Change Management Skills Workshop

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Change Management Skills Workshop

• July 13, 2006

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Agenda

• Overview
• Stakeholder Analysis
• Strategies
• Integrated Planning
• Questions?

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Overview
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What is Change Management?

• From Wikipedia.org
• Organizational change management is the process
  of developing a planned approach to change in an
  organization.
• Typically the objective is to maximize the
  collective benefits for all people involved in
  the change and minimize the risk of failure of
  implementing the change. The discipline of change
  management deals primarily with the human aspect
  of change, and is therefore related to pure and
  industrial psychology.

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Bridges Transition Model

• From Dr. William Bridges, Ph.D., Transition The
  Personal Path Through Change
• Phase 1 Endings Every transition begins with an
  ending, a loss. When things change, people leave
  behind the way things were and the way they
  were in the previous situation. They may be left
  searching for a new way to define themselves.
• Phase 2 The Neutral Zone The neutral zone is a
  confusing in-between state, when people are no
  longer who and where they were, but are not yet
  who and where they're going to be. Although the
  neutral zone can be distressing, it also provides
  many opportunities for creative transformation.
• Phase 3 New Beginnings A new beginning can only
  happen after people have let go of the past and
  spent some time in the neutral zone. In this
  phase, people accept the reality of the change
  and start to identify with their new situation.

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FUD

• F EAR
• U NCERTAINTY
• D OUBT

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FUD The Consequences

• The most talented and marketable resources will
  opt for more certain employment (with someone
  else)
• Turnover will be higher
• It will be difficult to attract new talent to the
  organization
• Personal productivity will be impacted
• Business as usual and transition work will get
  mixed up loss of focus on both
• Lines of authority and job responsibilities will
  become blurred
• Communications will become reactive countering
  misinformation
• The outside world will know about the FUD

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FUD The Strategy

• Acknowledge that not everything is known or
  decided
• If you dont have the answer to the question,
  know how and when you will
• Know how everyone will be involved in the process
  of creating certainty
• Have a solid plan and demonstrate that you are
  following it to build confidence
• Counter balance FUD with visible competent
  leadership

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The Planning Process

• Stakeholder Analysis
• Develop Strategies
• Staffing Strategy
• Communications Strategy
• Change Management Strategy
• Develop Integrated Project Plan
• Execute

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Stakeholder Analysis
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Stakeholder Analysis Process

1. Identify Stakeholders
2. Analyze Needs and Wants
3. Identify Barriers to Change
4. Best Means for Communication
5. Ideas for Participation and Leveraging their
   Skills and Knowledge

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Use a Simple Table
Stakeholder Needs and Wants Barriers to Change Best Means Ideas for Participation




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Merger Scenario

• You are the owner of a privately owned business
  in Halifax with a significant market share in
  Ontario, Quebec and Atlantic. You have worked
  out a deal with a Calgary based company with
  products in the same sector (but not a
  competitor) to merge into a Canada-wide public
  company. There are about 200 employees in each
  company. Your operations overlap in the Ontario
  and Quebec markets, each with sales and
  distribution offices in Toronto, London,
  Montreal, and Quebec. Your primary assumptions
  for this merger are to increase market share for
  each product line while at the same time
  improving costs by consolidation of some assets
  and reduction in overheads. You expect some
  reduction in total staff at first but you
  anticipate that the new company will grow at a
  rate of at least 10 per year after the merger is
  complete.

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Who are the Stakeholders?

• Executive Management
• Management
• Employees
• Customers
• Shareholders
• Distributors
• Retailers

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Exercise One Stakeholder Analysis

• For your assigned Stakeholder group complete the
  analysis
• Analyze Needs and Wants
• Identify Barriers to Change
• Best Means for Communication
• Ideas for Participation and Leveraging their
  Skills and Knowledge

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Strategies
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Staffing Strategy

• Are there going to be jobs lost? If so, how many?
• How will you decide who gets the jobs in the new
  organization structure?
• Who will decide if I am going to get fired or
  not?
• When and how will I know what is going to happen
  to me?
• If I get to stay will my pay and benefits change?
• What happens if I get fired?
• How will I know that you are going to treat me
  fairly?
• Who do I go to if I have questions about my
  employment?
• Could my job be moving to another city? If so,
  will you help me move?
• How will you reduce the risk of constructive
  dismissal and legal challenges?

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Communications Strategy

• Why is this happening?
• What are the benefits that you hope to achieve?
• Where can I go to find out more information about
  the changes?
• What means will you be using to communicate this
  to all the stakeholders?
• What are the key messages that everyone needs to
  know by heart?
• When and how often will you be providing more
  information?
• What role will leaders play in the communications
  plan?
• How will stakeholder feedback be gathered?
• How will the effectiveness of your communications
  be measured?
• What protocol will be used with external media?

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Change Management Strategy

• How will you come up with the new organization
  structure?
• How are you going to figure out what changes will
  be made to our business processes?
• What resources (financial and human) will be
  required to do the transition work?
• How will I keep day to day operations humming
  while all this is going on?
• What expertise will I need that I dont have to
  carry out the transition?
• Which systems will we be using to run the
  organization going forward?
• How will you help me to learn the skills I need
  to do my new job?
• Who will be training me?
• When will I stop doing my current job and move
  into my new role?
• How can I learn more about the overall changes
  that are occurring?
• Will I get a chance to participate in the
  development of the new roles and processes?

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Exercise Two Developing Strategies

• Group 1 Staffing Strategy Come up with a
  Strategy for how jobs will be filled in the
  resulting organization
• Come up with alternatives
• Pick the one that makes the most sense for the
  scenario
• Group 2 Communications Strategy Develop 2 Key
  Messages
• Come up with what you think will be the most
  frequently asked questions
• Choose 2 and develop key messages for each
• Group 3 Change Management Strategy Come up
  with a strategy to determine the location(s) of
  Head Office functions for the combined
  organization
• Come up with alternatives
• Pick the one that makes the most sense

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Integrated Planning
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Integrated Planning

• Why integrated planning?
• Systems facilitate communications
• Communications facilitate participation
• Participation enhances training
• Business processes, systems and job descriptions
  are intertwined
• External stakeholders will notice as soon as the
  left and right hands are not acting together

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Achieving Integrated Planning

• Have a cross company Executive Steering committee
• Have a dedicated Project Team to lead the
  transition
• Provide project management support to management
  through the dedicated project team
• Have HR and Communications as key members of the
  Executive Steering Committee and the Project Team
• Identify milestones and key indicators and report
  on them regularly

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Questions?
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Thank You