This document covers the origin , the plan, the framework, strategy

and process steps towards change management

Engineering Escape-Organization Change -Transformation Project2011

Author:Dr. Sarma- 15-july-2011

1. Change management - Project

The following is a gist of the case study including the frame work adopted-and presents the strategy/plan/process/methodologies and key steps involved in this organizational transformation project led by HR

2. Why change: This question was raised at the executive management committee when faced with stunted growth, falling margins, growing competition. The vision of the CEO is to move quickly from 10 million to 100 million and that seems impossible without change in the way the company is now positioned, perceived. The vision was also to be category killer in BI. some introspection brought us to the conclusion that change must happen

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1The triggar-Challeging the status quoThe motivation- 7x valuation

2Situationala analysis- frog in the beakerThe plan- 25 degree turn

3Early adoption- atleast 15% of total populationAcceleration- within 6 months , buyin 100% from managers

4review weekly / modify- alter plan monthly

3. Examine: SWOT

Strength: large BI skill pool, loyal customer base.

Weakness: lack of market penetration, lopsided brand image, limited geographic cover, lack of skill in big data

Opportunities: Large BI market Potential .Gartner Magic Quadrant did say that We are to be watched one year back

Threats: competition always is lowering bill rate and Services is not the business we want to be in anymore.

Perception Gap analysis:

What we think and what the customer perceives is our biggest Risk

Needs image makeover

The CEO’s Perception of the company was based on what he believed in. While reality was that the company was far more dependent on software services business, which gave the revenue for 15 years.

The trigger question : to accelerate growth what we need to do new and what we need to drop- how do we move from 10 million to 100 million in 5 years and become super category killer in BI domain

What are those things that we won’t do anymore and what we will start doing now onwards that will propel exponential growth

What are those things that we need to selectively abandon?

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4. What is our DNA? And what should be?

The vision statement needs re examination

Our Vision: Being Category killer in Data and Analytic

Our DNA should be D&A-Data and analytics

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market shre/growth acceleration

offerings/solution

core competencies

revenue/growth

5. The model-The Frame work for change To ol and Technology skills wont take us there

(ADKAR-Modified)

Phase 1:

Attention: Start communicating about the management thinking three months in advance Be Proactive-

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business need project definitionsolution

new habitsimplementation

attention

desire

action

knowledge

comprehension

reinforcement

awareness

conviction

skills/Transformation

Knowledge—Assess current level of business understanding at floor level. How much knowledge about the Organizational priorities exist- check this urgently

Awareness- create sufficient awareness of the market For BI Desire— Need for HR to inspire /motivate people to change

Phase2:

Comprehension—keeps checking the questions/doubts/Apprehensions. Dominant issue

Conviction—prepare those who are easily convinced Action—get everyone to learn new BI-Consulting skills- 5 levels- &

dimension-AS Program-accelerate implementation

Phase3:

Reinforcement—support with new incentive plan for PCGP-Prescriptive Career Guidance-Program

Transformation- aim at creating 25 % conversion of tool experts to be BI-experts -- can we create125 “fellows” in 3 years

Phase4:

The sponsors-HR -Head/CEO/CSO

The leaders-PALS The influencers-P/AP/EM The target-P/AP/EM/Sr C/C

Point 1: To move from good intentions to good results, realize that effective change management is more than just a few communication steps

Point 2: To move from good intentions to good results, realize that the “change leaders “are “living” in the future state, while everyone else “the people to be changed” are s living in the past or present state

Point 3: To move beyond good intentions, effective change management MUST focus on enabling individual’s to change process.

Point 4: Individual change is gradual process- but we can’t waste too much time

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Point 5: To move faster select and use the tools available

Point 6: get the right people with positive attitude involved and engaged

Point 7: Begin with end in mind. Measure the “right” things for this change, at the organizational level and the individual level

6. The plan for Mentoring /Training/coaching Engineering the Escape: 5 sessions to managers only Escape velocity—5 sessions- customized for each level Coverage: 100% PAL /P/-- 2 session 16 hours AP/EM//PM/Architects- 5 sessions of 8 hours each-40 hours SR. Consultants/Consultants—6 sessions of 4 hours each-24 hours Total 10 man days Repeat Every two months

7. Communication: Use town hall- every two months All managers to hold one on one Senior executives-carry out selective breakfast sessions with

consultants Purpose; removing fear

8. Benchmarking findings causes of resistance

Employees:

1. The Consultants are not aware or not knowing the business need for change despite transparent communication in all our communications. Error in wrong messaging when sales guys speak of growth every quarter.

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2. Worst fear--Lay-offs due to skill redundancy. Especially those who cannot pick up Business skills

3. Unsure whether they had the skills needed and can develop for success in the future state .Our Belief system is “ everyone can and everyone will”

4. Comfort with the current state .i am billing so why bother-“Frog in the beaker”-mindset

5. Many employees believed that they will be asked to do more with less reward.

6. If I can earn same pay outside without additional learning efforts why bother- HR hears this from few

Managers:

1. Fear of Loss of power /dilution of status and control

2. Fear of losing people consequently losing billing revenue-resulting in their own earnings through bonus/incentive

3. Overloaded of responsibilities /lesser compensation

4. Lack of urgency of the need for change though many agree.

5. Lack of skills to build or sell solutions.

6. Fear, that it will take more time to transform

7. Who will benefit from change?

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9. To succeed in change we must address the people side well

Challenging the status quo: Solution is designed, developed –hire data scientists/solution engineering teams/SME in health care/insurance vertical and delivered effectively (Technical side)

Solution is embraced, adopted and utilized effectively (People side)= CHANGE SUCCESS criteria- if the average billing rate is >105;125 Fellow level

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10. Armored Employee—As is and to be- 400- Sqaure—none in Fellow- to be 125 fellow in two years-HR challenge

11. 5 levels of competency maturity/growth path. Each Consultant to be assessed after they complete the

requisite number of training courses every year. Support systems: PRESCRIPTIVE CAREER GUIDANCE PLAN.-

PCGP-Developed collaboratively with line managers. Tool-Skill port.- configure 200 courses across 7 dimensions-

Target 40 hours per quarter-use external programs selectively

Assessment center-annual assessment

5 Levels: for meaurement

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St

eward

Crusader

Fellow

Seven Dimensions to grow and mature

12-Sample Role Re-designDr.sarma/2011/

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Tool/Technology

Functional

process

verticalmethodology

leadership/management

business process

The new role requires –unlearn and relearn certain habits; especially the way sales Is done.

Culture shift Focus : 1- Shared meaning, (H); 2-outcome orientation(begin with end in mind),(H) ;3-Aggressiveness,(H) ;4-Team orientation(M)

Priorities in bracket

Rewrite all job descriptions to focus on 4 behavioral focus areas for measure

Change the way we reward

Conclusion:

The project was run for 24 months . Continuous monitoring was key factor for success

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