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Managing Change in Organizations: It’s Management’s Responsibility

OnDemand Software, a division of Global Knowledge, recently commissioned a Change Management Implementation Survey. This survey found that: Ninety-nine percent of IT directors realize that effective change management is vital during enterprise software deployments. Despite this, one in three surveyed felt that a lack of understanding among end users remains the key problem when deploying or upgrading enterprise-level software. | Global Knowledge Expert Reference Series ofWhite Papers Managing Change in Organizations It s Management s Responsibility 1-800-COURSES www.globalknowledge.com Managing Change in Organizations It s Management s Responsibility Steve Lemmex Global Knowledge Instructor PMP Introduction OnDemand Software a division of Global Knowledge recently commissioned a Change Management Implementation Survey. This survey found that Ninety-nine percent of IT directors realize that effective change management is vital during enterprise software deployments. Despite this one in three surveyed felt that a lack of understanding among end users remains the key problem when deploying or upgrading enterprise-level software. 1 Mismanagement of change is not relegated only to the IT industry. In fact a 1993 study by Hammer and Champy claims that 70 of reengineering projects fail.2 Other published studies tend to offer the same conclusion. In an article written for the International Society for Performance Improvement Martin E. Smith provides a summary of Success Rates for Organizational Change Efforts.3 Type of Change Number of Studies Sum of Sample Sizes Median Success Rate Strategy Deployment 3 562 58 Restructuring and Downsizing 9 4 830 46 Technology Change 5 1 406 40 Mixed Collection of Change Efforts 1 23 39 TQM-driven Change 5 863 37 Mergers and Acquisitions 9 395 33 Re-engineering and Process Design 7 3 442 30 Software Development and Installation 6 31 480 26 Business Expansions 1 200 20 Culture Change 3 225 19 All 49 43 426 33 One or more reports did not state the sample size Table 1. Summary of Organizational Change Efforts. Copyright 2007 Global Knowledge Training LLC All rights reserved. 2 Over the years a lot of time and effort has been spent studying the causes of failed organizational change initiatives. The majority of studies have found that employee resistance and a lack of proper training are key hindrances to organizational change. What Causes This Resistance to Change .