CEOs Top Concern

CEOs report that coping with change is their most pressing challenge. While this has been the top concern for global CEOs since 2004, a recent report revealed that nearly 50% of executives lack confidence in their organization’s ability to manage the changes they will face.1

48% are not confident that their culture can quickly mobilize to serve new markets and customers

50% indicate their culture is not adaptive enough to respond positively to change

44% are not sure their workforce is prepared to adapt to and manage change2

Change Intensity on the Rise

While organizations are marginally improving their capacity and skills to effectively manage change, the volume, complexity, and magnitude of the changes to be absorbed are increasing at an unprecedented pace. In fact, most companies continue to struggle to manage change in support of large-scale projects, let alone build change capability across the enterprise.

Already at Saturation

Making matters worse, two-thirds of organizations surveyed by Prosci in 2009 are reporting that they are near or at the point of change saturation. This saturation dynamic, combined with the volume and speed of change, is resulting in employee disengagement and resistance. Worse yet, as employees disengage, we are seeing a corresponding increase in project failures and an overall decrease in organizational productivity.

Responsiveness to Change = Competitive Advantage

Agile, innovative, responsive, nimble, creative, flexible – these are the words that define the organizations that will succeed in today’s business environment. Those organizations who successfully embed change capability into the fabric of the company will develop a competitive advantage in the markets in which they operate. To assist our clients in capturing this advantage, PeopleFirm has developed a proven strategy for building a Change-Capable Organization.

What keeps you up at night?

• Canwebuildamore

nimble organization?

• Howmuchchangeistoomuch?

• Canwebuildchangecapability

throughout our organization?

• Howdowegetourfront-line

employees to adapt to change?

What about our executives?

• Howdoweensurethatour

managers effectively lead their teams

through transformative change?

If you’re bracing for the next wave of change, you’re not alone...

Change saturation is real

and shows up in your

people, projects, and

bottom-line results!(1

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Source: Prosci’s 2009 Best Practices in Change Management and benchmarking study

“ An agile organization has more strategic insight into human capital strategy and the workforce capabilities needed to execute strategy rapidly and effectively.”

The Agile Organization, July 2010 Farley & Gossage

Your People = Your Success

Stage 1

CM Framework Design

Stage 2

Focused Project Execution

Stage 3

Build Change Capacity Through Enterprise

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PeopleFirm’s 4 Cornerstones to Building a Change-Capable Organization

Every client has a unique path to change competence. By applying PeopleFirm’s Change Capability framework we help our clients build a customized roadmap addressing their specific objectives and culture. Regardless of the path to competence, leadership sponsorship and engaged support remain the crucial requirements for success.

About PeopleFirm

We are a consultancy passionate about our singular mission: helping our clients achieve a competitive advantage through their people. To that end our service focus is:

People Strategy – We assess organizational investment options across all areas related to people and talent management with the goal of selecting the best investment course that propels the organization’s strategy.

Talent Management - Addressing the employee lifecycle from entry to exit, PeopleFirm designs and implements solutions that optimize talent management processes and improve employee experiences.

Change Management – We are recognized for designing and leading change management programs that lower risks, accelerate results, and deliver value. Our proven approach ensures change sticks.

Organizational Performance - Our approach builds high-performing organizations by maximizing individual and team contributions through strategic alignment, effective structures, and supporting cultures.

A strong Foundation is required to get started, including a common change management framework. With maturity comes an increase in the breadth of change capability, building Expertise at both individual and group levels across the organization. Our model seeks to increase the number of employees with a strong competence for change who have Alignment to a disciplined approach

across the full breadth of organizational initiatives. At maturity, a Change Capable organization will have Embedded this expertise into their organization’s culture, allowing the organization to accept, interpret, and quickly respond to the opportunities and challenges of the 21st century.

Once leadership support is secured, building change capability requires investment and action along two key dimensions:

1. Grow change management know-how, capabilities, and expertise within the organization’s workforce.

2. Cultivate a disciplined approach to designing, managing, and executing change programs.

PeopleFirm, LLC

Seattle Office: Seattle, WA 98121

Portland Office: 408 NW Fifth Ave Portland, OR 97209 o 206.462.6462 f 888.651.1976

www.peoplefirm.com

Your People = Your Success

Cultivate a Disciplined Approach

Gro

w R

esili

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Ch

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apab

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es Expertise Embed

Foundation Alignment

Build deep change expertise within the organization to ensure knowledge sharing and continuous learning across the organization.

Root agility into the culture by integrating change competence in the Talent Management processes including hiring, learning & development, performance management, and rewards.

Select a common change framework, approach, and training method to establish a common language and understanding of change.

Integrate change into program governance, project management, and strategic planning initiatives across the enterprise.