CHANGE MANAGEMENT

2. <
Change Acceleration Process
ive
(CAP)
ect
Eff
The Key to Change

3. Change Culture:
A Continuing Journey
2005+ Lean Six Sigma
Sp e e d & Qua lity
Growth:
2004 I ,
B’s
CECO R, Le a n, Cus to m e r Ce ntric , Ex e c utio n
Imagination at W
ork:
I a g ine , So lve , Build , Le a d
m
• Using Change as a Strategic and
ACFC (At the Customer For the Customer):
2000 Fa s te r, Be tte r, Clo s e r to the Cus to m e r
Competitive Advantage
Digitization:
• Optimizing Change
1998 Se ll, Buy , M ke us ing Te c hno lo g ic a l To o ls
a
Six Sigma Quality:
Effectiveness
1996 Pro d uc tivity , Sp a n, Da ta -Drive n De c is io n-M king
a
• Building a Culture that
Make Customers W
inners:
G E To o l-Kit
Drives Change
Key Strategic Initiatives:
2003
QM*, N *, O TR*, SP*, Pro d uc tiv ity , G lo ba liz a tio n
I PI
1992
Change Acceleration Process (CAP):
I re a s e s uc c e s s a nd a c c e le ra te c ha ng e
nc
Process Improvement:
Pro c e s s -m a p p ing , re -e ng ine e ring , Bulle t Tra in A p ro a c h
p
Productivity /Best Practices:
Be nc hm a rking Ex te rna l O rg a niz a tio ns , Sha ring Be s t Pra c tic e s
1989
W
ork-Out™ /Town Meetings:
Em p o we rm e nt, a c tio n – Ex p e rt-Driv e n De c is io n-M king , A tio n Wo rk-O uts ™, Cus to m iz e d Wo rk-O uts ™
a
c
* New Product Introduction, Quick Market Intelligence,
Order to Remittance, Supplier Partnership

4. Change Research
100% of all changes evaluated as
“Successful” had a good technical solution or
approach
Over 98% of all changes evaluated as
“Unsuccessful” also had a good technical
solution or approach
What is the differentiating factor
between success and failure?

5. …From Your Change Experiences
Elements of Successful Change:
__________________________________________
__________________________________________
__________________________________________
Elements of Unsuccessful Change:
__________________________________________
__________________________________________
__________________________________________

6. Effective Change Equation
QxA=E
Q = Qualitative/Technical Solution
A = Acceptance/Engagement
E = Overall Effectiveness

7. Lessons Learned:
2 Components to Any Change
Tec
Tech
hnica
nic
al St
lS
trate
rateg
gy
y
Facilitative
Leadership
l
o nal
iiona
zat
niizat
an
Org a gy
Org e gy
l,,
tura lStrat e
ura trat
Cullt
S
Cu
The Challenge = Do It W S
ith peed!
Change initiative
focused on
customer needs
(target)

8. CAP: The Basics
• Provides a ‘Pilot’s
Checklist’ for change leadership
• A flexible non-linear model
used throughout a change process
• Applies strategic thinking to the
influencing of others
• Contains tools to help change teams
identify ways to achieve behavioral
change

9. The GE CAP Model
L
eading Change
Creating a S
hared Need
S
haping a Vision
M
obilizing Com itm
m ent
M
aking Change L
ast
M
onitoring P
rogress
CUR E S
R NT TATE
TR
ANS
ITION S
TATE
F
uture S
tate
IM R
P OVE S
D TATE
S
ystem and S
s
tructures

10. CAP: A Model for Change
Leading Change
Having a sponsor/champion and team members who demonstrate visible,
active, public commitment and support of the change.
Creating A
Shared Need
The reason to change, whether driven by threat or opportunity, is instilled
within the organization and widely shared through data, demonstration or
demand. The need for change must exceed its resistance.
Shaping A
Vision
The desired outcome of change is clear, legitimate, widely understood and
shared; the vision is shaped in behavioral terms.
Mobilizing
Commitment
There is a strong commitment from constituents to invest in the change,
make it work, and demand and receive management attention; Constituents
agree to change their own actions and behaviors to support the change.
Making Change
Last
Once change is started, it endures, and learnings are transferred
throughout the organization. Change is integrated with other key initiatives;
early wins are encouraged to build momentum for the change.
Monitoring
Progress
Progress is real; benchmarks set and realized; indicators established to
guarantee accountability.
Changing
Making sure that the management practices (Staffing, Development,

11. Setting Up for Success
“Off to a Good S
tart”

12. W is this Important?
hy
SU
• A "good start" is essential to long-term success
• Even straightforward projects must be "scoped" to ensure
attention is focused on essential elements & deliverables
• Effective teams are formed through deliberate actions,
starting with clarification of roles, responsibilities and
expectations
Time Invested up-front
Pays Rich R
ewards ‘Down-Stream’
Go Slow To Go Fast!

13. W is the Outcome?
hat
SU
• Clear roles, responsibilities and expectations for all
parties (Sponsor, Team Leader, Team Members,
CAP Coach, Others)
• A well-defined scope of work for the project that all
parties understand and are committed to achieving
• An effective project execution structure and
process

14. Setting Up for Success: Tools
SU
Project Definition
SCOPE:
•
•
•
•
Timing
Organizations Involved
Processes Involved
Levels Involved
GOALS:
• Results / Target for Project
• Measurements of Success
R
OLES:
• What is Their Role?
• Who Should be on Project
Team?
Project Definition Tools
Bounding Tools:
•
•
•
•
GRPI
Includes / Excludes
Process Focus (SIPOC / COPIS)
In the Frame / Out of the Frame
Alignment Test:
• 15 words
• Critical Success Factors
Significance Test:
• On the Screen

15. Project Scoping Tools
SU
In & Out of the Frame
Used For:
Creating a visual picture of the
elements in “Scope” (frame) and
out of “Scope” for the project
15-W
ord Flip Chart
Used For:
– Developing a Project
– Definition Statement
15-W F Chart
ord lip
In the F e /Out of the F e F Charts
ram
ram lip
Draw a large square "picture frame" on a flip chart (or use tape on a wall) and
use this metaphor to help the team identify what falls inside the picture of their
project and what falls out. This may be in terms of type and extent of end results,
people impacted, time frame, product lines, sites, etc.
Each team member is given a flip chart page and marker. They must write,
in 15 words or less, the project definition. Post all and check for agreement.
Double check all fuzzy words by circling them and asking "What does it
look like?" or "How will we know it when we have it?".
P OJ CT
R E
DE INITION
F
P OJ CT
R E
DE INITION
F
P OJ CT
R E
DE INITION
F

16. Leading Change
L
eading Change
Creating a S
hared Need
S
haping a Vision
M
obilizing Com itm
m ent
M
aking Change L
ast
M
onitoring P
rogress
CUR E S
R NT TATE
TR
ANS
ITION S
TATE
IM R
P OVE S
D TATE
S
ystem and S
s
tructures

17. W is this important?
hy
LC
• Strong, committed leadership is critical to
accelerating change at all levels.
• Leadership impacts all other change elements.
• Change Leadership is not a part-time activity.

18. W is the outcome?
hat
LC
• Visible, active and public commitment/support.
• Willingness to take personal initiative and challenge the
status quo.
• High levels of attention to the project through the time,
passion and focus given to the project by leaders at all
levels.
• Leaders actively modeling CAP concepts, language and
tools.
Successful change initiatives require strong,
committed Leadership throughout the entire project
life-cycle

19. Leading Change Model
LC
FOCUS /AGENDA
• Enroll Others
• Facilitative Leadership Skills
•W W
in/ in
Change
TIME
• Planning
• Behavior: “W the talk”
alk
Skills
ENERGY /PASSION
• Personal involvement
• Is "known for . . . "
Tim e x Fo c us / A e nd a x Ene rg y / Pa s s io n = A ntio n
g
tte

20. Leadership Assessment Tools:
LC
Calendar Test (Time Audit)
Used For:
Stimulating thinking and team
discussion about the degree of
attention & commitment change
leaders are modeling.
1. Identify 4-5 things you feel
very strongly about (at home
or work).
2. Check your calendar for the
last 2-3 months to see what %
of your time is spent on those
things you say are important
to you
CAP Self-Assessment
Used For:
Assessing current capacity to show
specific competencies in each of the
seven core CAP processes.
Change Acceleration Process
Self-Assessment
Leads change
Creates a shared need
Shapes a vision
Mobilizes commitment
Makes change last
Monitors progress
Changes systems & structures
1 2 3 4
1 2 3 4
1 2 3 4 5
1 2 3 4 5
1 2 3 4 5
1 2 3 4 5
1 2 3 4 5
1 2 3 4 5
1 2 3 4 5
1 2 3 4 5
1 2 3 4 5

21. Creating a Shared Need
L
eading Change
Creating a S
hared Need
S
haping a Vision
M
obilizing Com itm
m ent
M
aking Change L
ast
M
onitoring P
rogress
CUR E S
R NT TATE
TR
ANS
ITION S
TATE
IM R
P OVE S
D TATE
S
ystem and S
s
tructures

22. W is this Important?
hy
CSN
• Forces any resistance or apathy to be addressed
head-on.
• Validates why the project is important and critical
to do.
• Builds the momentum needed to get the change
initiative communicated and launched.

23. W is the Outcome?
hat
CSN
• Awareness of the dissatisfaction with the current state.
• A shared recognition, by both the team and key
stakeholders, of the need and logic for change.
• The ability to frame and communicate the need for change
as a combination of threats and opportunities.
Creating a Shared Need produces
the ‘urgency’ to build momentum
for acceptance of the change initiative

24. Creating a Shared Need Tools:
CSN
Threat /Opportunity Matrix
Used For:
Framing the need for change as a
combination of thre a t &
o p p o rtunity over the short and
long term
Threat
If we don’t m
ake this change
Opportunity
if we do m
ake this change
Three D’s Matrix
Used For:
– Building your case for change
with evidence using data,
demonstration & demand
– Answers the question:
“Can I prove it?”
Types of Proof
Data/Facts:



S
hort
Term
Numbers / trends / statistics
Graphs / Financials
Benchmark / competitive data
Demonstrate:



L
ong
Term
Finding Examples
Best Practices
Visiting other Organizations / Panels/
Pilots/ Testimonials
D
emand:


Dynamic Leadership (Setting High
Standards/ Accountability)
Customers / Suppliers / Competition
(Int. / Ext.)
Examples

25. Shaping a Vision
L
eading Change
Creating a S
hared Need
S
haping a Vision
M
obilizing Com itm
m ent
M
aking Change L
ast
M
onitoring P
rogress
CUR E S
R NT TATE
TR
ANS
ITION S
TATE
IM R
P OVE S
D TATE
S
ystem and S
s
tructures

26. W is this important?
hy
SV
• Visions paint a picture that appeals to the “head
and heart” and answers the question, “Where are
we heading?”
• A clear statement about the future situation helps
gain genuine commitment
• An understandable vision helps establish the
milestones to monitor progress and change
systems & structures

27. W is the outcome?
hat
SV
• A clear statement about the outcomes of the change
• A view of the future state that is:
– Customer focused
– Not just one person’s dream
– Challenging
– Evolving, not static
– Behavioral and actionable
– Easy to understand
Visions provide Direction and Motivation
for Change

28. Shaping a Vision Tools:
SV
Key Phrases Exercise
Used For:
Involving all team members and
capturing individual perspectives
1. Individually jot down key phrases that
capture the essence of why the team
exists.
2. Collect and collate into vision
statement.
3. "Test" on customers, vendors,
employees.
4. Modify as necessary.
Backward Imaging Exercise
Used For:
Helping team members think
about the future they are working
to create
1. Imagine a point in the future when the
project has been very successful.
2. Find words to describe what you would
see, hear, feel as you observe key
stakeholders functioning in the new,
changed state.
3. Collate, debate, reach consensus on
your vision statement, "test" on others
& modify
Sha re d Vis io ns c o m e fro m c o lle c tiv e e ffo rts
tha t re fle c t ind iv id ua l p e rs p e c tiv e s

29. Focusing Vision on Behaviors:
SV
Bull's Eye Chart Exercise
Used For:
Developing a Vision that is stated
in actionable, behavioral terms
M
aking a Vision
Actionable
Vision
Mindset
Behavior
More of/
Less of Exercise
Used For:
Clarifying what the team expects
from the new state in behavioral
terms
Vision _________________________
Be ha vio rs
More of
Less of
•
•
•
•
•
•
•
•
•
•
Sta ting the Vis io n in a c tio na ble , be ha v io ra l te rm s he lp s the te a m
g a in c o m m itm e nt a nd id e ntify s o urc e s o f re s is ta nc e

30. Elevator Speech W
orksheet:
SV
1. A “reality check” to ensure that team members see the
project the same way.
2. To ensure that the team members spread a unified
consistent message.
" He re 's wha t o ur p ro je c t is a bo ut… ”
" He re 's why it's im p o rta nt to d o … ”
" He re 's wha t s uc c e s s will lo o k like … ”
(Charter, Project Definition Tools)
(Shared Need Tools)
(Shaping a Vision Tools +Milestones)
" He re 's wha t we ne e d fro m y o u… ”
(Responsibilities, Commitments, Project Plans)
" He re 's wha t y o u c a n c o unt o n fro m m e … ”
(Commitments, Action, Follow-up)
(Output may change by stakeholder – one size does not fit all)

31. Mobilizing Commitment
L
eading Change
Creating a S
hared Need
S
haping a Vision
M
obilizing Com itm
m ent
M
aking Change L
ast
M
onitoring P
rogress
CUR E S
R NT TATE
TR
ANS
ITION S
TATE
IM R
P OVE S
D TATE
S
ystem and S
s
tructures

32. W is this Important?
hy
MC
• Understanding the key stakeholders whose
support and commitment will “make or break” the
change effort.
• Key difference between success and failure.

33. W is the Outcome?
hat
MC
• Coalition of committed stakeholders.
• Identification of potential resistance and a strategy
to overcome it.
Mobilizing the Commitment of Key
Stakeholders is Essential
to the Success of the Change

34. Mobilizing Commitment Tools:
MC
Stakeholder Analysis For
Change
Used For:
Identifying stakeholders and their
current level of commitment to the
change initiative
Stakeholder Analysis for Change
Names
Strongly
Against
Moderately
Against
Neutral
Moderately
Strongly
Supportive Supportive
Technical-Political-Cultural
Analysis
Used For:
Identifying, labeling and
understanding sources of
resistance
Sources of
Resistance
Definition Causes
of Resistance
Examples
Technical
Political
Cultural
Pe o p le re s is t o r s up p o rt c ha ng e fo r a v a rie ty o f re a s o ns .
Rating

35. CAP Toolkit:
MC
Threat vs. Opp.
Threat vs. Opp.
More of Less of
More of Less of
3D Matrix
3D Matrix
D
D
D
Stakeholder
Stakeholder
Analysis
Analysis
-- - +/- + ++
Influencin
Influencin
g Strategy
g Strategy
Visioning
Visioning
Vision
Mindset
Behavior
Elevator Speech
Elevator Speech
TPC Analysis
TPC Analysis
T
P
C

36. Systems and Structures
L
eading Change
Creating a S
hared Need
S
haping a Vision
M
obilizing Com itm
m ent
M
aking Change L
ast
M
onitoring P
rogress
CUR E S
R NT TATE
TR
ANS
ITION S
TATE
IM R
P OVE S
D TATE
S
ystem and S
s
tructures

37. W is this Important?
hy
CSS
• Successful change often involves significant
realignment and leveraging of the way we
organize, communicate, measure, train, develop,
reward, compensate, promote and other systems
within the organization.
• Desired new behaviors (More of …Less of …) are
reinforced through consistent attention to
organizational Systems & Structures.

38. W is the Outcome?
hat
CSS
• Identification and utilization of key Systems &
Structures that must be addressed to sustain
project success.
• Utilization of Systems & Structures Best Practices.
• Alignment of Systems & Structures with desired
behaviors.
Identifying and re-aligning
key Systems & Structures are necessary for
successful, long-lasting change

39. Factors to Consider:
CSS
Staffing
(Acquiring/placing talent)
Development
(Building competence/capability)
Measures
(Tracking performance)
Rewards
(Recognizing/rewarding desired behavior)
Communication
(Using information to build and sustain momentum)
Organization
Design
(Organizing to support the change initiative)
IT Systems
(Utilizing IT technology to enable changes to be
successful and sustained)
Resource
Allocation
(Adjusting or planning for financial and other resources
to support the change project)

40. Three Step Alignment Process
CSS
Vision
Mindset
3. Creating future
3. Creating future
Systems & Structures
Systems & Structures
Degree of Difficulty
Behavior
2. Current Systems &
2. Current Systems &
Structures Assessment
Structures Assessment
•
1. Identify Key Systems &
1. Identify Key Systems &
Structures
Structures
•
Identify the Key Stakeholder(s)
of that S&S.
Helping
Which Systems & Structures
Most Impact the New
Behaviors?
•
What about the current S&S
is He lp ing or Hind e ring us
from achieving the desired
state behaviors?
•
Hindering Actions
Develop Influence Strategy/
Action plan.
Time
•
What’s Missing?
•
Identify Characteristics of
New Systems & Structures.
•
Determine Systems &
Structures to Remove or
Build.
•
Identify Who to Engage and
Develop Influence Strategy.

41. Communication Planning Matrix:
CSS
Channel
Announce
the
CAP Project
Clarify
the Vision
Begin to
Mobilize
Commitment
Begin to
Monitor
Progress
Changing
Systems &
Structures
W
ritten:
•
•
•
•
Newsletter
Bulletin Board
V.P. Memo
etc.
Spoken:
One-on-many
• All employees meeting
• Weekly staff meeting
• Operating managers
meeting
• Etc.
Spoken:
One -on-one
Symbolic:
• Offsite conference
• Press conference
• etc.
Used For:
Used For:
–– Communication Strategy
Communication Strategy
(various Channels)
(various Channels)
Indicate those that are suitable
Indicate those that are suitable
for:
for:
–– Providing Information
Providing Information
–– Persuading
Persuading
–– Empowering
Empowering
Include:
Include:
–– Audience
Audience
–– Who
Who
–– When
When
–– Where
Where

42. Making Change Last
L
eading Change
Creating a S
hared Need
S
haping a Vision
M
obilizing Com itm
m ent
M
aking Change L
ast
M
onitoring P
rogress
CUR E S
R NT TATE
TR
ANS
ITION S
TATE
IM R
P OVE S
D TATE
S
ystem and S
s
tructures

43. W is this Important?
hy
MCL
• We often spend most available time on the launch
of an initiative rather than its institutionalization
• Every change initiative competes for time,
resources and attention
• To ensure that the new behaviors will not revert
back to the old habits

44. W is the Outcome?
hat
MCL
• Consistent, visible, tangible reinforcement of the
change initiative
• Integration of new initiative becomes the way we
work
• Changes to Systems and Structures enable the
new behavior that supports the Vision
Launching a Change is just the beginning.
It must become the W of Life
ay

45. Monitoring Progress
L
eading Change
Creating a S
hared Need
S
haping a Vision
M
obilizing Com itm
m ent
M
aking Change L
ast
M
onitoring P
rogress
CUR E S
R NT TATE
TR
ANS
ITION S
TATE
IM R
P OVE S
D TATE
S
ystem and S
s
tructures

46. W is this Important ?
hy
MP
• An accurate measure of the CAP project provides
focus, direction & momentum throughout the
change process.
• Corrective action can only occur if you know you're
off track.
• Monitoring Progress enhances your ability to
reward key events and milestones.

47. W is the Outcome ?
hat
MP
• Clarity and agreement on what the “acceptance”
strategy looks like in measurable & observable
terms.
• Baseline data & milestone results of the change
process tracked and widely communicated.
• Increasing momentum as people see progress and
results being realized.
Measuring & tracking progress
along the CAP elements
demands ongoing attention by the team

48. Effective Change Equation
QxA=E
Q = Qualitative/Technical Solution
A = Acceptance/Engagement
E = Overall Effectiveness