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Module 5. Leading ChangeModule 5. Leading ChangeModule 5. Leading ChangeModule 5. Leading Change
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ObjectivesObjectives Understand the forces and drivers for Change
Understand the Principles of Change Understand strategies of managing and leading
change
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When the rate of change outside
exceeds the rate of changeinside the end is in sight
Rate of ChangeRate of Change
Jack WelchJack Welch
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Forces for ChangeForces for Change Knowledge Economy
Virtual Organisations Mergers and Acquisitions
Digital convergence
Privatisations
....are transforming the world ofbusiness
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Two Sides of ChangeTwo Sides of ChangeTechnical Side of ChangeTechnical Side of Change Human Side of ChangeHuman Side of Change
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Principles of ChangePrinciples of Change
1.1. Change is a process that can be enabled, notChange is a process that can be enabled, not
managedmanaged
2.2. The change process must be linked to business andThe change process must be linked to business and
performance goalsperformance goals
3.3. Building capacity to change is a strategic imperativeBuilding capacity to change is a strategic imperative
4.4. Building capacity for change is an evolutionaryBuilding capacity for change is an evolutionary
processprocess
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Principles of ChangePrinciples of Change
5.5. Effective change process require a systemic view ofEffective change process require a systemic view of
the organizationthe organization
6.6. The change process involves both organizational andThe change process involves both organizational and
personal transitionspersonal transitions
7.7. Behavioral change is function of perceived need andBehavioral change is function of perceived need and
occurs at the emotional, not the intellectual levelsoccurs at the emotional, not the intellectual levels
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Principles of ChangePrinciples of Change
8.8. Resistance to change is predictable reaction to anResistance to change is predictable reaction to an
emotional process and depends on a personsemotional process and depends on a persons
perception of a change situationperception of a change situation
.. an u o c ange ena emen es prac cesan u o c ange ena emen es prac ces
account for the success of most change processesaccount for the success of most change processes
10.10. Change strategies are situationalChange strategies are situational
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Effective
1. Motivation Change
2. Creating Vision of
Change
Five activities Contributing to EffectiveFive activities Contributing to Effective
Change in ManagementChange in Management
angeManagement
3. Developing PoliticalSupport
4. Managing the
Transition of Change
5. Sustaining
Momentum
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Below the surface of theBelow the surface of theChange ManagementChange Management
IcebergIceberg
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Below the surface of the ChangeBelow the surface of the Change
Management IcebergManagement Iceberg
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Motivation chan e
Sensitive
organizationsto pressure for
change
1. Motivating Change1. Motivating Change
and creatingreadiness for
change
Revealdiscrepancies
between current
and desired states
Convey credible
positive
expectations for
the change
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Individual ResistanceIndividual Resistance
Habit
Economic
Factors
Job Security
Selective
Information
Processing
IndividualIndividualResistanceResistance
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Threat to Established
Power Relationship
Threat to Established
Resource Allocations
Organization ResistanceOrganization Resistance
OrganizationOrganizationResistanceResistance
Structural Inertia
Limited Focus of
Change
Group Inertia
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Denial CommitmentDenial Commitment
Four Phases to TransitionFour Phases to Transition
Past FuturePast Future
Resistance ExplorationResistance Exploration
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Attitude Curve in Response toAttitude Curve in Response to
ChangeChange
GDI Development (Pty)Ltd
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How good things wereHow good things were
Denial
AngerAnger
Resistance
Some of the Signs in Each PhaseSome of the Signs in Each Phase
It cant happen hereIt cant happen here
NumbnessNumbness
EverythingEverything--asas--usualusual
attitudeattitude Refusing to hear newRefusing to hear new
informationinformation
StubbornnessStubbornness
Blaming othersBlaming others
ComplainingComplaining
Getting sickGetting sick Doubting your abilityDoubting your ability
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Whats going to happenWhats going to happen
to me?to me?
Seeing possibilitiesSeeing possibilities
ChaosChaos
Where I am headedWhere I am headed
FocusFocus
TeamworkTeamwork
VisionVision
Some of the Signs in Each PhaseSome of the Signs in Each Phase
Exploration Commitment
IndecisivenessIndecisiveness Unfocused workUnfocused work
EnergyEnergy
Clarifying goalsClarifying goals
Seeing resourcesSeeing resources
Exploring alternativesExploring alternatives
CooperationCooperation
BalanceBalance
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Education and
Communication
Negotiation
Overcoming resistance to ChangeOvercoming resistance to Change
Resistance toResistance toChangeChange
Involvement andcooptation
Facilitation
and Support
Coercion
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Bold andBold and
ValuedValued
OutcomesOutcomes
2. Create Vision of Change2. Create Vision of Change
ons ruc ng eons ruc ng e
Envisioned futureEnvisioned futureDesiredDesired
FutureFuture
StateState
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Assessing Change
Agent Power
3. Developing Political Support3. Developing Political Support
Political
Support
Identifying KeyStakeholder
Influencing
Stakeholders
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These are individuals or groups withThese are individuals or groups with
the power to determine that a changethe power to determine that a changewill occurwill occur
Change
Sponsor
Roles in Organization ChangeRoles in Organization Change
These are individuals or groupsThese are individuals or groups
These are individuals or groups who areThese are individuals or groups who are
asked to change something (knowledge,asked to change something (knowledge,skills, or behavior) as a result of theskills, or behavior) as a result of the
cchangehange
Agents
Change
Target
responsible for seeing that a previouslyresponsible for seeing that a previouslydetermined change occursdetermined change occurs
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Power
3. Influencing Key Stakeholders3. Influencing Key Stakeholders
What is their source of power?What is their source of power?
What they can control: money, time,What they can control: money, time,
resources, people, information?resources, people, information?
Who they can influence: friends,Who they can influence: friends,
A set of questions designed to profile an individual stakeholder:A set of questions designed to profile an individual stakeholder:
What is their
Style of using
power?
Reluctant and occasionalReluctant and occasional
Make response to threatsMake response to threats
Assertive and directAssertive and direct
Deception and subtletyDeception and subtlety
admirers, those who feel obligationadmirers, those who feel obligation
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How does thechange really
affect them?
Influencing Key StakeholdersInfluencing Key Stakeholders
Changes their power?Changes their power?
Affects other needsAffects other needs
Affects goals, objectives andAffects goals, objectives and
interestsinterests
Effect of ChangeEffect of Change
What is their
likely response
to the change?
Opposition, uncertainty or support?Opposition, uncertainty or support?
Action now or wait and see ?Action now or wait and see ?
Open action or hidden action?Open action or hidden action?
Individual action or acting withIndividual action or acting with
others?others?
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What would bethe impact of
their response?
Influencing Key StakeholdersInfluencing Key Stakeholders
Significant or limited?Significant or limited?
Local or widespread?Local or widespread?
Recoverable or permanent?Recoverable or permanent?
Effect of ChangeEffect of Change
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What wouldmake them
more supportive
of the chan e?
Influencing Key StakeholdersInfluencing Key Stakeholders
Information / understanding?Information / understanding?
Involvement and ownership?Involvement and ownership?
Changes in planned actions?Changes in planned actions?
Direction from more than seniorDirection from more than senior
Influencing Key StakeholdersInfluencing Key Stakeholders
What is their
likely responseto the change?
Personal threat?Personal threat?
NonNon--involvement in decisions?involvement in decisions? Personal rivalries?Personal rivalries?
Insufficient evidence in in trialInsufficient evidence in in trial
period (defined by them)?period (defined by them)?
managers?managers? Evidence of success of the change?Evidence of success of the change?
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Current
State
Desired Future
State
4. Managing the Transition4. Managing the Transition
TransitionTransition
StateState
Activity PlanningActivity Planning
Change Management TeamChange Management Team
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Head
(Executive Sponsor)
Head organization
Development
Change Management Team: Roles ExampleChange Management Team: Roles Example
Corporate Management
Key project accountability and ownership
Report CEO on project outcomes/success
Coordinate overall change program
Develop clear change strategies for change
(Change Leaders)
Communication Role
(Change Agents)
Human Resources Role
(Change Agents)
Develop individual and team change capability
Provide clear communication to all key
stakeholders on change related issues
Develop 2-way communication channels to
foster ongoing organization change
Provide expert HR advice on personal
transitions and support
Provide Change Office & project based HR
infrastructure
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Understands Appreciates AnticipatesUnderstands Appreciates Anticipates
change diversity and manageschange diversity and manages
dynamics resistancedynamics resistance
Critical Skills of Change AgentsCritical Skills of Change Agents
Has high Understands ManagesHas high Understands Manages
credibility power and multiple taskscredibility power and multiple tasks
influenceinfluence
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Providing Resource
forChange
Building a Support
System for Change
5. Sustaining Momentum5. Sustaining Momentum
SustainingSustaining
MomentumMomentum
Agents
Developing New
Competences and
Skills
Reinforcing NewBehaviors
Staying the Course
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1. Motivating Change
2. Creating Vision of
Change
Five Activities Contributing to Effective ChangeFive Activities Contributing to Effective Change
ManagementManagement
SustainingSustaining
MomentumMomentum
3. DevelopingPolitical Support
4. Managing the
Transition of Change
5. Sustaining
Momentum
ChangeManagement
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Elements of ChangeElements of Change
na emenna emen
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Change
Architecture
Communication
Leadership
Capacity
Team & individual
Capacity
Elements of Change EnablementElements of Change Enablement
Change
Performance
Management
OrganizationalTransition
Cultural
Capacity
PersonalTransition
rocess
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Change
Architecture
Change EnablementChange Enablement Best PracticesBest Practices
There is an explicit strategy andThere is an explicit strategy and
structure which define the nature andstructure which define the nature and
ssequence of specific activities andequence of specific activities andresources required to facilitate theresources required to facilitate the
cchange process.hange process.
CommunicationAn infrastructure and plan is in place toAn infrastructure and plan is in place to
build awareness of change goals,build awareness of change goals,
communicate progress towardcommunicate progress toward
attainment of these goals and encourageattainment of these goals and encourage
collective ownership of the change processcollective ownership of the change process
and outcomes.and outcomes.
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Performance
Management
Change EnablementChange Enablement Best PracticesBest Practices
Human Resources processesHuman Resources processes recruiting,recruiting,
ttraining, measuring and rewardingraining, measuring and rewarding areare
aaligned to drive new behaviors in supportligned to drive new behaviors in supportof the business visionof the business vision
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Leadership
Capacity
Change EnablementChange Enablement Best PracticesBest Practices
Leaders values and behaviors areLeaders values and behaviors are
aligned with the business vision;aligned with the business vision;
leaders possess the skills to drive theleaders possess the skills to drive thechange process to completion, andchange process to completion, and
accept the responsibility for doing soaccept the responsibility for doing so
Team &
Individual
Capacity
Actions have been taken to increaseActions have been taken to increase
individuals and teams ability to enact theindividuals and teams ability to enact the
business vision and operate effectively inbusiness vision and operate effectively in
the new environment.the new environment.
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Cultural
Capacity
Change EnablementChange Enablement Best PracticesBest Practices
The organization has the assessed theThe organization has the assessed the
alignment of the current culture with thealignment of the current culture with the
change process built new values andchange process built new values andbehaviors as appropriate to support it.behaviors as appropriate to support it.
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ChangeChange
LeadershipLeadership
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