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AUMA - Municipal Sustainability Planning Workshop

“Laying The Groundwork For Successful Change, One Person At A Time”
Presented By: Greg Weiss CORVUS Business Advisors April 20th, 2007

AUMA

Workshop Objectives
ƒ Understand the value and necessity of proactive change management processes ƒ Understand the key elements of the change management plan ƒ Understand what change issues other municipalities anticipate as it relates to development and implementation of municipal sustainability plans

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Organization Readiness Fundamentals 5. Readiness Assessment Articles And Tools 8.Do’s and Don’ts 7. Introduction ƒ ƒ ƒ ƒ ƒ ƒ ƒ ƒ ƒ ƒ ƒ ƒ ƒ What Is Change Management Municipal Sustainability Change Management Dimensions The Track Record of Large Scale Business Transformations Organization Readiness… A Changing Perspective What Is The Impact Of Municipal Sustainability Changes Without Organizational & Community Readiness? The Magical Thing Called “Internalization” Change Management Focus Areas Or “Levers” Applying Doppelt’s Seven Blunders and Solutions Elements of Successful Change Methodology Compliance-base Change versus Value-based Change Fostering Organization Readiness Champions Your Role As Readiness Ambassador 3. Objectives. The Origins Of Organization Readiness 4. & Agenda 2. Q&A AUMA . Organization Readiness Planning 6. Summary . Opening Remarks.Agenda 1.

and proactively identifying and mitigating the causes of resistance. Its acknowledging that resistance to change is natural..the theterm termOrganization OrganizationReadiness Readinessis isoften oftenused usedinterchangeably interchangeably with Change Management with Change Management AUMA . or ƒ The process used to manage scope (i. the change control process) ƒ The “art” of managing change is all about proactively positioning an organization to be ready.What Is Change Management? ƒ Change Management is NOT: ƒ Training (although good training is certainly one element of organization readiness) ƒ “Spinning” a good story to convince employees and avoid resistance. able to successfully adopt the business change being implemented. To Toavoid avoidconfusion. willing. confusion.e.

willing.Municipal Sustainability Change Management Dimensions ƒ From the perspective of municipal sustainability planning. we will think about change management along 2 key dimensions: 1.proactively positioning the municipal employees to be ready. Municipal organization readiness .the theterm termOrganization Organization& &Community CommunityReadiness Readinesswill willbe be used interchangeably with Change Management used interchangeably with Change Management AUMA . Community readiness . able to successfully adopt the changes being implemented as a result of the municipal sustainability plan. today. willing.proactively positioning citizens to be ready. For Forour ourpurposes purposeshere heretoday. 2. able to successfully adopt the changes being implemented as a result of the municipal sustainability plan.

municipal sustainability plans also seek to change the with individuals think about long held mental models (e. AUMA . ƒ Transforming an organization and community with deeply ingrained beliefs. and behavioural patterns is daunting! To ’ ’must Tobe besuccessful successful‘change ‘changemanagement/organization management/organizationreadiness readiness mustbe bean an integral component of each municipal sustainability plan.Change Management…A Vital Component Of The Municipal Sustainability Plan ƒ Some business transformations seek to implement new business processes or new technology ƒ However. values. integral component of each municipal sustainability plan.g. environmental sustainability)..

ƒ An Economist survey (1994) reported that 85% of re-engineering initiatives achieved little or no results.The Origins Of Organization Readiness Organization Readiness Solution Implementation Desired Business Objective Ineffective Ineffective Effective I II III IV Failure Failure Failure Success II III Effective I IV Unfortunately. and behaviours of employees. and behaviours of intact employees. ƒ A Cameron Group survey (1997) reported that 75% of TQM initiatives achieved no success what so ever. Many actually experience negative results! Why? Because these initiatives failed to change the underlying thought patterns. Failure to modify thinking and perspectives (i. The Track Record Of Large-scale Transformations Is Poor: Unfortunately.e. outlooks. culture) permits old decision-making and activity patterns to remain modify thinking and perspectives (i. The Track Record Of Large-scale Transformations Is Poor: ƒ A Gartner Group survey (1999) reported that 9 of 10 ERP initiative were deemed to be failures. ƒ A Gartner Group survey (1999) reported that 9 of 10 ERP initiative were deemed to be failures.e.. outlooks. Many actually experience negative ƒ results! An Economist survey (1994) reported that 85% of re-engineering initiatives achieved little or no results. ƒ A Cameron Group survey (1997) reported that 75% of TQM initiatives achieved no success what so ever.. culture) permits old decision-making and activity patterns to remain intact AUMA . Failure to Why? Because these initiatives failed to change the underlying thought patterns.

Roles = Significant Significant “CHANGE”!! “CHANGE”!! Therefore.doing things the same way. and expecting a different result.proactive proactive organization readiness organization readiness AUMA .” 2000+ View: Modified / New Policies Implementing A Change Modified / New Technology = Modified / New Processes / Practices Modified / New Organizations.A Changing Perspective 1990’s View: Implementing A Change = New Toolset To Support Day-ToDay “Operations” = “A sprinkling of “A sprinkling of communications and a dab communications and a dab of training” of training” “The definition of insanity is…. Therefore. People.

in fact they can sometimes it is less efficient (e.What Is The Impact Of Municipal Sustainability Changes Without Organization & Community Readiness? ƒ Uptake is weak / slow and organization and/or community do not implement the municipal sustainability strategies as intended ƒ Continue to do things “the way we’ve always done it” ƒ As a result: ƒ Continue to operate (and pay for) old practices. ƒ Resource utilization is no more efficient than before.g. processes.. entering data into both new systems and shadow systems) ƒ Morale suffers and often the organization and community loses confidence in leadership ƒ Total cost of “doing business” actually increases AUMA . technologies etc.

Awareness of Change I. Adoption V. Understand the Change II. Contact Disposition Threshold Preparation Phase Confusion Negative Perception Decision not to Attempt/Support Installation Change Aborted After Initial Utilization Change Aborted After Extensive Utilization Unawareness TIME AUMA .This Magical Thing Called “Internalization” Degree of Support for the Change VIII. Installation IV. Positive Perception Commitment Threshold Acceptance Phase III. Institutionalization VI. Internalization Commitment Phase VII.

Organization Readiness Focus Areas Or “Levers” Vision Clarity Powerful Business Case Pay & Performance Alignment Change Leadership & Accountability Staffing & Deployment Organization Structure Alignment Change Readiness / Aligned Culture Education & Change Staff Specific Development Communications AUMA .

Applying Doppelt’s Seven Blunders and Solutions: Powerful Business Case Vision Clarity Powerful Business Case Pay & Performance Alignment Change Leadership & Accountability Staffing & Deployment Organization Structure Alignment Change Readiness / Aligned Culture Education & Change Staff Specific Development Communications Sustainability Blunder: Patriarchal thinking that leads to a false sense of security ƒ Organizations are addicted to the directives of higher authorities and no one meaningfully challenges the linear economic paradigm Sustainability Solution: Change the dominant mindset through the imperative of achieving sustainability. AUMA . ƒ Disrupting an organization's mental model is the first step toward the development of new ways of operating.

Applying Doppelt’s Seven Blunders and Solutions: Organization Structure Alignment Vision Clarity Powerful Business Case Pay & Performance Alignment Change Leadership & Accountability Staffing & Deployment Organization Structure Alignment Change Readiness / Aligned Culture Education & Change Staff Specific Development Communications Sustainability Mistake: A silo approach to environmental and socio-economic issues ƒ Because no single unit can identify all of the ways in which municipal services. policies. the status quo is perpetuated Sustainability Solution: Rearrange the parts by organizing sustainability transition teams ƒ This “shake-up” is important because planners and decision makers often surround themselves with like-minded people. and processes affect the environment or social welfare. or may feel threatened by change. do not trust the unknown. AUMA .

Applying Doppelt’s Seven Blunders and Solutions: Vision Clarity Vision Clarity Powerful Business Case Pay & Performance Alignment Change Leadership & Accountability Staffing & Deployment Organization Structure Alignment Change Readiness / Aligned Culture Education & Change Staff Specific Development Communications Sustainability Blunder: No clear vision of sustainability ƒ Without a clear vision. AUMA . often assume that being in compliance with the law is the sole purpose of their policies Sustainability Solution: Change the goals by crafting an ideal vision and guiding sustainability principles ƒ Change the goals and different kinds fo of decisions and outcomes will follow. organizations (and the individuals that make up the organizational “system”). this requires a clear depiction of the new ends the organization seeks to achieve and guidelines for how decisions should be made to achieve them.

.g. emissions and discharges) not the true sources of sustainability challenges Sustainability Solution: Restructure the rules of engagement by adopting new strategies ƒ How sustainable are we now? How sustainable do we want to be in the future? How do we get there? How do we measure progress? AUMA .Applying Doppelt’s Seven Blunders and Solutions: Education Vision Clarity Powerful Business Case Pay & Performance Alignment Change Leadership & Accountability Staffing & Deployment Organization Structure Alignment Change Readiness / Aligned Culture Education & Change Staff Specific Development Communications Sustainability Mistake: Confusion over cause and effect ƒ Focus on symptoms (e.

ƒ How sustainable are we now? How sustainable do we want to be in the future? How do we get there? How do we measure progress? AUMA .Applying Doppelt’s Seven Blunders and Solutions: Communications Vision Clarity Powerful Business Case Pay & Performance Alignment Change Leadership & Accountability Staffing & Deployment Organization Structure Alignment Change Readiness / Aligned Culture Education & Change Staff Specific Development Communications Sustainability Mistake: Lack of information ƒ Most organizations fail to communicate effectively about the need for and the purpose. vision. and expected outcomes of their sustainability efforts. and strategies for achieving sustainability. Sustainability Solution: Shift information flows by tirelessly communicating the need. strategies.

AUMA . ƒ The adoption of new learning mechanisms leads to wholesale changes of traditional feedback systems that are oriented toward maintaining the status quo.Applying Doppelt’s Seven Blunders and Solutions: Pay & Performance Alignment Vision Clarity Powerful Business Case Pay & Performance Alignment Change Leadership & Accountability Staffing & Deployment Organization Structure Alignment Change Readiness / Aligned Culture Education & Change Staff Specific Development Communications Sustainability Mistake: Insufficient mechanisms for learning ƒ When employees are given limited opportunities to test new ideas. and when they receive few rewards for doing so. not much learning occurs. Sustainability Solution: Correct feedback loops by encouraging and rewarding learning and innovation.

Sustainability Solution: Adjust the parameters by aligning systems and structures with sustainability. AUMA .Applying Doppelt’s Seven Blunders and Solutions: Pay & Performance Alignment Vision Clarity Powerful Business Case Pay & Performance Alignment Change Leadership & Accountability Staffing & Deployment Organization Structure Alignment Change Readiness / Aligned Culture Education & Change Staff Specific Development Communications Sustainability Mistake: Failure to institutionalize sustainability ƒ Few organizations have incorporated sustainability in their core policies and procedures.

Elements of Successful Change Incentives: Vision ƒ ƒ ƒ ƒ Business Case Leadership Accountability Pay Alignment People: ƒ Skills ƒ Org Alignment Resources Action Plan Successful Change Incentives People Resources Action Plan Confusion Gradual Change Anxiety Vision People Resources Action Plan Vision Incentives Resources Action Plan Vision Incentives People Action Plan Frustration Vision Incentives People Resources False Starts AUMA .

ƒ Promote involvement in the change process by working with change leaders to manage implementation risk.Purpose Of The Organization Readiness Plan ƒ Prepare your organization for what is necessary to successfully implement a successful Municipal Sustainability Plan. AUMA . ƒ Create change leaders in your organization and community that are charged with the responsibility for managing the transition. ƒ Monitor the effectiveness of the change effort and adjust plans as needed.

2 Readiness Analysis 3.3 Communications Analysis 3.1 Translate Change Into Future State Context 2.5 Change Management Infrastructure AUMA .2 Identify Change Successes & Failures 1.1 Transition Evaluation & Adjustment 5. Test & Deploy Change Framework 1.1 Assess Human & Technical Objectives Stakeholder Analysis Implement Readiness Plans 1.2 Develop Change Management Processes & Tools 2.Organization Readiness Phases & Activities Assessment & Planning Design Build.1 Readiness Analysi s Readiness Planning 3.3 Evaluation Report 1.3 Communications Plan 4.3 Build Sponsor Understanding & Commitment 2.3 Adjust Readiness Master Plans (if required) 5.2 Monitor Change Management Risk Factors 5.2 Master Plan 4.4 Identify Change Leaders 3.4 Readiness Measures 4.1 Readiness Strategies & Approach 4.4 Ongoing Change Management Framew ork 3.4 Track Measures & Report Results 5.

redesign structure and consequences that align behaviour with the future state vision Value-Based Commitment Involve people to design and implement planned changes that build new. innovative ways of getting results AUMA .Compliance-Based Commitment Phase in incentives and measures.

Fostering Change Leaders Your Organization Your Community AUMA .

manifest their commitment publicly. ƒ Seek out and understand the time. ƒ Continually monitor organization and community readiness and progress toward the change objectives. ƒ Seek out and understand how the proposed change will affect your area. ƒ Assess your area’s state of readiness. Monitoring help with early identification of any implementation problems that may exist. Effective ambassadors understand the complex web of relationships that make up their organization and understand how the proposed change will affect these areas. In most organizations. Sponsorship must be cascaded down an organization. therefore. Effective ambassadors must also be willing and able to commit their time and energy to organization readiness activities. ƒ Be a public champion. Skillful “behind the scenes” action communicates that the ambassador is not just paying lip service to the change project. that which is measured and rewarded gets accomplished. And be willing to commit. Effective management of change implementations are incumbent upon knowing where organizational readiness needs to be improved and how.How To Be An Effective “Ambassador” For Sustainability-Related Change ƒ Obtain and maintain as clear a picture as possible of the Future State. A change in one area often results in a significant impact on other areas. Ambassadors must. and people resources necessary for the implementation of change. ƒ Meet with key individuals or groups privately throughout the change process to ensure their continued support for the change. thereby allowing proper action to be taken. but the target audience must have a sense that the change has been legitimized at the top. AUMA . The effective ambassador will be consistently aware that the organization cannot afford to fail at the change because the status quo is too costly. ƒ Manage consequences and use thee existing system of rewards to publicly align behaviours with the change. money.

Create awareness FIRST.Do’s and Don’ts ƒ Take a proactive approach to identifying and managing change resistance. something is wrong and change risk goes up dramatically. AUMA . Cannot skip steps. ƒ Move target audiences up the internalization curve one step at a time. Avoid spending all your time on technical issues at the expense of developing and implementing a proactive organization readiness effort. ƒ Most significant initiatives like municipal sustainability represent a fundamental change to the way your organizations and community live. work. Resistance doesn’t “go away” with time. ITS NOT! Resistance to change is natural. understanding SECOND. If they’re not. Leaders at all levels must be ENGAGED. and must engage others. ƒ Avoid the “technical black hole”. The development of a technically sound solution is only half of what it takes to achieve implementation success. ƒ Don’t confuse change management with “selling”. and positive perception LAST. and play.

Organization Readiness Articles And Tools AUMA .

Discussion / Q&A AUMA .

com AUMA . CORVUS Business Advisors (780) 428-4110 (x24) gweiss@corvusbusinessadvisors.Thank-You. Greg Weiss Partner.