PART 7 : Managing Change

1. PART 7 : Managing Change Dariusz Gall Jean Charles Salvin

2. Introduction People hate change . . . and that's because people hate change. . . . I want to be sure that you get my point. People really hate change. They really, really do. Steve McMenamin The Atlantic Systems Guild London (1996)

3. Contents • Structural Change • The Change Process • Technical Assessment • The people-Development Strategy • Comparison between countries • Questions & Discussion

4. Contents • Structural Change • The Change Process • Technical Assessment • The people-Development Strategy • Comparison between countries • Questions & Discussion

5. Structural Change(1) • Organization issues • Typically designed to fight the last war • Many problems is hard to identify • Interest in the status quo • Leadership situation • The Autocracy • The Political Arena • The Closed System • The Meritocracy

6. Structural Change(2) • Symptoms of overbearing Autocrat: • Sole spokesperson • Low opinion of his or her subordinates • Small circle of intimates • No formal plans, procedures, or jobs description, Little or no delegation of authority, • No reward and recognition programs • Creativity is limited

7. Structural Change(3) • Symptoms of Autocracy – Comparison • Leaders • Believe themselves • Good salesperson • Autocrats • Lack confidence • Prepare their positions in the secret, before announcing their final conclusions • ”The autocratic style develops over many years, and it is rarely possible to change it”

8. Structural Change(4) • Other Leadership Problems • Political Arena and Closed System • Find and install new energetic leader • Corporate Level → Changes must be initiated outside • Department Level → Leadershipproblemsareidentified and addressed rather quickly

9. Structural Change(5) • Other Leadership Problems • Meritocracy – Problems • Organization pay less attention to customers • Cost controls, productivity measurements, and profit management receive little or no emphasis • View narrowed on product → no vision or time for long-term improvement, e.g. process, tools, and personnel-development

10. Structural Change(6) • The Aging Organization • Creative Organizations, • Grow rapidly, highly innovative, undergo perpetual change • Maintenance Organizations, • Stable, formalized plans and procedures, emphasize cost management • Focused on productivity and control

11. Structural Change(7) • Creative-Phase • Lack of long-term direction, • Rapid management → long-term problems accumulate • Inevitably lead to maintenance phase, • Moving from creative phase to maintenance phase is traumatic • Addressing Creative-Phase Problems

12. Structural Change(8) • Maintenance-Phase • Focus is shifted to the marketplace and technical awareness • Managers should challenge their people to demonstrate the technological superiority, and competitive leadership • Addressing Maintenance-Phase Problems…

13. Structural Change(9) • Management Priorities • Creative phase → innovation, building base for sustained growth, • Maintenance phase → running an established business.

14. Structural Change(10) • Organizational Tenure • Working together long time leads to complacency and intellectual stagnation • The optimum age of group 1-5 years • Study of 50 project teams by Katz and Allen • First 1.5 years → performance increase, next 5 years → flat period, 5 and more → decline • “Not Invented Here” syndrome • Addressing the Problems of Tenure • Working-level reorganization

15. Structural Change(11) • What is new for us ? • Discussion/Questions • “Even when others convince the autocrat of the need for change, such behaviors are often so deeply rooted […] that self-improvement is extremely difficult”. • “The greatest danger is the technologist's tendency to believe that all problems have technical answers. Focusing on laboratory and plant, the organization can lose touch with the marketplace”. […]

16. Contents • Structural Change • The Change Process • Technical Assessment • The people-Development Strategy • Comparison between countries • Questions & Discussion

17. Contents • Structural Change • The Change Process • Technical Assessment • The people-Development Strategy • Comparison between countries • Questions & Discussion

18. The Change Process(1) • Resistance to Change • “Change is great when you are its agent; its only bad when you are its object” [Sherwin] • The resistance as a symptom, rather than problem - experiment. • Identical change was introduced to several factory groups. • Groups divided in two subsets: no explanation – members involved in planning • Results: Groups involved in planning reached higher performance level • Why do people resist?

19. The Change Process(2) • Unfreezing • Unfreezing is a way to overcome the resistance. Examples: brainwashing, process used on new military recruits, etc. • Engineers and scientists are rarely the source of the most resistance, • In fact first- and second-level management present the greatest resistance,

20. The Change Process(3) • Unfreezing • Set forth an ideal • Leavitt suggests: • Make the problems more obvious • Simply point them out • Wait for the employees to come to managers for help • Example of Alcoholics Anonymous (AA) groups

21. The Change Process(4) • Planning the Change • After unfreezing, management should fulfill the vacuum with change plan and implementation steps • Change Agent – criteria: • Agents should be enthusiastic about leading the change process, • Agents should be both technically and politically capable • Agents need the respect of the people they are to deal with • Agents must have management’s confidence and support • Agents should have got strong views on the subject • Are the Agents the PMs of Change Projects?

22. The Change Process(5) • Participative Planning • Identify the people affected by the change • Involve these people, in the process • Many people are involved → working group should be established • The planning teams develop: ways of implement the change, anticipate problems, and incept way to address them

23. The Change Process(6) • Implementing the Change • Time needed to the change implementation varies • Purely technical changes → fast change • People’s behavior involved → problems • People have to understand the change → a more gradual pace of changes • Continuing evidence of progress • Refreezing • Purpose → to make the change permanent • Problems • It is hard to incorporate the changes in professionals permanent working methods • Time pressure often cause skipping new introduced methods • Lack of continuing evidence of progress

24. The Change Process(7) • Refreezing – Addressing problems • Keep in the place the management team that instituted the change • Modify the organization’s procedures to incorporate the change as part of bureaucratic process • Use the measurement system to foster new methods through bonus • Establish a dedicated staff for monitoring the changed process • Educate

25. The Change Process(8) • Setting Goals • Why Goals are important? • If people understand, accept and that they can meet the goal, they will work harder to do so. • Goals should be: • Clear and measurable, • Reasonably close to professionals’ ability to perform • Broken into small, and realistic increments • Immediate related to daily work. • “Managers can damage motivation by pressing plans too aggressively” • People should define they own goals.

26. The Change Process(9) • The Process Improvement Cycle • One way to implement short-term goals and long-term strategy is to view change as a cyclic process • Example of the Process Improvement Cycle is the Software Engineering Institute’s IDEAL change model.

27. The Process Improvement Cycle-IDEAL(1) • Initiating • Diagnosing • Establishing • Acting • Learning [IDEAL]

28. The Process Improvement Cycle-IDEAL(2) • Initiating • Stimulus for Change • Set Context • Build Sponsorship • Charter Infrastructure [IDEAL]

29. The Process Improvement Cycle-IDEAL(3) • Diagnosing • Characterize Current & Desired States • Develop Recommendations [IDEAL]

30. The Process Improvement Cycle-IDEAL(4) • Establishing • Set Priorities • Develop Approach • Plan Actions [IDEAL]

31. The Process Improvement Cycle-IDEAL(5) • Acting • Create Solution • Pilot/Test Solution • Refine Solution • Implement Solution [IDEAL]

32. The Process Improvement Cycle-IDEAL(6) • Learning • Analyze and Validate • Propose Future Actions [IDEAL]

33. The Change Process (10) • The Process Staff • Software Engineering Process Groups (SEPG) • Groups of professionals to assist in the work supporting software process improvement • Caveats of SEPG • Keep the SEPG small, • Dedicate the SEPG to process change • Hold project managers responsible for implementing process change.

34. The Change Process (11) • What is new for us ? • Discussion/Questions • “Change is great when you are its agent; it is only bad when you are its object” • Mantra: “The fundamental response to change is not logical, but emotional”.

35. Contents • Structural Change • The Change Process • Technical Assessment • The people-Development Strategy • Comparison between countries • Questions & Discussion

36. Contents • Structural Change • The Change Process • Technical Assessment • The people-Development Strategy • Comparison between countries • Questions & Discussion

37. Technical Assessment (1) • Definition • Improve → Search problems & Think differently • The Goals • Make the ‘Current Map’ of the organization • Resolve problems & improve work quality, productivity and creativity • Problems • People are busy “Let’s do our work, that’s enough!!” • Inefficiencies are so entrenched • Senior Management is unaware of worker’s problems

38. Technical Assessment (2) • Self-assessment : • Resistance to problems – Level of acceptance • Hard task – Reconsider yourself • Involve managers & examine the operations • Remove Constraints • How to start ? • Assessment guidelines : • Management team’s agreement • Open to public and make it clear – Problems • Take opinions

39. Technical Assessment (3) • The Software Engineering Institute assessments(SEI) • Goals : Solve budgets and project errors • Establish criteria • Capability Maturity Model (CMM) • What is a CMM ? • What is a Maturity Level ?

40. Technical Assessment (4) • The Assessment Process • Obtain agreement of managers and convince • Select the assessment team • Select sample-projects to study • Talk and concentrate on project’s handling • The Assessment Questionnaire • Developed by SEI • Launch a process improvement program

41. Technical Assessment (5) • Confidentiality • Problems : Keep trust and door opened • Try to Apply problems in a more general way. • Avoid ranking & Marks • Preserve anonymity • Assessment Considerations • Keep a positive attitude. Motivation is crucial • Make planning and rehearsals.

42. Technical Assessment (6) • Continuous assessments • Adjust your organization’s process. • Acceptation is a big step. • Changes need discipline • Improvement results • SEI is a success → Change Attitude • Participation → Motivation → Gain of pride

43. Technical Assessment (7) • What is new ? Our Own Experiences • Discussion/Question : • “What are the few things I can do… that would make a difference? If you do this, you have a chance, if you don’t do it, you have no chance” • “An organization that can't make some assessment of its own programming productivity rate just hasn't tried hard enough”

44. Contents • Structural Change • The Change Process • Technical Assessment • The people-Development Strategy • Comparison between countries • Questions & Discussion

45. Contents • Structural Change • The Change Process • Technical Assessment • The people-Development Strategy • Comparison between countries • Questions & Discussion

46. The people-Development Strategy (1) • What is an organization ? • The Management Team • Define your organization • How is your management team ? • Reactive / Is the work done / Cooperation / Constructive Progress Vs Reaction • Do they understand you ? What are their focus ? • Define your goal and their goals

47. The people-Development Strategy (2) • Examining Yourself • Are you a good leader ? • Are you using your troops with effectiveness • Stay involved / Ask / Develop your people • Values • Trustable : speak -> act • Respect of individual • How to treat people ?

48. The people-Development Strategy (3) • The People-Capability Maturity Model (P-CMM) • Characterize the maturity of your workforce practices • Guide a program of continuous workforce development • Set a priorities for immediate action • Integrate workforce development with process improvement • Establish a culture of professional excellence • Is divided in five maturity levels • Process Area • P-CMM’ applications : • A guide to plan and implement improvement activities • A standard for assessing workforce practices.

49. The people-Development Strategy (4) • PCMM TEN PRINCIPES 1) Workforce capability (WC) related to business performance 2) WC is a competitive issue and a source of strategic advantage 3) WC must be defined in relation to the organization’s strategic business objectives 4) Knowledge intense work shifts the focus job elements -> Workforce competencies 5) Capability can be measured and improved at multiple levels 6) An organization should invest in improving the capability of the WF that are critical to its core competency as a business 7) Operational Management is responsible for the capability of WF 8) The improvement of WC can be pursued as a process composed from proven practices and procedures 9) The organization is responsible for providing improvement opportunities 10) Organization must continually evolve their Workforce practices and develop new workforce competencies.

50. The people-Development Strategy (5) • PCMM Level 1 • No process area • PCMM Level 2 • Staffing • Communication and Coordination • Work Environment • Performance Management • Training and Development • Compensation