Week 7 Discussion and Summary

September 27, 2025 Claire B 0 Comments

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Chapter 10: Get and Use Data

Throughout the Change Process

Chapter Overview • Measurement and control processes can play critical

roles in guiding change and integrating the initiatives of others throughout the Change Path Model

• Four types of control systems are discussed: Diagnostic/Steering Controls, Belief Systems, Boundary Systems, and Interactive Controls

• Different types of controls are needed at different stages of the change process

• The use of strategy maps as an alignment tool is explored

• Three measurement tools are presented: the Balanced Scorecard, the risk exposure calculator, and the duration, integrity, commitment, and effort (DICE) model

The Change Path Model

Awakening Chapter 4

Mobilization Chapters 5 through 8

Acceleration Chapter 9

Institutionalization Chapter 10

• Tracking and measuring the change over time to assess progress, make modifications (as needed), and manage risk

• Institutionalizing the change through aligning related systems and structures

Can Control Processes Facilitate Change?

• Change agents often complain about how control systems and metrics impede change

• BUT when controls and metrics are effectively deployed, they can be powerful aids to change

• First understand the impact of existing controls on the change initiative

• Then tackle the challenge of aligning controls and measures to facilitate change

Toolkit Exercise 10.2—Impact of Measures and Control Processes on Change

Think of a change initiative that you are familiar with:

1. What measures and controls were used to track the change? Were they congruent with the change vision and strategy? Were they viewed as legitimate by users?

2. How was information captured and fed back? Did it arrive in a useful and timely form?

3. Did measures need to evolve and be modified over the life of the change initiative? How was this managed?

4. Were steps taken to ensure measures would be properly used? Were there risks arising from their use that needed to be managed?

Toolkit Exercise 10.2—Impact of Measures and Control Processes on Change

5. Were goals and milestones established, used to plot process, and make midcourse corrections? Were small victories celebrated?

6. Were the end state measures developed for the change consistent with the vision and strategy? Were they viewed as legitimate?

7. How were the end state measures fed back to users?

8. Were steps taken to ensure that end state measures were properly used? Were there risks and potential consequences that needed to be managed?

Choosing Measures

• Focus on key factors • Use measures that lead to challenging but

achievable goals • Use measures and controls that are perceived

as fair and appropriate • Avoid sending mixed signals • Ensure measures deliver accurate and useful

data • Match the precision of the measures with the

ability to measure

The Change Context and the Choice of Measures

Choose Precise, Explicit, Goal-

Focused Measures

Choose Approximate

Measures, Vision Focused, “Learn as You Go” Measures

When Complexity

and Ambiguity

are:

Low High

When Time to Completion

is: Short Long

Types of Control Levers

• Interactive Controls—systems that sense environmental changes crucial to strategic concerns (e.g., market intelligence)

• Boundary Systems—systems that set limits of authority and action and determine acceptable and unacceptable behavior

• Belief Systems—organizational values and beliefs that underpin decisions

• Diagnostic/Steering Controls—traditional control systems, focused on key performance variables

The 4 Levers of Control

Change Strategy

Risks to be

Avoided

Critical Performanc e Variables

Core Values

Strategic Uncertainties

Interactive Control Systems

Belief Systems Boundary Systems

Diagnostic Control Systems

Control System Measures and Stage of the Change

Controls When Planning Change

Controls in Early Stages of Change

Controls in Middle Stages

Controls Toward End of Change

Initiative

Interacti ve

Controls

• Assessing opportunities and threats

• Testing viability of existing vision, mission, and strategy, given the environment

• Affirm that change project is aligned with environmental trends

• Assess how to use trends to increase prospects for success

• Ongoing monitoring

• Confirm that environmental assessment continues to support the change

• Obtain feedback regarding success of the change relative to environmental factors

• Ongoing environmental scanning

Control System Measures and Stage of the Change (cont..)

Controls When Planning Change

Controls in Early Stages of Change

Controls in Middle Stages

Controls Toward End of Change

Initiative

Boundary System

• Limit the change options to those within the boundary conditions

• Test the limits of what is acceptable

• Go/no go guidance on appropriateness of actions

• Reassess risks • Reestablish

boundaries, if needed

• Test new boundaries, where appropriate

• Re-evaluate the boundary limits

Controls When Planning Change

Controls in Early Stages of Change

Controls in Middle Stages

Controls Toward End of Change

Initiative

Belief System

• Assess congruence with purpose

• Congruence assessment

• Appeals to beliefs to overcome resistance

• Congruence assessment

• Re-evaluation of core values

Control System Measures and Stage of the Change (cont..)

Controls When

Planning Change

Controls in Early Stages of Change

Controls in Middle Stages

Controls Toward End of Change

Initiative

Diagnostic and

Steering Controls

• Assess impact of controls on the change project

• Consider what diagnostic controls will need to be developed and/or altered

• Develop milestones, diagnostic measures, and steering controls

• Develop tactics to alter control systems as needed

• Evaluate progress against milestones and measures

• Assess whether things are workings as they should

• Modify milestones and measures as needed

• Determine when project is completed

• Confirm changes are working appropriately

• Evaluate project and pursue learning on improvements for the next time

Control System Focus an Stage of the Change

Early Stage of Change

Middle Stages of Change

Late Stages of Change

Focus on the “what” of change

Focus on the “how” of change

Focus on outcomes and the

“what next” of change

Strategic Analysis: Goals,

Resources, Environment

Measure Progress and

Effectiveness of Processes

Strategic Reanalysis:

Goals, Resources,

Environment

Toolkit Exercise 10.3—Application of Simon’s Control Systems Model

Consider a change you are familiar with:

1. Describe the control processes and measures that were used. What was their impact? a. During the earlier stages of the change initiative b. During the middle stages of the change initiative c. During the later stages of the change initiative

2. Were there forbidden topics, such as questioning strategy or core values? Were those limits appropriate and were limits tested?

3. Were small successes recognized and celebrated along the way?

4. What changes to measures and control processes would have assisted change?

Strategy Maps and Change

• Visual representation can be used to show how the change vision and strategy intend to link with each other.

• They are linked through: • Employee learning and growth targets and

goals • System and process targets and goals • Customer (internal/external) targets and

goals • Desired financial targets and goals

Strategy Maps and Change (cont..)

Human Capital Informational Capital

Organizational Capital

LEARNING AND GROWTH PERSPECTIVE

INTERNAL PROCESS PERSPECTIVE

CUSTOMER PERSPECTIVE

FINANCIAL PERSPECTIVE

VISION FOR CHANGE AND STRATEGYHow Strategy

Links the Perspectives

A Generic Strategy Map Le

ar ni

& G

ro w

th In

te rn

al C

us to

m er

Fi na

nc ia

l W

hat do w e w

ant to accom

plish? H

ow do w

e plan to accom

plish this?

1.Human Capital (staff competencies)

2. Information Capital (technology

infrastructure)

3. Organizational Capital

(climate for action)

Customer mgmt

leadership

Innovation & comm.

supremacy

Internal ops excellence

Effective governance and control

Perception, public

relations

Current Migrated New New offerings

Solution focused

Scalability strategies

Add / retain value customer

Increase revenue/customer

Reduce cost/customer

Revenue Growth Strategy Productivity Strategy Asset Utilization

Maximize Organizational Value

The Balanced Scorecard and Change Management

Vision and

Strategy Customers

Internal Business Process

Financial Shareholders

Employee Learning

and Growth

Generic Balanced Scorecard for Change

Vision & Change Strategy

Customers: To achieve our change vision, how should we appear to our

customers?

Internal Bus. Processes: To

achieve our change vision, what

business processes do we need to excel

at?

Financial: To succeed financially, how should we appear to our

shareholders?

Learning and Growth: How will we sustain our ability to change and

improve?

Objectives Measures Targets Initiatives 1.

O M T I 1.

Toolkit Exercise 10.4—Aligning Change and Building the Balanced Scorecard

Think about a change you are familiar with:

1. State the Mission, Vision, and Strategy for the change.

2. Consider the Mission, Vision, and Strategy of the organization: • Is the proposed change consistent with these? • If not, what needs to be done to bring them into alignment?

3. Financial Component of Scorecard: If you succeed with the change vision, how will it appear to the shareholders or those responsible for funding the change? How will you know (objectives and metrics)?

4. Customer Component of Scorecard: If you succeed with the change, how will it appear to your customers? How will you know (objectives and metrics)?

Toolkit Exercise 10.4—Aligning Change and Building the Balanced Scorecard (cont..)

5. Internal Business Processes Component of Scorecard: If you succeed with the change, how will it appear in your business processes? How will you know (objectives and metrics)?

6. Employee Learning and Growth Component of Scorecard: If you succeed with the change, how will it appear to your employees and demonstrate itself in their actions? How will you and they know (objectives and metrics)?

7. Lay out the scorecard you’ve designed for your change and seek feedback from a classmate.

8. Can you show how the different components are connected to each other by developing a strategy map for the change?

Factors Leading to Increase Risk

• Change Pressure—Risk increases when change leaders feel: • Significant pressures to produce and accomplish the

change • There are high levels of ambiguity • The leaders have little experience with change

• Change Culture—Risk increases when: • The rewards for risk taking are high • Senior executives resist hearing “bad” news • There is internal competition between units

• Information Management—Risk increases when: • The situation is complex and fast changing • Gaps in diagnosis exist • If decision making is decentralized

Toolkit Exercise 10.5—Using the Risk Exposure Calculator

Score

Change Pressure

Pressure to Produce

Low High 1-2-3-4-5

Level of Ambiguity

Low High 1-2-3-4-5

Experience with Change

High Low 1-2-3-4-5

Out of 15 ___

Change Culture

Rewards for Risk-taking

Low High 1-2-3-4-5

Executives Resist Bad

News Low High

1-2-3-4-5

Internal Competition Low High

1-2-3-4-5

Out of 15 ___

Information Situation

Situation is Complex and Fast-changing Low High

1-2-3-4-5

Gaps Exist in Diagnostic Measures

Low High 1-2-3-4-5

Change Decision- Making

Decentralized Low High

1-2-3-4-5

Out of 15 ___

Four Key DICE Factors Duration [D]

• The time until the change program is completed or the amount of time between reviews of milestones

Integrity [I]

• Extent to which companies can rely on teams of managers, supervisors, and staff to execute change projects successfully

Commitment [C] • Dedication and support from top management [C1] and

the employees [C2] to the change initiative

Effort [E] • Additional work that the change initiative demands from

employees

Toolkit Exercise 10.6—Applying the DICE Model

Consider a change initiative that you know is currently being considered for adoption and apply the DICE model to it.

1. Duration Score: 1 — 2 — 3 — 4 Score: ___

• Score of 1 if formal reviews less than 2 months • Score of 2 if formal review every 2–4 months • Score of 3 if formal review every 4–8 months • Score of 4 if formal review more than 8 months

Toolkit Exercise 10.6—Applying the

DICE Model (cont..)

2. Integrity of Performance Score: 1– 2 — 3 — 4 Score: __

• Score of 1 if team leader has the skills needed and the respect of coworkers, team members have the skills and motivation to complete the project on time and at least 50% of the team members’ time has been assigned to the initiative

• Score of 4 if change team and change leader are lacking on all dimensions

• Score of 2 or 3 if the factors lie somewhere in- between

Toolkit Exercise 10.6—Applying the DICE Model (cont..)

3. Commitment Score is a 2-part measure…

a. Senior Management Commitment: 1-2-3- 4 Score: __

• Score of 1 if words and deeds of senior managers regularly reinforce the need for change

• Score of 2 or 3 if senior managers are fairly neutral • Score of 4 if senior managers are perceived as less than

supportive

b. Employee Commitment: 1 –- 2 –- 3 — 4 Score: ___ • Score of 1 if employees are very supportive • Score of 2 if they are willing but not overly eager • Scores of 3 or 4 as reluctance increases

Toolkit Exercise 10.4—Applying the

DICE Model (cont..)

4. Level of Additional Employee Effort and Demands over the Normal Load:

1 –- 2 –- 3 — 4 Score: ___

• Score of 1 if incremental effort less than 10%

• Score of 2 if incremental effort 10% to 20%

• Score of 3 if incremental effort 20% to 40%

• Score of 4 if additional effort more than 40%

Interpreting DICE Change Risk Scores

Calculating the DICE Score: (Duration Score + 2 × Integrity Score + 2 × Senior Management Commitment Score + Local-level Commitment Score + Effort Score)

Interpreting the Score: § Scores between 7 and 14: Win Zone § Scores between 14 and 17: Worry Zone § Scores over 17: Woe Zone

• Do the findings help you to think about sources of risk and how to manage risk?

Summary

• Care taken in the selection of measures and control processes help focus energy and effort

• They can help enhance the efficiency and effectiveness of the change, provide an early warning system, and provide direction to midcourse corrections

• They can help clarify what will be accomplished, what it will take to bring these things to reality and chart progress

• The careful selection and use of metrics can be used to enhance the legitimacy and sense of ownership of the change

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Week 7 Discussion and Summary

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