Gerry GiffinHelping

Organizations Manage Change

Change Management Skills Change Management Skills WorkshopWorkshop

July 13, 2006

Change Management Skills Workshop 2July 13, 2006 Gerry Giffin

Helping Organizations

Manage Change

AgendaAgenda

Overview

Stakeholder Analysis

Strategies

Integrated Planning

Questions?

Change Management Skills Workshop 3July 13, 2006 Gerry Giffin

Helping Organizations

Manage Change

OverviewOverview

Change Management Skills Workshop 4July 13, 2006 Gerry Giffin

Helping Organizations

Manage Change

What is Change Management?What is Change Management?

From Wikipedia.org

Organizational change management is the process of developing a planned approach to change in an organization.

Typically the objective is to maximize the collective benefits for all people involved in the change and minimize the risk of failure of implementing the change. The discipline of change management deals primarily with the human aspect of change, and is therefore related to pure and industrial psychology.

Change Management Skills Workshop 5July 13, 2006 Gerry Giffin

Helping Organizations

Manage Change

Bridges Transition ModelBridges Transition Model

From Dr. William Bridges, Ph.D., Transition — The Personal Path Through Change :

Phase 1: Endings: Every transition begins with an ending, a loss. When things change, people leave behind the way things were — and the way they were in the previous situation. They may be left searching for a new way to define themselves.

Phase 2: The Neutral Zone The neutral zone is a confusing in-between state, when people are no longer who and where they were, but are not yet who and where they're going to be. Although the neutral zone can be distressing, it also provides many opportunities for creative transformation.

Phase 3: New Beginnings A new beginning can only happen after people have let go of the past and spent some time in the neutral zone. In this phase, people accept the reality of the change and start to identify with their new situation.

Change Management Skills Workshop 6July 13, 2006 Gerry Giffin

Helping Organizations

Manage Change

FUDFUD

F EARF EAR

U NCERTAINTYU NCERTAINTY

D OUBTD OUBT

Change Management Skills Workshop 7July 13, 2006 Gerry Giffin

Helping Organizations

Manage Change

FUD – The ConsequencesFUD – The Consequences

The most talented and marketable resources will opt for more certain employment (with someone else)

Turnover will be higher

It will be difficult to attract new talent to the organization

Personal productivity will be impacted

Business as usual and transition work will get mixed up – loss of focus on both

Lines of authority and job responsibilities will become blurred

Communications will become reactive – countering misinformation

The outside world will know about the FUD

Change Management Skills Workshop 8July 13, 2006 Gerry Giffin

Helping Organizations

Manage Change

FUD – The StrategyFUD – The Strategy

Acknowledge that not everything is known or decided

If you don’t have the answer to the question, know how and when you will

Know how everyone will be involved in the process of creating certainty

Have a solid plan and demonstrate that you are following it to build confidence

Counter balance FUD with visible competent leadership

Change Management Skills Workshop 9July 13, 2006 Gerry Giffin

Helping Organizations

Manage Change

The Planning ProcessThe Planning Process

1. Stakeholder Analysis

2. Develop Strategies Staffing Strategy Communications Strategy Change Management Strategy

3. Develop Integrated Project Plan

4. Execute

Change Management Skills Workshop 10July 13, 2006 Gerry Giffin

Helping Organizations

Manage Change

Stakeholder AnalysisStakeholder Analysis

Change Management Skills Workshop 11July 13, 2006 Gerry Giffin

Helping Organizations

Manage Change

Stakeholder Analysis ProcessStakeholder Analysis Process

1. Identify StakeholdersIdentify Stakeholders

2.2. Analyze Needs and WantsAnalyze Needs and Wants

3.3. Identify Barriers to ChangeIdentify Barriers to Change

4.4. Best Means for CommunicationBest Means for Communication

5.5. Ideas for Participation and Leveraging Ideas for Participation and Leveraging their Skills and Knowledgetheir Skills and Knowledge

Change Management Skills Workshop 12July 13, 2006 Gerry Giffin

Helping Organizations

Manage Change

Use a Simple TableUse a Simple Table

Stakeholder

Needs and Wants

Barriers to Change

Best Means

Ideas for Participation

Change Management Skills Workshop 13July 13, 2006 Gerry Giffin

Helping Organizations

Manage Change

Merger ScenarioMerger Scenario

You are the owner of a privately owned business in Halifax with a significant market share in Ontario, Quebec and Atlantic. You have worked out a deal with a Calgary based company with products in the same sector (but not a competitor) to merge into a Canada-wide public company. There are about 200 employees in each company. Your operations overlap in the Ontario and Quebec markets, each with sales and distribution offices in Toronto, London, Montreal, and Quebec. Your primary assumptions for this merger are to increase market share for each product line while at the same time improving costs by consolidation of some assets and reduction in overheads. You expect some reduction in total staff at first but you anticipate that the new company will grow at a rate of at least 10% per year after the merger is complete.

Change Management Skills Workshop 14July 13, 2006 Gerry Giffin

Helping Organizations

Manage Change

Who are the Stakeholders?Who are the Stakeholders?

Executive Management

Management

Employees

Customers

Shareholders

Distributors

Retailers

Change Management Skills Workshop 15July 13, 2006 Gerry Giffin

Helping Organizations

Manage Change

Exercise One – Stakeholder AnalysisExercise One – Stakeholder Analysis

For your assigned Stakeholder group complete the analysis:

1.1. Analyze Needs and WantsAnalyze Needs and Wants

2.2. Identify Barriers to ChangeIdentify Barriers to Change

3.3. Best Means for CommunicationBest Means for Communication

4.4. Ideas for Participation and Leveraging their Ideas for Participation and Leveraging their Skills and KnowledgeSkills and Knowledge

Change Management Skills Workshop 16July 13, 2006 Gerry Giffin

Helping Organizations

Manage Change

StrategiesStrategies

Change Management Skills Workshop 17July 13, 2006 Gerry Giffin

Helping Organizations

Manage Change

Staffing StrategyStaffing Strategy

Are there going to be jobs lost? If so, how many?

How will you decide who gets the jobs in the new organization structure?

Who will decide if I am going to get fired or not?

When and how will I know what is going to happen to me?

If I get to stay will my pay and benefits change?

What happens if I get fired?

How will I know that you are going to treat me fairly?

Who do I go to if I have questions about my employment?

Could my job be moving to another city? If so, will you help me move?

How will you reduce the risk of constructive dismissal and legal challenges?

Change Management Skills Workshop 18July 13, 2006 Gerry Giffin

Helping Organizations

Manage Change

Communications StrategyCommunications Strategy

Why is this happening?

What are the benefits that you hope to achieve?

Where can I go to find out more information about the changes?

What means will you be using to communicate this to all the stakeholders?

What are the key messages that everyone needs to know by heart?

When and how often will you be providing more information?

What role will leaders play in the communications plan?

How will stakeholder feedback be gathered?

How will the effectiveness of your communications be measured?

What protocol will be used with external media?

Change Management Skills Workshop 19July 13, 2006 Gerry Giffin

Helping Organizations

Manage Change

Change Management StrategyChange Management Strategy

How will you come up with the new organization structure?

How are you going to figure out what changes will be made to our business processes?

What resources (financial and human) will be required to do the transition work?

How will I keep day to day operations humming while all this is going on?

What expertise will I need that I don’t have to carry out the transition?

Which systems will we be using to run the organization going forward?

How will you help me to learn the skills I need to do my new job?

Who will be training me?

When will I stop doing my current job and move into my new role?

How can I learn more about the overall changes that are occurring?

Will I get a chance to participate in the development of the new roles and processes?

Change Management Skills Workshop 20July 13, 2006 Gerry Giffin

Helping Organizations

Manage Change

Exercise Two – Developing StrategiesExercise Two – Developing Strategies

Group 1: Staffing Strategy – Come up with a Strategy for how jobs will be filled in the resulting organization Come up with alternatives Pick the one that makes the most sense for the scenario

Group 2: Communications Strategy – Develop 2 Key Messages Come up with what you think will be the most frequently asked questions Choose 2 and develop key messages for each

Group 3: Change Management Strategy – Come up with a strategy to determine the location(s) of Head Office functions for the combined organization Come up with alternatives Pick the one that makes the most sense

Change Management Skills Workshop 21July 13, 2006 Gerry Giffin

Helping Organizations

Manage Change

Integrated PlanningIntegrated Planning

Change Management Skills Workshop 22July 13, 2006 Gerry Giffin

Helping Organizations

Manage Change

Integrated PlanningIntegrated Planning

Why integrated planning? Systems facilitate communications

Communications facilitate participation

Participation enhances training

Business processes, systems and job descriptions are intertwined

External stakeholders will notice as soon as the left and right hands are not acting together

Change Management Skills Workshop 23July 13, 2006 Gerry Giffin

Helping Organizations

Manage Change

Achieving Integrated PlanningAchieving Integrated Planning

Have a cross company Executive Steering committee

Have a dedicated Project Team to lead the transition

Provide project management support to management through the dedicated project team

Have HR and Communications as key members of the Executive Steering Committee and the Project Team

Identify milestones and key indicators and report on them regularly

Change Management Skills Workshop 24July 13, 2006 Gerry Giffin

Helping Organizations

Manage Change

Questions?Questions?

Gerry GiffinHelping

Organizations Manage Change

Thank YouThank You