Introducing and Sustaining Change

Professional Development Workshop

SEPG North America22-25 March 2010

Rick HefnerDirector, Process Assurance

Northrop Grumman Corporation

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Background

• Successful change requires the right combination of strategy, structure, and support

• Your chances of success depend on your current culture, the desired end state, the resources available, the past response to change , and your ability to recognize and address resistance

• This workshop will provide practical approaches, tools, and techniques for introducing and sustaining change in your organization

This presentation reproduces the “IDEAL Model Graphic” copyright 1997-2009 by Carnegie Mellon University, with special permission from its Software Engineering Institute.

ANY MATERIAL OF CARNIEGIE MELLON UNIVERSITY AND/OR ITS SOFTWARE ENGINEERING INSTITUTE CONTAINED HERIN IS FURNISHED ON AN “AS-IS” BASIS. CARNIEGIE MELLON UNIVERSITY MAKES NO WARRANTIES OF ANY KIND, EITHER EXPRSSED OR IMPLIED, AS TO ANY MATTER INCLUDING, BUT NOT LIMITED TO, WARRANTY OF FITNESS FOR PURPOSE OR MECHANTABILITY, EXCLUSIVITY, OR RESULTS OBTAINED FROM USE OF THE MATERIAL. CARNIEGIE MELLON UNIVERSITY DOES NOT MAKE ANY WARRANTY OF ANY KIND WITH RESPECT TO FREEDOM FROM PATENT, TRADEMARK, OR COPYRIGHT IMFRINGEMENT.

This presentation has not been reviewed nor is it endorsed by Carnegie Mellon University or its Software Engineering Institute.

IDEAL is a service mark of Carnegie Mellon University. CMMI is registered in the U.S. Patent and Trademark Office by Carnegie Mellon University.

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The IDEALSM Model

Source: “IDEAL: A Users Guide for Software Process Improvement”, Robert McFeeley, CMU/SEI-96-HB-001, Feb 1996, used with permission

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The Non-IDEAL Model

SEPG develops plans and schedules

Management sets a goal of

achieving “Level x by date Y”

SEPG assigned the task with a

fixed budgetThe projects listen politely

(perhaps) to the SEPG plans and schedules, but either ignore the requests

for action or provide a minimal response

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Topics

• Necessary ingredients for change– Why people resist change– Effective strategies for addressing resistance

• Assessing your organization’s capability to change• Keys to leading the change

– Explaining the value of every practice– Management support– Influence without authority

• Keys to sustaining the change

Maslow’s Hierarchy of Needs

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Opportunities for innovation and creativity, learning and creatingRecognition from others, prestige and statusBeing part of a group, identification with a teamEconomic security, freedom from threatsPhysical survival needs: food, water, shelter, etc.

Why Do People Resist Change?

I want to stay where I am because……my needs are already met here…I have invested heavily here...I am in the middle of something important

I do not want to change because……the destination looks worse than where I am now…there is nothing to attract me forwards…I do not know which way to move…the journey there looks painful...the destination or journey is somehow bad or wrong…I do not trust those who are asking me to change

I am not going to change because……I am able to ignore the change…I have the power to obstruct the change

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Why Do People Resist Change?Perceived Loss of Personal Power

Here’s the new CMMI® practices you need to start

implementing.

If these are essential industry best practices…

and I haven’t been performing

them….

then I’ve been wrong….

so they must not be essential industry best

practices!

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Assessing your Change Targets

• Beliefs - Basic drivers of thought and behavior– What beliefs do they have about themselves? Their work?– How strongly do they hold these beliefs? – What are the beliefs that they have that led them to oppose the

change? – What beliefs do they have that could be used to help convert

them? • Values - Guides for what is good/bad,

important/unimportant– Are any of their values being violated by change actions? – What are their stress values? Are these being violated? – What values can you appeal to, to persuade them to change?

• Goals - Objectives we set to satisfy values and needs– What are they on Maslow’s hierarchy of needs?– Career goals? Social goals? Other goals? – How are their goals affected by the change?

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Assessing your Change Targets (continued)

• Perceptions – Their personal reality– What do they think will happen because of the change? – What are their perceptions of those implementing the change?

Do they think the change agents will be fair? Do they think they are competent?

• Potential - What they can and are likely do to oppose the change– What power do they have? Source of that power? (position,

expertise, social, etc.) – How might they use that power? (blocking, persuading others,

etc.) • Triggers - Those events that would tip them into action

– What would cause them to use their power? (events, actions, etc.)

– What would inhibit them beforehand? (involvement, listening, etc.)

– What would inhibit them after they had started resisting? (listening, threats, etc.)

– Who do they listen to? (friends, social leaders, senior people, etc.)

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Stakeholder Analysis

1. Identify key stakeholders2. Plot current stakeholders feelings regarding desired change (O =

current)3. Plot needed stakeholder feelings (X = needed) in order to successfully

accomplish desired change4. Indicate how individuals link to each other; use arrows to indicate

who influences whom5. Identify actions for closing gaps

Name Strongly Against

Moderately Against

Neutral Moderately Supportive

Strongly Supportive

Action Steps

Senior Mgmt

X O Xxxxxxx xxxx

PMs X O Xxxxxxx xxxx

Engineers X O

Xxxxxxx xxxx

Customers X O

Xxxxxxx xxxx

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Reaction to Change Perceived as Negative:Kübler-Ross Grief Cycle

Immobilization: Initial paralysis at hearing the bad newsDenial: Trying to avoid the changeAnger: Frustration, outpouring of bottled-up emotionBargaining: Seeking for a way outDepression: Final realization of the inevitableTesting: Seeking realistic solutionsAcceptance: Finally finding the way forward

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Reaction to Change Perceived as Positive

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Willingness to Change

• Early adopters are motivated by perceived benefits• Late adopters are motivated by avoiding pain

Source: Geoffrey A. Moore, Crossing the Chasm, 1999, used with permission

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Exercise: Stakeholder Analysis

1. Identify key stakeholders

2. Plot current (O) and Desired feelings regarding change

3. Identify grief state

4. Identify willingness to change state

Name SA MA

N MS SS Grief/Joy Cycle Willingness to Change

Action Plan

Senior Mgmt

PMs

Engineers

Customers

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Topics

• Necessary ingredients for change– Why people resist change– Effective strategies for addressing resistance

• Assessing your organization’s capability to change• Keys to leading the change

– Explaining the value of every practice– Management support– Influence without authority

• Keys to sustaining the change

Why Do People Resist Change?

I want to stay where I am because……my needs are already met here…I have invested heavily here...I am in the middle of something important

I do not want to change because……the destination looks worse than where I am now…there is nothing to attract me forwards…I do not know which way to move…the journey there looks painful...the destination looks/feels wrong…I do not trust those who are asking me to change

I am not going to change because……I am able to ignore the change…I have the power to obstruct the change

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Different Approaches for Different States

Address the Underlying Beliefs

• Sponsors and performers must have a strong vision of the desired culture– What are my roles and responsibilities?– What changes in behavior are required?– What are the underlying beliefs and values?– How do I benefit – WIIFM?

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Culture

Ethics Values Norms

Attitudes Beliefs Priorities

Opinions Behavior Conduct Do & Don’ts

Covert level

Intermediate level

Overt level

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Communicate the Key Messages

• CMMI® is a set of proven, industry best-practices– Adoption is about learning how to apply these practices

to our work– The practices may feel awkward and have limited value

until we learn them– It’s OK to make mistakes – we will get better over time

• CMMI® involves short-term investment for long-term gain– Achieving and maintaining mature processes is essential to meeting our

business goals• CMMI® is an enabler (not a guarantee) of project success

– Other aspects (people, technology, customer relationship, etc.) are equally important

– The value is often risk reduction (which may be difficult to measure)• When the entire organization is behaving maturely,

everyone’s job becomes easier• Continuous improvement is a way of life

Address Fear of Failure

• The risk of change may be seen as greater than the risk of standing still– Making a change requires a leap of faith

• The perceived loss of personal power– I’m seen as competent now, but in a new culture…

Effective Strategies• Clearly describe why the situation favors change

– Business goals, WIIFM– Engage the rational mind first (the emotional mind will follow)

• Make it clear initial mistakes are expected and will be tolerated– Create forums for asking and answering questions

• Show people how they can be effective in the changed environment

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Encourage and Support

• Practitioners may feel they don’t have time to learn new ideas

• Practitioners may need role models – Most change agents don’t need role models,

because they easily imagine new situations

Effective Strategies• Ensure adequate resources during the learning curve

– CMMI® practices reduce costs in the long run – short term investment for long term gain

• Search out and publicize good examples and successes– Set up pilot programs that model the change

• Encourage the next step in the change process• Ensure management takes accountability for action

– Must change short term priorities to achieve long term results22

Ensure Accountability

• Adopting and sustaining CMMI® is about each practitioner learning and performing the new behaviors

• The role of management in cultural change is to hold people accountable for the new behaviors and conduct

Effective Strategies• Change agents can enable management by:

– Helping them have a clear vision of the new culture– Identifying inappropriate behavior– Providing tangible, objective measures of adoption/sustainment

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Help Them Accept Change

• Healthy skeptics may improve an idea• People may fear hidden agendas

– Late adopters often look for messages in how resistance is handled

Effective Strategies• Set up mechanisms for obtaining feedback

– Some will prompt genuine improvements– Some will be based more on fear and anger than substance

• Be honest about setbacks and negative impacts• Management must be willing to enforce change, in the face

of objections – Consensus will almost never be reached– Communicate that objections and uncertainty does not

eliminate the need for change - "The dogs may bark, but the caravan goes on." 24

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When Faced with Unexpected Resistance

Stop• The natural tendency of many people

is to respond immediately, with an authoritarian or angry response

• This may generate sympathy, galvanize the resistance, and/or make it covert

Look• Pause, assess the situation, and diffuse the emotion• What is the person’s emotional state?Listen• Is this a misunderstanding or a legitimate concern? • What does their message say about their underlying

beliefs, values, goals, perceptions, potential, triggers?

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Exercise: Action Plan

• Revisit the stakeholder analysis and determine an action plan for each of the stakeholders

Name SA MA

N MS SS Grief/Joy Cycle Willingness to Change

Action Plan

Senior Mgmt

PMs

Engineers

Customers

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Topics

• Necessary ingredients for change– Why people resist change– Effective strategies for addressing resistance

• Assessing your organization’s capability to change• Keys to leading the change

– Explaining the value of every practice– Management support– Influence without authority

• Keys to sustaining the change

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A Typical Interchange

“You’re not doing practice X”

“You must do that practice to satisfy CMMI®”

“Practice X adds value”

“Well, it’s in the CMMI®,so it must be important”

“Well…, you have to do the practice or you’ll

fail the appraisal!”

“So.”

“The customer didn’t say we have to do practice X”

“How?

“Practice X doesn’t make sense for us – we’re special”

“$^&*&%!!!!!”

CMMI® Change Agent CMMI® Change “Target”

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Explaining the Value of Every Practice

• The CMMI® is a model of industry best-practices for engineering products

• When an organization decides to adopt CMMI®, they commit to performing these best-practices– Different than a customer-driven process, where you simply do

what the customer asks you to do• You are performing practices in the best way known in

industry– “Best” implies predictably producing products of acceptable

quality at the lowest possible cost and schedule

Underlying Principles of CMMI®

• Process discipline leads to predictable project performance– Say what you do; do what you say– Document the plans/processes– Communicate them to the performers and stakeholders– Audit to ensure we are following them

• Conscious choices lead to better processes– E.g., identify relevant stakeholders and their involvement;

identify work products to be controlled and the control method; define validation procedures and criteria, …

• Organizational learning improves project performance– Capture what works, and what doesn’t– Make rules (policies) to guide projects– Define expected processes, and let projects tailor them to fit– Capture work products and measures, and learn from them

30 Source: Rick Hefner and Sree Yellayi, “Interpreting the CMMI® : It Depends!”, 2005

How Do the CMMI® Practices Add Value?

• Each practice provides value in 3 possible ways:– Performance – the practice directly reduces cost and or

schedule through either increased efficiency, increased effectiveness, or lowered rework

– Quality – the practice produces higher quality products, by either preventing or uncovering defects

– Communications – the practice helps everyone understand expected behavior, or provides insight leading to better decisions

• Many practices effect more than one dimension• Some practices provide the potential for a positive impact

or reduce the risk of a negative impact

31 Source: Rick Hefner, "How to Explain the Value of Every CMMI® Practice", 2007

Some CMMI® Areas Offer More Potential Value than Others

• The activities which drive cost and schedule the most provide the most potential for productivity improvement

• For most large software companies and large software projects, the most expensive and time consuming activities, in rank order are*:– Defect removal– Producing documents– Meetings and communications– Coding– Project management

32Source: “The Schedules, Costs, and Value of Software Process Improvements,” Caper Jones, 2007, used with permission

Barriers to Seeing the Value

“Sometimes you have to believe it to see it.”

• Practitioners may not have worked in an environment where the practice was performed

• Practitioners may have worked in an environment where the practice was performed poorly or in a non-value-added manner

• The practice may run counter to a long-held belief• Believing the practice is an improvement may require an

action the practitioner is not willing to take– Awkwardness of doing something new– Admit they’ve been doing it wrong– Loss of personal power when perceived to be an expert in the

current approach

33 Source: Rick Hefner, "How to Explain the Value of Every CMMI® Practice", 2007

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Willingness to Change

• Early adopters are motivated by perceived benefits• Late adopters are motivated by avoiding pain

Source: Geoffrey A. Moore, Crossing the Chasm, 1999, used with permission

Management Support

Management must:• Understand the key messages• Be willing to take actions to reinforce them• Provide resources to support/sustain process improvement

efforts• Set expectations that essential project functions will be

funded and processes will be followed– Project planning, estimation, tailoring, CM, QA, etc.

• Support process improvement and sustainment, rather than passing appraisals

• Reward mature processes development and sustainment rather than individual heroics– Tell me how you will reward me, and I’ll tell how I will behave

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Different Strategies for Different Practices

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CMMI® practices

Already performing

Not performing

Aware of Not aware of

Don’t perceive as valuable

Perceive as valuable

Capture appropriate

evidence

Learn how the practice adds value

Strategize appropriate approach

Key enablersWillingness to learn unfamiliar practices Desire to extract value not “check the

box”Ability to interpret the CMMI® in your context Understanding the value of

the CMMI® practices

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Exercise: Explaining the Value of Every Practice

• Which process areas/practices does your stakeholders not understand the value of?

• If you don’t know the value, how will you find out?

• If you do know the value, how will you convince others?

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Principles of Influence

• All interpersonal behavior involves exchange– “Paying” others for what we request; being paid for what we do– You have influence, insofar as you can give others what they

need, in exchange for what you need• To have influence, you must:

– See the other person as a potential ally– Clarify your goals & priorities– Diagnose your ally’s goals & priorities– Possess resources to help your ally– Negotiate the exchange

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Possible “Currencies” to Exchange

Inspiration• Vision• Excellence• Moral/ethical correctness

Task• Resources• Challenge/learning• Assistance• Organizational support• Rapid response• Information

Position• Recognition• Visibility• Reputation• Importance• Contacts

Relationship• Acceptance• Understanding

Personal• Gratitude• Self-concept• Comfort

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Five Dimensions of Work

• Skill variety - The degree to which the work requires you to exercise a variety of skills

• Task identity - The degree to which the work requires you to complete a whole, identifiable piece of work

• Task significance - The degree to which your work affects others and contributes to social welfare

• Autonomy - The degree to which you have control over the means and methods you use to perform your work

• Job feedback - The degree to which carrying out the work itself provides you with direct and clear information about how effective you are.

Source: Richard Hackman & Greg Oldham, Work Redesign, 2004, used with permission

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Exercise: Determine Possible Exchanges for Each Key Stakeholder

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Topics

• Necessary ingredients for change– Why people resist change– Effective strategies for addressing resistance

• Assessing your organization’s capability to change• Keys to leading the change

– Explaining the value of every practice– Management support– Influence without authority

• Keys to sustaining the change

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Deep vs. Shallow Commitment

Deep - characterized by:• A good understanding of

the logic and other reasons • Alignment of the

commitment with personal beliefs, values and motivations

• Strong emotional buy-in• A personal attachment to

the person doing the persuading

• Little questioning or doubt about what needs doing

• Timely actions and persistence in the face of adversity

Shallow - characterized by:• Limited understanding of

the logic of the argument• Misalignment with one or

more of beliefs, values and motivations.

• Low emotional buy-in • Limited trust or liking of

the person doing the persuading.

• Wait-and-see, detached attitude

• Internal justification for limited actions

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What Institutionalization Is

• When mentioned in the generic goal and generic practice descriptions, institutionalization implies that the process is ingrained in the way the work is performed and there is commitment and consistency to performing the process

• An institutionalized process is more likely to be retained during times of stress

GG 2 Institutionalize a Managed ProcessGP 2.1 Establish an Organizational PolicyGP 2.2 Plan the ProcessGP 2.3 Provide ResourcesGP 2.4 Assign ResponsibilityGP 2.5 Train PeopleGP 2.6 Manage ConfigurationsGP 2.7 Identify and Involve Relevant

StakeholdersGP 2.8 Monitor and Control the ProcessGP 2.9 Objectively Evaluate AdherenceGP 2.10 Review Status with Higher Level

ManagementGG 3 Institutionalize a Defined Process GP 3.1 Establish a Defined ProcessGP 3.2 Collect Improvement Information

Institutionalization: The ingrained way of doing business that an organization follows routinely as part of its corporate culture.

- CMMI® -DEV v1.2

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Common Features – A Lost Perspective in CMMI® v1.2!

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Organizational Culture

• A pattern of shared basic assumptions that the group learned as it solved its problems of external adaptation and internal integration, that has worked well enough to be considered valid and, therefore, to be taught to new members as the correct way you perceive, think, and feel in relation to those problems.

• Artifacts– The practices that can be observed in such areas as dress code,

leadership style, communication processes• Espoused values

– The elements the organization says it believes in, the factors that it says influence the practices in which it engages

• Basic underlying assumptions– Unstated beliefs the organization has come to accept and abide

bySource: Edgar H Schein, Organizational Culture & Leadership, 2004, used with permission

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Why Institutionalization Fails

• Few engineers or managers are trained in organizational psychology

• Improvement efforts implement the generic practices (i.e., change the artifacts) without understanding or addressing lower level contributors to culture

Culture

Ethics Values Norms

Attitudes Beliefs Priorities

Opinions Behavior Conduct Do & Don’ts

Covert level

Intermediate level

Overt level

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Addressing the Underlying Beliefs

• Sponsors and performers must have a strong vision of the desired culture– What are my roles and responsibilities?– What changes in behavior are required?– What are the underlying beliefs and values?– How do I benefit – WIIFM?

Culture

Ethics Values Norms

Attitudes Beliefs Priorities

Opinions Behavior Conduct Do & Don’ts

Covert level

Intermediate level

Overt level

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Five Dimensions of Work

• Skill variety - The degree to which the work requires you to exercise a variety of skills

• Task identity - The degree to which the work requires you to complete a whole, identifiable piece of work

• Task significance - The degree to which your work affects others and contributes to social welfare

• Autonomy - The degree to which you have control over the means and methods you use to perform your work

• Job feedback - The degree to which carrying out the work itself provides you with direct and clear information about how effective you are.

Source: Richard Hackman & Greg Oldham, Work Redesign, 1980, used with permission

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Perceptions of the CMMI® Common Features Based on Work Environment Preferences

Skill Task Task Autonomy Job Variety Identity Significance Feedback

Commitment to Perform Establish an Org. Policy

Ability to Perform Plan the ProcessProvide ResourcesAssign ResponsibilityTrain PeopleEstablish a Defined Process

Directing ImplementationManage ConfigurationsInvolve StakeholdersMonitor/Control the ProcessCollect Improvement Info

VerificationObj. Evaluate AdherenceReview with Higher Mgmt

Source: Rick Hefner, “Aligning CMMI® Strategies with Individual, Project, and Organizational Perspectives,” Software Technology Conference, 2003

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Effective Use of Audits and Appraisals

• Process and product audits provide tangible, objectivemeasures of adoption/sustainment – Policies, processes, and standards must reflect the desired

behaviors• Appraisals evaluate the effectiveness of the audit program

– Standardized tools, approaches, and methods– Consistency of appraisers – if they understand the way we are

structured and operate, there is less time required to understand what we are doing.

– Pre-appraisal activities to prepare projects for the appraisal process

• The frequency of audits and appraisals, and the sampling, must reflect the progress of the cultural change– As the culture begins the change, more frequent and more in-

depth audits/appraisals are required– Later, the amount of audits/appraisal may decrease, if the

culture has truly changed

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Exercise: Using the Common Features

• In the current culture, which of the common features /GPs is strongest? How could it be used to increase adoption?

• Which of the common features /GPs is weakest? How could it be strengthening it help adoption?

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Summary

• Successful change requires the right combination of strategy, structure, and support

• Your chances of success depend on your current culture, the desired end state, the resources available, the past response to change , and your ability to recognize and address resistance

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