Gartner BPM Summit Keynote - Adoption Drives ROI

Copyright Prosci 2015. All rights reserved.
Driving Adoption:
The ROI of Change Management
www.prosci.com | 970-203-9332
Prosci
®
Gartner Business Process Management Summit
19 March 2015 | London, UK
tcreasey@prosci.com @timcreasey
www.linkedin.com/in/timcreasey/
Research | Methodology | Training | Advisory Services

“Knowing what to do with a toon is easy.
It's getting them to do it that's hard.“
Ender to Bean in Ender’s Game, Orson Scott Card

Ownership
Accountability
Empowerment
Consistency
Predictability
Control

Bigger
Change

Faster
Change

More
Complex
Change

More
Multi-
Disciplinary

More
Cross
Functional

More Information

More Connected

V.U.C.A. World

The achievements
of an organization
are the results of
the combined
effort of each
individual.
Vince Lombardi

Current Transition Future
TC F
C C C C C
C C C C C
C C C C
C C C C C
C C C C C
T T T T
T T T T T
T T T
T T T T
T T T T T
F F F
F F F F
F F
F F F
F F F F
T
T
T
F
F
F
F
F
F
F
F
Ultimately requires individuals to move
from their own current to their own future
An organizational move from the current to the future

Successful change requires both
the technical and people sides
Current Transition Future
Technical side
People side
Design
Develop
Deliver
Embrace
Adopt
Use
Results
Outcomes
Success
=+
Installation*
Realization*
* Daryl Conner

TransitionCurrent Future
Results and Outcomes Depend on
Employee Adoption and Usage
WithchangemanagementWithout
=
X project
benefits
created
Current FutureTransition
Adoption
and usage
gets bumpy
Adoption
and usage
takes longer
Adoption
and usage
incomplete
Adoption
and usage
not as expected
<X

The Gap
A great idea
A perfectly
optimized
process
An effectively
managed
project
Results and
outcomes
Benefit
realization
Sustained
ROI
EMPLOYEE
ADOPTION
AND USAGE
OF THE
SOLUTION

Change
Catalyzing
Questions
Why – How Much – Who - What

Change Management Blueprint
For Driving Adoption and ROI
Why
are we changing?
Who
has to do their
jobs differently?
How
Much
depends on
adoption
and usage?
What
can we do to drive adoption and usage?

It is not the
answer that
enlightens, but
the question.
Eugène Ionesco

Why Are We Changing?
-100
100
300
500
700
900
Future
Organizational Benefits Project Objectives
Revenue
Costs
Profits
Efficiencies
Compliance
Safety
Process Excellence
Customer Satisfaction
Specific metrics and
measurements for
improvement
How work will be different
after the change

Project
Objectives
Correct inventory levels held
Reduced transportation costs
Reduced cycle time
Reduction of waste in system
Organizational
Benefits
Maximizing gross margin return on
inventory invested (GMROII)
Improve Asset Turnover
Reduce Work In Process Inventory
Example: Supply Chain Optimization

Project
Objectives
Data entry kept up-to-date
Accurate information entered
Accurate reports generated
Increased use by all employees
Organizational
Benefits
Increase revenue by:
Turning leads into customers/clients
Increasing wallet share per client
CRM (Customer Relationship Management)

Organizational
Benefits
and
Project
Objectives
Execute consistent processes for lower costs
(fewer exceptions and single process design)
Consolidated reporting, data consistency
Eliminate duplicate IT application systems
Improve processes through adoption of
‘best practices’
Advance processes to ‘next practices’
based on standard, single baseline
Standardize our back office processes
via adopting an ERP to reduce costs

Organizational
Benefits
and
Project
Objectives
Improve/innovate the customer
experience to increase loyalty
Reduce costs of maintaining different
interaction channels and backend processes
Simplify doing business with us
Increase our responsiveness to
customers and partners
Digitalized business processes via multichannel integration

Project
Objectives
1. ?
2. ?
3. ?
4. ?
5. ?
Your Project
Organizational
Benefits
1. ?
2. ?
3. ?
4. ?
5. ?

PLACEHOLDERPLACEHOLDER
On a scale of 1-10; how well do you typically define
benefits and objectives on your projects?
Poll Everywhere Placeholder

If you don't
know where
you are going,
you might
wind up
someplace else.
Yogi Berra

F
Who Has to Do Their
Jobs Differently?
F F F F
F F F F
F F F
F F F
F F F F
F
F
F
F
F
F
Future
Organizational
Benefits
and Project
Objectives
Individual
adoption
and usage
depend on
and require
Project
Objectives
1.
2.
3.
4.
5.
Organizational
Benefits
1.
2.
3.
4.
5.

Adoption
Employees are doing
their jobs the new way
Adhering to new processes
Exhibiting new behaviors
Using new systems/tools
Usage
Employees are effective
in their “adoption”
Proficiently
Completely
Minimal errors
Who Has to Do Their
Jobs Differently?

Who Has to Do Their
Jobs Differently?
Individual Transitions
Group
Group
Group
Group
Group
Changes to:
Processes
Systems
Tools
Job roles
Critical behaviors
Mindset/Attitude/Belief
Reporting structure
Performance reviews
Compensation
Location
What does
“to adopt
and use”
mean for
each group?

Who Has to Do Their
Jobs Differently?
Group
What “to adopt
and use” means?
How big of
an impact?
Aspects of
job impacted
Processes
Systems
Tools
Job roles
Critical behaviors
Mindset/Attitude/Belief
Reporting structure
Performance reviews
Compensation
Location

On a scale of 1 (never) to 10 (always): do you define
change at the granular, individual level?

Just because it is
common sense
does not mean it is
common practice!
Will Rogers

Future
Adoption
contribution
Future
How Much Depends on
Adoption and Usage?
Net Project Benefit
Dependent on
adoption and
usage
Not dependent
on adoption
and usage
Installation
contribution
ROI =
Expected Project Benefit – Project Cost
Project Cost
Net Project Benefit
Project Cost
=

How Much Depends on
Adoption and Usage?
Value/benefit
you expect from
the change effort
(Project ROI)
Portion of benefit
that depends on
individual transitions
(CMROI)
“People Dependency”
None AllHighLow Medium

How Much Depends on
Adoption and Usage?
Example variables that impact “people dependence”
Few employees impacted
Few job aspects changed
Similar to what we know
Incremental
Many employees impacted
Many job aspects changed
Drastically different
Disruptive

WithWithout
=
X project
benefits
created
Adoption and usage
<X
How Much Depends on
Adoption and Usage?

How Much Depends on
Adoption and Usage?
Project
Objectives
1.
2.
3.
4.
5.
Organizational
Benefits
1.
2.
3.
4.
5.
Indicate how dependent
this benefit or objective
is on PEOPLE
ADOPTING AND USING
THE CHANGE

Organizational
Benefits
and
Project
Objectives
Execute consistent processes for lower costs
(fewer exceptions and single process design) 55%
Consolidated reporting, data consistency 80%
Eliminate duplicate IT application systems 10%
Improve processes through adoption of
‘best practices’ 50%
Advance processes to ‘next practices’
based on standard, single baseline 50%
How Much Depends on
Adoption and Usage?
Standardize our back office processes via adopting an ERP to reduce costs

Organizational
Benefits
and
Project
Objectives
Improve/innovate the customer
experience to increase loyalty 10%
Reduce costs of maintaining different
interaction channels and backend processes 60%
Simplify doing business with us 80%
Increase our responsiveness to
customers and partners 95%
How Much Depends on
Adoption and Usage?
Digitalized business processes via multichannel integration

How Much Depends on
Adoption and Usage?
Project
Objectives
1. ?
2. ?
3. ?
4. ?
5. ?
Organizational
Benefits
1. ?
2. ?
3. ?
4. ?
5. ?
Your Project ?
Overall

For a project you are working on right now, estimate the overall percent of
expected results and outcomes that depend on employee adoption and usage
(round to the nearest 0 or 5, leave off the %):

How Much Depends on
Adoption and Usage?
%
of expected project
benefits depend on
adoption and usage
is the ROI of change management

How Much Depends on
Adoption and Usage?
Expected benefits
Consequences
of poor adoption
and usage
is the ROI of change management

What Can We Do To Drive
Adoption and Usage?
CHANGE
MANAGEMENT

Change management:
CHānj ‘manijmǝnt
How we catalyze employee
adoption and usage to
capture the portion of project
benefits that depends on people
changing how they do their jobs

How does
this person
make a
successful
personal
change?

Prosci
®
ADKAR
®
Model
R
A
K
D
A
Reinforcement
To sustain the change
Ability
To implement required skills and behaviors
Knowledge
On how to change
Desire
To participate and support the change
Awareness
Of the need for change

Adoption and Usage?
Defines the
MILESTONES
of successful
individual
change
Awareness Desire Knowledge Ability Reinforcement
Awareness “I understand why…”
Desire “I have decided to…”
Knowledge “I know how to…”
Ability “I am able to…“
Reinforcement®
“I will continue to…”

Adoption and Usage?
Individual:
Awareness Desire Knowledge Ability Reinforcement
Communication plan
Sponsor roadmap
Coaching plan
Training plan
Resistance Mgmt
Organizational:

Adoption and Usage?
Initiate Plan Design Develop Deploy
“Go Live”Kick off
Phase 3:
Reinforcing
Change
Phase 2:
Managing
Change
Phase 1:
Preparing
for Change
A D K A R
Strategy Plans Measures
General
Project
Lifecycle
Individual
Change Journey
Milestones
Organizational
Change Mgmt
Activities
Major events
Prosci
®
ADKAR
®
Model
Prosci®
3-Phase
Process

Adoption and Usage?
Outputs:
Individual
Adoption
Usage
Project
Results
Outcomes
Benefits
Value
Inputs:
Defined
change
Technical
solution
Individual Change
Management Work Stream
Milestones needed for a
single person to make a
change successfully
Organizational Change
Management Work Stream
Deliverables (strategy
and plans) that support
individual transitions

SUCCESS
SUCCESS
Adoption drives ROI
You can drive adoption

1367 South Garfield Ave
Loveland, Colorado, USA 80537
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www.prosci.com
www.change-management.com
The following are trademarks or registered trademarks of Prosci, Inc. All rights reserved. Prosci®; Project Change Triangle™ (PCT™); Awareness Desire Knowledge Ability Reinforcement®;
ADKAR®; Prosci® Change Management Maturity Model™; Preparing for Change, Managing Change, Reinforcing Change™

Prosci is a world-leader in change management
research and development – addressing the “soft”
side of change with process, structure and rigor.
www.prosci.com | 970-203-9332
Our Mission
To help individuals and organizations
build change management competencies
through development and delivery
of research-based, holistic, and easy-to-use
tools and methodologies.
Our Principles
• Research-based
• Holistic
• Easy-to-use
We help organizations capture the portion
of project benefits that depend on
employee adoption and usage of solutions.
Our Offerings
Research Training
Published tools Train-the-Trainer
Online tools Site licenses
Additional ways to
engage with Prosci
Prosci Portal: Online gateway to
your virtual change management
workspace. Includes free resources
and change management apps.
https://portal.prosci.com
Prosci Blogs: 10-15 minute reads
on a variety of change management
topics including communication,
resistance, methodology and
integrating change management
with project management.
http://blog.prosci.com
Free Webinars: 1-hour interactive
webinars with tips, research data and
suggestions covering many of the
pressing issues facing project leaders
and change practitioners.
www.change-management.com/webinars.htm
Prosci’s 2014
Best Practice
in Change
Management

Gartner BPM Summit Keynote - Adoption Drives ROI

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