from RFP based upon legacy
  system and existing business processes.
• Requirements largely defined in the RFP Process.

Select Technology
Assess Organization and Process

• The new organization would have been more
  prepared to deal with the new system.
• More willingness to build future state processes
  and reduce ineffective processes.
• External factors would have been considered.
• More qualified staff would have been involved in
  the implementation.

• Technology implemented in aggressive timeline.
• Distributed Project Management
• Key experts not identified.

Implement Solution
Transform

• Team members do what is necessary to survive.
• Staff morale plummets
• Staff start hating the system.
• Customers become outraged and vocal.

• The project would have been more successful.
• Most data integrity issues would have been
  avoided.
• Customer impacts would have been marginalized.
• Business operations wouldnt be at risk.
• Customers wouldnt be significantly impacted.
• Staff morale would be much better.

Survive
Implement
9
The Other Piece of the Equation

• Fourth project in three years
• Different Divisions and Management
• Wholly separate systems
• Diverse approaches
• Why me?
• Profound commonalities

10
Common Themes

• GIGO Organizational Readiness
• Partnering
• Project opportunity
• Goals and perspectives
• Defining project success
• Role of consultant/vendor
• If you need to be told, you shouldnt be
  managing anything anyway.
• Random Blogger Project Management 101

11
Perception of Goals and Purpose
Perceptions of employees
Reconciling Realities

• What is the goal and purpose?
• Information Technology Enhancement/Project Give
  vendors and consultants work
• Opportunity to better align the
  division/department with the real and now
  mission and system?
• Improve and update operations of and services
  provided by the division/department.
• Create an organization that fulfills the
  statutory mission AND challenges and recognizes
  the workforce.
• Get the state with the 90s.
• Depends on who you ask.
• All of the above.

This really isnt going to happen If you
ignore it, or dont buy-in it will go away.
Exercise your rights If you threaten to grieve
or appeal, theyll go away.
This isnt possible in government. The
personnel system prohibits it!
If it aint broke, dont fix it. Whats wrong
with doing it the way weve always done it?
Whats the real reason? This is a total cover-up
for a lay-off or for me to be downgraded or have
my pay reduced.
Although common, these perceptions are never
accurate!
12
A View From The Top
Organizational Perspective
Individual Perspective
vv

• Detach from the current.
• Ask questions/clarify roles
• Wear big picture glasses.

• What does it look like?
• Visible and Visual
• Go big or go home!
• Usually for worse reasons.

New Business Model
Understanding Direction of Organization

• Patience and Persistence
• Forward Focus
• Use Subject Matter Experts
• Match roles with competencies

• Completely detach from the current.
• Ask the right people questions.
• Communication control

Job Descriptions and Functions
Listen

• Identify stars/skills sets
• Identify toxins
• Identify baggage
• Work WITH them/transition.

• Alternatives
• Honesty
• Accountable

People
Engage or Disengage
13
The Seven Cs - Lessons Learned

• Communicate - Carefully and Credibly
• ltwhogtltwhengtlthowgtltwhatgt
• Compartmentalize Portion control and
  priorities
• Clarify - What does this mean for ME?
• Connecting People and Project
• Comfort zones
• Consultants
• Celebrate Success/Chocolate

14
The Secrets

• It is easier said than done, but the right
  thing to do.
• Personalities will SHINE!
• All individuals will become personnel rules
  experts.
• Stress, panic and tears will be the mood du
  jour
• Expect the unexpected
• EVERYONE needs help with change management

15
Tips to Realizing Organizational Change

• Change can and should be planned and managed as a
  project, or a component of a larger program for
  success
• The change program can encapsulate key areas not
  considered by technical/development focused
  teams
• Training and education
• Process analysis, design, and redesign
• Organizational alignment and design
• Communication planning
• Others that may be specific to your organization

Plan Change
Prepare for Change
Reinforce Change
Launch
16
Tips to Realizing Organizational Change - Planning
Change Strategy and Plan Have a clearly
documented plan, dont take an as needed
approach. Describe the overall objectives and
approach for managing change during the project
along with the tools and techniques that will be
employed. Use information from an assessment of
change characteristics and organizational
attributes to identify areas of particular risk.
Plan Change
Prepare for Change
Reinforce Change
Launch
17
Tips to Realizing Organizational Change -
Preparation
Change Preparation Use tools to help prepare for
the change communication plans, organizational
assessments, process assessments, training plans,
etc. Prepare in tandem with the development
effort so you dont get out of synch with changes
to scope or timing.
Plan Change
Prepare for Change
Reinforce Change
Launch
18
Tips to Realizing Organizational Change
Change Launch Assess the organizational readiness
for the launch. Test for communication, training,
operational structures, etc. If parallel
processing is required, determine your plan for
how to help the individuals left behind on the
old system how will they be trained, supported,
and so forth? Have a communication plan ready if
the effort has to be backed out.
Plan Change
Prepare for Change
Reinforce Change
Launch
19
Tips to Realizing Organizational Change
Reinforce Change

• As new systems are implemented, the organization
  naturally changes.
• The change program must be flexible enough to be
  continuously improved on, allowing for
  reinforcement of the foundation of the change by
  addressing issues, concerns, resistance, and
  effectiveness.

Plan Change
Prepare for Change
Reinforce Change
Launch
20
Key Questions Which Should Be Asked

• When was the last time the organization was
  assessed?
• When was the last time the organization
  implemented a system?
• Who are the qualified representatives who really
  understand the business processes?
• Are future state processes understood and
  documented?
• How effective is the organizational leadership -
  how are major decisions going to be made?
• Who is going to be most affected by the system
  implementation? HOW?
• Is the organization ready for the change or
  resistant?
• Is there a plan to ensure business operations are
  not critically wounded with the new system?
• Ask Question 6 again and again through the
  implementation.

21
Summary

• Fact 1 Investing in Change Management from the
  start saves time, money, and resources in the
  end.
• Fact 2 Change Management pieces are the first to
  go when budgets get tight.
• Fact 3 When you cut out change management, the
  likelihood of success is exponentially lower.
• Fact 4 If the project ultimately fails, you
  havent saved any time, money, or resources at
  all.

Remember Any vendor can make their software run
in virtually any environment. Most need help
making their software work for an organization.
22
Questions?