Why implementing new KM processes fail, and what to do about it!

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1 Why implementing new KM processes fail, and what to do about it! Jonathan Gardner, Head Behavioural Change Management THE CHALFONT PROJECT

2 THE CHALFONT PROJECT ORGANISATION ARCHITECTS The Chalfont Project organisation is structured into four Practices ORGANISATION INNOVATION LEADERSHIP KNOWLEDGE SOLUTIONS BEHAVIOURAL CHANGE MANAGEMENT

3 THE CHALFONT PROJECT ORGANISATION ARCHITECTS We are organisation architects ORGANISATION INNOVATION LEADERSHIP BEHAVIOURAL CHANGE MANAGEMENT KNOWLEDGE SOLUTIONS Functional Pharma Life S Expertise Focus and and background competencies Social Sciences Thought leadership Multiculturalism Internally driven change

4 THE CHALFONT PROJECT ORGANISATION ARCHITECTS Org. building + (re)design New Product Incubators Organising growth OneTeam Programme meetingminds LEADERSHIP Project Leadership Smart Team ORGANISATION INNOVATION BEHAVIOURAL CHANGE MANAGEMENT Knowledge Sharing Programmes KNOWLEDGE SOLUTIONS Collaboration Spaces Human Capital Strategy Behavioural Change Programmes -organisational change -enterprise wide new business/process -CRM -Sales Effectiveness

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7 Behaviours are originated or triggered by multiple causes (reasons, ways, factors ) BUT are controlled by their consequences

8 THINK SAY FEEL DO

9 KM NEWS [1] Company X chooses product Y to roll out globally Successful implementation of Z across all affiliates of N KM NEWS [2] 70% of executives surveyed disappointment in the performance of X KM has not fulfilled its promises ROI in question by senior management

10 The real KM news [3] 50-70% underused IT and product blamed Employees hate it Staff go back to the old system, can t find the information they expected Doesn t do what was promised Successful implementation in country A, same product, same process, fails in country B (tip: nothing to do with the country culture)

11 The two main issues 1) I go to the application and I can t find the information I need People don t share their information 2) I have been putting all my knowledge into the system but no-one is using it People don t use the information in the system

12 Implementation of enterprise-wide new business process and/or new IT architecture Vision and Strategy People EXPECTATIONS Technology Business process

13 85% Problems Vision and Strategy People EXPECTATIONS Technology Business process

14 Vision and Strategy People EXPECTATIONS Technology Business process 85% Attention and $

15 Vision and People Strategy EXPECTATIONS Technology Business process

16 5 key vision+strategy black holes Articulation of K and M vision and role of that knowledge and information Conceptual clean up! Knowledge Sharing/management sub-strategy bottom-up strategy? Metrics Expectations (Sr.Mgt/staff/IT/process etc)

17 Expected learning curve Implementation start Reduced learning curve and rollout time, quicker return to effectiveness, less productivity loss on new installations Implementation curve using BCM Expected productivity after implementation Productivity Current productivity Actual implementation productivity curve Time

18 Vision and Strategy People EXPECTATIONS Technology Business process

19 Behaviours & Knowledge Management Problem: Knowledge Management systems, ideas and processes are often underutilized and the benefit is seen as negligible. The big problem is usually either a) people do not share or put the information into the system b) they do not use or take information out of the system Solution: create the conditions for sustainable, beneficial use of a system or process by aligning the behaviours necessary with the reinforcements available. look at the underlying blocking behaviours and their reinforcements and put together a plan to get rid of them whilst creating a new behavioural framework that will lead to success

20 TYPICAL ASSUMPTION FLOW STRATEGY MOST FREQUENT REALITY STRATEGY REQUIREMENTS REQUIREMENTS NEW IT NEW IT NEW PROCESSES NEW PROCESSES NEW BEHAVIOURS EXPECTED SAME BEHAVIOURS AS BEFORE

21 WRONG BEHAVIOURAL ASSUMPTION CORRECT BEHAVIOURAL ASSUMPTION STRATEGY STRATEGY REQUIREMENTS REQUIREMENTS NEW IT NEW BEHAVIOURS REQUIRED NEW IT NEW PROCESSES NEW BEHAVIOURS EXPECTED NEW PROCESSES To discover which behaviours are key to success, and to make sure that they become sustainable, is the key objective of a Behavioural Change Management Programme

22 THE CHALFONT PROJECT Client Work and Research Social Sciences Behavioural Research (key behavioural repertoire) Key Behavioural Drivers Behavioural Change Solutions

23 THE CHALFONT PROJECT Behavioural Change Management Programme Discovery Development Roll Out Mapping processes Uncovering behaviours Shaping new behaviours Creating sustainable reinforcements Implementing change Incorporating learning and adjusting 1Purpose 2 Scripts 3Behaviours 4Context 5 Action 6 Stories - Shared understanding goals and scenarios - Stakeholders check up - Success scripts - Failure scripts - Single behaviours -Patterns and repertoire -From process maps to -Behaviours maps -Organisational reinforcements -Cultural context -Triggers of influence and motivation - New Behaviours - Sustainable reinforcement plans -Regroup - Lessons Learned - Success and failure scripts Resources Skills Reinforcements Metrics Role Models

24 Abilities Skills Beliefs Emotions (excitement, fear ) Individual Behaviour Values Needs Achievement Affiliation Power Social norms Rewards Context Intention Attitude Culture, ways of working Physical environment Fashion Role models

25 Abilities Skills Beliefs Emotions (excitement, fear ) Lasting Individual Values Behaviour Social norms Context Intention Attitude Rewards Culture, ways of working Physical Fashion environment Role models Transitory/extinguish

26 causes R Behaviour(s) + consequences Behaviours are originated or triggered by multiple causes (reasons, ways, factors ) BUT are controlled by their consequences

27 causes R Behaviour(s) + consequences Behaviours are originated or triggered by multiple causes (reasons, ways, factors ) BUT are controlled by their consequences

28 1. HOW CAN WE INFLUENCE (NEW) BEHAVIOURS 2. HOW CAN WE MAKE THEM SUSTAINABLE causes R Behaviour(s) + consequences Behaviours are originated or triggered by multiple causes (reasons, ways, factors ) BUT are controlled by their consequences

29 1. HOW CAN WE INFLUENCE (NEW) BEHAVIOURS 2. HOW CAN WE MAKE THEM SUSTAINABLE causes R Behaviour(s) + consequences Behaviours are originated or triggered by multiple causes (reasons, ways, factors ) BUT are controlled by their consequences

30 MOTIVATION Psychology of influence Advertising Lobbying Political marketing

31 Generic Influence mechanisms Rational Persuasion Inspirational appeals Consultation Convincing via reason, logic or facts Building enthusiasm by appealing to other s emotions, values or ideals Others participating in planning, making decisions or changes Ingratiation Personal appeals Exchange ( reciprocity ) Coalition tactics Pressure Legitimating tactics Social Proof Liking Installing good mood (friendly,praise,flattery 0 before request Direct reference to friendship or loyalty Expressed or implied promises or trading favours Getting others to support efforts to persuade Demand compliance or via intimidation or threats Authority or right to, rules or policies, superiors support Everybody is We like Scarcity No much left, last chance

32 2. HOW CAN WE MAKE THEM SUSTAINABLE causes R Behaviour(s) + consequences Behaviours are originated or triggered by multiple causes (reasons, ways, factors ) BUT are controlled by their consequences

33 Identify behaviours Identify patterns of performance Apply behavioural Rules Review and improve

34 The big jump: from process to behaviours Process Systems Actions Judgements Set of desired behaviours PERFORMANCE A Labels Set of undesired behaviours PERFORMANCE B

35 Example: visualize success, visualize failure, write the success script, write the success failure Process Systems Actions Judgements Set of desired behaviours PERFORMANCE A Labels Set of undesired behaviours PERFORMANCE B

36 Admiring-the-problem; clearly identification of issues not followed by behaviours conducive to solutions) Assessing, evaluating [TMS] (conscious efforts to conceptualise or qualify markets, customers, situations; entails awareness) Blaming, externalisation of accountabilities Sharing - Knowledge and information Checking or auditing [TMS] ( for consistency, as follow up) Collaboration, cooperation (or lack of), induced or spontaneous Commitment (or lack of); generic behaviour (suggest to use this category only if not behaviour is consistent with the term but can t be described elsewhere) Communicating (goals, strategies, decisions) Competition (internal) Compliance (or lack of) with requirements, rules etc (Generic behaviour :suggest to use this category only if not behaviour is consistent with the term but can t be described elsewhere) *Sample of THE CHALFONT PROJECT s behavioural taxonomy for New Business Process

37 Seeking commitment, endorsement or support Short-termism; behaviours consistent with a short-sighted or short term view of business, results, goals etc. Silo effect (behaviour consistent with silo life) Scepticism, behaviours consistent with scepticism as attitude Standards related behaviours [TMS] (conscious efforts to behave with pre-determined patterns of what s acceptable, desirable or expected) Talk-no-walk, behaviour inconsistent with verbalisation, behavioural disconnect, for example with agreements Trust-building; behaviour consistent with Trust-eroding; behaviour consistent with Trust-like (behaviours consistent with trust (or lack of)) Walk-the-talk, behaviour consistent with verbalisations *Sample of THE CHALFONT PROJECT s behavioural taxonomy for New Business Process

38 Behavioural Drivers Client specific Research Pool 40 KM behaviours 1. Assessing and Evaluating 2. Action and execution 3. Defeatism and cynicism 4. Communication and sharing 5. Collaboration and participation 6. Trust and respect 7. Disconnects an reinforcements Pre-requisites Discovery Purpose 1 2 Scripts Development Behaviours Context 3 4 Action Roll Out Behavioural Change Management Programme 5 Skills Role Resources Models Metrics Reinforcements Stories 6 CRM implementation (de novo, improvement or speed up, rescue etc)

39 Identify behaviours Identify patterns of performance Apply behavioural Rules Review and improve

40 Behaviours are originated or triggered by multiple causes (reasons, ways, factors ) BUT are controlled by their consequences

41 Behaviours that are reinforced, one way or another, tend to repeat and become sustainable. Those that are not reinforced will fade even if they were desirable Whether A,B, or C are good or bad A Reinforced? B C Reinforced?

42 Be careful what you ask for, you might get it Be careful what you reinforce, you may not be able to get rid of

43 On the folly of rewarding B whilst aiming to obtain A HBR

44 Share experience with other sales teams Behaviours that are reinforced, one way or another, tend to repeat and become sustainable. Those that are not reinforced will fade even if they were desirable Individual sales target Reinforced? Team collaboration

45 INCENTIVE REINFORCEMENT personal [group] cultural (context) REWARD

46 Declared rewards may be reinforcements may not reinforce may punish

47 Sharing information Behaviours that are reinforced, one way or another, tend to repeat and become sustainable. Those that are not reinforced will fade even if they were desirable Personal results Reinforced? Collaboration

48 Collaboration across the portfolio Behaviours that are reinforced, one way or another, tend to repeat and become sustainable. Those that are not reinforced will fade even if they were desirable Therapeutic areas Reinforced? Innovation

49 Sustainable Behaviours (Behavioural Change Management Programme) Behaviour Behaviour Behaviour Motivational Tactics Initial Communications Plans Full stakeholder involvement

50 Sustainable Behaviours (Behavioural Change Management Programme) Behaviour Behaviour Incentives Rewards Reinforcements People tend to apply these concepts in a loose, frequently incorrect way Behaviour Motivational Tactics Initial Communications Plans Full stakeholder involvement

51 R If this is true and we want C B 1. Find that R! 2. Dilute/suppress 3.Substitute Idiot proof single psychological golden rule: IF B IS THERE IT IS BECAUSE R IS THERE R B R2 c

52 Behavioural Rules (1) Reinforce improvements, (shaping) not final outcomes (behaviours change in gradual stages) Define new behaviours patterns, described in small amounts that can be accomplished Provide frequent feed back, not once a year appraisal

53 Behavioural Rules (2) Discover and use reinforcements that are meaningful to users/employees, not rewards meaningful to managers Use continuous reinforcement for new behaviours (must be reinforced every time they occur) until these behaviours become habitual Use variable reinforcement for maintenance. Even if the new behaviour is now habitual, still needs to be rewarded but not necessarily every time. Even extraordinary performance will deteriorate if not reinforced

54 Behavioural Rules (3) Emphasise positive reinforcement, deemphasise punishment Reward teamwork if jobs and performance are interdependent and collaboration and contribution is needed. Discourage individual competition

55 Summary How does successful KM become part of the whole Drug discovery and information process: by creating the right reinforcements so the successful behaviours are sustained. And by focusing on the people and strategy and managing expectations. If you focus on the people then the natural result would be a bottom-up strategy that looks at the people and their usage first making the successful behaviours as painfree as possible

56 THE CHALFONT PROJECT ORGANISATION ARCHITECTS Org. building + (re)design New Product Incubators Organising growth OneTeam Programme meetingminds LEADERSHIP Project Leadership Smart Team ORGANISATION INNOVATION BEHAVIOURAL CHANGE MANAGEMENT Knowledge Sharing Programmes KNOWLEDGE SOLUTIONS Collaboration Spaces Human Capital Strategy Behavioural Change Programmes -organisational change -enterprise wide new business/process -CRM -Sales Effectiveness

57 Questions? Please give me your card and I will gladly send you a copy of this presentation Jonathan Gardner, Head Behavioural Change Management THE CHALFONT PROJECT jonathan-gardner@the-chalfont-project.com