1. 8 STEPS AND STAKEHOLDERS MGMT ADAPTED FROM ELECTROLUX TRAINING TO MCPS. Change Management for MCPs

2. Why do we do change management? Because people resist change

3. Why people resist changes? Misunderstanding about the need for change/the reason for change is unclear —you can expect resistance especially from those who strongly believe the current way of doing things works well. Fear of the unknown: People will only take active steps toward the unknown if they genuinely believe – and more importantly, feel– that the risks of standing still are greater than those of moving forward in a new direction. Lack of competence —Seldom admit. But sometimes, change in organizations necessitates changes in skills Connected to the old way — If you ask people in an organization to do things in a new way you will be setting yourself up against all that hard wiring, all those emotional connections to those who taught your audience the old way – and that’s not trivial. We as AIESEC have an advantage here Low trust — When people don’t believe that they can competently manage the change. Temporary fad — When people belief that the change initiative is a temporary trend

4. Why people resist change? Not being consulted — If people are allowed to be part of the change there is less resistance Poor communication — It’s self evident isn’t it? When it comes to change management there’s no such thing as too much communication. Changes to routines — When we talk about comfort zones we’re really referring to routines. We love them. They make us secure. Exhaustion/Saturation — Don’t mistake compliance for acceptance. People who are overwhelmed by continuous change resign themselves to it and go along with the flow. You have them in body, but you do not have their hearts. Motivation is low. They are not change thrivers. Change in the status quo —if people believe the change favours another group/area/person there may be (unspoken) anger and resentment Benefits and rewards — When the benefits and rewards for making the change are not seen as adequate for the trouble involved

5. People reactions to change Classic psychological reactions to change:

6. 6 In change Management: Not everyone is the same! Who? -> Stakeholders How? -> Channels & Forms What? -> Purpose/ Message

7. 7 Analyze stakeholders to determine degree of interaction Differences in stakeholder involvement depends on power of influence and level of interest. Keep informed (Some legislative matters) Should be aware (MC Teamdays agenda) Should be heard (Agenda Conferences) Should be involved (Some legislative Matters) Power of influenceLevel of interest Small/Low (1) High (4)

8. 8 Stakeholder management template List the stake- holder Stakeholder opinion of project (happy, indifferent, unhappy) Stakeholder “Power of influence” and grade 1-4 (4 is the most influential) Stakeholder “Level of interest” and grade 1-4 (4 is the highest interest) Activities / actions to handle stakeholder Responsible person to carry out the activity/ action Due

9. 9 How to lead change? 8 steps by J.P. Kotter 1. Establish a sense of urgency 2. Create the guiding coalition (LCPs, EBs) 3. Develop a vision and strategy 4. Communicate the change vision 5. Empower people for broad-based action (remove obstacles). 6. Generate short-term wins 7. Consolidate gains and produce more change 8. Anchor new approaches in the culture

10. 10 1. Establish a sense of urgency How do you establish a sense of urgency? It’s true but we emphasize communication wise.  Create a feeling of crises  Set targets as high as they cannot be reached by conducting business as usual  Stop “happy talk”  Widely communicate to people on future opportunities and rewards related to them

11. 11 How do you characterize an effective guiding coalition? How can you create an effective guiding coalition? 2. Create the guiding coalition

12. 12 2. Create the guiding coalition How can you create an effective guiding coalition? Find the right, people ( Whom? -> Target Group)  Strong power positions, broad expertise, high credibility  Leadership and management skills Create Trust  Teambuilding activities  Communication activities Develop a common goal  Sensible to the head  Appealing to the heart

13. 13 3. Develop a vision and strategy: Why and How Strategy Vision Plans/ short-term objectives Operational things: Budgets, HR A sensible and appealing picture of the future A logic for how the vision can be achieved Specific steps and timetables to implement the strategies Plans converted into financial projections and goals A vision and strategy for change

14. 14 3. Develop a vision and strategy How can you create an effective vision? Make a first draft Involve a guiding coalition (LCP Summit yaaayyy!!) Do it in a team! Remember:  The process may be messy and timely  Make the end product close to the head and the heart

15. 15 4. Communicate the change vision 15 Who? -> Stakeholders How? -> Channels & Forms What? -> Purpose & Message What do you need to think about when communicating the change vision?

16. 16 5. Empower members for a broad-based action Members want to act, but are boxed in… Organization Formal and non-flexible structures Technology Myaiesec.net People Leaders who discourage actions Processes A lack of needed process skills

17. 17 5. How can you overcome barriers to broad– based action? Communicate a sensible vision to your members Provide training Approach leaders who undercut change

18. 18 6. Generate short-term wins Why create short-term wins? To assess the viability of the vision and strategy To achieve concrete results To provide evidence that sacrifices are worth it To motivate & reward team members To undercut resistance To keep members & management focused

19. 19 Change leads to more change, it reinforces itself until consolidation Careful with early wins, false sense of victory Organizations like AIESEC need a broader coalition & wider stakeholder management. Leadership from top management is needed Think outside of the box 7. Consolidate gains and produce more change

20. 20 How can you make the change stick? Make sure people have the right:  knowledge  attitude  behavior Change needs to be embedded in the culture. 8. Anchor new approaches in the culture cont.

21. My insights Teach your guiding coalition people have a guiding coalition of their own (LCP with LCEBs and MCVPs with LCVPs and so on…) Change management is not about luck! It’s about careful planning and execution! As change agents, guess what… we should specialists in change management ;)! Change management is an exciting and thrilling process!

22. 22 How to lead change? 8 steps by J.P. Kotter 1. Establish a sense of urgency 2. Create the guiding coalition (LCPs, EBs) 3. Develop a vision and strategy 4. Communicate the change vision 5. Empower people for broad-based action (remove obstacles). 6. Generate short-term wins 7. Consolidate gains and produce more change 8. Anchor new approaches in the culture

23. Thank you!