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SAQs: SHOULD ASK questions

We are used to seeing FAQs, Frequently Asked Questions, on websites. Last week I heard about an interesting variation: SAQs, SHOULD ASK questions.

FAQs are the questions asked over and over again by customers. But are these the questions customers SHOULD be asking?  Typically, FAQs deal with the basic, practical information customers might need, but what they DON’T do is trigger a higher level dialogue with you about the added value your product or service provides them.

So, unlike an FAQ, an SAQ is a question you WANTyour potential customer to be asking, but they might not know they need to be asking.

In the area of business change, one of these Should Ask questions might be:

  • Is my project too complex for our people to cope with the changes?

Another might be:

  • Is there sufficient commitment to making the change on the part of the people involved?

Both key to the success of your project, I’m sure you’ll agree. But the reason you haven’t asked them, is that you probably didn’t know that there are useful answers available.

We can offer an approach which provides quantified, practical answers to these questions – questions you should be asking before investing in a project.

  • Is my project too complex for our people to cope with the changes? This means measuring the complexity of the project and the capability of your organization to handle the changes. Once these are known, a gap analysis will answer the question.
  • Is there sufficient commitment to making the change on the part of the people affected by the project? This requires three measured inputs:

a)    the amount and effectiveness of preparatory consultation and engagement

b)    a measure of the level of trust between people in your organisation

c)    the degree to which local managers are accountable for the improvement expected as a result of the project.

Combined, these will tell you whether your project will be pulled through or hindered by your people.

To arrive at objective and useful answers to all these questions, we use our Change Readiness Assessment tool. Based on Peter Duschinsky’s Change Equation methodology, published in 2009, this tool is used to measure the complexity of a project, and identify and quantify the cultural and process barriers to change in your organization.

It only takes a couple of days to carry out this assessment.

Can you really afford to invest in change without knowing the answers to these Should Ask Questions?

Contact us!

November 10, 2012 Posted by | business change management, change capability, complexity, mergers and acquisitions, Project Readiness Healthcheck | , , , , , , | Leave a comment

What makes an organisation good at managing change?

In a recent McKinsey’s article, management consultants Scott Keller and Colin Price summarise their forthcoming book: ‘Beyond Performance: How Great Organizations Build Ultimate Competitive Advantage’. The message is clear: organisational health is the “ultimate competitive advantage” and organisations need to build the capacity to learn and keep changing over time, if they want to achieve and sustain high levels of performance.

This confirms what we’ve been telling anyone who will listen for the past year: it’s what we call the organisation’s Capability for Change and it’s a crucial core value, if you want to survive in the face of the accelerating pace of change and rising levels of business complexity.

I took my definition of Capability for Change from Rebecca Henderson (Harvard Business School): “Attention and resources focused on people and processes, developing the organisation’s stock of capability and resilience”.

I also like this one:

Resilience: “The attitudes, skills and strengths, that enable individuals, and teams to thrive within organisational change” (The Taylor Clarke Partnership)

But like all aspects of an organisation’s culture and values, its resilience and capability for change requires continual investment and maintenance, or it will erode through natural entropy. In our opinion, any transformation programme needs these core values at the heart of its core deliverables, but in our experience, most don’t go there.

So, how do you know if your organisation has resilience and capability for change? How do you know whether it is good at managing change as a normal part of ‘how we do things around here’?

Try our ‘starter for ten’ list. Does your organisation have these characteristics?
  1. Strong, visible, empowering, leadership
  2. Clearly articulated and shared vision
  3. Attention paid to supporting core values
  4. High level of trust between managers and staff – decision-making devolved wherever possible
  5. People allowed to stop doing stuff when taking on new initiatives – overload issue managed well
  6. Innovation encouraged and well managed
  7. Good communication between departments
  8. Good communication/collaboration with customers and suppliers
  9. Adherence to standard ways of doing things
  10. HR benefits and rewards aligned to business objectives.

Yes? Then you are likely to have a good capability for managing change, i.e:

  • High level of involvement and commitment
  • Low resistance to change
  • Resilience in the face of challenges
  • Able to bring in changes rapidly and effectively in response to need.

No? Then you, like most organisations are probably on a ‘downward spiral to disaster’:

  • Senior management is taking a short-term view and focusing on cutting costs and hitting revenue or output targets
  • This may be succeeding in the short run, but it has diverted resources away from supporting your people and processes – your capability to manage change
  • As a result, it is actually becoming more difficult for the organisation to sustain its revenue performance – everyone is under so much pressure that even normal routine stuff doesn’t get done any more

Only reinvesting in your core capability will correct this downward trend and give the organisation a fighting chance to successfully manage the accelerating pace of change and rising levels of business complexity.

July 27, 2011 Posted by | analysis, business change management, change capability | , , , , | Leave a comment

Developing “Change Capability” in the face of ever-rising complexity

As I recorded in my 2011/03/13 blog, the world’s private and public sector leaders have reported to IBM that a rapid escalation of “complexity” is the biggest challenge confronting them (Capitalizing on complexity – IBM Global CEO Study 2010).

“Events, threats and opportunities aren’t just coming at us faster or with less predictability; they are converging and influencing each other to create entirely unique situations. They expect this to continue – indeed, to accelerate – in the coming years.” As one CEO said: “The complexity our organization will have to master over the next five years is off the charts — a 100 on your scale from 1 to 5.” (Edward Lonergan, President and CEO, Diversey, Inc.)

The respondents to IBM’s study are also agreed that their organisations are not equipped to cope effectively with this rising level of complexity. They need to “invent new business models based on entirely different assumptions”.

David Snowden, CEO of Cognitive Edge, sees this as a shift from a world where we can predict probable risks and use risk management systems to make our plans robust, to one where we need to accept that complex and interdependent risks will occur, and find new ways to cope, building ‘resilience’ into our organisations.

“Moving from a system designed for robustness to one that supports resilience represents a significant strategic shift. Whilst systems have commonly been designed to be robust – systems which are designed to prevent failure – increasing complexity and the difficulty it poses to ‘fail-proof’ planning have made a shift to resilience strategically imperative. A resilient system accepts that failure is inevitable and focuses instead on early discovery and fast recovery from failure.” (Risk and resilience – David Snowden, Cognitive Edge)

This requires a shift from deductive and inductive methods of managing risk, to placing greater reliance on skilled managers’ sensitivity to emergent behaviour and their ability to use abductive reasoning – identifying relationships between factors that would not normally be considered linked. As it happens, that’s what humans do best!

So we need to apply new skills in our management of change projects and programmes. to focus on developing and maintaining an infrastructure that supports continuous innovation and transformation – I call it an organisation’s Change Capability.

In the Change Equation’s Organisational Culture Evolution model, this is described as an ‘Imaginist’ culture. But an Imaginist culture has to be built on a solid foundation – it can’t just be grafted on. To quote Mary Douglas: “If you want to change the culture, you will have to start by changing the organization”.

See our slidecast on this: http://www.slideshare.net/peterd35/inpact-slidecast-2

As the IBM study says, avoiding complexity is not an option – the choice comes in how you respond to it. Will you allow complexity to paralyse your already creaking organisation, reduce your responsiveness to customers, create corporate burn-out among your managers and eventually kill you off entirely? Or do you have the creative leadership, a focus on sustaining your people and the right calibre of managers to develop the change capability and operating dexterity you need to turn complexity into a strategic competitive advantage?

It requires a separate, continuous thread of capability development to reflect, transmit, embed and maintain the organisation’s core values and Change Capability infrastructure  – but that is the recipe for sustained growth and survival in these complex times.

Is that what your organisation is doing?

June 6, 2011 Posted by | business change management, change capability, complexity, innovation, project and programme management | | Leave a comment