Effectively Managing Change in Your IT Modernization Effort

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1 Leveraging People, Processes, and Technology Effectively Managing Change in Your IT Modernization Effort A White Paper 7500 Old Georgetown Road, 11th Floor Bethesda, MD Tel: Fax:

2 Introduction The management of change is the common thread that will ultimately determine the success of any Information Technology (IT) modernization initiative. In any project, whether a systems implementation, business process re-engineering, or organization restructuring, sustainable change is only achieved if the change is effectively managed. For organizations seeking to reduce operational costs while improving their service delivery in a market-driven environment, the challenge is to evolve their IT infrastructure and supporting organizations while maintaining an effective operational environment. Effectively managing change requires that three key components are in place. First, there must be a clearly defined operational and change vision. Second, there must be clarity on whether compliance or commitment is required. Finally, there must be appropriate, working change levers within the organization that will encourage individuals to focus on achieving and maintaining the operational vision. To develop commitment to the project, and at the same time put in place the key change levers required to deliver sustainable change, change management must focus on the following activities:» Assessment of the change history and readiness for change in order to facilitate change management planning» Development of the change vision» Creation of a change management team» Development of a stakeholder assessment and management plan» Development of a communications plan and strategy» Assessment of the impact of changes on the organization and its culture» Development of an understanding of the interfaces with, and impact on, related projects The challenge is to evolve IT infrastructure and supporting organizations while maintaining an effective operational environment. Page 2

3 Assessing Change History and Readiness for Change Before developing the change vision for the project and confirming the rollout approach, it is beneficial to develop an understanding of the state of the organization, that is, the state of readiness for the change project and the view on how projects have been run in the past. This assessment provides some insight into how the organization will react to the project and will steer how the vision and project rollout approach are developed and communicated. This process will help to assess the risks that change can bring at an early opportunity to engage staff throughout the organization. It provides a first step in building their commitment to the change through a better understanding of what is to come. Developing Change Vision and Objectives As stated previously, the development of a clear change vision is the first step in the success of major change. Not only must the vision act as a high-level guide to steer the organization, but it must also articulate a compelling need for change. At this stage the change vision should comprise a high-level definition of the operational vision, which describes both the full scope of the change, how it will affect individuals within the organization, and the compelling story that will energize people within the organization to change. Creating a vision alone is not sufficient. The vision needs to be modeled on the behaviors of everyone involved in the project and the leadership teams in particular. The focus for change leadership, therefore, is to ensure the acceptance by the leadership team members of their roles as change leaders and on addressing the requirement to build both personal and leadership team resolve for the change. Catapult s consultants support organizations with product and service innovation by rapidly injecting new ideas and building the right culture and organization that are required. Page 3

4 Creating a Change Management Team In order to support the successful delivery of the change management plan, it is critical to put in place a change management team that will have responsibility to coordinate the change management activities. Ideally this team should include the project steering committee, a project sponsor, stakeholders, change agents, and representatives from the project and implementation teams. Specific roles and responsibilities should be defined for each of these entities. Developing a Stakeholder Assessment and Management Plan A Stakeholder Assessment and Management Plan is designed to highlight the key stakeholders, allocate ownership of the stakeholders to individuals on the team, and develop key actions that need to be carried out to gain their support. Key stakeholders for organizational change projects often include the organization s human resources (HR) and/or equal employment opportunity (EEO) support functions. Developing a Communications Strategy and Plan An organization advancing any type of change must communicate a strong sense of purpose to its employees while aligning the change with their culture. A comprehensive communications effort will help articulate the reason for the change, manage resistance to the change effort, and ultimately build organizational commitment. Catapult has a proven track record in assisting clients with managing change processes and inspiring employee commitment to new organizational initiatives through the development and implementation of effective, customized communication strategies. Our areas of expertise include the following:» Assessment of communication audiences, messages, vehicles, and processes» Development and implementation of message/media strategies and plans A comprehensive communications effort will help articulate the reason for the change, manage resistance to the change effort, and ultimately build organizational commitment. Page 4

5 » Creation of communication vehicles, including print and electronic media» Review of communication activities effectiveness Evaluating the impact of communications activities on target audiences and adjusting the plan based on feedback is a best practice. Measuring receipt and acceptance of the messages is done in three ways: Event-based A speech is delivered and the audience is asked to fill out a brief bounce-back card to determine how content was received. Periodic Surveys are conducted in a random sample across the target audience at regular intervals to determine attitudinal shift. Performance-based The behavioral shift is measured through desired performance metrics. Given the fundamental nature of communication to successful change, leaders at every management level must understand the power of communication strategy and the elements of communications planning. Two points to note: (1) a communications plan without a communications strategy will lead to activity, not results; and (2) time spent on strategy will reduce time spent implementing the plan. Catapult s change management approach emphasizes the importance of the process and cultural elements that represent the greatest risk to the successful implementation of organizational change. Identifying Interactions with Other Projects Catapult s change management approach emphasizes the importance of the process and cultural elements that represent, more than technical factors, the greatest risk to the successful implementation of organizational change. With this information, the organization can identify appropriate actions to ensure smooth interaction between the respective projects and stakeholders. Assessing Organizational and Cultural Impacts of Change IT modernization has a profound effect on an organization, its people, and its culture. While the processes developed may be best practice, it is important to understand the effect on the end users, their likely reaction, and how the risks can be mitigated. There are some general Page 5

6 questions around organization and people that should be addressed, such as the following:» What will this mean for peoples jobs?» How will their roles change? Do people want to be empowered?» What will be the reaction to having to change jobs?» What additional responsibilities will they have? Will these be documented?» What impact will there be on decision-making processes?» What does this mean for work group structures? How do you facilitate the breaking up of old work group structures and the creation of new ones? How do you break down and rebuild informal networks?» Does this have any effect on grading structures?» What are the performance measures that are in place?» What incentives will be put in place and what are the rewards?» How will people be appraised?» What are the cultural implications?» What are the new values and principles?» What changes in leadership behavior will be required?» What will the changes mean for management styles? Will there be a loss or perceived power and authority?» What will be the impact on productivity and what is the potential loss through de-motivation?» Will there be redundancies and where?» What will be the implications for cross-functional coordination?» Where will staff go for support? It is essential to identify all affected activities and identify appropriate actions to ensure smooth interaction between the respective projects and stakeholders. Identifying Interactions with Other Projects Our change management approach emphasizes the importance of the process and cultural elements that represent, more than technical factors, the greatest risk to the successful implementation of organiza- Page 6

7 tional change. Therefore, it is essential to identify all affected activities and identify appropriate actions to ensure smooth interaction between the respective projects and stakeholders. Conclusion The management of change is the common thread that will ultimately determine the success of any IT modernization initiative. Catapult has a proven track record in assisting clients with managing change processes and inspiring employee commitment to new organizational initiatives through the development and implementation of effective, customized communication strategies. Find out how to Catapult can help ensure a successful IT modernization initiative. Call info@catapulttechnology.com Visit Page 7

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