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Growing Organizational Change Ability

PM ADVISORY 

By Elissa Farrow

Australia
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Abstract

Why are organisational change processes important to supply chain, services and logistics organisations? Building a new culture takes time as does growing an organisation’s ability to manage change. It is a process of repeat, refine and repeat. This article outlines what is organisational change management, why it is important to organisations and how to grow capability in managing business change. Readers should understand why managing business change is crucial to maintaining productivity and realising benefits.

INTRODUCTION

Introducing two projects, Project A and Project B.

Project A is not going well. Project A has limited sponsorship, things are not being run to time though it is a technically sound solution. The team involved with Project A has had its ups and downs; the Project Manager left last year and the replacement is doing the best job they can. This project is going to change the way people do their work here. It is becoming known as the helpless project rather than the helpful one and that is not doing anything good for the project team’s moral or the project’s broader organisational image.

Project B on the other hand is going well. Project B has an actively engaged sponsor and board, things are being run on time, scope is being managed and quality is being regular monitored and endorsed for accuracy. In this team there is a change manager working alongside the Project Manager who has a detailed plan around the people changes. It is known as the ‘can’t wait for it’ project and the organisation is buzzing at what efficiencies they will gain in their day to day work.

Sadly Project A is more the norm in organisations.

WHY WE NEED TO MANAGE CHANGE DIFFERENTLY

The international research is clear that project failure rates are still too high. According to Capability Management (2006) “The success ratio of projects has not increased in 15 years – for full delivery of benefits the success figure is still around 5%”. The Portland Business Journal (2008) reported, “Most analyses conclude that between 65 and 80% of IT projects fail to meet their objectives, and also run significantly late or cost far more than planned.”

Failure can be perceived by a number of people differently. If a project is closed prematurely due to active management this is not necessarily a project failure. Closing a project early could be the best thing for the organisation as the justification and viability for that project may no longer exist.

More…

To read entire article (click here)

About the Author

pmwj25-aug2014-Farrow-AUTHOR IMAGEElissa Farrowflag-australia

Australia

Elissa Farrow is a global thought leader in organizational change and strategy delivery. She is an experienced strategist and runs a successful consulting and training business with clients globally. Elissa has delivered consultancy services to clients in the tertiary education, cultural development, environment, construction, transport and logistics, social services, housing and the resources sector. Elissa is the current Global board member for Country Development with the Change Management Institute and the Director of Ethics for the International Institute of Project Coaching. Elissa has a Masters in Social Planning and Policy and a number of other project, program, portfolio and change management accreditations. She can be contacted at About Your Transition at [email protected]. For fun she is also a the resident change management blogger for www.projectmanager.com.au