Change management – Principles Process & Tools

CHANGE MANAGEMENT – PRINCIPLES AND PROCESSBE A COMPETENT FACILITATOR OF CHANGE

IN YOUR ORGANIZATIONDEPARTMENT OF LABOUR (UIF)

ZAMBESI LODGE, PRETORIA

CHARLES COTTER

26-29 JANUARY 2016

Introduction to change management principles and practice

Describing the types of change

Diagnosis: Identifying and applying the characteristics of change capable organizations

Explaining change theories and the change transition cycle

Explaining the leadership role and contribution during change

Differentiating between Type O and Type D oriented people and the effective management thereof

1-DAY TRAINING PROGRAMME OVERVIEW

Applying the Change formula

Identifying the reasons for resistance to change

Describing the managerial techniques to reduce resistance to change

Describing Lewin’s 3-phase Planned approach to change

Describing and applying the 7-step organizational change management process

1-DAY TRAINING PROGRAMME OVERVIEW

Change and Change Management

The need for change

The V-U-C-A nature of the business environment The forces of change

The metaphoric views of change

First and second order change

The areas/types of change

DEFINING THE FUNDAMENTALS OF CHANGE

THE NEED FOR CHANGE

THE NATURE OF THE BUSINESS ENVIRONMENT – V-U-C-A

FORCES OF CHANGE

METAPHORIC VIEWS OF CHANGE

CALM WATERS WHITE-WATER RAPIDS

First Order change is often referred to as evolutionary or gradual change - usually localized – it impacts on one part of a system without major repercussions to other parts of the system. The organization as a whole remains intact and no overall change of its former state occurs in spite of incremental change to one part of it.

Second order change is often referred to as radical or revolutionary change because it impacts on the organization as a whole.

FIRST AND SECOND ORDER CHANGE

AREAS/TYPES OF CHANGE: S-P-O-T-S

Refer to page 12 in the Learner Manual

Apply the fundamentals of change to your organization.

Present a summary of group discussion

SYNDICATE GROUP LEARNING ACTIVITY 1

The literature on “change management” is clear: over 70% of change initiatives fail.

CHANGE MANAGEMENT SUCCESS TRACK RECORD

#1: Linking the present and the future

#2: Make learning a way of life (learning organization)

#3: Actively supporting and encouraging day-to-day improvements and changes (continuous improvement processes)

  #4: Ensuring diverse teams   #5: Encourage out-of-the-box thinking (innovation)

CHARACTERISTICS OF CHANGE-CAPABLE/FRIENDLY ORGANIZATIONS

#6: Protect and shelter breakthrough ideas (intellectual property)

#7: Integrate technology to implement changes  #8: Build and deepen trust (creating an organizational

culture of management credibility and integrity)   #9: Streamline and align processes, systems and

structures  #10: Leadership have the will and conviction to

change

CHARACTERISTICS OF CHANGE-CAPABLE/FRIENDLY ORGANIZATIONS

Refer to pages 14-15 in the Learner Manual

Diagnosis: By referring to each of the characteristics of change capable/friendly organizations, measure the degree of your organization’s readiness to change.

Analysis: Identify those areas which need to be improved and recommend strategies to close these gaps.

Present a summary of group discussion

SYNDICATE GROUP LEARNING ACTIVITY 2

CHANGE TRANSITION CURVE

CHANGE TRANSITION CURVE AND APPROPRIATE LEADERSHIP ACTIONS

Refer to page 18 in the Learner Manual

As a manager, describe how you can accelerate and guide employees through the change transition cycle for the most sophisticated/mature stage, commitment.

Present a summary of group discussion

SYNDICATE GROUP LEARNING ACTIVITY 3

“Leaders should not only administer and manage change, but pioneer, pilot and drive change towards barrier-busting heights of performance improvement.” (Cotter: 2005)

Managerial Roles and Actions

Change Agents (internal and external)

Building resilience and change-hardiness

Transformational Leadership

Develop Employee engagement strategies

Scaling the Hierarchy of Commitment

THE ROLE OF LEADERSHIP IN CHANGE MANAGEMENT

Provide a future vision for change Leaders should possess diagnostic ability to read, scan and

respond to the changing environment in the perpetual quest for business growth and expansion opportunities

Be a catalytic driver of change Guide, support and lead people through the change

transition cycle Be a change agent Lead by example during change i.e. be a role

model/ambassador and advocate for change Be a transformational leader Break down resistance to change To build resilience and change hardiness amongst the

workforce

CHANGE LEADERSHIP ROLES AND ACTIONS

The five attributes of resilience include:

Positive (they see life as complex but filled with opportunity)

Focused (they have a clear vision of what they want to achieve)

Flexible (they demonstrate pliability when responding to uncertainty)

 Organized (they develop structured approaches to managing

ambiguity) 

Proactive (they engage with change rather than defending against it)

BUILDING RESILIENCE AND CHANGE HARDINESS

CHARACTERISTICS OF TRANSFORMATIONAL

LEADERSHIP

According to Gallup (2013) research, the best organizations deeply integrate employee engagement into the following four (4) areas:

Strategy and Leadership Philosophy

Accountability and Performance

Communication and Knowledge Management

Development and on-going Learning Opportunities

BEST PRACTICE EMPLOYEE ENGAGEMENT

According to Gallup (2013), strategies to improve employee engagement are:

Use the right employee engagement survey

Focus on engagement at the enterprise and local levels

Select the right people and managers

Coach managers and hold them accountable for their employees’ engagement

Define engagement goals in realistic, everyday terms

Develop employees’ strengths

Enhance employees’ well-being

Find ways to connect with each employee

STRATEGIES TO DEVELOP EMPLOYEE ENGAGEMENT

Refer to page 23 in the Learner Manual

Apply the leadership roles in effectively managing change.

Present a summary of group discussion

SYNDICATE GROUP LEARNING ACTIVITY 4

Refer to page 27 in the Learner Manual

Individually: Complete the Type O vs. D-oriented questionnaire.

Group: As a manager, describe how you will manage your staff with both a Type O and Type D orientation towards change.

Present a summary of group discussion

SYNDICATE GROUP LEARNING ACTIVITY 5

Why people resist change?

Why it is so challenging to reduce resistance to change?

Managerial techniques to reduce resistance to change

MANAGING RESISTANCE TO CHANGE

RESISTANCE TO CHANGE – “COMFORT ZONE”

Uncertainty (i.e. fear of the unknown)

People’s self-interest is threatened   A lack of trust and misunderstanding

Belief that change is incompatible with the goals and the interest of the organization

A low tolerance for change is also a barrier to organizational change

Other general reasons (e.g. include inertia where people do not want to change the status quo, poor timing, and unexpected, extreme or sudden change and peer pressure)

WHY PEOPLE RESIST CHANGE?

People and their behaviour is the most difficult to change because unlike structure and technology, in which managers have absolute control, managers do not have absolute control over peoples’ thinking, attitudes and perceptions.

“Unlike technology, structure, processes and strategy, people talk back when confronted by uncomfortable levels of change.” (Cotter: 2014)

People are the greatest source of resistance to change because people have minds of their own i.e. they have personalized and subjective views regarding change.

Change must involve the people - change must not be imposed upon the people

WHY IT IS SO CHALLENGING TO REDUCE RESISTANCE TO CHANGE?

Refer to page 30 in the Learner Manual

In your work environment, identify the five (5) foremost reasons why employees resist change. For each of these 5 reasons, describe the ways and means that you as a manager can use to break down these “walls of resistance”. Provide practical examples.

Present a summary of group discussion

SYNDICATE GROUP LEARNING ACTIVITY 6

MANAGERIAL TECHNIQUES TO REDUCE RESISTANCE TO CHANGE

Refer to pages 32-33 in the Learner Manual

By referring to each of the 6 techniques to manage employee resistance to change, describe how you as a manager can apply these techniques in your working environment. Provide practical examples. Also indicate at which stage of the change process, each of these techniques is most appropriate.

Present a summary of group discussion

SYNDICATE GROUP LEARNING ACTIVITY 7

At all times involve and agree support from people within system (e.g. the environment, processes, culture, relationships, behaviours - whether personal or organizational)

Understand where you/the organization is at the moment (status quo)

Understand where you want to be, when, why, and what the measures will be for having got there

Plan development towards above in appropriate achievable measurable stages

Communicate, involve, enable and facilitate involvement from people, as early and openly and as fully as is possible.

BEST PRACTICE CHANGE MANAGEMENT PRINCIPLES

LEWIN’S 3-PHASE MODEL OF CHANGE

KOTTER’S CHANGE MANAGEMENT PROCESS

STEP 1: Forces for change (internal and environmental forces) which affect:

STEP 2: Performance outcomes (individual, group and organizational) which encourages

  STEP 3: Diagnosis of the problem (information, participation and change agent)

which leads to   STEP 4: Selection of appropriate intervention (structural, behavioural and

technological) as constrained by S-P-O-T-S

STEP 5: Limiting conditions (leadership climate, formal organization structure and organization culture)

  STEP 6: Selection and Implementation of the method (timing, scope and

experimentation) provision for   STEP 7: Evaluation of the method (feedback, adjustment, revision, reinforcement)

APPLYING THE 7-STEP, ORGANIZATIONAL STRATEGIC CHANGE MANAGEMENT

PROCESS

Step one of the strategic change management process starts with an assessment of the organization’s Mission and Vision, challenges (pains), enablers and values.

The following strategically-relevant items form the scope to be scrutinized by business managers:

The company's mission statement  The company's strategic plan/vision  The financial status of the organization  How the organization is currently structured and operating  The level of expertise of their employees  Customer satisfaction level

Tools:

SWOT Analysis PESTEL Analysis

STEP 1: FORCES FOR CHANGE - INTERNAL AND EXTERNAL STRATEGIC ASSESSMENT

STEP 5: LIMITING CONDITIONS - FORCE FIELD ANALYSIS

Refer to page 37 in the Learner Manual

By referring to the 7-step organizational change management process, apply each of the steps in your working environment.

Present a summary of group discussion

SYNDICATE GROUP LEARNING ACTIVITY 8

Summary of the key learning points

Questions

Conclusion

Good luck with the implementation of change management processes, systems and tools in DoL (UIF)

CONCLUSION

CONTACT DETAILSCharles Cotter

(+27) 84 562 9446

charlescot@polka.co.za

LinkedIn

Twitter: Charles_Cotter

http://www.slideshare.net/CharlesCotter