Gartner BPM Summit Keynote - Adoption drives ROI

Driving Adoption:
The ROI of Change Management
Prosci ®
Research | Methodology | Training | Advisory Services
www.prosci.com | 970-203-9332
Copyright Prosci 2014. All rights reserved.
Dec 12, 2014
tcreasey@prosci.com @timcreasey
www.linkedin.com/in/timcreasey/

“Knowing what to do with a toon is easy.
It's getting them to do it that's hard.“
Ender to Bean in Ender’s Game, Orson Scott Card

Ownership
Accountability
Empowerment
Consistency
Predictability
Control

Bigger
Change

Faster
Change

More
Complex
Change

More
Multi-
Disciplinary

More
Cross
Functional

More Information

More Connected

V.U.C.A. World

The achievements
of an organization
are the results of
the combined
effort of each
individual.
Vince Lombardi

An organizational move from the current to the future
Current Transition Future
Ultimately requires individuals to move
from their own current to their own future
C C C C C
C C C C C
C C C C C
C C C C C
T T T T T
T T T T
F F F F
F
F F F
C T F
C C C C
T T T T
T T T T T
T T T
F F F
F F F F
F F
T
T
T
F
F
F
F
F
F
F

Successful change requires both
the technical and people sides
Technical side
People side
Design
Develop
Deliver
Embrace
Adopt
Use
Results
Outcomes
Success
+ =
Installation*
Realization*
* Daryl Conner

Results and Outcomes Depend on
Employee Adoption and Usage
Without With change management
=
X project
benefits
created
Adoption
and usage
gets bumpy
Adoption
and usage
takes longer
Adoption
and usage
incomplete
Adoption
and usage
not as expected
<X

The Gap
A great idea
A perfectly
optimized
process
An effectively
managed
project
Results and
outcomes
Benefit
realization
Sustained
ROI
EMPLOYEE
ADOPTION
AND USAGE
OF THE
SOLUTION

Change Management Blueprint
For Driving Adoption and ROI
Why
are we changing?
Who
has to do their
jobs differently?
How
Much
depends on
adoption
and usage?
What
can we do to drive adoption and usage?

Copyright Prosci 19 2014. All rights reserved.
“It is not the
answer that
enlightens, but
the question.”
- Eugène Ionesco

Why Are We Changing?
Organizational Benefits Project Objectives
1000
500
0
Future
Revenue
Costs
Profits
Efficiencies
Compliance
Safety
Process Excellence
Customer Satisfaction
Specific metrics and
measurements for
improvement
How work will be different
after the change

Organizational
Benefits
Project
Objectives
Revenue
Costs
Profits
Efficiencies
Compliance
Safety
Process Excellence
Customer Satisfaction
Metrics and measurements of
specific improvements
What the project is trying to deliver
How the organization will be different
after the change is implemented

Example: Supply Chain Optimization
Project
Objectives
Correct inventory levels held
Reduced transportation costs
Reduced cycle time
Reduction of waste in system
Organizational
Benefits
Maximizing gross margin return on
inventory invested (GMROII)
Improve Asset Turnover
Reduce Work In Process Inventory

Example: CRM (Customer Relationship Management)
Project
Objectives
Data entry kept up-to-date
Accurate information entered
Accurate reports generated
Increased use by all employees
Organizational
Benefits
Increase revenue by:
Turning leads into customers/clients
Increasing wallet share per client

BPM Example: standardize our back office processes
via adopting an ERP to reduce costs
Organizational
Benefits
and
Project
Objectives
Execute consistent processes for lower costs
(fewer exceptions and single process design)
Consolidated reporting, data consistency
Eliminate duplicate IT application systems
Improve processes through adoption of
‘best practices’
Advance processes to ‘next practices’
based on standard, single baseline

BPM Example: digitalized business processes
via multichannel integration
Organizational
Benefits
and
Project
Objectives
Improve/innovate the customer
experience to increase loyalty
Reduce costs of maintaining different
interaction channels and backend processes
Simplify doing business with us
Increase our responsiveness to
customers and partners

Project
Objectives
1. ?
2. ?
3. ?
4. ?
5. ?
Your Project
Organizational
Benefits
1. ?
2. ?
3. ?
4. ?
5. ?

PLACEHOLDER

Future
Adoption
contribution
How Much Depends on
Adoption and Usage?
Net Project Benefit
Dependent on
adoption and
usage
Not dependent
on adoption
and usage
Installation
contribution
ROI =
Expected Project Benefit – Project Cost
Project Cost
Net Project Benefit
Project Cost
=

Future
Benefit or
Objective
Future
Benefit or
Objective
Future
Benefit or
Objective
Adoption
contribution
Installation
contribution
Adoption
contribution
Installation
contribution
Adoption
contribution
Installation
contribution
How Much Depends on
Adoption and Usage?
Example variables that impact “people dependence”
Many employees impacted
Many aspects of work impacted
Drastically different than what we know
Disruptive
Few employees impacted
Few aspects of work impacted
Very similar to what we know
Incremental

Without With
=
X project
benefits
created
Adoption and usage
<X
How Much Depends on
Adoption and Usage?

How Much Depends on
Adoption and Usage?
Project
Objectives
1.
2.
3.
4.
5.
Organizational
Benefits
1.
2.
3.
4.
5.
Indicate how dependent
this benefit or objective
is on PEOPLE
ADOPTING AND USING
THE CHANGE

How Much Depends on
Adoption and Usage?
Standardize our back office processes via adopting an ERP to reduce costs
Organizational
Benefits
and
Project
Objectives
Execute consistent processes for lower costs
(fewer exceptions and single process design) 55%
Consolidated reporting, data consistency 80%
Eliminate duplicate IT application systems 10%
Improve processes through adoption of
‘best practices’ 50%
Advance processes to ‘next practices’
based on standard, single baseline 50%

How Much Depends on
Adoption and Usage?
Digitalized business processes via multichannel integration
Organizational
Benefits
and
Project
Objectives
Improve/innovate the customer
experience to increase loyalty 10%
Reduce costs of maintaining different
interaction channels and backend processes 60%
Simplify doing business with us 80%
Increase our responsiveness to
customers and partners 95%

How Much Depends on
Adoption and Usage?
Project
Objectives
1. ?
2. ?
3. ?
4. ?
5. ?
Organizational
Benefits
1. ?
2. ?
3. ?
4. ?
5. ?
Your Project
Overall

How Much Depends on
Adoption and Usage?
of expected project
%
benefits depend on
adoption and usage
is the ROI of change management

How Much Depends on
Adoption and Usage?
Expected benefits
Consequences
of poor adoption
and usage
is the ROI of change management

F
F
F F F F
F F F
F
Who Has to Do Their
Jobs Differently?
F F F F
F F F F
F
F F F
F
F
F
Future
Organizational
Benefits
and Project
Objectives
Individual
adoption
and usage
depend on
and require
Project
Objectives
1.
2.
3.
4.
5.
Organizational
Benefits
1.
2.
3.
4.
5.

Adoption
Employees are doing
their jobs the new way
Adhering to new processes
Exhibiting new behaviors
Using new systems/tools
Usage
Employees are effective
in their “adoption”
Proficiently
Completely
Minimal errors
Who Has to Do Their
Jobs Differently?

Who Has to Do Their
Jobs Differently?
Individual Transitions
Group
What does “to adopt and
use” mean for this group?
Group
Group
Group
Group
Changes to:
Processes
Systems
Tools
Job roles
Critical behaviors
Mindset/Attitude/Belief
Reporting structure
Performance reviews
Compensation
Location

Who Has to Do Their
Jobs Differently?
Group
What “to adopt
and use” mean?
Aspects of
job impacted
How big of
an impact?
Processes
Systems
Tools
Job roles
Critical behaviors
Mindset/Attitude/Belief
Reporting structure
Performance reviews
Compensation
Location

What Can We Do To Drive
Adoption and Usage?
Outputs:
Individual
Adoption
Usage
Project
Results
Outcomes
Benefits
Value
Inputs:
Defined
change
Technical
solution
Individual Change
Management Work Stream
Milestones needed for a
single person to make a
change successfully
Organizational Change
Management Work Stream
Deliverables (strategy
and plans) that support
individual transitions

Adoption and Usage?
Prosci® ADKAR® Model
Milestones of
Successful
Individual
Change
Awareness Desire Knowledge Ability Reinforcement
Awareness “I understand why…”
Desire “I have decided to…”
Knowledge “I know how to…”
Ability “I am able to…“
Reinforcement® “I will continue to…”

Adoption and Usage?
Individual:
Awareness Desire Knowledge Ability Reinforcement
Organizational:
Communication plan
Sponsor roadmap
Coaching plan
Training plan
Resistance Mgmt

Adoption and Usage?
Kick off “Go Live”
Initiate Plan Design Develop Deploy
Phase 3:
Reinforcing
Change
Phase 2:
Managing
Change
Phase 1:
Preparing
for Change
A D K A R
Strategy Plans Measures
General
Project
Lifecycle
Individual
Change Journey
Milestones
Organizational
Change Mgmt
Activities
Major events
Prosci®
ADKAR ®
Model
Prosci®
3-Phase
Process

SUCCESS
Adoption drives ROI
You can drive adoption
SUCCESS

1367 South Garfield Ave
Loveland, Colorado, USA 80537
+1 970-203-9332
www.prosci.com
www.change-management.com
The following are trademarks or registered trademarks of Prosci, Inc. All rights reserved. Prosci®; Project Change Triangle™ (PCT™); Awareness Desire Knowledge Ability Reinforcement®;
ADKAR®; Prosci® Change Management Maturity Model™; Preparing for Change, Managing Change, Reinforcing Change™

Prosci is a world-leader in change management
research and development – addressing the “soft”
side of change with process, structure and rigor.
www.prosci.com | 970-203-9332
We help organizations capture the portion
of project benefits that depend on
employee adoption and usage of solutions.
Our Mission
To help individuals and organizations
build change management competencies
through development and delivery
of research-based, holistic, and easy-to-use
tools and methodologies.
Our Principles
• Research-based
• Holistic
• Easy-to-use
Our Offerings
Research Training
Published tools Train-the-Trainer
Online tools Site licenses
Additional ways to
engage with Prosci
Prosci Portal: Online gateway to
your virtual change management
workspace. Includes free resources
and change management apps.
https://portal.prosci.com
Prosci Blogs: 10-15 minute reads
on a variety of change management
topics including communication,
resistance, methodology and
integrating change management
with project management.
http://blog.prosci.com
Free Webinars: 1-hour interactive
webinars with tips, research data and
suggestions covering many of the
pressing issues facing project leaders
and change practitioners.
www.change-management.com/webinars.htm
Prosci’s 2014
Best Practice
in Change
Management

Gartner BPM Summit Keynote - Adoption drives ROI

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