Gale Force Winds of Change: Leading Change May 14, 2013
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1 The Gale Force Winds of Change: The leader s role in change management All great changes are preceded by chaos. - Deepak Chopra Annette Martell, ABC, MC, Fellow PMAC: May 14, 2013 Amazing Conversations Strategic Leadership Extraordinary Results Our focus Views from the top Basic change principles, key factors, methodology The leader s role Build your leader s tool kit for change Sail the winds of change Who is here? Q: Leads an Ops team? Q: Supports CEO leading change? Q: Works with official CMO? Q: Regularly practices Change Management? Q: Applies formal change management training? amartell@tekara.com l1
2 Taking it from the top Role of change Jacqui Allard Head of Operations & Chief Information Officer Investment Division of Manulife Financial Definitely the pace of change is dramatically faster than when I started in this industry. Financial products will continue to become more complex and will require us to adapt and change more quickly. Taking it from the top R. Denys Calvin Chief Operating Officer Nexus Investments Inc. Velocity of change in Ops Leading change accounts for a big chunk of my day maybe one third or half. Managing change is a little like being the subway repair guy. You can t ever take the train out of service. I run from car to car, moving passengers around so I can fix the car. Change has to be delivered while the Ops train keeps running. amartell@tekara.com l2
3 Change management is not operational problem solving Leading change with change, the task is to manage the dynamic, not the pieces Jeanie Daniel Duck HBR Managing Change Amazing Conversations Strategic Leadership Extraordinary Results Resisting change Why change management If we ensure. We will develop. 70% of all change efforts fail Source: HBR: Cracking the Code of Change, by Michael Beer and Nitrin Nohria May-June 2000 Change management is inclusive using an integrated approach Leaders understand their roles &have clear accountabilities Leaders are accessible & knowledgeable to best lead change Leaders clearly communicate the vision of success Actions & words role-model & inspire desired behaviours Employees understand their role in the change & how to support business goals Employees are skilled & have the knowledge, tools & supports they need to achieve success Successes are recognized & celebrated Knowledgeable & engaged employees who actively support & contribute to business goals Informed leaders championing the business & owning & fulfilling their accountability for results A culture of engagement that supports sustained business success amartell@tekara.com l3
4 Research shows Change commitment curve Projects with effective change management are 6x more likely to achieve results Prosci Benchmarking Report (latest: 2012) 1 3 Questions? amartell@tekara.com l4
5 Model & tools Success factors Understand, fulfill your leadership role to be visible, active, sustained in sponsoring change Allocate sufficient resources: your skills & time, recruit other sponsors, support change lead & build enterprise-wide change capability Increase knowledge about leading change & being effective Guided by strategy, apply consistent change tools Understand, anticipate & plan for resistance Ensure volume & pace of change is manageable for employees & support/equip them for adapting Monitor, respond to results; course-correct Celebrate milestones, successes Amazing Conversations Strategic Leadership Extraordinary Results Sponsor paints picture Do not under-estimate the role of the leader in making change successful. The role of the leader, first and foremost, is to make that vision & goal well understood, clear & consequential. Change team & sponsor model Project Exec. Sponsor Project Team Jacqui Allard: Manulife Powerful vision drives change Building a powerful vision involves: Understand reasons for change Clarify intended benefits Draft compelling statement Create high level measures Middle Managers & Supervisors Finance IT Team Primary voices for project Project champions Project subject matter experts HR, L & D, Corp Comms Operations amartell@tekara.com l5
6 Change within Ops Implementing change takes sustained effort over time, and can t be done casually or when we can fit it in. R. Denys Calvin Chief Operating Officer Nexus Investments Inc. Change within Ops With its regular rhythm, the investment management business is a little like an assembly line that runs continuously. Change management is quite different more job shop style with each change a project that has a beginning, middle and end. R. Denys Calvin Chief Operating Officer Nexus Investments Inc. Change map: 4-Phase Change map amartell@tekara.com l6
7 Common sponsor mistakes Assess impact 1. Assuming the change trickled down Did not monitor or check 2. Not ensuring fellow leaders knew how to lead change Failed to equip them 3. Dictated with little effort for inviting 2-way communication or feedback 4. Not celebrating milestones Resulting in loss of momentum * From the 2012 Prosci Best Practices in Change Management benchmarking report How roles fit together Change map amartell@tekara.com l7
8 Organizational readiness Influenced by: History of implementing change Amount of other changes underway Extent to which change aligns - or doesn t - with culture Extent to which current business practices & processes support the change Why do we resist change? Biggest reason is fear of unknown of failure of commitment of disapproval of success Sponsorship assessment Reacting to change. Legend: Supportive of project; absent CM training Supportive of project; received CM training Unconfirmed amartell@tekara.com l8
9 Stakeholders of change Groups, individuals essential to your change succeeding, because they: are affected by it & must buy into it must work differently because of it must learn new skills, behaviors, or technology to implement & sustain it possess the expertise essential to its success or, likely to impede your success if they do not change. Change map Leading from the top Change within Ops Communication is very, very important. Change is difficult for people. People have different capacities for absorbing change & different degrees of comfort with a changing environment. Jacqui Allard Head of Operations & CIO Manulife Financial Big change projects are like eating salami. You can t eat it whole or sideways. You have to tackle it one slice or step at a time, so that each slice takes you in the direction you need to go. With multi-year projects, you need payoffs long the way. It cannot be some glorious, Roman candle-like burst of results only at the end. R. Denys Calvin Chief Operating Officer Nexus Investments Inc. amartell@tekara.com l9
10 Questions? Communication is key Amazing Conversations Strategic Leadership Extraordinary Results Leading from the top Communication must be multipronged & use varied media & approaches. It might be one-on-one meeting, team meetings or . You need to make communication meaningful for people. They want to see how their part fits into the bigger whole. They want to be connected to the change & see what is in it for them; knowing that they have skin in the game. Jacqui Allard Head of Operations & CIO: Manulife Key messages: communicate Message Themes Proof Points Message 1 Evidence of statement Message 2 Evidence of statement Message 3 Evidence of statement amartell@tekara.com l10
11 High-level change plan Tool Timing Audience Action/Medium Message/Purpose Lead Sponsor March Project Team Recruit and/or confirm Confirm roles and Plan project sponsor team responsibilities Coach March Leadership Change management Preparing team to lead plan training change Comm March Internal and Key activities for Integrated communications Plan External success Issues April Internal and Identify, develop, Proactively identify, Plan External approve issues assess, prepare for issues; management plan readied with media training, approved messaging, communications Communication choices What people need to know? What s the business case? How does this change affect me? What are the details about how? How does this benefit me? What tools, resources, support provided? Who else is collaborating? How? How & when can I give input about making this an even better change? What happens if there s no change? Prosci ADKAR Model Other models: ADKAR The ADKAR Approach to change Plus: J. Kotter J. LaMarsh L. Ackerman Anderson or, DIY model Proof points: effective change On boarding Leadership development programs Regular educational offerings, programs (coaching teams through change) Strategic plan features change component Sponsors/leaders request starting projects Accountability built into mandates Performance management incorporates it Enterprise-wide methodology Regular metrics on effectively managing Source: change-management.com amartell@tekara.com l11
12 Leading Change & Organizational Renewal Change resources Source: exed.hbs.edu/programs/lcor Cornell University: certificate Rotman executive program ecornell.com/certificateprograms/leadership-and-strategicmanagement-training/changeleadership-certificate/crt/.the program is aimed at senior executives, including those at the vice president and director levels, in both private and public sector organizations. Details: rotman.utoronto.ca/professionaldevelopment/executive- Programs/CoursesWorkshops/Programs/Leading-Change l12
13 In-house change capability Your life does not get better by chance, it gets better by change. Jim Rohn Plus: Association of Change Management Professionals Annette Martell ABC, MC, IABC Fellow ext Questions? Feedback? Amazing Conversations Strategic Leadership Extraordinary Results l13
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