Organisation Change Leadership

ORGANISATION CHANGE AND

LEADERSHIP

1

Fullstream Transformation Model

UPSTREAM

CHANGE

(Setting the Foundations for

Success)

MIDSTREAM

CHANGE

(Design)

DOWNSTREAM

CHANGE

(Implementation)

2

The Change Leader’s RoadmapTM

I. Prepare to Lead the Change

III. Assess the Situation to Determine Design

Requirements

II. Create Organizational Vision, Commitment,

and Capability

IV. Design the Desired State

V. Analyze the Impacts VI. Plan and Organize for Implementation

VII. Implement the Change

VIII. Celebrate and Integrate the New State

IX. Learn and Course Correct

Hear the Wake-up

Call

3


as a Fullstream Process

4


I. Prepare to Lead the Change

III. Assess the Situation to Determine Design

Requirements

II. Create Organizational Vision, Commitment,

and Capability

IV. Design the Desired State

V. Analyze the Impacts VI. Plan and Organize for Implementation

VII. Implement the Change

VIII. Celebrate and Integrate the New State

IX. Learn and Course Correct

Hear the Wake-up

Call

5

UPSTREAM CHANGE

Phase I: Prepare to Lead the Change

Phase II: Create Organizational Vision, Commitment, and

Capability

Phase III: Assess the Situation to Determine Design

Requirements

6

CHAPTER 1

PHASE I: PREPARE TO LEAD THE CHANGE

START UP, STAFF, AND CREATE

YOUR CASE FOR CHANGE

7

Organisation Change

• It happens when a group of people recognizes that there is a reason to alter how organisation and its people operate.

8

Objective of Phase I:

Upstream Change

• Clarifying change leadership role

• Status of the change effort, and staffing the effort of the right people.

• Creating a clear case for change

• Assessing organisation readiness and capacity

• Strengthening leaders’ capability

• Clarifying overall change strategy

• Designing the optimal conditions and structure of change.

It takes 60% to 70% of the change effort.

9

Why there is a need of organisation

changed?

• Dramatic event

Competition

Lost of market share

New technology

Merger of key competitors

Closure of valuable factory

Increase in turnover of critical talent

10

Start up and staff effort

Obtain Project briefing

• Identify : To ensure alignment, leverage progress.

what is known,

who has been doing what

What ate the current situation

• Interview various group that know about the change that are going to be impacted

Focus on change

People issues

Politic dynamics

Process expectations

History of the effort

Perception of current events

12

Clarify and staff initial change

leadership roles.

• To understand the key change leadership.

• To reduce redundancy and ensure full coverage of change leadership responsibilities and decisions.

• Role should be given to:

Most competent

Best positioned to successfully lead the effort

• Characteristics of change leader:

Conscious process thinking and design skills

Sophisticared when dealing with human dynamics, culture

Dedicate to personal development and building awareness.

13

Activity One:

Identify the Role and

Characteristics of Leadership

Roles

Key Change Leadership Roles

• Sponsor

• Executive Team

• Change Leadership Team

• Change Process Leader

• Change Initiative Lead

• Change Project Team

• Change Consultant

15

Create Optimal Working Relationship

• To clarify the working relationship between people involves and the leadership roles

• Set of expectation for addressing

Quality

Effectiveness

• Of working relationship

16

Identify the Project Community

• Identify

Who have interest

Who will be affected

What is their impact

How is the involvement

• From these information identify a GROUP Map

17

Sample Project Community Map

Targets

Division A

CEO

HR

Targets Customers

Managers

Employees

Strategic Planning Initiative Change Process

Leader

Sponsor

Board of Directors

Division B

Labor Relations

Union Leaders

Suppliers

Compensation Initiative

Change Leadership Team

SAP Initiative

Targets Customer Service

Improvement Initiative

Executive Team

18

What do you do with these group?

• Keep these people informed of the status of the change

• Assigning them key roles in major change events

• Establish shared expectations for how they can add values to the effort

• Shaping your engagement strategy

• Identifying resistance and political dynamics in advance

• Training them in unique requirement of desired culture, mindset

• Positioning them as advocates, models of new behaviour.

19

Create case for change and

determine initial desired

outcomes.

Building Your Case for Change

To define your case:

• Assess what is driving your change

• Determine type, scope, and target groups of the change

• Determine leverage points and urgency for change

21

Design Process for Creating case

• Who should be involved?

People who have big-picture understand of the systematic and environment dynamics driving the needs for change

People who understand the need for a new culture

The level of urgency you face

The degree to which your case and vision have been formulated strategy

Content expert during transformation.

22

Leader and Employee Mindset

Leader and Employee Behavior

Cultural Imperatives

Organizational Imperatives

Business Imperatives

Assessing Driver of Change

Marketplace Requirements for Success

Environment

23

Clarify Type of Change

Three Types of Change

• Developmental Change

• Transitional Change

• Transformational Change

24


Developmental Change

25


Transitional Change

OLD STATE

TRANSITION STATE

NEW STATE

OLD STATE

26


Transformational Change

Success Plateau

Death: Mindset Shifts

Re-emergence

Chaos

Growth

Birth

Wake-Up Calls

27

Identify the leverage points for

change

• Focus on attention on what to catalyze the change

• Identify the most important things you can do to prompt the greatest amount of needed change.

28

Perform Initial Impact Analysis

• Identify assessment before transformation

• Identify

Personal

Cultural

That contribute to impact of transformation

29

Clarify Target Group and Scope

• Identify

the breath and depth of change

The target group

30

Determine Degree of Urgency

• Wrong perception

Change needs to occur fast than is humanly people.

• Realistic urgency is important

• Factor of determination

External factor

• Environment • Marketplace • Organisation

Internal factors

• Culture • Time for skill development • Personal change • People capacity

31

Determine the Desired Outcomes

The results you will produce once you have successfully completed the change:

Vision and purpose of the change

Goals for the change

Metrics

32

CHAPTER 2

PHASE 1: PREPARE TO LEAD THE CHANGE

ASSESS AND BUILD YOUR

ORGANIZATION’S READINESS

AND CAPACITY, AND BUILD

LEADERS’ CAPABILITY TO LEAD

THE CHANGE

33

Factors Affecting Readiness

• Emotional residue from past changes

• Understanding of marketplace forces

• Perceived value of the change

• Willingness to let go of status quo and commit to future

• Degree of personal influence to make change vs. being “done to”

34


• People’s beliefs about leaders providing them support

• Perceptions about leaders’ credibility and ability to lead change

• Fears about failing

• Feelings about having adequate resources, capacity, and skills

35


• Feelings about sense of urgency and ability to respond to it well

• Personal toll from past changes

• Perceptions that change decisions were made fairly/justly

• Assumptions about potential loss of personal power

• Discomfort with chaos

36

Ensuring Capacity

• Any capacity required for change is not available for operations.

• You will need to create the capacity required to make the change!!!

Time, Attention, and Resources for

OPERATIONS

100% CAPACITY

Time, Attention, and Resources for

CHANGE

37

Factors Affecting Capacity

• Current business goals and priorities

• Number and pace of current changes

• Realism of current operating workload plus change work

• Ability to alter current commitments and responsibilities

• Available resources

38

Factors Affecting Capacity

• Current timelines; ability to adjust them

• Measures and rewards: only for operations?

• Degree of buy-in to change by functional leaders in control of operational workloads

• How mistakes and missed deadlines are handled

• Cultural norms about saying no or setting limits

39

What is Mindset?

• Our worldview; the place or orientation from which we experience our reality and form our perceptions of it

• Fundamental assumptions about reality: core beliefs, values, mental models

• The source of our decisions, actions, and results!

40

Build leader capacity to lead the

change

• Transformation involves

Mindset

Behaviour

Culture

• Leader should look at themselves

• Must access the 5 tracks in buidling the change leadership capability

Leadership breakthrough

Leadership commitment and alignment

Change education: knowledge and skills

Executive and change leadership team development

Individual leader development

41

End of Day One

Need to Change

• From discrete function looking out the entire enterprise

• Focus solely on external dynamics Inner issues of being in themselves and organisation culture

• Remove dissonance by solving problem dissonance for sign of root causes and unconscious dyfunction operating patterns

• Delegating change implementation embrancing what is require to play a significant role in leading change.

43

Need to change

• Managing and controlling a single, linear change project facilitating multiple interdependent change process.

• Treating people as cost structure Concern people feeling, personal needs, capacity and choices

• Any change project will go away Change is an ongoing reality that needs formal support and disciplines.

44

Ensure Leaders Model Desired

Mindset and Behaviour

• Interventions that catalyze and reinforce mindset and behavioural change include:

Sharing the case for change as primary drivers of change

Determine the desired culture as reflection on how mindset and style

Creating high engagement in revisioning organisation future

Having the senior leaders openly talk about their mindset

Employing large group meeting approaches to design the future state

Building the teams required to implement the future

Performing an impact analysis

45

Try it Out

• By using specific example, discuss the process for changing organisational mindset:

Set the foundational and motivation for changing leader mindsets

Get the attention of individual and the organisation.

Build organisational momentum for change in mindset

Reinforce and sustain the change in thinking and behaviour

Align the integrate the change in the organisation with new mindset.

46

Build leader commitment and

alignment

• Access the current commitment

• Cannot using the following strategies:

Superficial conversation

Filled with false declaration

Empty head nods

Defensiveness

Accusation

Steadfast position

• Best method is to have dialogue

47

Levels of Commitment

Agreemen

t

Compliance

Buy-In

Engaged

Action

Commitment

By Fear B

y

Choic

e

48

Develop leader’s change knowledge

and skills

1. Driver of change

2. Type of change

3. Importance of changing mindset and behaviour

4. Project thinking, thinking system, conscious process design and facilitation.

5. Develop a comprehensive change strategy

6. Create comprehensive change infrastructure

7. Establish need for rapid course correction

8. Change culture to support desire outcomes.

49

Develop executive and change

leadership teams

• Objective: To lead the organisation to transformation

• Two help tasks:

Leadership commitment

Participation in the leadership program

50

CHAPTER 3


CLARIFY YOUR OVERALL

CHANGE STRATEGY

51

Elements of Change Strategy

• Values/Guiding Principles

• Change Governance: Change Leadership Roles, Governance Structure, Decision-Making, Interface with Operations

• Initiative Identification and Alignment

• Fit and Priority of Your Initiative

• Multiple Project Integration Strategy

52

Elements of Change Strategy

• Bold Actions

• Engagement Strategy

• Change Communication Plan

• Acceleration Strategies

• Estimated Resources

• Milestone Events and General Timeline

53

Design Process for building change

strategy

• Determine the following:

How much of authority by the process leader

Who will input to various elements

The elements of strategy to focus

Timeline for implementation

Medium and format for recording strategy

How to ensure strategy fit the conditions

How to summarise, update and course correct

How to communicate change strategy

54

Define Values and Guilding

Principles

• Values are the inherent qualities that lie at the essence of a behaviour or action.

• Guiding principle are high-level rules of conduct that guide behaviour and action.

• Culture change should be a part of the change strategy.

55

Clear Governance and Decision

Making

• Good governance helps to define the role and authorities, a governance structure and clear decision making for change.

56

Multiple Project

Integration Team

Change Project Teams Change Project Teams Special Task Forces Special Task Forces

Project Management Office Project Management Office Change Initiative Leads Change Initiative Leads

Sample Hierarchical Structure

Sponsoring Executive Executive Team

Change Process Leader

Change Leadership Team Navigation Team Organization Development &

Change Management

Consulting

Field Representatives

Sponsoring Executive Executive Team

Organization Development &

Change Management

Consulting

57

Sample Network Structure

58

Decision-Making Continuum

S

H

A

R

E

D

C

O

M

M

I

T

M

E

N

TPARTICIPATION

TELL

SELL

INPUT

VOTE

CONSENSUS

ALIGNMENT

GROUP OWNER

INDIVIDUAL OWNER

59

Types of Engagement

Follow

Instructions

Without

Question

Offer

Reactions

Identify

Impacts

Self-

generate

Input

Provide

Advice;

Advocacy

Have Vote in

Decision-

Making

Own

Decision

Process

Own Result

and/or

Implementation

Process

Rote Action Thinking Deciding Creating

Increasing Influence and Commitment

Guideline: Provide as much guidance about strategic directions as is available,

then enable as many local decisions as possible about how to implement the new direction.

60

Vehicles of Stakeholder Engagement

• Targets: Individuals, Small Groups, Large Groups

• Approaches: Face-to-Face or Technological

61

Five Levels of Communication

1. Information-Sharing

2. Building Understanding

3. Identifying Implications

4. Gaining Commitment

5. Altering Behavior

62

CHAPTER 4


BUILD THE INFRASTRUCTURE

AND CONDITIONS TO SUPPORT

YOUR CHANGE EFFORT

63

Four Component of Change

Infrastructure

• Change leadership role

• Governance structure

• Conditions for success

• Support mechanism

64

Conditions for Success

Requirements essential to the achievement of your desired outcomes from a content, people, and process standpoint

Examples:

Adequate resources

Sufficient time to do a quality job

Communications and engagement that produce informed and enrolled stakeholders

65

Course Correction Model

CURRENT REALITY

Course Correction

Learning

Wake-Up Calls: Feedback telling you to learn and course correct

Vision

66

Process of Course Correction

• Setting a direction based on your best intelligence

• Commencing action to reach your vision

• Pursuing feedback, new information, your stakeholders and organisation.

67

Stages of Personal Adjustment to

Transition

© 1989 Eartheart Enterprises. Used with permission.

2. Minimizing the Impact (Denial) 1. Losing Focus

(Shocked, Confused)

3. The Pit (Fear,

Anger, Sadness)

4. Letting Go of the Past (Grief)

5. Testing the Limits (Curiosity, Bargaining)

6. Searching for Meaning (Hopeful)

7. Integrating (Confidence)

Perf

orm

ance

Time

VISION

68

Determine measure of change

• The objective of measurement

• Both positive and negative impact of measurement

• What to be measured

• Standard of measurement

• Method of measurement

69

CHAPTER 5

PHASE II: CREATE

ORGANIZATIONAL VISION,

COMMITMENT, AND CAPABILITY

70

Phase II

Purpose

• To engage the organization in the change

• To create collective understanding, intention, commitment, and momentum for producing transformational results

• To engage stakeholders in creating their future of choice

• To build the organization’s change capability it needs to succeed

71

How to achieve it?

• Wide scale engagement

• Interactive dialogue

• Planned experience that impact people’s mindset and emotions

• Employee input and key change issues

• Making the distinction old method and new values

• Sharing responsible for critical action.

72

Create Share vision

• Visioning

Obtain agreement about the content of the vision

Crafting the vision statement in words that capture the compelling responsibilites

Ensuring that the entire organisation understands the vision and commits to make it real.

73

Writing Change Vision

• Must be bold and challenging

• Words can energize people

• Use present tense to cause people act as if the vision is true.

74

Building ownership of vision

• Involve emotionally involvement and mental integration.

• Ensure employee not only understand it but talk about it.

• Let’s people discuss and think about it to create momentum

75

Demonstrate that old way

of operating is gone

Increase organisation capability to

change

• To build people with knowledge, skills, mindset and behaviour

• Can be achieve through

Education

Training

Discussion

Invite brainstorm

Event to raise people’s self-awareness

77

CHAPTER 6

PHASE III:

ASSESS THE SITUATION TO

DETERMINE DESIGN

REQUIREMENTS

78

Phase III

Purpose

• To determine the design requirements of the future state

• To determine what success looks like in the eyes of the end-users, customers, and experts

• To identify what in the organization currently serves the future state, what blocks it, and what it needs to create anew

79

Types of Design Requirements

• Organizational Constraints, Givens, Must Haves, Boundary Conditions

• Mission, Vision, and Business Imperatives

• Assessment Issues

• Job Requirements/Tasks

• Organizational Mindset and Behavior

• Political Implications

• Cultural Imperatives/Values to Model

• Technological Needs

• People Requirements

80

MIDSTREAM CHANGE

81

CHAPTER 7

PHASE IV:

DESIGN THE DESIRED STATE

82

Phase IV

Purpose

• To design the desired state solution, including both the organizational/technological solutions and the human/cultural solutions

83

Levels of Design

VISION

STRATEGIC

MANAGERIAL

OPERATIONAL

84

CHAPTER 8

PHASE V:

ANALYZE THE IMPACT

85

Phase V

Purpose

• To understand the real demands the change effort places on the current organization

• To organize for the effective planning of implementation

• To identify impacts, issues, and questions that must be resolved before implementation can be planned

86

Key Functions of Impact Analysis

1. Determines aspects of current organization that can be brought into the desired state.

2. Determines work required to implement desired state.

3. Enables decision-making about capacity/timing.

4. Surfaces show-stopper issues.

5. Gives resistors input to change process.

6. Ensures desired state will function effectively as an integrated system.

87

Steps in the Impact Analysis and

Implementation Planning Process

1. Design the process.

2. Select appropriate people to input.

3. Conduct the impact analysis.

4. Categorize and streamline impacts, assign impact group leaders.

5. Leaders select resolution groups.

88



6. Groups prioritize impacts and assess magnitude.

7. Review magnitude priority ratings.

8. Group leaders agree on issue resolution process.

9. Groups identify impact solutions and actions, and integrate as much as possible.

10. Leaders agree on compilation process and format of Plan.

89



11. Leaders share solutions and compile integrated actions into Plan.

12. Determine required resources.

13. Determine pacing strategy and timeline.

14. Complete Implementation Master Plan; obtain approval.

15. Communicate Plan to stakeholders.

90

End of Day Two

CHAPTER 9

PHASE VI:

PLAN AND ORGANIZE FOR

IMPLEMENTATION

92

Phase VI

Purpose

• To understand how best to implement the desired state by resolving the issues and impacts of making the change

• To determine the magnitude of work, required action, resources, and time to implement

• To streamline the implementation process and develop the Implementation Master Plan

• To prepare the organization to take on implementation

93

DOWNSTREAM CHANGE

94

CHAPTER 10

PHASE VII:

IMPLEMENT THE CHANGE

95

Phase VII

Purpose

• To implement the change in the most effective way

• To monitor and course correct both the change process and the desired state throughout implementation

96

CHAPTER 11

PHASE VIII:

CELEBRATE AND INTEGRATE

THE NEW STATE

97

Phase VIII

Purpose

• To celebrate the great milestone of achieving the desired state

• To support the organization’s integration and mastery of the new state at the individual, team, and system levels

98

CHAPTER 12

PHASE IX:

LEARN AND COURSE CORRECT

99

Phase IX

Purpose

Meta-purpose: To fully understand how to improve on leading change in the future

• To create mechanisms for continuous improvement of the new state

• To evaluate and learn from this change effort and identify best change practices

• To close down this change effort

100

Thank You

Documents

Organisation Change Leadership