Change Acceleration Process (CAP) The Key to Change

Change Culture: A Continuing Journey

2003

Six Sigma 2005+ Lean & Quality Speed

2004

Growth:
IBs, CECOR, Lean, Customer Centric, Execution

Imagine, Solve, Build, Lead Using Change as a Strategic and ACFC (At the Customer For the Customer): 2000 Faster, Better, Closer to the Customer Competitive Advantage Digitization: Optimizing Change 1998 Sell, Buy, Make using Technological Tools Effectiveness Six Sigma Quality: 1996 Productivity, Span, Data-Driven Decision-Making Building a Culture that Make Customers Winners: GE Tool-Kit Drives Change Key Strategic Initiatives: QMI*, NPI*, OTR*, SP*, Productivity, Globalization

Imagination at Work:

1992

Change Acceleration Process (CAP):

Increase success and accelerate change

Process Improvement:
Process-mapping, re-engineering, Bullet Train Approach

Productivity / Best Practices:

Benchmarking External Organizations, Sharing Best Practices

1989

Work-Out / Town Meetings:

Empowerment, action Expert-Driven Decision-Making, Action Work-Outs, Customized Work-Outs
* New Product Introduction, Quick Market Intelligence, Order to Remittance, Supplier Partnership

Change Research
100% of all changes evaluated as Successful had a good technical solution or approach Over 98% of all changes evaluated as Unsuccessful also had a good technical solution or approach

What is the differentiating factor between success and failure?

From Your Change Experiences

Elements of Successful Change: __________________________________________ __________________________________________ __________________________________________ Elements of Unsuccessful Change: __________________________________________ __________________________________________ __________________________________________

Effective Change Equation

QxA=E
Q = Qualitative/Technical Solution A = Acceptance/Engagement E = Overall Effectiveness

Lessons Learned: 2 Components to Any Change

Facilitative Leadership

Change initiative focused on customer needs (target)

The Challenge = Do It With Speed!

CAP: The Basics

Provides a Pilots Checklist for change leadership A flexible non-linear model used throughout a change process Applies strategic thinking to the influencing of others Contains tools to help change teams identify ways to achieve behavioral change

The GE CAP Model

Leading Change
Creating a Shared Need Shaping a Vision Mobilizing Commitment Making Change Last Monitoring Progress CURRENT STATE TRANSITION STATE IMPROVED STATE

Future State

Systems and Structures

CAP: A Model for Change

Leading Change Creating A Shared Need Shaping A Vision Having a sponsor/champion and team members who demonstrate visible, active, public commitment and support of the change. The reason to change, whether driven by threat or opportunity, is instilled within the organization and widely shared through data, demonstration or demand. The need for change must exceed its resistance. The desired outcome of change is clear, legitimate, widely understood and shared; the vision is shaped in behavioral terms.

Mobilizing Commitment
Making Change Last Monitoring Progress Changing Systems And Structures

There is a strong commitment from constituents to invest in the change, make it work, and demand and receive management attention; Constituents agree to change their own actions and behaviors to support the change.
Once change is started, it endures, and learnings are transferred throughout the organization. Change is integrated with other key initiatives; early wins are encouraged to build momentum for the change. Progress is real; benchmarks set and realized; indicators established to guarantee accountability. Making sure that the management practices (Staffing, Development, Rewards, Measures, Communication, Organizational Design and Information Technology Systems) are used to complement and reinforce change

Setting Up for Success

Off to a Good Start

Why is this Important?

SU

A "good start" is essential to long-term success Even straightforward projects must be "scoped" to ensure attention is focused on essential elements & deliverables Effective teams are formed through deliberate actions, starting with clarification of roles, responsibilities and expectations

Time Invested up-front Pays Rich Rewards Down-Stream Go Slow To Go Fast!

What is the Outcome?

SU

Clear roles, responsibilities and expectations for all parties (Sponsor, Team Leader, Team Members, CAP Coach, Others) A well-defined scope of work for the project that all parties understand and are committed to achieving An effective project execution structure and process

Setting Up for Success: Tools

SU

Project Definition SCOPE:

Timing Organizations Involved Processes Involved Levels Involved

Project Definition Tools Bounding Tools:

GRPI Includes / Excludes Process Focus (SIPOC / COPIS) In the Frame / Out of the Frame

GOALS:
Results / Target for Project Measurements of Success

Alignment Test:
15 words Critical Success Factors

ROLES:
What is Their Role? Who Should be on Project Team?

Significance Test:
On the Screen

Project Scoping Tools

SU

In & Out of the Frame

Used For: Creating a visual picture of the elements in Scope (frame) and out of Scope for the project
In the Frame / Out of the Frame Flip Charts Draw a large square "picture frame" on a flip chart (or use tape on a wall) and use this metaphor to help the team identify what falls inside the picture of their project and what falls out. This may be in terms of type and extent of end results, people impacted, time frame, product lines, sites, etc.

15-Word Flip Chart

Used For: Developing a Project Definition Statement
15-Word Flip Chart Each team member is given a flip chart page and marker. They must write, in 15 words or less, the project definition. Post all and check for agreement. Double check all fuzzy words by circling them and asking "What does it look like?" or "How will we know it when we have it?".

PROJECT DEFINITION

PROJECT DEFINITION

PROJECT DEFINITION

Leading Change
Leading Change
Creating a Shared Need Shaping a Vision Mobilizing Commitment Making Change Last Monitoring Progress
CURRENT STATE TRANSITION STATE IMPROVED STATE

Systems and Structures

Why is this important?

LC

Strong, committed leadership is critical to accelerating change at all levels. Leadership impacts all other change elements. Change Leadership is not a part-time activity.

What is the outcome?

LC

Visible, active and public commitment/support. Willingness to take personal initiative and challenge the status quo. High levels of attention to the project through the time, passion and focus given to the project by leaders at all levels. Leaders actively modeling CAP concepts, language and tools.

Successful change initiatives require strong, committed Leadership throughout the entire project life-cycle

Leading Change Model

LC

FOCUS / AGENDA
Enroll Others Facilitative Leadership Skills Win/Win

TIME
Planning Behavior: Walk the talk

Change Skills
ENERGY / PASSION
Personal involvement Is "known for . . . "

Time x Focus/ Agenda x Energy/ Passion = Attention

Leadership Assessment Tools:

LC Calendar Test (Time Audit)
Used For: Stimulating thinking and team discussion about the degree of attention & commitment change leaders are modeling. 1. Identify 4-5 things you feel very strongly about (at home or work). 2. Check your calendar for the last 2-3 months to see what % of your time is spent on those things you say are important to you

CAP Self-Assessment
Used For: Assessing current capacity to show specific competencies in each of the seven core CAP processes.
Change Acceleration Process Self-Assessment

Leads change Creates a shared need Shapes a vision Mobilizes commitment Makes change last Monitors progress Changes systems & structures

1 2 3 4 1 2 3 4 1 2 3 4 5 1 2 3 4 5 1 2 3 4 5

1 2 3 4 5
1 2 3 4 5 1 2 3 4 5

1 2 3 4 5
1 2 3 4 5 1 2 3 4 5

Creating a Shared Need

Leading Change
Creating a Shared Need Shaping a Vision Mobilizing Commitment Making Change Last Monitoring Progress
CURRENT STATE TRANSITION STATE IMPROVED STATE

Systems and Structures

Why is this Important?

CSN

Forces any resistance or apathy to be addressed head-on. Validates why the project is important and critical to do. Builds the momentum needed to get the change initiative communicated and launched.

What is the Outcome?

CSN

Awareness of the dissatisfaction with the current state. A shared recognition, by both the team and key stakeholders, of the need and logic for change. The ability to frame and communicate the need for change as a combination of threats and opportunities.

Creating a Shared Need produces the urgency to build momentum for acceptance of the change initiative

Creating a Shared Need Tools:

CSN

Threat / Opportunity Matrix

Used For: Framing the need for change as a combination of threat & opportunity over the short and long term
Threat
If we dont make this change

Three Ds Matrix
Used For: Building your case for change with evidence using data, demonstration & demand Answers the question: Can I prove it?
Types of Proof
Data/ Facts:

Opportunity
if we do make this change

Examples

Short Term

Numbers / trends / statistics Graphs / Financials Benchmark / competitive data

Demonstrate:
Finding Examples Best Practices Visiting other Organizations / Panels/ Pilots/ Testimonials

Long Term

Demand:
Dynamic Leadership (Setting High Standards/ Accountability) Customers / Suppliers / Competition (Int. / Ext.)

Shaping a Vision
Leading Change
Creating a Shared Need Shaping a Vision Mobilizing Commitment Making Change Last Monitoring Progress
CURRENT STATE TRANSITION STATE IMPROVED STATE

Systems and Structures

Why is this important?

SV

Visions paint a picture that appeals to the head and heart and answers the question, Where are we heading? A clear statement about the future situation helps gain genuine commitment An understandable vision helps establish the milestones to monitor progress and change systems & structures

What is the outcome?

SV

A clear statement about the outcomes of the change A view of the future state that is: Customer focused Not just one persons dream Challenging Evolving, not static Behavioral and actionable Easy to understand

Visions provide Direction and Motivation for Change

Shaping a Vision Tools:

SV

Key Phrases Exercise

Used For: Involving all team members and capturing individual perspectives
1. Individually jot down key phrases that capture the essence of why the team exists. 2. Collect and collate into vision statement. 3. "Test" on customers, vendors, employees. 4. Modify as necessary.

Backward Imaging Exercise

Used For: Helping team members think about the future they are working to create
1. Imagine a point in the future when the project has been very successful. 2. Find words to describe what you would see, hear, feel as you observe key stakeholders functioning in the new, changed state. 3. Collate, debate, reach consensus on your vision statement, "test" on others & modify

Shared Visions come from collective efforts that reflect individual perspectives

Focusing Vision on Behaviors:

SV

Bull's Eye Chart Exercise

Used For: Developing a Vision that is stated in actionable, behavioral terms
Making a Vision Actionable
Vision Mindset

More of/Less of Exercise

Used For: Clarifying what the team expects from the new state in behavioral terms
Vision _________________________ Behaviors More of Less of

Behavior

Stating the Vision in actionable, behavioral terms helps the team gain commitment and identify sources of resistance

Elevator Speech Worksheet:

SV

1. A reality check to ensure that team members see the project the same way. 2. To ensure that the team members spread a unified consistent message.
"Here's what our project is about "Here's why it's important to do "Here's what success will look like "Here's what we need from you
(Responsibilities, Commitments, Project Plans) (Charter, Project Definition Tools) (Shared Need Tools) (Shaping a Vision Tools +Milestones)

"Here's what you can count on from me

(Commitments, Action, Follow-up)

(Output may change by stakeholder one size does not fit all)

Mobilizing Commitment
Leading Change
Creating a Shared Need Shaping a Vision Mobilizing Commitment Making Change Last Monitoring Progress
CURRENT STATE TRANSITION STATE IMPROVED STATE

Systems and Structures

Why is this Important?

MC

Understanding the key stakeholders whose support and commitment will make or break the change effort. Key difference between success and failure.

What is the Outcome?

MC

Coalition of committed stakeholders. Identification of potential resistance and a strategy to overcome it.

Mobilizing the Commitment of Key Stakeholders is Essential to the Success of the Change

Mobilizing Commitment Tools:

MC

Stakeholder Analysis For Change

Used For: Identifying stakeholders and their current level of commitment to the change initiative
Stakeholder Analysis for Change
Names Strongly Against Moderately Against Neutral Moderately Supportive

Technical-Political-Cultural Analysis
Used For: Identifying, labeling and understanding sources of resistance
Sources of Resistance Technical Definition Causes of Resistance Examples Rating

Strongly Supportive

Political

Cultural

People resist or support change for a variety of reasons.

CAP Toolkit:
Threat vs. Opp. More of Less of

MC
3D Matrix D

D
D

Stakeholder Analysis
-- - +/- + ++

Influencing Strategy

Visioning
Vision Mindset

Behavior

Elevator Speech

TPC Analysis

T
P C

Systems and Structures

Leading Change
Creating a Shared Need Shaping a Vision Mobilizing Commitment Making Change Last Monitoring Progress
CURRENT STATE TRANSITION STATE IMPROVED STATE

Systems and Structures

Why is this Important?

CSS

Successful change often involves significant realignment and leveraging of the way we organize, communicate, measure, train, develop, reward, compensate, promote and other systems within the organization. Desired new behaviors (More of Less of ) are reinforced through consistent attention to organizational Systems & Structures.

What is the Outcome?

CSS

Identification and utilization of key Systems & Structures that must be addressed to sustain project success. Utilization of Systems & Structures Best Practices. Alignment of Systems & Structures with desired behaviors.

Identifying and re-aligning key Systems & Structures are necessary for successful, long-lasting change

Factors to Consider:
CSS

Staffing Development Measures Rewards Communication

(Acquiring/placing talent) (Building competence/capability) (Tracking performance) (Recognizing/rewarding desired behavior) (Using information to build and sustain momentum) (Organizing to support the change initiative) (Utilizing IT technology to enable changes to be successful and sustained) (Adjusting or planning for financial and other resources to support the change project)

Organization Design
IT Systems Resource Allocation

Three Step Alignment Process

CSS
Vision Mindset Behavior

3. Creating future Systems & Structures 2. Current Systems & Structures Assessment

Degree of Difficulty

1. Identify Key Systems & Structures Which Systems & Structures Most Impact the New Behaviors? Identify the Key Stakeholder(s) of that S&S.

What about the current S&S is Helping or Hindering us from achieving the desired state behaviors? Helping Hindering Actions

Whats Missing? Identify Characteristics of New Systems & Structures. Determine Systems & Structures to Remove or Build. Identify Who to Engage and Develop Influence Strategy.

Develop Influence Strategy/ Action plan.

Time

Communication Planning Matrix:

CSS
Channel Announce the CAP Project Clarify the Vision Begin to Mobilize Commitment Begin to Monitor Progress Changing Systems & Structures

Written:

Newsletter Bulletin Board V.P. Memo etc.

Used For:
Communication Strategy (various Channels)

Spoken: One-on-many

All employees meeting Weekly staff meeting Operating managers meeting Etc.

Indicate those that are suitable for:

Providing Information Persuading Empowering

Spoken: One -on-one Symbolic:

Offsite conference Press conference etc.

Include:
Audience Who When Where

Making Change Last

Leading Change
Creating a Shared Need Shaping a Vision Mobilizing Commitment Making Change Last Monitoring Progress
CURRENT STATE TRANSITION STATE IMPROVED STATE

Systems and Structures

Why is this Important?

MCL

We often spend most available time on the launch of an initiative rather than its institutionalization Every change initiative competes for time, resources and attention To ensure that the new behaviors will not revert back to the old habits

What is the Outcome?

MCL

Consistent, visible, tangible reinforcement of the change initiative Integration of new initiative becomes the way we work Changes to Systems and Structures enable the new behavior that supports the Vision

Launching a Change is just the beginning. It must become the Way of Life

Monitoring Progress
Leading Change
Creating a Shared Need Shaping a Vision Mobilizing Commitment Making Change Last Monitoring Progress
CURRENT STATE TRANSITION STATE IMPROVED STATE

Systems and Structures

Why is this Important ?

MP

An accurate measure of the CAP project provides focus, direction & momentum throughout the change process. Corrective action can only occur if you know you're off track. Monitoring Progress enhances your ability to reward key events and milestones.

What is the Outcome ?

MP

Clarity and agreement on what the acceptance strategy looks like in measurable & observable terms. Baseline data & milestone results of the change process tracked and widely communicated. Increasing momentum as people see progress and results being realized.

Measuring & tracking progress along the CAP elements demands ongoing attention by the team

Effective Change Equation

QxA=E
Q = Qualitative/Technical Solution A = Acceptance/Engagement E = Overall Effectiveness