Managing change the right way

In my columns on software selection and implementation (December 2007 and January/ February 2008), I touched briefly on change management, but the subject deserves a closer look.

Many will tell you change management is critical to the success of any project and especially to the implementation of a new system. In fact, you can find consulting firms that specialize just in change management. But in my view, change management sometimes gets blown out of proportion based on false assumptions about employees.

There is a widely held view that employees are inherently resistant to change. I disagree. Employees are resistant to change only when it will adversely affect them. If a new system could eliminate their jobs, do you blame them? But if the change does not threaten their jobs, they are more likely to accept and even welcome the change. New systems can make employees more marketable, eliminate the drudgery of inefficient manual processes and allow them to be more effective in their work.

In my experience, the elimination of inefficient processes does not lead to firing, but to growth with no hiring. If growth is out of the question, however, and there are too many people for the work required, it's better to be honest about the situation. Even the employees who keep their jobs will be angry if their colleagues are blindsided by a firing spree.

A number of other issues discussed in previous articles are also related to change management. Employees should be consulted not only because their involvement would lead to buy-in but also because they have knowledge that may be useful. Representatives from each department should be involved from the start, with a kickoff meeting to explain the project. Employees should be interviewed to better understand their requirements and opportunities for business process improvement. Employees should also be involved during the final demonstration. Get their agreement on the script, let them attend the demonstration that pertains to them and obtain their feedback.

Management also needs to be ready and supportive of any new system. One technique is to have management identify the critical success factors (what must be done well for the organization to be successful) and the key performance indicators that map to those critical success factors. Set target key performance indicators at the beginning of the project, and celebrate only when the KPIs are attained.

Many organizations have naysayers who have been around a long time and exert a certain amount of influence. You must seek out these naysayers to learn about the risks and what to do about them. As you gain this knowledge, you also indirectly gain their buy-in (if you take their advice into consideration).

Good project managers know about change management and will inform employees and management about project status. A good project manager will also plan the implementation to avoid scheduling conflicts and excessive overtime.

Change is constant and most people adapt quickly - especially to new technology. Witness the speed with which the Internet, Google and BlackBerry have been adopted. But there will always be a few people who are afraid of change just because it's different. These individuals should remember the words of Bob Dylan:

Come gather 'round people

Wherever you roam

And admit that the waters

Around you have grown

And accept it that soon

You'll be drenched to the bone.

If your time to you

Is worth savin'

Then you better start swimmin'

Or you'll sink like a stone

For the times they are a-changin'.

[Author Affiliation]

Michael Burns, MBA, CA, PMP, is president of 180 Systems (www.180systems.com), which provides independent consulting services, including business process review, system selection and IT audit. Contact: 416-485-2200 or mburns@180systems.com