When it comes to leading organizational change, why do some transformation efforts fail?
Candice ShubbieConsultant| PROJECT40 ConsultingOntario, Ca, United States
Most of the transformative projects I’ve worked on usually involved the organization trying to keep up with their competition in some way. As a project manager with a marketing background, my take is that when stakeholders approve projects that are in response to their competition as opposed to their customers’ concerns, they aren’t usually as successful after evaluating all metrics.
However, removing the marketing aspect and looking at this purely as a PM, I believe that some of the unsuccessful corporate change efforts were mainly due to 1) management not being totally on-board with the change, and thereby the sense of urgency/importance does not trickle down. 2) not having a clear vision, or not effectively communicating the vision to the team, which usually leads to stakeholders ignoring obstacles to the new vision or worse, declaring victory too soon.
Managing change can be a bit tricky to navigate. What is your experience with why projects succeed or fail? Saving Changes...
Successful projects are those where the focus is more on customer needs and satisfaction rather than on the competition. I agree with you on the point that the management is not on board when incorporating the changes. This is due to a lack of communication between the Project Manager and the stakeholders. It is the job of the PM to get everyone on board and communicate the changes and requirements to the team.
As you said managing change can be tricky. Yes, it is and as a PM one can not overlook them. That's why risk management is done to decrease the chances of changes occurring other than customers changing their requirements.
Mostly Project fails due to a lack of communication between the stakeholders, and no verification and validation done by the team and customer at any stage. Risk Analysis is not done and the best development approach is not selected by the PM. Saving Changes...
There are many reasons why large changes fail including:
- Lack of sufficient change leadership and support throughout and after the project
- Magnitude of the change is too large to be absorbed or sustained
- Insufficient sense of urgency on the part of change champions or those being changed
- Ineffective engagement of those being changed in the rationale, design or implementation of the changes
Kiron Saving Changes...
Sergio Luis ConteHelping to create solutions for everyone| Worldwide based OrganizationsBuenos Aires, Argentina
Relating to change, project manager is not accountable for that. Project manager is accountable for a project which has sense to create a solution. The solution indeed will create a transformation taking an organization as an open an adaptable system. So, change management activities has to be included inside the project just in case change management activities are a feature on the solution. Critical is to understand that solution is equal to "the thing" to be created plus "the way" to create it. Putting this in the framework of the PMI the first component is on hands of business analyst while the second is on hands on project manager. Without the first is not possible to define the second. It does not mean that it will be a sequential process. Saving Changes...
Senior Projects Manager | Field & Marten AssociatesNew Westminster, British Columbia, Canada
Candice, the top two reasons why organizational transformation normally fails are Resistancr to Change and Lack of Clear Vision and Strategy. That said, sometimes there is also no cultural compatibilaty when the desired change is inconsistent with the existing culture or values, it can encounter resistance, skepticism, and challenges in adoption and integration. Saving Changes...
George FreemanThought Leader | Author | Architect| Florida, United States
Candice,
Most transformation efforts, or maybe better stated, projects in general, fail at some level due to “objective alignment” issues, which I believe fits in with your two points.
I have found MBO (Management By Objective) programs to be a good cure for this type of ailment as they formalize the performance of executives and employees against strategically stated goals/targets/objectives. However, for these programs to work correctly, there needs to be a benefit tied to meeting the stated objectives (e.g., monetary bonus, bonus vacation, etc.).
It’s amazing how a “bonus incentivized” environment changes the culture surrounding a project. Unfortunately, the great financial crisis of 2008 changed the appetite of most enterprises in this regard.
There's usually more than one factor. Here are some that I've experienced:
- There wasn't a clear vision of what "done" looked like (I know, you're never truly done transforming, but when you're paying a third party you want meaningful milestones with visible impact, not a never-ending engagement).
- A few leaders who didn't support the transformation formed a coalition and quietly sabotaged it.
- There was a lot of cheerleading, but little substance; leaders didn't walk the talk.
- The behaviors that were celebrated and rewarded weren't conducive to long-term improvements.
- Not having an effective change leader. You don't need a formal, titled project manager to run a transformation, but you can increase the likelihood of successful transformation by having a transformation manager to focus on the business side of the transformation and a change manager to focus on the people side.
- Not having a clear vision for what will happen and how the change will be maintained AFTER the "transformation" is done.
- Not understanding, or ignoring, the real changes that need to be made to actually transform.
- Thinking that changing how one organization works will transform the entire company.
- A leader thinking that it was everybody else that needed to change. Saving Changes...
Mike FrenetteManager, IT PMO| Halifax Water (retired)Halifax, Nova Scotia, Canada
Great topic, Candice, and one of my favourite soap boxes.
All projects introduce change, and all changes must be managed. You've already addressed strategic alignment and customer focus. That is, providing what your customers want rather than just trying to play 2nd fiddle to your competition, and responding to your customers strategically by contemplating changes that might very well trump your competition. Who doesn't want to be a leader instead of a folllower?
Communication is so key in any project. Projects with no change program often fail miserably just because the organization didn't bother to tell people a change was even coming. Is it any wonder in these cases when they try to shove something into the fabric of the organization all it does is cause a giant rift? How hard could it be to issue some communication from executives saying, "We've noticed a need for positive change because... and here is what we will do ...over this time frame ... and this is who it will help perform better in their role... and here is what is in it for you..." or something like that.
And then there is making people want to roll with it, to accept the change, to adopt the new processes and use the new products through, first, solid communication, explaining fully why, and second, providing the training to enable compliance, not through rules and regulations, but through a desire to succeed and the realization that the transformation is both required, positive and. hey, maybe even fun to use!
Finally, key is taking action to make sure the replaced tools and processes no longer work, to prevent people slipping back into the nasty old habits.
Just a few thoughts from my experiences in running projects for more than a few years.
Thanks for raising this! Saving Changes...
William M Hayden JrAdjunct Assistant Professor| University at Buffalo, School of Management, Operations Management & StrategyBuffalo, Ny, United States
Thanks Candice!
Re: ". . . unsuccessful corporate change efforts were mainly due to 1) management not being totally on-board with the change . . ."
Until and unless the behaviors of those in the C-Suite reflect the desired change,
it's just the "same-old."
As long-term employees will advise the newcomer:
"Relax, this too shall pass!"
Cheers,
Bill Saving Changes...
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