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Managing Cultural Change
ASQ Presentation
Henry Schneider
Process and Product Quality Consulting, LLC
September 4, 2007F


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Agenda
Roles and
Change Responsibilities for Key Elements That
Management Organizational Affect Change
Concepts Change
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Change Management
Concepts
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Change Happens
Despite our best
efforts things will
change
Sources of
Change
Audit/assessment/ Change is
appraisal findings disruptive,
Lessons Learned
whether you see
Improvement it as good or bad
Suggestions
Benchmarking
Etc.
Being prepared to manage change is half the battle won
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Plan for the Change
Identify strategies,
approaches, and Establish team(s) Document the Manage the
actions to address to implement the plan(s) change(s) to the
the identified action(s) plan(s)
change(s)
To plan for change, you must first understand how to manage change
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A Change Model
Desired State
Transition State Change has
Present State been
Disruption that implemented
A need has WILL happen and business
been identified Loss of value returned
for an productivity
improvement
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Organizational Change Steps
Measure
Assess Define
desired Develop business
organiza- state and enduring value of the
tional determine sponsor-ship
improve-
readiness strategy
ment
Implement
Assess Equip team
Establish present and plan the the
sponsor-ship capability improve- capability
and culture ment improve-
ment
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SEI IDEAL Model
A Process
for Process
Improvement
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The Journey to Alignment
Official
Process Official
Process Official
Process Perceived Perceived,
as Process Practiced
Process Perceived Practiced Process
as Process
Practiced
Change Management enables RAPID alignment!
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Change Adoption Varies Among People
The
Chasm
Time
Source: Moore, Crossing the Chasm, 1995
Managing change accelerates deployment
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Innovators
aggressively pursue new technology, often before
Definition it is even tried by the company, regardless of
applicability
technology and newness


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Motivation


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unshakeable belief in linear progress
Support for since small, cannot influence adoption
have short-term commitment to any particular
Change innovation
Process

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Source: Definitions derived from Everett Rogers, Diffusion of Innovations, 1983.
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Early Adopters
seek solutions to problems
are visionaries
Definition can understand new technology, but using
something new is not their goal
solving a problem
Motivation finding a match for their vision of a solution
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Support for willingness to try a solution makes them ideal
target for pilots
Change can become change agents
might have problems dealing with pragmatists
Process
Source: Definitions derived from Everett Rogers, Diffusion of Innovations, 1983.
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Early Majority
quite comfortable with technology
strong sense of practicality
Definition
unwilling to spend effort on an untried solution,

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real, immediate benefits
Motivation small personal investment
short time to return on investment
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Support for weak at best
they are the target of the major thrust of the
Change effort
Process
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Source: Definitions derived from Everett Rogers, Diffusion of Innovations, 1983.
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Late Majority
like early majority, with added element of
Definition
discomfort with technology
newness is gone and the innovation has
become the standard
Motivation
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Support for none
they have to be considered because there is
Change
no institutionalization, much less
internalization, without their participation
Process
Source: Definitions derived from Everett Rogers, Diffusion of Innovations, 1983.
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Laggards
enemies of change
Definition technology is feared and distrusted
there is one way of doing things and it is the
traditional one
none
they are by definition dragged into change, if at
Motivation
all, often left behind
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Support for
none
Change they will not adopt change unless it occurs
without them being aware of it
Process
Source: Definitions derived from Everett Rogers, Diffusion of Innovations, 1983.
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Managing the Transition
Changing
behavior Providing skills
requires an Providing resources
appropriate Aligning the reward system
approach to
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Dealing with Visionaries
Deal with
resistance
Procure
listen to
Provide resources to
Raise grievances
Sell the vision Plan a pilot training in make the
awareness be prepared to
adjust the vision new skills pilot
be prepared to successful
learn from their
experience
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Strategy for Crossing the Chasm
Assemble the Revise products to Plan the pilot for
team for the pilot make the effort success
Use previous easier to digest
Select a pilot use visionaries only if failure is unacceptable
experience to they can communicate and unrecoverable
modify team project for the with pragmatists simplify templates guaranteeing success
early majority simplify process
vision add external resources tailor as needed is not cheating, this is
as necessary not a game
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Attempting to Cross the Chasm
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Half-day Declaring the new Expecting the Trusting that the
Formal training on
a reference model orientation processes as the reward structure benefits will
training on the standard that all to ensure become evident
(CMMI, ISO 9000)
reference model must follow compliance on their own
Better ways
Just In Time Half-day orientation Coaching and Establishing

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training on the mentoring on the
processes and training, and of progress and

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processes approach projects start
publicly
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Propagating the Change
Communicate pilot Closely monitor to ensure
successes success
Change the teams, process,
sell the problem put in place many early warning
use the early majority pilot as and training assets as systems
exemplar needed do not let a project fail, rescue it
be open and frank about tailoring
to other projects
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Crossing the Gap to the Late Majority
Support individual
projects until
adoption is complete
Make constant
Communicate that Change rewards and Put process goals into goal of 85% of all projects
adjustments to the
the PAL is the only punishments management committed satisfied
Process Asset Library
accepted standard accordingly objectives compliance is NOT
(PAL) as needed commitment
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Roles and
Responsibilities for
Organizational Change
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Change Roles
Authorizing Reinforcing Champions (CH) Change Agents Participants (P)
Sponsor (AS) Sponsor(s) (RS) (CA)
believe things can use the process
legitimizes change allocate resources be different and implement the adopt new
initiative remove barriers continuously act as change behaviors, habits,
advocates for the and emotions
holds reinforcing express, model, and keep everyone
sponsors reinforce change change informed
accountable for surface and handle
change resistance
A person might change roles over the course of the change or have multiple roles at the same time
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Typical Positions of Change Roles
CEO/AS
VP/RS VP/CH VP/RS
Champions
(CH) and
Participants Mgr/RS Mgr/CA Mgr/RS Mgr/CH
(P) can
appear at any
level Lead/CA CA P CH
Lead/P P P
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When Sponsorship Goes Awry
CEO/AS
Black Holes VP/ VP/ VP/
can appear at
any level and
in any change
management Mgr/ Mgr/ Mgr/ Mgr/
role
Lead/P P P P
Lead/P P P
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Change Mgmt Responsibilities
Sponsor Authorizing Sponsor Reinforcing Sponsor Champion Change Agent
Authorizes, legitimizes, Legitimizes the change by Establishes and Identifies the rationale Plans and implements the
and demonstrates asking the whole communicates the change and motivation for change roadmap
leadership for the change organization to support strategy -
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Expresses the need for the change Creates an infrastructure
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the change Holds the Reinforcing to show commitment Advocates the change implementation and
Models the desired Sponsors accountable Participates in goal setting within the organization, by communicates with the RS
change Communicates the change Provides resources and gaining peer commitment Builds support for the
Rewards and recognizes to all levels of the removes resistance and Provides support change throughout the
those who have arrived at organization barriers throughout the change organization
the desired state Monitors the progress Monitors status and process Assists participants in
through the Reinforcing progress of change teams Provides guidance for implementing the change
Sponsors Establishes a reward and change teams Reports progress
Rewards early adopters recognition system Identifies and deals with
resistance
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Key Elements That
Affect Change
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Resistance Happens
Characteristics of participant Resistance cannot be ignored Wyou
resistance must manage it
Can be passive Understand concerns and issues
disinterested -
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be another change coming along point of view
stalling tactics, excuses Resistance can provide learning
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Can be active
confrontational
subversive
Whether the change is perceived as positive or negative, resistance is inevitable and disruptive
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UnifiedOrganizational Change Alignment Chaos
Tug of war Full-scale war
Organizational visions, values, and behaviors need to be aligned with the change
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Institutionalizing Change
If no commitment Inertia toward change
If no ability Ineffective performance
If no measurement Undetected problems
If no verification Declining compliance
September 4, 2007 ®2007***Proprietary*** All Rights Reserved -Process and Product Quality Consulting, LLC 30Practices will decay if they are not institutionalizedF


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Summary
Plan and perform change management to ensure successful change
Identify the people involved and their roles
Clearly establish responsibilities and skills needed
Recognize and deal with resistance
Align rewards and recognition with the desired behavior
Change is difficult. It requires support and encouragement. Open communication enables people to
understand what is expected of them and motivates them to participate in the change effort.
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PPQC Offerings
Consulting
CMMI
Software Engineering
Systems Engineering
Process Improvement
Appraising
SCAMPI A, B, C
Gap Analysis
Training
CMMI
Process Improvement
Action Planning Workshops
Measurement and Analysis
Process Area Specific Training
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PPQC Contact Information
Process and Product Quality Consulting, LLC
Corporate Headquarters
Address: 2111 Heather Green
Houston, TX USA 77062
Phone: 281-218-6682
E-mail: henry@ppqc.net
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Thank you!
–Thank you very much for your attention!
–Please feel free to contact me if you have any
questions or comments
September 4, 2007 ®2007***Proprietary*** All Rights Reserved -Process and Product Quality Consulting, LLC 34