(c) Auth K Fairweather 01/10/13 07802 250508 1 NVQ IN MANAGEMENT Session 2: Operational Planning and Managing Change Kate Fairweather CMCAust Marketing

(c) Auth K Fairweather 01/10/13 07802 250508 1 NVQ IN MANAGEMENT Session 2: Operational Planning and Managing Change Kate Fairweather CMCAust Marketing 07802 250508

(c) Auth K Fairweather 15/08/13 07802 250508 2 Session 2 Objectives By the end of this session you will be able to: Describe methods to analyse the business environment and produce a SWOT analysis for your business Link your objectives to your organisations mission, vision and values Use a Gantt diagram to plan work and prioritise Develop SMART objectives to allocate work to team members fairly Select the most appropriate delegation level for you Identify resource requirements for your team Describe critical success factors for managing change in your organisation Describe how you can apply different team dynamics theories to allocate work effectively

(c) Auth K Fairweather 15/08/13 07802 250508 3 Links to other sessions Other sessions cover: Leadership and setting direction describes how to gather ideas and set objectives for your team Communications and working relationships identifies who your key relationships are with and how to agree objectives with decision makers Performance management and development provides the start of the process by developing solid SMART objectives Developing a Personal Development Plan there will be aspects of this workshop where you identify areas for your own development This session looks at methods you can use to plan, delegate, allocate work fairly, identify resource requirements, manage change well, use team dynamics for success and make effective decisions

The Operational Plan Where are we? Environmental analysis Where do we want to be? Mission, Vision, Values How do we get there? Agree the route with colleagues and stakeholders, motivational leadership Turn strategy into actions using planning methods Set SMART objectives Manage performance (c) Auth K Fairweather 15/08/13 07802 250508 4

Where Are We? Environmental analysis: SWOT (Strengths, Weaknesses, Opportunities, Threats) PEST (Political, Environmental, Social, Technological) you can add Legal, Ethical etc. Boston Consulting Group product positioning analysis (c) Auth K Fairweather 15/08/13 07802 250508 5

6 SWOT Strengths Your organisations own strengths People Resources Location Achievements Recognition of success Growth Weaknesses Your organisations weaknesses People Resources Location What has been less successful Downward trends

7 SWOT Opportunities What is going on around you that provides you with opportunities Local area changes Government initiatives Regulations Threats What is going on around you that could take business away Competition Government initiatives Regulations

Product Positioning Boston Consulting Group (c) Auth K Fairweather 15/08/13 07802 250508 8 Problem Child Cash CowDog Star High Growth LowHigh Growth Low Low Market share High

(c) Auth K Fairweather 15/08/13 07802 250508 9 Activity 1: Write down a SWOT for your area of your organisation Strengths Weaknesses Opportunities Threats

10 Mission and Vision Focus attention on the purpose of the organisation Give the direction the organisation intends to go Reflect the organisations culture Lever for change

11 Values A statement on the behaviour that is good for the organisation and what the organisation believes is important the organisations way of doing things Shared beliefs singing from the same hymn sheet Lever for change in attitudes Leads to common culture and response to problems and opportunities

(c) Auth K Fairweather 15/08/13 07802 250508 12 Activity 2: Describe how your job matches your organisation Mission, Vision, Values, and how your objectives contribute to the overall objectives of your organisation: Refer to your Job Description and Annual Objectives Consider the values of your team (refer to Leadership Session Activity 3) Example: Our values are: Our people are involved, listened to, are part of our team, are supported and support each other. Our services offer excellent quality and value and are continuously improved. Our customers are our business and are treated with respect, asked for their opinions and encouraged to help us to do better We grow through our reputation and judge our success by increased profitability as the measure of our efficiency in delivering customer requirements. Describe your core values in areas such as Care and consideration for people Care for customers Competitiveness Enterprise Excellence Flexibility Growth as a major objective Innovation Market driven Performance focus Productivity Quality Teamwork Meeting regulatory standards Anything else important to you

Planning Methods Blue Sky Fishbone (Ishikawa Diagrams) Critical Path Analysis Flow Diagrams Gantt Charts Can be used for Operational or Project Planning (c) Auth K Fairweather 15/08/13 07802 250508 13

Comparison of Methods (c) Auth K Fairweather 15/08/13 07802 250508 14 Matrix key: B = Blue Sky F = Fishbone/Ishikawa Diagrams C = Critical Path Analysis Flow Diagrams G = Gantt Charts *** - main tool ** - optional/secondary tool * - sometimes useful BFCG Project brainstorming and initial concepts, ideas, structures, aims, etc***** Gathering and identifying all elements, especially causal and hidden factors****** Scheduling and timescales ***** Identifying and sequencing parallel and interdependent activities and stages* **** Financials - costings, budgets, revenues, profits, variances, etc******* Monitoring, forecasting, reporting ****** Troubleshooting, problem identification, diagnosis and solutions******** 'Snapshot' or 'map' overview - non-sequential, non-scheduled***** Format for communications, presentations, updates, progress reports, etc. ***** www.businessballs.com

Fishbone Diagrams (c) Auth K Fairweather 15/08/13 07802 250508 15 Problem or outcome Causes Effects P S

Gantt Charts (c) Auth K Fairweather 15/08/13 07802 250508 16 Activity Time 1 Time 2 Time 3 Time 4 Time 5 Time 6 Time 7 Architect to design house Planning Permission Application Get builders quotes Select builder Building work Choose flooring Buy bathroom furniture Lay flooring Plumber fits bathroom Buy paint Decoration

(c) Auth K Fairweather 15/08/13 07802 250508 17 Activity 3: Select a project or some of your routine tasks and complete a Gantt Diagram, concentrating on each activity and how long it will take. Use a timescale suitable to the job these could be days, weeks or months. Include regular reviews/team meetings/reporting points. Activity Time 1 Time 2 Time 3 Time 4 Time 5 Time 6 Time 7

Risk Management and Contingency Planning (c) Auth K Fairweather 15/08/13 07802 250508 18 Nature of Risk or Uncertainty (what could go wrong) Likelihood High (3)/ Medium(2)/ Low(1) Impact High(3)/ Medium(2)/ Low(1) Likelihood x Impact [Score] Actions required to reduce the likelihood or impact (additional resources, spare capacity) and who will take responsibility to manage the risk Planning rejection by council133Ensure architect is fully qualified with experience of gaining permission with my council Builder underestimates cost of job 339Allow 10% contingency funding over estimate, check all local suppliers to get the best deal, me to project manage each stage Flooring does not fit space122Check architects measurements, use available web sites to calculate requirements and add 2% contingency to volume with use or return option Paint wrong colour for interior lighting 313Buy test pots and use at least 5 different shades, use paint that is easily painted over

(c) Auth K Fairweather 15/08/13 07802 250508 19 Activity 4: Using the tasks you put onto your Gantt Chart in Activity 3, review the sorts of risk and contingency plans you need to put in place using the format below. Nature of Risk or Uncertainty (what could go wrong) Likelihood High (3)/ Medium(2)/ Low(1) Impact High(3)/ Medium(2)/ Low(1) Likelihood x Impact [Score] Actions required to reduce the likelihood or impact (additional resources, spare capacity) and who will take responsibility to manage the risk

(c) Auth K Fairweather 15/08/13 07802 250508 20 Work Plans and Allocation You need to delegate effectively It is important to allocate work fairly to the team You need to take account of individual skills, experience, seniority, development objectives You need to assess how long routine tasks take and how to fit in team and one to one meetings, as well as length of development activities, training courses etc. You need to set performance standards for all the team and timescales for strands of work to be achieved

Delegation Define the task Select the person/people Assess ability and training needs Explain the reason and overall objective supported State the required results Consider resources Agree deadlines/standards/reporting/evaluation Support and communicate to all concerned, warn of political issues or sensitivities Feedback on results, pass on credit for success, absorb consequences of failure (c) Auth K Fairweather 15/08/13 07802 250508 21

Levels of Delegation Give responsibility to investigate, retain authority Give responsibility to investigate, share decision making Give responsibility to investigate, analyse and propose a solution Give responsibility for decision, but retain green light authority Give responsibility and authority, require reporting Put into job description, no longer monitor (c) Auth K Fairweather 15/08/13 07802 250508 22 Low High

(c) Auth K Fairweather 15/08/13 07802 250508 23 Activity 5: Review the Gantt Chart you completed for activity 3 and identify parts of the work that you can delegate to members of your team what level of delegation would you choose, what additional support (training, premises, equipment, materials) would they need? What sensitivities or political issues could arise? Activity to delegateWho to doLevel of delegation Training/ Development/ support needed Other Resources Potential Issues

24 Setting Targets - Objectives Targets -These are big things you need to implement to achieve changes in your business Objectives These are the things you need to do in order to meet your targets

25 Targets 3 Year Timeframe Having completed your SWOT you will have two or three things that you need to achieve to be successful bank your strengths, reduce your weaknesses, opportunities you can take or threats you want to avoid: Increase revenues Increase profit Increase market share Improve quality Improve customer satisfaction/service Offer new services Develop new customers

26 Setting Objectives Give direction to the operations of the business Provide the basis for resource allocation and individual motivation Allow ongoing decision making to be effective is this what we should be doing, does it help us to achieve our objectives? Allow evaluation of change and the success in achieving targets The way the Business Plan is put into action for everyone

27 Examples Target To increase income by 10% over 12 months to September Objectives Attract 10 more children into the nursery by April Increase prices by 4% in line with inflation from January

28 Detailed Targets Attract 10 more children into the nursery by April Offer a mother and toddler afternoon at Christmas, invite to Nativity Play and tea Produce leaflets and deliver to sport centre, social club, post offices Increase prices by 4% in line with inflation from January 2007 Write to all parents in November advising of the change in January

29 Actions .. Offer a mother and toddler afternoon at Christmas, invite to Nativity Play and tea Mary and Amy to arrange, put in the paper and parish magazine, ask the school to send round to parents by end November Cost Produce leaflets and deliver to sport centre, social club, post offices Susan to design on PC and copy in the office by December, all staff to deliver to all local outlets in January Cost Joan to write to all parents in November advising of the change Cost

30 Precise Objectives Specific Measurable Achievable Realistic Timescales AGREED If you write objectives like this you will be able to manage their achievement, monitor progress and take corrective action

(c) Auth K Fairweather 15/08/13 07802 250508 31 To understandTo mark To learnTo name To analyseTo calculate To testTo fix To discoverTo place To thinkTo move To solveTo complete To determineTo quantify To concludeTo check To inferTo define To graspTo state To developTo draw To deal withTo decide Activity 6: SMART Objectives Examples of Performance Criteria/Targets Increase invoices cleared in 30 days from 65% to 75% Clear customer queries within 2 days of receipt Prepare an agreed quality assurance manual for staff by 20 th September Recruit a trainee to cover for staff holidays and INSET by December Increase annual sales from 32K to 44K by December Undertake 5 messenger rounds per day according to delivery/collection schedule Offer Healthy Option packed lunches by October Increase customer orders shipped in 1 day of receipt from 75% to 80% Establish a new customer filing system by December Increase overall volume of customers by 15% by December Ensure all staff receive new induction training and have achieved all required courses by March Train all staff in new disability legislation requirements by February Writing Objectives - Avoid verbs that are ambiguous, be precise

(c) Auth K Fairweather 15/08/13 07802 250508 32 Ref. No Target DescriptionObjective:Actions:Who will do this Resource requirements (training/costs) Activity 6: Develop some of the targets above into objectives for individuals, identify any training or development needs, and resource requirements

33 Resource Planning Who is going to do what? Do they have the right experience/training/skills? How do you spread the load? What are the implications for other resources?

(c) Auth K Fairweather 15/08/13 07802 250508 34 Ref. No Target DescriptionObjective:Actions:Who will do thisResource requirements (training/costs) Activity 7: Develop individual objectives for the tasks you identified could be delegated in Activity 5 for two members of your team using the format below.

35 Managing Change Oh Lord give me the patience to endure those things which I cannot change, the courage to change what I can and the wisdom to appreciate the difference St Francis of Assisi People dont mind change what they mind is when its happening to them!

36 Some Telling Stories In the late 60s the Caterpillar company were the biggest supplier of earth moving tools in the world they had their best year ever In the 80s IBM Launched the PC and were the biggest brand in the world In the 90s Marks and Spencer said they would be the biggest financial provider in the country and expand into Europe on the back of being the no. 1 retailer in the UK CHANGE HAPPENS PREPARE FOR IT

37 Who Survives Organisations that: Provide consistent, excellent service Produce quality, value added services Make continuous improvement part of everyday operations Have flexible systems and people Employ committed people and give them the resources they need Know their customer needs well Understand the value of reliability, trust, flexibility

38 Making Change Happen You need your people involved, committed and part of the process Team commitment Individual commitment Tuckmans team development theory Belbins team roles People Potential model

Keeping Change on track Create a sense of urgency explain why the change is important Communicate the big picture present the information you have about the changing environment, your current situation, profitability, competition Share your thinking get their ideas and gain common ownership of problems and solutions Evolution not revolution show people how you need to get from A to B as quickly as possible with as little disruption as possible so they feel secure and confident to go ahead Communicate all the time tell people how it is going, what is happening, find out how they are feeling, give them your support Tell people what the probabilities are you cannot predict the future but give them the different possibilities you think are most likely, and when you will know for certain, this avoids unnecessary speculation and allows you room to complete additional information gathering Make face to face the main communication channel it allows you and your team to share ideas, concerns, successes and avoid misunderstandings Explain the implications for the individual One to one regular reviews of achievement of objectives as well as annual appraisals Develop listening skills and the ability to communicate at the right emotional level with the team get training or advice if you need it Invest enough time you may need several goes at discussing issues and reaching agreed conclusions, but you need to take everyone with you for the process to be successful (c) Auth K Fairweather 15/08/13 07802 250508 39

(c) Auth K Fairweather 15/08/13 07802 250508 40 Activity 8: What are the critical success factors in managing change in your team? What actions do you need to take to make change effective? Set yourself some objectives to improve your ability to manage change on the format below. Ref. No Target DescriptionObjective:Actions:Who will do this Resource requirements (training/costs)

Tuckmans stages of Team Development (c) Auth K Fairweather 15/08/13 07802 250508 41 Form PerformNorm Storm

Belbins Team Roles TypePersonalityContribution to the team Coordinator Calm, self-confident and in controlTreats suggestions objectively, good communicator Shaper Extrovert and dynamicSelf-starting, welcomes challenges, ideas person; may be impatient or restless Plant Creative, intelligent and originalThe source of ideas and proposals; may be poor on details Monitor/Evaluator Introverted, analytical and dispassionate Objective judge but may upset others Implementer Stable, reliable and sensibleGood organiser who will see jobs through but may be inflexible Resource investigator Enthusiastic, sociable and positiveGood at networking with others, reacting to a challenge; may become bored easily Team Worker Sensitive, good people skills, stableGood at supporting others and helping to retain harmony; may be indecisive at critical times Completer-finisher Introvert, anxious and conscientiousThe perfectionist in the team, but a worrier; may get immersed in detail Specialist Passionate about own topic areaKnowledgeable in key areas; may be over focussed on these areas (c) Auth K Fairweather 15/08/13 07802 250508 42

People Performance Potential Model (c) Auth K Fairweather 15/08/13 07802 250508 43 Backbone Problem ChildIceberg Star Low Performance High Low Potential High

Activity 9: Describe your team in terms of Belbins Team Roles or the People Performance Potential Model What opportunities and challenges does your team make-up give you? How could you develop individuals your team to make more of a contribution to your objectives? (c) Auth K Fairweather 15/08/13 07802 250508 44

Auth K Fairweather 15/08/13 07802 250508 45 Review of this session We covered Where are we now and where do we want to be SWOT, Mission, Vision and Values Use of planning methods to get us there Gantt Charts Principles of delegation Objectives, work allocation and resource requirements Change management issues Team dynamics theories Now choose from the notes you have made the specific actions you want to take. If you are taking a Management NVQ with CMC Aust then now email your work from Activities 1 to 9 to Kate Fairweather at [email protected] for assessment of learning and [email protected] Places to find out more search internet on any subject or theorist, these web sites are useful: All theories covered www.businessballs.com ACAS Model Workplace and all employment legislation www.acas.org.ukwww.businessballs.comwww.acas.org.uk

Management NVQ This workshop provides the underpinning knowledge for Unit 1, 3, 19, 22 of the Management NVQ Diploma at Level 5 and Unit 403, 416, 503, 504 of the Business Administration Diploma at Level 4 Management Option, plus NVQs at Level 3 and 2 in Management Business Skills and Business Administration For the Units you will need to produce for your NVQ Assessor: A statement on how your Job Description and Objectives fit in with the Mission, Vision and Values of your business plus copies of all these documents Evidence of your operational plan and SMART Objectives you have set your team Evidence of your own and your teams appraisals/one to ones and copies of team meeting notes, showing how you have set direction and objectives, monitored and developed your teams performance, planned and managed change Case study examples of two cases where you managed change within your team If you would like to take a Management NVQ please contact me, Kate Fairweather 07802 250508, email [email protected] or go to our website www.cmcaustmarketing.co.uk/nvq_qualifications.htm where you will find [email protected] www.cmcaustmarketing.co.uk/nvq_qualifications.htm Auth K Fairweather 15/08/13 07802 250508 46

Documents

(c) Auth K Fairweather 01/10/13 07802 250508 1 NVQ IN MANAGEMENT Session 2: Operational Planning and Managing Change Kate Fairweather CMCAust Marketing