Managing

Change
Playbook

SECTION 1

7 Steps for Managing

Change

Takeaways

Every time you talk about changing, you have to

put together the rationale for the change. You
have to answer the question of whats in it for the
people who are forced to do something different
than they are used to doing.

Jack Welch

MANAGING CHANGE
SECTION 1: 7 STEPS FOR MANAGING CHANGE
Page 2

Takeaways

7 Steps for Managing Change

What it Means
In todays ever-shifting market, most organizations are in a constant state of
change. They have to be just to stay in game. And to win at the game, your
organization will need a structured and effective way to manage the change
process.
Why it Matters
4Customers continue to expect faster, more reliable, more innovative and often cheaper
products and services.
4Competitors are changing and developing; maintaining status quo will eventually
erode your advantage.
4Process redesign, service enhancements, reorganizations, mergers & acquisitions, and
a host of other business decisions require change management.
4Associates (Employees) are human and its human nature to resist change.
4Change done right can create a better bottom line, increase customer retention, and
improve associate satisfaction.
4A well-thought-out approach can make change easier to implement and more likely to
last.

Change is happening every day in

todays business.

Jack Welch
MANAGING CHANGE
SECTION 1: 7 STEPS FOR MANAGING CHANGE
Page 3

Action Plan

7 Steps for Managing Change

Its said that there are only three guarantees in the life of a business:
First, that change will happen
Second, most people will naturally resist change
Third, that the larger the change, the more structured the approach will need to be to
ensure that the new direction will last.
In the pages that follow, you will find a Change Acceleration Process model you can use
to evaluate how well the project or initiative is progressing and where attention is required.
To start, theres a little research you will need to do to understand how much acceptance or
resistance to change youre likely to encounter.
MANAGING CHANGE
SECTION 1: 7 STEPS FOR MANAGING CHANGE
Page 4

Action Plan

Your Starting Point

There are six questions you should address before you get started with your plan.
Take some time to really think about these, and write down your answers. These
will help you as you begin your change journey. Refer to the Game Pages
section of the playbook for a template of this exercise to help you organize your
thoughts.

2
Have change efforts in your organization
generally succeeded or failed in the past?

Is there a history of multiple programs that

didnt last but washed out over time?

4
Do senior leaders voice their support
regarding change efforts? Provide specific
examples.

Is a vision of the future well-articulated so

associates know what the future means for
them?

6
Are solutions put in place to eliminate or
reduce errors during a change?

MANAGING CHANGE
SECTION 1: 7 STEPS FOR MANAGING CHANGE
Page 5

Does the current change process take into

consideration where power is gained and
lost? Give specific examples.

Action Plan

Quick Wins for Managing Change

As you prepare for, or take over, implementing a change in your organization,
you can gain some quick wins by looking at past efforts and assessing how
these can inform your present initiatives. Complete the following activities
and write down your answers to the questions. You will find a template to help
you organize your responses in the Game Pages section of the Playbook.
4Collect your organizations goals, culture and values, whether those are written
down in mission and value statements or simply unwritten behaviors.
Does the change youre about to kick off or take over match the direction in which
the company is already headed?
Are the new behaviors you want people to adopt in line with the organizations
culture?
4The past provides hints for what works and what doesnt in organizations, so find
out about lessons learned from previous change initiatives in your organization.
Were similar efforts successful or is there a history of big change initiatives that
never got fully implemented?
Did those changes become the new normal?
4Are associates burned out on change (Change Saturation)?
Have lots of major changes like an acquisition, multiple leadership replacements
and new operating platforms occurred in recent months?
Has your organization been known for making changes often and not sticking with
them?
4Are other substantial efforts going on at the same time?
Will you be competing for resources?
Can you combine any efforts to ease the burden on the organization?
MANAGING CHANGE
SECTION 1: 7 STEPS FOR MANAGING CHANGE
Page 6

Action Plan

Whats in it for Me? (1/2)

Its never too soon to formulate the, Whats in it for me? or WIIFM
question, as youll quickly be required to articulate why the change is
necessary and what the value is at a variety of levels.
As you craft your WIIFM statements, ask (and answer) the following questions
using the steps that follow to guide you:
Why is this change good for the organization?
define the organization. Is it your function, location, division, or the entire
4 First,

corporation/institution?

can you communicate all information available or are some parts of the change
4 Second,

currently on a need to know basis?

how is the change intended to effect the organization?

4 Third,

Financially, such as bottom-line income, revenue growth, or reduction in losses
In response to legal or compliance requirements, such as mandates, new regulations or
proactively addressing gaps
Operationally, such as capacity, capability, consistency and quality
Public Relations, will the changes make the organization better in the eyes of existing or
prospective customers, its community, and in the industry?
fourth, why does the intended effect matter? If capacity is increased, what are the
4 And

potential benefits?

Why is this change good for the customer?

4 Its
 important to clearly articulate who the customer is. Is the customer internal or

external? Is there is particular segment of the customer base that the change is targeting?

MANAGING CHANGE
SECTION 1: 7 STEPS FOR MANAGING CHANGE
Page 7

Action Plan

Whats in it for Me? (2/2)

4 If
 the change succeeds, only include what the customer will experience as a result of it.

Will their service experience be faster? Will the reliability of what they count on from your
organization be better? Will the product or service be better or cheaper? Will they get
more or less? Which is better?

the eyes of the customer, why does that new experience matter?
4 From


Why is the change good for associates/employees/team members?

every change affects every associate. What part of the part of the workforce is this
4 Not

change most relevant to?

the Organizational WIIFM to start ascertaining associate benefits, for example:

4 Use

If the organizations benefit is revenue growth related, is it about more job postings
and opportunities for associates?
If capability increases, will new training offer the chance to obtain more skills?
If compliance policies are improved, will it help associates avoid doing things that
could get them in trouble?
it to the last step; from the eyes of the associate, why does this matter?
4 Take


Why is the change good for you?

4 As
 the leader of the change, you are being watched. Honesty and candor go a long way
and the voice the organization hears regarding your WIIFM, needs to be your own.

your passion. To make a major initiative or project succeed, its not just a job.
4 Find


Consider where you get your energy to walk in everyday to create and deliver on a new
course for the future. That is likely part of your WIIFM.

the change is completed, where do you see yourself? If successful, will you have
4 When

better customer relationships? Will you be managing the new processes with fewer
headaches? Will you be re-locating to lead the next, even bigger challenge?

MANAGING CHANGE
SECTION 1: 7 STEPS FOR MANAGING CHANGE
Page 8

Action Plan

Setting a Baseline for Change

One of the most important tools in this Playbook is the 7 Steps Progress Graph. It
provides a baseline and metrics to evaluate progress in a variety of areas. When you
begin the initiative, do an honest baseline assessment of how effective the
organization is in preparation, implementation and sustainability. Its likely that youll
have zeros in many areas of the program, if it is new. Key steps in this assessment are
below:
1. Leading Change - Are senior leaders publicly supporting your effort?
2. Creating a Shared Need - Do your associates understand and agree with why the
change is needed?
3. Shaping a Vision - Has the vision of what the future looks like been clearly
communicated and understood?
4. Mobilizing Commitment - Are the communications for the change effort well
planned and executed? Is there a ground swell of support?
5. Making Change Last Are there protocols in place to prevent mistakes that can
happen with the change? Are there safeguards, preferably electronic or physical, to
make sure that there is no way to revert to the old behaviors?
6. Monitoring Progress Are there effective measurements that indicate how much the
customer or business cares about the intended impact of the change?
7. Changing Systems and Structures Is the organizations structure aligned to
support the change in the following ways:
Are the right people hired for the new activities?
Are systems set up to make the change easy to accept?
Is training developed to set up associates for success?

MANAGING CHANGE
SECTION 1: 7 STEPS FOR MANAGING CHANGE
Page 9

Action Plan

Identifying (potential) Winners and

Losers in the Change Initiative
Winners are the people who will
come out of a project with more visibility,
power, resources, or maybe a bigger
role in an organization. Because of the
benefits that they are likely to see, these
are good targets to find early adopters
and project champions.

Losers will see change as taking visibility,

power or resources away from them and
it may even mean the loss of jobs. As
your project or initiative evolves, work to
understand their concerns, treat them with
dignity and respect, and make sure their
actions dont somehow derail your effort.

Complete the following activity to help you assess and manage the different
groups that will be impacted by the change. There is a template to support
this in the Game Pages section.
1

First,
put together a list of the organizations and individuals who will obviously be

affected by the change. This is the beginning of your Stakeholder List.

Put
 a check next to those who will likely gain from the change.

For
 the Winning organizations, consider who the most respected leaders and
associates are in those groups. Depending on their role, they may be sought out as
Early Adopters, Change Team Members, Influencers and Champions.

Put
 an X next to those who will likely lose from the change.

For
 the Losing organizations, consider how the organization, its leaders and
associates will be impacted by the change. Find out their concerns and treat them
with dignity and respect. Youll also need to consider this later when youre putting
together your communications strategy.

Periodically
monitor the actions and words of those who may lose in the change. Be

sure that they are not derailing the change to protect what theyve enjoyed as status
quo.

MANAGING CHANGE
SECTION 1: 7 STEPS FOR MANAGING CHANGE
Page 10

Game Pages

7 Steps for Managing Change

The following pages contain tools and templates to help you get
organized and implement your plan.

MANAGING CHANGE
SECTION 1: 7 STEPS FOR MANAGING CHANGE
Page 11

Game Pages

Your Starting Point

1

H
 ave change efforts in your organization
generally succeeded or failed in the past?

2 Is
 there a history of multiple programs that
didnt last but washed out over time?

___________________________________________

___________________________________________

___________________________________________

___________________________________________

___________________________________________

___________________________________________

___________________________________________

___________________________________________

D
 o senior leaders voice their support
regarding change efforts? Provide specific
examples.

___________________________________________
___________________________________________
___________________________________________

Is a vision of the future well-articulated so

associates know what the future means for
them?

___________________________________________
___________________________________________
___________________________________________

___________________________________________

A
 re solutions put in place to eliminate or
reduce errors during a change?

 oes the current change process take into

D
consideration where power is gained and
lost? Give specific examples.

___________________________________________
___________________________________________
___________________________________________
___________________________________________
___________________________________________
___________________________________________

MANAGING CHANGE
SECTION 1: 7 STEPS FOR MANAGING CHANGE
Page 12

Game Pages

Whats in it For Me?(1/2)

Whats In It For Me? (WIIFM)
1. Why is it good for the organization?
Define the organization. Is it your function,
location, division or the entire corporation/
institution?
Can you communicate all information available
or are some parts of the change currently on a
need to know basis?
How is the change intended to effect the
organization?

Financially, such as bottom line income,

revenue growth, or reduction in losses
In response to legal or compliance
requirements, such as mandates, new
regulations or proactively addressing gaps
Operationally, such as capacity, capability,
consistency and quality
Public Relations, will the changes make the
organization better in the eyes of existing or
prospective customers, its community, and in
the industry?

Why does the intended effect matter? What

are the potential benefits?
2. Why is it good for the organization?
Clearly articulate who the customer is, related
to your effort. Is the customer internal or
external? Is there a particular segment of the
customer base that the change is targeting?
If the change succeeds, only include what the
customer will experience as a result of it. Will
their service experience be faster? Will the
reliability of what they count on from your
organization be better? Will the product or
service be better or cheaper? Will they get
more or less- which is better? Or, is it
something else?
From only the point of view of the customer,
why does that new experience matter?
MANAGING CHANGE
SECTION 1: 7 STEPS FOR MANAGING CHANGE
Page 13

Your Response

Game Pages

Whats in it for Me? (2/2)

Whats In It For Me? (WIIFM)
3. Why is it good for associates?
What part of the part of the associate
population will the change affect?

What are the specific things your team

members will gain?

From only the point of view of the associate,

why does this matter?

4. Why is it good for you?

Have you been speaking honestly about why

you are personally excited by this change?

Find your passion. To make a major initiative

or project succeed, its not just a job. Where
you get your energy to walk in everyday to
create and deliver on a new course for the
future.

When the change is completed, where do you

see yourself? If successful, will you have better
customer relationships? Will you be managing
the new processes with fewer headaches? Will
you be re-locating to lead with the next, even
bigger challenge?
MANAGING CHANGE
SECTION 1: 7 STEPS FOR MANAGING CHANGE
Page 14

Your Response

Game Pages

Baseline for Change

Setting a Baseline for Change
Leading Change - Are senior leaders publicly
supporting your effort?

Creating a Shared Need - Do your

associates understand and agree with why
the change is needed?
Shaping a Vision - Has the vision of what
the future looks like been clearly
communicated and understood?
Mobilizing Commitment - Are the
communications for the change effort well
planned and executed? Is there a ground
swell of support?
Making Change Last Are ways to prevent
mistakes that can happen, associated with the
change, designed or implemented? Are there
safeguards, preferably electronic or physical, to
make sure that there is no way to revert to the
old ways?

Monitoring Progress Are there effective

measurements that indicate how much the
customer or business cares about the
intended impact of the change?
Changing Systems and Structures - Is the
organizations structure aligned to support
the change in the following ways:
Are the right people hired for the new
activities?
Are systems set up to make the change easy
to accept?
And, is training developed to set up
associates for success?
MANAGING CHANGE
SECTION 1: 7 STEPS FOR MANAGING CHANGE
Page 15

Baseline %
Effective

% Effective % Effective % Effective % Effective

1/4
1/2
3/4
Project
Complete
Complete
Complete
Complete

Game Pages

7 Steps Progress Graph

s&

in

ang

Ch

MANAGING CHANGE
SECTION 1: 7 STEPS FOR MANAGING CHANGE
Page 16

em
yst
S
g

res

ctu

u
Str

MANAGING CHANGE

SECTION 1: 7 STEPS FOR MANAGING CHANGE

Page 17

Status

By When

Owner

Plan to Shift

Can be influenced by

Strongly Against

Against

Neutral

Supportive

Strongly Supportive

Wins / Loses with

Change

Stakeholder

Game Pages

Stakeholder Map (Confidential)

www.welchway.com
1-855-596-5964 | information@jwmi.com

Copyright Jack Welch Management Institute, 2013. All Rights Reserved.