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2020‐01‐09
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Physical Asset Management Program‐ 106 – Impact of Change Management in Asset Management
Don M. BarryAsset Management Principal [email protected]
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Important
This document is not to be released to any third party without the prior consent of Asset Acumen Consulting. It contains copywrite information, the disclosure of which would likely cause material financial harm to Asset Acumen Consulting, prejudice its competitive position and interfere with its ongoing or future contractual or other negotiations. The document also contains personal information as defined in the Privacy Act(Canada).
© 2019 Asset Acumen Consulting
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• Day 1
• Leadership and Control
• Maintenance Parts Management Pyramid of Excellence Overview
• An approach to creating a Maintenance Parts Management Strategic Plan
• KPIs for Maintenance Parts Management
• The importance of Maintenance Parts in ‘effective’ Maintenance Execution
• Day 2• Inventory Policy Management Dynamics
• Inventory Planning
• Asset Life‐cycle Integration
• Inventory Optimization
• Procure and Repair
• Day 3
• Implementing Maintenance Parts Management
• Technology and Maintenance Parts Management
• Impact of Change Management in Asset Management Initiatives
• Spares Provisioning & Inventory Optimization
• Key Inventory Issues
• Types of production Inventory
Presentation Agenda
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• Day 4
• Managing Risk and Cost in Parts Management (with case studies)
• Risk and Cost Management
• Setting the Reorder Point
• Setting the Reorder Quantity
• Reliability‐Based Spare Parts Management
• Determining Excess Inventory
• Developing Store Room Layouts, Improvement Projects, Re‐organization,
• Storeroom Measures and KPIs
• Maintenance Parts Purchasing Insights
• Day 5• Going Deeper in Asset Life‐cycle Initial Spare Parts Tactics Setting
and Monitoring Goals
• Partnering with Others
• Benchmarking performance
• Managing repairable spares
• Managing capital spares
• Putting the 5‐Day Maintenance Parts Excellence Course into Practice
• Next Steps
Training Mapping Models and Icons
• Models will be shown throughout the training.• To assist in understanding the flow and relationships
• Reminder Icons are to help you understand the intent of the presented materials
• Examples
• Hints
• Exercises
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Example
‘Hint’
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“Like rowing upstream, not to advance is to drop back.”‐Chinese proverb‐
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The convergence of physical assets and IT applications requires a new approach for managing infrastructure and services
Assets are ‘everywhere’ and Deliver Unique Value when Integrated into an Ecosystem of Intelligent “Systems of Systems”
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Agenda
• Challenges maintenance organizations face today
• The benefits of improving maintenance
• Why change management is important in an Asset Management / IWMS implementation
• Survey of 13 Asset Management / IWMS large implementations with a change management focus
• Example of change management steps and plans
• Critical success factors of change management
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Asset Management Change Focus
• Enterprise asset management (EAM)means the whole life optimal management of the physical assets of an organization to maximize value. It covers such things as the design, construction, commissioning, operations, maintenance and decommissioning/replacement of plant, equipment and facilities.
• Facility management is an interdisciplinary field primarily devoted to the maintenance and care of large buildings.
• Duties may include the care of air conditioning, electric power, plumbing and lighting systems; cleaning: decorating: grounds keeping and security. Some or all of these duties can be assisted by computer programs.
• An Integrated Workplace Management System (IWMS) is an enterprise platform that supports the planning, design, management, utilization and disposal of an organization's location based assets.
Source – Wikipedia 2009
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‘Hint’
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What Are Some Of The Challenges associated with Asset Management?
Process Related Challenges
• Manage the lifecycle of all property from acquisition to disposition, and all related agreements
• Support facilities management and space accommodation services
• Upgrade to improve system performance and take advantage of functional and technical improvements
• Develop an asset maturity module
• Implement a tax module
• Improve data value and quality
• Improve management of surplus property,
• Drive auditable transaction management“Goal of replacing ten legacy systems”
Slide: 9Source: Collected from an IBM Survey 2009
Example
Major areas of concern in many enterprises around the world
Financial Market Earnings Pressures
Financial Market Earnings Pressures
Regulatory Attention to Performance
Regulatory Attention to Performance
Customer Demands for Performance
Customer Demands for Performance
Capital Asset RequirementsCapital Asset Requirements
Restricted Access to Capital
Restricted Access to Capital
Limited Revenue Growth Opportunities
Limited Revenue Growth Opportunities
Supply and Demand Pressures
Supply and Demand Pressures
Increased Environmental
Pressures
Increased Environmental
Pressures
Data to Information
Data to Information
Asset Management
Asset Management
Cost Reduction
Cost Reduction
StrategicStrategic
TacticalTactical
Legend
Risk Management
Risk Management
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Example
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Slide: 11
…. however, the market is different today than it was a decade ago
•Infrastructure at end of life
•Retiring workforce
•Rate of Return at all time lows
•Economic lows
•Decade of cost cutting has hit the wall
•Customer expectations are shifting
•IT advancements change daily
•New business technologies are poised to fundamentally change the business
•IoT, Analytics, and Cognitive tools will change how we do business and the competitive landscape in the near future
Example
1. Adapted from “Uptime, Strategies for Excellence in Maintenance Management”, John D. Campbell, Productivity Press, 1995
How do large organizations successfully improve their maintenance performance?
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Maintenance Parts Management Excellence Pyramid
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The Traditional Value of Asset Management
Maintenance
Plant Assets Plant Value
Parts
Procurement
Accounts Payable
CustomerSupplier
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Processes documented and coodinated with support areas (Inv. / Purc)Evidence of regular review cyc
Processes documented Evidence of periodic review. Procedures well documented and organized
Processes Documented Planning and Scheduling disciplines are prevalentMedium amount of Reactive and PM Workload
Some processes documents. Moderate amount of procedures availableHigh PM Workload
Processes not documented. Some procedures availableHigh Reactive Work Percentat
10.Process Redesign
Decentralized teams
Business based decisions
Excellent cooperation with Maint. / Production
Teamwork a hallmark of entire organization
Self Directed teamsMaint. / Production cooperation at all levels. Team work at organization levels
Directed WorkforceSome TeamworkMaint./ Production cooperation at working level
Directed WorkforceNo TeamworkGood cooperation of Maint. And Production
Directed WorkforceNo TeamworkMaint & Production relationship strained
9. Autonomous Maintenance
All Tactics Based on Analysis
Some CBMSome Prev. Maint. Few Surprises
Time and Use Based InspectionsSome - NDT
Time Based InspectionsAnnual S/D Inspections Only
4. Maintenance Tactics
Fully Integrated to common databasesData Standards in Place
Fully Functional Asset Mgmnt System liked to Financials and/or Inventory Systems
Fully Functional Asset Mgmnt. Stand Alone System
A “System” that Allows for Some Scheduling and PartsTracking
Manual or Ad-hoc specialty Systems
3. Data Mgmnt/ IT
Multi-Skilled Independent Trades
Some Level of Multi-Skilled Staff
Decentralized Mixed Trade Teams
Partly Centralized for Some Trades
Highly Centralized2. Organization / Management
*Service levels 95%+*On line material requisitioning *Turns exceed 1.5
*Alliances developed *(Free Issues )*Streamlined processes*Material Delivery Process Established *Automatic Matching of Invoices *Compurtized inventory control system
System computerizedStock levels set – no Maint. Input.Lead time and Safety Stock Levels set – Rare;
*Some storeroom controls*Lack of performance measurements *Turns less than 1.0
*Absence of storeroom management practices
5. Materials Management
Some FMECA used
Mean Time to Failure / Repair Records AvailableSeparate Maintenance Costs
Solid General Planning and Scheduling Job Planning with Engineering Support
Long Term Improvement Plan
II Competence
RCM Program in PlaceRisk and Root Cause Analysis Program
Failure DB Established. Used for Analysis
Collect s Failure Data but make little use of it
No Failure Records8. Reliability Centered Maintenance
OEM BenchmarkingFull Cost Database
Downtime by CauseMaintenance Costs Available
Some Downtime / Reliability RecordsMaint. Costs Not Segregated
No Systematic Approach. Maint. Cost Not Available
7. Performance Measures
Long Term Major Project Planning for both Maintenance and Engineering
Maintenance Planning Group EstablishedAd-hoc Engineering
Some Troubling Shooting SupportInspection Scheduling
Little or No Formal Planning, Scheduling, or Engineering Support
6. Planning and Scheduling
Established and Communicated Maintenance and Asset Strategy
Annual Improvement PlanPrevent Maintenance Improvement Program
Mostly Reactive Breakdown Maintenance
1.Strategy
I Excellence
III Understanding
IV Awareness
VIInnocence
RatingLevels
Processes documented and coodinated with support areas (Inv. / Purc)Evidence of regular review cyc
Processes documented Evidence of periodic review. Procedures well documented and organized
Processes Documented Planning and Scheduling disciplines are prevalentMedium amount of Reactive and PM Workload
Some processes documents. Moderate amount of procedures availableHigh PM Workload
Processes not documented. Some procedures availableHigh Reactive Work Percentat
10.Process Redesign
Decentralized teams
Business based decisions
Excellent cooperation with Maint. / Production
Teamwork a hallmark of entire organization
Self Directed teamsMaint. / Production cooperation at all levels. Team work at organization levels
Directed WorkforceSome TeamworkMaint./ Production cooperation at working level
Directed WorkforceNo TeamworkGood cooperation of Maint. And Production
Directed WorkforceNo TeamworkMaint & Production relationship strained
9. Autonomous Maintenance
All Tactics Based on Analysis
Some CBMSome Prev. Maint. Few Surprises
Time and Use Based InspectionsSome - NDT
Time Based InspectionsAnnual S/D Inspections Only
4. Maintenance Tactics
Fully Integrated to common databasesData Standards in Place
Fully Functional Asset Mgmnt System liked to Financials and/or Inventory Systems
Fully Functional Asset Mgmnt. Stand Alone System
A “System” that Allows for Some Scheduling and PartsTracking
Manual or Ad-hoc specialty Systems
3. Data Mgmnt/ IT
Multi-Skilled Independent Trades
Some Level of Multi-Skilled Staff
Decentralized Mixed Trade Teams
Partly Centralized for Some Trades
Highly Centralized2. Organization / Management
*Service levels 95%+*On line material requisitioning *Turns exceed 1.5
*Alliances developed *(Free Issues )*Streamlined processes*Material Delivery Process Established *Automatic Matching of Invoices *Compurtized inventory control system
System computerizedStock levels set – no Maint. Input.Lead time and Safety Stock Levels set – Rare;
*Some storeroom controls*Lack of performance measurements *Turns less than 1.0
*Absence of storeroom management practices
5. Materials Management
Some FMECA used
Mean Time to Failure / Repair Records AvailableSeparate Maintenance Costs
Solid General Planning and Scheduling Job Planning with Engineering Support
Long Term Improvement Plan
II Competence
RCM Program in PlaceRisk and Root Cause Analysis Program
Failure DB Established. Used for Analysis
Collect s Failure Data but make little use of it
No Failure Records8. Reliability Centered Maintenance
OEM BenchmarkingFull Cost Database
Downtime by CauseMaintenance Costs Available
Some Downtime / Reliability RecordsMaint. Costs Not Segregated
No Systematic Approach. Maint. Cost Not Available
7. Performance Measures
Long Term Major Project Planning for both Maintenance and Engineering
Maintenance Planning Group EstablishedAd-hoc Engineering
Some Troubling Shooting SupportInspection Scheduling
Little or No Formal Planning, Scheduling, or Engineering Support
6. Planning and Scheduling
Established and Communicated Maintenance and Asset Strategy
Annual Improvement PlanPrevent Maintenance Improvement Program
Mostly Reactive Breakdown Maintenance
1.Strategy
I Excellence
III Understanding
IV Awareness
VIInnocence
RatingLevels
What areas and to what degree do they plan to invoke change?
Adapted from Asset Management Excellence”, by John D Campbell & Andrew K S Jardine, Joel McGlynn14
Example
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What Are Some Of The Challenges associated with Asset Management?
Traditional Approach New Approach
Maintenance is about preserving physical assets Maintenance is about preserving the functions of assets
Routine maintenance is about preventing failures Routine maintenance is about avoiding, reducing or eliminating the consequences of failures
The primary objective of the maintenance function is to optimize plant availability at minimum cost
Maintenance affects all aspects of business effectiveness and risk – safety, environmental integrity, energy efficiency, product quality and customer service, not just plant availability and cost
Maintenance Philosophy Related Issues
The maintenance department on its own can develop a successful, lasting maintenance program
A successful, lasting maintenance program can only be developed my maintainers and users of the assets working together
Source: John Moubray, Maintenance Management – A New Paradigm
There is an opportunity to up the value perception of maintenance and its’ contribution to ROA15
Example
Experience dictates that a focus on Asset Management can significantly help an asset intensive organization’s bottom line and compete in the future.
Strategic Vision Strategy Enablers
Maximize Shareholder
Value
Strategy Enablers
Tangible Benefits Intangible Benefits
MaintenanceCost Reduction
MaintenanceCost Reduction
MRO Inventory ReductionMRO Inventory Reduction
Data / AnalyticsAlignment
Data / AnalyticsAlignment
Fixed Asset UtilizationFixed Asset Utilization
ImproveSustainability
ImproveSustainability
Improve Financial ControlImprove Financial Control
Improve Customer ServiceImprove Customer Service
Competitive Cognitive Alignment
Competitive Cognitive Alignment
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Example
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Example: Programme Benefits
Core Quantifiable
Benefits
IT BenefitsReduced Risk
Reduced Support Costs
Inventory BenefitsCorrect Inventory
Improved Inventory Mgmt
Maintenance BenefitsImproved Planning and Scheduling
Planned Work Lower Cost
Intangible Benefits
Operations BenefitsImproved Reliability and Uptime
Source: Actual Client Change Benefits Chart 17
Example
Scope of a Leading EAM Package
IdentifyNeeds(Planning)
ScheduleMaintenance
Work
IssueMaterials
ExecuteMaintenance
Work
Maintenance Process
Document &AnalyzeWork
Initiate Work
Labor Entries toPayroll/HR
EquipmentControl
EquipmentConfiguration
Bill of Materials
•Preventive•Predictive•Detective•CBM•Corrective•Lubrication•Repair
Actions Requiring Work
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‘Hint’
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IdentifyNeeds(Planning)
ScheduleMaintenance
Work
IssueMaterials
ExecuteMaintenance
Work
Maintenance Process
Document &AnalyzeWork
Initiate Work
Labor Entries toPayroll/HR
Specify
SourceOrder
Store
Control
Use
Analyze
EquipmentControl
EquipmentConfiguration
Bill of Materials
Materials ManagementProcess
•Preventive•Predictive•Detective•CBM•Corrective•Lubrication•Repair
Repairables
Materials Delivery
Reports
Actions Requiring WorkScope of a Leading EAM Package
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‘Hint’
IdentifyNeeds(Planning)
ScheduleMaintenance
Work
IssueMaterials
ExecuteMaintenance
Work
Maintenance Process
Document &AnalyzeWork
Initiate Work
Labor Entries toPayroll/HR
Specify
SourceOrder
Store
Control
Use
Analyze
EquipmentControl
EquipmentConfiguration
Bill of Materials
Materials ManagementProcess
•Preventive•Predictive•Detective•CBM•Corrective•Lubrication•Repair
Repairables
Materials Delivery
Purchase Request
Select Vendor
Issue P.O.
Fulfill P.O. byVendor
Receive Materials
Pay Invoice
Reports
ProcurementProcess
Accounts Payable
Actions Requiring WorkScope of a Leading EAM Package
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‘Hint’
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Value Proposition an EAM Prospect? Why Now?
Increase Productivity
Business Agility
Enhanced Visibility & Controls
RefurbishmentFoundation
Global Community
Visibility of data at work site Role based screens and workflows Role based dashboards with KPIs Reduce paper based work packages Collect readings and validate at site Mobile field force
Standards‐driven Industry Solutions with feature rich capabilities
Quickly adapt to changing regulations and process changes through configuration and workflow
Add fields, create screens and applications using configuration tools
Common process and user‐friendly interface
Improved compliance through automation supported by escalations to focus attention
Straightforward search capabilities Powerful and configurable KPIs Export search results to Excel, also data imports Operational KPI’s and Business Intelligence leverage Information readily available through start center
screens
Invest now in a strategic platform, taking advantage of this opportunity, prior to the planned launch of major refurbishments
Execute the refurbishment sequence with enhanced data, visibility, productivity, process alignments, and controls in place
A passionate and dedicated global community backs Industry
Corp User can influence product direction, along with our other Industry Development Partners
Momentum Shift towards Modern Strategic Platforms, where 10 of 13 Recent Industry Corps chose this solution
Lower10‐YearTCO
Lower implementation costs Lower maintenance costs Lower upgrade costs with less disruption Avoid capital investment in duplicate Operational data
solution A modern system and a reliable tool Optional leverage of Cloud Hosting
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Example
Analytical InsightsTrends and PatternsSupports Decision MakingOptimization
Why change the tools we use today?
All Asset ClassesSimple or ComplexConnected or Disconnected
Industry FocusDeep Expertise and Capabilities Best Practices
ArchitectureScalableHigh PerformingSecure
Deployment OptionsOn-PremiseSaaSHybrid
User ExperienceRole-BasedMobileCollaborative & Social
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Example
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Our motivation for focusing on the “people” dimension in the ERP implementation is clear – it is through people that we will realize the full value of the change effort
IDC Study of a series to SAP Implementations
% of Firms Experiencing Problems
36%
41%
43%
44%
44%
46%
54%
65%
72%
82%
No Horizontal Process View
Scope Expansion / Uncertainty
Lack of Skills
Poor Project Management
Unrealistic Expectations
Inadequate Sponsorship
Resistance to Change
90%0% 10% 20% 30% 40% 50% 60% 70% 80%
IT Perspective not Integrated
Case for Change not Compelling
No Change Management Program
6 out of the top 10 ERP implementation issues are “people”
related
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Example
Change History Survey Results / Observations
Change History
0
2
4
6
8
101
23
4
5
6
7
8
9
10
111213
14
15
16
17
18
19
20
21
2223
Low Risk Medium Risk High Risk Ratings
Change History Key
Category Question #•Change Vision 1,2•Change Leadership 3-5•Building Commitment 6-13•Sustaining Change 14-16•Configure Change 17•Manage Change 18-23
Source: Actual Client Change History Chart 24
Example
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Change History
0
2
4
6
8
101
23
4
5
6
7
8
9
10
111213
14
15
16
17
18
19
20
21
2223
Low Risk Medium Risk High Risk Ratings
Change History Key
Category Question #•Change Vision 1,2•Change Leadership 3-5•Building Commitment 6-13•Sustaining Change 14-16•Configure Change 17•Manage Change 18-23
There have been rewards for
participating in change and punishments for failing to participate
Problems emerging in change are solved
quickly
Decision making does not slow change unduly
Leaders demonstrate their personal
commitment to change through their actions
People expect change to succeed after it is
announced
Learning significantly different new skills and
behaviour is normal
Change History Survey Results / Observations
Source: Actual Client Change History Chart 25
Example
Change Management ‘hind sight’ can be 20/20!
Would Improve Focus On Percent RespondedSenior Mgmt Buy-In 69%Stronger / more frequent Communications 69%Change Management as essential project component 46%Start with process and leave technology to later 38%Ensure experienced Change Manager 23%Start Early with Change Management 15%Completion of UATs 15%Harvest more ideas from Users 15%Plan training in waves 15%Train project team on product 8%Less focus on "as is" 8%Project staff availability 8%
Survey from 13 companies that had a defined Change management focus on a completed CMMS implementation:Government, Oil and gas, Utilities, Forestry, Government, Communications, CPG
Change Management Focus Percent RespondedSenior Management Buy-In 69%
Super User Community 69%
Scalable Training & Analysis 69%
Communications Plan 69%
T3 Training 62%
Aligned Communications with IT Rollout 62%Stakeholder Analysis 54%Organization Development 38%Defined Process Owners 31%Defined KPIs Early 23%Helpdesk 15%Conference Room Pilot 8%
Source: Collected from an IBM Survey 200926
Example
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Our experience with managing people implications of major changes has provided us with a number of lessons learned
Early Organization Change Management drives business ownership and accountability at the appropriate levels of the business and ultimately contributes to sustaining the changes that the project will introduce
Appropriate participation of stakeholders in the identification of business benefits and impacts will facilitate the ability for people to identify benefits and impacts for themselves and plan accordingly
Early identification of organization change management risk factors allows for the development of a robust organization change management strategy
Ensuring that “people” systems and structures are properly aligned with technology, process and system changes, gives a better chance of realizing the intended benefits from the system implementation
Creating a Change Team and Change Network with clear roles, responsibilities and competencies enhances the effectiveness of the change effort
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‘Hint’
Why a Change Management focus in Asset Management?
It will focus on the “What’s in it for Me” by role when developing Communications, Training and Change Readiness plans for each constituent.
It will focus on face‐to‐face engagement via our sponsor; leaders (Change Champions); and members of the volunteer ‘Change Army’ (Change Agents) in a company’s Line organizations.
It will train the Change Agents to understand the process and technology impacts of the changes; how people move through the phases of change; and how to help their colleagues adapt.
It should leverage Lessons Learned from previous EAM, ERP or other operations implementations.
It should leverage experience and best practices in change to ensure that you successfully adopt and sustain the benefits of the planned changes.
It ideally will leverage job aids and on‐line help for pre and post go live support.
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Success
‘Hint’
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A successful system implementation is about more than technology. A proven organization change management framework helps link change activities to the delivery of sustainable organization benefits
Change Framework
Develop a benefits realization discipline Position leaders to confidently and competently
drive change Actively manage stakeholder engagement and
communication to maximize understanding, commitment and productivity
Ensure integration and alignment of all projects and initiatives
Design organization roles and a structure to support the future vision
Provide the necessary knowledge transfer and user training to support new processes and technology
Position /motivate leaders to deliver change benefit Track to report on change and benefits
Potential Areas of Focus
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Value Realization
Transformation Strategy and Management
Organizational Design
Skills and Knowledge
Stakeholder Engagement
and Communications
Culture Transformation
Change Leadership
Case for ChangeCase for Change
Tracking BenefitsTracking Benefits
‘Hint’
The organization change management approach should address some of the challenges that organizations will potentially face over an extended change effort
Ensure mission critical employee continuity during a period of potentially high attritionEngage managers in owning the difficult organizational decisionsOvercome uninformed expectations that technology/software will solve everythingEnsure employee buy-in and maintaining organizational energy for the duration Effective resource utilization planningAddress constituent change fatigue and cynasism
Executive RiskExecutive Risk
Organization RiskOrganization Risk
Employee RiskEmployee Risk
CMMS Team Risk
CMMS Team Risk
Maintain strong, visible, aligned and engaged executive commitment Ensure leadership continuityBuild the capacity for both change leadership and organizational leadership
Drive significant change to internal processes that will effectively transform the organization “Keep the lights on” whilst maintaining a focus on changeManage integration, alignment and prioritization of all projects and initiatives Move from a crisis-management, reactive approach to a more deliberate work style
Avoid consulting partner dependency Ensure capacity building of the technology/software teamMaintain effective team dynamics throughout a long term projectEffective decision making
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‘Hint’
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Well managed organization change ensures that the benefits of the change are realized earlier and are sustainable
•The cycle of a typical large scale systems and process implementation
High Expectations
Realization of effort and complexity
Despair
Light at the end of the tunnel
Better than before
Sta
keh
old
er P
erce
pti
on
s
Change Implementation
— Unmanaged Change
Managed Change—
High Expectations
Realization of effort and complexity
Despair
Light at the end of the tunnel
Better than before
Change Implementation
Time
— Unmanaged Change
Managed Change—
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‘Hint’
Typical Systems Project High Level Set of Objectives
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Initiate
Blueprint
Design
Build (Test, Integrate)
Deploy
Support
Primary Objectives:1. Confirm alignment
project vision with the business strategy, goals and objectives.
2. Establish a clear scope definition.
3. Define and implement overall project structure and plan.
4. Outline high level strategy documents
Primary Objectives:1. Confirm alignment
project vision with the business strategy, goals and objectives.
2. Establish a clear scope definition.
3. Define and implement overall project structure and plan.
4. Outline high level strategy documents
Primary Objectives:1. Assess current
footprint and develop the target application and process design.
2. Rationalize the existing Reports, Interfaces, Conversions and Enhancements (RICE) components.
3. Define the target infrastructure and begin procurement process.
Primary Objectives:1. Assess current
footprint and develop the target application and process design.
2. Rationalize the existing Reports, Interfaces, Conversions and Enhancements (RICE) components.
3. Define the target infrastructure and begin procurement process.
Primary Objectives:1. Develop detailed
designs and build components to implement the target solution.
2. Create production infrastructure.
3. Develop training materials
Primary Objectives:1. Develop detailed
designs and build components to implement the target solution.
2. Create production infrastructure.
3. Develop training materials
Primary Objectives:1. Integrate
components into a cohesive business solution.
2. Thoroughly test system.
3. Finalize Master Cutover Plan.
4. Finalize Training Materials.
5. Execute end‐user training.
Primary Objectives:1. Integrate
components into a cohesive business solution.
2. Thoroughly test system.
3. Finalize Master Cutover Plan.
4. Finalize Training Materials.
5. Execute end‐user training.
Primary Objectives:1. The composite parts
of the program are brought together and assembled into a working system and cut over activities facilitate the transition to operations.
2. Continue End‐User training
3. Go‐live
Primary Objectives:1. The composite parts
of the program are brought together and assembled into a working system and cut over activities facilitate the transition to operations.
2. Continue End‐User training
3. Go‐live
Primary Objectives:1. Post implementation
support provided.
2. Stabilize
Primary Objectives:1. Post implementation
support provided.
2. Stabilize
‘Hint’
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Throughout the project ‐ the Organization Change Management program is fully integrated into the project life cycle and activities
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Initiate
Blueprint
Design
Build (Test, Integrate)
Deploy
Support
Strategy• Building clarity of the vision for the change and the leadership team’s resolve to deliver • Identifying potential organizational solutions to maximize change benefits• Informing the selection of change strategy based on an early diagnostic
Planning & design• Planning the management of change
(stakeholder management, communication planning, training, team etc)• Designing the right structure, changes to behavior and HR processes to fully
integrate the new process and technologyMode of
OperationGo live preparation• Managing the delivery of training, communications, etc• Developing job profiles, security, updates to HR
processes, etc
Tactical
Strategic
Complete & Sustain• Work to confirm new processes are
accepted on-going habits• Report on benefits realized
‘Hint’
Change Management Plan Foundation
Change Management Strategy Outline
1. Purpose for the change or transformation
2. Client's vision, values, and beliefs about change
3. Overriding imperative for change (the "burning platform");
4. Characteristics of the change:
• who will be affected
• why they will be affected
• where the change will happen
• what the change will look like
• when the change will take place
• identification of implementation stakeholders
• sponsor, agent, and target communities
• approach for identifying and managing resistance to implementation.
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Example
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Stakeholder Analysis and Mapping
Reaction to change
Impa
ct o
f ch
ange
on
stak
ehol
der
Level of co-operationNeeds
Follower Enthusiast
Program Stakeholder Analysis
Unacceptable
FC&AFC&A
DCTDCT
SCMSCMASCOASCO
OperationsOperations
MaintenanceMaintenance
Reaction to change
Impa
ct o
f ch
ange
on
stak
ehol
der
Level of co-operationNeeds
Follower Enthusiast
AM Program Stakeholder Analysis
Unacceptable
FC&AFinance
DCTIT
SCMProcurementASCOWarehouse
Operations
MaintenanceMaintenance
Source: Actual Client Change Stakeholder Summary Chart 35
Example
36
Deg
ree
of S
uppo
rt f
or th
e C
hang
eD
egre
e of
Sup
port
for
the
Cha
nge
Time
1. Contact
2. Awareness
Time
1. Contact
2. Awareness
3. Understanding
5. Implementation
6. Adoption
7. Institutionalisation
3. Understanding
4. Positive Perception
5. Implementation
6. Adoption
7. Institutionalisation
8. Internalisation8. Internalisation
Maintenance
Production
Engineering
HR
Procurement
Measuring where each Stakeholder group is in their acceptance of the process change is helpful in understanding to what degree risk actions should be taken
How do we drive to success?• By Stakeholder Group?• What actions are needed?
‘Hint’
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Typical deliverables from a systems implementation engagement across the total project lifecycle
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Initiate
Blueprint
Design
Build (Test, Integrate)
Deploy
Support
Identify High Level Job Changes, Performance Measures and Training Strategy
People and Organisational Change Activities
Confirm Vision, Mission & Objectives
Get Management Sponsorship/ Buy-In and Build Teams
Perform Change History / Readiness Assessment
Perform Stakeholder Analysis
Develop Communication Strategy and Plan
Understand Organisational Impact
User Support Activities
Develop Culture Change Initiatives
Deliver Training
Detailed Organization Changes and Role / Job Descriptions and Metrics
Set-up Support Network
Develop Transition Plan and Supporting Communication Material
Ensure Continuous Improvement
Develop Training Material
Evaluation / Prep Implementation Plan Realization Deploy and Post Go‐Live
Go-Live Transition SupportEnsure Continuous Improvement
Executive Sponsor Updates
Example
Leading Change Programs are tailored to develop a robust change program to best prepare each culture’s employees for a smooth and safe transition
Build the muscleFormalize change expertise and systematically build enterprise-wide change capabilities.
Ensuring: Regular use of a formal method Training for formal change management method Building Change capabilities
Make change matterUnderstand the benefits and embed the activities of a change management program.
Ensuring: An understanding of organization benefits Appropriate level of senior leadership support Adoption of new skills/behaviours Commitment to being a Champion Drive to the planned change benefit realization
Lead at all levelsCultivate a change-centric culture starting from the top and including the entire organization.
Ensuring: Leadership Accountability Active Engagement of Staff Empowerment of Change Leaders at all levels
Change Impact Assessment
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Example
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Example: Change Management On‐going Program
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Change Impact Assessment
Change Network
Communications
People Readiness
Change Impacts• Are understood for every impacted role / shift• Support activities are prescribed• Impacts – documents on a “journey map” – A
Day in the Life
Communications• Website of status is created and updated • Newsletter created for Leaders and Advocates• Face to face campaigns – Meetings, Roadshows, etc.• Multiple Communications Campaigns leveraged,
including Pod Casts, Emails, Management updates, Company Newsletters
• Awareness• Clarity• “What is in it for me?”
Change Advocate Network• Create a network of leaders and peers to act is
Program Change Advisors and Advocates• SPOC for outbound communications trials
• Driving shoulder to shoulder supportc
Crew Preparation • Preparation for each group impacted by
the Go‐Live• Process Handbooks, Guides• Journey Map References• Quick Reference Guides• On‐site and central support as needed
Example
Corporate Initiative Overview (General for all): Overall vision statement, Scope, Supporting policies, High–level processes, Change impacts, Transition plan
Corporate Business Process Overview (Role specific): Detailed Processes, Roles and Responsibilities, Asset Mgmt concepts, Work Management Life Cycle concepts, Inventory & Procurement concepts, Business values: config workbook and domains, Data quality
Target System Introduction & System Navigation (General for all): Sign In/Out, Nav basics, common usage
Target System Training (Role or Function specific): Start Center basics, Relevant business scenarios, Step‐by‐step work instructions, Hands on system exercises, Go live prep, User support
Corportate Knowledge Repository (Organizational specific): Presentation materials, FAQs, Job Aids, EAM Work Instructions, Standard Operating Manuals
Corportate User Support (Available to all): Business and System support contacts, Day 1 set up, Policy and process reminders,
A Leading, Robust and rigorous training program ‐ ADDIE
Foundational Level
+
Functional/ Role Level
+
Knowledge & Support Level
Change Teams work with Corporate Culture to deliver: Comprehensive training plans with detailed role based curricula Tools, materials and job aids T3 (Train the trainer) programs Post Training support/plans Training Evaluation to confirm capabilities and readiness Training resources (as required)
Example of a Learning Path
ADDIE Methodology
Analyze Design Develop Implement Evaluate
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Example
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Leading Change Management & Training Programs use methods that are based on best practices and can be adapted to Corporate Strategic and Tactical needs
Change Management Roles
Provide leadership and develop/manage the overall Change Strategy
Provide direction on change methodology, tools and quality, change activities & scope
Provide change management work product templates and guidance on how to use them
Lead and or participate in interview, discussions and workshops
Provide change manage issue resolutions and recommendations
Help and advise on selecting stakeholders
Collaborate with Bruce Power Change Lead and project teams for change activities
Training Roles
Training Lead lead will build the Training Strategy and Plan
and will advise and provide leadership to the
development of the Training courseware and the Training
rollout and will assist in Train‐the‐Trainers
SW Integrator will providing SW Training assets, Training
documentation templates and tools
Corporate Trainers will customize the Training materials
and related courseware and data as required and will lead
the Training logistics and Training delivery
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Example
Slide: 42
Communications Plan ExampleInitiative Audience Medium Frequency Design Points (Example)
Program Newsletter Operations, Maintenance, Finance, SCM, Proc’mt
E-mail Bi-Weekly Branding of Project Project Updates
Poster Campaign Operations, Maintenance, Finance, SCM, Proc’mt
Notice Boards
Monthly Branding of Project
Extended Team Meetings
Operations, Maintenance, Finance, SCM, Proc’mt
Face to Face Monthly Project Design Updates
Department Meetings Operations, Maintenance, Finance, SCM, Proc’mt
Face to Face As scheduled What this means to them
Executive Meetings Executives and Steering Committee
Conf Call and Face to face
Monthly Project Updates
Executive Letters Operations, Maintenance, Finance, SCM, Proc’mt
E-mail Quarterly Why this is important to our organization
Road Show Operations, Maintenance, Finance, SCM, Proc’mt
By central location
Before ‘new’ process start
BrandingReadinessQ&A
Workshops Operations, Maintenance, Finance, SCM, Proc’mt
Face to Face Before ‘new’ process start
BenefitsTo Be Process Training
UAT Operations, Maintenance, Finance, SCM, Proc’mt
Face to Face Before ‘new’ process start
Validation of To Be processes
Training Operations, Maintenance, Finance, SCM, Proc’mt
Face to Face, T3
Before ‘new’ process start
As required, JITT3
Helpdesk Operations, Maintenance, Finance, SCM, Proc’mt
Phone. E-mail
Post Transition Support
Sustainment Support
Source: Actual Client Change Communications Planning Chart
Example
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Line Management
Contingency Plan Leads
TMC Communications Team
Support Team
ESC & Executive Team
Report
Transition Plan Readiness Example
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Success
Pre‐Transition Training, Checklist
On‐line Training (Post Transition)
Sustainment Support, Helpdesk
Process Owner
New Issues
• Latest News
• Qs & As
• What is done for you
• What you need to do
•Change Advocates Group (Super User Process Development)
•Peer Organization Reviews•User Acceptance Tests•Pre-transition Training •Transition User Checklist•Post Transition Training Website•Process Advocates, Super User, Supervisor Support•Sustainment Helpdesk•Maintenance Process Owner
Support
Example
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The 8 critical success factors provide a useful framework… . . .• Compelling need for change
• A clearly defined problem or a compelling opportunity • Justification for the investment
• Clarity of direction• Clearly understood long-term goals and scope of change• Vision linked to supportive actions and accountability
• Visible and committed leadership• The implementation has a high-level executive sponsor or
sponsoring group• The executive committee shares the same goals as the front-
line managers• An effective project office team
• Targeted, effective communications• Individual needs are met• Consistency in the messages• Effective two-way communications in existence• Successes being leveraged• Complete and open communication • Enterprise wide learning taking place
• Disciplined project management• Consistent milestones established• Roles and responsibilities clearly defined and made visible
Measurable goals- Effective project goals in existence- Performance tied to compensation
Broad-based participation- An enterprise wide culture change being considered- Skills available to implement the change- The current management style is effective for the change
Single program focus- Related activities effectively aligned and coordinated
Example
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Questions
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