Digital Transformation in the PLM domain - distrib.pdf
Day 1 1410 - 1455 - maple - rt sundari
1. 1
Change Management -
A success story in a Government Organization
Ashutosh Pandey, R.T.Sundari
27 Septemper 2013
2. 2Change Management- A success story in a Government Organization
Agenda
1. Introduction
2. Challenges faced in Government Organization
3. Change Management Model
4. Implementation of Change Management
5. Analysis of result after Implementation
6. Conclusion
3. 3
INTRODUCTION
• The concept of "change management" is a familiar one in most
businesses today.
• Any change initiative is to steer the organization away from
where it’s currently headed to an enhanced and improved
future.
• Organizational change is something that occurs throughout an
organization’s life cycle.
• Change in the organization is required due to demand in the
globalization, ever changing technology.
Change Management - A success story in a Government OrganizationChange Management-
4. 4
Challenges faced in the Government
Organization
• Various mega software projects, the planning itself was more
complex.
• No defined requirements.
• Specification changes during project implementation were
frequent and inevitable.
• Scope creep and schedule missed very frequent due the client
non involvement.
Change Management- A success story in a Government Organization
5. 5
Strategy to adopt Change Management (CM)
• To overcome the challenges faced it is felt to have change the
• Working Mechanism
– can be changed by introducing new procedures,
methods to attain better performance with available
resources
• Organizational Structure
– can be changed to be more responsive with external
factors i.e. customers, market competitions etc
• Human behavior and Organization Culture
– can be redefined by training to managers and employees
for new knowledge, skills and Right-Sizing
Change Management- A success
6. 6
Change Management Models
• While there are many change management models, most
organization will choose at least one of the following three
models to implement the strategy:
1. Lewin’s Change Management Model
2. McKinsey 7-S Model
3. Kotter’s 8 Step Change Model
• While each one of the models has its own advantages and
disadvantages, one has to carefully analyze the model that best
suit to the organization and its culture.
Change Management- A success story in a Government Organization
7. 7
Advantage of the Kotter’s Model
• The process is an easy step-by-step
• The focus is on preparing and accepting change, not the actual
change.
• Transition is easier.
“Hence Kotter’s Model was selected to implement the CM”
Change Management- A success story in a Government Organization
8. 8
Kotters’ 8 step model
• 1. Increase the urgency for change.
• 2. Build a team dedicated to change.
• 3. Create the vision for change.
• 4. Communicate the need for change.
• 5. Empower staff with the ability to
change.
• 6. Create short term goals.
• 7. Stay persistent.
• 8. Make the change permanent.
Change Management- A success story in a Government Organization
9. 9
CM in Organization structure
• The organization structure was built around domain areas.
• Project teams were formed within these domain, who were
responsible for design, development, testing and implementation.
• It is proposed to change the Organizational Structure from
Project base to Matrix Base
Change Management- A success story in a Government Organization
10. 10
Analysis of Cost and Risks-Organizational
vs Project level
Cost Risks
Project level •Project delays
•Missed milestones
•Budget overruns
•Rework on design
•Loss of work by project team
•Resistance – active and passive
•Project put on hold
•Resources not made available
•Obstacles appear unexpectedly
•Project fails to deliver results
•Project is fully abandoned
Organizational
level
•Productivity plunges
•Loss of valued employees
•Reduced quality of work
•Impact on customers
•Impact on suppliers
•Morale declines
•Legacy of failed change
•Stress, confusion, fatigue
•Change saturation
If the change is
not implemented
•Lost investment made in the
project
•Lost opportunity to have
invested in other projects
•Expenses not reduced
•Efficiencies not gained
•Revenue not increased
•Waste not reduced
•Regulations not met
Change Management- A success story in a Government Organization
11. 11
Challenges in Project Base Organization
Structure
• Project documents like designing, review reports were prepared
after the activity of that phase is over.
• Similar modules/ functionalities developed by a number of
projects but components developed under one project were not
being re-used in other projects
• There was lot of rework in the projects and more efforts.
• Individuals and teams are continually ‘reinventing the wheel’.
• Simply do not know that what they are trying to do have already
been done by other teams.
Change Management- A success story in a Government Organization
13. 13
Implementation Change Management
• Keeping opportunities and challenges in mind, Centre evolved
some internal changes in its functional structures
• First step towards this was to identify the group which will
implement the change.
• Software Engineering Process Group (SEPG) was formed with the
representation from different technical groups
• Putting people at the top of the agenda with planning for
enhanced staff performance has become a key element of the
Strategy.
• change the organization structure by creating four groups’ viz.
Design, Development, Testing and Implementation
Change Management- A success story in a Government Organization
14. 14
Implementation of Change Management
• This has helped in pooling the skill and talent in a group with a
clearly defined roles and responsibilities.
• The documentation has become a must from other group before
they start their work.
• The common repository system was created by the Quality
Assurance Group for easy handing of the documents from the
various groups and Core-Library for Re-Usable components.
• Baseline documents were uploaded in project repository for the
stakeholders to use.
• The vertical functional group and horizontal project team of
matrix helped to speed up the implementation.
Change Management- A success story in a Government Organization
16. 16
Problems after the Change Management
• Initially, the changes made in the structure did not go well in
between the groups.
• There have been barriers created between the groups leading
to water tight compartments.
• No accountability was felt by Design, Development and Testing
groups.
• The Implementation team always faced the pressure from the
clients.
Change Management- A success story in a Government Organization
17. 17
Mitigation of the problems
• SEPG group has identified the Project Management Office
(PMO) to co-ordinate with different groups.
• PMO tracks the timeline and progress of the project and gave a
good support to implementation group.
• Weekly meetings were conducted by the PMO with the Team
Leads of different groups.
• Targets were fixed during the meeting and issues between the
groups were sorted out amicably.
Change Management- A success story in a Government Organization
18. 18
Data collection and analysis
• Data of efforts, schedule, cost, no of bugs after deployment
were collected from different projects.
• With data analysis of the variance in efforts, schedule, cost etc
were calculated.
• After one year of change management the improvement were
felt.
Change Management- A success story in a Government Organization
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Analysis of CSI after Change Management
• Customer Satisfaction Index
(CSI) was taken after one
and half years.
• During the project based
structure overall CSI was
between 1 and 2 whereas
the matrix based structure of
CSI was reached 3 on the
scale of 5
Change Management- A success story in a Government Organization
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Benefit of Change Management
• Cost of implementation of projects lowered.
• Against size was compared the re-usable components; rework;
defects detected before delivery of the product and after
delivery.
• Reworking has reduced due to number of re-usable components
used in the projects.
• The defects rate after delivery was also declined
Change Management- A success story in a Government Organization
21. 21
Project Base Vs Matrix Base Structure
Project Base Structure Matrix Base Structure
Projects
Size (No.
of
Processe
s)
Re-
Usable
Compon
ents
Rework
(Man
days)
Size
(No.of
Processe
s)
Re-
Usable
Compon
ents
Rework
(Man
days)
PGIMER 728 45 340 1625 124 201
GNCTD 446 14 225 1258 76 175
RIMS 875 7 324 986 49 115
SMS 678 17 275 625 29 121
Change Management- A success story in a Government Organization
22. 22
Project Base vs Matrix Base Structure
Project Base Structure Matrix Base Structure
Projects
Defect
s
before
Deliver
y
Defect
s after
Deliver
y
Redund
ancy %
Impleme
ntation
Cost
(INR)
Defects
before
Delivery
Defects
detected
Delivery
Redund
ancy %
Impleme
ntation
Cost
(INR)
PGIMER 2673 215 42 5356.46 3678 202 12 3883.08
GNCTD 1463 175 54 5595.85 2458 124 6 3713.04
RIMS 1225 227 62 4172.00 2126 62 8 3768.51
SMS 1900 122 38 4737.09 1965 57 7 4389.60
Change Management- A success story in a Government Organization
23. 23
Comparison of implementation cost between Project
base vs Matrix base organizational structure
• Comparison of the Project
data between the two type
Organizational Structures
shows that there is an
average of 40% cost
reduction due to the Change
Management
Change Management- A success story in a Government Organization
24. 24
Conclusion
• The organization was able achieve the milestones leading
towards processes and performance improvement.
• Resulted in the client and employee satisfaction.
• Change has Minimized Project Risks.
• Accelerated Project Benefits and Optimizing current & future
processes and structures.
Change Management- A success story in a Government Organization
