2.01 - Managing Change

A Change Programme is an integral part of a business strategy. It consists of a set of projects focused on important business targets with time and performance monitoring milestones. A formal and disciplined project organization structure is necessary to achieve results.

Typical Business Targets for a Programme of Projects

• Improve stock turnover ratio by three times
• Double the Sales per employee ratio
• Halve the ratio of indirect and staff to directs using natural groupings
• Halve the new product introduction time
• A full time project team or task force resource is essential, as is a professional managed programme.

Project Management

• It is essential to have a full-time, trained and line responsible project manager.
• A core management steering group to make quick decisions, act as resourcing committee and support a parallel quick hit programme
• A visible project plan with key milestones
• A programme planning and audit function

Project Selection

There are two groups of projects. Each business needs to prioritise and select those which are necessary to achieve its competiveness targets.

Level 1

Strategic restructuring projects aim to simplify and re-shape complex traditional systems and structures to improve and support fundamental business processes. The target is a driveable platform from which world class competiveness can be achieved.

Typical Level 1 support projects are:-

Business competitive audit appraisal Manufacturing System Re-design Organization Re-design IT Strategy and Applications

Post –acquisition synergy achievement Product introduction design Supply Chain Management

Level 2

Support systems projects then act as the source of consolidation and further improvement and drive the re-structured business, so meeting the desired level of competitiveness

Typical Level 2 Support Projects are:-

Quality and Reliability Systems Product groups Costing system design Skills grouping, job structure design Continuous improvement system design

Design for Manufacture, assembly and to cost Materials Flow Management System design Performance audit and follow-up

Practical Arrangements for Getting Started

An initial executive management workshop

• Team building training for each project team or task force
• Making the change programme visible and using Project Management practices
• Using disciplined project management approaches
• A good communication system
• Parallel implementation of quick hits to demonstrate early success

A General Managers Typical Programme