Delos Approach to Strategic Change Management © The Delos Partnership 2004

Understanding Change Change requires ‘Unfreezing’ the current, known reality ‘Transforming’ to a future Vision not perfectly clear ‘Refreezing’ into the future state © The Delos Partnership Future Vision Current Crisis Future State Future State

What is Change? © The Delos Partnership Red’s Good Why Change?

‘Change’ starts when... people first realise what they thought was going to happen…is no longer going to happen © The Delos Partnership Green maybe better!

Effective Change Management Needs two key elements : Lever the need to change Offset the barriers to change © The Delos Partnership

Effective Change management © The Delos Partnership 2004 Effective Change Management leverages the drivers and enablers of change 6 Urgency/need Compelling Vision Strong Methodology Communications

Effective Change Management Offsetting the equal and opposite forces blocking it © The Delos Partnership Compelling Vision Strong Methodology Lack of Commitment Conflicting Goals/Values Mis-understanding ResistanceUrgency/need Communications

Integration the right blend! © The Delos Partnership CULTURE/ BEHAVIOUR TECHNOLOGY WAYS OF WORKING

When to apply Change Management? The earlier and more consistently Change Management is used in the project life-cycle, the more competitive advantage is yielded © The Delos Partnership

Principles of Change Management 1.Plan 2.Assign responsibility 3.Ask – don’t tell 4.Involve 5.Communicate 6.Seek Resistance 7.Align the culture 8.Focus on the imperatives 9.Be enthusiastic about the change © The Delos Partnership

Successful change – 8 steps 1.Establish a sense of urgency – the burning platform 2.Create a guiding coalition 3.Develop a vision and strategy to get there 4.Communicate the vision 5.Train, Educate & Empower the team 6.Generate short term wins – step by step 7.Consolidate the wins and develop more changes 8.Anchor the new approach into the culture © The Delos Partnership

Dealing with Resistance to Change © The Delos Partnership Education + Communication Where there is a lack of information or inaccurate information and analysis Once persuaded, people will often help with the implementation of the change Can be very time- consuming if lots of people are involved Participation + Involvement Where the initiators do not have all the information they need to design the change, and where others have considerable power to resist People who participate will be committed to implementing change, and any relevant information they have will be integrated into the change plan Can be very time- consuming if participators design an appropriate change Facilitation + Support Where people are resisting because of adjustment problems No other approach works as well with adjustment problems Can be time-consuming, expensive and still fail ApproachSituationsAdvantagesDrawbacks See Notes 2.4

Change Management Wheel © The Delos Partnership Urgency 2. Coalition 4. Communication Programme 5. Empowerment Action Plans 6. Short Term Wins 7. Consolidation & More Change 8. Embed new Culture 3. Vision

What happens to people during change? © The Delos Partnership See Notes 2.11

Productivity Curve – Three Phases of Transition © The Delos Partnership Present/EndingsTransformationsDesired New Beginnings Denial Anxiety Shock Confusion Resignation Anger Creativity Conflict High stress Realization of loss Acceptance Hopeful Relief Excitement Trusting Enthusiasm Reconcile Recommit Reorient Time - Productivity & Morale +

Delos Change Journey © The Delos Partnership MobiliseDesignCommunicateReviewUnderstandASSESSASSESS EDUCATION STRATEGY & DESIGN DEFINE & MEASURE BENEFITS ORGANISATION SYSTEMS

Obstacles on the journey © The Delos Partnership Sudden depth scare Scope crisis No 3 Sponsor switch Informed resistance Real world shock Eva- luation avoid- ance Early results disappointment Ownership struggle Scope crisis No 2 Test of nerve Smoke and fire Wet blankets Scope crisis No 1 Sponsor- ship fights Resource draining Sniping & rumours New challenge panic Loss Shock over early failures Imple- mentation crawl ExecutiveTeam MiddleManagers Employees ProjectTeam MobiliseDesignCommunicateReviewUnderstand

Involvement Encourage involvement  People validate that which they create Encourage participation and feedback Create synergy and ‘buy in’ Develop common purpose © The Delos Partnership

REMEMBER… © The Delos Partnership 2004 PEOPLE VALIDATE THAT WHICH THEY CREATEPEOPLE VALIDATE THAT WHICH THEY CREATE 19

Key factors for success Commitment from Senior Management Knowledge widely distributed Enthusiasm affects everyone Leadership  From the top  From the bottom  From within © The Delos Partnership