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CHANGEMANAGEMENT:

AChangeWillDoYouGood!

LeanTrainingonHowtoBecomeaChangeAgentandEffectivelyManageChange

IntroductionTherearemanytoolsandtechniquesintheLean‘toolbox’,allsuitedtodifferentapplicationsandcircumstancesLeanErrorProofingShopFloorManagementTotalProductiveMaintenanceLayoutOptimizationPullSystemsChangeManagementValueStreamMappingSet-upReductionBatchSizeReductionLeanDiagnosticsLeanBusinessCaseITToolsPerformanceMetricsTheoryofConstraintsTheLeanMaster’sToolBoxIsSeagatetheonlyplacewhereChanges

arehappening?“It’saneraofchange.You’vegottobasicallyacceptchangeasaneverydayeventandbelievethatit’sagoodthing.”-SteveLuczo

GOAL

ProvideChangeAgentswithknowledge,tools,andhands-onpracticetoeffectivelyimplementchangewithminimaldisruptionandfrustrationtoemployees,customersandsuppliers.

LearningObjectivesRecognizethe4“StagesofChange”thateachindividualtravelsthrough.Understandtypicalbehaviorsthatoccurduringeachstage.DiscoverChangeManagementopportunitiestohelpbothindividualsandorganizationsmovethroughchange.

LearningObjectivesUnderstandWHYchangeiscriticaltoSeagate’ssurvivalintheglobalmarketplace.Applythe8stepstoImplementChange.Recognizethe12ingredientsintheRecipeforChange.

AllCompaniesChange

CompaniesmustcontinuallyundergochangetosurviveandgrowORGANIZATIONALEFFECTIVENESS TIME

ChangecanbeDisruptiveORGANIZATIONALEFFECTIVENESSTIMETRANSFORMATIONPOINTBEFOREEstablishedsystems“Solidified”cultureHighlevelofeffectivenessDURINGandAFTERDisruptionstoleadershipandsystemsOrganizational“nervousness”Reducedeffectiveness

TheTransformationPoint

Lowstability;HighchaosHighemotionalstressControlbecomesamajorissueHighundirectedenergyPastbehaviorsbecomehighlyvaluedConflictincreasesResistancestartstobuild

HowweintendtogetthereThroughadoptionofSeagate’sVALUESWITHVISION:1.PEOPLE2.CUSTOMERSUCCESS3.EXCELLENCE4.INNOVATION5.TEAMWORK6.OPENNESS7.SOCIALRESPONSIBILITY8.SUSTAINABLEPROFITABILITY

HowweintendtogetthereThroughimplementationofkeystrategiessuchas:SupplyChainManagementLeanManufacturingCoreTeamsSixSigmaFactoryoftheFuture

ThePersonalImpact(WIIFM)What’sInItForMe?AmoresuccessfulcompanywhichcaninvestinitsresourcesAbilitytoattractandretainworld-classtalentAffiliationwithagloballyrecognizedindustryleaderAmoreenjoyableworkenvironment

SupportforChangeTransitionLeanManufacturingTraining.ChangeAgentResourcesateachfacility.Increasedcompany-widecommunication.Seniormanagementsupport.Changeinfrastructurebuiltaroundprojects.CoreTeamsE-BusinessEmployerofChoiceSixSigmaFactoryoftheFutureSupplyChainManagementORGANIZATIONALCULTURE

TheTransformationPointVoiceofCustomerLeanEnterprise

Summary

Companiesthatfailtochangewillnotsurvive.Bychanging,Seagateisposturedtomeetinternationalchallengesinthemarketplace.LeanChangeAgentsareempoweredtocreateandmanagechange.StagesofChange KeyLearnings

ListthefourstagesoftheIndividualChangeProcessUnderstandtypicalbehaviorsthatoccurduringeachstageDiscoverChangeManagementopportunitiestohelpindividualsandorganizationsmoveforward.WhattoExpectfromChangeNomatterhowpositive,promisingorproactivethechangeis,expectasenseoflossNomatterhowcompetentandcommittedStakeholdersare,expectasenseofconfusionNomatterhowloyalemployeesare,expectsomeinitialskepticismandanincreasein“me”focus

StagesofChangeDENIALRESISTANCECOMMITMENTEXPLORATIONPRODUCTIVITYTIMEAdaptedfromKubler-Ross

ChangeProcess:IdealDENIALRESISTANCECOMMITMENTEXPLORATIONPRODUCTIVITYTIMEAdaptedfromElisabethKubler-RossDENIALRESISTANCECOMMITMENTEXPLORATIONPRODUCTIVITYTIMEAdaptedfromElisabethKubler-RossWhatYouSeeIndifferenceDisbeliefAvoidanceWhatYouSeeAngerComplainingGlorifyingPastSkepticismUnwillingnesstoparticipateWhatYouSeeFutureOrientationInitiativeSelf-sufficiencyConfidenceWhatYouSeeEnergyRisk-takingTentativenessImpatienceActivitywithoutfocusWhatYouHearSilence“Itwillneverhappen”“Itwon’taffectme”WhatYouHear“HowcanIcontribute?”“Let’sgetonwithit”WhatYouHear“Itwon’twork”“Itusedtobe..”“Thedataisflawed”WhatYouHearOptimism“I’vegotanidea”“Let’stry..”“Whatif..”

IndividualChangeProcess

IndividualChangeProcessBydefinition,individualswillmovethroughtheprocessatdifferentspeedsPeoplecan“regress”duringtheprocessTheinformalemployee“grapevine”isthemostpowerful“barrier”or“enabler”regardingthechange.

Remember...

“It’snotsomuchthatwe’reafraidofchange,orsoinlovewiththeoldways,butit’stheplaceinbetweenwefear..it’slikebeinginbetweentrapezes..there’snothingtoholdonto.”YourResourcesHumanResourcesYOUYourManagerChangeManagementSupportEachOther8StepstoImplementChange KeyLearnings

Listthe8stepstomoldchangefromaconcepttointegrationintoyourculture.AcknowledgethedepthandbreathofyourteamandresourcestoimplementtheChange.1.EstablishaSenseofUrgency.2.FormaPowerfulTeam3.DevelopaVision4.CommunicatetheVisionStepstoImplementChange

5.RemoveObstaclestotheVision6.PlanandCreateShort-TermWins7.DelayYourVictoryAnnouncement8.IncorporateChangeintoYourOrganizationalCultureStepstoImplementChange

Beproactiveversusreactive.Leadwithurgencyratherthanmanagewithreaction.MotivatepeopleQuicklyrespondtochangingsegmentsofthemarketand/orchangingmarketdemand.RecognizemovementandactivityinyourSupplyChain.(“WhoMovedMyCheese?”)Remember:TheRiverFlowsinOneDirection.StepstoImplementChange1.EstablishaSenseofUrgency!DeploymentofSupplyChain.Creationofentitiesinresponsetobusinessneeds: SixSigma LeanManufacturing FactoryoftheFutureThecatalystsincludedcycletime,supply&demand,competition,timetomarket

WhathasSeagatedonetoEstablishaSenseofUrgency?Iftheexistinghierarchywasworkingwell,amajortransformationwouldnotbenecessary.Yourteamwillexistoutsidethenormalhierarchy.Reformdemandsactivityoutsideformalboundaries,expectations,andprotocol.ConductaStakeholderAnalysis.Teammustcoverthe“skills”territority.Remember:Teamwork!ManycanWINtheWAR.StepstoImplementChange 2.FormaPowerfulTeam!Realignmentofexecutivetalent.Realignmentofdivisions.Breakdownoffunctionalsilos.CreationofOne(1)Seagate.WhathasSeagatedonetoFormaPowerfulTeam?ExpandingTeamInvolvementChangeagentscontactkeystakeholders.Changeagentsbeginsellingthetransformation.Stakeholderscommunicatetheirneedsandinterests.Changeagentsdeterminehowtoinvolvestakeholders.Sponsorsarerecruitedandcommitsupport.Createapictureofthefuture.Pictureisclear,simple,easytocommunicateandappealstoyouraudience.Pictureclarifiesthedirectionyouwillmove.Yourvisionmustalignwiththecorporatevision.Remember:Withoutvision,youwastetime,money,&resources.StepstoImplementChange 3.DevelopaVision!ProductsandservicesofferedMarketstargetedBusinessprocesses,structures,andtechnologiesusedNumberandtypesofworkersValuesRolewithinsocietyHowthecompanywillengageitsemployeesHowthecompanywillserveitscustomersElementsofVisionSeagate’sVisionSeagatewillbetheleadingproviderofstoragetechnologies,productsandservices.AtSeagate,storageisn't...

Justadrive

Justadevice

Justacommodity

AtSeagate,storageis...

Anenablerofhumanendeavor...

Ahomeforthegreatestachievementsofourtime...

Aplacewhereideaslive.Showbenefitsofnewvision.Demonstratethecurrentsystemisinferior:showconsequencesofcontinuingtheoldpicture.Highlightsacrificesfromdelayedimplementation.Developa“CommunicationPlan”tocapturetheheartsandmindsofthetroops.Remember:yourteamMUST“talkthetalk”and“walkthewalk.”StepstoImplementChange 4.CommunicatetheVision!WhathasSeagatedonetoCommunicatetheVision?Publish“VisionStatement”invariousmedium:publications,cards,posters,seaweb,etc.Employeecommunicationmeetings.Publish“ValuesWithVision.”Produceanddistribute“Simon”videotape.Executiverealignment.Identifywhatthelionsare:you,jobdescription,organizationalstructure,apathy,performanceappraisalsystem,amanagementlevel,etc.EliminatelionsinyourpaththroughtheTEAM.Buildbridges,asrequired,toclosegapsincurrentsystems,organizations,etc.Remember:Alionthatreappearscanturnyourtransformationintoamemory!StepstoImplementChange 5.RemoveObstaclestoVision!WhathasSeagatedonetoRemoveObstacles?SupplyChaindeploymentofactionitems.Executiverealignment.Strategicbusinessalliancewithvendorsandcustomers.Onsitecustomerrepresentatives.Selectsmall,manageableprojectswithshorttimeframe.ProactivelymanageWINS.Createnewmetrics,asneeded,tomonitorprogress.Buildmomentumwithcontinuousimprovements.Celebrateprogress-advertiseaccomplishments.Expandownership-involvemoreemployees.Remember:Monitor.Monitor!Reward.Reward!!StepstoImplementChange6.Plan&CreateShort-TermWins!WhathasSeagatedonetoPlan&CreateWins?Seagatemeasuresactualperformancetometricsandcelebratesaccomplishments:LeanManufacturinggraduation-celebration.SupplyChainbanquet.SixSigmaHawaiirecognition.Departmentalrecognitionevents.Fightsmallbattles.Setupwatchtowers;lookforlions.Theycontinuetotravel.Proactivelymanagemoreshort-termWINSDon’tallowonevictorytoloseoverallmomentum.Create&proactivelymanagemid-termWINS.Remember:Whenvictoryisdeclared,thetroopsgohome.Lionssneakbackintothebattlefield.StepstoImplementChange7.DelayYourVictoryAnnouncement!WhathasSeagatedonetoDelayVictoryAnnouncement?ContinueCoreTeamapplicationtospecificsituations.DesignSixSigmaorganizationtofocusonbusinesschallenges.CreateLeanManufacturingorganizationanddevelopmentofLeanMasters.Newbehaviorsmustberootedinsocialnorms.Oldbehaviorsmustbeuniversallyunacceptable.Changepermeatesthecorporatebloodstream.Inyourabsence,thechangeautomaticallycontinues.Remember:ThechangeiscompatiblewiththeCorporateVision;Itwillfitlikeaglove.StepstoImplementChange8.IncorporateChangeintotheCultureWhathasSeagatedonetoIncorporatechangeintoculture?Recognizetherearedifferenttypesandstylesofcultures.ConductOCI(OrganizationCultureInventory).IdentifyoptimumOCI.ExpansionofChangeAgentstointegrateChangeintoroutinebusinessoperations. Summary

ChangeAgentWorkisHARDwork.Minimizeproblemsbyfollowingthe8steps.The8stepapproachmovesthechangefromaconceptintothecorporateculture.Keepyourtroopsposteduntilthechangeisassimilatedintotheorganization-culture.ChangeRecipe:12Ingredients KeyLearnings

List12ingredientsintherecipeformanagingchange.1.LookintotheCrystalBall.2.CreateaRoadmap3.MoveFast4.MakeManyChanges5.GetOutsidetheBox6.BenchmarkRecipe:12Ingredientsfor Change7.WatchDay-to-DayBusiness8.FocusontheCustomer9.BeDecisive10.OneCompany-OneCulture11.#1Asset:People12.Communicate!!!Recipe:12Ingredientsfor Change

1.LOOKINTOTHECRYSTALBALLLookatthebigpicture.IstheChangestrategicallycorrect?WouldmanufacturinglotsizesincreaseinRDbusinesswhencustomerswantasmallsample?WheredoesyourchangefitintothebigCrystalBall?WheredoesyourchangefitintoSeagate’s“ValueswithVision?”Howdoesyourchangefitwiththecorporatevisionstatement?Recipe:12Ingredientsfor Change

2.CREATEAROADMAPMapatravelplantoyourfinaldestination.Roadmapisrequiredwithorwithoutexistingroads.Journeyhasnoreststopsorfinaldestinationduetoconstantchange.Keepextendingyourcurrentroadmap.DetailsintheRoadmapFITthecompanyvisionstatement.Recipe:12Ingredientsfor Change

3.MOVEFASTThelosingCoachafterafootballgame:“Wedidn’tlose,wejustranoutoftime.”WhoMovedMyCheese?Whilethelittlepeoplewereanalyzingthesituation,themicewereintheracewiththeirtennisshoes.Isitbettertobe80%correctandmakechangehappenOR100%correctandwatchtheopportunitypassby?Thefocusistounderstandquickly--thenact!!Recipe:12Ingredientsfor Change

4.MANYSMALLCHANGESSetrealistic,challenginggoals.Breakuponelargechangeintomanysmallerindividualchanges.(Bitesizepieces)Motivatepeople.Expandyourhumannetwork.ProvideresourcestobesuccessfulManysmallchangestodaywillreducetheneedforrestructuringtomorrow.Recipe:12Ingredientsfor Change

5.GETOUTSIDETHEBOXTothinkoutsidethebox,youmustgetoutsidethebox.NASAneededtoreduceseveralthousandpoundsfromtheweightofaspaceshipfueltank.Besideschangingmaterialsandthedesign,oneEngineeraskediftheycouldstoppaintingthespaceshipfueltank.Thisquestionresultedinseveralbenefits:Saving200gallonsofwhitepaint,800poundsofweight,andmoney($$)INSANTIY=Usingthesamerepetitiveprocedureandexpectingadifferentresult.Recipe:12Ingredientsfor Change

6.BENCHMARKMapwhereyouare.Establishbaseline(BoyScoutCompass)SelectorCreateappropriateMETRICS.MeasureRoadmapProgresstonewMetrics.ABenchmarkestablishespride,stimulatescompetition,encouragesteamwork,andhelpsyouhitthetarget.Benchmarksworkfororganizations(increasesalesby20%)orindividuals(gameofgolf).Recipe:12Ingredientsfor Change

7.WATCHDAILYBUSINESSRegardlessofwhathappens,thereisstillacompanytorun.Changetakesusawayfromdailyroutine.Keepeyesopen.Besensitiveandquicklyrespond.“WhoMovedMyCheese?”Themiceconstantlywatchedforsmallchangesandrespondedappropriately.Failuretowatchdailybusinesscanhavecatastrophicconsequences.Recipe:12Ingredientsfor Change

8.FOCUSONTHECUSTOMERTheprocessofchangeshouldbeinvisibletocustomersTheresultsofthechangeshouldbeobvioustocustomers.Illustrationofpublictransportation.Thegoalmaybetoimprovecustomerservice.TheRoadmapmaybetoaddroutes,redu

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