Modern OCM: A people-centric approach to government modernization

Did you know your skin's entire surface is replaced every month? That means we wear around 1,000 different skins in our lifetime, constantly transforming. Whether it's a biological process, like the growth of our skin cells, or a work-related project, like an ERP modernization effort, change is an ever-present part of our lives. But that doesn't mean change is easy. 
 

In fact, studies show that more than 70% of recent ERP implementations will fail to meet their original goals. Unfortunately, failed implementations remain a common topic of discussion, as so many governments have experienced project failure. To be clear, when we reference more than 70% of ERP implementations failing, that doesn't necessarily mean a project is canceled – the catastrophic failure rate is closer to 25%. In this case, failure is a sliding scale. It could mean the project's original scope was not realized, timelines needed to be extended, or budgets had to be increased. To overcome this challenge and achieve successful transformation, we must dive deeper into the "why" behind the failure. 
 

What's the first thing that comes to mind when considering ERP implementation failure? For most of us, it's technology. In fact, the latest Voice of Our Clients insights show that government leaders cited modernizing legacy systems and infrastructure as the number one IT priority. But technology is only one pillar of modernization. People and change management are often overlooked as critical components of a successful project. Transformational change affects every area of your organization, and a culture that embraces it will measurably increase your chances of success. 

Set your workforce up for success with a comprehensive change management strategy

A structured, transparent and comprehensive organizational change management (OCM) strategy helps guide project success and create broad organizational buy-in. At CGI, we recommended including five key areas in your plan:

• Stakeholder management and executive alignment – In this area, stakeholders are identified, and a change impact assessment is conducted for each stakeholder group. Ensuring executives are aligned with the project's vision, purpose and goals is also critical. 
• Internal and external communications plan – It's essential to have an inclusive, informative and engaging communications strategy. We follow Prosci's ADKAR model, which supports communication development and dissemination in a logical order to help stakeholders successfully navigate change. Utilizing a strategy like this one is instrumental in rolling out dynamic communications. 
• Roles and responsibilities analysis – Roles will inevitably need to be adjusted, and responsibilities will need to be revisited for many members of your workforce. As part of your OCM strategy, it's essential to plan for these changes, proactively undertake role realignment and successfully prepare your employees for the "new normal". 
• Policies and procedures refresh – With transformational change, you are not simply implementing a new solution; you are revisiting business processes to create efficiencies and streamline operations. Your standard operating procedures must be updated alongside your operations. 
• Training and knowledge transfer – The final element of your comprehensive OCM strategy is training for new roles, responsibilities, policies, procedures and technology. Benjamin Franklin once said, "Tell me, and I forget; teach me, and I may remember; involve me and I learn." We recommend involving your stakeholders through continuous exposure and active participation in the solution's architecture, design, configuration and implementation. Training is not a one-time event; it's a thoughtful exchange throughout the project life cycle. 

To help drive your change management strategy, there are four key stakeholder groups: executive leadership, project team members, change ambassadors or change agents and end users. Each of these groups has different priorities and focus areas that come together to achieve successful transformation. 

Planning for transformational change

How can key stakeholders influence OCM approach and reduce overall risk in modernization projects? These best practices can help set your transformational change initiative on the road to success. 

• Define a clear scope of work – Multifaceted transformational change impacts all areas of your organization and needs to be appropriately scoped, resourced and integrated into the shared vision. When scoping your project, focus on tangible aspects like structures, systems, processes and technology and the other dynamics that can impact success, like cultural norms, workforce mindsets and emotional reactions to the change. 
• Assess organizational change capacity – Many of your employees tasked with delivering change are still juggling the responsibilities of their day jobs. It's essential to calculate the capacity these change agents will need to succeed while keeping the organization's day-to-day functions running smoothly. We must avoid the "we'll figure it out when we get there" mindset and prioritize creating an action plan early. These plans commonly include reorganizing the employee's workload, realigning your workforce, upskilling existing workers and adding new permanent or temporary team members. 
• Make change personal – For transformational change to last, it has to be personal for every employee. Traditionally, we think about the importance of listening to our employees – their feedback on processes, procedures and technology and their fears, expectations and excitement about the upcoming changes. I cannot overstate how important this is to achieving broad organizational buy-in. However, key stakeholders should also communicate how and why the change matters to them to gain trust and engage employees. Why do they care about this project? Why is it happening now? How will it impact the work they do? Showing that they are dialed in to the day-to-day workings of the organization, as well as the big-picture strategy, will not only engage your workforce now but also set the stage for continued engagement throughout and beyond the transformation. 

Ready to get started on your transformation journey

When embarking on a transformational modernization effort, leveraging a comprehensive OCM strategy, defining a clear scope of work, assessing your organizational change capacity and making change personal will reduce risk and drive organizational change. 

Connect with us today; our OCM experts are here to guide you every step of the way.