Change Management The Elephant In The Room!pmibaltimore.org/pmi/events/attachments/Change...ways of...
Transcript of Change Management The Elephant In The Room!pmibaltimore.org/pmi/events/attachments/Change...ways of...
© Copyright 2009 Line of Sight, LLC. All Rights Reserved April 27, 2009
ChangeChange
ManagementManagement::
The Elephant InThe Elephant In
The Room!The Room!
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1) Defining and instilling new values, attitudes, norms,
and behaviors within an organization that support new
ways of doing work and overcome resistance to change;
2) Building consensus among customers and
stakeholders on specific changes designed to better meet
their needs; and
3) Planning, testing, and implementing all aspects of the
transition from one organizational structure or business
process to another.
www.gao.gov/special.pubs/bprag/bprgloss.htm#sectCwww.gao.gov/special.pubs/bprag/bprgloss.htm#sectC
What Is ChangeWhat Is ChangeManagement?Management?
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Key ImplementationKey ImplementationChallengesChallenges
Making change stick
is a challenge! A
main reason is that
“culture resists
change”.
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Culture Resists ChangeCulture Resists ChangeTwo Main Elements ofTwo Main Elements of
Corporate CultureCorporate Culture
BehavioralNorms
• Behavioralexpectations
• Attitudes,beliefs, actions
Values• How we judge• What guides our
decisions• Principles,
standards, orqualities that matter
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Resistance: NormalResistance: Normaland Expectedand Expected
“Never underestimatethe power of the mind to
disempower.”-- John P. Kotter, The Heart of Change
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Reasons forReasons forResistanceResistance
• Lack of clear vision• Fear and anxiety• Complacency• Lack of trust• Skepticism• Leaders not “walking the talk”
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Two Approaches toTwo Approaches toChangeChange
LogicalAnalysis–Think-Change
EmotionalSee–Feel–Change
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Two Main Types ofTwo Main Types ofResistanceResistance
• Logical–Philosophical difference with the
vision–Genuine difference of opinion
• Emotional–A reflexive reaction against changing
what is familiar–The easiest to convert to support
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LogicalLogicalAnalysisAnalysis––ThinkThink––ChangeChange
1. Give people analysis.2. Data and analysis influence
how we think.3. New thoughts change and/or
reinforce changed behavior.
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EmotionalEmotionalSeeSee––FeelFeel––ChangeChange
1. Help people see.2. Seeing something new hits the
emotions.3. Emotionally charged ideas
change behavior or reinforcechanged behavior.
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Mitigating ResistanceMitigating Resistance
• Listen, listen, listen
• Respond constructively to failure
• Encourage new ideas and risk taking
• Create a sense of fun!
• Model change behavior
• A clear vision enables appropriatebehavior
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Why People ChangeWhy People Change
“People change what they doless because they are givenanalysis that shifts theirthinking than because they areshown a truth that influencestheir feelings.”
-- John P. Kotter, The Heart of Change
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The EightThe Eight--Step ProcessStep ProcessKey PrinciplesKey Principles
• Every step is necessary• The process is dynamic• Several steps can
happen simultaneouslyand continuously
• Change is an iterativeprocess
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The 8 Step Process for LeadingThe 8 Step Process for LeadingSuccessful ChangeSuccessful Change
Step 1: Increase UrgencyStep 1: Increase Urgency
Step 2: Build Guiding TeamsStep 2: Build Guiding Teams
Step 3: Get the Vision RightStep 3: Get the Vision Right
Step 4: Communicate for Buy-inStep 4: Communicate for Buy-in
Step 5: Enable ActionStep 5: Enable Action
Step 6: Create Short-term WinsStep 6: Create Short-term Wins
Step 7: Don’t Let UpStep 7: Don’t Let Up
Step 8: Make it StickStep 8: Make it Stick
Creating aClimate for
Change
Engaging and Enablingthe Whole Organization
Implementing andSustaining the Change
-- From The Heart of Change Field Guide
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Creating A ClimateCreating A Climatefor Changefor Change
Building an adequate level of energy thatwill get the change started!
Step 1: Increase UrgencyStep 1: Increase Urgency
Step 2: Build Guiding TeamsStep 2: Build Guiding Teams
Step 3: Get the Vision RightStep 3: Get the Vision Right
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Increase Urgency!Increase Urgency!
“In successful change efforts, the first step is makingsure sufficient people act with sufficient urgency –with on-you-toes behavior that looks foropportunities and problems, that energizescolleagues, that beams a sense of “let’s go”.
“Without enough urgency, large-scale changecan become an exercise in pushing a giganticboulder up a very tall mountain.”
--from Step 1 of The Heart of Change
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What is Urgency?What is Urgency?
• A sense of pressing importance
• An insistent necessity
• A call to action
Step 1: Increase UrgencyStep 1: Increase Urgency
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Know the Difference!Know the Difference!
False Urgency True Urgency
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False UrgencyFalse Urgency• Frenetic and often ineffective
activity• People are stressed, anxious,
fatigued, protective and uncertainabout the future
• Generally a history of failure ofgenuine change in the organization
• Passive – aggressive behavior
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True UrgencyTrue Urgency• Inclusive – the entire organization
gets it!• Leads to efficient and effective
actions• People are alert and proactive• A highly positive and focused force
for change• Creates energy – not exhaustion or
stress
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Why IncreaseWhy IncreaseUrgency?Urgency?
• A business case, by itself, is notenough
• True urgency engages the entireorganization
• Cooperation is gained• The momentum for change is
sustained
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Creating True UrgencyCreating True Urgency
• Focus on the heart and mind• Communicate well!• Create a consistent message
throughout all levels of theorganization
• Relate need to change to external aswell as internal environment
• Create a genuinely safe environment
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Build Guiding TeamsBuild Guiding TeamsThree critical elements:1. Engage the right people2. Set clear team goals3. Develop a climate of trust and
commitment within the teams
Step 2: Build Guiding TeamsStep 2: Build Guiding Teams
Step 1: Increase UrgencyStep 1: Increase Urgency
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Build Guiding TeamsBuild Guiding Teams
“A feeling of urgency helps greatly in puttingtogether the right group to guide changeand in creating essential teamwork withinthe group…But additional effort isnecessary to get the right people in placewith the trust, emotional commitment, andteamwork to do the job.”
--from Step 2 of The Heart of Change
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The Right PeopleThe Right People
Key skills andattributes:
• Power and influence• Leadership• Diversity• Expertise• Credibility
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Set Clear Team GoalsSet Clear Team Goals
Five basic elements:1. A shared sense of purpose2. Clear roles3. Effective team process4. Strong relationships5. Effective interface management
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A Climate of Trust andA Climate of Trust andCommitmentCommitment
• Open, honest discussion• No politics or self-interest• Focus on the challenge at hand• Conflict is managed, not ignored• Able to measure success• Clear decision-making processes
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Get the Vision Right!Get the Vision Right!Characteristics of an effective vision:• Offers a clear picture of the future• Identifies positive and negative behaviors• Coordinates action• Identifies key performance measures• Motivates and empowers people
Step 1: Increase UrgencyStep 1: Increase Urgency
Step 2: Build Guiding TeamsStep 2: Build Guiding Teams
Step 3: Get the Vision RightStep 3: Get the Vision Right
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Get the Vision Right!Get the Vision Right!
“A shared urgency for change
may push people into
action, but it is the vision
that steers them in the right
direction.”--from Step 3 of The Heart of Change
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Get the Vision Right!Get the Vision Right!
Four key steps to an effective vision:
1. Clarify the need for a vision
2. Develop the vision
3. Analyze the vision
4. Clarify the role of the team that isdeveloping the vision
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An Effective VisionAn Effective Vision• Futuristic• Compelling, vital and
relevant• Desirable• Realistic and feasible• Clear and focused• Flexible and living• Easy to communicate• Short, simple and
inspiring
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Key PointsKey Points
• The vision is a priority• Communicate before, during and
after the vision development process• Validate the vision with all
stakeholders• Close the loop; provide feedback• Stay open to input from throughout
the organization and to new ideas
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Engaging and EnablingEngaging and Enablingthe Whole Organizationthe Whole Organization
Getting all of the stakeholders involved bymodeling leadership!
Step 4: Communicate for Buy-inStep 4: Communicate for Buy-in
Step 5: Enable ActionStep 5: Enable Action
Step 6: Create Short-term WinsStep 6: Create Short-term Wins
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Communicate forCommunicate forBuyBuy--InIn
• Align words, deeds and behaviors• Tell a story• Engage the entire organization; change
does not happen in a vacuum• Effective communication requires that
both sender and receiver understand thesame message
Step 1: Increase UrgencyStep 1: Increase UrgencyStep 2: Build Guiding TeamsStep 2: Build Guiding Teams
Step 3: Get the Vision RightStep 3: Get the Vision RightStep 4: Communicate for Buy-inStep 4: Communicate for Buy-in
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Communicate forCommunicate forBuyBuy--InIn
“In successful change efforts, the visionand strategies are not locked in a roomwith the guiding team. The direction ofchange is widely communicated, andcommunicated for both understandingand gut-level buy-in. The goal: to get asmany people as possible acting to makethe vision a reality.”
--from Step 4 of The Heart of Change
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EffectiveEffectiveCommunicationCommunication
• Listen, listen, listen• Reinforce the message continuously• Seek feedback and respond to it!• Test for understanding• Link change initiatives to the vision• Use multiple strategies – words,
pictures, stories – and ensure that themessage is consistent
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CommunicationsCommunicationsPlanningPlanning
•Who?•What?•Where?•When?•How?•Why?
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Who Are TheWho Are TheStakeholders?Stakeholders?
• Leadership
• Employees
• Customers
• Who else?
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What to Communicate?What to Communicate?• Vision• Strategy• Business case• Successes!• Challenges• Updates• What else?
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Where toWhere toCommunicate?Communicate?
• Meetings, internal andexternal
• News releases• Internal website and/or
blog• Focus groups and
evaluations• Leverage existing
mechanisms• Where else?
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When to Communicate?When to Communicate?• At every opportunity!• At milestones• Anytime that external
forces may affect thevision
• Continuously andhonestly
• Other suggestions?
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How to Communicate?How to Communicate?• Through consistent behaviors that
support the vision• Use images• Use analogies when appropriate• Positively, openly and honestly• Mix active and passive means of
communication• Other suggestions?
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Why Communicate?Why Communicate?Do you want to succeed?
If so, effective communication isessential.
Effective communication gets andkeeps the stakeholders involved and
committed to the change effort.
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CommunicationCommunicationChannelsChannels
It is important to know the potential numberof communication channels whendeveloping a communication plan.
This information helps determine who needsto know what and when they need to knowit. It is not a means of restrictingcommunication. Rather, it is informationthat enables quality communicationsplanning.
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CommunicationCommunicationChannelsChannels
The number of communication channelsneeded increases significantly for each
additional person involved.
The formula to determine this value is:N(N-1) / 2
N = the number of stakeholders
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Barriers toBarriers toEffectiveEffective CommunicationCommunication
• Information overload• Resistance: logical and
emotional• Disparity between words
and actions…not“walking the talk”
• One-way, top-downcommunication
• Lack of communicationownership andcoordination
• What else?
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Language andLanguage andCommunicationCommunication
WORDS DO MATTER!
Ensure that all stakeholders understandthe language associated with any change,
and that the language and wordsaccurately reflect the changes. This isespecially important when defining new
roles and responsibilities.
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Enable ActionEnable Action“The purpose of this step is to enable a
broad base of people to take action byremoving as many barriers to theimplementation of the change vision aspossible.”
Step 1: Increase UrgencyStep 1: Increase UrgencyStep 2: Build Guiding TeamsStep 2: Build Guiding Teams
Step 3: Get the Vision RightStep 3: Get the Vision RightStep 4: Communicate for Buy-inStep 4: Communicate for Buy-in
Step 5: Enable ActionStep 5: Enable Action
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Enable ActionEnable Action“In highly successful change efforts, when
people begin to understand and act on achange vision, you remove barriers intheir paths. You take away the tatteredsails and give them better ones. You takea wind in their faces and create a wind attheir backs. You take away a pessimisticskipper and give the crew an optimisticboss.”
--from Step 5 of The Heart of Change
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How to Enable ActionHow to Enable ActionTwo simple steps:
1. Break throughbarriers thatimpede progress
2. Encourage risk-taking andinnovation
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Four Main Barriers toFour Main Barriers toEffective ActionEffective Action
1.Structure
2.Skills
3.Systems
4.Resistant Leaders andManagers
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Issues with StructureIssues with StructureStructure includes
organizational design, lines ofauthority and responsibility.
• Functional silos; differentpriorities and focuses
• Poor communication withinindividual silos
• Initiative is stifled
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Some Tips and StrategiesSome Tips and Strategiesfor Removing Structuralfor Removing Structural
ObstaclesObstacles
• Clarify priorities• Communicate effectively about
current priorities• Align responsibility and authority• Change the structure to be
consistent with the vision
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Issues with SkillsIssues with Skills
Skills includes functionalskills, attitudes,behaviors, knowledgeand abilities.
• Skills are not current• New technology• Complacency• Active resistance
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Some Tips and StrategiesSome Tips and Strategiesforfor
Resolving Skill IssuesResolving Skill Issues• Define new behaviors, expectations
and consequences – be specific!• Identify new skills, abilities,
knowledge• Provide proper training for both
hard and soft skills• Include the people doing the work
in the solution
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Issues With SystemsIssues With SystemsSystems includes performance
assessment, compensation,talent management, policies &procedures.• Penalties for risk taking or
making mistakes• Performance criteria has
not been updated• Irrelevant or outdated
behaviors are still rewarded• Promotions not based on
merit
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Some Tips and StrategiesSome Tips and Strategiesforfor
Resolving Systems IssuesResolving Systems Issues
• Update performance criteria to reflectcommitment to vision and willingness tochange
• Ensure that promotions are objectivelymade and consistent with vision
• Reward commitment with pay and otherbenefits
• Update recruiting systems to reflect vision
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Issues with ResistantIssues with ResistantManagers and LeadersManagers and Leaders
• Protecting turf• Withholding
information orresources
• Undermining credibilityof change agents
• Micromanaging• Controlling all
communications anddecisions
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Some Tips and StrategiesSome Tips and Strategiesfor Resolving Resistancefor Resolving Resistance
IssuesIssues• Confront the individual directly• Listen to their concerns• Give them a chance to resolve the
problem• Be fair and honest• Define new behaviors, expectations
and consequences – be specific!
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Desired Behaviors forDesired Behaviors forLeaders and ManagersLeaders and Managers
•Senior Management
•Middle Management
•Front Line Management
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• Develops strategic goals for change, aligningchanges with the organization’s strategicdirection, objectives and customer expectations.
• Fosters an environment of innovation and change,communicating goals and strategies toappropriate parties and involving them in thechanges.
• Ensures that employees and the organizationhave the skills and abilities needed to accomplishchange objectives.
Senior ManagementSenior Management
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• Uses business operations performancemeasurement and other data to identifyopportunities for, and measure the progress of,process improvement changes
• Establishes effective structures and processes forplanning and managing the orderlyimplementation of change
• Guides employees through fundamental change,recognizing the scope of transition problems andthe impact of change on others.
Middle ManagementMiddle Management
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Front LineFront LineManagementManagement
• Demonstrates support for change goals andstrategies to facilitate the implementationand acceptance of change within theworkplace
• Creates an atmosphere that supports theiremployees
• Communicates honestly and openly
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Create ShortCreate Short--TermTermWinsWins
Step 1: Increase UrgencyStep 1: Increase UrgencyStep 2: Build Guiding TeamsStep 2: Build Guiding Teams
Step 3: Get the Vision RightStep 3: Get the Vision RightStep 4: Communicate for Buy-inStep 4: Communicate for Buy-in
Step 5: Enable ActionStep 5: Enable ActionStep 6: Create Short-term WinsStep 6: Create Short-term Wins
Short-term wins are crucial to long-term success! Here’s why:•They validate the vision and the plan•They test the vision and plan against real conditions•They keep leaders and stakeholders on board•They give you a chance to celebrate!
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Create ShortCreate Short--TermTermWinsWins
“In successful change efforts, empoweredpeople create short-term wins – victoriesthat nourish faith in the change effort,emotionally reward the hard workers, keepthe critics at bay, and build momentum.Without sufficient wins that are visible,timely, unambiguous, and meaningful toothers, change efforts inevitably run intoserious problems.”
-- From Step 6 of The Heart of Change
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How to CreateHow to CreateShortShort--Term WinsTerm Wins!!
• Identify them and plan for them• Achieve them!• Communicate the win visibly to all
of the stakeholders• Take any lessons learned and
apply them to the next steps
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Celebrate ShortCelebrate Short--TermTermWinsWins
“Celebrate what you want to see more of.”-- Thomas J. Peters
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What If ItWhat If It’’s Not a Win?s Not a Win?
• Openly and honestly acknowledge andexplain any failures
• Describe any lessons learned• Explain any implications for the vision and
the team• Credit the team for their effort – do not
lay blame
“It is on our failures that we base a newand different and better success.
-- Havelock Ellis
Implementing andImplementing andSustaining the ChangeSustaining the Change
Ensuring that the change is lasting!
Step 7: Don’t Let UpStep 7: Don’t Let Up
Step 8: Make it StickStep 8: Make it Stick
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DonDon’’t Let Upt Let Up
Step 1: Increase UrgencyStep 1: Increase Urgency
Step 2: Build Guiding TeamsStep 2: Build Guiding Teams
Step 3: Get the Vision RightStep 3: Get the Vision Right
Step 4: Communicate for Buy-inStep 4: Communicate for Buy-in
Step 5: Enable ActionStep 5: Enable Action
Step 6: Create Short-term WinsStep 6: Create Short-term Wins
Step 7: Don’t Let UpStep 7: Don’t Let Up
•Stay focused – this is not the time torelax
•Keep the long-term goal and purpose insight
•Maintain a sense of urgency
•Communicate progress
•Stay positive
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DonDon’’t Let Upt Let Up
“After the first set of short-term wins, achange effort will have direction andmomentum. In successful situations, peoplebuild on this momentum to make a vision areality by keeping urgency up and a feelingof pride down; by eliminating unnecessary,exhausting, and demoralizing work; and notby declaring victory prematurely.”
-- From Step 7 of The Heart of Change
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DonDon’’t Let Upt Let Up
Continue To• Show commitment
and support throughactions and words
• Stay connected tostakeholders
• Listen closely• Stay involved• Actively participate
Warning Signs• Turnover or increased
unavailability of keypersonnel
• Exhaustion, low teamand/or organizationmorale
• Slowing of progress• Recommendations
and/or issues ignored
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DonDon’’t Let Upt Let UpA checklist…
• Keep the vision and goals fresh
• Be aware of organizational stress
• Clarify what won’t change
• Acknowledge that change ischallenging and provide supportmechanisms
• Continue to model the behaviors thatare needed and desired
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Make It StickMake It Stick
Step 1: Increase UrgencyStep 1: Increase Urgency
Step 2: Build Guiding TeamsStep 2: Build Guiding Teams
Step 3: Get the Vision RightStep 3: Get the Vision Right
Step 4: Communicate for Buy-inStep 4: Communicate for Buy-in
Step 5: Enable ActionStep 5: Enable Action
Step 6: Create Short-term WinsStep 6: Create Short-term Wins
Step 7: Don’t Let UpStep 7: Don’t Let Up
Step 8: Make it StickStep 8: Make it Stick
Reinforce short-term wins,behavior changes and changemomentum. Continue tomodel new behaviors yourself,and reward and recognizeothers who have alsodemonstrated thedesired newbehaviors!
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Make It StickMake It Stick“Tradition is a powerful force. Leaps into the
future can slide back into the past. We keepa change in place by helping to create anew, supportive, and sufficiently strongorganizational culture. A supportive cultureprovides roots for the new ways ofoperating. It keeps the revolutionarytechnology, the globalized organization, theinnovative strategy, or the more efficientprocesses working to make you a winner.”
-- From Step 8 of The Change of Heart
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Make It StickMake It StickSome StrategiesSome Strategies
• Achieve positive results as soon aspossible
• Show how the change is working and whythe old ways no longer work
• Measure and support consistentperformance
• Keep leadership on board• Follow through with any necessary
turnover
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The 8 Step Process for LeadingThe 8 Step Process for LeadingSuccessful ChangeSuccessful Change
Step 1: Increase UrgencyStep 1: Increase Urgency
Step 2: Build Guiding TeamsStep 2: Build Guiding Teams
Step 3: Get the Vision RightStep 3: Get the Vision Right
Step 4: Communicate for Buy-inStep 4: Communicate for Buy-in
Step 5: Enable ActionStep 5: Enable Action
Step 6: Create Short-term WinsStep 6: Create Short-term Wins
Step 7: Don’t Let UpStep 7: Don’t Let Up
Step 8: Make it StickStep 8: Make it Stick
Creating aClimate for
Change
Engaging and Enablingthe Whole Organization
Implementing andSustaining the Change
-- From The Heart of Change Field Guide
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SaySay
GoodGood--Bye ToBye To
The Elephant!The Elephant!
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Resources &Resources &ReferencesReferences
• “Leading Change: Why Transformation Efforts Fail”, byJohn P. Kotter, Harvard Business Review, January 2007
• Kotter, John P. Leading Change, Boston: HarvardBusiness School Press, 1996
• Measuring Up 2.0 Governing’s New, Improved Guide toPerformance Measurement for Geniuses (and OtherPublic Managers) by Jonathan Walters, Governing Books,Washington, D.C., 2007
• Kotter, John P., Cohen, Dan S. The Heart of Change,Boston: Harvard Business School Press, 2002
• Kotter, John P., Cohen, Dan S. The Heart of Change FieldGuide, Boston: Harvard Business School Press, 2005
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Resources&Resources&References (cont.)References (cont.)
• Jacobs, Robert W. Real Time Strategic Change,San Francisco: Berrett-Koehler Press, 1997
• The Change Management Learning Center,http://www.change-management.com/
• “The Need for Control.” ChangingMinds.org. July16, 2007.http://changingminds.org/explanations/needs/control.htm
• Kotter, John P., A Sense of Urgency, Boston:Harvard Business School Press, 2008
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Thank You For Your Time!Thank You For Your Time!
Presented By:
Jana Hussmann Meacham, PMP
Sr. Project Manager, Line of Sight
Office: 410.696.2610
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Line of Sight, LLCLine of Sight, LLC
8319 Forrest Street, 2nd Floor, Ellicott City, MD 21043
&
153 Regent Street, Suite 1040, Saratoga Springs, NY 12866
www.line-of-sight.com TEL 800-434-7126
Line of Sight delivers management consulting services to
government and industry. We consult with organizations
that are serious about undergoing change. We bring
discipline to projects, reengineer business processes, and
help clients transform the management of their businesses.