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             CHANGE
          MANAGEMENT
             Training
       Psychology and Principles o
                       CHANGE
Bandung, 28 - 30 Oktober 2009   By :   Kanaidi, SE., M.Si
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PSYCHOLOGY OF CHANGE
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A Soccer Match Without Rules
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Perubahan Adalah
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WORKING ON THE GAP
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         The DELTA GAP’s Theory of CHANGE
           Ikaputra et.al, Unistaff summer school Unisattt Training, 2005
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      to edit Master title style
 We experience changes physically, mentally and
  emotionally
 Usually it is subtle and slow but it can be sudden
  – disrupting our work, dislocating our
  relationships or ruining our leisure time.
 Sometimes we can discern a pattern, sometimes
  not
 Sometimes we can explain it, sometimes not
 Changes involves the familiar; sometimes the
  unknown. Many of us prefer what is familiar
 Rather than seek change, we continue to live with
  our old familiar feelings (patterns and routines)
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              to edit Master title style
       Like ly re actions from the individual
                 facing with change



                              Acce ptan ce
                               Acceptance     Adopt        Evaluate
    Schock           Denial                   changes      impact




Announcement     Anger   Confusion Testing   Cooperation Enthousiasm/
                                                         Deception




               Anno unc eme nt               imple men tati on
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             to edit Master title style
   Likely Reaction (OF GROUPS OF PEOPLE) TO CHANGE




               Yes
    Have             PRO-ACTIVE                CHANGE
                     RESISTORS
 necessary                                     AGENTS
attitude and
                                  BYSTANDERS
  skills for
 proposed            DEFENSIVE
                                               CHANGE
   change                                      AGENTS
                     RESISTORS
                                                 IN
               No                              WAITING



                      Actively     Neutral      Strongly
                      Against                  Supportive


                     Commitment to Proposed Change
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       to edit Master title style
         Likely Phases in an Organsation Under Change



               THE CHANGE HOUSE

              THE                      THE
          CONTENTMENT                RENEWAL
  THE
  SUN        ROOM                     ROOM
LOUNGE



              THE                      THE
             DENIAL                 CONFUSION        WRONG
             ROOM                     ROOM          DIRECTION
                                                      DOOR

           DUNGEON                  PARALYSIS
           OF DENIAL                   PIT
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      to edit Master title style
       CHANGE HOUSE : ROOM OF DENIAL
         Say                            Act

“It’s nothing to do with us”       Defend the past

“It won’t happen here”             Justify the present

“Nobody else can do what           Blame everybody else
 we do”
                                   Miss the message
“If it isn’t broke don’t fix it”
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      to edit Master title style
    CHANGE HOUSE : ROOM OF CONFUSION
 Say                                   Act

“We can’t do anything, it’s all been   Frustration
 decided”
                                       Withdrawal
“I’m looking for another job”
                                       Blaming management
“The management don’t care,
 they’ll just move on”                 No sense of direction

“What can we do?”
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      to edit Master title style
   CHANGE HOUSE : ROOM OF RENEWAL

         Say                            Act

“We have to keep improving -   Understand and work to targets
 work smarter not harder”
                               Accept responsibility
“We’re all part of the same
 team”                         Know what we are trying to
                               achieve
“Yes, we can do it”
                               Seek continuous improvement
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           to edit Master title style

WHY CHANGE?: Theories of change
• Economic theory of change: competition, markets and
    innovation
• Psychological theory of change: fullfilment of individual
    needs
•   Sociological theory of change: powerful groups
•   Cultural theory of change: values, myths, beliefs
•   Biology theory of change: survival of the species / planet
•   System theory of change: crisis necessitates change
• Political theory of change: opportunities for new politics
DRIVERS TO Master title style
     Click to edit CHANGE
                                      Acts of
                                     Nature/God
  New
  Regulations                                               New
                                                            Technology


                                                                    Personal fate/
Revised                                                             health
budgeting                            Time for a
                                      Change
                                                                    New Leadership
Competition /
Competing programs

                                                                    Changing
                                                                    Values /
                                                                     Needs
                     Institutional         Economics
                     reform                Growth/Decline
DRIVERS TO CHANGE
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         IN THE MOBILITY COVENANT
              CASE IN FLANDERS

                        • New minister
                        • Competing political
                          program from Green
                          Party
                        • Changing values and
                          needs re sustainable
                          mobility
                        • Personal health : high
                          number of fatalities in
                          road accidents
                        • Cooperation and
                          partnerships
                        • Institutional reform
DRIVERS TO CHANGE IN
Click toTHE KOSOVO CASE style
         edit Master title

                 • Post war recovery
                 • Economic
                   development
                 • Status for Kosovo
                 • Self -government
                 • European Vocation
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        TRIGGERS FOR CHANGE

                               Create a Sense of
   Produce more               Urgency for change       Leadership
   change                                              and Coalition
                                                       of Partners


                                                                Create a Vision
Evaluate,                                                       and Strategy
consolidate                     Lead and
and                           communicate
institutionaliz
e new                            change
approaches                                                   Empower staff and
                                                             stakeholders to act
                                                             on the vision
          Implement new               Ensure Resources for
          instruments                 short term projects
          and demonstrative           and wins
          projects
TRIGGERS FOR CHANGE
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    IN THE MOBILITY COVENANT
         CASE IN FLANDERS
                   • New regulation and
                     procedures: the mobility
                     covenant
                   • Ensured resources for
                     demonstrative projects
                   • Continued committed
                     leadership and strong
                     coalition of partners
                   • Taskforce to steer and
                     evaluate progress
                   • Consolidation and
                     institutionalisation of
                     system
                   • Affected new programs
TRIGGERS FOR CHANGE
Click to edit KOSOVO CASE style
       IN THE Master title

                   • European Partnership
                     Action Plan
                   • Priority Actions
                   • Capacity Building
                     projects
                   • Additional Resources
                   • Monitoring Progress
ClickTRIGGERS FOR CHANGE
       to edit Master title style
– Trigger 1: Create a common sense of
  urgency
  • Identify and discuss anticipation to potential crises or
    looming crises, or major opportunities for change on
    objective and on emotional grounds
  • Examine market and competitive realities
  • Formulate the “why to change”
  • Refer to leading and peer scientific research /
    models / best practice
ClickTRIGGERS FOR CHANGE
       to edit Master title style
– Trigger 2: Form a Powerful
  Leadership & Coalition of Partners
  • Assemble a group with enough and potential power to
    lead the change effort
  • Encourage the group to work together as a team
  • Seek strategic partners outside your organisation
ClickTRIGGERS FOR CHANGE
       to edit Master title style
– Trigger 3: Create a Vision and
  Strategy
  • Create a vision to help direct the change effort
  • Develop strategies for achieving that vision
  • Define demonstrative actions
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– Trigger 4 : Empower staff and
  stakeholders to act on the Vision
  • Change systems, structures that seriously undermine
    the vision
  • Encourage risk taking and non-traditional ideas,
    activities and actions
  • Get rid of obstacles and routines that adverse change
  • Facilitate new behaviours by the example of the
    guiding coalition and example
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       to edit Master title style
– Trigger 5 : Ensure resources for
  Short-term Projects and Wins
  • Ensure budgets and human resources for
    demonstrative and innovative projects that have
    proven to be successful in other countries
  • Ensure budgets and committed staff to initiate risk
    projects
  • Hire and promote employees who can implement the
    vision.(in case you don’t find them within your
    organisation, hire expertise for change from outside)
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       to edit Master title style
– Trigger 6 : Implement Demonstrative
  Projects and Instruments
  •   Plan for publicly visible improvements
  •   Facilitate and create those improvements and projects
  •   Encourage demonstrative projects
  •   Recognise and reward employees involved in the
      improvements
ClickTRIGGERS FOR CHANGE
       to edit Master title style
– Trigger 7 : Evaluate, Consolidate and
  Institutionalise New Approaches,
  Produce More Change
  • Use your increased credibility to change policies,
    structures and routines that don’t fit the vision
  • Reinvigorate the process with new projects, themes
    and change agents
  • Articulate the connections between the new
    behaviours and corporate success
Click TRIGGERS FOR CHANGE
                           to edit Master title style
                                                            – Trigger 8 : Lead and
                                                              communicate the change
                                                              process
                                                               • Use every vehicle possible to
                                                                 communicate the new vision
    Have
               Yes
                     PRO-ACTIVE                CHANGE
                                                                 and strategies
 necessary
attitude and
                     RESISTORS                 AGENTS
                                                               • Your change agents and change
  skills for
 proposed
                                  BYSTANDERS
                                               CHANGE
                                                                 agents in waiting are the
   change
                     DEFENSIVE
                     RESISTORS
                                               AGENTS
                                                 IN
                                                                 people you rely on
                                                               • Mixed approach to the
               No                              WAITING



                      Actively     Neutral      Strongly         hesitating and the pro-active
                                                                 resistors.
                      Against                  Supportive


                     Commitment to Proposed Change
                                                               • The group of the defensive
                                                                 resistors should not be targeted
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              CHANGE
            MANAGEMENT
              Training

Bandung, 28 - 30 Oktober 2009   By :   Kanaidi, SE., M.Si
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  7 Principles of Change
7 Principles of Change
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              7
Principle 1 :
  Click   to Senders and receivers
             edit Master title         style

Every change can be viewed from the perspective of a
  sender and a receiver.
• A sender is anyone providing information about the
  change.
• A receiver is anyone being given information about
  the change.
     Senders and receivers are often not in a dialogue
  at the onset of a change. They often talk right past
  one another. What a sender says and what a receiver
  hears are often two very different messages.
Principle 2 : Resistance
   Click   to edit Master title
                 and comfort              style

The natural and normal reaction to change is
resistance.
Every individual has a threshold for how much change
they can absorb based on:
• Their personal history
• Current events in their life
• Current changes at work
• How much other change is going on

Moreover, some employees will resist the change no matter
 what.
Principle 3 :
Click to edit Master title style
        Authority for change

• The number one success factor cited for
  implementing change is visible and active
  executive sponsorship
• Moreover, the credibility of the leading
  sponsor for change will be judged by
  employees.
• As a change leader, you need to be aware that
  effective sponsorship at the right level may
  determine success or failure of the project.
Click to edit4Master systems
     Principle : Value title style


A new culture evolved in many of today's businesses.
  Employees:
• Take ownership and responsibility for their work
• Have pride in workmanship and look to improve their
  work processes
• Feel empowered to make decisions that improve
  their product and the level of customer service
• Focus on results
Principle 5 : Incremental
Click to edit radical change style
       versus
               Master title

Change management activities should be scaled
  based on the type and size of the change.

Change can be broken down into two types :
• Incremental change
• Radical change
Principle 6 : The right answer
 Click   to edit Masternot enough
                          is title style

• In fact, a good solution design does not mean that
  implementation will always be successful or that
  you will actually realize the business results you
  expect.
• Effective change management programs will engage
  employees early in the process, focus on results and
  effectively integrate employee feedback into the
  business solution.
Click to edit :Master title style
      Principle 7 Change is a process

The ADKAR change management model (The Perfect
  Change), characterizes the process for individual change
  in five key steps:
• Awareness of the need to change
• Desire to participate and support the change
• Knowledge about how to change
• Ability to implement new skills and behaviors
• Reinforcement to keep the change in place

The concept of change as a process generates multiple
  lessons for change management teams. Managers must
  avoid treating changes as a single meeting or
  announcement.

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Psychology and Principles of Change Training (Kanaidi, SE., M.Si)

  • 1. Click to edit Master title style CHANGE MANAGEMENT Training Psychology and Principles o CHANGE Bandung, 28 - 30 Oktober 2009 By : Kanaidi, SE., M.Si
  • 2. Click to edit Master title style PSYCHOLOGY OF CHANGE
  • 3. Click to edit Master title style A Soccer Match Without Rules
  • 4. Click to edit Master title style ce ss al pro u) n atu r -k up gi sa - ku pu an g in po ng Ch kepom (ula t-
  • 5. Per uba to edit Master title style Click ha n it SEH uT ING IDA GA KN Suli YA t be MA ruba N h Perubahan Adalah Masalah mind set ..
  • 6. WORKING ON THE GAP Click to edit Master title style db y OD CI better ENBTg te , crea MIodMThe i Ga p T CO Mw m el: PRESENT Rain b o upper FUTURE PAST “GAP” RES Any IS syst TAN lower be h em res CE will armf ists ul (W any oute chang rs & e Frem that it erey believ harmfull ) e s The DELTA GAP’s Theory of CHANGE Ikaputra et.al, Unistaff summer school Unisattt Training, 2005
  • 7. Click Psychology of Change to edit Master title style  We experience changes physically, mentally and emotionally  Usually it is subtle and slow but it can be sudden – disrupting our work, dislocating our relationships or ruining our leisure time.  Sometimes we can discern a pattern, sometimes not  Sometimes we can explain it, sometimes not  Changes involves the familiar; sometimes the unknown. Many of us prefer what is familiar  Rather than seek change, we continue to live with our old familiar feelings (patterns and routines)
  • 8. Click Psychology of Change to edit Master title style Like ly re actions from the individual facing with change Acce ptan ce Acceptance Adopt Evaluate Schock Denial changes impact Announcement Anger Confusion Testing Cooperation Enthousiasm/ Deception Anno unc eme nt imple men tati on
  • 9. Click Psychology of Change to edit Master title style Likely Reaction (OF GROUPS OF PEOPLE) TO CHANGE Yes Have PRO-ACTIVE CHANGE RESISTORS necessary AGENTS attitude and BYSTANDERS skills for proposed DEFENSIVE CHANGE change AGENTS RESISTORS IN No WAITING Actively Neutral Strongly Against Supportive Commitment to Proposed Change
  • 10. Click Psychology of Change to edit Master title style Likely Phases in an Organsation Under Change THE CHANGE HOUSE THE THE CONTENTMENT RENEWAL THE SUN ROOM ROOM LOUNGE THE THE DENIAL CONFUSION WRONG ROOM ROOM DIRECTION DOOR DUNGEON PARALYSIS OF DENIAL PIT
  • 11. Click Psychology of Change to edit Master title style CHANGE HOUSE : ROOM OF DENIAL Say Act “It’s nothing to do with us” Defend the past “It won’t happen here” Justify the present “Nobody else can do what Blame everybody else we do” Miss the message “If it isn’t broke don’t fix it”
  • 12. Click Psychology of Change to edit Master title style CHANGE HOUSE : ROOM OF CONFUSION Say Act “We can’t do anything, it’s all been Frustration decided” Withdrawal “I’m looking for another job” Blaming management “The management don’t care, they’ll just move on” No sense of direction “What can we do?”
  • 13. Click Psychology of Change to edit Master title style CHANGE HOUSE : ROOM OF RENEWAL Say Act “We have to keep improving - Understand and work to targets work smarter not harder” Accept responsibility “We’re all part of the same team” Know what we are trying to achieve “Yes, we can do it” Seek continuous improvement
  • 14. Click Psychology of Change to edit Master title style WHY CHANGE?: Theories of change • Economic theory of change: competition, markets and innovation • Psychological theory of change: fullfilment of individual needs • Sociological theory of change: powerful groups • Cultural theory of change: values, myths, beliefs • Biology theory of change: survival of the species / planet • System theory of change: crisis necessitates change • Political theory of change: opportunities for new politics
  • 15. DRIVERS TO Master title style Click to edit CHANGE Acts of Nature/God New Regulations New Technology Personal fate/ Revised health budgeting Time for a Change New Leadership Competition / Competing programs Changing Values / Needs Institutional Economics reform Growth/Decline
  • 16. DRIVERS TO CHANGE Click to edit Master title style IN THE MOBILITY COVENANT CASE IN FLANDERS • New minister • Competing political program from Green Party • Changing values and needs re sustainable mobility • Personal health : high number of fatalities in road accidents • Cooperation and partnerships • Institutional reform
  • 17. DRIVERS TO CHANGE IN Click toTHE KOSOVO CASE style edit Master title • Post war recovery • Economic development • Status for Kosovo • Self -government • European Vocation
  • 18. Click to edit Master title style TRIGGERS FOR CHANGE Create a Sense of Produce more Urgency for change Leadership change and Coalition of Partners Create a Vision Evaluate, and Strategy consolidate Lead and and communicate institutionaliz e new change approaches Empower staff and stakeholders to act on the vision Implement new Ensure Resources for instruments short term projects and demonstrative and wins projects
  • 19. TRIGGERS FOR CHANGE Click to edit Master title style IN THE MOBILITY COVENANT CASE IN FLANDERS • New regulation and procedures: the mobility covenant • Ensured resources for demonstrative projects • Continued committed leadership and strong coalition of partners • Taskforce to steer and evaluate progress • Consolidation and institutionalisation of system • Affected new programs
  • 20. TRIGGERS FOR CHANGE Click to edit KOSOVO CASE style IN THE Master title • European Partnership Action Plan • Priority Actions • Capacity Building projects • Additional Resources • Monitoring Progress
  • 21. ClickTRIGGERS FOR CHANGE to edit Master title style – Trigger 1: Create a common sense of urgency • Identify and discuss anticipation to potential crises or looming crises, or major opportunities for change on objective and on emotional grounds • Examine market and competitive realities • Formulate the “why to change” • Refer to leading and peer scientific research / models / best practice
  • 22. ClickTRIGGERS FOR CHANGE to edit Master title style – Trigger 2: Form a Powerful Leadership & Coalition of Partners • Assemble a group with enough and potential power to lead the change effort • Encourage the group to work together as a team • Seek strategic partners outside your organisation
  • 23. ClickTRIGGERS FOR CHANGE to edit Master title style – Trigger 3: Create a Vision and Strategy • Create a vision to help direct the change effort • Develop strategies for achieving that vision • Define demonstrative actions
  • 24. ClickTRIGGERS FOR CHANGE to edit Master title style – Trigger 4 : Empower staff and stakeholders to act on the Vision • Change systems, structures that seriously undermine the vision • Encourage risk taking and non-traditional ideas, activities and actions • Get rid of obstacles and routines that adverse change • Facilitate new behaviours by the example of the guiding coalition and example
  • 25. ClickTRIGGERS FOR CHANGE to edit Master title style – Trigger 5 : Ensure resources for Short-term Projects and Wins • Ensure budgets and human resources for demonstrative and innovative projects that have proven to be successful in other countries • Ensure budgets and committed staff to initiate risk projects • Hire and promote employees who can implement the vision.(in case you don’t find them within your organisation, hire expertise for change from outside)
  • 26. Click TRIGGERS FOR CHANGE to edit Master title style – Trigger 6 : Implement Demonstrative Projects and Instruments • Plan for publicly visible improvements • Facilitate and create those improvements and projects • Encourage demonstrative projects • Recognise and reward employees involved in the improvements
  • 27. ClickTRIGGERS FOR CHANGE to edit Master title style – Trigger 7 : Evaluate, Consolidate and Institutionalise New Approaches, Produce More Change • Use your increased credibility to change policies, structures and routines that don’t fit the vision • Reinvigorate the process with new projects, themes and change agents • Articulate the connections between the new behaviours and corporate success
  • 28. Click TRIGGERS FOR CHANGE to edit Master title style – Trigger 8 : Lead and communicate the change process • Use every vehicle possible to communicate the new vision Have Yes PRO-ACTIVE CHANGE and strategies necessary attitude and RESISTORS AGENTS • Your change agents and change skills for proposed BYSTANDERS CHANGE agents in waiting are the change DEFENSIVE RESISTORS AGENTS IN people you rely on • Mixed approach to the No WAITING Actively Neutral Strongly hesitating and the pro-active resistors. Against Supportive Commitment to Proposed Change • The group of the defensive resistors should not be targeted
  • 29. Click to edit Master title style CHANGE MANAGEMENT Training Bandung, 28 - 30 Oktober 2009 By : Kanaidi, SE., M.Si
  • 30. Click to edit Master title style 7 Principles of Change
  • 31. 7 Principles of Change Click to edit Master title style 7
  • 32. Principle 1 : Click to Senders and receivers edit Master title style Every change can be viewed from the perspective of a sender and a receiver. • A sender is anyone providing information about the change. • A receiver is anyone being given information about the change. Senders and receivers are often not in a dialogue at the onset of a change. They often talk right past one another. What a sender says and what a receiver hears are often two very different messages.
  • 33. Principle 2 : Resistance Click to edit Master title and comfort style The natural and normal reaction to change is resistance. Every individual has a threshold for how much change they can absorb based on: • Their personal history • Current events in their life • Current changes at work • How much other change is going on Moreover, some employees will resist the change no matter what.
  • 34. Principle 3 : Click to edit Master title style Authority for change • The number one success factor cited for implementing change is visible and active executive sponsorship • Moreover, the credibility of the leading sponsor for change will be judged by employees. • As a change leader, you need to be aware that effective sponsorship at the right level may determine success or failure of the project.
  • 35. Click to edit4Master systems Principle : Value title style A new culture evolved in many of today's businesses. Employees: • Take ownership and responsibility for their work • Have pride in workmanship and look to improve their work processes • Feel empowered to make decisions that improve their product and the level of customer service • Focus on results
  • 36. Principle 5 : Incremental Click to edit radical change style versus Master title Change management activities should be scaled based on the type and size of the change. Change can be broken down into two types : • Incremental change • Radical change
  • 37. Principle 6 : The right answer Click to edit Masternot enough is title style • In fact, a good solution design does not mean that implementation will always be successful or that you will actually realize the business results you expect. • Effective change management programs will engage employees early in the process, focus on results and effectively integrate employee feedback into the business solution.
  • 38. Click to edit :Master title style Principle 7 Change is a process The ADKAR change management model (The Perfect Change), characterizes the process for individual change in five key steps: • Awareness of the need to change • Desire to participate and support the change • Knowledge about how to change • Ability to implement new skills and behaviors • Reinforcement to keep the change in place The concept of change as a process generates multiple lessons for change management teams. Managers must avoid treating changes as a single meeting or announcement.