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Good, Better, Best: Highlights of Prosci 2016 Global Best Practices in Change Management Report

Canberra Organisational Change Community of Practice April 2016 Presented by Catherine Smithson

Agenda

• A fresh definition of “successful change” • Top contributors to success • Top barriers to success • Assess a current change project • Q&A

2

“Change is the law of life. And those who look only to the past or present are certain to miss

the future.” John F. Kennedy

Introducing Being Human • Founded in 1993 • Our mission: develop change-capable people and organisations so they achieve the benefits of change.

• Exclusive Prosci Affiliate Australia and New Zealand.

3

Prosci by the numbers

• 1994 – Founded in Colorado, USA

• 9 global Benchmarking Reports

• 17 years of longitudinal research

• 50,000+ Certified practitioners worldwide

• 5,000+ Certified practitioners Australia/New Zealand

4

Getting back to Normal… it’s a town in Illinois USA.

5

A fresh definition of successful change

What do we hear?

•  “It’s a required process in our Enterprise Agreement”.

•  “It’s a deliverable of Project Management.”

•  “It’s training and communications”.

•  “It’s a nice to have.” •  “It’s performed by Change

Managers”. • Others?

Organisations change for a reason

Performance Performance > © Prosci Inc. All rights reserved www.change-management.com

Current state

Transition state

Future state

Individuals make their own transitions: Adoption and usage

The individual is the unit of change

© Prosci Inc. All rights reserved www.change-management.com

Results and outcomes depend on employee adoption and usage

Solution must be: • Designed • Developed • Delivered

and • Embraced • Adopted • Used

9

Future

Effectiveness = Quality x Acceptance General Electric – 1980s

© Prosci Inc. All rights reserved www.change-management.com

The Swiss Cheese Future State

Transition Current Future = Benefits

Current Future Transition

10 © Prosci Inc. All rights reserved www.change-management.com

A proposed definition of Change Management

Change Management is how we achieve the individual transitions required to achieve the required adoption and usage, which will deliver the expected outcomes.

12

Structured Change Management Process Leadership at all levels

Prosci 2016 Best Practices in Change Management Benchmarking Report •  1,120 participants •  56 countries •  Top 3 roles:

•  Change Management team leader

•  External consultant •  Project team leader

•  6 new topics •  Culture •  Cultural awareness and global

literacy •  Change Agent Networks •  Complementary roles •  Vertical industry customisation •  Certification in Change

Management

The largest body of Change Management knowledge in the world.

13

Objectives of the Best Practices Report 1.  Uncover lessons learned

from practitioners and consultants so current change Management Teams can benefit.

2.  Focus on what is working and what is not working

3.  Emerging trends & future direction of the discipline.

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Snapshot of participants Australia

15

Change Management drives results

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Of the 245 research participants who reported having excellent change management effectiveness, 94% met or exceeded project objectives

Change Management increases success rates

by a factor of 6

17

Change Management drives staying on budget

Per

cent

age

of re

spon

dent

s th

at m

et o

r exc

eede

d

proj

ect o

bjec

tives

Change Management drives staying on schedule

18

Per

cent

age

of re

spon

dent

s th

at m

et o

r exc

eede

d

proj

ect o

bjec

tives

Greatest contributors to success

1.  Active and visible executive sponsorship

2.  Structured Change Management approach

3.  Dedicated Change Management resources

4.  Interaction and engagement with Project Management

5.  Employee engagement and participation

6.  Frequent and open communication

7.  Engagement with middle managers

19

2014 rank

2016 Best Practices in Change Management Report. 1,120 participants in 56 countries. Prosci Inc copyright 2016.

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Assess a project against the Top 7 Contributors to success • Use at start for planning • Then at key milestones and Post Implementation Review

• Use for multiple projects • Full reporting on strengths and gaps

• Prosci eBest Practices Audit

www.prosci.portal.com 20 2016 Best Practices in Change Management Report.

1,120 participants in 56 countries. Prosci Inc copyright 2016.

Sponsor Effectiveness Directly Correlates to Project Success

21 2016 Best Practices in Change Management Report. 1,120 participants in 56 countries. Prosci Inc copyright 2016.

29%

42%

54%

72%

0% 10% 20% 30% 40% 50% 60% 70% 80%

Very ineffective Sponsor

Ineffective Sponsor

Moderately effective Sponsor

Extremely effective Sponsor

Perc

enta

ge o

f res

pond

ents

who

met

or e

xcee

ded

obje

ctiv

es

Correlation of Sponsor Effectiveness with Meeting Objectives

What is meant by Sponsorship?

ABCs of Sponsorship

Actively and visibly participate throughout the project

Build a coalition of sponsorship with peers and managers

Communicate directly with employees

22 2016 Best Practices in Change Management Report. 1,120 participants in 56 countries. Prosci Inc copyright 2016.

Use of a Change Management methodology

23 2016 Best Practices in Change Management Report. 1,120 participants in 56 countries. Prosci Inc copyright 2016.

34%

55% 58% 60%

72%

79%

73%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2003 2005 2007 2009 2011 2013 2015

Use of a particular methodology

Use of a structured methodology across the organisation

24

Don’t know 7%

Yes 29%

No 64%

2016 Best Practices in Change Management Report. 1,120 participants in 56 countries. Prosci Inc copyright 2016.

25

76% 74% 76%

23% 25% 23%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

100%

2011 2013 2015

Yes

No

Don't know

Dedicated Resources Projects with dedicated Change Management resources

2016 Best Practices in Change Management Report. 1,120 participants in 56 countries. Prosci Inc copyright 2016.

Interaction and engagement with Project Management

26

Percentage of participants who integrated Project Management and Change Management

71%

22%

7%

77%

20%

3% 0%

10% 20% 30% 40% 50% 60% 70% 80% 90%

100%

Yes No Don't know

2013 2015

Did integration make an impact on achieving project

objectives?

58% 42%

0% 20% 40% 60% 80%

100%

Integrated Did not integrate

2016 Best Practices in Change Management Report. 1,120 participants in 56 countries. Prosci Inc copyright 2016.

Engagement with middle managers

27

3%

32%

44%

4% 3%

29%

47%

3%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

100%

Strongly agree Agree Disagree Strongly disagree

Unsure

2013

2015

Percentage of participants who said their organisations adequately prepares managers with the skills, training and tools

they need to lead change

2016 Best Practices in Change Management Report. 1,120 participants in 56 countries. Prosci Inc copyright 2016.

Greatest obstacles to success

1.  Lack of active and visible sponsorship

2.  Lack of change management resourcing

3.  Manager and supervisor resistance

4.  Employee resistance 5.  Lack of buy-in from

project teams

28

2014 rank

2016 Best Practices in Change Management Report. 1,120 participants in 56 countries. Prosci Inc copyright 2016.

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Next steps

29

§  www.beinghuman.com.au

§  www.prosci.com

§  www.portal.prosci.com

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