Chapter10_Implementing Business Change

PHÂN TÍCH NGHIỆP VỤ KINH DOANH Bài 10: Quản lý thay đổi HCM – Apr-21 4/7/2021 Objectives Be able to: Discribe the nature of the change Outline the enviroinment for change Discuss what needs to take place for the change to be successful Identify and discuss business change cycle 4/7/2021 Trang AGENDA Introducing a new business system The nature of change The environment for change Business change life cycle • • • • • Alignment Definition Design Implementation Realization BA vs Business Change The business analyst role is vital His role is to  understanding the impact of the change;  planning what needs to take place for the change to be successful;  carrying out the planned change;  making sure that the change becomes embedded in the organization Introducing a new business system Change:  new processes and procedures  new IT systems Consequent effects:     4/7/2021 may require new skills Some jobs disappear New roles  Any change can be unsettling if it is not well managed Trang The nature of change Change is becoming more common  Organizations, their structures and product sets  To achieve competitive advantage  To survive  To develop Change is difficult Change is an organic process:  requires the positive support  Reduce / eliminate of the negative factors  requires time and nurturing 4/7/2021 Trang The Environment for Change The Environment for Change The external environment  includes everything outside the organization • general environment • business domain – individuals, groups and organizations with which our organization has contact  often provides the initial impetus for change 4/7/2021 Trang The Environment for Change  Inside the organization  Strategy • matching external demands with internal capabilities • stable  Structure • organizations with different types of structure have differing abilities to handle change  resources: employees, business processes, systems and the data and technology  experience of change 4/7/2021 Trang The Environment for Change The individual  People: • carry out the new or different processes • Work with the new IT systems  is considered the most difficult aspect of introducing change  From the start of the change process, we need to understand: • who the stakeholders are; • the nature of their interest; • their likely reaction to the change 4/7/2021 Trang 10 The Business Change Lifecycle Alignment  aligning with the strategy • The strategy is a high-level, medium- to long-term plan •  strategic management • outlines how we intend to achieve our long-term objectives The Business Change Lifecycle Alignment Strategy links the internal and external factors The Business Change Lifecycle Alignment  aligning with the strategy • Approaches: – balanced business scorecard (BBS) – check any proposed changes against the overall business strategies The Business Change Lifecycle Alignment  Aligning with the culture • Culture: ‘the way we things round here’ • it is difficult to change: – employee mindset – Attitudes – processes, – performance-monitoring and reward mechanisms • The gap between the existing and the ideal future culture indicates what needs to change The Business Change Lifecycle  Aligning with the culture • an organization’s ‘cultural web’ (Johnson, Scholes and Whittington (2008)) Stories Rituals and routines Power structures Cultural web Control systems Symbols Organisational structures 4/7/2021 Trang 18 The Business Change Lifecycle Definition  Planning the human dimension of change is necessary  Change requires trust •  How? – project principles – management principles The Business Change Lifecycle Definition  Kotter: Change process (8 steps) Establish a sense of urgency • ‘felt need’ for change Form a powerful guiding coalition • How will this be implemented Create a vision • What will things look like after this is implemented Communicate that vision • What you need to know about what we are implementing The Business Change Lifecycle  Design: covers the design and development of:  the new or refined business processes;  the IT applications that support the changed processes;  the job definitions of the staff carrying out the processes;  the updated organisation structures along with changes to management responsibilities;  testing for all of these elements so as to ensure that they work correctly and in an integrated manner The Business Change Lifecycle  Implementation  delivery of the message about the business change • Presentations • Communication  Awareness of the change stages by management and staff  Training • How? •  action learning approach (Revans 1982) •  Concerns-Based Adoption Model (CBAM) •  Reward systems The Business Change Lifecycle Implementation • action learning approach (Revans 1982) The Business Change Lifecycle Implementation • Concerns-Based Adoption Model (CBAM) - (Hord, Rutherford, HurlingAustin and Hall, 1987) The Business Change Lifecycle  Realisation  ensure that the planned change has taken place • Has the change has been implemented appropriately? • Have the anticipated benefits have been achieved? • Will the change be sustained? Is it embedded in the organisation? • Can the change become the basis of further refinements and improvement? • Can the change be adopted elsewhere within the organisation and hence • result in further benefits? ... new business system The nature of change The environment for change Business change life cycle • • • • • Alignment Definition Design Implementation Realization BA vs Business Change The business. .. The Business Change Lifecycle Definition  Planning the human dimension of change is necessary  Change requires trust •  How? – project principles – management principles The Business Change. .. objectives The Business Change Lifecycle Alignment Strategy links the internal and external factors The Business Change Lifecycle Alignment  aligning with the strategy • Approaches: – balanced business