IIE - A systems approach to change – understanding successful or not 20130922

Lean Six Sigma Industry Practices – Supply Chain, Wednesday , September 25, 2013

10:55 – 11:40 am

A Systems Approach to Change – Understanding

Successful or Not

1

Systems Approach to Change

Agenda

Presentation Goals

This is an example text. Go ahead and replace it

✓

6

5

4

3

2

1

2

Change Management Curves and Background

First Order and Second Order Changes

Drivers of Change and Leading to Good

Layers or Change and Positive and Negative Outcomes

Overlaps and Differences of Change Related Tools

7 Summary and Questions

www.issuu.com/craigastevens

http://www.issuu.com/craigastevens

• Understand Overlaps and Differences of

– Positive and Negative Change Curves

– 1st Order Change and 2nd Order Change

– The many Change-oriented Tools and

Systems Different Levels of Change

– Predictors and Drivers of Change

Presentation Goals

Change Management


Lots of Stuff Here



Agenda

Presentation Goals

This is an example text. Go ahead and replace it

✓

6

5

4

3

2

1

4







✓



Change and Murphy’s Law www.westbrookstevens.com

"Things will get worse before they get better"

Ehrman's Commentary on Ginberg's Theorem (from the infamous Murphy's Laws)

Copyright © 2007, www.WestbrookStevens.Com 5

Happy Results Over Time

Imara’s stages of personal grief

9/26/2013

www.westbrookstevens.com


Happy Results Over Time - But it Takes Time

9/26/2013

A Stress Curve: Emotional Response

Pattern

weeks/months

se

lf-e

ste

em

/pe

rfo

rman

ce

high

low | | | | | | | | | | |

fright fight flight facing reality

anger

shock

hope

disillusionment

depression

recovery

RSG: stressmgt1 2/27/97

Happy Results Over Time - but you may not be as happy

Westbrook Stevens 8

-4 -3 -2 -1 0 1 2 3 4 5 6 7 8 9 10 11 12

100 90 80 70 60 50 40 30 20 10 0

Mitigating the Impact of Project Cancellations on Productivity Michael Bommer and Victor Pease ,

National Productivity Review

Volume 10, No. 4 Autumn 1991

Wo

rk O

utp

ut

an

d C

om

mit

me

nt

Natural Cocoon Phase

Steven Gambrell and Craig Stevens Industrial Management Magazine, July/August1992

Understanding Organizational Change Converting Theory to Practice Lynn Fossum , Crisp Pub, Inc. 1988-90?


Valley of Despair

Starts Before the Change and There are Things We Can Do

Not Always Despair But Always Cocoon Phase

Schneider's classic change curve

www.westbrookstevens.com Copyright © 2007, www.WestbrookStevens.Com 9

Life is a Highway and We’re Going to Drive it All Night Long

Roller Coaster

9/21/2013 Westbrook Stevens 10U.S. Department of Labor Study

Olden Days

“S” Curve

Abernathy and Utterback, 1978Late 90’s

Early 90’s


Technology is Changing Faster Today (So is Acceptance of

Change?)

Risk and the “J” Curve

9/26/2013

Breakeven Point

Negative ROI

Positive ROI

Good Risk Management

Average Risk Management

Poor Risk Management


The Change Curve Is More Than Emotion

Westbrook Stevens Model www.westbrookstevens.com

Before A Change During A Change After A Change


Based on the Steven and Stevens Change Model, 1990


Not Always Despair But Always Cocoon Phase, The Dip Starts Before the Change, And We Can Control Some of the Depth of the Cocoon Phase

Time

Change Introduced

With OCM

Without OCM

Microsoft Web Site, 2001


I Told You There Are Some Things We Can Do

II. THE FIFTH DISCIPLINE: THE

CORNERSTONE OF THE LEARNING

ORGANIZATION

9/26/2013 14 Copyright © 2007,

www.WestbrookStevens.Com

The laws of the fifth discipline 1. Today’s problems come from yesterday’s

solutions – usually because they shift the problem from one part of the system to another, so to the person who applied the solution, it appears to have gone

away. 2. The harder you push, the harder the system pushes back – compensating feedback, eg a scheme to provide low cost housing and job training in one

place is flooded by low-income migrants so problems get worse.

3. Things get better before they get

worse – eg, new wells are dug and villages are saved; but this lowers the water table faster

so in the long term droughts are worse than before. 4. The easy way out usually leads back in. 5. The cure can be worse than the

disease – the most insidious effect of non-systematic solutions is the need for more and more of the solution. Ill-conceived interventions, whether by the

government or by an individual trying to solve their stress problems by social drinking, not only fails to solve the problem but leads to addiction. It’s a problem of

‘shifting the burden to the intervener’. 6. Faster is slower – in a complex system, fastest growth is not the best. In organisms, they lead to cancer; in

organizations, they lead to crisis. 7. Cause and effect are not closely related in time and space. 8. Small changes can produce big results, but the areas of

highest leverage are often the least obvious – it takes a huge force to turn a moving oil tanker to the left by pushing the bow to the left, but it can be done easily

by turning a small rudder to the left, which by changing the water pressure, sucks the stern to the right. To realize this you have to understand the complexities of

hydrodynamics. Learning to see underlying ‘structures’ rather than ‘events’, and to think in terms of ‘processes’ rather than ‘snapshots’, helps you spot the points

of leverage. 9. You can have your cake and eat it too, but not at once – manufacturers used to think that you had to choose between high quality and low cost,

but then discovered that raising quality meant improved methods, lower warranty costs, fewer complaints, higher sales, and so eventually lower costs as well.

10. Dividing an elephant in half does not make two smaller elephants – if you set up strong divisions between different parts of the organization, you don’t get

each one working independently, you just get a mess. The heads of marketing, manufacturing and research are often like the bl ind men trying to describe an

elephant. 11. There is no blame – the cure for problems is in relationships and systems.

Peter M. Senge, The Fifth Discipline, The Art & Practice of

The Learning Organization, Currency Doubleday, 1994

Poor Strategic Change Management = Sad Results Over Time

Limits to Growth Archetype Behavior Over Time with Change Curve

Rat

e o

f G

row

th

(Pro

du

ctiv

ity,

Sal

es, P

rofi

t, E

tc.)

Time

Effort

Project Management

Phase

Benefits of Doing Change/Project Management Well

Things Get Better Before They Get Worse

Limits to Growth and Underinvestment Archetype Behavior Over Time

Rat

e o

f G

row

th

(Beh

avio

r o

ver

Tim

e.)

Time

Performance Standards

Based on William Braun Article on The Systems Archetypes

Growth

Investment

Happy Results Requires Effort After the Change

The Tragedy of the Commons Archetype Behavior Over Time

Rat

e o

f G

row

th

(Sal

es, P

rofi

t, E

tc.)

Time

Varying Benefits to the Different Groups

Organizational Profits

Happy Results Requires a Good Plan and A Systems Approach

Accidental Adversaries Archetype Behavior Over Time

Pro

fit,

Rat

e o

f G

row

th

Time

William Braun Article on The Systems Archetypes

Partnership Building

Time

Partnership are Complicated - Things Get Better Before They Get Worse

Success to the Successful Archetype Profits Over Time During A Competition

Cu

mu

lati

ve P

rofi

t

at a

ny

Poin

t in

Tim

e

Time

Cumulative Effect Counting The Rest of the Sales Force

Most Successful Sales Person

During a Competition

Zero

Competition and Rewards

Internal Competitions are Complicated - Things Get Better Before They Get Worse

Success to the Successful Archetype Performance Over Time After An Internal Competition

Perf

orm

ance

Time

Cumulative Effect

Zero

Losing Groups Slide Deeper = Shame and Dissatisfaction

At Point of Rewards

Successful Group(s) Improve = Pride and Motivation

Internal Competitions are Complicated - Things Get Better Before They Get Worse

Shifting the Burden Archetype Profits Over Time with Change Curve

Cu

mu

lati

ve P

rofi

t

Time

Project Management

Phases

Benefits of Doing Change/Project Management Well

Zero

Focus on the Right Things

Shifting the Burden Archetype Cost Over Time with Project Cost Curve

Cu

mu

lati

ve C

ost

Time

Project Management

Phases


The Escalation Archetype Cost Over Time with Project Cost Curve

Cu

mu

lati

ve C

ost

Time

Project 1 Management

Phases

Project 2 Management

Phases

Eroding Goals Archetype Competitiveness and Capacity Based on Eroding Goals

Desired Goals

Current Reality

Future Competitiveness and

Capacity

Original Project

Management Phases

Project Manage-

ment


Eroding Goals Archetype Competitiveness and Capacity Based on Eroding Goals

Desired Goals

Current Reality

Future Competitiveness and

Capacity

Original Project

Management Phases


There is also the

Law of Entropy

2nd Law of Thermodynamic Things Deteriorate

Happy Results Over Time Takes Work But There are Other Mystical Forces At Work



Normal Business Lifecycle Management

Mature

Aging

Growth

Embryonic

Entrepreneur Sophisticated Critical Administrator Opportunistic


Business is Like Life

Normal Business Lifecycle Management

Mature

Aging

Growth

Embryonic

Entrepreneur Sophisticated Critical Administrator Opportunistic

Products Lifecycles

Feasibility

Acquisition or Development

Operation

Disposal


Products and Services Are Business

Product and Services Have a Lifecycle


Time

Cas

h

Revenue

Profit

De

velo

pm

en

t

Gro

wth

De

clin

e

Ma

turi

ty

Intr

od

uct

ion


Risk Is Part of the Curve

Lifecycles and “S” and “J” Curves and Continuous Improvement


Happy Results Requires Lots of Change but Change Is Risky

Time and Distance Affects the Change Curve Within the

Organization

Imenger’s morale curve

9/26/2013



Time Affects Change and Emotion


Agenda

Presentation Goals ✓

6

5

4

3

2

1

33







✓

✓



1st Order Changes or Continuous

Improvement

1/7/2013 34 Copyright © 2007, www.WestbrookStevens.Com 34

1/7/2013

Start

Adapt

Adapt

Adapt

[email protected]

To Stay In Business Requires Continuous

Improvements (Adaptations)

http://www.westbrookstevens.com/

Westbrook Stevens Model www.westbrookstevens.com



Based on the Steven and Stevens Change Model, 1990


2nd Order Changes Become Metamorphoses


Agenda


6

5

4

3

2

1

36







✓

✓

✓



For Analysis Purposes we will use the example of a major organizational change related to a merger with products and services being consolidated System/Process Purpose Comparisons of Pressures, Concepts, and Tools of Continuous Improvement and Change Management on Implementation Lifecycle Phases of Our Organization

0.0. Our Organizational Change Management Phases

Understand and Master Change

Before the Change Happens During the Change After the Change

10 Industry Wide, National, or World Wide General Concepts or Systems

10.10. International Standards International Pressures on Our Organization

International Changes in View of Business Change in Industry and/or National View of Business Our Acceptance of New Concepts Our Change Our New Norm

10.20. National Regulations National Pressures on Our Organization

National Regulation Changes Based on Some Perceived Need Change in Industry and/or National View of Business Our Acceptance of New Concepts Our Change Our New Norm

10.30. Revolution/Paradigm Shift A Shift in the World View of What is Normal

Some Revolutionary Change (we could have created it) Industry or Public Change In Acceptance Normal Reality Our Adaptation or Use of New Reality Our Change Our New Norm

10.40. Industry Standards Industry Pressures on Our Organization

Some Catalyst for Change Based on Some Perceived Need Industry Acceptance of a Standard Our Acceptance of Standard Our Change Our New Norm

10.50. Profitability, Lean, Quality, Security, Sustainability,

Survivability, Green

Major Goal Oriented Concepts and Philosophies That Trickle

Down

Development of Concept Industry Acceptance of a Standard Our Acceptance of Standard Our Change Our New Norm

20 Enterprise Wide General Concepts or Systems

20.1 Excellent Management Model Leadership Role Understands Role and Develops the Competencies to Lead

Build a History of Commitment and Empowers Subordinates to Lead

Leads and Paints the Vision for people to follow

Planning, Communication Communication (Time Frame, Progress, Reassurance, Reassignments, Acknowledgements…

Prepare for next change and build a history of commitment

Cultural Development Role Start Supporting Company Start Supporting Change Support Change Participate in Future

Customer Focus Role Start Focusing on what is best of customers Focus Customer and Shelter Customer for Change Keep Focus on Customers

Team Role Understand Teams Build Team Skills Focused on Change

Focus Team Effort on Successful Change Keep Cooperative Team Focus

Skills and Problem Solving Role Understand Skills and Core Companies Continuously Evaluate, Learn, Build, and Use Core Competencies and Problem Solving Skills

Continuous Improvement/Change

Integration Role

Continuously

Performance Measurement Role

Step 1 - Know the Rules Step 2 - Know the Goals

Step 3 - Discover the Criteria Related to the

Goals

Step 4 - Document the Indicators Related to the

Criteria

Step 5 - Collect the Data

Step 6 - Analyze the

Data

Step 7 - Use the Data and Repeat

20.2 Strategy and The Storms of Chaos Model

Waves/Trends - Opportunities and Threats

Understand the Trends

Buoyancy/Support - Opportunities and Threats

Build Relationships

Lightning/Sudden Emergency - Opportunities and Threats

Prepare for Lightning and Manage Risk Manage Risks

Storm/Enemy Forces - Opportunities and Threats

Understand the Enemy Fight the Enemy

The Ship/Organizational - Strength and Weaknesses

Navigate and Sail the Ship

20.3 Drivers of Change Model External Environment (Global and Domestic)

Know the Environment

People Lead the People Organizational Structure Develop the Organization Change the Organization

Internal Environment Manage and Build the Culture 20.4 Systems Model and Systems

Thinking/Engineering To design, develop, and

integrate systems throughout the company. All the interrelationships and

interactions of processes, people, and systems required to understand where to spend

resources to get the biggest bang for the buck.

Understanding the Drivers of Change and the Interreationships between: (1) External

Environments, (2) People, (3) Organizational Structure, (4) The Internal Enviroment, and (5)

Systems and Processes.

Document and Understand the Systems and Processes of the Company

Connect the Systems Loops and Layors of

Relationships

Phase 1 - Define Concept and Analysis Requiremetns for the

Required Change

Phase 2 - Analysis the Functional Requirements

and Allocation of of Funcitonal Requirements

(who, what, when, where, why of Functional

Requiremetns)

Phase 3 - Design Tasks and

Understand the Interfaces and

Develop the Team

Phase 4 - Performance

workloads and Training

Estimations and Reviews of

Requirements

Phase 5 - Performance Selection and

Training Development

Phase 6 - Performance Assurance and Problem Investigations

20.5. Three Phases of Change Management Model

Understand and Master Change

Before the Change Happens During the Change After the Change

20.20. Enterprise Configuration Management (CM) and CM

Office (CMO)

Control the Form, Fit, and Function of Critical Systems

configuration identification, (find the critical items, documentation, processes, and systems) configuration control - Develop CM processes, policies, procedures, technical support, asbuilts, and review boards.

configuration status accounting - Develop and use tracking systems and infrastructure.

configuration verification - Develop audit

20.50. Enterprise Portfolio Management

Control the commitment to projects selected by the

enterprise.

Create Policies, Procesures/Systems to Project Selection

Pull Forces - Understand the

Market and Environment

Pull Forces - Understand the Trends

Push Forces - Understand R&D and Technology

Develop List of Project

Decide on List of Potential

Projects

Select Projects

20.60. Enterprise PMO Design, Develop, Manage and Support the Project and Program Management

Support Systems

Create Policies, Procesures/Systems for Project Selection and Project Management, Manage the Enterprise Portfolio Systems, and Train and Support PM and Teams Support Projects and Project Managers, Track Progress and Report on Findings

Record records and Lessons Learned, Support Training of PM and Teams and Continuously Improve Systems

20.70. Strategic Business Analysis The people, processes, and tools related to understanding the requirements and needs of

stakeholders.

Enterprise Analysis = Business Architecture, Business Solutions, Business Opportunities, Business Case, Risk Assessments, Decision

Packages

Requirements Elicitation Requirements Analysis and Documentation,

Requirement Communication Solution Assessment and Validation

30 Department or Program Specific General Concepts or Systems

30.10. Program Management To set management standards and manage several projects.

Development of PM Standards, Systems, Policy, and Procedures Project Support Phase Improvement of Standards, Systems, Policy, and Procedures Phase

30.20. Departmental PMO Design, Develop, Manage and Support the Project and Program Management

Support Systems

Create Policies, Procesures/Systems for Project Selection and Project Management, Manage the Department Portfolio Systems, and Train and Support PM and Teams Support Projects and Project Managers, Track Progress and Report on Findings

Record records and Lessons Learned, Support Training of PM and Teams and Continuously Improve Systems

30.30. Six Sigma DMAIC Systematic and repeatable data driven approach to

problem solving and process improvement

Define Measure Analyze Implement Control

40 Project or Product Specific Concepts or Systems

40.00.10 Business Analysis The people, processes, and tools related to understanding the requirements and needs of

stakeholders.

Enterprise Analysis = Business Architecture, Business Solutions, Business Opportunities, Business Case, Risk Assessments, Decision

Packages

Requirements Elicitation Requirements Analysis and Documentation,

Requirement Communication Solution Assessment and Validation

40.10. Project Specific Concepts or Systems

40.10.10 Project Management To management the implementation of a change.

Concept Phase Planning Phase Implementation Phase Transition/Closure Phase Operations and Maintenance Phases

40.10.20 PM Change Control/CM To manage the changes within the project.

Configuration Identification Configuration Control Configuration Status Accounting configuration verification.

40.20. Product Specific Concepts or Systems

40.20.10 Value Engineering To increase total life-cycle value for a product, design, or

service.

Information Phase Creative Phase Evaluation Phase Investigation Phase Implementation Phase

40.20.20 Software Development - Product

Management/Systems Engineering

Many Approaches to the Lifecycle (Rapid prototyping,

Extreme Programming, Iterative Development,

Requirements Specification Design Coding Integration Testing Release Maintenance

• Strategy

• Continuous Improvement

– Lean

– Six Sigma

• IE, Systems Engr, Value Engr

• Implementation Management

– Business Analysis

– Program/Project Management

– Cultural/Organizational CM

• Configuration Management

Some Change Related Tools

Tools to Stay Competitive

Tools to Manage Implementation

Tool to Control Change



Strategy - Chaotic Change and Thrive-ability

The Waves --

Foreseeable

Future Events

The Buoyancy -- Supporting Market,

Societal, Political and Other Allied Forces

The Lightning --

Unforeseeable

Future Events

The Storm --

Threatening

Competition, Societal,

Political and Other

Enemy Forces

Westbrook Stevens

Storms of Chaotic Change




Strategy and The Storms of Chaos Model

Understand the Trends

Build Relationships

Prepare for Lightning

Manage Risks

Understand the Enemy

Fight the Enemy

Navigate and Sail the Ship

Strategy is all about Change

• Strategy


– Lean

– Six Sigma







Change Related Tools






Our Three Easy to Understand and Use Improvement Phases

42

A = Assessments

P = Problem Solving

I = Implementation Using Project Management Tools/Support

KISS Principle of Process

Improvement

Lean Tools 1. Root Cause Analysis 2. Value Stream Mapping 3. Flow Charting 4. A3 Processing and

Reporting 5. Spaghetti Diagram 6. 5 S Events




Our Three Phases of Continuous Improvement

1. Assessment Phase

2. Problem

Solving Phase

3. Implementation Phase Later do the Results

Assessment

Improvement is all about Change

Our Three Easy to Understand and Use Improvement Phases

44

A = Assessments

P = Problem Solving

I = Implementation Using Project Management Tools/Support

KISS Principle of Process

Improvement and 6-Sigma

6-Sigma Tools Goals Remove Variations and

Improve Quality

Define Measure Analyze Define Measure Analyze Implement Control




6 Sigma and the Three Phases Change

To Improve the Seven Attributes of Excellent Management

1. Define 2. Measure 3. Analyze

4. Implement 5. Control

Later Review and Analyze Results

6 Sigma is all about Change

• Strategy


– Lean

– Six Sigma
















Value Engineering

To increase total life-cycle value for a product, design, or service.

1. Information Phase 2. Creative Phase 3. Evaluation Phase 4. Investigation Phase 5. Implementation Phase

• Strategy


– Lean

– Six Sigma
















Business Analysis and the Three Phases of Change

1. Enterprise Analysis

2. Requirements

Elicitation

3. Requirements Analysis and Documentation

4. Requirement Communication

5. Solution Assessment and Validation

BAs are all about Change

• Strategy


– Lean

– Six Sigma













Project Management is the Change

Implementation Tool

Before the Change During the Change After the Change

Copyright © 2007, www.WestbrookStevens.Com

An International Symbol for

Project Management




1st Order Changes or Continuous

Improvement


1/7/2013

Start

Adapt

Adapt

Adapt

[email protected]

Some 1st Order Changes Often become 2nd

Order Changes

Larger Changes Require Project Management


Project Lifecycle





Project Management and the Three Phases of Change

PM is all about Change

Budgeted Cost Curves


what the completed

work actually cost

= ACWP

0 3 6 8 months 14 16

0 3 6 8 months 14 16

Exp

en

ditu

re r

ate

($

/mo

.)

planned

monthly

expenditures

actual $ spent

Cost $ ( actual > planned )

a measure of project’s

total performance? Accu

mu

late

d c

osts

($

)

Total Budgeted Project Cost

what the scheduled work

is supposed to cost= BCWS

Typical budgeted expense s-curve

RSG: projcontrl04 4/9/97

review date

Phase I Phase II Phase III Phase IV


Project Budget

Life Cycle Looks Like a Business Life Cycle

A Project Cumulative

Budge Curve

Looks Like an “S” Curve

Project “S Type” Curve Superimposed on Change Curve


Time

% C

om

ple

te

Cu

mu

lati

ve C

ost

The Depth of the Dip Depends on

How Well We Manage the Cost

and Time Of the Project

PM Earned Value Cost Curves

RSG: projcontrl04 4/9/97

FCTC

FCAC

BCAC

PSS

OCD PCD

100

80

60

50

accum

ula

ted c

osts

($k)


Measures to Help Control the Cost of a Project and the Change Curve


Agenda


6

5

4

3

2

1

58







✓

✓

✓

✓



Continuous Improvement (1st Order Change)

Major Step Change (2nd Order Change)

Adaptation Metamorphosis

Focus: Incremental Change within the organization Mechanisms: •Instrumentalism •Resource dependence

Focus: Frame-breaking change within organizations Mechanisms: •Life-cycle stages •Configuration transitions

Evolution Revolution

Focus: Incremental change within established industries Mechanisms: •Natural selection •Institutional isomorphism

Focus: Emergency, transformation, and decline of industries Mechanisms: •Punctuated equilibrium •Quantum speciation

Str

ate

gic

Man

agem

en

t jo

urn

al, M

eyer

, Bro

oks

, an

d G

oes

19

90

, Wile

y an

d S

on

s, A

s re

po

rted

by

Her

sey,

P

aul,

Ken

net

h B

lan

char

d a

nd

Dew

ey J

oh

nso

n, M

anag

eme

nt

of O

rgan

izat

ion

al B

ehav

ior,

Lea

din

g

Hu

man

Res

ou

rce

s 8

th e

d.,

Pre

nti

ce H

all,

NJ

200

1, p

p. 3

88

.


Told you So

Classifications of Change

This Column is From the Firms Point of View 1st Order Changes -

Small Incremental Changes

2nd Order Changes - Major Step Changes

Positive Results

Negative Results

Positive Results

Negative Results

Internal Environmental Levels

1st Level =

Individual or Employee

Level People

Adaptation Deterioration Metamorphosis Dissolution Incremental changes related to people that leads to positive results.

Incremental changes related to people that leads to negative results.

Frame breaking change related to people that leads to positive results.

Frame breaking change related to people that leads to negative results.

2nd Level =

Organization or Division Level

People with or without Technology

Adaptation Deterioration Metamorphosis Dissolution Incremental changes within a part of the larger entity that leads to positive results.

Incremental changes within a part of the larger entity that leads to negative results.

Frame breaking change within a part of the larger entity that leads to positive results.

Frame breaking change within a part of the larger entity that leads to negative results.

3rd Level = Firm or Level


Adaptation Deterioration Metamorphosis Dissolution Incremental changes related to the entire company/firm or larger entity that leads to positive results.

Incremental changes related to the entire company/firm or larger entity that leads to negative results.

Frame breaking change related to the entire company/firm or larger entity that leads to positive results.

Frame breaking change related to the entire company/firm or larger entity that leads to negative results.

External Environmental Levels

4th Level =

Industry Level People and/or

Technology

Evolution Degeneration Revolution Disintegration Incremental Changes within the established industry that leads to net-positive results for the industry.

Incremental Changes within the established industry that leads to net-negative results for the industry.

Frame breaking change within the established industry that leads to net-positive results for the industry.

Frame breaking change within the established industry that leads to net-negative results for the industry.

5th Level = National Level

People and/or Technology

Evolution Degeneration Revolution Disintegration Incremental Changes on the national level that leads to net-positive results for the nation.

Incremental Changes on the national level that leads to net-negative results for the nation.

Frame breaking change on the national level that leads to net-positive results for the nation.

Frame breaking change on the national level that leads to net-negative results for the nation.

6th Level =

Global or International

People and/or

Evolution Degeneration Revolution Disintegration Incremental Changes on the global level that leads to net-positive results for the global

Incremental Changes on the global level that leads to net-negative results for the global

Frame breaking change on the global level that leads to net-positive results for the global community.

Frame breaking change on the global level that leads to net-negative results for the global


Classifications of Internal Organizational Change

(#.#.1) 1

st Order Changes - Small Incremental Changes (#.#.2) 2

nd Order Changes - Major Step Changes

Expected

Results>

(#.#.1.1) Positive Results =

Adaptation

(#.#.1.2) Negative Results =

Deterioration

(#.#.2.1) Positive Results =

Metamorphosis

(#.#.2.2) Negative Results =

Dissolution

Action Choice (#.#.1.1.1)

Preemptive

(#.#.1.1.2)

Reactive

(#.#.1.2.1)

Preemptive

(#.#.1.2.2)

Reactive

(#.#.2.1.1)

Preemptive

(#.#.2.1.2)

Reactive

(#.#.2.2.1)

Preemptive

(#.#.2.2.2)

Reactive

(1.0) 1st Level =

Individual, Employee,

People, or Personal

Changes

(1.1.0) Happens to

Your Organization

(1.1.1.1.1)

Incremental

changes related to

people that leads

to positive results.

(1.1.1.1.2)

Incremental

changes related to

people that leads to

positive results.

(1.1.1.2.1)

Incremental

changes related to


negative results.

(1.1.1.2.2)

Incremental

changes related to

people that leads

to negative results.

(1.1.2.1.1) Frame

breaking change

related to people

that leads to

positive results.

(1.1.2.1.2) Frame

breaking change

related to people

that leads to

positive results.

(1.1.2.2.1) Frame

breaking change

related to people

that leads to

negative results.

(1.1.2.2.2) Frame

breaking change

related to people

that leads to

negative results.

(1.2.0) Your

Organization

Makes the Change

Happen

Incremental

changes related to

people that leads


Incremental

changes related to


positive results.

Incremental

changes related to


negative results.

Incremental

changes related to

people that leads


Frame breaking

change related to

people that leads


Frame breaking

change related to

people that leads


Frame breaking

change related to

people that leads


Frame breaking

change related to

people that leads


(2.0) 2nd Level =

Group/Project/Progra

m/Division Changes

(2.1.0) Happens to

Your Organization

Incremental

changes within a

part of the larger

entity that leads to

positive results.

Incremental

changes within a

part of the larger


positive results.

Incremental

changes within a

part of the larger


negative results.

Incremental

changes within a

part of the larger


negative results.

Frame breaking

change within a

part of the larger

entity that leads


Frame breaking

change within a

part of the larger

entity that leads


Frame breaking

change within a

part of the larger


negative results.

Frame breaking

change within a

part of the larger


negative results.

(2.2.0) Your

Organization

Makes the Change

Happen

Incremental

changes within a

part of the larger


positive results.

Incremental

changes within a

part of the larger


positive results.

Incremental

changes within a

part of the larger


negative results.

Incremental

changes within a

part of the larger


negative results.

Frame breaking

change within a

part of the larger

entity that leads


Frame breaking

change within a

part of the larger

entity that leads


Frame breaking

change within a

part of the larger


negative results.

Frame breaking

change within a

part of the larger


negative results.

(3.0) 3rd Level = Firm

or Corporate Changes

(3.1.0) Happens to

Your Organization

Incremental

changes related to

the entire

company/firm or

larger entity that

leads to positive

results.

Incremental

changes related to

the entire

company/firm or

larger entity that

leads to positive

results.

Incremental

changes related to

the entire

company/firm or

larger entity that

leads to negative

results.

Incremental

changes related to

the entire

company/firm or

larger entity that

leads to negative

results.

Frame breaking

change related to

the entire

company/firm or

larger entity that

leads to positive

results.

Frame breaking

change related to

the entire

company/firm or

larger entity that

leads to positive

results.

Frame breaking

change related to

the entire

company/firm or

larger entity that

leads to negative

results.

Frame breaking

change related to

the entire

company/firm or

larger entity that

leads to negative

results.

(3.2.0) Your

Organization

Makes the Change

Happen

Incremental

changes related to

the entire

company/firm or

larger entity that

leads to positive

results.

Incremental

changes related to

the entire

company/firm or

larger entity that

leads to positive

results.

Incremental

changes related to

the entire

company/firm or

larger entity that

leads to negative

results.

Incremental

changes related to

the entire

company/firm or

larger entity that

leads to negative

results.

Frame breaking

change related to

the entire

company/firm or

larger entity that

leads to positive

results.

Frame breaking

change related to

the entire

company/firm or

larger entity that

leads to positive

results.

Frame breaking

change related to

the entire

company/firm or

larger entity that

leads to negative

results.

Frame breaking

change related to

the entire

company/firm or

larger entity that

leads to negative

results.

Changes, Forced On an Organization and Proactively Managed with a Positive Result

Start

Metamorphoses


Changes, Forced On an Organization and Reactively Managed with a Positive Result

and Changed in the Middle of the Project

Start

Metamorphoses


Changes , Forced On an Organization and Reactively Managed with a Negative Result

Start

Dissolution






Positive Results

Negative Results

Positive Results

Negative Results


1st Level =


Level People





2nd Level =














4th Level =


Technology











6th Level =


People and/or









Positive Results

Negative Results

Positive Results

Negative Results


1st Level =


Level People





2nd Level =














4th Level =


Technology











6th Level =


People and/or






(10) Classifications of External Organizational Change

(20) 1st

Order Changes - Small Incremental Changes (30) 2nd

Order Changes - Major Step Changes

Positive Results = Evolution

Negative Results =

Degeneration Positive Results = Revolution

Negative Results =

Disintegration

Action Taken > Preemptive Reactive Preemptive Reactive Preemptive Reactive Preemptive Reactive

4th Level =

Industry

Level

Happens to You

Incremental

Changes within the

established

industry that leads

to net-positive

results for the

industry.

Incremental

Changes within the

established

industry that leads

to net-positive

results for the

industry.

Incremental

Changes within the

established industry

that leads to net-

negative results for

the industry.

Incremental

Changes within the


that leads to net-


the industry.

Frame breaking

change within the


that leads to net-

positive results for

the industry.

Frame breaking

change within the


that leads to net-


the industry.

Frame breaking

change within the


that leads to net-


the industry.

Frame breaking

change within the

established

industry that leads

to net-negative

results for the

industry.

You Make Happen

Incremental

Changes within the

established

industry that leads

to net-positive

results for the

industry.

Incremental

Changes within the

established

industry that leads

to net-positive

results for the

industry.

Incremental

Changes within the


that leads to net-


the industry.

Incremental

Changes within the


that leads to net-


the industry.

Frame breaking

change within the


that leads to net-


the industry.

Frame breaking

change within the


that leads to net-


the industry.

Frame breaking

change within the


that leads to net-


the industry.

Frame breaking

change within the

established

industry that leads

to net-negative

results for the

industry.

5th Level =

National

Level

Happens to You

Incremental

Changes on the

national level that

leads to net-


the nation.

Incremental

Changes on the

national level that

leads to net-


the nation.

Incremental

Changes on the

national level that

leads to net-


the nation.

Incremental

Changes on the

national level that

leads to net-


the nation.

Frame breaking

change on the

national level that

leads to net-positive

results for the

nation.

Frame breaking

change on the

national level that


results for the

nation.

Frame breaking

change on the

national level that

leads to net-


the nation.

Frame breaking

change on the

national level that

leads to net-


the nation.

You Make Happen

Incremental

Changes on the

national level that

leads to net-


the nation.

Incremental

Changes on the

national level that

leads to net-


the nation.

Incremental

Changes on the

national level that

leads to net-


the nation.

Incremental

Changes on the

national level that

leads to net-


the nation.

Frame breaking

change on the

national level that


results for the

nation.

Frame breaking

change on the

national level that


results for the

nation.

Frame breaking

change on the

national level that

leads to net-


the nation.

Frame breaking

change on the

national level that

leads to net-


the nation.

6th Level =

Global or

International

Happens to You

Incremental

Changes on the

global level that

leads to net-


the global

community.

Incremental

Changes on the

global level that

leads to net-


the global

community.

Incremental

Changes on the

global level that

leads to net-


the global

community.

Incremental

Changes on the

global level that

leads to net-


the global

community.

Frame breaking

change on the

global level that


results for the

global community.

Frame breaking

change on the

global level that


results for the global

community.

Frame breaking

change on the

global level that

leads to net-


the global

community.

Frame breaking

change on the

global level that

leads to net-


the global

community.

You Make Happen

Incremental

Changes on the

global level that

leads to net-


the global

community.

Incremental

Changes on the

global level that

leads to net-


the global

community.

Incremental

Changes on the

global level that

leads to net-


the global

community.

Incremental

Changes on the

global level that

leads to net-


the global

community.

Frame breaking

change on the

global level that


results for the

global community.

Frame breaking

change on the

global level that


results for the global

community.

Frame breaking

change on the

global level that

leads to net-


the global

community.

Frame breaking

change on the

global level that

leads to net-


the global

community.


Agenda


6

5

4

3

2

1

67







✓

✓

✓

✓

✓



Warning The forces change as time goes by!

10

Kurt Lewin, Systems Management Notebook for MHR 4410, Trevecca Nazarene University, Management and Human Relations Department.

Driving Forces Restraining Forces

The Part We Do Not See


06/18/2001 Westbrook Stevens 14

Before A Change During A Change After A ChangeP

ro

du

cti

vit

y, M

ora

le, Q

ua

lity


Function = F(x) = a (f(Leadership)) + b (f(Culture)) + c (f(Customer Focus)) +

d (f(Teams)) + e (f(Problem Solving + Skills)) +

g (f(Change Management + Continuous Improvement) +

h (f(Performance Measurement)


The Dip is Made Up of the 7 Attributes

Westbrook Stevens, Seven Attributes of Excellent Management Model, 1990 ©

People

and

Team

Building

70 From Book Geronimo Stone http://www.llumina.com/store/geronimostone2.htm

http://issuu.com/craigastevens

http://www.llumina.com/store/geronimostone2.htm

Elements Required For Successful

Change

Adapted from Palma Buttles-Valdez, Carnegie Mellon ,Process improvement Briefing to Software Engineering Institute, 2008 – who adapted it from and Dr. Mary Lippitt, Enterprise Management, LTD., 1987, ttp://www.jcse.org.za/upload/events/37/organisational_culture_and_people_issues_in_process_improvementdrpalma_buttlesvaldez.pdf 2/13 2013

Vision

Vision

Vision

Vision

Vision

Vision

Vision

Resources

Resources

Resources

Resources

Resources

Resources

Resources

Capable Workforce

Capable Workforce

Capable Workforce

Capable Workforce

Capable Workforce

Capable Workforce

Capable Workforce

Capable Processes

Capable Processes

Capable Processes

Capable Processes

Capable Processes

Capable Processes

Capable Processes

Organizational Culture







Incentives

Incentives

Incentives

Incentives

Incentives

Incentives

Incentives

Action Plan

Action Plan

Action Plan

Action Plan

Action Plan

Action Plan

Action Plan

Change

Confusion

Anxiety and Frustration

False Starts

Slow or Little Progress

Reinventing the Wheel

Barriers to Change

Sporadic Change

Leadership Systems and

Processes Problem Solving /

Skills

Culture Problem

Solving/Skills Tools

People Systems and

People

http://www.jcse.org.za/upload/events/37/organisational_culture_and_people_issues_in_process_improvementdrpalma_buttlesvaldez.pdf 2/13

http://www.jcse.org.za/upload/events/37/organisational_culture_and_people_issues_in_process_improvementdrpalma_buttlesvaldez.pdf 2/13

(2) People

(1a) EXTERNAL ENVIRONMENT, International

(1b) EXTERNAL ENVIRONMENT, Domestic

(4) INTERNAL ENVIRONMENT

(5) SYSTEMS

Inp

uts

The Organization as a System And the Drivers of Change Model

PMO

http://www.westbrookstevens.com/step_3.htm

Change

Bounces

Around Our

Organizations

Like a Metal

Ball in a

Pinball

Machine

http://www.westbrookstevens.com/step_3.htm

9/26/2013


1. Forecasting and Strategic Planning

2. Risk Management 3. History of Honesty

and Quality 4. Grounded In Truth 5. Good Relationships 6. Communications 7. Systems

1. Working Systems 2. Strong Internal

Environment and Culture

3. Communications 4. Tactical Planning

1. Forecasting and Strategic Planning

2. Risk Management 3. Communications 4. Lessons Learned 5. Damage Control,

Exploitation, and Public Relations

6. Systems Improvement 7. Communication


Steven and Stevens Change Model Copyright © 2007, www.WestbrookStevens.Com 74

Some External Environmental Solutions

9/26/2013


1. History of Commitment

2. Relationship Building 3. Planning and

Leadership 4. History of

Commitment 5. Communication

1. Valid Rationale 2. Team

Acknowledgment 3. Reassignment 4. Time Frame 5. Communication

1. Vision 2. Planning 3. Relationship Building 4. Leadership 5. Team Participation 6. Communication



People/Culture Solutions for Minimizing the Cocoon Stage

9/26/2013


1. Design Around Change as a Competitiveness Issue

2. Master Leadership and Empowerment

3. Master Core Competencies and Staffing

4. Communications

1. Leadership and Empowerment

2. Ego Control 3. Fear Control 4. Team Work 5. Communications

1. Communications 2. Master Core

Competencies and Staffing

3. Redesign and Continuous Improvement

4. OD and Process Documentation and Verification



Some Organizational Solutions

9/26/2013


1. Professional Project Managers

2. Established Systems

3. PMO, 6Sigma, Configuration Management Office, Value Engineering…

1. Following the Systems’ Rules

2. Communication 3. Leadership Support 4. Culture Support

1. Communications 2. Lessons Learned 3. Systems Improvement 4. Verification 5. Records Management



Some Systems Solutions


Agenda


6

5

4

3

2

1

78







✓

✓

✓

✓

✓

✓



1. Valley of Despair is Misleading

– Cocoon Phase is a Better Description

– Change Curves Have Many Parts (Emotion, Technology, Planning, Risk, etc.)

2. The Cocoon Stage Can be Optimized

– Work on Leadership, Culture, Customer Focus, People, Skill/Problem Solving, CM/Processes/Systems Thinking, and Performance Measures

Change Summary

My thoughts



Strategic Planning Project Selection Portfolio Management

Project Management Program Management

Process Improvement

Lean

Productivity Improvement

Ind

ust

rial

/Sys

tem

s En

gin

eeri

ng

IIE - A systems approach to change – understanding successful or not 20130922

Documents

Transcript of IIE - A systems approach to change – understanding successful or not 20130922