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Transition & Change Management Presentation

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Transition & Change Management Presentation

  1. 1. IT PM Lunch Training Business Transition & Change Management Introduction Alex Ragan
  2. 2. Agenda  What is Business Transition Management  Why Business Transition Management Matters  PROSCI Change Management Model  Project Management vs. Business Transition Management  3 Phases of Business Transition Management  Roles of Business Transition Management  Alex’s Key Take-Aways
  3. 3. What is Business Transition Management  “The process, tools and techniques to manage the people side of change to achieve the required business results” PROSCI – Change Management Learning Center 2014  Not to be confused with “Change Management” that is focused on scope, resource, schedule, design “change” recent discussed.
  4. 4. 1st communication or 1st rumor Increasingresistance Decreasingproductivity Time Worry / uncertainty Comfort / security Risk / flight Prosci® Flight Risk Model 4 4 • People are naturally change adverse. • With any change, you can expect a decline in productivity and an increase in resistance. • CM helps remove barriers and shepherd the people through the process of change When Change Is Managed Well
  5. 5. 1st communication or 1st rumor Increasingresistance Decreasingproductivity Time Worry / uncertainty Comfort / security Risk / flight Prosci® Flight Risk Model 5 5 When There Isn’t Business Transition Management • The reality is that change creates instability and introduces risk to the organization. • People’s personal and professional lives play a role
  6. 6. 1st communication or 1st rumor Increasingresistance Decreasingproductivity Time Project 1 Project 3 Project 2 Prosci® Flight Risk Model When There Is To Much Change • Multiple changes within the organization aggravate and compound this risk. • People and organizations have limits on how much change can be successfully absorbed at any one time
  7. 7. 1st communication or 1st rumor Increasingresistance Decreasingproductivity Time Dept. A Dept. B Dept. C Dept. D Prosci® Flight Risk Model • The degree of adverse impact will vary by group • Long term goal is to develop an organization adopts a common change language and embraces change as part of their DNA and Organizational Culture Plays A Role
  8. 8. Building Blocks of Transition Awareness Awareness of the need for change Desire Desire to participate and support the change Knowledge Knowledge on how to change Ability Ability to implement required skills and behaviors Reinforcement® Reinforcement to sustain the change Prosci® ADKAR® Model ADKAR and “Awareness Desire Knowledge Ability Reinforcement” are a registered trademarks of Prosci, Inc. All rights reserved. © 2012 Prosci and Bill Cigliano 8
  9. 9. People Adopt Change At Different Rates A D K A RPerson A A D K A RPerson B A D K A RPerson C A D K A RPerson D A D K A RPerson E A D K A RPerson F A D K A RPerson G A D K A RPerson H A D K A RPerson I
  10. 10. Project Name Purpose Particulars People If people don’t change how they do their job, then it doesn’t matter what specific changes are implemented If people don’t change how they do their job, then we ultimately won’t achieve what we set out to from the beginning The ‘people side’ side of change is key to project and organizational success Why Business Transition Management Matters
  11. 11. 16% 46% 77% 96% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Poor (n=244) Fair (n=653) Good (n=834) Excellent (n=165) Percentofrespondentsthatmet orexceededprojectobjectives Overall effectiveness of change management program * Data from 2007, 2009, 2011 and 2013 Copyright © 2014 Prosci. Best Practices in Change Management – 2014 Edition. Correlation of change management effectiveness to meeting project objectives Benefits of Business Transition Management
  12. 12. 48% 63% 71% 81% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Poor (n=258) Fair (n=737) Good (n=1001) Excellent (n=180) Percentofrespondentsthat wereonorunderbudget Overall effectiveness of change management program * Data from 2007, 2009, 2011 and 2013 Copyright © 2014 Prosci. Best Practices in Change Management – 2014 Edition. Correlation of change management effectiveness to staying on budget Benefits of Business Transition Management
  13. 13. 16% 32% 54% 72% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Poor (n=293) Fair (n=793) Good (n=1032) Excellent (n=181) Percentofrespondentsthatwere onoraheadofschedule Overall effectiveness of change management program * Data from 2007, 2009, 2011 and 2013 Copyright © 2014 Prosci. Best Practices in Change Management – 2014 Edition. Correlation of change management effectiveness to staying on schedule Benefits of Business Transition Management
  14. 14. PROSCI Model For Change  Based on client interactions.  A framework that describes the elements needed for initiatives to be successful.  Projects are at risk if any one of the three elements is missing. Prosci® PCTTM Model The Prosci® Project Change Triangle (PCT) is a trademark of Prosci, Inc. All rights reserved.  Leadership / Sponsorship provides guidance and governance  Project Management gives structure to the technical side of the change  Change Management supports the people side of the change All three elements must be present for project success
  15. 15.  Project management is the set of processes and tools applied to business problems or opportunities to develop and implement a solution.  One of the key components is having a change defined – you must know what is changing (processes, systems, job roles, organizational structure, etc.) in order to manage that change effectively.  Project management involves understanding the tradeoff between the time, cost and scope of change that can be achieved.  Finally, project management is the application of the discipline called 'project management' that is a structured approach for managing tasks, resources, and budget in order to achieve a defined deliverable. Successful changes apply project management tools and processes to their initiatives. Prosci® PCTTM Model Project Management Focus
  16. 16.  Change management is the application of a set of processes, tools and practices that are used to manage the people side of a change. Change management is the bridge between “implementing a solution” and an organization ultimately realizing the benefits associated with the change.  Change management requires two perspectives – an individual perspective (how people experience change) and an organizational perspective (how groups can be managed through a change).  Change management is the process of helping employees transition from the current state to the future state (as defined by the change) in a way that minimizes productivity loss, negative customer impact and employee turnover, while at the same time maximizes the speed of adoption and ultimate utilization of the change throughout the organization.  Tools like communication, sponsorship and coaching are used to help employees make their own individual transition.  Business results are only achieved when employees are involved and participating in the change. Change management is the final element of realizing change effectively. Prosci® PCTTM Model Change Management Focus
  17. 17. How things are done today How things will be done tomorrow How to move from current to future Current state Transition state Future state 17 3 States of Change
  18. 18. IndividualsOrganization Future state Current state Transition state Future state Current state Transition state Future state Current state Transition state Future state Current state Transition state Future state Current state Transition state Future state Current state Transition state Future state Change management drives project success by supporting individual transitions required by organizational projects and initiatives Importance of Individuals Change
  19. 19.  Project Management — Explore — Planning — Executing — Stabilization — Closure  Business Transition Management — Organizational: – Preparing for change – Managing change – Reinforcing changeTM — Individual: – Awareness – Desire – Knowledge – Ability – Reinforcement® Comparing Processes
  20. 20. Comparing Tools  Project Management — Problem Statement — Value Statement — Design Document — Work Breakdown Structure — Budget Estimations — Resource Allocation — Schedule — Tracking  Change Management — Individual change model — Readiness assessment — Communication plans* — Sponsorship roadmaps — Coaching plans — Training plans* — Resistance management — Reinforcement * Some Change Management Tools are already typically used in Project Management, but not sufficient by themselves
  21. 21. What Is The Right Amount?  How much project management is needed? — Depends on the complexity and degree of change to processes, systems, organization structure and job roles  How much change management is needed? — Depends on the amount of disruption created in individual employees’ day-to-day work and the organization attributes like culture, value system and history with past changes
  22. 22. Phasesofachangeproject Required elements of change for employees Awareness Desire AbilityKnowledge Reinforcement Post-implementation Implementation Concept and Design Business need Successful Change © Prosci 22 22 PM & CM Working Together
  23. 23. Ineffective change management Ineffective project management Phasesofachangeproject Awareness Desire AbilityKnowledge Reinforcement Post-implementation Implementation Concept and Design Business need SuccessFailure A Failure B Required elements of change for employees © Prosci 23 PM & CM Not Working Together
  24. 24.  A structured process for managing the ‘people side’ of change on a project or initiative  Parallel processes & compliment existing SDLC / Frameworks Prosci’s Change Management ProcessProsci® 3-Phase Change Management Process Business Transition Management Process
  25. 25. Phase 1 – Preparing for Transition  Understanding the nature of the change  Understanding the groups being changed  Creating the right sponsorship model and coalition  Identifying risks  Developing special tactics 25
  26. 26. Phase 2 – Managing Transition  Communication plan  Sponsor roadmap  Training plan  Coaching plan  Resistance Management Plan 26
  27. 27. Phase 3 – Reinforcing Transition  Compliance audit reports and employee feedback  Corrective action plans  After action review  Transition management 27
  28. 28. Who Drives Change? – Everyone!  The Change Management Plan & Team is the cog that drives change throughout the organization.  Effective change management requires involvement and action by many in the organization Project team Change management Senior leaders Managers and supervisors Employees 28 28
  29. 29. Alex’s Key Take-Aways  Multiple levels & approaches to applying Transition Management concepts, not a one-size-fits-all  Simply having a user perspective on change will aid in adoption and realization of project / change value  PROSCI Model easily plugs into existing ESS PM Framework as well as multiple “Agile” based strategies  More involvement and utilization of Project Sponsor and People Managers  Start Early!  Customer impressions and opinions of project success stand to improve with adoption of Business Transition Management concepts
  30. 30. Backup
  31. 31. 31 Risk assessment grid
  32. 32. Senior leaders  Why is this group important? — Active and visible sponsorship is identified as the top contributor to overall project success in Prosci’s five benchmarking studies — Senior leaders are one of two preferred senders of messages about change  What is this group’s role? — Participate actively and visibly throughout the project — Build the needed coalition of sponsorship with peers and other managers — Communicate the business messages about the change effectively with employees Project team Change management Senior leaders Managers and supervisors Employees 32 32
  33. 33. Managers & supervisors  Why is this group important? — Managers and supervisors are the other preferred sender of messages about change — This group has a unique and well- developed relationship with the employees being impacted by the change  What is this group’s role? — Communicate the personal messages about the change with their direct reports — Conduct group and individual coaching sessions — Identify, analyze and manage resistance — Provide feedback to the rest of the change management ‘gears’ Project team Change management Senior leaders Managers and supervisors Employees 33 33
  34. 34. Employees  Why is this group important? — Employees will ultimately make changes to how they do their day- to-day work — Their acceptance and use of the solution determines the success of the project and the ongoing benefit derived from the change —  What is this group’s role? — Seek out information related to the business reasons for change and the personal impact of the change — Provide feedback and reaction to the change and the change management efforts — Take control of the personal transition (using an individual change management model like ADKAR) Project team Change management Senior leaders Managers and supervisors Employees 34 34
  35. 35. Project Team  Why is this group important? — The project team designs and develops the ‘change’ – they are the ones who introduce new processes, systems, tools, job roles and responsibilities — This group provides much of the specific information about the change to the other ‘gears’  What is this group’s role? — Provide timely, accurate and succinct information about the change (or project) — Integrate change management activities into project management plans and activities Project team Change management Senior leaders Managers and supervisors Employees 35 35

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