Prosci · · 2017-06-05dimensions: • GLOBE • Hofstede • Trompenaar 11 Individualism vs ......

Copyright 2016 Prosci. All rights reserved. 1

Prosci Webinar: New areas of research

© Prosci Inc. All rights reserved.

Prosci Best Practices in Change Management, 2016 Edition

New areas of research

®

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Prosci Research Foundation

9 studies

17 years

4500 participants

What works? What doesn’t?

What to do differently?

0

500

1000

102

1120

1998 2015

Participants

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© Prosci Inc. All rights reserved. 3

Culture Global awareness

Complementary roles Change Agent Networks

Ver@cal industry customiza@on Jus@fying CM

Job roles and loca@ons Advice for new prac@@oners

Complex change Aligning CM with other disciplines Measurement and metrics

Integra@ng CM and PM Readiness

Trends in CM Reinforcement and sustainment

Satura@on and porKolio management Organiza@onal change capability

Team member aMributes Resources and budgets

Resistance management Manager Role

Greatest contributors Biggest obstacles

Methodology Sponsorship

Communica@ons Training

1998 2000 2003 2005 2007 2009 2011 2013 2015

Building the body of knowledge on change management Evolution of Prosci Research

New topic area Major focus Minor focus

Key


THE LARGEST BODY OF RESEARCH IN THE FIELD OF CHANGE MANAGEMENT

TRY A TWO-WEEK FREE TRIAL OF eBEST PRACTICES

Prosci’s comprehensive research allows you to align your change management efforts with industry best practices, optimizing your approach to achieve results. Leverage lessons learned from thousands of change and project leaders.

Access best practices and benchmark data from anywhere through the Prosci eBest Practices. Continually updated, this app contains all of Prosci’s most current and relevant research. Browse all topics to sharpen your change management skills or use the Prosci eBest Practices to find answers to your current questions.




What to expect in Prosci’s new 2016

benchmarking report:

New Structure –  Organization –  Intro pages

New Topics –  Culture –  Industry –  Change Agent

Networks …much more…


Organization:

Part Two: Change Management Application

Chapter 4: Motivation and Justification

Motivation Drivers that caused change management to be applied on the project

Par

t

Cha

pter

Sec

tion

Find

ing

6




Report Parts: PART ONE: Current State of Change Management

PART TWO: Change Management Application

PART THREE: Roles in Change Management

PART FOUR: Adapting and Aligning Change Management

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New research areas in Prosci’s

2016 report




1.  Impact of culture on change management 2.  Importance of cultural awareness

and global literacy in change 3.  Development and leveraging of

change agent networks 4.  Engagement of complementary roles

in change management work 5.  Customization of change management

for vertical industry segments 6.  Certification in change management

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New research areas in 2016 report


Culture Instead of the overly cavalier, “How do I change my culture

in the next 3 months?”

How can I create more successful, positive change by

understanding and adapting within the cultures I work?

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New




Culture What aspects of organization’s culture have the biggest impact on how changes happen? Pulling from other thought leaders’ works on cultural dimensions: •  GLOBE •  Hofstede •  Trompenaar

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Individualism vs Collectivism

The degree to which people act in ways that benefit themselves or the group

Power Distance

The degree to which power is distributed equally or unequally throughout a culture

Uncertainty Avoidance

How much a culture seeks to avoid and mitigate uncertainty

Assertiveness The degree to which a person is expected and allowed to advocate for themselves

Performance Orientation

The degree to which high performance, standards and striving for excellence are rewarded

Emotional Expressiveness

How much or how little people are expected to display their emotional state in a professional environment

Six cultural dimensions studied:


Culture

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For the culture section of the study, participants provided three data points for each of the six cultural dimensions:

Example For Power Distance, where are you on the spectrum?

Low Moderate High

Because of your place on the spectrum, what were the: Specific challenges you face: Unique adaptations you make:

Your specific challenges

Your unique adaptations




Culture

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Cross-study cultural dimension data

0

50

100

0 5 11 16 22 27 33 38 44 49 55 60 66 71 77 82 88 94

Individualism vs. Collectivism

Individualism Balanced Collectivism

0

50

100

0 5 11 16 22 27 33 38 44 49 55 60 66 71 77 82 88 94

Power Distance

Low Moderate High

0

50

100

0 5 11 16 22 27 33 38 44 49 55 60 66 71 77 82 88 94

Uncertainty Avoidance

Low Moderate High

0

50

100

0 5 11 16 22 27 33 38 44 49 55 60 66 71 77 82 88 94

Assertiveness

Low Moderate High

0

50

100

0 5 11 16 22 27 33 38 44 49 55 60 66 71 77 82 88 94

Performance Orientation

Low Moderate High

0

50

100

0 5 11 16 22 27 33 38 44 49 55 60 66 71 77 82 88 94

Emotional Expressiveness

Low Moderate High


Culture

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Cultural dimension 1: Individualism vs. Collectivism

Individualistic: Specific challenges Unique adaptations

Balanced: Specific challenges Unique adaptations

Collectivistic: Specific challenges Unique adaptations

Cultural dimension 2: Power Distance

Low: Specific challenges Unique adaptations

Moderate: Specific challenges Unique adaptations

High: Specific challenges Unique adaptations

Cultural dimension 3: Uncertainty Avoidance




Cultural dimension 4: Assertiveness




Cultural dimension 5: Performance Orientation




Cultural dimension 6: Emotional Expressiveness




Outputs:

Specific challenges and unique adaptations

For all six of the

cultural dimensions




Culture

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Power Distance Low Moderate High

Specific challenges Unique adaptations



Specific challenges 1.  Impaired communication: Due to extensive access, information often skipped levels of the organization which resulted in repeating information

several times. Informal communications led to rumors and decreased the credibility of information surrounding change.

2.  Increased resistance: Low power distance structures resulted in a large amount of resistance because individuals from all levels of the organization constantly challenged ideas. Employees often did not adhere to changes, and messages were not uniform across the organization. Conflicts arose between levels of management, and productivity suffered consequently.

3.  Decreased productivity: Productivity decreased due to more time being spent on gaining buy-in, lack of governance and slower decision processes.

Unique adaptations 1.  Increase engagement: Employee engagement was achieved with an increase in functions and meetings that were used to ensure alignment of

the organization across all levels. The quantity of meetings ensured that employees had multiple opportunities to encounter and engage with the change project.

2.  Structure communication channels: Communication channels needed to be identified up front to provide a consistent approach for tailoring messages and to open structured feedback from individuals. Communication plans required consistency and frequency, so content could be adjusted to incorporate the topics identified from feedback.

3.  Enhance change management plans: Participants in low power distance organizations added structure to change management by placing stakeholders in key positions, including establishing guidelines to ensure all levels were being communicated with and clearly defining roles and responsibilities.

Example




Specific challenges 1.  Decreased ability to drive change: Leadership had a decreased capability to direct change, had to put more effort into gaining buy-in for change

and had to engage managers more thoroughly.

2.  Increased resistance: Resistance occurred because senior leaders did not account for employees’ input and concerns when dealing with issues centered on change. Employees were then more likely to resist any aspect of change. Senior leaders appeared to think they had more sway over employees than they did.

3.  Poor structure: Participants with moderate power distance organizations reported a need to tailor change plans more specifically to groups as opposed to using a uniform approach. Creating individual plans required more time on the change manager’s part and lowered the effectiveness of mass communication regarding change.

Unique adaptations 1.  Balance communication: Participants expressed the need to establish balanced communication during change management. Open and honest

feedback was balanced with a clear boundary and understanding of “who has the final say.”

2.  Gain buy-in: Participants reported putting more effort toward gaining employee buy-in. Awareness of the need for and importance of change management was created by using more meetings and team activities. Other activities to gain buy-in included visible sponsorship engagement, involvement of key stakeholders, creation of plans for various groups and demonstration of the value of change management.

3.  Empower sponsors: Sponsors in moderate power distance organizations were encouraged to take charge of change as an adaption to the position on the power distance spectrum. Empowered sponsors bridged the gap between leaders’ direction and employees’ concerns and feedback.

Culture

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Example




Power Distance




Culture

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Low Moderate High Low Moderate High Specific challenges Unique adaptations

Specific challenges 1.  Restricted communication: Participants identified too few and poor levels of communication occurring in high power distance organizations. A

large gap was described between senior leaders and frontline employees which resulted in a loss of productivity and increased time for implementation. Fear among employees and executives appearing unapproachable were primary limitations to communication from lower levels to executives.

2.  Isolated decision making: Isolated decision making was challenging. Executives made decisions without considering the impact to employees. Consequently, the alignment of the organization suffered because different levels and groups had different directions.

3.  Lack of employee engagement: Lack of commitment and trust were other challenges for organizations with high power structures. Passive resistance resulted from these issues because employees felt powerless, unheard and not cared about. Resources had to be reallocated to account for these avoidable problems.

Unique adaptations 1.  Communicate openly and directly: Participants reported using executive and senior leaders more often during communications. Higher-level

leadership lent authority to communication, and resistant employees were more likely to adopt change when instructed.

2.  Engage leadership: Leadership visibility and engagement ensured that impacted groups understood that company leadership was supportive of and behind change from the beginning. Early leadership involvement encouraged and promoted early adopters.

Example


Culture

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Adapt your approach to accommodate your culture: Increase effectiveness and avoid common pitfalls Change practitioners who better understand the cultures in which they operate can customize and adapt their approach to drive more successful change. The six cultural dimensions in Prosci’s 2016 report give practitioners direction in how to adjust their approach.

Cultural dimension 1: Individualism vs. Collectivism

Individualistic:Specific challengesUnique adaptations

Balanced:Specific challengesUnique adaptations

Collectivistic:Specific challengesUnique adaptations

Cultural dimension 2: Power Distance

Low:Specific challengesUnique adaptations

Moderate:Specific challengesUnique adaptations

High:Specific challengesUnique adaptations

Cultural dimension 3: Uncertainty Avoidance




Cultural dimension 4: Assertiveness




Cultural dimension 5: Performance Orientation




Cultural dimension 6: Emotional Expressiveness







Global Literacy •  Opportunities for

customization

•  Cultural-specific adaptations

•  Avoid cultural-specific obstacles

•  Communication needs to be thought through

1% 5% 4%

34%

56%

Not

Slightly Neutral

Important Very

Impact of cultural awareness on employing change management

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New


Global Literacy Regional Considerations

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US: 35%

Canada: 15% Europe:

15%

Africa: 4%

Latin America:

2% Australia and NZ:

24%

Asia and Pacific Islands: 4% Middle

East: 1%




Global Literacy Regional Considerations

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Specific analysis by region:

Perception of change management across regional cultures

Parts of change management that did not fit with various cultures

Regional-specific causes for resistance


New Change Agent Network

39% ?

leveraged formal change agent networks to

support change implementation

Definition of the change agent network

Reasons to use a change agent network

Building a change agent network

Criteria for selecting members

Change agent network roles

Expectations of the change agent network

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Change Agent Network Reasons to use a change agent network 1.  Extend project support

The primary response was to provide additional support to the project, often from peers, which expedited change with fewer obstacles and greater focus.

2.  Use resources efficiently By using change agent networks, participants readily allocated resources to necessary points of need. A large portion of participants indicated that they…

3.  Enhance communication

4.  Align consistent objectives

5.  Increase knowledge

6.  Build credibility

7.  Boost ownership

Change agent network roles 1.  Communication role

The role most commonly identified by respondents was communication liaison. Members of the change agent network were used to disseminate communications to their respective departments, sites or regions to share information about the change project with a greater audience and provide various forms of feedback to the change project team, such as employee concerns.

2.  Leadership role Respondents frequently identified various leadership roles for the change agent network. Examples included acting as the change leader for their department or region…

3.  Training and support roles

4.  Managing change internally

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Example findings


New Complementary Roles

HR Business Partners

Organization Development

Internal Communications

Business Analysts

Internal Consultants

63%

40%

40%

38%

33%

How each role engages with change

management?

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Vertical Industry

Market changes

Technological changes

Operational changes

Organizational changes

Four types of expected change: 24 verticals

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New


Banking

 Market   Operational   Technological

Regulations and government oversight

New market emergence

Changes in demand related to customer

expectations

Traditional markets closing

Increased competition

Changes to customer/user relationships

Shifting priorities and business strategies

Consolidation of operations and focus on

profitability

Digital banking

Automation

Increased need for cyber security

Vertical Industry

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Education Services

  Market   Operational   Budgetary

Increase in competition

Consolidation

Increase in government regulations

Change to demand

Increase demand for eLearning and virtual

products

Changes to curricula

Changes to student relations

Increased diversity

Shifting student demographics

Increased collaboration with commercial

sponsors

Budget changes

Changes to federal/state funding

Vertical Industry

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Government – State

 Technological   Organizational  Operational

Digitalization

Updates to computer systems

Virtual tools

Cloud eLearning modules

Reducing employee headcount

Increase in privatization

Increase in outsourcing

New or restructured business model

Changes to priorities

Changes to user/citizen relationships

Leadership development

Increased need for employee engagement

Vertical Industry

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Health Care

  Paradigm   Technological   Budgetary

Individual or self-managed health care

model

Increased regulations and legislation

Consolidation through M&A

Standardization of patient care

Electronic records

New drugs

Patient care technology

Automation

Budget cuts

Loss of funding

Move toward profit-focused business models

Vertical Industry

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Vertical Industry

30

Group 1 Health Care Educational Services

Group 2 Government – Federal

Government – State

Government – Local/Municipal

Group 3 Banking

Finance

Consulting

Insurance

Group 4 Information Services

Telecommunications Professional, Scientific, Technical Services

Group 5

Oil and Gas

Manufacturing

Utilities

Retail Trade

Consumer Goods and Manufacturing

Challenges and adaptations for CM by industry grouping




Group 1 Health Care Educational Services

Industry-specific CM challenges 1. Autonomous nature of employees 2. Lack of designated resources In both health care and education services industries, the unique responsibilities of employees demanded a high degree of autonomy and independent thinking. Physicians, nurses, academics and educators were identified as employees for whom it is difficult to accept change at face value without convincing and clear evidence.

Lack of resources was noted as the second most common challenge when trying to implement change management, including monetary and non-monetary resources. Participants noted a lack of funding designated specifically for change management. Inadequate non-monetary resources included specialized change management training, dedicated change management practitioners and time away from daily priorities to focus on change management.

Industry-specific CM adaptations 1. Alignment with employee characteristics 2. Communication Participants identified various ways in which change management methodology was adapted to work with employees in health care and education services industries. Examples were to include physicians/ professors on change management teams, to meet expectations of a high degree of collaboration and to increase stakeholder engagement.

Participants described ways in which communication was adapted to be most effective in health care and education services industries. Examples included adapting communication to resemble academic discourse in education services industries and linking change to improvements in patient care in health care industries.

Vertical Industry Challenges and adaptations for CM by industry grouping


Certification

74% Had attended certification 86%

Would recommend certification

(only 2% wouldn’t)

Value of certification

Structured approach gained

Build skills and credentials

Acquire common and universal tools

More likely to achieve desired outcomes

?

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New




1.  Impact of culture on change management 2.  Importance of cultural awareness

and global literacy in change 3.  Development and leveraging of

change agent networks 4.  Engagement of complementary roles

in change management work 5.  Customization of change management

for vertical industry segments 6.  Certification in change management

33

New research areas in 2016 report


Prosci Best Practices in Change Management, 2016 Edition

Available now!

®

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Prosci · · 2017-06-05dimensions: • GLOBE • Hofstede • Trompenaar 11 Individualism vs ......

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