Change Management|Business & Finance
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We are most of the time resistant to change
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Change in your organization—Getting started
4 Ps Group Exercise (15 min)
Decide on 1 major org change within the group
On flip chart paper create 4 columns
Project Name- what is the project?
Purpose- why are we changing?
Particulars- what are we changing?
People- who will be changing?
4Ps Continued
Project Name Purpose Particulars People
Finally, consider:
What % of the Purpose is dependent on the People doing their jobs differently?
Change Models to Consider
Diffusion of Innovation and Attributes of Change Success (E. Rogers)
Adoption of change will vary among groups
Considerations for predicting success of the change
8 Steps for Leading Change (J. Kotter)
Moving forward and enacting the change
Roger’s Diffusion of Innovations
Roger’s Diffusion of Innovation
Dancing Man
Video
Roger’s Diffusion of Innovation
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5 Attributes that Determine the Success of the Change
Relative Advantage
Compatibility
Complexity
Trialability
Observability
Roger’s Diffusion of Innovation
Why do certain innovations spread more quickly than others?
Why do others fail? Diffusion scholars recognize five qualities that determine the success of an innovation.
Relative Advantage
The degree to which an innovation is perceived as being better than the idea it supersedes
“ How will this make my life easier/better?”
Roger’s Diffusion of Innovation
This is the degree to which an innovation is perceived as better than
the idea it supersedes by a particular group of users, measured in
terms that matter to those users, like economic advantage, social
prestige, convenience, or satisfaction. The greater the perceived
relative advantage of an innovation, the more rapid its rate of
adoption is likely to be.
Compatibility
The degree to which an innovation is perceived as consistent with the existing values, past experiences, & needs of potential adopters
“How well does it fit?”
Roger’s Diffusion of Innovation
This is the degree to which an innovation is perceived as being
consistent with the values, past experiences, and needs of potential
adopters. An idea that is incompatible with their values, norms or
practices will not be adopted as rapidly as an innovation that is
compatible.
Complexity
The degree to which an innovation is perceived as relatively difficult to understand and use
“If you can’t explain it, they won’t try it.”
Roger’s Diffusion of Innovation
This is the degree to which an innovation is perceived as difficult to
understand and use. New ideas that are simpler to understand are
adopted more rapidly than innovations that require the adopter to
develop new skills and understandings.
Trialability
The degree to which an innovation may be experimented with on a limited basis
“Can I try it out before I buy it?”
Roger’s Diffusion of Innovation
This is the degree to which an innovation can be experimented with
on a limited basis. An innovation that is trialable represents less
uncertainty to the individual who is considering it.
Observability
The degree to which the results of an innovation are visible to others
“But so-and-so is doing it.”
Roger’s Diffusion of Innovation
This is the degree to which an innovation can be experimented with
on a limited basis. An innovation that is trialable represents less
uncertainty to the individual who is considering it.
Using the change from the 4Ps exercise, discuss:
How does it relate to Roger’s Diffusion of Innovation?
Use the worksheet template provided as a checklist to determine if the change can meet the 5 attributes for successful change
Group Exercise (10 Minutes)
Roger’s Diffusion of Innovation
Use worksheet
Kotter’s 8 Steps for Leading Change
Step 1: Creating a Sense of Urgency
This is the “why” (Remember Sinek video)
Step 2: Putting Together a Guiding Team
Individuals are better at generating ideas, but groups are better at evaluating them
Diversity is key to avoid groupthink
Kotter’s 8 Step Process for Leading Change
Step 1
Complacency happens to be the default state of the human brain
We prefer to be safe rather than sorry
This makes change difficult on both a personal and organizational level
OSUHS made a video showing an angry parent whose daughter died because of medical error that could have been prevented if patient’s information was stored electronically
“aim for the heart”
Connect to the deepest values of the people and inspire them to greatness
If left to its own devices, the human brain reverts to the status quo.
leading with excitement, inspiration, and vision, discovering the strengths of teams and team members, bringing honest feedback to the forefront, taking risks, and making the fear visible to get people out of their inertness are all ways to lead change.
Step 2
Possible reference to the listening exercise?
Possible reference to Myers-Briggs temperament types?
i.e.. A ‘feeler’ will be helpful with the way communication will be perceived
Possible reference to effective teams and Tuckman’s stages
Kotter’s 8 Steps (continued)
Step 3: Getting the Right Vision and Strategy
Focus on the why and the how…the what will follow naturally.
What is the mission statement? The practices should support that.
Kotter’s 8 Step Process for Leading Change
Step 3
Our emotional brain is much larger than our logical one. Hence, people do not change for logical reason, people change for emotional reason
If anything, the logical part of our brain tells us we should not change
A great vision will give people a sense of accomplishment, a sense of autonomy and ownership, and a sense of pride.
Kotter’s 8 Steps (continued)
Step 4: Communicating for Understanding and Buy-in
Tailor your message to your various audiences. Remember the diffusion curve?
Use “YOU” language
Choose a medium of communication that people will actually pay attention to
Use the persuasion techniques mentioned earlier (Cialdini)
Kotter’s 8 Step Process for Leading Change
Step 4
As humans, we simply cannot remember everything. Research shows that we remember closer to ‘nothing’ than we do ‘everything’
Leaders who transform their organizations “walk the talk.” They seek to become a living example of the new corporate culture that the vision aspires to.
The definition of leadership can be boiled down to ‘the ability to influence’–but it’s not just about influencing others (change starts with yourself)
Practical strategies are required, asking audience members to relate the key message they understood or to have a short ‘context’ or ‘objective’ sentence at the beginning and the end to help remind the audience’s busy and distracted brain the purpose of the communication.
Kotter’s 8 Steps (continued)
Step 5: Empowering Others to Act
Give people a voice and a chance to contribute to making the change work (Hawthorne studies)
Step 6: Generating Short-Term Wins
Small, short-term successes need to be blast communicated. It builds confidence and momentum in the change.
Kotter’s 8 Step Process for Leading Change
Step 5
When the staff is empowered to take part in the change, rather than a top-down approach, there will be much better buy-in
Possible reference to how OSUHS used physicians to create clinical pathways and be change management champions
Step 6
The wins must be both visible and unambiguous
If the wins are not visible to all, they must be broadcasted
Such wins provide evidence that the sacrifices that people are making are paying off. This increases the optimism of those who are making the effort to change.
Kotter’s 8 Steps (continued)
Step 8: Make it Stick
Culture takes a long time to change.
Realistically evaluate the successes and failures of the change.
Kotter’s 8 Step Process for Leading Change
Step 7: Never Letting Up**
Be persistent and realistic. There is a learning curve with any change.
** But, avoid escalation of commitment.
Step 7
However, it is important that this urgency is not what Kotter refers to as ‘false sense of urgency’.
‘false sense of urgency’ – People are busy, working-working-working, but their actions don’t result in helping the business succeed in their primary goal. This leads to unproductive results, and eventually, burnout.
Step 8
Tradition is a powerful force. We keep change in place by creating a new, supportive and sufficiently strong organizational culture. A Guiding Coalition alone cannot root change in place no matter how strong they are. It takes the majority of the organization truly embracing the new culture for there to be any chance of success in the long term.
Time
Performance and Morale
Myth
Many assume that when a change is implemented, immediate benefits or improvements will occur (in fact, they “sell” the change based on these predictions)
Baseline
This sets unrealistic expectations about the benefits of the change, how long it will take, and the payback of any investment in the change
Change is introduced
The Myth
Source: Dr. David Herold
Time
Performance and Morale
Myth
Reality
Depth of decline
The reality is that there is a decline in productivity, even if everyone is on board
Learning curve
Making mistakes
Baseline
Change is introduced
The depth and the duration of the decline are what you try to control, or “manage”
Training
Phasing
Involvement
Communication, etc.
In addition, there are those that resist change, either in behavior or attitude.
This further adds to the decline
Duration of decline
The Reality
Source: Dr. David Herold
Time
Performance and Morale
Myth
Reality
Depth of decline
Duration of decline
Baseline
Change is introduced
Loss/cost
This loss of productivity, and the associated costs of emotional reactions, should be included in planning the change and setting expectations
Benefit
Only after a period of time do the benefits of the change become real
The Cost
Source: Dr. David Herold
Breaking the surface — 4Ps
Will it work?— Rogers’ Diffusion and 5 Attributes
Moving forward and enacting — Kotter’s 8 Steps
Myth vs reality of a change
Plan in advance your resistance points for resources dedicated to the change (time, money, etc.)
Summary
