Strategy Survival Guide

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Compelling vision for action – the most important starting point for any change programme is to have a clearly documented case for change based on rigorous analysis. This should set out why action is needed, and how the proposed action will add value. It should also set out a new and compelling vision, articulated in such a way as to engage stakeholders. Committed leadership – at all levels of the organisation, in particular with strong and visible support from senior management. The change programme should be sponsored by high calibre and credible managers, and led by capable line managers. Rigorous project management – the organisation needs to commit the right resources to making sure the change programme is delivered on time. Project team members should have clear accountabilities for delivery of project outcomes, using disciplined and well-managed project processes. They should use rigorous project plans, including milestones, timeframes and risk assessments, and should have monitoring mechanisms in place to track progress. Stakeholder support – it is critical to identify key stakeholders and engage them with the change programme. This does not just apply to senior stakeholders, but also to staff members whose participation in the change programme will be essential. Clear, consistent and persuasive communication is needed to share the new vision with stakeholders, to keep them updated on progress, and to ensure that they are aware of their own role in the process. Depending on the magnitude of the change, it can often be a good idea to have a system in place to monitor morale and attitudes in the organisation during the change programme. Effective communications - there are a different elements of the change programme which will need to be communicated to front-line staff and other key stakeholders including, potentially, the public. These will include reasons for the need for change, what the change is intended to achieve or what is involved in the changes. Communication will also help minimise the risk of rumours, gossip and storytelling. It may be important to clarify and simplify further the priorities of the strategy. A three-theme approach is often advocated, emphasising a limited number of key aspects of the strategy, rather than expecting to be able to communicate the overall complexity and ramifications. Communication also needs to be a two-way process. Feedback to communication is important, particularly if the changes to be introduced are difficult to understand, threatening or if it is critically important to get the changes right. Infrastructure alignment – change has to be backed up with appropriate elements of infrastructure to support the new arrangements – particularly budgets, performance metrics, HR policies and processes and IT resources. It will also be important to ensure that there are sufficient staff with the relevant skills in place. Strengths The only way to deliver lasting change is through a rigorous and well-designed change management programme carried out during implementation of the new strategy or policy. This is a highly complex area, which gets proportionately more difficult depending on the extent of the change and the number of people involved. Ensuring that all the factors listed above have been explicitly addressed in the transition to implementation phase of strategy work will help to create lasting change. Weaknesses There are a number of pitfalls that could jeopardise successful change: • Lack of clarity around the new vision. • Lack of senior commitment to change. • Overestimating the ability of the organisation to deliver the new vision. • Underestimating the time required to create the change, particularly if change in culture is required. • Failure to design processes, structures and incentives that reward change. • Lack of attention to stakeholders to ensure they are fully committed to the new vision. • "Change fatigue" – organisations have been subjected to so many change programmes that they disengage. Strategy Survival Guide – Strategy Skills Page 184
References Many of the frameworks in this short piece have been drawn from "Exploring Strategic Change" by Julia Balogun and Veronica Hope Hailey (Prentice Hall, 1999), which is a good source of further advice on these topics. "Exploring Corporate Strategy" by Gerry Johnson and Kevan Scholes. Chapter 11 on Managing Strategic Change provides pointers to successful change management. Effecting Change in Higher Education from the University of Luton contains articles, theories, tools, case studies and other materials related to change which draw on experience from inside and outside the HE sector. Change management In Practice: SU Waste Project This project was tasked by the Prime Minister with addressing what more could be done to reduce the growing quantities of municipal household waste going to landfill and to meet the EU Landfill Directive. In order to assess the scale of the challenge, and how the transition to a more sustainable waste management system could best be managed, the project was organised into a number of distinct phases. At the outset of the project in November 2001, a Waste Summit of key stakeholders from across central and local Government, the waste industry and NGOs was held. This provided valuable material on the scale and nature of the waste problem and options for overcoming it. A scoping note setting out the key issues to be addressed was published on the Strategy Unit web site in December 2001 and included a consultation page, inviting comment on the degree of change required. Following this, a series of workshops and bilaterals were held with stakeholders and experts to consult on the pros and cons of waste management options. Many stakeholders felt that the Government had made a start in tackling the waste problem (for example by introducing statutory recycling targets for local authorities) but that much more of a focus was required on delivery mechanisms if England was to meet the high diversion rates from landfill required by the EU Landfill Directive. The team then reviewed the economic and regulatory frameworks for waste management used by other nations. They found that there were significant lead times involved - countries which had developed sustainable waste management systems had taken 10-15 years to do so. This helped the team press the case for prompt action to address England's waste problems, despite the Landfill Directive not coming into effect until 2010. Some visits were made to local authorities to ask for their views on the main barriers to progress and the main options for taking forward more sustainable waste management. The most important elements of change that local authorities wanted to see included a new economic and regulatory framework (particularly a rise in the rate of landfill tax and reform of the Landfill Tax Credit Scheme to help incentivise and fund alternative waste treatment options). Community sector representatives were asked their views on how ready the public was for change. MORI was also commissioned to carry out some focus group research into public perceptions of the waste problem and attitudes towards reducing household waste and recycling. The project team found that the case for action was accepted by the public, who when presented with choices between different waste management options, wanted more opportunities to recycle. However, the public also said that the provision of more convenient recycling facilities would be key to their take-up. As a result, widespread kerbside recycling together with a national communications strategy became important facets of the report's recommendations. Throughout, the team also collated data from experts and developed models in order to analyse the costs and benefits of different options looking into the future. Drawing on the outcome of all these phases, the project team was able to work up and present a vision for sustainable waste management and a strategy for achieving it, including the change required to funding requirements, the economic and regulatory framework, and delivery structures. Strategy Survival Guide – Strategy Skills Page 185
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Building an Evidence Base 113 Data
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