What is Change Management

  • verb

    1. make (someone or something) different; alter or modify.

      "both parties voted against proposals to change the law"

    2. replace (something) with something else, especially something of the same kind that is newer or better; substitute one thing for (another).

      "she decided to change her name"

What this is

Change moves us, it is this movement that propels us from a current state towards a new future state. Change has now become a constant at home, in our communities, in our work. It can be a major departure from what we know or minor, it can be anticipated and smooth or unexpected and disruptive. In a business context change happens at both organisational, team and individual levels, yet organisational change cannot happen without individual change occurring as a first dance. Change Management, the choreographer of this beautiful dance, has become the a collective term for all approaches to prepare, support, and help individuals, teams, and organisations in making successful organisational change..

Defining Organisational Change Management, and Change Management

  • Organisational Change Management (OCM) is a discipline that encompasses the entire organisation and considers the necessary transitions when responding to technological advancements, internal process evaluations, crisis management, shifting customer demands, competitive pressures, acquisitions and mergers, and organisational restructuring that redirects or redefines operational modes..

  • Change Management (CM) is a collective term that encompasses approaches aimed at preparing, supporting, and assisting impacted organisations, teams, and individuals in transitioning towards a future state. It draws from diverse disciplines such as behavioural and social sciences, information technology, and business solutions. Change Management can be seen as an enabling framework that drives change success and aligns with the commonly understood phases of change: current state, transition state, and future state.

Why this is important

As the pace of change continues to accelerate at an unprecedented rate, organisations must empower their individuals to adapt with agility and resilience. This necessitates equipping them with the skills and mindset to embrace and navigate change successfully.

How we do it : the methodologies and models

  • Kurt Lewin, a German-American psychologist, developed the 3-step change model in 1920, which was later published in 1936. This model provided a simplified perspective on the change process and served as a foundation for the development of subsequent change models.

    1. The first step, "unfreezing," involves destabilising the existing equilibrium and creating the necessary energy for change.

    2. The second step is the "changing" phase, which emphasises collaboration and action research to drive the desired changes.

    3. Finally, the third step is "refreezing," where the focus is on stabilising the new state by establishing new policies and standards.

    Reference: Kurt Lewin’s 3-Step Change Model

  • Elisabeth Kübler-Ross, a Swiss-American psychiatrist, introduced the concept of emotional stages related to loss in her book "Death and Dying" in 1969. Since then, this framework has been extended and applied to the process of change, which is often associated with various forms of loss, no matter how small. Understanding these stages and reactions is vital for developing an effective change plan that addresses people's responses within the context of organisational change.

    The emotional stages that individuals may experience during change are as follows:

    • Denial: This initial stage involves a person's reluctance to believe or accept information that they find difficult to hear or acknowledge.

    • Anger: When individuals feel that an unwelcome change is being imposed upon them, it is natural for them to experience anger and frustration.

    • Bargaining: Some individuals may attempt to negotiate or seek compromises in order to avoid fully embracing the change.

    • Depression: If employees become upset about the change and feel a sense of hopelessness, they may enter a stage of sadness or depression.

    • Acceptance: Eventually, individuals come to the realisation that there are no other options and reach a point of acceptance regarding the change.

    Reference: The stages of emotional response to change (Kubler-Ross Change Curve) as described by Elisabeth Kübler-Ross

  • The McKinsey framework, developed by consultants Thomas J. Peters and Robert H. Waterman, identifies a range of interconnected factors that influence an organisation's capacity for change.

    • Style: This factor refers to an organisation's culture and leadership, encompassing the informal rules of conduct and the way things are typically done.

    • Skills: The framework emphasises both individual and institutional skills within the organisation. In the era of globalisation and increased specialisation, skill acquisition and determining which tasks should be performed internally versus by suppliers or customers are crucial considerations.

    • Systems: Beyond electronic processing systems, this factor encompasses the definition and improvement of various business processes such as HR, risk management, and client management. The focus is on developing efficient processes that prevent losses and enhance overall performance.

    • Structure: Originally, organisational structure primarily illustrated authority relationships. However, in today's complex landscape, organisational structure serves as a diagnostic tool, clarifying relationships and hierarchies. Identifying improvement opportunities helps manage intricate reporting structures and delineate lines of authority.

    • Staff: This factor highlights the importance of people within the organisation. It includes recognising individuals' intrinsic talents, nurturing their growth and development, managing talent numbers and quality, and addressing turnover and diversity to enhance strength and scope.

    • Strategy: Strategy outlines the actions an organisation takes to gain a competitive advantage. It considers the organisation itself as a source of strategic strength or weakness. Strategy has evolved from a traditional visionary model to a complex-adaptive model, focusing on evolving towards the future rather than merely predicting it. Strategy and organisation are now seen as interconnected and mutually adaptive.

    • Shared values: This factor encapsulates the organisations goals and what it aims to achieve. While these values generally remain consistent over time, standards may be raised. Additionally, organisations have increasingly incorporated social missions due to their impact on reputation, which is considered a valuable corporate asset. Alignment of goals throughout the organisation reinforces the desired outcomes.

    Reference: Adapted from the McKinsey 7-s Framework framework developed by Thomas J. Peters and Robert H. Waterman.

  • In his book "Managing Transitions," change consultant William Bridges discusses the distinction between change and transition, further developing the concept over the next four decades. Change is described as something that happens to people, often without their awareness, while transition refers to the internal process that occurs within individuals' minds as they face, experience, and navigate the change itself. Change can occur suddenly, while transition may take time. The model focuses on three primary stages of transition, providing insight into people's emotional experiences as they progress through each stage:

    • Ending, Losing, and Letting Go: When initially confronted with change, individuals may enter this stage, experiencing resistance and emotional discomfort. Various emotions such as fear, resentment, anger, denial, sadness, frustration, and disorientation may arise. To embrace new beginnings, one must first come to terms with certain endings.

    • The Neutral Zone: This stage is characterised by uncertainty, impatience, and confusion. It serves as a transitional period between the old and the new, during which individuals may still feel attached to the past while attempting to adapt to the changes. The neutral zone is often associated with low morale and reduced productivity. However, it can also spark innovation, renewal, and bursts of creativity. People in this stage may experience anxiety and skepticism alongside a sense of possibility.

    • The New Beginning: After successfully navigating the neutral zone with support and guidance, individuals enter the stage of acceptance and renewed energy. They begin to embrace the change, understand its significance, develop the necessary skills to achieve new goals, and may already start reaping the benefits of the change. This stage is marked by higher levels of energy, commitment, and a desire for continuous learning.

    Ref: Adapted from Bridges Transition Model within "Managing Transitions" by William Bridges.

  • The DICE Framework was developed by the Boston Consulting Group in the mid-1990s as a research project analysing 225 companies. The framework utilised a DICE score, serving as a leading indicator to assess the potential success of a project based on objective measures. Its purpose was to assist companies in evaluating and implementing change initiatives effectively.

    Originally published in the Harvard Business Review (HBR) article 'The Hard Side of Change' in 2005, the framework gained recognition and was subsequently republished in HBR's 'Lead Change—Successfully' and featured in HBR's '10 Must Reads on Change Management.' In 2014, it was even granted a patent.

    The DICE Framework offers a consistent evaluation approach for different projects, enabling tracking, portfolio management, and facilitating crucial conversations. Its strength lies in initiating meaningful two-way communication at various organisational levels.

    DICE, an acronym representing Duration, Integrity, Commitment, and Effort, acknowledges the time constraints faced by employees. As a straightforward tool, it helps identify potential issues early on to prevent project derailment. By utilising the framework, leaders can predict and influence project outcomes while strategically allocating resources to maximise program or initiative delivery.

    Ultimately, the DICE Framework empowers organisational leaders to effectively manage change programs and strategic initiatives. By carefully assessing the four DICE factors, leaders can determine if their change programs will be successful or face challenges.

    The Four Factors determining the outcome of a transformation initiative are as follows:

    • D - Duration: The time required to complete the change program or the intervals between milestone reviews if the program extends over a longer period.

    • I - Integrity: The performance integrity of the project team, reflecting their abilities and traits relative to the project's requirements.

    • C - Commitment: The level of change commitment displayed by top management (C1) and employees affected by the change (C2).

    • E - Effort: The additional effort demanded from employees beyond their usual workload to support the change initiative.

    The DICE score is calculated based on statistical analysis of change project outcomes, determining success by positioning the score within the 'Win' Zone (indicating high likelihood of success), 'Worry' Zone (predicting uncertain success), or 'Woe' Zone (suggesting high unpredictability or likely failure). By gaining a deeper understanding of the critical factors necessary for successful change, executives can make more informed decisions upfront.

    Reference: Adapted from the DICE Framework developed by the Boston Consulting Group

  • The Satir Change Model was developed by Virginia Satir, a renowned family therapist who made significant contributions to the field of family reconstruction therapy. While originally designed for family therapy, her model also applies to how individuals navigate organisational change, similar to the Kübler-Ross model.

    Satir's work on the model was published posthumously in 1991, in a book titled "The Satir Model: Family Therapy and Beyond." The core premise of the model is the belief that improvement is always possible, although it often requires time and may involve temporary setbacks. The model consists of five stages represented graphically, with the vertical axis depicting team performance and the horizontal axis representing time. It's worth noting that the curve within the diagram does not imply a linear progression; rather, it illustrates how a team's performance can fluctuate within the boundaries set by the curve. In essence, there will be good and challenging days for teams.

    The Satir Change Model encompasses the following stages:

    • Late Status Quo: This initial stage reflects the starting point, characterised by a sense of familiarity and routine ("business as usual"). People are comfortable, and each day follows a similar pattern. However, some individuals may already be contemplating changes to existing practices. This stage occurs prior to a significant disruptive change.

    • Resistance: When change is introduced, individuals typically respond with resistance. The comfort of the Late Status Quo is disrupted by significant events or newfound information. Resistance often manifests as the tendency to ignore or blame others.

    • Chaos: As the change is implemented, confusion and resistance may persist. The old ways of operating are no longer effective, leading to broken relationships and a decline in performance. People experience various emotions such as stress, confusion, vulnerability, fear, and a sense of urgency. Managers responsible for leading the change need to anticipate a temporary decline in productivity and support team members in acknowledging their feelings and seeking support from their networks. It is crucial to recognise that these emotional responses are normal, and there are no quick-fix solutions.

    • Integration: During this stage, productivity begins to stabilise, indicating a growing acceptance of the change. It becomes possible to discern the necessary steps to move forward. New ways of working are established, relationships are formed, performance improves significantly, and individuals acquire and refine new skills. Managers should continue supporting their teams during this phase, as team members may become frustrated and revert to the Chaos stage if initial challenges arise or if the process seems more difficult than anticipated.

    • New Status Quo: In the final stage, employees settle into the new normal. New ways of operating become ingrained, and individuals develop a level of proficiency in their new skills. Assumptions and expectations align with the changed circumstances, and performance stabilises at a new baseline. Managers should encourage employees to celebrate their achievements during this phase and foster a culture of openness to new ideas and approaches that can further enhance performance.

    By understanding and applying the Satir Change Model, managers can navigate the different stages of change and provide effective support to their teams throughout the process.

    Reference: Adapted from the concepts of the Satir Change Model by Virginia Satir

  • Based on Lewin's 1920 model, Professor John Kotter, a Harvard leadership expert, introduced an eight-stage model for successful change in his 1996 book, "Leading Change." This model served as the foundation for establishing "Kotter International," a management consulting firm based in Seattle and Boston specialising in change leadership and management.

    Kotter's 8-Step model aims to assist managers in leading change and understanding how people accept, engage with, and sustain effective organisational change. The model emphasises creating a sense of urgency and achieving "short-term wins" that are visible, unambiguous, and closely linked to the change efforts.

    The eight steps of Kotter's model are as follows:

    1. Create a Sense of Urgency: Motivate and engage people by emphasising the need for change.

    2. Build a Guiding Coalition: Assemble a group of leaders and change agents from various departments and skill sets to drive the change effort.

    3. Form a Strategic Vision and Initiatives: Clearly define the desired outcomes of the change using a combination of creativity and emotional appeal.

    4. Enlist a Volunteer Army: Garner support and involvement from employees, ensuring they understand their roles in the change process.

    5. Enable Action by Removing Barriers: Identify and address obstacles and resistance that may hinder progress.

    6. Generate Short-Term Wins: Set achievable goals and milestones that provide tangible evidence of progress within the change plan.

    7. Sustain Acceleration: Maintain momentum by continuously implementing and reinforcing the change effort.

    8. Institute Change: Embed the change into the organisations culture and processes to ensure its long-term sustainability.

    Reference: Adapted from Kotter’s 8-step model for successful change.

  • Founded in 1994 by Jeff Hiatt, a Bell Labs engineer and program manager, Prosci introduced an integrated approach to change management in 2003. This approach combined organisational and individual change management processes and tools.

    The Prosci Methodology has become widely recognized as one of the most effective approaches to change management. It encompasses various models, tools, assessments, and processes, but has evolved to focus on three main components:

    1. PCT Model

    This framework establishes and connects the core aspects of change, divided into four critical areas for achieving successful change:

    • Success: Defining success by specifying the reasons for change, project objectives, and organisational benefits.

    • Leadership/Sponsorship: Providing direction and guidance for the project, including defining accountable individuals, aligning with organisational direction, and emphasising its priority.

    • Project Management: Addressing the technical aspects of change by designing, developing, and delivering a solution that solves a problem and addresses an opportunity within the constraints of time, cost, and scope.

    • Change Management: Addressing the people side of change by enabling engagement, adoption, and use of the solution.

    2: ADKAR Model (Individual Change)

    This model guides individuals through the necessary elements and experiences required to make a successful change. It identifies and addresses potential roadblocks or barriers along the way. The ADKAR acronym outlines the five sequential outcomes an individual must achieve for change to be successful:

    • Awareness: Recognising the need for change.

    • Desire: Developing a willingness and motivation to participate and support the change.

    • Knowledge: Acquiring the necessary information about what to do during and after the change.

    • Ability: Developing the skills and capability to implement the change effectively.

    • Reinforcement: Establishing mechanisms to ensure the change's long-term sustainability.

    3: Prosci 3-Phase Process (Organisational-level Change)

    This structured and flexible framework drives organisational-=level change. It relies on the ADKAR model (within phase 2) to guide individuals through change and achieve overall organisational success.

    Phase 1: Prepare Approach [Deliverable: Change Management Strategy]

    • Define success: Establishing the project's goals and desired outcomes.

    • Define impact: Identifying the groups affected by the change and their required adoption and usage.

    • Define approach: Assessing risks, identifying potential resistance, and establishing necessary roles.

    Phase 2: Manage Change [Deliverable: Master Change Management Plan]

    • Plan and act: Preparing, equipping, and supporting individuals impacted by the change, setting milestones, target dates, and change management plans.

    • Track performance: Monitoring progress, identifying strengths and opportunities for improvement.

    • Adapt actions: Making adjustments based on performance and lessons learned.

    Phase 3: Sustain Outcomes [Deliverable: Change Management Closeout]

    • Review performance: Evaluating outcomes and documenting lessons learned after the project's go-live.

    • Activate sustainment: Identifying gaps and activating relevant roles to ensure long-term change sustainability.

    • Transfer ownership: Transferring knowledge and assets, while celebrating change management successes.

    Reference: Adapted from the Prosci Methodology and the 3-Phase Process.

  • Nudge Theory is a concept in behavioural economics, political theory, and behavioural sciences that suggests the use of positive reinforcement and indirect suggestions to influence the behavior and decision-making of a group of individuals. It involves nudging, encouraging, and inspiring people to change their behaviour.

    Reference: Adapted from Applications of Nudge Theory

  • Taking inspiration from lean start-up, agile, and design thinking, Jason Little published his book "Lean Change Management" in 2009. This book aims to assist change agents in adopting an adaptable and context-specific approach to change. It emphasises the following principles:

    • Prioritising the creation of shared purpose over creating false urgency.

    • Facilitating meaningful dialogue rather than broadcasting change communications.

    • Encouraging experimentation instead of rigidly executing tasks according to a predetermined plan.

    • Understanding the response to change rather than blaming individuals for resistance.

    • Promoting co-creation of change rather than solely seeking buy-in.

    The model presented in the book is non-linear, collaborative, and relies on feedback to guide the change process. The workflow involves three main activities:

    • Insights: Maintaining a backlog or work item list of valuable insights important to the organisation.

    • Options: Identifying various options to address impediments related to each insight. These options are evaluated based on factors such as time, difficulty level, expected value from the change, and the organization's appetite for change.

    • Experiments: Treating each prioritised option as a small "experiment" that progresses through four potential states: prepare, introduce, review (adopt or abandon).

    Conceptually, this process aligns with steps found in various continuous improvement methods and can be applied at the individual, team, or organisational level.

    Reference: Adapted from Lean Change Management Model

Primary certification bodies

Embedded ChangeRebecca AgentChange Management, Organisational ChangeComment