White Paper Building a Change Management Office 9 Steps to Make Your Change Efforts Stick Does this scenario sound familiar? A new program, designed to take advantage of a new market opportunity, is expected to substantially improve business performance. It takes months to develop the perfect implementation strategy. Introduction 1. Design and establish a change enable change management strategies, management office structure. processes and goals. Each organization Employees receive program details and has different needs and limitations for guidelines. Initial interest in the program 2. Create change management a CMO. Changes vary by volume, type fades quickly. After a few months, the methodology, tools and templates. and complexity of typical change efforts. new program is abandoned and marked a 3. Align the change management Additionally, organizations may face failure, disappearing into obscurity. methodology with project limitations due to processes, culture, management. Similar stories play out year after year geographic locations or budget. Major in companies everywhere. The fast- 4. Engage key leaders and stakeholders to decisions to be made when designing the paced nature of our global economy support the CMO. CMO include to scope, strategy, goals, means promising new changes are 5. Raise awareness of change structure, roles and responsibilities. designed on a regular basis. A deliberate management and the CMO. change management strategy is crucial 6. Develop change management Strategy and scope for companies looking to be agile in knowledge and skills in employees. Determining the strategy and scope of the their adaptability, but structured in their 7. Deliver change management on CMO is a key first step when designing approach to change. projects to set an example and prove and establishing its structure. Establishing change management the value. Key considerations: offices (CMOs) or change management 8. Measure and show change centers of excellence (COEs) can add management results and successes. n What will the CMO need to accomplish? structure to how a company approaches 9. Change the culture to view change inevitable changes. This can increase the management as a key part of project n Will it drive efforts to increase the likelihood of successful implementation implementation. use of change management, set and adoption of new programs, requirements for which projects must processes and ideas. CMO/COEs are While CMOs/COEs can vary dramatically use change management or simply be also tasked with enabling or improving in structure, processes, staffing or goals, a center where employees can access change management capabilities within they can all utilize these nine steps for templates and guidance? their development. These steps walk a company. Their specific role may n Will the CMO lead change organizations through building the vary from organization to organization. management or will change foundation for a successful CMO by For some, the CMO delivers change management be led by project engaging employees to embrace change management work, while others provide managers with CMO support and management and create lasting change. project managers and employees with the resources? tools and training needed to deliver the The goal is to continue providing the n What specific divisions, functions or change management work themselves. change management support required to successfully meet business needs. project types will it support? Will it only While the role may vary by company, support projects above certain impact, the purpose is the same – to enable Step 1. Design and establish a revenue or budget levels? a company to effectively manage the CMO structure These decisions will form the foundation people side of change and implement the The first step is to design and establish a for designing the CMO and will influence needed changes for success. CMO that will lead change management how the CMO is implemented. Steps to Set Up a CMO efforts. This demonstrates a commitment to embrace and improve change Setting up a CMO can be a daunting management, and also provides task. In most cases, companies will need accountability for change management to build the CMO from the ground up. within the organization. Organizations with successful CMOs typically undertake nine major steps to A CMO provides a place for the establish them including: organization to go for change management support. This will also better Structure Step 2. Create change into the organization’s current project A well-designed structure can provide management methodology, management processes. This approach can save time and resources, but the foundation for success and remove tools and templates barriers. The design should be informed should be done with care to ensure by the strategy and scope, as well as Once a CMO is established, a change that the intent of change management limitations due to budget, culture or the management methodology supported is not lost. with resources and tools needs to be existing organizational structure. n Whichever option an organization created. This will enable individuals to prefers, it is important to consider that Key considerations: view change management in a consistent the methodology does not need to be and common way, and will serve as a Where is the CMO located within the intensive or complex. Often, a simple guide to efficient and effective change organizational structure? methodology consistently applied management delivery. provides the structural foundation for Should it have a centralized, decentralized change management. or matrixed design structure? Methodology Different organizational structures Tools and templates Roles and responsibilities necessitate varied approaches to the Tools and templates should also be The final major decision when designing way business is conducted, and change developed to support the methodology. the CMO structure is defining roles management methodology is no Many existing change management and responsibilities. Responsibilities exception. In every case, organizations methodologies include associated tools are varied and may include building should focus on obtaining and solidifying and templates, but organizations may change management awareness, leadership and stakeholder commitment also create those more suited to their training employees, developing and throughout the phases of change organization. maintaining a change management management. However, whereas a methodology and resources, delivering top-down organization may emphasize Step 3. Align the change change management on projects or formal leadership engagement, a flatter management methodology advising leaders on how to structure organization’s methodology may focus project implementations to best support on engaging influencers and those who with project management employee adoption. lead indirectly. Organizational structures Once a change management can differ greatly from company to methodology has been developed, After determining roles, responsibilities company, so change management it should be aligned with project and staffing, take into account the methodology should be tailored. management activities to allow for an following: Organizations have several choices for easier integration of change management n Specialization of team members (for establishing a change management principles and activities when applicable. example, generalists versus specialized methodology. Organizations with formal project workers). They can: management methodologies should n Employment status (for example, FTE n Leverage an existing methodology used consider where change management or part-time workers versus contingent by other organizations, customizing it activities can and should exist within their staff). to closely align to their organization’s existing frameworks. For organizations n Once the CMO has been staffed, it culture. The advantage here is existing with an informal approach to project continues to drive the next steps. methodologies have oftentimes been management, change management tested and/or refined. n Create a brand new methodology, tying it specifically to the needs and operating model of the organization. n Create a hybrid methodology by leverage an existing methodology methodology and incorporating it methodology should be aligned to n Stakeholder analysis: As part of employees, including the use of change general project management activities. efforts to engage leaders and other management. Since HR is often a channel This effort may be as basic as identifying stakeholders, a key first step involves for feedback on general employee key project milestones (for example, conducting a stakeholder analysis. The concerns and attitudes, it is critical to leadership approval/go-lives) and aligning analysis will help identify stakeholders engage HR in change management them to key change management (including key leaders), and document efforts to inform the CMO’s approach to activities. their influence and impact within the managing change. If an organization does organization. not have a department directly dedicated Step 4. Engage key leaders n Business case for CMO: Additionally, to organizational development or and stakeholders to support as a critical component of leadership transformation, the CMO can be housed CMO and stakeholder engagement, a clear with the HR department. Sponsorship for change management business case for the establishment of Program management office (PMO): a CMO must