If it is worth doing, it is worth doing slowly Mae West 1 CREATING FOLLOWERSHIP DURING CHANGE MARCH, 2011 SUSAN L. NEWTON
HOW PREVALENT IS RESISTANCE TO CHANGE? It is generally acknowledged that in an average organization, when a change is announced: 15% of the workforce is eager to accept it 15% of the workforce is dead set against it 70% is sitting on the fence, waiting to see what happens Your focus 2
HOT OFF THE PRESS (MARCH 2011 GARTNER STUDY) Companies under-invest in organizational change management Change management should be a priority to ensure successful adoption and realization of the benefits Companies allocate, on average, only 5% of the overall system implementation budget to the change management effort An average of 15% of the program budget should be allocated, inclusive of training but more, if changes are significant or the corporate culture is more changeaverse 3
HOW PEOPLE MOVE THROUGH CHANGE Stability Doubt Hope Capability Comfort & Confidence Level Contentment Comfort Perceived competence Clarity Relationships Security Denial Confusion Loss Blame Incompetence Regrets Fears Change Skill development Connections More clarity Training Direction Contentment Confidence Satisfaction Increased skill Increased capability 4 New stability level Microsoft Materials
WHAT IS RESISTANCE? Resistance is any force that slows or stops movement Resistance is neither an absolute negative nor an unequivocally positive force Resistors are not out there waiting to ruin a change People resist in response to something The people resisting don t see it as resisting; they see it as survival 5
SURFACE POTENTIAL RESISTANCE EARLY Change gets bogged down because resistance is not dealt with soon enough or openly enough to keep the change process moving Resistance may exist anywhere and everywhere even the difficultto-see places Consider: How will this change effort affect? Strategy Structure Process Operating principles Culture/behaviour Jobs People Leadership Management Resources Systems Rewards Values/Beliefs Capabilities
A FORMULA TO KEEP YOU ON TRACK C = D x V x F x L > R D = Dissatisfaction V = Vision F = First Steps L = Linkages R = Resistance Change usually comes from some dissatisfaction, a vision to correct or address that dissatisfaction, and the first steps toward that vision. In the absence of any of these pieces, you should expect resistance and/or apathy at any level. Before embarking on any change initiative, you must ensure that these pieces will be greater than the resistance that will follow. 7
SAMPLE READINESS QUESTIONNAIRE Yes = Asset Strategy Most employees understand our strategy and goals for this change Most employees understand how our goals for this change affect company results Our stated strategy and goals for this change are reflected in our leaders actions Measures are in place to gauge whether the change is supporting our goals Organization System Adjustments to job responsibilities and accountabilities have been made to support this change Handoffs needed within and between units to realize this change happen smoothly Decisions in relation to this change are made by those who have the best information Information needed to make this change happen is shared with the right people Resources (people, capital, physical assets, etc.) are dedicated to this change People Employees know what is expected of them in relation to this change Employees perform as they are expected to in relation to this change Employees have the right skills to realize this change Employees are motivated to realize this change Employees are learning transferable skills by going through this change Leadership People know who has the authority to make the major decisions about this change Leaders actions and behaviors are consistent with those needed for this change There are enough leadership role models for the desired state (the Change Intent) Leaders have reprioritized work to the extent necessary to enable this change to succeed Leaders work through the potential conflicts raised by this change Climate The current climate supports this change We reward and recognize employees for realizing this change Employees are able to initiate and respond to mid-course corrections in this change There is sufficient capacity to absorb the work required for this change No = Liability 8
EMOTIONAL RESPONSE Emotional response to a positively perceived change Adapted from Kubler-Ross Emotional response to a negatively perceived change 9
CHANGE COMMITMENT CURVE The change journey is based on a determination of where any initiative s target audience needs to be on the curve Degree of Commitment Commitment Displaying ownership and action to support and sustain the change Buy-In Showing a willingness to embrace and continue the change process Understanding Understanding the nature of the change as well as where you fit in Awareness Having general knowledge of the change Time 10
SOME SIMPLE TRUTHS Most people do not resist change they resist the transition (organizations go through change, people go through transition) Resistance is not bad it s a natural reaction to the uncertainty brought about by change Resistance is always present in complex change efforts Working with resistance competently will ALWAYS lead to increased results Every individual has a threshold for how much change they can absorb from : their personal history current events in their life current changes at work 11
CHANGE AND TRANSITION Change is an event. Transition is a process. Organizations implement change Not personal Gather data and measurements Identify change targets Redesign processes, systems, and tasks It s about managing results People go through transitions Intensely personal Build perceptions based on available information Identify gains and losses Reorient how skills and knowledge are used It s about managing stress The cardinal rule in dealing with change is that what people are feeling is what people are feeling. Their reactions, whatever they are, are normal and natural for them given their experiences and circumstances. Aftershock: Helping People Through Corporate Change 12
LIKELIHOOD OF YOUR INITIATIVE Forms of Resistance* Very Unlikely Unlikely Likely Very Likely Perceived threat to job security Loss of expertise Need to learn new skills Shifts in influence, authority, control Shifts in communication patterns Loss of organizational status Change in habits or customs Limited understanding of change Low tolerance for change Other: *Consider the different audiences impacted or those whose support you will need 13
THE VALUE OF RESISTANCE A natural part of the change process A key to great information about the: system activity people involved A valuable tool in helping to plan how best to introduce a change effort Sometimes helpful serves as a BS detector spawns or facilitates improvement to change plans It is usually not change, per se, that people resist, but, rather, the ambiguities and dilemmas it creates 14
TYPES OF RESISTANCE Overt Challenges and opposition to your goals Disagreements, arguments, and debates about your methods Just saying no! Covert Saying yes and doing the opposite Half-hearted energy slowdown strikes Not giving the new ways a fair chance to work Subtle Not hearing what you are proposing Not understanding what you say Not noticing problems Forgetting to use the new methods or procedures 15
A CONTINUUM OF METHODS Ultimatums, threats or coercion Selling the change Appealing to reason Inflicting guilt Appealing to basic values Deflecting resistance Appealing to unanimity Generally, trying to break down resistance in these ways increase resistance. Just because you have silenced people does not mean you have converted them 16
ALIGN ESSENTIAL SYSTEMS Work/Information Flow Rewards & Recognition Technology Interdependencies Skills Relationships Climate Training Organization Chart Work Design Roles & Responsibilities 17
BEGIN TO CREATE FOLLOWERSHIP Surface the resistance Listen to the resistance Reinforce that it s okay to not like all of this Explore the resistance: What would you prefer? Explore potential benefits Recheck your perceptions Mechanisms to build buy-in are captured in communication and involvement: Give people influence when making decisions Give people a role when taking action Allow people the opportunity to demonstrate impact Keep people informed Ask for, and take note of, feedback 18
YOUR BEHAVIOR Do not react with surprise Expect resistance and plan for it Be patient with individuals as they work their way through the change process Assess resistance not only from an individual s natural aversion or dislike to change Consider how much other change is going on (what is the capacity for more change) Persistent resistance from middle-management is dangerous to the success of the project Resistance happens at all levels initial meetings of senior executives to plan the change provides them with knowledge employees rarely get or see 19
HELP THEM MAKE SENSE OF THE JOURNEY To change their behaviour, employees need to see the link between: The information they receive Their work and how they do it The context in which they do their work The needs of the organization 20
STRATEGIES FOR EMPLOYEE INVOLVEMENT Meet regularly with employees and openly discuss the changes and why they occurred Constantly communicate clear goals and vision of the new situation Encourage people to discuss fears and concerns in teams Open suggestion boxes for employees to raise questions in anonymity Set up weekly lunches or other informal meetings to discuss the progress of the change Develop rituals and marker events that allow people to connect Involve employees affected by the changes in making decisions about what s best for them Discuss realistic career options with employees and ensure training is available for any new skills that are needed 21
IMPLICATIONS THAT LEADERSHIP MUST CONSIDER What is the proposed change? What group or team or department is at the center? What others groups/teams may be impacted? How might this extend to partners, clients, etc.? Who must support this change for it to be successful? Who is most likely to be positively impacted? Who is most likely to be negatively impacted? What conversations need to happen to ensure support? 22
DEVELOP AND DELIVER COMMUNICATIONS Critical Questions Be prepared to answer questions Why are we doing this? What will the new organization be like? What will the new rules be? Will the company values be different? Do I want to be a part of the new organization? What s in it for me? What will I do? Whom will I work with? Context Vision Linkage Role ❿The big picture ❿What we want to become ❿Our stake in the game ❿How we contribute to success What resources will I have? What help will I get? Support ❿How we re enabled 23
CREATE A STAKEHOLDER PLAN/COMMITMENT CHART Key Relationships Against No Commitment 1. Operations Manager 2. VP of Marketing 3. Operations Group 4. Product Development Let It Happen Help It Happen Make It Happen Actions to Take Name redesign team lead Have opinion leaders at overview Involve in analysis No action necessary 5. Middle Managers Involve in communications 6. Human Resources 7. Marketing Group 8. Info Systems Group X X X X X O O O XO X O O O X O Renegotiate their role Involve in data gathering Engage in dialogue A stakeholder plan (or commitment chart) can be used to build the necessary support for a change initiative. The goal is not to achieve total commitment from everyone, but to identify the minimum level of commitment needed to support the change. 24
WHAT ARE THE SIGNALS YOU MAY SEE? Refusal to believe the change will have an impact Asking for more data to justify the change Overt criticism about the effort Not showing up for meetings or lack of participation in meetings A flurry of activity focused on the short term at the expense of the long term Discounting the change as just another program 25 Adapted from Microsoft Materials
TEN COMMANDMENTS OF CHANGE Unless the transition occurs, the change will not work -- or will not work optimally. People don t resist change. They resist loss. People go through predictable stages of transition. Never try to overcome resistance; rather, learn to nurture it, use it and benefit from it. Do not assume that technology is an acceptable way to communicate about change and the impact on people. In every change, there is gain and loss and people see them differently. People need to get support for their own feelings and reactions in order to be able to help others. Unless transition occurs, change will NOT be accepted. Change from the top happens at the whim and will of those below. The key to successful management of organizational change lies in the26 people.
AND BY THE WAY (Myers-Brigg) Type preferences influence people s responses to everything we ve discussed How they want to be informed What kind of information they want What criteria they use to decide to support or resist How they want to be involved How they want the plans to be structured 27