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Change Management Best Practices
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| Guest post by: Jesse Hopps |
Article Overview: Organizational change provides the opportunity for organizations to build more focused, disciplined, and mature businesses. This opportunity comes with significant financial risk if changes are not planned and managed proactively. Change management is primarily concerned with how to understand, engage, respond, and communicate with PEOPLE. A solid vision, senior management sponsorship, and having the right people in the right roles, are the key success factors for implementing a successful change management campaign. Use our Change Management Readiness Assessment to measure your readiness for a major organizational change.
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Change Management Best Practices
Change Management Best Practices
Organizational change provides the opportunity for organizations to build more focused, disciplined, and mature businesses. This opportunity comes with significant financial risk if changes are not planned and managed proactively.
Change management is primarily concerned with how to understand, engage, respond, and communicate with PEOPLE. A solid vision, senior management sponsorship, and having the right people in the right roles, are the key success factors for implementing a successful change management campaign. Use our Change Management Readiness Assessment to measure your readiness for a major organizational change.
There are four key types of organizational change:
2. Structural Change– these focus on changing organizational structures such as reporting relationships, mergers & acquisitions, and centralization initiatives. Normally, these changes are top-down and geared to improve the overall financial performance of a business.
3. Cost Containment– these changes are focused on eliminating any costs that are not essential for operation. Typically, cost containment initiatives are the result of a tight economy for a particular industry or poor sales results.
4. Cultural Change– as organizations move from a product-centric business to a customer-centric enterprise, changes to organizational norms and attitudes must be made.
Use our Change Management Readiness Assessment to ensure you are prepared for change. Before embarking on a major change initiative, ensure your organization has considered these key requirements:
· Educated and Engaged Employees– employees must: understand why the change needs to occur; be involved in the planning & implementation of the change; be capable of participating in the change effort; and help others adapt.
· Alignment of Business & Personal Objectives– it is critical that you positively reinforce the change by aligning business objectives with personal objectives for each employees, manager, and senior executive. For example, link performance reviews and bonus structures to metrics associated with the goals & objectives of the new programs.
Ensuring that your change effort is aligned with the overall business strategy, links directly to employee career objectives, and is managed by a senior sponsor, will provide a solid foundation for implementing successful programs. Use our Stakeholder Analysis Matrix to evaluate key stakeholders willingness to change.
It is safe to assume that the majority of your staff will NOT be evangelists of the proposed change. In most cases, senior management view change as an opportunity for the organization and for themselves. Conversely, change is often seen as disruptive, unnecessary, and frightening for employees.
Research indicates that less than 20% of your employees will immediately recognize the need and value of the change, 50% will be sit on the fence, and around 30% will not initially be supportive of the change.
Similar to government politics, your goal is to leverage the supportive 20% to influence the 50% majority, while minimizing the influence of the 30% who are likely to never agree with the change.
Following are a few tips from Cynthia Scott and Dennis Jaffe who are regarded as experts in the change management field:
· Involve People in the Change
· Put a Respected Person in Charge of the Process
· Create Transition Management Teams
· Provide Training in New Values & Behavior
· Bring in Help from Outside if Necessary
· Establish Symbols of Change
· Acknowledge & Reward People
2. Work from a Steering Committee– create a cross-functional steering committee that has the power to invoke the changes that need to be made. This inter-departmental team must quickly gel and check their egos at the door.
4. Reinforce the Change Vision– use all channels to communicate the vision. Create signs, slogans, and team charters. Communicate updates on your intranet, via email, and during staff meetings on a regular basis.
5. Empower your Employees– clear any obstacles to achieving the vision; change structures or systems that obstruct the required change; encourage risk-taking and non-traditional ideas, activities, and actions.
6. Generate Short-Term Wins– plan and monitor visible improvements in performance (.wins.). When small achievements are made, recognize your employees in front of their colleagues and peers.
7. Consolidate Gains & Produce More Change– use increased credibility from short-term wins to change all systems, policies, and structures that don’t fit with the transformational vision. Hire, promote, and develop people who are agents of positive change. Reinvigorate the change program with new projects, themes, and change agents.
8. Anchor New Approaches in the Culture– improve performance by adopting a more customer-centric, and productivity-oriented behavior. Articulate connections between new behaviors and organizational success. Develop effective leadership and succession processes.
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Article Tags: best practices, change management, key success factors, management sponsorship, mature businesses, organizational change, readiness assessment, senior management
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About the Author: Jesse Hopps RSS for Jesse's articles - Visit Jesse's website Jesse Hopps founded Demand Metric in October 2006 and is the active President & CEO, focusing on sales & product development. Prior to Demand Metric, Jesse worked as an independent consultant specializing in Internet Marketing and Business Continuity Planning. He began his career with the Info-Tech Research Group in London, Canada, where he helped contribute to their explosive growth. Jesse holds a business degree from the University of Western Ontario and lives in Panama City, Panama. Click here to visit Jesse's website Podcasting Best Practices Product Management Guide SWOT Analysis Tool Strategic Planning Guide Marketing Automation Guide |
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