Managing Cultural Change

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Facilitating your process journey … Managing Cultural Change ASQ Presentation Henry Schneider Process and Product Quality Consulting, LLC September 4, 2007

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September 4, 2007Managing Cultural ChangeChange is disruptive.  Whether you are making changes resulting from audit or appraisal findings, lessons learned, or external innovations there will be disruptions to the status quo.  Some people will support the changes, some will wait and see what happens, and others will resist any change.  Being aware of the pitfalls associated with changing an organization’s culture will greatly aid the success of any Process Improvement program.

Transcript of Managing Cultural Change

Page 1: Managing Cultural Change

Facilitating your process journey …

Managing Cultural Change

ASQ Presentation

Henry Schneider

Process and Product Quality Consulting, LLC

September 4, 2007

Page 2: Managing Cultural Change

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Facilitating your process journey …

2September 4, 2007

Change Management

Concepts

Roles and Responsibilities for

Organizational Change

Key Elements That Affect Change

Agenda

Page 3: Managing Cultural Change

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Change Management Concepts

Page 4: Managing Cultural Change

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Despite our best efforts things will

change

Change is disruptive,

whether you see it as good or bad

Sources of Change

•Audit/assessment/ appraisal findings

•Lessons Learned

•Improvement Suggestions

•Benchmarking

•Etc.

Change Happens

Being prepared to manage change is half the battle won

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Identify strategies, approaches, and

actions to address the identified

change(s)

Establish team(s) to implement the

action(s)

Document the plan(s)

Manage the change(s) to the

plan(s)

Plan for the Change

To plan for change, you must first understand how to manage change

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A Change Model

Present State

• A need has been identified for an improvement

Desired State

• Change has been implemented and business value returned

Transition State

• Disruption that WILL happen

• Loss of productivity

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Assess organiza-

tionalreadiness

Establish sponsor-ship

Assess present

capability and culture

Define desired

state and determine

strategy

Develop enduring

sponsor-ship

Equip team and plan the

improve-ment

Implement the

capability improve-

ment

Measure business

value of the improve-

ment

Organizational Change Steps

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SEI IDEAL Model

A Process for Process Improvement

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The Journey to Alignment

Official Process

Perceived Process

Process as

Practiced

Official Process

Perceived Process

Process as

Practiced

Official Perceived, Practiced Process

Change Management enables RAPID alignment!

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Time

Change Adoption Varies Among People

The Chasm

Source: Moore, Crossing the Chasm, 1995

Managing change accelerates deployment

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Innovators

Source: Definitions derived from Everett Rogers, Diffusion of Innovations, 1983.

• aggressively pursue new technology, often before it is even tried by the company, regardless of applicability

Definition

• technology and newness

• change for the sake of change: “New is always better”

• unshakeable belief in linear progress

Motivation

• since small, cannot influence adoption

• have short-term commitment to any particular innovation

• are not seen as “players”

Support for Change Process

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Early Adopters

• seek solutions to problems

• are visionaries

• can understand new technology, but using something new is not their goal

Definition

• solving a problem

• finding a match for their vision of a solution

• “There is a better way” mentalityMotivation

• willingness to try a solution makes them ideal target for pilots

• can become change agents

• might have problems dealing with pragmatists

Support for Change Process

Source: Definitions derived from Everett Rogers, Diffusion of Innovations, 1983.

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Early Majority

• quite comfortable with technology

• strong sense of practicality

• unwilling to spend effort on an untried solution, not “their” problem

Definition

• real, immediate benefits

• small personal investment

• short time to return on investment

• “Wait and see” mentality

Motivation

• weak at best

• they are the target of the major thrust of the effort

• once they’ve bought in, success is near

Support for Change Process

Source: Definitions derived from Everett Rogers, Diffusion of Innovations, 1983.

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Late Majority

• like early majority, with added element of discomfort with technology Definition

•newness is gone and the innovation has become the standard

•“I only work here” mentalityMotivation

•none

• they have to be considered because there is no institutionalization, much less internalization, without their participation

Support for Change Process

Source: Definitions derived from Everett Rogers, Diffusion of Innovations, 1983.

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Laggards

• enemies of change

• technology is feared and distrusted

• there is one way of doing things and it is the traditional one

Definition

• none

• they are by definition dragged into change, if at all, often left behind

• “Tried and true” mentality

Motivation

• none

• they will not adopt change unless it occurs without them being aware of it

Support for Change Process

Source: Definitions derived from Everett Rogers, Diffusion of Innovations, 1983.

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• Providing skills

• Providing resources

• Aligning the reward system

Changing behavior

requires an appropriate approach to

Managing the Transition

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Sell the visionRaise

awareness

Deal with resistance

•listen to grievances

•be prepared to adjust the vision

•be prepared to learn from their experience

Plan a pilotProvide

training in new skills

Procure resources to

make the pilot

successful

Dealing with Visionaries

Messages about success don’t always cross the chasm, but messages about failure do!

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Use previous experience to modify team

vision

Select a pilot project for the early majority

Assemble the team for the pilot

•use visionaries only if they can communicate with pragmatists

•add external resources as necessary

Revise products to make the effort easier to digest

•simplify templates

•simplify process

•tailor as needed

Plan the pilot for success

•failure is unacceptable and unrecoverable

•guaranteeing success is not cheating, this is not a game

Strategy for Crossing the Chasm

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Attempting to Cross the Chasm

Better ways

Just In Time training on the organization’s

processes

Half-day orientation on the organization’s

processes and improvement

approach

Coaching and mentoring on the new processes as

projects start

Providing tools, training, and

rewards as needed

Establishing relevant measures

of progress and monitoring them

publicly

Things that don’t work

Formal training on a reference model (CMMI, ISO 9000)

Half-day orientation

training on the reference model

Declaring the new processes as the standard that all

must follow

Expecting the reward structure

to ensure compliance

Trusting that the benefits will

become evident on their own

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Communicate pilot successes

• sell the problem

• use the early majority pilot as exemplar

• be open and frank about tailoring to other projects

Change the teams, process, and training assets as

needed

Closely monitor to ensure success

• put in place many early warning systems

• do not let a project fail, rescue it

Propagating the Change

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Make constant adjustments to the

Process Asset Library (PAL) as needed

Communicate that the PAL is the only accepted standard

Change rewards and punishments accordingly

Put process goals into management

objectives

Support individual projects until adoption is complete

•goal of 85% of all projects committed satisfied

•compliance is NOT commitment

Crossing the Gap to the Late Majority

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Roles and Responsibilities for

Organizational Change

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Authorizing Sponsor (AS)

• legitimizes change initiative

• holds reinforcing sponsors accountable for change

Reinforcing Sponsor(s) (RS)

• allocate resources

• remove barriers

• express, model, and reinforce change

Champions (CH)

• believe things can be different and continuously act as advocates for the change

Change Agents (CA)

• implement the change

• keep everyone informed

• surface and handle resistance

Participants (P)

• use the process

• adopt new behaviors, habits, and emotions

Change Roles

A person might change roles over the course of the change or have multiple roles at the same time

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Typical Positions of Change Roles

CEO/AS

VP/RS

Mgr/RS

Lead/CA

Lead/P

Mgr/CA

CA

P

VP/CH VP/RS

Mgr/RS

P

P

Mgr/CH

CH

Champions

(CH) and

Participants

(P) can

appear at any

level

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When Sponsorship Goes Awry

CEO/AS

VP/

Mgr/

Lead/P

Lead/P

Mgr/

P

P

VP/ VP/

Mgr/

P

P

Mgr/

P

“Black Holes”

can appear at

any level and

in any change

management

role

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Sponsor

•Authorizes, legitimizes, and demonstrates leadership for the change

•Expresses the need for the change

•Models the desired change

•Rewards and recognizes those who have arrived at the desired state

Authorizing Sponsor

•Legitimizes the change by asking the whole organization to support the change

•Holds the Reinforcing Sponsors accountable

•Communicates the change to all levels of the organization

•Monitors the progress through the Reinforcing Sponsors

•Rewards early adopters

Reinforcing Sponsor

•Establishes and communicates the change strategy

•Creates an infrastructure to show commitment

•Participates in goal setting

•Provides resources and removes resistance and barriers

•Monitors status and progress of change teams

•Establishes a reward and recognition system

Champion

•Identifies the rationale and motivation for change - may be a “thought leader” in the organization

•Advocates the change within the organization, by gaining peer commitment

•Provides support throughout the change process

•Provides guidance for change teams

Change Agent

•Plans and implements the roadmap

•Identifies resources needed for the implementation and communicates with the RS

•Builds support for the change throughout the organization

•Assists participants in implementing the change

•Reports progress

•Identifies and deals with resistance

Change Mgmt Responsibilities

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Key Elements That Affect Change

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Characteristics of participant resistance

• Can be passive

• disinterested - it’ll pass, there will be another change coming along

• stalling tactics, excuses

• “I have too much real work to do”

• “I agree with you in principle, but it will never work here”

• Can be active

• confrontational

• subversive

Resistance cannot be ignored – you must manage it

• Understand concerns and issues

• Explain the change from participant point of view

• Resistance can provide learning opportunities for change agents

Resistance Happens

Whether the change is perceived as positive or negative, resistance is inevitable and disruptive

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Unified Chaos

Full-scale warTug of war

Organizational Change Alignment

Organizational visions, values, and behaviors need to be aligned with the change

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Institutionalizing Change

If no commitment Inertia toward change

If no ability Ineffective performance

If no measurement Undetected problems

If no verification Declining compliance

Practices will decay if they are not institutionalized

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Plan and perform change management to ensure successful change

Identify the people involved and their roles

Clearly establish responsibilities and skills needed

Recognize and deal with resistance

Align rewards and recognition with the desired behavior

Change is difficult. It requires support and encouragement. Open communication enables people to understand what is expected of them and motivates them to participate in the change effort.

Summary

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PPQC OfferingsConsulting

• CMMI

• Software Engineering

• Systems Engineering

• Process Improvement

Appraising

• SCAMPI A, B, C

• Gap Analysis

Training

• CMMI

• Process Improvement

• Action Planning Workshops

• Measurement and Analysis

• Process Area Specific Training

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Process and Product Quality Consulting, LLC

Corporate Headquarters

Address: 2111 Heather Green

Houston, TX USA 77062

Phone: 281-218-6682

E-mail: [email protected]

PPQC Contact Information

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Thank you very much for your attention!

Please feel free to contact me if you have any questions or comments

Thank you!