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Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP http://cppit.com http://wcunning.com [email protected] Twitter: wlcunning The Other Change Management Process: A Composite Best Practices Approach to MANAGING ORGANIZATIONAL CHANGE
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Page 1: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

William L. Cunningham, PMPhttp://cppit.com

http://wcunning.com

[email protected]

Twitter: wlcunning

The Other Change Management Process: A Composite Best Practices Approach to

MANAGING ORGANIZATIONAL CHANGE

Page 2: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Contact: [email protected]

http://wcunning.com

Twitter: wlcunning

Presentation with notes available at

http://www.wcunning.com/DMM/DMMHome.html

Page 3: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Agenda

• Introductions

• Difficulties of Managing Organizational Change

• Composite Model to Building a Learning Organization

• Questions

5

Page 4: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Page 5: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Homeostasis

7

Homeostasis:the property of a system that regulates its internal environment and tends to maintain a stable, constant condition.

Page 6: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Homeostasis

8

Homeostasis:the property of a system that regulates its internal environment and tends to maintain a stable, constant condition.

Time (Delay)

Page 7: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

The Fifth Discipline – Systems Thinking

• Self-regulating systems have feedback loops

– they respond to a control mechanism that monitors the system and seeks to return it to baseline.

• There is often a delay between stimulus and the acting of the feedback loop

– a delay between stimulus and response if you will.

• While this balancing effect has positive origins—homeostasis works to keep things the same- even if they aren’t very good.

9

Page 8: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

The ‘System’ of Psychology

10

We are defined by our habits- Aristotle

It takes 21 days to embed new behaviors andmake them habits.

When undertaking your New Year’s Resolutionsthe best advice is to anticipate the inevitable back-slide – it’s just homeostasis at work…

Page 9: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Psychology and Organizational Change

• Organizations are comprised of individuals

• You cannot change ‘organizational behavior’

– Only the behavior of individuals can change

– (and you can’t change it…)

• So, individual psychology – and individual homeostasis- will have to be accounted for in our project plans

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Page 10: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Organizations as Systems

12

Page 11: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC 13

Page 12: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

J

Page 13: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

JInitial level of happiness and productivity.

Trough of despair

The J-Curve of Change

Page 14: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Time

Happiness &Productivity J JJ

Page 15: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Page 16: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Reasons for Failure of Organizational Change Initiatives

• Difficulty changing the culture of the organization

• Lack of staff commitment and understanding

• Lack of education, communication and training

• Responsibility without sufficient authority

• Lack of effective ‘Champions’

• Loss of momentum after opening hype

• Lack of fundingSource – Pink Elephant (mostly)

Page 17: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Reasons for Failure of Organizational Change Initiatives

• Lack of quantifiable long term benefits (ROI)

• Lack of organizational learning (lessons learned – lack of

iterative culture)

• Satisfaction with status quo

• Over-focus on tactical, isolated solutions rather than a

strategic solution

• Trying to do everything at once – over ambitiousSource – Pink Elephant (mostly)

Page 18: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Reasons for Failure of Organizational Change Initiatives

• No accountability; lack of clear ownership

• Tools unable to support processes

• People not skilled enough to support processes

• No structured Project Management

Source – Pink Elephant (mostly)

Page 19: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

• Serious organizational change takes 3-5 years

– This does not mean you can’t have quick wins

• You must be prepared for resistance to any significant organizational change.

• You must also understand that change adoption is not likely to be linear.

Page 20: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Peter M. Senge – The Five Disciplines (towards building a Learning Organization)

• 1. Personal Mastery

• 2. Mental Models

• 3. Shared Vision

• 4. Team Learning

• 5. Systems Thinking

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Page 21: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Composite Organizational Change Model for the Learning Organization

23

Individual- Psychological

Organizational

Page 22: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Necessary Conditions for Successful Change:

1. Leadership for the Change

2. Capabilities that are weaved into the fabric of the organization

24

-John Kotter Leading Change

Page 23: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Implementing Process: Managing Change

Eight Stages of Leading Change, John Kotter

1. Create Sense of Urgency

2. Create Guiding Coalition

3. Develop a Change Vision & Strategy

4. Communicate the Change Vision

25

Page 24: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Still Managing Change

Kotter’s 8-Stage Process continued:

5. Empower Broad-based Action

6. Generate Short-term Wins

7. Consolidate Gains and Produce more Wins

8. Anchor New Approaches in the Culture

26

Page 25: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Implementing Change- Communicating the Vision through Anchoring

ADKAR Model: ‘Managing the People Side’ to embed Changes in the culture:

• A: Awareness of need for Change (Communications)

• D: Desire to participate in and support the Change

• K: Knowledge on how to change (Education)

27

-Prosci – www.prosci.com

Page 26: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

• Desire does NOT mean 100% acceptance rate

• 20 – 60 – 20 rule (with apologies to V. Pareto)

28

-Prosci – www.prosci.com

Page 27: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Implementing Change- Communicating the Vision through Anchoring

ADKAR Model: ‘Managing the People Side’ to embed Changes in the culture:

• A: Ability to implement required skills and behaviors (Training)

• R: Reinforcement to sustain the change

29

-Prosci – www.prosci.com

Page 28: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC30

Page 29: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

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Page 30: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

The Model Applied – Change Trigger to 1. Sense of Urgency

• From current Shared Vision – where is the organization

falling short?

• What are the ‘pain points?’

• Have there been triggers? Specific occurrences leading to

a consideration of change?

Page 31: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

The Model Applied – 2. Create the Guiding Coalition

• Ideally a broad-based team

– Enough power to lead the change

– Enough knowledge to lead the change• Process Experts

• ITSM Experts

• Project Management

• Functional Managers

• Executive sponsor

Page 32: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Generic Improvement Model – Steps for the Guiding Coalition as they3. Develop the Vision and Strategy

1. Analysis -- Where are We now?

2. Goals & Objective – Where do we want to be?

3. Plans– How do we get there

4. Measurement & Tracking – Are we there yet?

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Page 33: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Generic Improvement Model – Steps for the Guiding Coalition as they3. Develop the Vision and Strategy

• Analysis – Where are we now?

– Suggest widening the Guiding Coalition at this iteration

– Include line staff- those who best know existing process

– Include them in detail

definition

35

Page 34: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Generic Improvement Model – Steps for the Guiding Coalition as they3. Develop the Vision and Strategy

• Suggest using Project Management Methodology

– Define the goals of the projects (charter)

– Clearly define the scope of the project (charter)

– Define a reasonable project schedule to track progress

36

Page 35: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Generic Improvement Model – Steps for the Guiding Coalition as they3. Develop the Vision and Strategy

• Caution- Beware Scope Creep

– Recharter your Program if necessary

• As Knowledge is gained- the Vision may change as well

• Failure to recharter may shortchange the end of the program

37

Page 36: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Generic Improvement Model – 4. Communicate the Vision(Awareness and Desire)

• This is a continuous step – it should begin as soon as the Vision is clear

• You are seeking to build:

– Awareness of the need for change

– Desire to participate in and

support the change

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Page 37: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Generic Improvement Model – 4. Communicate the Vision(Awareness and Desire)

• Kotter suggests that it impossible to overcommunicate

– Use a variety of methods to communicate.

– Include the commitment- the change is NOT an option (you can’t wait it out)

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Page 38: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Generic Improvement Model – 4. Communicate the Vision(Awareness and Desire)

• Examples: – Participation on Process and SOP Design Teams– High Level Concepts Workshops

• First for Senior Managers• Followed by Line Staff

– Posters– Newsletter column– Staff Meetings

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Page 39: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Generic Improvement Model – 5. Empower Broad Based Action

41

• Charter the Individual Projects

• Provide Funding

• Analysis Teams move to (re)Design• Committee to design SOPs for Service Requests• Process Design Teams for Incident, Problem and Change

• Vendor Selection

Page 40: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Generic Improvement Model – 6. Generate Short Term Wins

42

• This is where Knowledge and Ability are applied

• (beware of ‘managing by low-hanging fruit.’)

Page 41: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Generic Improvement Model – 7. Consolidating Gains

43

Page 42: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

Generic Improvement Model – 8. Anchor New Approaches (Reinforcement)

44

• Change Adoption and Execution is NOT likely to be linear

• Have plans to Reinforce the Change

• Resist the temptation to declare victory too early

Page 43: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

JInitial level of happiness and productivity.

Trough of despair

The J-Curve of Change

Page 44: Copyright 2010. Compliance Process Partners, LLC William L. Cunningham, PMP   wcunningham98@gmail.com Twitter: wlcunning.

Copyright 2010. Compliance Process Partners, LLC

•Questions?Contact:

[email protected]

http://wcunning.com

http://cppit.com

Presentation with notes available at

http://www.wcunning.com/DMM/DMMHome.html


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