Change Management Initiatives That Ensure Smooth Program Transition and Deliverables

North America | Latin America | Europe | Middle East | Africa | Asia©Chazey Partners 2016 2
Session Description: Change Management Initiatives
That Ensure Smooth Program Transition And Deliverables
Developing and managing clear-cut, yet flexible change management program
initiatives is essential to your Shared Services center’s short and long-term
success.
By establishing strategic partnerships that encourage optimal communication
and understanding between your faculty, departments, and stakeholders,
change management can be effectively managed.
By attending this session, you will learn how to:
• Develop and maintain a flexible approach toward your change management
programs – so to ensure continual improvement
• Create the proper messaging, based upon your audience type and how to
ensure message consistency
• Develop and implement change management programs that will engage and
excite your very diverse workforce
• Incorporate a positive work environment that enhances work productivity
and efficiency

Chazey Partners Profile
Breakout 1 – Goals for Workshop
Shared Services Concepts
Change Management Concepts & Case Studies
Breakout 2 – Your Successes & Challenges
Change Management Models
Stakeholder Management
Wrap Up

Who We Are: Founded 2006 • Global offices headquartered in California • Over 50 full-time and 70 specialist resources
What We Do: Strategic advice • Project management • Technical & domain expertise • Business continuity
Where We Focus: Transformation of the back office • Human resources • Finance • IT • Procurement • Facilities
The Chazey Difference: Continuity of staff • Practitioners first • Knowledge transfer • Engage client in transformation

Who We Have Worked With

Wrap Up

Goals for the Workshop
Breakout 1
At your tables – ideally groups of 6-8
Designate note taker/speaker
Introductions – name, title/role and organization
Share your goal for the workshop
Report Out
We’ll ask a few tables to share their goals with the group
Then we’ll ask the broad group for any additional comments

Wrap Up

• Treats its internal clients as if they were an external client. Treats them with
the same level of respect and service that external clients expect
Elevator
Speech
• Provides non-core services to the “business”, employing a specialist team,
geographically unconstrained, and focusing on the requirements of the
internal client. This involves a philosophy and approach totally unlike
traditional “corporate-driven” centralization.
Definition
• Has the goal of providing high quality, non-core, but mission critical services
(which can include both repetitive common processes and more specialized
professional services) to the business at lower cost and more efficiently than
the business could otherwise provide for itself.
Goal
• Achieves cost savings and higher quality of service by leveraging organizational
re-alignment, economies of scale, technology, lower cost locations, client
interaction framework, standardized end-to-end processes, and best
practices.
How-To
What Exactly is Shared Services?

Structures have Benefits & Challenges
 Remote from
business
 Unresponsive
and inflexible
 No Business/
Operational
control over
costs
 Viewed as
central
overhead
 Prevalence of
shadow
operations
Centralized
Challenges
 Disparate
processes
 Multiple
standards
 Duplication of
effort
 Different
control
environments
 High cost and
costs unclear
across the
business
 Not scalable
Decentralized
Challenges
 Responsive
to Business
and
Operational
needs
 Business/
Operations
control
decisions
 Customized
solutions to
meet
Business/
Operational
requirements
Benefits Shared
 Highly client
focused
 Commercially
driven
 Service
Partnership
Agreements
 Clear unit costs
 Flexible
delivery
 Clear
understanding
of drivers and
activities
 Common
systems and
support
 Consistent
standards
and controls
 Tight control
environment
 Economies of
scale
Benefits

Wrap Up

Be clear on your purpose/intent, and understand the different
potential components of “Change Management”.
Remember the 3 C’s
Communication
You own the message, generally one-way information transfer
Consultation
Recipient can influence/impact message, but you have ultimate
veto/decision
Collaboration
You do not control or ultimately own the final outcome. You agree to agree
with the outcome and direction to be taken.
The Three C’s of Effective Change Management

Change Management Overview
Change is personal, affects you individually and benefits the
organization collectively. “What’s in it for me?”
Shared services (as with many other similar programs) is about
transformation, about continuously looking at your processes,
policies, technology and ways of working together with the best
skills and people available.
Being successful with “Change Management” actually requires
there to be an actual change. Maintaining the status quo means
you haven’t changed anything!
This is all about “doing things differently”

Best Practices in Change Management
5 Tips from the American Society for Training & Development
(ASTD)
Personal reputations are at stake in the midst of organizational
change. Clarify where and when possible.
Need for Certainty - Lack of information triggers threat.
Perceived helplessness associated with the change effort.
Helplessness causes emotional responses such as depression and
apathy.
Reinforce pre-existing group relationships
Highlight equity of decision making
Source: http://www.astd.org/Publications/Blogs/Human-Capital-Blog/2013/02/How-Could-Neuroscience-Change-the-Way-We-Manage-Change

Why Change Management? Business Expectations
Effective transition - maintain business
stability/minimise business disruption
Delivery of the business case
Increased efficiency, improved control
High expectations for a higher
quality/efficiency of service
Low tolerance for lengthy ‘stabilization’

Change Management vs Project Management
ImplementInstall
Let’s make sure
people are actually
using the new
technology to deliver
results
Let’s just get the
technology in on
time and deliver
some training
The problem with the simple “on time/on budget” mentality of
traditional project management

Roadmap with supporting business case
•Provides framework to achieve executive buy-in & sign-off; Acts as essential control mechanism
•Key activities: stakeholder interviews, Activity Based Analysis, Leading Practices Diagnostics
Design
•Provides all templates, plans and frameworks to support actual deployment
•Key activities: Design processes & technology, plans for training, hiring & employee transition
Build
•Building processes & technology, training staff, and set-up of end-state location
•Key Activities: Configure processes, build technology, recruitment & training
Deploy
•Full operationalization of new end-state across organization with new processes and systems
•Key activities: Detailed deployment plan, testing, Service Partnership Agreements
Stabilize
•All functions fully integrated, process-orientated, client-focused, culture of continuous improvement
•Key Activities: Optimize work allocation, continuous training, comprehensive feedback review
Change Management & Phased Transformation
Change
Management is
part of all stages
of a project
…although
most work is
undertaken
through the
Design and
Build phases

Current State
Future State
Take personal responsibility
Use in Daily Work
Buy-in
Realize is good idea
Understand the change
Hear about the change
Change Management Curve
What We Think It Looks Like

Change Management Curve
What It Really Looks Like

Goal of a Change Management Program
The goal is not to eliminate effects of change…
Managed
Change
Unmanaged
Change
Accelerating
Change
Reducing Negative
Consequences
IncreasinglyPositiveImpact
Time

“Real Life” Examples
Government of New Brunswick Internal Services Agency
Collaboration critical
Danger of over-collaborating
Coca-Cola Enterprises’ Implementation of a New SSC
Greenfield site in Bulgaria
Completely new approach for the company
Required significant selling
Understanding of culture impact was critical
Recognized these points in change management approach
May Gurney addressed resistance to change
Identified resistance points
Exposed resistance points and managed change
International Baccalaureate – poorly managed change
Recovery Strategy necessary due to poor initial start
Need to constantly “sell” the change

Wrap Up

Change Management Successes and Challenges
Breakout 2
At your tables – ideally groups of 6-8
Designate note taker/speaker
Share an example of an effective change management tool or practice in
your organization
Share a change management challenge from your current project
Choose 1 or 2 of the challenges to share with the entire group
Report Out
We’ll ask a few tables to report out
Then we’ll ask the broad group for any additional tools,
practices and/or challenges they would like share

Wrap Up

Chazey Approach
• Change Management is critical to success
• Our experience confirms that an early focus on change management is essential to develop, secure
and maintain Sponsorship and Stakeholder buy-in
• Successful change management addresses the human elements throughout the development of a
robust Shared Services model including:
• Communication Plan
• Stakeholder Management
• Employee transition
• Process Design
• SSO Enabling Technologies
• Shared Services Organization
• Client Interaction Framework (CIF)
• Governance approach
• Training
• Hiring
• Shared Service office/facilities

Change Acceleration Process (CAP) Model
Insight from GE:
astonishing high
number of failed
projects had
excellent technical
plans
Authentic, committed leadership | Need for change must outweigh resistance | Clear,
legitimate vision described in observable, measureable terms | Execute influence
strategy, including pilots | Early wins, lessons learned, integration | Set benchmarks &
accountability | Existing systems designed to support current state – modify them!

ADKAR Model by Prosci
• ADKAR – the milestones an individual must achieve for the change to be
successful: sequential and cumulative
• ADKAR can help you plan effectively for new change or diagnose why a
current change is failing

Kotter’s 8-Step Change Model
Kotter suggests that for change to be successful 75% of
management needs to “buy into” the change
Many change projects fail because victory is declared too early

Wrap Up

The Value of Stakeholder Management
Stakeholder identification and analysis highlights:
What are my Stakeholders' interests and opinions?
What degree of influence and impact would these
stakeholders have?
Potential risks associated with any stakeholder and
associated response planning
Groups that should be encouraged to participate in
different stages of the project
Communication and stakeholder management planning
requirements throughout the project
Stakeholder expectations, how to best manage these and
to encourage their involvement in the project

WINN Model
Effective
Stakeholder
Management
WHO are the
Stakeholders to
the change?
What is their
level of
INTEREST &
SUPPORT?
Understanding
their
communication
NEEDS and
delivering these
Assessing their
level of
INFLUENCE over
a successful
outcome
WHO are the
Stakeholders to
the change?
Driving support
across the
organization

Stakeholder Analysis
Level of support & drive to change
Levelofinfluenceoversuccessfulchange
Low support,
Low influence
Neutral support,
High influence
Low support,
Some influence
Neutral support,
Low influence
Low support,
High influence
Neutral support,
Some influence
High support,
Little influence
High support,
Some influence
High support,
High influence

Resistance Assessment

“Real Life” Examples
Cendant – the “Command and Control” Approach
Initially may help drive the project forward, but without “proper” change
management the project (and change) will falter
“Shared Services” isn’t shared services just because you call it so
Large Medical Company – Senior Stakeholder Management
Solid plan allows communication and consistency when Senior Leadership
changes
Aeromexico – Answering a Key Question
Strong senior level executive support
Needed to answer the “what’s in it for me” question to support the
implementation
Answering this question is key to developing internal resources and showing
new opportunities
“Selling the Change” is critical to future success

Wrap Up

1. Change is personal
2. Three C’s of effective
change management
3. Maintain a practical, not
theoretical approach
Leverage our Experience
for Your Success

Contact us
www.chazeypartners.com
enquiries@chazeypartners.com

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