Having trouble convincing your stakeholders of the need to invest in Change Management capability? Do you face a constant challenge promoting the value of Change Management within your organisation? Hear first-hand our practical tips on how to communicate the return on investment of Change Management.

1. The People Case: How to convince your
organisation to invest in change
Presented by:
Joanne Rinaldi
August 2016

2. Change Management Workshop
for Project Managers
Get your Project Managers singing from the same
song sheet with Change Management
EXCLUSIVE OFFER
Take 2: one at full price and 2nd at half price
Take 3: two at full price and 3rd is free
Promotional code – DPR2016
2

3. 3
Introducing Being Human
• Founded in 1993
• Our mission: develop change-
capable people and
organisations so they achieve
the benefits of change
• Exclusive Prosci Primary
Affiliate for Australia and New
Zealand

4. Where to find today’s slides and recording
• Being Human Company Linked in Profile – Follow us
• Catherine Smithson’s Linked In profile
• Being Human’s Facebook page
• www.slideshare.net Search for Being Human Pty Ltd
(now includes option to listen to recording)
• YouTube - Search for Being Human Pty Ltd
4

5. 5
A research company focused on
change management:
• Value Proposition: To help organisations build internal
change management competencies through the
development and delivery of tools and methodologies that
are:
Holistic
Research-
based
Easy-to-use
Best practices
research
Model, process and
tool development
Knowledge
transfer
Competency
building

6. Primary reasons for applying change
management
• Increase probability of project success
• Project benefits that depend on employee
adoption and usage of the change - ROI
• Manage employee resistance to change
• Build change competency into the
organisation

7. Successful change requires both the technical
and people sides
7
Current Transition Future
Technical side
People side
Design
Develop
Deliver
Embrace
Adopt
Use
+
Both aim to deliver value to the business by
supporting initiatives and projects

8. 8
Better Change Management =
More Likely to Meet Objectives
Industry research
supports Prosci’s
findings:
• McKinsey
• IBM
• PWC

9. Connecting Change Management to
Business Results
9
Project
Why are we
changing?
What are we
changing?
Who will need
to change?
What is our
Pay-off?
If people don’t change how they do their
job, then it doesn’t matter what specific
changes are implemented.
If people don’t change how they do their
job, then we ultimately won’t achieve
what we set out to do from the
beginning.

10. 10
Change Management Goal
To drive and capture the portion of project benefits that depend on
employee adoption and usage of the change.
ROI of change:
Speed of adoption
How quickly are people up and running on
the new systems, processes and job roles?
Ultimate
utilisation
How many employees (of the total population)
are demonstrating “buy-in” and are using the
new solution?
Proficiency
How well are individuals performing compared
to the level expected in the design of the
change?

11. ROI of Change Management

12. 12
Change Management
Best Practices
• Trends

13. 13
14%
57%
62%
80%
89%
0% 50% 100%
Other
Organizational structure changes
Job role changes
Systems changes
Process changes
A Majority of Projects
Types of changes reported on in Prosci’s 2015 study
2016 Best Practices in Change Management Report.
1,120 participants in 56 countries. Prosci Inc copyright 2016.

14. 14
The amount of change is increasing
2016 Best Practices in Change Management Report.
1,120 participants in 56 countries. Prosci Inc copyright 2016.

15. 15
Levels of change saturation
3%
4%
5%
15%
29%
26%
18%
3%
3%
4%
13%
25%
25%
27%
3%
4%
4%
11%
23%
27%
28%
0% 10% 20% 30% 40%
Do not know
My organization has plenty of
spare capacity for change
My organization has quite a bit
of spare capacity for change
My organization has some
spare capacity for change
My organization is nearing the
point of change saturation
My organization is at the point
of change saturation
My organization is past the
change saturation point
Percent of respondents
2015 2013
2011
2016 Best Practices in Change Management Report.
1,120 participants in 56 countries. Prosci Inc copyright 2016.

16. 16
Change Management Effectiveness
0%
10%
20%
30%
40%
50%
60%
Yes No Don't know
2013
2015
42% of participants in the 2015 study reported
measuring CM effectiveness
2016 Best Practices in Change Management Report.
1,120 participants in 56 countries. Prosci Inc copyright 2016.

17. 17
Approximately 10% indicated that performance was better than expected
and over a third met expectations.
0% 5% 10% 15% 20% 25% 30% 35% 40% 45%
Don't know
Too early to tell
Lower than expected
In line with expectation
Faster, greater or more than expected
Adoption
Utilisation
Proficiency
Defining and measuring ROI
2016 Best Practices in Change Management Report.
1,120 participants in 56 countries. Prosci Inc copyright 2016.

18. 18
What does resistance look like?

19. 19
INCREASINGRESISTANCE
DECREASINGPRODUCTIVITY
TIME
Prosci
®
Flight Risk Model
Change creates instability and
introduces risk
Productivity loss
Employee dissatisfaction
Passive resistance
Turnover of valued employees
Tangible customer impact
Active resistance
Opt-out of the change
COMFORT/SECURITY
WORRY/UNCERTAINTY
RISK/FLIGHT

20. 20
2016 Best Practices in Change Management Report.
1,120 participants in 56 countries. Prosci Inc copyright 2016.
• Proactive (not fire fighting)
• “Adoption and usage” from the beginning
When to start change management?

21. 21
Who is involved in managing change?
• The change management
resource on a project plays
the role of enabler
• The conductor of the
orchestra
• The director of the play
• Effective change
management requires
involvement and action by
many in the organisation
Middle managers
and supervisors
Change
management
resource/team
Executives and
senior managers
Project
team
Employees

22. 22
There are consequences of not
managing the people side of change
• Lower productivity
• Passive resistance
• Active resistance
• Turnover of valued employees
• Disinterest in the current or future state
• Arguing about the need for change
• More people taking sick days or not showing up
• Changes not fully implemented
• People finding work-arounds
• People revert to the old way of doing things
• The change being totally scrapped
• Divides are created between ‘us’ and ‘them’

23. Conclusion
• Increase probability of project success by managing the
‘people side’ of change
• Change management and project management are both
tools that support project benefit realisation – change
management is the ‘people’ side – ROI
• Manage employee resistance to change
• Change management requires action and involvement by
leaders and managers throughout the organisation –
enablers to build change competency into the
organisation

24. 24

25. Where to find today’s slides and recording
• Being Human Company Linked in Profile – Follow us
• Catherine Smithson’s Linked In profile
• Being Human’s Facebook page
• www.slideshare.net Search for Being Human Pty Ltd
(now includes option to listen to recording)
• YouTube - Search for Being Human Pty Ltd
25

26. More info
26
beinghuman.com.au
• Free Prosci Webinars
• Free Community of Practice
Webinars
• Change Conversations
Seminar, Canberra, May 25
Prosci
• change-management.com
• prosci.com
• portal.prosci.com