Organizational Change: Tapping into the Human Factor

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International Conference Los Angeles 6-9 June 2004
Organizational Change Tapping into the Human
Factor
Presented by Barbara Palframan Smith, BPS
Communications David Carter, Consulting Consortium
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Change has always been Challenging

• There is nothing more difficult to take in
  hand, more perilous to conduct, or more uncertain
  in its success, than to take the lead in the
  introduction of a new order of things.
• - Niccolo Machiavelli (1469-1527)

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Overview

• An organization undergoing change stands or
  falls on how The Human Factor is understood,
  tapped into and energized. Successful change
  depends on integrated solutions that address the
  needs of all stakeholders throughout the change
  process.
• This presentation focuses on a journey of
  organizational change which will address the
  following
• Drivers of change
• Principles of managing change models and
  processes
• Solutions for implementing successful change
• A typical Change Roadmap
• Lessons learned - practical case studies

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Change Journey Milestones

• How to load for success
• Prepare your survival kitbag
• How to minimise pitfalls
• Create viable alternative routes
• Clear roadblocks
• Create trailblazers and,
• Ultimately reach your destination

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Communication lights the path of successful
change - David Carter
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Drivers of Change

• Visionary leadership
• Financial
• Social
• Political
• Globalization
• Technological
• Ego-driven leadership
• Quest for power and influence
• Survival
• Competitive pressure

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Quote from Harold MacMillan

• The wind of change is blowing through this
  continent and, whether we like it or not it is a
  fact. We must all accept it as a fact, and our
  policies must take account of it.
• - Speech given to South African Parliament,
  Cape Town, 1960

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Change and Transition Management Process Map
Assess need for and level of commitment to change
Describe the current state
Describe the desired future state
Assess stakeholder needs
Analyse capability gaps
Build commitment through communication and
involvement
Prepare a transition plan, and appoint a leader
Monitor progress and modify process as necessary
Manage transition implementation
Celebrate success and capitalise on benefits
generated
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Factors Influencing Organizational Change
External
Forces
Regulators
Globalization
VISION
Labor
Customers
MISSION
ADAPTION
Internal Forces
REWARDS
LEADERSHIP
Costs
Society
ASSESSMENT
PLANS
DEVELOPMENT
COMMUNICATION
Threats
Shareholders
RESOURCING
Competitors
Technology
Opportunity
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Stakeholders

• Shareholders
• The Board
• Employees
• Management
• Alliances
• Customers
• Suppliers
• Unions
• Governments
• Community Groups

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4C Transition Management Model
Commitment
Communication
Consultation
Closure
Source Charles Van Heerden, HR Director, Feltex
Australia
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Commitment Communication

• Commitment
• Executive involvement
• Behaviours support change
• Clarity about end state
• Establish change team
• Communication
• Consistent, persistent and timely
• Explain necessity for new direction
• Push and pull process
• Synergies between internal and external factors

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Consultation Closure

• Consultation
• Discuss effects of changes
• Acknowledge contraction and retention
• Address the me issues
• Use logic and empathy
• Closure
• Review change process
• Recognize and support survivors
• Celebrate successful transition
• Communicate new era

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Managing the Transition ProcessUsing the 4C Model
Unrealistic Expectations
Closure
PRODUCTIVITY
Communication
Consultation
Commitment
Light at the end of the Tunnel
Valley of Despair
Standard Change Process
Effective Change Process
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The TELE ModelWhats in it for Me?
? BPS Communications
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Communication is a potent influencer and the
mark of leadership- Barbara Palframan Smith
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Employee Four Quadrants
HIGH
UNDERSTANDING
LOW
HIGH
COMMITMENT
Source Market Opinion Research Int. Survey for
MCA Group
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Case Studies

• A review of change management lessons learned
• Major Food Company IT Outsourcing
• Financial Services Company MA
• National Media Organization Structural change
• Engineering Company - IPO
• Energy Company Industry deregulation
• Manufacturing Company MA
• IT Corporation Refocus from mainframes to
  service
• National Telco Transition from public to
  private sector

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Communicate for Success

• Communication a key driver of successful
  business change
• Communication is essential to meet change goals
• Increased communication decreased conflict
  successful outcomes

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Change is the law of life and those who look
only to the past or present are certain to miss
the future. - John F. Kennedy
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Organizational Change Tapping into the Human
Factor

• Presented by

Barbara Palframan Smith Director BPS
Communications Telephone [phone] Fax
61-2-9362 5686 Mobile (Cell) 61-(0)-402 206
932 Email palsmith_at_optusnet.com.au
David Carter Managing Director Consulting
Consortium Pty Ltd Telephone [phone]
4762 Fax [phone] Mobile (Cell)
61-(0)-419 225 232 Email david_at_consultingconsort
ium.com.au