Page 282 - Managing Change in Organizations
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Programmes of change
In response to the financial problems it was agreed that the group would not impose
the budget that year, but rather that local budgets were to be set with ‘quantified
stretch’ beyond the previous year. A new reporting format, with monthly reports and a
budget package, was now emerging and sent to local management for consultation.
Local management were allowed extra time to complete the budget pack and parallel
running of the new pack was organized for the last three months of the current finan-
cial year.
Inclusion
As the study groups completed their work, from one group had come proposals for
particular hardware/software combinations. Each study group was now briefed to
examine this option in detail. This set up a process of local presentations by the sup-
plier, with site visits to see the system operating elsewhere in order to assess cus-
tomer/user views. A detailed technical evaluation was also undertaken and provided
to the study groups. In parallel the CFO and project manager were making local vis-
its reviewing existing infrastructure. A crash programme of PC replacement, upgrades,
laser and desktop colour printers, etc. was implemented. Local choices were encour-
aged where compatibility was broadly available. Training plans and budgets were
emerging from the study groups. Again a sense that local views mattered began to
emerge.
Now a systems proposal was made to the group board. The plan set a date for instal-
lation, progressive roll-out, existing systems in place for a period but with a 12-month
plan to install, pilot, test, train, etc. and bring the new system online.
Learning
The main lessons were as follows:
■ An effective change project brings together the people who need to be involved
in a well-structured way, with clear reporting and accountability but with suffi-
cient freedom to encourage the sharing of skills, experience, needs, etc.
■ It is vital to avoid preconceived ideas on options.
■ It is important to minimize ‘fear of change’ by having those affected by change
involved in the process of change.
■ It makes sense to allow time for learning to develop to allow people to select
the right solution for local needs. It was more important to get the right solu-
tions than to get quick solutions.
If you were the CEO of a global business facing a radical change within tough
constraints of competitiveness, revenue instability, dramatic technological
change, a rapidly falling share price, investor pressure, legislative issues and so
on, what would you do? How do you put together a major change programme
if, say, you are ABB employing tens of thousands of people in hundreds of
units, businesses etc. across the globe?
Consider the case of Technology Associates, a fictional information man-
agement consulting business wholly owned by a group committed to the
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