BULLETPOINT
FOCUS REPORTS FOR THE THINKING MANAGER
The Human Side of Change 2 Understanding O
Change 3 Planning for Change O 4 Handling Resistance O 5 Securing ‘Buy-in’ O 6 The Role of Emotion O 8 Changing Behaviour O 10 Leading Change O 12 Implementation O
Blueprint 14 The Right Message O 15 Evaluating Change O 16 References & O
Further Reading
T h e P e o p l e a t Wo r k S e r i e s
REPORT
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The Human Side of Change BULLETPOINT
F O C U S R E P O RT S
INSIGHT I N S P I R AT I O N
SOLUTIONS KNOWLEDGE IN
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Most business books and articles - and for that matter academics and consultants - that deal with change focus only on the success stories. In their efforts to outline an easy-to-follow recipe for renewal they fail to take into account that change: O
carries significant risk - many firms collapse during change, or get swallowed up in the confusion and chaos that typically follows
O
is far messier than simplistic models for managing it imply
O
encompasses more than slogans, meetings, incentives, investments
O
to many people means yet again hearing ‘do more with less’
Such oversight may explain why many managers fail to recognise the profound impact that change can have on human lives - whether the change is organisationwide or within a small work team, whether changing a marketing method or relocating a business unit. This report is about the emotional intensity of the change experience, and how to manage the fear, apprehension and turmoil it brings.
Understanding Change “One doesn’t discover new lands without consenting to lose sight of the shore for a very long time.” André Gide French novelist “Our moral responsibility is not to stop the future, but to shape it … to channel our destiny in humane directions and to ease the trauma of transition.” Alvin Toffler “Leadership in fundamentally new industries is seldom built in less than 10-15 years, suggesting that perseverance is just as important as speed in competing for the future.” Gary Hamel, CK Prahalad Competing for the Future
Change is difficult, some say it’s almost impossible. Most often it is characterised by an executive announcement, followed by a company-wide training programme, and the formation of numerous cross-functional teams to find ‘the way forward’. Seeing the ‘juggernaut’ taking shape, it’s hardly surprising that people grow sceptical: O
treating it as a joke change initiatives falling far short of their original promise; little evidence, if any, remaining of their impact a few years down the road; a general attitude of employees that says ‘let the executives have their fun, then we’ll carry on exactly as before’
O
neutralising its effect where rightly or wrongly it is imposed on people without consideration of its impact on them and their work; result: compliance without commitment
Research: there is a distinction between change and transition: change is situational, external to people - the new workplace, boss, team; transition is internal - the psychological process people go through to come to terms with the new situation. What naturally happens during transition is critical to coming to terms with change: O
happens more slowly than situational change period of psychological uncertainty when people’s insides are trying to catch up with the outside reality
CHANGE RESEARCH O
O
O
O
O
O
99% of managers agreed that change management was central to the performance of their organisation 96% agreed that ‘We need to be able to manage continuing change, not just discrete change projects’ 56% agreed that ‘We seem to be on the receiving end of changes dictated by people and events outside the control of senior management’ - most from the public sector
O
individuals need to ‘work through’ the transition people tend to confuse what is over and what is not over due to the change; question for managers: have endings and losses brought on by the change been accepted?
Causes of change The biggest drivers of change today are: - merger & acquisition activity - re-engineering processes - restructuring, downsizing - cultural shift And the reasons behind all these are often the same:
62% agreed that ‘One of my main problems in this area is turning management theory into practice’
O
to become more competitive - in a crowded and more global marketplace
O
to create a high-performance organisation - improve quality, productivity and
50% agreed that ‘My organisation shows a genuine commitment to the needs and development of its employees when planning, implementing organisational changes that affect them’ - 38% disagreed
O
to promote feelings of ownership, accountability - for employees at every level
O
to better meet customer needs - for differentiation in the marketplace
O
to increase market share, bottom-line results - demonstrated through efficiency
63% agreed that ‘People in my organisation are now suffering from initiative fatigue and want to see the pace of change relaxed for a while’ - 20% disagreed
customer service
New findings also suggest that the management of continuing change is now more significant than the management of discrete projects, and that change is increasingly being driven by external factors outside the control of local senior management: O
public sector: trends in gov’t policy eg compulsory competitive tendering in local gov’t, internal markets in healthcare, quality audits and inspections in education private sector: innovation in new technologies, aggressive competition, customers with higher expectations, volatile international trading and economic conditions
only 11% agreed that ‘We have effective procedures for managing the stress we know people will face when implementing change’ - 72% disagreed
And what’s really new is the speed at which people have to come to terms with change. Result: people issues increasingly being seen as the root cause of the failure of change.
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O
O
Planning for Change Best to realise early the most common problems that can derail a change effort: 1 2 3 4
lack of employee support underestimating the time and resources required insufficient infrastructure fizzle-out: no signs of real progress
The key in overcoming these: focus on people and their commitment vs what is easier (ie the technology plan, the streamlining strategy, the projected outcomes): O
involve people from day one by participating in making change-related decisions concerning their jobs, employees are more likely to stay motivated during the change effort; make clear precisely how and to what extent involvement is planned
O
don’t try to change too many things at once people become overloaded and start to focus more on solving immediate problems and on the appearance of action; this together with the pressure to move quickly and to sustain the ongoing business may result in people off-loading activities they don’t consider priorities, ie anything not constantly demanded by their boss
O
SPEED OF THE ESSENCE
Novartis regards itself as the world leader in the science of life - from name novae artes, meaning ‘new skills’. When it was created out of the merger of Ciba and Sandoz both organisations knew that the prize for getting the merger right was the global leadership position in their industry. It was necessary to make the transition quickly but how fast is fast? Chairman Alex Krauer: “We had to be fast. We were in a race against operating problems, competitors, employee complacency and those who resisted the change. One of the basic lessons in a merger is that the longer integration drags, the greater is the risk of failure.”
plan to vary the speed of change, plan for neglect when to ‘accelerate velocity’? depends when the new business logic is not only well understood, but has become the accepted way of thinking; means resistance is also reduced; be ready to suspend action on specific items if things slow down
O
focus your efforts in those areas where you’ll do the most good - front-line areas eg sales, customer service - strategic areas - R&D, marketing - problem spots - where people are especially resistant to change
O
results and techniques are more important than a detailed plan Henry Mintzberg, guru: good management is ‘made up as you go along’; truest of change initiatives where there are no answers, and experimentation, reflection, observation are essential; research: no matter how well conceived, planned and executed the transformation, you cannot think it all through beforehand
Individualise the effort
NOT SO FAST
Post Office CEO John Roberts’ initial efforts to get 190,000 employees to understand that they had not yet reached a plateau where they could afford to stop changing, became too threatening; result was strike action and disruption management was trying to move change too fast, faster than the union and staff were prepared to go.
Most employees do not have the understanding to translate the overall change strategy into an individual plan of action. Some steps: O
close the knowledge gap; achieve clarity early employees who lack full understanding of what change will mean for them will fill gaps with rumour, speculation; focus on manager-employee relationships; plan to communicate consequences for individuals to help eliminate fears, uncertainties
O
outline the consequences of changing vs not employees can then decide whether the changes will be worthwhile for them, and extent to which they’ll commit to making it happen; share openly ‘disconfirming’ information - competitive, market data which raises doubts about the stability and security of the status quo, and consequences of not taking action
O
let the less-than-committed go people who decide to leave might also have been ones to slow down change efforts
O
outline new skills to be mastered - technical: new technologies and computer systems - interpersonal: ability to work in teams, new routines, working closely with others - management: eg problem-solving, project planning, priority-setting, quality control
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NOTHING BUT THE TRUTH
One plant manager at Intel was given a factory to close down in two years. He felt he had two choices: tell people the truth, in which case ‘good people leave within four months and you end up closing down with idiots, or you lie and you keep your people until the last possible minute’. He chose to tell everyone. Sure enough, eight of his best people left right away, and he had to give responsibility to people he wouldn’t have ‘trusted to cross the street with his dog’. Now he had to depend on them, and was too busy himself to help much. Outcome: every one of them delivered. 3
Handling Resistance “Faced with the choice between changing one’s mind and proving that there is no need to do so, almost everybody gets busy on the proof.” John Kenneth Galbraith American Economist
In many offices, resistance becomes one of the satisfactions of work. When change initiatives fail, it’s common to blame ‘human forces’: people don’t do what they should, they don’t show enthusiasm in the right measure at the right time, they don’t ‘buy-in’. But research is now suggesting that resistance needs to be looked at from other perspectives: O
RESISTANCE
-
often possible to encourage resistance to change by dealing with people as if that is the only response one expects
RESEARCH
78% agreed that ‘Fear of the unknown is still a major cause of resistance to change in my organisation’
O
TYPES OF RESISTER
O
Management action: option a: to shut them up by removing all opportunity for them to air their views; risky, as stance will harden, and their resistance will go underground option b: to harness their drive and passion by working out exactly what is their underlying source of resistance, and working on it
is often the first step towards change resistance is a normal reaction; it’s not permanent and is movable down a path from acceptance through involvement to commitment
is driven by fear of the unknown despite the fact that most people now take continuous change for granted, it still creates anxiety and stress, even for those committed to it; seldom are there any guarantees that the new approach will work, or deliver the goods
1. The Activist Looks on opposition to the change as a ‘worthy cause’; sees any change as a threat to their power, position, interests; needs removal of ‘cause’:
may be a self-fulfilling prophecy
O
may not be such a bad thing resistance often generates conflict - important to spark progress and improve the chances of genuine change; too often management’s expectation of involvement is smooth interaction and employees suggesting ideas, but not criticism or debate
O
could describe a sense of personal overload of not being able to cope with continuing new demands, and of not being able to consolidate and learn from experiences
O
may relate to disillusionment and cynicism in the face of initiatives introduced at the whim of senior managers, and which are perceived to be enforced without a clear purpose
2. The Traditionalist Clasps and clings to the security, comfort of the ‘good old days’; doesn’t have the vehemence of the activist, but can undermine the change initiative by clinging to past; needs reassurance: Management action: change their point of reference, or at least their perception of it; alter view of past by showing what it didn’t produce for them 3. The Bystander Doesn’t feel strongly either one way or the other, will go more or less where they’re told, but will follow a) those they respect more as a role model, and b) those with the convincing arguments; needs leadership: Management temptation: to ignore as they ‘do no harm’, but they will produce only ‘half-hearted’ work while their buy-in is not secured 4
SYSTEMATIC STAMP-OUT To handle resisters in positions of power at Ljubljanska Bank, new CEO Marko Voljc adopted what he termed a ‘parallel systems’ approach: O
put in place own change management team - positioning outsiders above the official management group, and a team of change agents below - ‘sandwiching’ top management resisters between his own pro-change people
O
hand-picked 30 person team to work on key area of cash flow - once team saw where money was going, many business unit heads tried to block their efforts within 10 days it became clear which unit heads were helpful, which weren’t
O
organised a ‘wake-up call’ retreat - for the bank’s 40 mid-senior managers: each had to stand and explain their dept’s function, their own individual contributions, plus a list of ways in which they could improve themselves personally
O
broke down fiefdoms - by setting up 18 project teams of middle managers, cutting across depts, each focusing on a key issue; also brought in consultants from the Allied Irish Bank to work with them providing hands-on advice - exposure to consultants plus supplemental training in Dublin changed perception of what was valued; suddenly project work became prestigious, and everyone wanted to do it
O
homed in on the two most problematic resisters - confronted them, and they left
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Securing ‘Buy-in’ Too many managers focus more on leading change than managing it - ie coming up with the commercial logic and strategic vision vs focusing on the transition process, ie getting employees to understand what they are doing and why, and then actively making it happen - all more people-intensive and harder to do. Problem: managers tend to see people issues as relatively minor during change, that ‘go without saying’ or can be delegated; in fact study after study shows that they are the most common stumbling blocks to implementing change successfully, and should be considered senior management priorities.
The strategic approach O
In need of major change programmes to ensure its commercial success, such as the introduction of computer processes into high-street outlets, the Post Office does not consider the people aspects of change to be the domain of HR alone. Instead it uses project managers because: O
appoint an internal champion - a change leader senior manager who spells out the vision, motivates and monitors those chasing it, troubleshoots and keeps the CEO on board
O
MAKE IT A PROJECT
O
identify ‘seed carriers’ internal networkers who know how to get people talking to one another and how to build informal communities
O
start small, grow steadily remember initial enthusiasm and commitment is almost always limited to a handful of people; think about setting up a pilot group of talented enthusiasts, a ‘fan club’, who go about a first round of change activities, which can then spawn a second group and gradually spread new practices
Winning them over O
O
O
O
O
get the commitment of local line leaders: ie the people at the very heart of the business - who design and sell products, who provide services, who talk to customers think about how to treat people you’re letting go: if people think leavers are not being treated very well, they’re going to get ‘bitter survivor syndrome’ ask people how to improve systems and processes: and they’ll tell you; if people are told they have to improve, without explanation why, or without support in their efforts, they won’t convince people that you’re willing to listen: and that you are worth listening to; help people see you are ‘on their side’; need not align perfectly with their point of view, but show their view is treated fairly and they aren’t cast as an outsider if possible, provide some level of guarantee early: eg whether jobs are secure or not; sets boundaries on the problems for the individuals concerned; provides them with vital data as to how the changes will affect them and how they feel about it
O
O
O
become ‘bi-cultural’: ie living in two worlds - interacting with bosses on bosses’ terms, and within teams on their terms; research: the best leaders continually develop their awareness of the boundaries between these two domains and know what is required of them in each be careful with use of jargon: when people hear others speaking in strategic/ management gobbledygook they quickly get turned off; complex ideas have to be explained in the most simple and accessible manner for them to be accepted finally, focus more on making change work vs generating wholescale passion: ie specifics of change that people collectively believe will make working life better for them, and the organisation
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they have the strongest practical understanding of the types of tasks to be faced in the future and the impact on the design of work and skills as a result of their understanding, and therefore credibility, they are the most likely to obtain ‘buy-in’ at local and functional level INFECTIOUS COMMITMENT THE ‘TIPPING POINT’
At Nortel Networks a computer simulation model was created to understand the spread of passion for change, designed around the principle of epidemiology: when more people are getting a disease than are being cured, the disease will tip into an epidemic. The speed at which the epidemic spreads depends on the all-important ratio between no. of people being infected and the no. of people being cured. In the simulation the ‘disease’ is the strongly held belief that a particular change will transform the organisation for the better. The means of infection is exposure to committed ‘change advocates’. Variables (levers) are built into the model to simulate real-life choices. Surprises that emerged in the simulation: O
O
conventional thinking tells us that great changes have great impact; but nonlinear changes don’t work that way: a big change such as hiring a large number of new advocates can have a frustratingly small impact a small change such as increasing the amount of time that leaders spend setting a good example can make a dramatically large impact by pushing the flow of new advocates past the ‘tipping point’ in a way that permanently affects the organisation 5
The Role of Emotion WHAT MOTIVATES EMPLOYEES MOST?
Research: it all depends … though many managers would like to believe that the same motivators apply across the board - and that effective managers operate the same way with everyone - the truth is different. Employees are individuals, and each one is motivated in a unique way; doesn't mean that motivating employees is difficult. If you want to know what really motivates your employees, all you have to do is ask.
Latest research: change can take place and be sustained only when employees are committed to it emotionally, not just intellectually. But managers and leaders are reluctant to deal with emotion - feelings are unpredictable, they cannot be plotted on a graph. The feelings that employees experience during change can be linked to three types of motivation problems:
1. low self-confidence many conclude they’re not up to the task; begin to harbour self-doubt, wondering whether the training they have received is adequate to do their new job, or whether they can deliver the performance others expect of them
2. loss of trust change can be a stimulus for employees to question whether the people they work for can really be trusted to give them what they expect (eg when bonuses or raises are cut) and whether it’s really worth putting into their job all the time and effort that’s being asked of them
CHILLING EFFECT
In 1997 Millstone Nuclear Power Station in the US had seriously broken culture: engineers and other employees were complaining, sometimes publicly, that management would not listen to concerns about design and operations; the Nuclear Regulatory Commission was receiving about 50 employee allegations annually; backlogs in maintenance, engineering work, capital projects and corrective action were growing; and when management appeared unresponsive, dissatisfaction spread. In the process of achieving a turnaround, cross-functional teams found that most issues affecting employees and their performance were personnel matters (salary, benefits, and promotions) or interpersonal matters (supervisory relationships and personality conflicts). In normal organisations, line management and the HR dept handle such issues. But Millstone was typical of an industry in which managers are ‘not high on people skills - for example, few can read non-verbal signals’ as one employee claimed. Managers had to ‘learn the difference between anger, hurt and a chilling effect’ as another said. Although most figured it out, often after being put on a performanceimprovement plan, about 40 managers were replaced. That got everyone’s attention.
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3. job dissatisfaction employees start thinking that the things they’re working for aren’t what they really want; they assess the rewards they’ve been promised and ask themselves ‘Will these be satisfying for me?’ - and the answer may be ‘no’ SYMPTOMS OF MOTIVATION PROBLEMS O
lacks skills or ability to carry out job expected: can’t see link between own performance and outcomes; doubt own ability to operate - “I can’t do it”, “I don't think we can pull this off ”, “I don’t have enough training for this”
O
lacks clear understanding of job and repercussions of not performing: belief that can get by without changing - “I deserve better than this”, “Is this what I get for all my years of hard work?”, “I don't think this is fair”
O
lacks desire to engage: dislikes work they'll be expected to do as a result of change - “This isn’t what I thought my job would be”, “I’m just not cut out for this kind of work”, “I’m not sure how long I can do this”
Target groups Two groups of employees typically bear the greatest emotional burden during change: O
newly promoted employees like everyone else they must adjust to a new work environment, with new values, new procedures, and new organisational objectives; but must also learn an entirely new job and deal with increased demands and expectations; also, many newly promoted employees are high achievers, reluctant to acknowledge their weaknesses; in many change situations they will forge ahead and refuse to ask for help, even when they feel inside that they may be sinking
O
first-level managers must often adjust to jobs that have been radically altered: span of control may have dramatically increased, the way they spend their time is different, and performance standards and measures have changed; unlike their bosses they are less likely to have been involved in designing and preparing for the new organisation they must work in - they have less time to adjust mentally to the changes that are implemented and are less motivated to embrace them; also nearly always have to absorb emotional ‘spillover’ from people they manage
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The Role of Emotion
The ‘feelings’ factor Even when change is implemented smoothly, the kind of emotions produced are mixed; rarely do employees greet change at work with unadulterated enthusiasm, nor are they likely to see change as a chance to expand their horizons or prove their mettle to higher-ups: O
involves a sense of loss discarding the past which is known and understood; often causes anger and denial of the need for change: ‘We’ve always done things this way’ or ‘Don’t change a winning team’; when faced with change, people find value in present circumstances which they would bitterly complain about at other times, eg miners threatened with the closure of their pit can defend their pit and jobs with vigour, yet still believe fervently that working conditions are dangerous or arduous
O
BEHAVIOURAL INDICATORS OF THE EMOTIONAL IMPACT OF CHANGE O
short tempers
O
angry outbursts
O
tearful exchanges
O
kick-the-dog syndrome
O
excessive aggressiveness
O
temperamental flare-ups
O
outward displays of negativity
O
increased absenteeism
O
declining performance
seen as a threat it is the uncertainty that makes change potentially dangerous; fear is the dominant and most unsettling feeling: ‘Am I safe?’ ‘Am I vulnerable?’; interesting that many of the world’s most driven business people and explorers are highly conservative in their domestic arrangements and avoid untoward change if they possibly can REACTIONS TO CHANGE
O
undermines self-esteem individuals undergoing changes which appear to make their skills and experience unnecessary will often blame themselves: ‘This proves I am of no use’ or ‘I’ve been put on the scrap heap’; if change undermines self-esteem, self-blame reinforces the situation
Revealing emotion Employees need to be given the chance to reveal how they truly feel by:
Three types of reactions as people are asked to change; not to be confused with three types of people; indeed the reactions may co-exist within a single person, among all age groups, and at all levels of hierarchy; the reactions are labelled as if they were members of a single family: O
O
overcoming up-front resentment of having to lose valuable work time to attend training sessions, one-to-one interviews - ‘First you double my workload; then you make me waste my day sitting in a conference room talking about my feelings!’
O
encouraging discussion key is to get feelings made explicit; most employees are more than willing to talk about problems if they feel safe in doing so; must be clearly separated from formal mechanisms like performance reviews, and focus on work issues that affect them personally; research: during times of change when tensions run high, everyday problems become especially troublesome for people
O
allowing negativity to surface temptation to calm people down, to soothe their fears and anger, may be compelling, but also denies feelings which must be experienced if change is to be accepted; letting go of the past is a critical driver of change acceptance
O
O
O
the eldest sibling: ambitious and responsible, climbing on the bandwagon of change (as soon as it becomes the established order), receiving rewards and recognition for new innovations the middle sibling: committed to the idea of change, if only because ‘things will at last get better around here’; willing to take risks and experiment; but feeling in the end, unrecognised and unrewarded the youngest sibling: expecting to be protected, conscious of human needs and community, and resisting the upheaval of change
providing empathy for managers, can be a daunting prospect; many fear they will have to confront unrealistic demands, but in the majority of cases, issues employees raise are relatively minor from the manager’s perspective (though certainly not from the employee’s); key is to try and see a situation from the employee’s point of view
Not all emotions associated with change are negative; for some employees change can be positive and uplifting - eg welcome relief from a job they never liked, or break with a boss they never got along with; can also offer new professional opportunities and challenges which if met can improve self-confidence and increase feelings of pride. The Human Side of Change - The People at Work Series Entire contents Copyright Bulletpoint Communications Limited. All rights reserved. Reproduction in any form is unlawful.
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Changing Behaviour IMPROVING THE PLEASURE QUOTIENT
In the turnaround of IBM, executives laid out clearly what employees should be focusing on; the company had been inward-looking for a long time; a new emphasis on speed of decision-making and fast action by managers and employees had to be installed; IBM’s old culture of approval hierarchies and ‘that’s-the-way-we’vealways-launched-products’ had to be swept aside. IBM underpinned these behavioural changes with a complete overhaul of the entire compensation system. Managers looked at how competitive the current system was in the job market and designed and implemented new incentive-based elements to pay better rewards to those people who were star performers within the new IBM way of working; likewise a series of new training programmes focused on relevant skills, and career development was started.
THE CHANGE IMPERATIVE
Rarely do people change their behaviour just because they know they should. But it’s easier to change behaviour and belief when people know there will be a positive payoff or negative consequence eg: O O
O
O
O
O
O
The five main stages people go through in altering their behaviour during change: O
denial paralysis can often result as people deny the need for change; if the changes are not particularly new, dramatic and there are obvious opportunities for people, paralysis is felt less intensely; if the change is novel, traumatic (eg sudden job change or redundancy), can be a sharp decline in performance; one way to handle: minimise immediate impact of change - allows people to face up to new reality
O
defence as the realities of change become clearer - people face new tasks, working for a new boss - may be feelings of depression and frustration because it can be difficult to decide how to deal with the changes; people may also attempt to defend their own job, their own territory - often manifested in ‘ritual behaviour’, which creates time and space to allow people to come to terms with the changes
O
discarding people begin to let go of the past, and look forward to the future; support can be helpful, eg providing people with chance to experiment with new systems without the pressure of formal training programmes; now possible for optimistic feelings to emerge; individual starts to identify with the changes involved, will ask questions, begin to solve problems, take the initiative; self-esteem improves; individuals need time to recreate their own sense of identity and self-esteem as they ‘grow’ into the new situation
O
adaptation individuals begin to test the new situation and themselves, figuring out ways of coping with the changes; significant amounts of energy are involved here, but the process of trial and error, slow build-up of performance, can be a source of frustration: people can evince anger (not to be confused with resistance ie attempts to oppose) - but represents the feelings of those trying to make the new system work
helps each individual to understand how he or she is expected to change determines and strengthens each individual’s motivation to change focuses first on each manager’s motivation to change
a system change: can force behavioural change
Stages of behavioural change
helps each individual to understand the organisational imperative to change helps each individual to understand the personal imperative to change
the opportunity for significant pleasure: redesigning the compensation system and the job itself can attach potential pleasure to the change effort
The first two represent a type of change that must come from within; the third can force behavioural change, but a change in beliefs will follow only when the individual sees the results from working within the new system.
Research: an organisation’s ability to change is greatest when it O
a crisis: sharing information can help people understand a crisis is imminent
O
internalisation now the people involved have created a new system, process and organisation; new relationships between people and processes have been tried, modified and accepted; develops into an understanding of the new work situtation, ie a process through which people make sense of what has happened; new behaviour becomes part of ‘normal’ behaviour
Overall, the increasingly accepted view is that managers should remain in the background, and allow people who are directly involved to develop the skills and understanding needed to make the new order work effectively. 8
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C h a n g i n g B e h av i o u r
Changing behaviour patterns Truth is, you can’t make people change their behaviour and mindset. They have to come to terms with change and decide for themselves whether and how fast they will go through the stages; some may never get past denial. Key principles for managers to bear in mind in working through the stages: O
‘learning’ is a change-enabler people build their performance through learning - how to do a job better, how to become more efficient, how to improve; learning from past experiences helps people cope with change; crises in particular are opportunities to learn; learning by definition implies a willingness to be uncertain, and to figure things out as you go along; focus on learning creates a positive momentum for change
RISK AND REWARD Siemens Plessey’s CEO: “You have to put new measures on people to change their behaviour patterns and when they don’t meet those measures, you have to be prepared to push them hard. Equally, you have to be prepared to sing the praises of somebody who has gone against the in-built constraints of the organisation and employees, or who has gone out on a limb to make the required changes happen.You have to resist the instinct to criticise mistakes.You have to say, ‘We learned from what you did and we can do better because of it.’ And if just once you nail someone for efforts to change which turn out badly, you’ve nailed your whole change programme.”
O
skills matter people who worry eg that they’re not good enough are putting far more pressure on themselves than anyone else would; they need coaching to develop an awareness of their own actions and the way those actions come across
O
participation should be a matter of choice, not coercion whether in pilot groups, or other change initiatives, safety and trust are nurtured by perceived freedom of choice - even though this might appear to slow down a change process in the short term
O
change and role strain are two key sources of stress can be caused by not being involved in decisions, having inadequate managerial support, having to cope with technological and other changes, having to maintain standards of performance even under difficult circumstances, having responsibility for people who are uncooperative - all likely in a period of change
O
trust must be earned sceptical employees will watch to see how management reacts to defining moments, weighing differences between words and deeds, between paper promises and outcomes; trust is earned by those who demonstrate consistent behaviour and clearly defined values; truth is more important during periods of change than ‘good news’
REAL LIFE TRUST One manager at Ford during a change initiative: “Our experience was that real life trust only increased gradually over time, as people developed an increasing desire to help one another - and as we evolved a strong psychological safety net.We grew to recognise that if people offered to help one another, they would not be at risk.The safety net developed as a by-product of really understanding one another.”
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ORIGINAL CHANGE
Traditional ways of thinking about the change process have roots in the three-stage change model developed by German psychologist Kurt Lewin in the 1940’s: 1. ‘unfreezing’: disconfirm and shake up status quo 2. ‘change’: re-shape organisation to implement the new 3. ‘refreezing’: regain stability Caveat: critics now claim that such a model may have been suitable for stable organisations with fixed functionality. But refreezing is less suitable for today’s firms which must constantly be ready for change.
FROZEN WASTES
Despite a palpable sense of crisis and need for change felt within Metallgesellschaft and its largest subsidiary Lurgi in 1993, convincing people to change was not easy. People ‘froze’, sticking absurdly to old ‘normal’ patterns of behaviour, since it was through these that the experience and feelings of self-efficacy had been strongly established. But people needed to become aware of what, to them, were virtually unconscious ways of doing things which were no longer appropriate. According to the CEO: “The ‘unfreezing’, followed by change and then ‘refreezing’ depends a lot on the patience and consistency with which you demand change. It takes a lot of energy to convince people to do things differently. The real problem is that you cannot automatically trigger their conviction. You can tell them to do it, but until they start thinking by themselves and understanding the idea behind the need to change, it is very difficult to change behaviour; people otherwise feel attacked.” 9
Leading Change BLOWING AWAY THE MYTHS O
unless I keep a tight rein, I cannot control the outcomes
but, widening involvement does not mean excluding leaders; paradoxically requires more involvement from leaders; but leader's role changes: instead of being responsible for identifying both the problem and the solution, now responsible for identifying the issues, purposes and boundary constraints and trying to engage others O
we must keep a firewall between the organisation and its stakeholders
fear that if customers, suppliers or people from other parts of the organsation are included in the change process, dirty laundry will be aired in public; but can be just the opposite just as including those affected by a change builds ownership and commitment, same can happen with those outside; not uncommon for customers and suppliers to offer ideas about how they could help reduce cost or improve the process as a result of their involvement O
productivity will suffer if I involve a lot of people
people who pull out their calculators figuring out the cost of taking people offsite and wondering if it's worth it studies: productivity may actually improve - people involved in change processes and those unable to attend put out extra effort during these times as a way of supporting those who are attending O
In an increasingly uncertain world, the most important task of any leader is to keep hope alive; good leaders have an optimistic view of the future: O
O
they promote a healthy tension: by balancing the hope of strategic success with a realistic assessment of the obstacles that must be overcome to reach it they tell the truth: life is difficult, but by sharing information they display an honesty and openness that wins trust
Strategic engagement Leaders, themselves under market pressure, want willing partners; people who are engaged rather than cynical, people ready to put their wholehearted selves into bringing about the required changes, rather than people who sit on the sidelines and take the attitude that ‘this too shall pass’. Key principles to build engagement: O
widen the circle of involvement, like ripples on a pond mere buy-in not enough; must move towards deeply engaging people in the change process itself, creating a critical mass who design and support necessary changes; gradually expand the number of people who participate in two ways: first, by including new and different voices; second, by gradually building waves of ‘believers’ so that the few are no longer left in the position of deciding for the many
O
open up, connect people to each other, build coalitions the most neglected step in the change process - from the start, seek and sound out opinion shapers, experts, ‘values leaders’; be willing to reveal an idea or proposal before it’s ready; secrecy denies you the opportunity to get feedback, and when things are sprung on people with no warning, the easiest answer is always ‘no’
O
keep the vision flexible, and compelling instead of waiting for a perfect vision, risk refining it as you move; keep adjusting as employees, customers provide course-correction data from real-world experience; communicate aspiration - an appeal to ‘something more’ - not just what ‘could be’
O
create a network of ‘listening posts’ to discover new approaches both externally (eg Rubbermaid operates its own stores - even though it sells mostly to Wal-Mart - which allow it to listen to and learn from customers) and internally: O customer-facing: eg customer complaints - best source of info about an operational weakness or unmet need O inward-facing: broad employee participation - ‘eyes and ears everywhere watching the organisation move forward, stumble and try again’
the majority cannot be trusted to put organisational interests first; self-interest will take over
transfer ownership to a working team, try big changes in a small way first
fear is that process will disintegrate - parts of the organisation will try to improve their depts rather than improving the whole; similarly, individuals will protect themselves and not make decisions for the common good - but research: when people are offered the opportunity to be involved in making difficult decisions rather than having these decisions thrust upon them, the results are often the opposite of what is expected
O
10
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but remain involved; support the team providing coaching and resources, patrol boundaries within which the team can operate; develop a broad outline, questions from which team can experiment; allow team to forge its own identity, build a sense of membership, and enjoy protection to implement changes: people must be given time to focus on the tasks of change, make mistakes and learn O
learn to persevere everything can look like a failure mid-stream; one mistake leaders make is to launch change initiatives and leave them; but stop too soon and by definition it will be a failure; if taking too long, go back to the start and check assumptions; most people get excited about beginnings, and everyone loves happy endings, but it’s the hard work in-between that demands the effort and attention of leaders
L e a d i n g C h a n ge
The personal dimension Leaders typically go through their own transition as they plan the change. By the time middle managers and the rank and file are going through theirs, leaders are well past their own; they need to recall their own transition and show empathy towards those who are on a different timeline to them. Guidelines: O
STYLE OUT-OF-SYNCH
One V-P holding one-to-one sessions with his team found common themes surfacing: O
don’t underestimate the amount of personal effort, energy, commitment needed over and above the mammoth HR efforts across recruitment, training, rewards, leaders have to build the change plan, model desired behaviours, recruit champions, overcome resistance, and be visibly engaged - all while keeping the business afloat
O
permit yourself to feel doubt about how to accomplish goals corporate transformation has developed a pathology of its own - something for managers to be seen to be doing, whether up to it or not; doubt is a hallmark of rapid change, and senior managers ought to seek help from many sources
O
O
ask questions vs telling people what to do, be willing to change your mind questions are a catalyst - the leader’s job is to frame the right query to stimulate everyone’s thoughts; the traditional approach focuses on telling or selling a set of answers, which no matter how ‘correct’ they seem, can’t create the inner commitment that comes from ‘thinking things through for yourself’
O
demonstrate through words and deeds, set an example, build trust
O
shows a belief in people’s ability to handle their job; remember others’ perceptions are their realities: there has never been a successful manager who could motivate people who themselves were not highly motivated O
maintain ‘constancy of purpose’, persistence and patience leaders are only effective if they understand why effort is being invested in the work of change; must stay fixed on desired results and help people remember them; also, can’t expect system to be perfect: must control anger when expectations aren’t met
O
be realistic, but keep an opportunistic and optimistic bias hold up the mirror for people to see the warts, gaps and problems, but believe in progress despite ‘the system’; be alert to unplanned ‘interventions’ which can propel the change effort forward - since change is mostly an emergent, improvised process
O
lack of clear expectations V-P tended to issue broadbrush directives without going into detail about how they should be carried out; subordinates saw this as a lack of clear expectations they didn’t know exactly what he wanted, felt they couldn’t perform well and began to get feelings of inadequacy, low confidence impatience and unwillingness to listen - when his execs asked him for help many simply wanted to talk through problems and come up with solutions on their own; but the V-P impatient to charge ahead, would jump in and solve their problems for them not managing to the individual - found he was treating all subordinates the same; while some admired his commanding, aggressive style, most disliked being treated in this way and wanted to be managed in a way that they preferred
For the V-P, these sessions represented a crucial turning point in establishing new, more productive and enjoyable work relationships; up to then he had never bothered to meet with team members individually to explore their concerns
approach people with compassion start small and build momentum before confronting difficult issues - avoid ‘frontal assaults’; if people become defensive, understand that in nearly every case, they are being as good as they can be at that moment - if they knew how to be better they would; unlikely that odd behaviour is deliberately intended to be hurtful, destructive LESSONS FROM GEESE O
as each goose flaps its wings, it creates an uplift for the birds that follow; by flying in a “V”, the whole flock adds 71% greater flying range than if each bird flew alone; geese flying in formation honk to encourage those up front to keep up their speed
O
when a goose falls out of formation, it suddenly feels the drag and resistance of flying alone; it quickly moves back into formation to take advantage of the lifting power of the bird immediately in front of it
O
when a goose gets sick or wounded, other geese drop out of formation and follow it down to help and protect it. If it becomes able to fly again, the group catches up with the flock or launches out with another formation
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SURVEY: ROLE OF CHANGE AGENT O
O
O
89% agreed that ‘Managing change is an exhilarating and challenging responsibility’ just 17% agreed that ‘Change agents in my organisation can cope effectively with the ‘soft’ people issues that arise; the soft issues can often be the most demanding in terms of time and interpersonal and social skills’ and only 9% agreed that ‘The role of change agent is well defined and widely understood in my organisation’
11
Implementation Blueprint TOOLS OF THE TRADE
Support behind change programmes must demonstrate management commitment, eg: O
O
when NationsBank re-engineered the division that handles its letter-of-credit operations, two of the most experienced employees were taken off their jobs and designated as full-time trainers - offered instruction to co-workers in redesigned jobs that included self-taught manuals, case studies, lab work support need not be formal: in one division of AT&T, employee support meant greater emphasis on coaching: managers expected to devote 40% of their time to it though managers had to be regularly reminded of new coaching responsibilities
General lessons regarding the process of implementing change: O
the change process takes much longer than managers think it will
O
the process must go through a series of phases; skipping steps only creates an illusion of speed, never lasting results
O
critical mistakes in any of the phases can kill the initiative
The strategy Strategies to follow for successful implementation: O
no hard and fast rules, but hold back until major decisions finalised eg if planning to re-engineer, make sure new job designs, work-flows established - else people focus on what they imagine the change will entail vs reacting to what is actually happening O
O
O
O
O
O
O
provide the tools that people need to change people more willing to change if they know they’ll get the resources, support that will make it possible for them to do it, eg cross-training, instruction, coaching, mentoring; but must also include patience and tolerance of failure; better to offer too much support than too little; allow people full control over tasks they perform
O
use a structured approach to help employees interpret the change effort within the context of their own expectations and aspirations; one format: O O
one key lesson is that no single management style works effectively every time and for all subordinates employees usually develop a more informed understanding of their managers which helps them make adjustments in how they interact with others
implement at multiple levels simultaneously by ‘cascading’: promotes increased management buy-in to the process and makes sure that managers understand new roles, responsibilities before they conduct oneon-one sessions with direct reports; but disadvantage: cascading from one organisational level to the next slows down implementation process considerably
helps establish performance expectations during change clarifies expectations eg managers sometimes learn that they must operate differently in order to implement change better or to increase their subordinates’ desire to perform; though some might interpret this feedback as ‘managerbashing,’ most welcome it as constructive criticism they can use to develop themselves
maximise benefits for managers first anticipate potentially negative reactions and plan ways to overcome them; need to convince managers of change’s merits and what it will do for them personally eg gaining a practical tool and new skills for managing change, how much more effective they can be in their jobs, the desirable results they can achieve
ONE-TO-ONES
Benefits of holding one-toones:
establish the optimal time for implementation
O
two day training session: to learn methodology and how to make it work one-to-one (application) session: manager meets individually with each direct report, in the presence of a trained facilitator, to identify and solve motivation and performance problems team meeting: facilitator then conducts a group meeting with the manager and direct reports to discuss overall results of the session and planned changes
O
follow-up session: kept alive by manager and direct reports (usually every six months) to review written commitments
O
establish priorities for ‘To Do’ lists ie action plans from one-to-ones; both manager and subordinate must fulfill commitments; follow-up sessions should focus on how well managers, employees live up to their promises; should be no more than five items list; but managers need to prioritise from all To Do’s for direct reports by working on the most critical issues that affect the organisation; hold people accountable for their commitments
O
measure progress and communicate results when people have an opportunity to evaluate their achievements and feel good about them, they want to build on early successes and move ahead to accomplish more
12
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Implementation Blueprint
In practice Some practical tips for implementing change: O
establish a sense of urgency research: over 50% of companies fall down here; needs huge energy and direct input of senior execs - can’t be delegated; helps if a logical ‘crisis’ eg bad results
O
URGENCY
Research by INSEAD into the psychodynamics of the individual engaged in change found that: O
stop something before starting something new need to physically free up energy and resources
O
create a vision that can be explained in 3-5 minutes
O
and get people excited; seldom a sudden inspiration - can take some time to develop O
over-communicate the vision difficult to do if job losses, but successful visions include new opportunities and a commitment to treat those losing jobs well; research: repetition and continuity are the ways that shared responsibility becomes a routine management practice
O
O
look carefully at the reward system ensure that it will enhance change initiative vs obstruct it; include change criteria in the performance appraisal system eg information-sharing, sticking to agreed change process format, cross-functional working
O
systematically plan for and create short-term wins people will want to see some tangible wins in the first 12-24 months; short-term wins build motivation and buy time for change to gather pace
O
avoid declaring victory too soon often resisters will co-operate with change leaders until it seems safe to return to their old behaviour and ways of doing business
Troubleshooting
At the end of the last recession in 1991 when Midland Bank’s card and electronic banking division was suffering from poor morale among staff as rising operational costs and bad debts were neutralising increases in revenue from imposing fees on cards, senior management decided to bring all previously separate divisions together under one general manager and transform it into a profitable customer-focused business. It worked: people were cited as the key to the success of the change; key initiatives implemented to gain support: O
One of the biggest challenges is dealing with sticky moments in the middle of change: O
forecasts fall short
O
must be prepared up-front to accept serious departures from plan, provided they are acceptable for participants and overall vision is kept in mind; but if too much drift, revisit assumptions and replay implementation process O
roads curve panic arises at the first twist or turn; diversions are likely, and unwelcome; it’s a mistake to simply stop, teams must be prepared to make adjustments; scenario planning can help; the real message is to expect the unexpected
O
O
annual quality awards for staff to recognise achievement a significant sum allocated to training staff on topics such as culture change, change management, customer service regular (monthly) team meetings to keep everyone informed of the progress and issues they currently face
momentum slows when reality sinks in and solutions are few, problems are many, the multiple demands of everyone’s job are piling up, people supposed to help aren’t returning calls, the team is discouraged and enmeshed in conflict; important to revisit the team’s mission, to recognise what’s been accomplished and what remains
O
to make a move, they needed a push, in the form of a ‘focal event’ or ‘trigger’, often an event objectively viewed as minor, but subjectively experienced as significant
MIDLAND CARD SERVICES
keep the plan as flexible as possible change emerges vs following a sequence of programmed steps; plan should be a guiding document that adjusts to accommodate, keep ‘on track’ change programme
actually accepting the need for change was generally not enough for executives to take an active step towards changing their situation
critics emerge sceptics will be strongest not at the beginning of a project but in the middle; it is only then that the possible impact of the change becomes clear, and those who feel threatened can formulate objections; this is when pushing forward and signs of tangible progress, can produce more believers than doubters
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ON THE MARCH
“My mental image of the change is of a marching army; now there is a column approaching from right field and that is slowing down the army. But we can’t just stop the army. We have to absorb and reassemble on the move.” CEO Siemens Plessey 13
The Right Message COMMUNICATION RESEARCH O
O
67% agreed that ‘Changes in my organisation are assessed on results, not on whether people feel happy or not about management communications’ but 44% agreed ‘Good communications require management expertise which my organisation does not currently possess’ 67% agreed that ‘People in my organisation have seen so much change, not all beneficial to them, that their main response to communication is cynicism’
Most organisations are unable to frame the change message in a way that has personal meaning for employees - because they don’t understand what each employee expects from the change. General principles for communicating change: O
information must be intelligible by each individual employee: means describing it in the listener’s own terms - not in a ‘lower’ or more simplified form, but in a way which makes it relevant to the particular employee O
O
14
make messages as complete and as explicit as possible highly selective information, ie plain that managers are being less than open, or not giving the full story, leave people feeling all they’re expected to do is listen and do what they’re told, and that any personal concerns they may have don’t matter; where confidentiality is an issue, it needs to be made explicit with the reasons why
Change communication - ‘selling it in’ O
put the need for the change and the desired end result in writing disseminate document to let people see concept has been well thought through
O
never denigrate the past many managers ridicule old ways of doing things, hardening resistance against the transition; managers need to show how endings ensure continuity of what matters
O
it’s not enough to communicate through memos, newsletters, meetings especially if message contains emotional content; needs one-to-one exchange
O
announce the change as quickly as possible so rumour mill doesn’t grind out stories that aren’t true, but hard to deny
O
give reasons tell people why change is important and how it affects them, eg work better, faster; if reasons disguised, people will be doubly antagonistic when they learn the truth
O
explain what change means to each individual, and how it affects their job lay out benefits and pledge to protect people against losses; if some employees must learn new skills or fill new jobs, let them know they’ve been selected to help because of their special abilities
EXCITEMENT LOST
When the Principal Finance Group re-engineered its Individual Insurance Dept in the early ’90s, a Communications Action Team was set up, special newsletters and reports were distributed, and ‘town meetings’ were conducted during lunch hours to give employees a chance to pose questions and raise concerns. But over time the organisation’s leaders became sidetracked by the more immediate problems they faced, and they became less diligent at sustaining the dialogue that they had initially envisioned. Result: the planned benefits of change were never realised.
‘telling’ is not enough communication process must work both ways: people don’t always listen when the message represents change - message sent is not always message received; skill is in encouraging dialogue, and feedback: pretending to be in employees’ shoes is less effective than getting people to express themselves
CASCADING
ABB Calor: “One of the most important things is to set targets and get the targets accepted by a wide range of not only managers, but employees ... the target-setting is the executive’s task, but we try to encourage the other managers to communicate in teams and to discuss the targets and possible ways of achieving them. The point is not to tell them. The point is to communicate with them: that means in groups of 10-15 people and normally we use what we call in German a ‘snowball system’ - a cascade through the opinion leaders first because they are most influential, then on to the others. If we don’t get a reaction or a hard discussion, then we know the change won’t work. They have just said yes, but are not committed.”
try to see things from the employee’s point of view
O
invite participation but don’t use participation to make arbitrary changes acceptable; if you only pretend to need people’s help, they’ll sense your patronising attitude
O
avoid trivial changes, and surprises may be more convenient to move filing cabinet four feet to the left, but if it causes a fight don’t bother; for important changes lay the groundwork: start with problems created by the old method, then suggest ‘Let’s try this and see how it works’
O
be careful with status every workplace has status symbols that are zealously sought and guarded; don’t let change inadvertently let one employee’s status build at the expense of another’s
O
allow plenty of time for adjustment nothing can be an instant success; it takes a while for people to adjust to change and get back to peak performance
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Evaluating Change In assessing the results of change, two principles to bear in mind: O
change is not a one project effort: it should become embedded in the organisation
CULTURE SHIFT O
as a permanently altered state, and that helps build a capability to continually respond to changing demands of the marketplace O
‘deep’ change is in fact a cultural evolution: it’s not easily measurable by
O
dramatic changes in bottom-line results, but by shifts in people’s behaviour over time Still, it is important to measure the effectiveness of change, or the success of a change effort which consumes enormous energy and investment will remain a fuzzy, qualitative outcome which ultimately loses its motivational and performance-enhancement appeal.
O
According to research, the key is to assess progress; the financial results will come: O
don’t judge success or failure based on early outcomes appreciate that profound change takes time; developing new capabilities is a matter of discipline - of regular practice with particular tools and methods, probably over a course of years (vs months)
O
culture programmes have attracted much criticism, as being expensive and slow in delivering results, and as another example of a management fashion one extreme: to ‘help’ staff make the change towards a new culture, the chief of US Dana Corporation chose action rather than words to convey his point. In a management meeting he: O
O
don’t promise better results than you need to promise building up unrealistic outcomes reinforces expectations of quick fixes - managers always want to pull up radishes to see how they’re growing
O
recent study: 95% agreed that ‘Changing an organisation’s culture can be a slow and painful process’
learn to recognise and appreciate progress as it occurs
piled all the company manuals on a table then swept them onto the floor, held up a single sheet of paper on which the corporate principles were typed, declaring “These are our new principles now”
establishing interim goals, which could be modest but meaningful targets, can help people gauge progress along the way O
watch for unanticipated accomplishments which may go unappreciated when they occur; keep a record of the shifts over time in people’s views by, for example, regularly surveying views and opinions using the same questions from one period to the next; discuss feedback with people
O
ASSESSING FOR LEARNING O
focus less on ‘evaluation’ more on ‘learning’ talk about the criteria for success or failure, and how to cultivate vs drive change
Evaluation checklist Not enough to record an answer to each of the questions below; need to develop clear action plans based on a realistic team assessment of performance: - How soon are benefits becoming apparent? - How apparent to people are the benefits? - Are effects measurable in quantitative terms?
O
Toyota has extensive systems of metrics in their production facilities yet no standardised cost accounting system used for centralised management control. Their entire measurement philosophy is geared to assessing and measuring for learning American Home Products CEO asks each participant in a change team to write him a letter describing the experience and suggesting how they might use what they’ve learned in future
- Is the change making jobs more rewarding, both in satisfaction and financially? - Are employees behaving in a more innovative, and independent way? - Can people directly affected give a full description of the business, strategic plan? - Is the change viewed by end-users as crucial to the organisation’s future? - Has top management committed sufficient resources to the changes? - Are problems with the change discussed openly? - Are areas of improvement being identified? - Do people, including change leaders, admit stress is rising and work it through? - Has enough time been allowed for the change? The Human Side of Change - The People at Work Series Entire contents Copyright Bulletpoint Communications Limited. All rights reserved. Reproduction in any form is unlawful.
FINAL THOUGHTS
“…the end of all our exploring Will be to arrive where we started And know the place for the first time.” TS Eliot “Nothing endures but change.” Heraclitus, Greek philosopher 15
R e f e re n c e s & F u r t h e r R e a d i n g
FOCUS R E P O RT S
Big Change - A Route-Map for Corporate Transformation* P Taffinder John Wiley & Sons 1998
The People at Work Series
The Change Monster:The Human Forces that Fuel or Foil Corporate Transformation and Change* J Daniel Duck Crown Business 2001
Upcoming Reports:
Change Triggers Loss EL Berman Industrial Management January/February 2001 Changing Management:The Recipe for Success M Douglas The British Journal of Administrative Management January/February 2001
O
Building and Retaining Knowledge
O
Leading Teams
O
Coaching Skills
O
Positive Appraisals
O
Recruiting Effectively
The Dance of Change* P Senge, A Kleiner, C Roberts et al Nicholas Brealey Publishing 1999 The End of Change* P Scott-Morgan, E Hoving, H Smit & A van der Slot McGraw-Hill 2000 The Enduring Skills of Change Leaders R Moss Kanter The Peter E Drucker Foundation for Nonprofit Management - www.pfdf.org Summer 1999 The Gentle Art of Selling Change T Pollock Supervision December 2000 How Subversive Are You? I Cunningham Professional Manager May 2001 How to Change B Gunn Strategic Finance April 2001 Human Lessons from the M&A Wars J Gemignani Business and Health March 2001 Learning for a Change AM Webber Fast Company May 1999 Managing Change in Organisations* CA Carnall Prentice Hall Europe 1999 Motivation, Beliefs, and Organisational Transformation* TB Green & RT Butkus Quorum Books 1999 Organisation Development and Change* T Cummings & C Worley South Western College Publishing 1997
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Organisation Development and Change: the Legacy of the Nineties D Buchanan, T Claydon & M Doyle Human Resource Management Journal 1999
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Terms of Engagement: Changing the Way We Change Organisations RH Axelrod The Journal for Quality & Participation Spring 2001 Twelve Principles for Managing Change www.lynco.com * Indicates books The Human Side of Change is published by Bulletpoint Communications Limited, Funress House, 53 Brighton Road, Redhill, Surrey RH1 6RD, UK.Tel: +44 (0)1737 231431. Fax: +44 (0)1737 231432. Entire contents Copyright Bulletpoint Communications Limited.All rights reserved. Reproduction in any form is unlawful. This publication reflects a synthesis of the references listed. Any opinions expressed in this publication are not necessarily those of Bulletpoint.Bulletpoint may occasionally make its subscriber list available to top quality third parties;please contact us if you do not want to receive their information. Cover photograph supplied by Telegraph Colour Library
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Most business books and articles - and for that matter academics and consultants - that deal with change focus only on the success stories. In their efforts to outline an easy-to-follow recipe for renewal they fail to take into account that change: O
carries significant risk - many firms collapse during change, or get swallowed up in the confusion and chaos that typically follows
O
is far messier than simplistic models for managing it imply
O
encompasses more than slogans, meetings, incentives, investments
O
to many people means yet again hearing ‘do more with less’
Such oversight may explain why many managers fail to recognise the profound impact that change can have on human lives - whether the change is organisationwide or within a small work team, whether changing a marketing method or relocating a business unit. This report is about the emotional intensity of the change experience, and how to manage the fear, apprehension and turmoil it brings.
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