ORGANIZATION MANAGEMENT

ORGANIZATION MANAGEMENT Change Management By; Engr, Attaullah Shah BSc Engg ( Gold Medlaist), MSc Engg ( Strs), MBA, MA ( Eco) MSc Envir Design, PGD Computer Sc, PhD Scholar UET Taxila Engr. Attaullah Shah, Project Director AIOU-Islamabad.

SOME QUOTATIONS • God doesn't Change the Nation unless they have the will to change themselves- Holy Quran • He who rejects change is the architect of decay. The only human institution which rejects progress is the cemetery. ~Harold Wilson. • Carl Rogers said: The curious paradox is that when I accept myself just as I am, then I can change. • Change is the law of life. And those who look only to the past or present are certain to miss the future. John F. Kennedy • We must all obey the great law of change. It is the most powerful law of nature. Edmund Burke. • It is not the strongest of the species that survive, nor the most intelligent, but the one most responsive to change. Charles Darwin.

Nature gives to every time and season some beauties of its own; and from morning to night, as from the cradle to the grave, it is but a succession of changes so gentle and easy that we can scarcely mark their progress. Charles Dickens. • You must be the change you wish to see in the world. Mahatma Gandhi. • To improve is to change; to be perfect is to change often. Winston Churchill • People can cry much easier than they can change. James Baldwin • To exist is to change, to change is to mature, to mature is to go on creating oneself endlessly Henri Bergson • When you‘ve finished changing, you're finished. Benjamin Franklin

What is Change? Change is the process of moving from onestate (current state) to another (future state) Current State Future State Transition

Changing Workplace • Globalization: Borderless world • Technology: Catalyst to change. • Merger & Acquisition: Increase market share & profits • Workplace diversity: Virtual organizations • Organizational Structure: Focused on value addition. • Work-life balance: More priority of personal life. • High rate of Change: Cannot be ignored. • Increased competition: Never Ending • Increased Ethical and Social responsibility:

Determination of what should be changed? • Giegold and Craig: Organizational effectiveness is result of the activities centering around three main classes: • People Factors: Attitudes, Leadership skills, communicating skills, negotiating and other human skills. • Structural factors: Policies and procedures. • Technological factors: Equipment, processes. • To check which changes will improve the organizational effectiveness, two diagnosis; • Internal organizational diagnosis ( Strength and Weakness) • External Environmental diagnosis ( Opportunities and Threats) • Also called SWOT Analysis.

Change – Facts & Dynamics Dynamics of Change Facts about Change People ... • feel awkward, self-conscious • think first about what they have to give up • feel alone • can only handle so much • are at different levels of readiness • revert to the old as soon as the pressure is off • Change is inevitable • Change is uncomfortable • Change is disruptive • The complexity of change has increased

Current State Future State Transition How Does Change Take Place? External Forces • Economic • Social • Organizational • Environmental • Legal Internal Transition • Psychological process to shift behavior • Let go of the old and embrace the new • Occurs at your own pace • Internal transitions must occur before change is fully realized

The Cycle of Transition Denial Commitment Reward and Motivate Inform, Communicate and Motivate teamwork satisfaction clear focus and plan cooperation balance clear vision of the future it will be over soon this won’t happen apathy numbness minimize the change ignore Resistance Exploration Facilitate, Problem Solve and Motivate Listen, Share and Understand seeing possibilities exploring alternatives feeling “ I can make it” high creativity and energy too many new ideas lack of focus indecisiveness have too much to do start “being” in the future sense of loss of control concerned with competency future contribution unclear lack of focus or direction can’t sleep at night anger/fights withdrawal from the team blaming ZIGZAG Adapted from Managing Change at Work by Cynthia Scott and Dennis Jaffe

Strategies for Managing Reactions to Change Denial: Gain Power Through Information Commitment: Keep the Momentum • Gather information from reliable sources. • Avoid getting caught up in rumors and speculation. Discuss rumors openly with your manager and verify facts. • Allow yourself time to internalize and reflect on how you feel about the change. Don’t be swept away by other’s emotion. • Avoid staying stuck in this stage. It can be draining and defeating. • Continue to find new solutions to the new situation. • Revisit and refine your goals. • Continue to rally people around the change. • Avoid complacency by assuming a new status quo. • Continue to expand your skills and knowledge. • Break out of your comfort zone by taking on new assignments and challenges. Exploration: Venture into Uncharted Territory Resistance: Stop Spinning Your Wheels • Accept that this is a period of emotional turmoil and that you may experience feelings of anger, hurt, disappointment, depression, betrayal and loss. • Seek emotional support from trusted friends, family, peers and managers. • Avoid self-defeating behavior such as acting like a victim, developing a bad attitude, and rallying others to fight the change. • Avoid staying stuck in this stage: A prolonged negative attitude can earn you a poor reputation and undo a lot of your good work. • Continue to suggest ideas and think unconventionally. • Focus on changes that can be made to work rather than listing all the things that can go wrong. • Focus on priorities and set short term goals for yourself. • Acquire new skills and knowledge.

Shifting Behaviors… To have people consistently behave in a new way, three conditions must be met the person must • be awareof what the new desired behavior is; • have the skills to perform the desired behavior successfully • be motivated to change his/her old behavior

Managing Organizational Change a disciplined approach to help organizations manage transition

Guiding Principles of MOC • People are our only sustainable competitive advantage - they are the intellectual capital of the organization. • Those who are closest to the work have the best information about what is needed to do it most effectively. • People tend to support more readily what they help to create. • People need to understand the context of the change. Understanding is found through dialogue. • To build a sustainable change, people must experience some personal results.

Sponsorship Alignment Maintain Sponsor Alignment and Commitment Stakeholder Analysis Identifying those impacted or influenced by the project Communication Minimizing thrash to the organization Change Impact & Organizational Readiness Assessment Identifying impacts of the change and monitoring organizational readiness Training Training strategy & delivery Knowledge Transfer Knowledge capture and transfer to benefit project and others MOC Areas of Focus Team Effectiveness Assessing team dynamics and assisting the project manager

Communication Minimizing thrash to the organization Creating Your Business Case The purpose of a business case for change: • To influence alignment around project objectives, deliverables, and metrics Business case should articulate: • The objectives of the project • The intended outcomes and benefits • Specific deliverables (including specific results) • The driving forces • The costs (fixed, short term, long term) and ROI • The timeline and expected delivery date • The constraints, risks, and challenges • The proposed project structure – who is leading, who is participating

Communication Minimizing thrash to the organization Creating Your Business Case Critical Success Factors: • Gain alignment and agreement between sponsors and key stakeholders. • Created to be used in future communications to end users • Consider this a decision checkpoint: should we proceed with this investment or not? • Lack of alignment indicates the need for continued refinement of the business case or a halt to the project.

Stakeholder Analysis Identifying those impacted or influenced by the project Stakeholder Analysis The purpose of the stakeholder analysis: • To specifically identify all members of the community that will be directly or indirectly impacted by the project • To assess the ‘reach’ or magnitude of the project Creating a stakeholder analysis: • List all groups and individuals you expect to be impacted • Useful to include the following attributes initially: • Group name / individual name • Manager name • Classification (sponsor, focus/target, change agent) • Directly or indirectly impacted • Impact Assessment (high, medium, low) • Key interests or expectations

Stakeholder Analysis Identifying those impacted or influenced by the project Stakeholder Analysis – 2 • Do early and update often. • Utilize this information throughout the project – communication planning, focus groups, training assessments, and identification of risk areas • Avoid the temptation to create multiple lists. Make use of this as the master list and design to future intentions. • Use for assessments of needs, expectations, and success factors for key stakeholders by conducting interview sessions.

Communication Minimizing thrash to the organization Communication The purpose of communication planning: • To identify objectives and messages for key communications ‘moments’ within a project • To provide discipline around reviewing your communication strategy • To provide a process to follow for creating messages. It can take 7-11 times for us to hear a message before we internalize…

Communication Minimizing thrash to the organization Communication – 2 The communication planning process: START Determine key messages and communication objectives From stakeholder analysis Get feedback and analyze effectiveness Determine audience Communication Process Deliver the communication Determine our desired outcomes What would be observable? Determine communication vehicles, owners, and timing

Sponsorship Alignment Sponsorship Alignment Maintain Sponsor Alignment and Commitment The purpose of sponsorship alignment: • To help build the partnership between the project and the sponsors • To set expectations about what the sponsors will be asked to do to support the MOC activities of the project. Sponsorship alignment includes: • Specify sponsor roles and expectations • Validate adequate sponsor representation • Determine engagement model (expectations for future meetings and checkpoints) • Periodic sponsorship assessments • Determining escalation model • Clearly stating accountability • Establishing effective relationships with sponsors – keeping in touch

Sponsorship Alignment - 2 Sponsorship Alignment Maintain Sponsor Alignment and Commitment Sponsor Roles & Responsibilities: • Maintaining program priority • Championing the program through personal actions and conversations to peers and own organization • Resolves conflicts over policies or objectives • Providing political influence at high levels • Acts as an escalation board for unresolved issues or cross-functional decisions • Approving scope changes to site project plans • Removing roadblocks and supporting key project decisions • Creating the cultural shifts necessary to realize the business results and benefits. EXECUTIVE SPONSORS Note: There may be different levels of sponsorship needed throughout the life of the project

Training Training strategy & delivery Training The purpose of training strategy/planning: • To identify the educational needs required to update or alter the skills needed by the directly impacted audience • To effectively deliver the training required Training strategy/plan should articulate: • A holistic picture of the education required to shift to future state • Training goals and objectives • Audience analysis • Training needs analysis • Delivery approach • Cost proposals • Use the stakeholder analysis for needs assessment

Training Training strategy & delivery Training Strategy/Plan • Audience analysis is key to training success • Critical to understand what is the same and what is different to create that bridge between the familiar and the unknown • Critical to accommodate multiple learning styles in training design • Ensure your business community reviews and sponsors your strategy and delivery plan • Hardest work is in the logistics

Change Impact & Organizational Readiness Assessment Identifying impacts of the change and monitoring organizational readiness Change Impact and Organizational Readiness The purpose of these activities: • To assess the magnitude of the change to the organization • To assess or assist on assessing organizational readiness for go/no go decision checkpoints Change impact should articulate: • What will stay the same • What will be different • What community is impacted how

Change Impact & Organizational Readiness Assessment Identifying impacts of the change and monitoring organizational readiness Change Impact and Organizational Readiness Sample Change Impact: Who does this What systems are Other processes Current State today? used? impacted? Process Step Engineer Designer RA400 Supplier Notification Are there What systems will What are the key What is the impact Future State Who will do this? differences? be used? differences? of this change? Yes or No Transitioning to Need training for Process Step Procurement New System Yes Procurement procurement - need to assess readiness to transition

Knowledge Transfer Knowledge capture and transfer to benefit project and others Knowledge Transfer The purpose of knowledge transfer: • To identify your strategy for leveraging team knowledge • To articulate tactical steps in knowledge capture, sharing, and transfer • To identify trends in learning within the organization Knowledge Transfer strategy should articulate: • Recommendations for sharing key learnings from past projects • Recommendations for conducting retrospectives at end of each project phase • Process for communicating and sharing key learnings • Project’s strategy for sharing knowledge and assessing learning skills • Process for analyzing trends • Process for storing and retrieving key learnings

Knowledge Transfer Knowledge capture and transfer to benefit project and others Knowledge Transfer – 2 • Ensure knowledge transfer activities are captured as part of the project schedule • Understand your intent for capturing knowledge – how will it be used • Identify ‘in the moment’ opportunities to ask “are we getting the results we want and if not, what do we want to do about that?” • Developing a psychologically safe environment where learnings are valued

Team Effectiveness The purpose of team effectiveness: • To purposefully attend to team effectiveness on behalf of relationships and quality of deliverables • To assess team processes in decision making, problem solving, and communication • To partner with project manager and team members Team Effectiveness Assessing team dynamics and effectiveness

Team Effectiveness – 2 Team Effectiveness Assessing team dynamics and effectiveness Teams are most effective when: • Commitment to a common purpose • Clearly articulated goals • Roles are understood and aligned • Processes for decision making are clear • Team is able to self-learn about their own effectiveness • Mutual accountability for success • Ability to share leadership • Ability to collaborate • Team is able to observe and respond to group norms QUESTION: ARE WE GETTING THE RESULTS WE WANT? IF NOT, WHAT DO WE DO ABOUT IT?

Why is it important to focus on Organizational Change? • Today is a world of complex and frequent change • Cultural and behavioral factors are the essence of organizational change • Supports consistent leadership and communication practices

Deloitte & Touche Survey of CIO's regarding Business Transformation: Top 10 Barriers to Success Barriers to Success for Organizational Change Resistance To Change 82% Inadequate Sponsorship 72% Unrealistic Expectations 65% Poor Project Management Case For Change Not Compelling 46% Scope Expansion / Uncertainty Directly Relates to Project Team Lacked Skills Managing Organizational Change No Change Management Program Not Horizontal Process View IT Perspective Not Integrated 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% % of Firms

ORGANIZATION MANAGEMENT