How Effective Project Planning and Implementation Impacts an Operating Companya€™s Market Value.
There is a simple logic flow that leads us to the definition of Structured Change Management and why it is necessary for the many transformational and improvement efforts underway in capital projects today. Each of these triggers present an opportunity or an issue the organization needs to address.
These are the targets of the solution that is developed to address the opportunity or issue. It may be a dozen people in a work group, several hundred people in a particular department or division, or thousands of people across the entire enterprise.
In the end, improvement projects or initiatives require some individuals to change how they do their jobs. Definition: Structured Change Management (SCM) is the set of tools, processes, skills and principles for managing the people side of change to achieve the required outcomes of the improvement project or initiative. The last part of the definition, but the first we address, is how to achieve the required outcomes of the improvement project or initiative. Benchmarking data clearly shows the connection between managing the people side of change and achieving the required outcomes of the project or initiative.
Improvement projects with good Structured Change Management in place are five times more likely to meet objectives than those with poor SCM. The 2002 McKinsey Quarterly article, Helping employees embrace change, draws a similar conclusion based on data from forty projects. Not only does the data suggest that a connection exists between Structured Change Management effectiveness and project success, it is important for trained SCM users have this as part of their own definition of SCM. Structured Change Management is not applied to an initiative simply to keep SCM people busy, or because it seems like a good idea. This is particularly important when Structured Change Management is being discussed with program managers, project teams and senior leaders.
Program teams care about being on time and on budget, and creating a measurable improvement in how the organization operates via the project or initiative.
Knowledgeable people in SCM who can directly connect Structured Change Management effectiveness to the objectives are more likely to receive the commitment and support they need. The people side of change refers to the reality that when a new process is introduced or a new technology is implemented, individuals will have to do their jobs differently.
Improvement projects and initiatives that impact how we do our jobs need structure and planning to address the people side of their changes. The Prosci process for connecting Structured Change Management to business results presents a simple framework where we identify the Project, the Purpose (why we are changing), the Particulars (what we are changing) and the People (who are changing). A key component for managing the people side of change is understanding how one individual makes a change successfully.
Even for very large and complex changes, the ultimate success of the initiative is tied to how successfully each individual who must adopt the change and makes their own personal transition from their current state to their future state.


The Prosci ADKAR® Model presents a simple but powerful framework for describing successful change at the individual level. Changes are successful when each person who must do things differently has Awareness, Desire, Knowledge, Ability and Reinforcement. Effective Structured Change Management draws upon a number of tools to enable successful individual change. In Proscia€™s methodology, there are five major plans created - Sponsorship Roadmap, Coaching Plan, Resistance Management Plan, Communication Plan and Training Plan. Each of the plans have a particular element of individual change as their focus; for example a Communication Plan aims at creating Awareness and Reinforcement, a Resistance Management Plan focuses on Desire, and a Training Plan addresses Knowledge and Ability. The plans are the levers or tools available to bring about personal transitions and represent concrete deliverables that can be woven into a project plan.
A Structured Change Management process provides the structure for managing the people side of change. Phase 1 - Preparing for change, a series of readiness assessments and analysis provides the situational awareness required to manage the change at hand. Phase 2 - Managing change, the five Structured Change Management tools or levers described above are created and integrated into the project plan.
Phase 3 - Reinforcing change, mechanisms are established for gathering feedback, identifying resistance, correcting gaps and measuring adoption and compliance. This holistic process ensures that best practices are incorporated, important steps are not missed and lessons learned are applied to speed up the SCM process.
Structured Change Management is not done by a single individual, or even a team dedicated to SCM. Frontline supervisors and middle managers play a key role in communicating with direct reports, coaching them through the change process, building support and managing resistance.
From a skills perspective, this means that effective Structured Change Management requires competencies in leading change throughout the organization. Finally, there are key guiding principles for change that are evident in the tools, processes and activities of Structured Change Management.
Structured Change Management is a holistic and structured approach for enabling and supporting individual change that requires tools, processes, skills and principles to be effective. In the end, the degree to which the people side of change is effectively managed determines the value an improvement project or initiative delivers to the organization.
By working to bring about a clear and shared definition, people trained in Structured Change Management can be more effective and credible within the programs and projects they support.
If you're looking for a single definition of change management you're going to get frustrated. What you will find are a wide variety of definitions that define change and change management.
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If these individuals do not adopt the change to their day-to-day work, the improvement project will not succeed. Many who are new to Structured Change Management or perhaps skeptical might be surprised by this part of the definition. The Prosci correlation analysis of data from benchmarking studies shows that projects with excellent SCM are six times more likely to meet objectives than those with poor Structured Change Management.
The analysis goes one step further, showing that effective Structured Change Management also increases the likelihood of staying on schedule and on budget. The bottom line is, the better the people side of change is managed the more successful an improvement project will be. When having a discussion about the value that Structured Change Management delivers, it is important to focus on what the audience cares about.
In the end, there is only one goal of applying Structured Change Management to an improvement project or initiative - meeting objectives and delivering value to the organization. And, most of the structured and important changes in an organization ultimately impact people and how they do their jobs.
The people side of change plays too important of a role in meeting objectives to approach it in an ad hoc manner.
Some of these tools are familiar and used readily on projects - namely the communication plan and training plan. Like processes for managing the technical side of a project, the SCM process describes the sequence of activities that a Structured Change Management practitioner would follow on a particular project or initiative. The outputs of Phase 1 are a customized Structured Change Management strategy, the necessary supporting structures (sponsorship and team model) and special tactics for the initiatives. In times of change, employees look to the person they report to and the person in charge for direction. For instance, the notion that change happens as a process, and not as a discrete event, is a key principle for how change can be successfully managed.
There are many management consulting companies in the marketplace who utilize a change management process. This, in no uncertain terms, connects SCM to the ultimate value or objectives that our and our clientsa€™ organizations are looking to derive from implementing the changes. Learn to inspire and influence others using relationship management and emotional intelligence.



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