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Benefits management and organisational change
The document outlines APM's vision for benefits management in organizational change, emphasizing the importance of adaptability amidst various change drivers like globalization and technological innovation. It highlights how effective benefits management can mitigate change-related issues, create stakeholder engagement, and align change initiatives with business strategy. The summary also presents key questions to assess change necessity, realized benefits, investment usage, and stakeholder roles.
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Benefits management and organisational change
- 1. “A world inwhich all projects succeed” APM’s 2020 Vision Benefits Management & Organisational Change Open University Milton Keynes 12 Feb 2014 Neil White APM Benefits Management Specific Interest Group
- 3. Context for BenefitsManagement (BM) Today, the ability of organisations to adapt (change) is becoming even more important than the changes themselves. Prevalent drivers of change include: Globalisation Economy Technological Environmental Innovation Regulation De-regulation Today, an inability to respond to these change drivers = a high risk of failure
- 4. Poor change performance& individuals = = X X GRADUAL CHANGE = X ANXIETY = X CONFUSION = X CHANGE FRUSTRATION = FALSE STARTS
- 5. Individuals and change Adams,Hayes & Hopson (1976)
- 6. Organisations and change Satiret al (1991)
- 7. Benefits and ChangeManagement – the proposition Change is increasing in scope, scale and frequency Businesses must have the capability to respond to change drivers quickly and effectively Our experience has shown us what the change problems are How? Our experience tells us what the solutions to our change problems are BM reduces the impact of many of the known problems with change BM enables a common platform & agenda on which to identify & engage stakeholders
- 8. BM Overview BM –helps ensure that an organisation’s investment in change is both wholly beneficial and aligned to the organisation’s business strategy
- 9. Example benefits dependencymap (Cranfield) Enabler Business Changes Benefit Benefit Objective Disbenefit HS2 More good workers attracted to London HS2 Hybrid Bill To widen labour pool Reduce commute time Link Midlands to London ( 1) Increased regional spend HSR Bill Link economic centres ( 2) Shorter meeting journey time Increased UK Trading Improved GDP To increase passenger satisfaction To increase regional economic growth To increase jobs in regions
- 10. Enables effective measurement Measurement– essential for effective BM. Metrics and progress measures available to all stakeholders
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- 13. Relationship between ManagementCapabilities Business Contribution Change People, business & organisation Change BRM Shared agenda & benefits aligned to strategy BRM P2 Effective delivery of change enablers P2 Portfolio Strategic Oversight & control Portfolio Sustainable change aligned to organisational strategy Change Change Change BRM BRM P2
- 14. To summarise: BM enablesan organisation to provide meaningful answers to the following questions: Why are these changes necessary? What benefits do these changes realise? Are we making the best use of our investment? How are we performing? When will the expected benefits be realised?
- 15. To summarise: BM enablesan organisation to provide meaningful answers to the following questions: What executive support is there for these changes? Who is accountable/responsible for what? Who is impacted and what is their WIIFM dividend? What is my role and how do I contribute? How are other stakeholders contributing to the changes?
- 16. Top tips Implicate stakeholdersin the process – BM needs effective stakeholder engagement Emphasise that it is all about benefits! Understand the relationship and dependencies between the key organisational capabilities ‘Manage’ the impact of change on the organisation and its people If possible, pilot the rollout of BM and respond to and reconcile issues as they arise – as with most things ‘ORGANIC IS BEST’
- 17. Useful Links APM The Associationfor Project Management (Official group) Slideshare slideshare.net/assocpm Facebook Association for Project Management Google+ Association for Project Management Twitter @APMProjectMgmt YouTube youtube.com/APMProjectM gmt Benefits Management References Bradley, G (2006) Benefits Realisation Management, Gower Jenner, S, (2012) Managing Benefits, APMG http://bit.ly/1erQ4U0 APM, Benefits Management SIG APM, Enabling Change SIG Neil White - LinkedIn Profile uk.linkedin.com/in/changevista/
Editor's Notes
- #2 Brief Intro – APM and myself APM a progressive organisation aimed at furthering the profession of project management Aimed at establishing and improving on individual skills and experience Neil White BSc in Maths and Computer Science MSc in Change Management
- #3 Benefits Management SIG Benefits Management Thought leadership My interest is in leveraging change management thinking to maximise worth of BM practices Joint conference with Portfolio SIG
- #4 Organisations are able to make and sustain change when allowed to do so organically Many external change pressures for change Competition Globalisation More for less Etc
- #5 Describes the factors behind poor change performance Describe the impact of each feature to stakeholders Explain that all of these are avoidable
- #6 Developed from work originally carried out by kubler-ross and her team Human nature People can go through a number of emotions when faced with change Some go through all some just a few Change Management is about flattening this curve Change Management is about connecting and implication people with the change environment Stakeholder Management – People Enagagement
- #7 All change results in a loss of performance before benefits are realised Loss of performance due to: The negative impact on people Poor Change Management Poor business change management Change Management is about flattening this curve!
- #8 Relationship between Benefits Management and Change Management Benefits Management works best when organisational change thinking is applied to the capability Change Management thinking addresses the people and organisational aspects of change
- #9 The underlying BM process Linkage with organisations strategy Smart objectives allocated to accountable and responsible owners Benefits identified and agreed by all stakeholders – including who will measure and how Changes are identified and selected on their ability to enable delivery of benefits Realisation of benefits – made possible through all that preceded – needs great energy and rigour NOTE – benefits will probably not be fully realised until projects and programmes have closed
- #10 Make special mention of Benefits Maps Explain there are different type of maps Benefits Dependency Map (Cranfield) – shows benefits and enabling change Results Chain (DMR/Thorp) Provides a graphical representation of the vents and conditions required to achieve stated business outcomes. Four components: Outcomes (benefits) – circles Initiatives – squares Contributions – shown as arrows Assumptions – hexagons Logic Map Describe briefly participant approach to constructing them
- #11 Importance of measurement emphasised for each stage Keep people informed on continued relevance and progress of changes and benefits realisation Investors Business Managers End users Change Team Must be embedded where possible into BAU
- #12 Where multiple initiatives are underway tools become essential Manage complexity Labour saving Enable stakeholders to ‘picture’ progress Helps sustain required post change rigour
- #13 The ability to generate reports from tools mean reduced reporting burden Based upon dashboard concept Can usually be tailored to individual presentation preferences
- #14 – recognising the contribution and relationship that Benefits Management has with other organisational capabilities Change Management– the ability to manage the organisation, its people and business operations through change BRM – an end to end benefits driven process that engages with stakeholders and links changes with business strategy. Provides meaningful data to enable management P2 – enabling changes must delivered with key abilities such as measurement, reporting, risk, estimating etc Portfolio – tuned to meet organisations strategic needs – puts organisation in control
- #15 An opportunity in a single discipline to bring together the lessons learned around organisational change and project management Approached from a capability standpoint - learning is at the heart of successful organisational change management Addresses: Poor stakeholder engagement Limited confidence in approach & solution Lack of trust Poor communication and/or misinformation Fear & Anxiety & Isolation Disillusionment & Cynicism Limited/zero sustainability Unrealistic objectives Unclear WIIFM Poor understanding of how people contribute to change Poor performance measurement - feedback Limited accountability & ill-defined responsibilities Poor use of organisations resource etc
- #16 An opportunity in a single discipline to bring together the lessons learned around organisational change and project management Approached from a capability standpoint - learning is at the heart of successful organisational change management Addresses: Poor stakeholder engagement Limited confidence in approach & solution Lack of trust Poor communication and/or misinformation Fear & Anxiety & Isolation Disillusionment & Cynicism Limited/zero sustainability Unrealistic objectives Unclear WIIFM Poor understanding of how people contribute to change Poor performance measurement - feedback Limited accountability & ill-defined responsibilities Poor use of organisations resource etc
- #18 Introduce links