How a project approach will build change management capability across your organization

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1 capability across your How a project approach will build change management capability across your Prosci Webinar How a project approach will build change management Enterprise Change Management Organizational core competency embedded in your Change Management Steps and actions taken at the project level to support individual transitions Prosci. All Rights Reserved Prosci. All rights reserved. 1

2 capability across your Doing more of this Does not result in this. Change Management Enterprise Change Management Prosci. All Rights Reserved. 3 How a project approach will build change management capability across your Volume and Velocity of Change 7 Compelling Reasons Treat it as a ( ECM) Current and Future Build Competencies + Integrate Approach ECM Strategy Map 1-year and 3-year goals Action planning Roles and responsibilities ECM level Roles and responsibilities level Prosci. All Rights Reserved Prosci. All rights reserved. 2

3 How a project approach will build change management capability across your 1 Why 2 How 3 What 4 When 5 Who Prosci. All Rights Reserved. Increased Volume and Velocity of Change Bigger Change Faster Change More Complex Change More Cross Functional Agility, Competitive Advantage, Strategic Alignment, Common Approach 5 1 Why 2 How 3 What 4 When 5 Who Prosci. All Rights Reserved Prosci. All rights reserved. 6 3

4 capability across your 1 Driving more successful change Prosci. All Rights Reserved. 7 60% 2 Handling the amount of change occurring Amount of change expected in the next two years 50% 55% 40% 30% 20% 10% 0% 31% 10% 1% 2% Decrease Significantly Decrease Slightly Remain Unchanged Increase Slightly Increase Significantly Prosci. All Rights Reserved. Copyright 2018 Prosci Inc. Best Practices in Change Management Edition Prosci. All rights reserved. 4

5 capability across your 3 Addressing the costs of poorly managed change Aligning al practices with al values Preparing the for the future Creating consistency and efficiencies in approach Prosci. All Rights Reserved. 9 7 Building needed internal capabilities Prosci. All Rights Reserved Prosci. All rights reserved. 5

6 capability across your Organizations with higher change management maturity have higher project success rates. success rate by maturity level: Level 5 Level 4 Level 3 Level 2 Level 1 65% 61% 52% 45% 37% Prosci. All Rights Reserved. 11 Building Change Management Capability is a Journey Where you are today How are we going to get there Where you want to get Prosci. All Rights Reserved Prosci. All rights reserved. 6

7 capability across your Building Change Management Capability is a Journey One of the most common pitfalls regarding the project of institutionalizing Enterprise Change Management (ECM) is failing to treat and manage the effort as a project and a change. Prosci. All Rights Reserved. 13 ECM as a Change Current ECM Technical Side Where you are today How are we going Transition Future to get there People Side Where you want to get Goal/Objective Build al change management capabilities and competencies to improve results and outcomes of projects and initiatives Requirements Charter, Sponsor, Plan, Solution, Team, Management, Change Management Structure and Intent Prosci. All Rights Reserved Prosci. All rights reserved. 7

8 capability across your ECM Failure Modes 1 Not treating ECM as a project and a change 2 Not defining the future state 3 Not using a multi-faceted approach Current Transition Future Prosci. All Rights Reserved. 15 ECM: Change Capability Journey ECM Current How we manage change today ECM Transition How we will get there ECM Future How we want to manage change Maturity Model ECM Strategy Map Standing in the future Objectives Goals Metrics A D K A R Prosci. All Rights Reserved Prosci. All rights reserved. 8

9 capability across your ECM: Current Current Transition Future How we manage change today How we will get there How we want to manage change Maturity Model ECM Strategy Map Standing in the future Objectives Goals Metrics A D K A R Prosci. All Rights Reserved. 17 BLUF: Bottom Line Up Front Add clarity to maturity Quantify your maturity Establish a baseline Track progress Focus your effort Prosci. All Rights Reserved Prosci. All rights reserved. 9

10 capability across your Building out the Maturity Model: Capability Areas 1 Leadership What observable attributes can be used to describe the level of maturity? Application Competencies Standardization 5 Socialization Prosci. All Rights Reserved. 19 Strategic Objective: Initial maturity 1.7 Target 3.8 in 3 years Prosci. All Rights Reserved Prosci. All rights reserved. 10

11 capability across your ECM: Current Current Transition ECM Future How we manage change today How we will get there How we want to manage change Maturity Model ECM Strategy Map Standing in the future Objectives Goals Metrics A D K A R Prosci. All Rights Reserved. 21 Future Components Goals Objectives Metrics Vision ment Mission ment Prosci. All Rights Reserved Prosci. All rights reserved. 11

12 capability across your Enterprise Change Management Future of Organizational Capability Enterprise / Initiative Individual We consistently meet and exceed expectations in change We are able to handle the change our is experiencing We have created an al footprint for change management We share a common language for change We have a standard change management methodology and full set of tools to support its common and consistent application We have integrated change management into the project management approach and our improvement processes and systems We appropriately budget for and resource change management on all projects We have change management present at the start of every project We are measuring the impact of change management and are showing the Return on Investment of managing the people side of change We (all employees) expect change and are excited by it and engaged in it, not fearful of it We all see leading change as part of our job; we have the skills to do it and we are measured on how well we do it Prosci. All Rights Reserved. 23 Using the Maturity Model Audit for Future Definition Today: Future Aspiration: Prosci. All Rights Reserved Prosci. All rights reserved. 12

13 capability across your ECM Enterprise Change Management Org Change Capability Build Individual Competencies Execs & Senior Leaders Middle Managers & Supervisors Front-Line Associates General Lifecycle Individual Change Journey Milestones Organizational Change Mgmt Activities Integrate into Changes, s and Programs Initiate Plan Design Develop Deploy Sustain Prosci ADKAR Model Prosci 3-Phase Process Kick off Go Live Initiate Plan Design Develop Deploy Phase 1: Preparing for Change Major events A D K A R Phase 2: Managing Change Phase 3: Reinforcing Change Strategy Plans Measures Prosci. All Rights Reserved. 25 Build Individual Competencies Internalize ABC of sponsors Internalize CLARC role in change Expect and Thrive in Change Execs & Senior Leaders Middle Managers & Supervisors Front-Line Associates Design solutions with adoption and usage in mind Prosci. All Rights Reserved Prosci. All rights reserved. 13

14 capability across your 100% 50% 36% Adoption contribution Installation contribution Integrate into Changes, s and Programs Requirement at initiation Inventory impacted groups Define their changes Align people side and technical side activities Measure success at benefit realization, project execution, and individual transition levels Initiate Plan Design Develop Deploy Sustain Create customized and scaled strategy Resource CM Integrate CM into project gates Integrate CM into standard reviews Prosci. All Rights Reserved. 27 Integrate into Changes, s and Programs Change Scorecard Initiate Plan Design Develop Deploy Sustain CMROI Calculation Health Best Practice Alignment ADKAR Progress 3-Phase Process Phase 1 Preparing for Change Phase 2 Managing Change Phase 3 Reinforcing Change Prosci. All Rights Reserved Prosci. All rights reserved. 14

15 capability across your ECM: Transition Current Transition Future How we manage change today How we will get there How we want to manage change Maturity Model ECM Strategy Map Standing in the future Objectives Goals Metrics A D K A R Prosci. All Rights Reserved. 29 Prosci ECM Strategy Map Leadership Process Structure Skill A D K A R Leadership e.g. Sponsor, Steering committee, Change mgmt. reviews e.g. Pilots, Tiers, Departments, Regions, Triggers Skill e.g. Who needs to know what? Training, Coaching, Tools Structure e.g. Organizational footprint, CMO, networks, job roles Process e.g. launch, Performance management, Improvement Prosci. All Rights Reserved Prosci. All rights reserved. 15

16 capability across your Example Approach 1. Require change management plans for every project in excess of $500K in order to receive funding 2. HR initiates an educational campaign and then transfers ownership to internal training group for open enrollment courses 3. Integrate change management process elements into the standard project delivery process Prosci ECM Strategy Map Process Structure Leadership Skill Prosci. All Rights Reserved. 31 Sample Approach: 1 and 3 Year Goals with the ECM Strategy Map Prosci ECM Strategy Map Leadership Process Structure Skill What is your year 1 goal? Prosci. All Rights Reserved Prosci. All rights reserved. 16

17 capability across your Sample Approach: 1 and 3 Year Goals with the ECM Strategy Map Prosci ECM Strategy Map Leadership What is your year 1 goal? Process Structure Skill What is your year 3 aspiration? Prosci. All Rights Reserved. 33 ECM Strategy Map: Adding Timing GETTING STARTED BUILDING MOMENTUM SUSTAINING Leadership Skill Structure Process Get a Win! Prosci. All Rights Reserved Prosci. All rights reserved. 17

18 capability across your ECM Strategy Map: Adding Details Leadership Skill GETTING STARTED BUILDING MOMENTUM SUSTAINING Leadership commitment statement + top 150 leaders through Sponsor Briefing Prioritize & target 5 strategic projects for initial change focus Train 1 wave of change practitioners and project teams + OE as needed Hold leaders accountable to demonstrate the ABCs of strong sponsorship Map portfolio & target top 25% of project spend (multiple projects) Develop change capabilities for all people managers (manager competency map) Establish change as a leadership expectation (leader competency map) Establish change management as a requirement for any project with medium or high risk Provide ADKAR awareness for all shore side employees Structure Select deployment leader, establish core team and steering committee Embed change management into PMO, IT and project initiation activities Actively manage the change portfolio and al change saturation Process Establish a process to engage, develop and redeploy high potentials Align change requirements with project initiation and funding Create rules of engagement to enable units to start deployment Prosci. All Rights Reserved. 35 Sample Sequence of Events DEPLOY DESIGN ALIGN Engagement Kickoff Workshop Stakeholder Interviews Strategic Alignment Workshop Deployment Planning Enabling Infrastructure Development Content Customization Senior Leadership Workshop Pilot Identification Practitioner Training Practitioner Coaching Performance Platform Sponsor Workshop Manager/Team Training Manager Training Employee Change Agent Training Charter and Launch CMO Integration into Standard PM Methods Integration into Existing Change Systems Infusion in Job Description/Reviews Prosci. All Rights Reserved Prosci. All rights reserved. 18

19 capability across your Roles and Responsibilities: Two levels Enterprise Deployment Executive Sponsor Steering Committee Core Team Deployment Leader Change Champions Applications Applications Applications Applications Change Change Sponsors Sponsors Change Change Change Sponsors Sponsors Change Practitioner Practitioner Change Change CM CM Practitioner Practitioner Trainers Trainers CM CM Trainers Trainers Managers Managers Managers Managers Teams Teams Teams People People Teams Managers Managers People People Managers Individual Individual Managers Contributors Contributors Individual Individual Contributors Contributors Prosci. All Rights Reserved. 37 Roles and Responsibilities: Role Change Sponsors Change Practitioner CM Trainers Managers Teams People Managers Individual Contributors Expectation Remain active and visible throughout change cycle Build guiding coalitions to support change Communicate effectively throughout change cycle Promote the value of change management Apply Prosci 3-Phase Process to projects Promote the adoption and usage of change management tools, methods and mindset Deliver high impact results and outcomes on change initiatives Deliver high impact change management training for: People Managers Managers Team Members Employees Integrate change management into project execution Gain a foundational understanding of change management principles Learn a framework to adapt to change and coach direct reports through regular and on going change Learn a framework to adapt to regular and on going change and engage in the change process Prosci. All Rights Reserved Prosci. All rights reserved. 19

20 capability across your Roles and Responsibilities: Enterprise Role Executive Sponsor Steering Committee Core Team Deployment Leader Change Champions Expectation Role model sponsorship behaviors (ABCs) Make it ok to publically invest in Change as a value driver Rally the senior leaders on-going support Hold the steering committee & core team accountable Further solidify change advocates as partners to business leaders in accelerating change Build the al narrative around change Remove barriers and address issues Promote change acceleration as a valuable discipline Ensure a results driven approach to produce ROI Enforce the rules of engagement Linking to other parts of the Define the change management brand Embed change management into al systems Promote change mgmt. as a valuable discipline tell the story Prioritization of projects and resources Responsible for project prioritization and selection Champion community of practice development Ensure program quality and adherence to method Reporting on progress Champion community of practice development Demonstrate through words and actions Prosci. All Rights Reserved. 39 Centralized vs. Decentralized Centralized Hybrid Decentralized Considerations: Cultural leaning Geographic distribution Where is the sponsorship Need for standardization/flexibility Common/varied maturities Where are CM resources coming from What already works here Which approach is right for you? Prosci. All Rights Reserved Prosci. All rights reserved. 20

21 capability across your Unified Value Proposition for ECM: ECM Technical Side Design Develop Prosci ECM Strategy Map Process Structure Leadership Skill Deliver Current state Transition state Future state Results Outcomes Success People Side Embrace Adopt Use Change Management takes Change Management Prosci. All Rights Reserved. 41 ADKAR for the Change: Doing Change Management Awareness of the need for change management Desire to participate and support change management Knowledge on how to apply change management Ability to apply change management Reinforcement to sustain change management 2017 Prosci. All rights reserved. 21

22 capability across your Prosci Solution Delivering al results by catalyzing individual transitions Build individual change competencies Apply change management on initiatives Embed al change capability Prosci. All rights reserved. 22

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