Some companies succeed. They adapt to changing circumstances, and they remain relevant and vital. Their people manage change, compete and win.

1. Corporate Transformation & Change Management

4. Forces for Change... Electronic commerce Virtual organizations Digital convergence “ Knowledge economy” ... are transforming the world of business Mergers & acquisitions Privatizations A-2 “ Information Superhighway”

5. Rate of Success in Change Efforts Not Very Successful Very Successful Moderately Successful Too soon to tell Unsure 33% 27% 27% 9% 4%

6. Technical Side of Change Human Side of Change Two Sides of Change

10. Five Activities Contributing to Effective Change Management

13. Force Field Analysis Model Current Situation Restraining Forces for Change Driving Forces for Change

14. Force Field Analysis Model Strengthening or adding driving forces Removing or reducing restraining forces Changing the direction of some of the forces Change

16. Resistance to Change Source: Information Week, June 20, 1994 Limitations of Existing Systems Lack of Executive Commitment Lack of Executive Champion Unrealistic Expectations Lack of Cross-Functional Team Inadequate Team and User Skills Technology Users Not Involved Project Charter Too Narrow Barriers to Change 20% 40% 60% 80% 100%

17. Individual Resistance Individual Resistance Habit Selective Information Processing Economic Factors Job Security Fear of the Unknown

18. Organizational Resistance Organizational Resistance Threat to Established Power Relationship Group Inertia Threat to Established Resource Allocations Structural Inertia Limited Focus of Change

19. Denial Resistance Exploration Past Future Four Phases of Transition Commitment

22. Overcoming Resistance to Change Education and Communication Participation and Involvement Facilitation and Support Negotiation Manipulation and Cooptation Coercion Overcoming Resistance to Change

23. 2. Creating Vision of Change Constructing the Envisioned Future Bold and Valued Outcomes Desired Future State

24. 3. Developing Political Support Assessing Change Agent Power Identifying Key Stakeholders Influencing Stakeholders Developing Political Support

25. Roles in Organizational Change Change Sponsor Change Agents Change Target These are individuals or groups with the power to determine that a change will occur These are individuals or groups responsible for seeing that a previously determined change occurs These are individuals or groups who are asked to change something (knowledge, skills, or behavior) as a result of the change

33. C - 6 Critical Skills of Change Agents Understands change dynamics Appreciates diversity Anticipates and manages resistance Understands power and influence Has high credibility Manages multiple tasks

34. 5. Sustaining Momentum Sustaining Momentum Providing Resource for Change Building a Support System for Change Agents Developing New Competencies and Skills Reinforcing New Behaviors Staying the Course

36. Elements of Change Enablement

37. Culture Capacity Leadership Capacity Individual & Team Capacity Future State Current State Leading Designing Realizing Ending Exploring Beginning Leadership Capacity Individual & Team Capacity Change Architecture Communication Performance Management Cultural Capacity Organizational Transition Personal Transition Elements of Change Enablement

38. Change Architecture Communication Performance Management Organizational Transition Leadership Capacity Team & Individual Capacity Cultural Capacity Personal Transition Change Process Elements of Change Enablement

39. There is an explicit strategy and structure which define the nature and sequence of specific activities and resources required to facilitate the change process. Change Architecture Communication An infrastructure and plan is in place to build awareness of change goals, communicate progress toward attainment of these goals, and encourage collective ownership of the change process and outcomes. Change Enablement – Best Practices

40. Human Resources processes - recruiting, training, measuring and rewarding - are aligned to drive new behaviors in support of the business vision. Performance Management Change Enablement – Best Practices

41. Leaders’ values and behaviors are aligned with the business vision; leaders possess the skills to drive the change process to completion, and accept the responsibility for doing so Leadership Capacity Team & Individual Capacity Actions have been taken to increase individuals’ and teams’ ability to enact the business vision and operate effectively in the new environment. Change Enablement – Best Practices

42. The organization has assessed the alignment of the current culture with the change process and built new values and behaviors as appropriate to support it. Cultural Capacity Change Enablement – Best Practices

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