IS 788 [Process] Change Management

IS 788[Process] Change Management • Organizational change: • Altering the way in which people work and interact in a business environment to produce goods and services IS 788 1.1

Organizational Change • Hard or easy? • Why? • Resistance • Fear • Misunderstanding (communication) • Disagreement (I understand but it won’t work) • Genuine dislike for changed roles • Power shifts (IT as a power play) IS 788 1.1

Organizational Change • Examples from your work experience, both successful and unsuccessful IS 788 1.1

Process change • In this class we are primarily interested in process change and what is required to make it effective • Process vs. function • What’s the difference? • In most current discussions process is a broader term, encompassing all activities required to produce a complete end result IS 788 1.1

Process vs. function • Activity: typically an atomic (indivisible at the level of analysis) action resulting in an observable change in a business artifact • Examples: • Entering timesheets into a system • Installing a software package • Bolting an engine into an automobile frame IS 788 1.1

Process vs. function • Functions are activity sets grouped by similarity (of knowledge needed or tools used): accounting functions, maintenance functions, etc. • Processes are activity sets that produce a business output grouped independently of function: order fulfillment, manufacturing • Changing an organization from a functional to a process orientation is notoriously difficult (lecture 3) IS 788 1.1

Process vs. function • However – in this class and in practice, many useful processes take place within functional environments. That is, a process need not span functional boundaries (although those with the most potential value to the organization usually do.) IS 788 1.1

Process improvement • Why change a process? • Efficiency (less expensive product) • Effectiveness (better product) • Political motives (power plays, new ownership) • Types of (approaches to) process change • Radical (BPR) • Incremental (TQM, Six Sigma) IS 788 1.1

Process improvement • What steps must be taken to effectively change a process? • Define goals for the new process • Model the existing (AS-IS) process • Model the changed process (TO-BE) • Gather data on the existing process and simulate the TO-BE • Define and implement a thorough change management plan IS 788 1.1

Course topics • Process goals: should be in alignment with organizational strategies, goals and existing architecture (week 3) • Process modeling: in 788 modeling has a business rather than an IT focus (multiple tools and methodologies – multiple weeks) • Change management: anticipating who will be effected, how will they be effected and how can the effects be constructively handled - a course in itself! (last 3 wks) IS 788 1.1

For next class • Failed Project: read, writeup and presentation (from process change perspective) • Harmon (the textbook – introduction and Chapter 1) • Commoditization of process (Davenport): read and be prepared to discuss • From your work experience, processes that have been changed, or could be improved • Choose your project groups IS 788 1.1

Eye need help! • Read the micro-case preparatory to an in-class discussion on improving the process • Why should it be changed? • How could it be changed? • Who would benefit? • Where might resistance occur? • How did the process get this way? IS 788 1.1

IS 788 [Process] Change Management