CHANGE MANAGEMENT –
PRINCIPLES AND PROCESS
BE A COMPETENT FACILITATOR OF CHANGE IN YOUR
ORGANIZATION
ROAD ACCIDENT FUND
CENTURION
CHARLES COTTER
14-17 MARCH 2016

 Introduction to change management principles and practice
 Describing the types of change
 Diagnosis: Identifying and applying the characteristics of change
capable organizations
 Explaining change theories and the change transition cycle
 Explaining the leadership role and contribution during change
 Differentiating between Type O and Type D oriented people and the
effective management thereof
2-DAY TRAINING PROGRAMME
OVERVIEW

 Applying the Change formula
 Identifying the reasons for resistance to change
 Describing the managerial techniques to reduce resistance to change
 Describing Lewin’s 3-phase Planned approach to change
 Describing and applying the 7-step organizational change
management process
 Applying Prosci’s Change Management Methodology
2-DAY TRAINING PROGRAMME
OVERVIEW

INTRODUCTORY LEARNING
ACTIVITY
 Individual activity:
 Complete the following statement by inserting one word only. In
order to effectively manage change in the RAF, I need to/to
be………………………………………………
 Jot this word down and find other learners who have written down
the same word.
 Write this word down on the flip-chart.
 Each learner will have the opportunity to explain their choice of
word.

 Change and Change Management
 The need for change
 The V-U-C-A nature of the business environment
 The reasons/forces of change (refer to pages 4-5)
 The metaphoric views of change
 First and second order change
 The areas/types of change
DEFINING THE FUNDAMENTALS OF
CHANGE

THE NEED FOR CHANGE

THE NATURE OF THE BUSINESS
ENVIRONMENT – V-U-C-A

REASONS/FORCES OF CHANGE

METAPHORIC VIEWS OF CHANGE
CALM WATERS WHITE-WATER RAPIDS

 First Order change is often referred to as evolutionary or
gradual change - usually localized – it impacts on one part of a
system without major repercussions to other parts of the
system. The organization as a whole remains intact and no
overall change of its former state occurs in spite of incremental
change to one part of it.
 Second order change is often referred to as radical or
revolutionary change because it impacts on the organization as
a whole.
FIRST AND SECOND ORDER CHANGE

AREAS/TYPES OF CHANGE: S-P-O-T-S

 Identify examples of both internal and external forces that
necessitate your organization to change. How has the RAF
responded to these changes? Provide practical examples.
 As a manager, how would you view the organizational change
– calm waters or white water and/or first or second order
change? Substantiate your reasoning.
 By referring to the 5 types of change, provide relevant
examples of each. Of these types of change, which is the most
challenging? Motivate your answer.
 Present a summary of group discussion
SYNDICATE GROUP LEARNING
ACTIVITY 1

 The literature on “change management” is clear: over 70% of
change initiatives fail.
CHANGE MANAGEMENT SUCCESS
TRACK RECORD

 We started with a single question: Why do some changes
succeed and others fail? (https://www.prosci.com/about)
 The answer: the people side.
PROSCI’S VIEW OF CHANGE SUCCESS

 Unsuccessful means “the goals of change are not achieved or
only small parts are achieved.”
 Refer to the examples (1-5) of failed change management
projects (pages 39-41)
 Refer to the Lessons learnt from these examples (pages 39-40)
Good intentions doesn’t equal change success
Self protection mechanism
 Refer to the Pitfalls in a change management project (pages
42-49)
CHANGE MANAGEMENT SUCCESS
“RECIPE”

 #1: Linking the present and the future
 #2: Make learning a way of life (learning organization)
 #3: Actively supporting and encouraging day-to-day
improvements and changes (continuous improvement
processes)
 #4: Ensuring diverse teams
 #5: Encourage out-of-the-box thinking (innovation)
CHARACTERISTICS OF CHANGE-
CAPABLE/FRIENDLY ORGANIZATIONS

 #6: Protect and shelter breakthrough ideas (intellectual
property)
 #7: Integrate technology to implement changes
 #8: Build and deepen trust (creating an organizational culture
of management credibility and integrity)
 #9: Streamline and align processes, systems and structures
 #10: Leadership have the will and conviction to change
CHARACTERISTICS OF CHANGE-
CAPABLE/FRIENDLY ORGANIZATIONS

 Diagnosis: By referring to each of the characteristics of change
capable/friendly organizations, measure the degree of the
RAF’s readiness to change.
 Analysis: Identify those areas which need to be improved and
recommend strategies to close these gaps.
 Present a summary of group discussion
SYNDICATE GROUP LEARNING
ACTIVITY 2

CHANGE TRANSITION CURVE

CHANGE TRANSITION CURVE AND
APPROPRIATE LEADERSHIP ACTIONS

 As a manager, describe how you can accelerate and guide
employees through the change transition cycle to the most
sophisticated/mature stage i.e. commitment.
 Present a summary of group discussion
SYNDICATE GROUP LEARNING
ACTIVITY 3

• The employee does not have a responsibility to manage
change.
• The responsibility lies with management and executives of the
organisation.
• They must manage change in a way that employees can cope
with it.
• The manager has the responsibility to facilitate and enable
change.
RESPONSIBILITY FOR MANAGING
CHANGE

 “Leaders should not only administer and manage change, but pioneer,
pilot and drive change towards barrier-busting heights of performance
improvement.” (Cotter: 2005)
 Managerial Roles and Actions
 Change Agents (internal and external)
 Building resilience and change-hardiness
 Transformational Leadership
 Develop Employee engagement strategies
 Scaling the Hierarchy of Commitment
THE ROLE OF LEADERSHIP IN
CHANGE MANAGEMENT

 Provide a future vision for change
 Leaders should possess diagnostic ability to read, scan and respond to
the changing environment in the perpetual quest for business growth
and expansion opportunities
 Be a catalytic driver of change
 Guide, support and lead people through the change transition cycle
 Be a change agent
 Lead by example during change i.e. be a role model/ambassador and
advocate for change
 Be a transformational leader
 Break down resistance to change
 To build resilience and change hardiness amongst the workforce
CHANGE LEADERSHIP ROLES AND
ACTIONS

 The five attributes of resilience include:
 Positive (they see life as complex but filled with opportunity)
 Focused (they have a clear vision of what they want to achieve)
 Flexible (they demonstrate pliability when responding to uncertainty)
 Organized (they develop structured approaches to managing ambiguity)
 Proactive (they engage with change rather than defending against it)
BUILDING RESILIENCE AND CHANGE
HARDINESS

CHARACTERISTICS OF
TRANSFORMATIONAL LEADERSHIP

 According to Gallup (2013) research, the best organizations
deeply integrate employee engagement into the following four
(4) areas:
Strategy and Leadership Philosophy
Accountability and Performance
Communication and Knowledge Management
Development and on-going Learning Opportunities
BEST PRACTICE EMPLOYEE
ENGAGEMENT

 According to Gallup (2013), strategies to improve employee engagement are:
 Use the right employee engagement survey
 Focus on engagement at the enterprise and local levels
 Select the right people and managers
 Coach managers and hold them accountable for their employees’ engagement
 Define engagement goals in realistic, everyday terms
 Develop employees’ strengths
 Enhance employees’ well-being
 Find ways to connect with each employee
STRATEGIES TO DEVELOP EMPLOYEE
ENGAGEMENT

 Describe your role and contribution as a change agent. Express your
opinion regarding the use of external change agents i.e. do you
support or oppose the contracting of external change agents.
Substantiate your reasoning.
 By referring to the characteristics of transformational leaders,
describe how you can demonstrate these during times of change.
 How you will build resilience and change hardiness amongst the
workforce (refer to the characteristics of highly resilient people)
 How you will develop employee engagement strategies in the RAF.
SYNDICATE GROUP LEARNING
ACTIVITY 4

• Rating of 18 - 35: Highly Type O; interprets the world as a multifaceted and overlapping;
maintains a strong purpose or vision that helps during times of change; has a high
tolerance for ambiguity; manages many simultaneous tasks and demands successfully;
takes risks in spite of potentially negative consequences.
• Rating of 36 - 53: Moderately Type O; predominately views disruptions as a natural result
of the changing world, but sometimes needs a long recovery time after adversity or
disappointment; exhibits patience, understanding, and humour when dealing with
change; fails to ask for assistance from others when it is needed.
• Rating of 54 - 71: Moderately Type D; believes there are usually lessons to be learned from
challenges, but lacks an overriding purpose and the ability to stay focused; questions and
modifies (when necessary) his/her own assumptions or frames of reference; becomes
confused when faced with confusing information.
• Rating of 72 - 90: Highly Type D; expects the future to be orderly and predictable and sees
major change as uncomfortable and something to avoid; feels victimized during change
and fails to break from established way of seeing/doing things
INTERPRETATION – TYPE O AND D

 Individually: Complete the Type O vs. D-oriented
questionnaire.
 Group: As a manager, describe how you will manage your staff
with both a Type O and Type D orientation towards change.
 Present a summary of group discussion
SYNDICATE GROUP LEARNING
ACTIVITY 5

 Why people resist change?
 Why it is so challenging to reduce resistance to change?
 Managerial techniques to reduce resistance to change
MANAGING RESISTANCE TO CHANGE

RESISTANCE TO CHANGE –
“COMFORT ZONE”

 Uncertainty (i.e. fear of the unknown)
 People’s self-interest is threatened
 A lack of trust and misunderstanding
 Belief that change is incompatible with the goals and the interest of the
organization
 A low tolerance for change is also a barrier to organizational change
 Other general reasons (e.g. include inertia where people do not want to change
the status quo, poor timing, and unexpected, extreme or sudden change and
peer pressure)
WHY PEOPLE RESIST CHANGE?

 People and their behaviour is the most difficult to change because
unlike structure and technology, in which managers have absolute
control, managers do not have absolute control over peoples’
thinking, attitudes and perceptions.
 “Unlike technology, structure, processes and strategy, people talk
back when confronted by uncomfortable levels of change.” (Cotter:
2014)
 People are the greatest source of resistance to change because
people have minds of their own i.e. they have personalized and
subjective views regarding change.
 Change must involve the people - change must not be imposed upon
the people
WHY IT IS SO CHALLENGING TO REDUCE
RESISTANCE TO CHANGE?

 In the RAF work environment, identify the five (5) foremost
reasons why employees resist change. For each of these 5
reasons, describe the ways and means that you as a manager
can use to break down these “walls of resistance”. Provide
practical examples.
 Present a summary of group discussion
SYNDICATE GROUP LEARNING
ACTIVITY 6

MANAGERIAL TECHNIQUES TO
REDUCE RESISTANCE TO CHANGE

 By referring to each of the 6 techniques to manage employee
resistance to change, describe how you as a manager can apply
these techniques in the RAF working environment. Provide
practical examples. Also indicate at which stage of the change
process, each of these techniques is most appropriate.
 Present a summary of group discussion
SYNDICATE GROUP LEARNING
ACTIVITY 7

 At all times involve and agree support from people within system
(e.g. the environment, processes, culture, relationships, behaviours -
whether personal or organizational)
 Understand where you/the organization is at the moment (status
quo)
 Understand where you want to be, when, why, and what the
measures will be for having got there
 Plan development towards above in appropriate achievable
measurable stages
 Communicate, involve, enable and facilitate involvement from
people, as early and openly and as fully as is possible.
BEST PRACTICE CHANGE
MANAGEMENT PRINCIPLES

 Refer to pages 35-39 in the Study Guide
 By reviewing the Advantages and Disadvantages of the five
change management strategies (figure 6 – page 38), indicate
which strategy is most appropriate for the various change
management initiative and interventions at the RAF. Justify
your response.
 Present a summary of group discussion
SYNDICATE GROUP LEARNING
ACTIVITY 8

LEWIN’S 3-PHASE MODEL OF
CHANGE

MCKINSEY 7-S MODEL (OF
ORGANIZATIONAL EFFECTIVENESS)

KOTTER’S CHANGE MANAGEMENT
PROCESS

 STEP 1: Forces for change (internal and environmental forces) which affect:
 STEP 2: Performance outcomes (individual, group and organizational) which encourages
 STEP 3: Diagnosis of the problem (information, participation and change agent) which
leads to
 STEP 4: Selection of appropriate intervention (structural, behavioural and technological)
as constrained by S-P-O-T-S
 STEP 5: Limiting conditions (leadership climate, formal organization structure and
organization culture)
 STEP 6: Selection and Implementation of the method (timing, scope and
experimentation) provision for
 STEP 7: Evaluation of the method (feedback, adjustment, revision, reinforcement)
APPLYING THE 7-STEP, ORGANIZATIONAL
STRATEGIC CHANGE MANAGEMENT PROCESS

 Step one of the strategic change management process starts with an
assessment of the organization’s Mission and Vision, challenges (pains),
enablers and values.
 The following strategically-relevant items form the scope to be scrutinized by
business managers:
 The company's mission statement
 The company's strategic plan/vision
 The financial status of the organization
 How the organization is currently structured and operating
 The level of expertise of their employees
 Customer satisfaction level
 Tools:
 SWOT Analysis
 PESTEL Analysis
STEP 1: FORCES FOR CHANGE - INTERNAL
AND EXTERNAL STRATEGIC ASSESSMENT

STEP 5: LIMITING CONDITIONS -
FORCE FIELD ANALYSIS

 By referring to the 7-step organizational change management
process, apply each of the steps in the RAF working
environment.
 Present a summary of group discussion
SYNDICATE GROUP LEARNING
ACTIVITY 9

• Point 1: Change management requires both an individual and
an organisational perspective.
• Point 2: A-D-K-A-R (awareness, desire, knowledge, ability and
reinforcement) presents an easy-to-use model for individual
change.
• Point 3: The 3-phase process gives structure to the steps
project teams should take.
HIGH-LEVEL OVERVIEW OF
PROSCI’S METHODOLOGY

A-D-K-A-R

PROSCI’S CHANGE MANAGEMENT
METHODOLOGY

 Evaluate the merits and application and utility value of Prosci’s
Change Management methodology to the RAF. Is there a
viable, feasible and sustainable business case for it’s
implementation value at RAF. Justify your response.
 Present a summary of group discussion
SYNDICATE GROUP LEARNING
ACTIVITY 10

 Summary of the key learning points
 Questions
 Conclusion
 Good luck with the implementation of change management
processes, systems and tools in the RAF.
CONCLUSION

CONTACT DETAILS
 Charles Cotter
 (+27) 84 562 9446
 charlescot@polka.co.za
 LinkedIn
 Twitter: Charles_Cotter
 http://www.slideshare.net/CharlesCotter