The BASIC Phases
Key to the BASIC 8 method is the recognition that phases are fluid. This means they don't have rigid boundaries between them and also that they occur at different times in each part of the organisation. Effective change management must identify when the phases are occuring throughout the organisation and how the different parts of the organisation link together during the change process.
Begin is the phase where people in the organisation start to notice that the way they do things is not getting them the best results. This often starts before people realise that the mismatch between expectations and outcomes is not a passing discrepency but a trend cause by changing conditions.
When and how this phase is active
People enter this phase the status quo can no longer be sustained. They may enter the phase without realising it. In this situation the signs of stress, whether on people, systems or finances, will increase and persist. Expressions like, "working longer for the same (or less) results" are indicative of this phase.
Across an organisation people may enter this phase at different times. A CEO or executive team may recognise that change has begun by looking at key data and trends. Individual contributors or their managers may realise that change has begun when they notice changes in their customers, technology or the type of value people are seeking from their products or services. Essentially, the realisation that things are changing can be triggered from anywhere in an organisation.
People in an organisation may not consciously or intentionally acknowledge change at the same time. As one part of the organisation starts to grapple with change and its consequences, other parts of the organistion may continue unaware that change is afoot or by minimising the significance or relevance of change in their own minds. This is an important dynamic that has to be addressed during managed change processes.
Some time change agents can be surprised at seemingly high levels of resistance to a well established change process. What could be happening is not that people are resisting but that they didn't realise the full significance of a change until it starts to place practical demands on what they do. They are adjusting to a new realisation whereas the change agents reached that point much earlier, due to their involvement as an agent of the change, for example, as a change sponsor or a project team member.
Opportunities this phase creates for facilitating change
There are several valuable opportunities that go with this phase.
Engaging people in innovation and improvement
Not all change takes the form of a restructure or organisation wide system change. Change can also be incremental and localised. By recognising the forces for change early it is possible to take people along a gradual path of innovation and cascading improvements.
Establish a preliminary vision of the future
A clear vision of what the organisation can be in the future is important for developing effective change management. During the begin phase a preliminary vision is needed to give people a sense of where the forces for change can take the organisation. It cannot be a mere aspiration statement but has to be a practical overview of how the organisation operate after the change. It is important to remember that this vision is a provisional one that will be changed through consultation leading up to the shape phase. Its purpose is to draw people into conversation about the way forward.
Analysing data, options and opportunities
During the begin phase it is important to identify relevant and valid sources of information so a reliable understanding of the change agenda can be developed. Without this the change vague and lead to confusion and shortcomings later on.
Building the case for change
The align phase follows the begin phase. During the begin phase it is important to start building the case for change that you can later align people around.
Planning for adverse consequences of unwelcome change
Sometimes an organisation's change strategy is necessarily reactive in response to an external change force beyond its control. In the begin phase it is important to identify how change forces will disrupt your ordinary operations and strategy, identifying ways that your organisation can successfully adapt to the change.
Risks to a smooth transition associated with this phase
There are various risk factors that have to be considered.
Delays in recognising forces for change
It is important for organisations to identify forces for change as early as possible to increase their opportunities for taking a proactive stance rather than a reactive response. Proactive approaches to change open up possibilities whereas reactive responses often constrict the opportunities available to the organisation.
Different people reach this phase at different times
This is true for all phases so is a risk factor to be managed at all times. Sometimes change agents and sponsors are involved in the change long before the rest of the organisation appreciates its relevance. It is important to recognise the fluid nature of phases and be ready to lead people through the phases at different times and paces.
Acceptance may not be the first response to the need for change
Whenn people experience the challenge of change as a catastropic experience then they are unlikely to respond by accepting it and getting on board immediately. Be ready for a range of reactions from denial and anger to attempts to renegotiate and resist change requirements.
The need for change may be recognised after stress levels have already escalated
Part of the begin phase is that people are only starting to recognise the need for change. However, the forces for change may have been operating for some time. If this is the case experiences of malfunctioning and stress will be occuring across the organisation. As a result people may be feeling stressed and hurt and so not at all ready to respond positively to change.
Align is the phase where people and resources come together to leadthe change agenda. As this phase commences people don't yet have a clear agenda of how the change will be managed. Rather, key stakeholders and leaders align themselves around strategies and develop a vision of the future.
When and how this phase is active
This phase is repeated at different times throughout the change process as different groups and individuals start to embrace the change.
Typically the first people to enter the phase are the ones who first develop a vision of how the organisation can move through the change to a beneficial outcome. Sometimes this will come from technical leaders who see the opportunity to improve how they do business. At other times it will come from executive leaders or CEO who see the need for change and its strategic value. Sometimes people are forced together to deal with change when it comes as the result of a shock, such as urgent financial pressures or the threat of a disruptive competitor.
This early group will align themselves around a vision and a conviction that change is necessary and imminent. Here they will be mobilised by a sense of urgency and build a commitment between them to make it happen and see it through.
As the change moves through the organisation this phase is repeated for each group as it comes into the change process. Project managers, branch leaders, team leaders and the teams the lead all have to go through the process of aligning themselves to deal with their responsibilities to implement the change.
This phase, more than any other phase, demonstrates the fluid nature of phases during change. It is at its most obvious when senior leaders and project teams are well down the path of implementation but teams are only just realising how the change applies to them and how they will have to work together to address it. Sometimes teams only reach this point when they are in a training room and they realise its relevance to them.
Opportunities this phase creates for facilitating change
There are many requirements for effectively managing the alignment phase. Here are some to consider. There are more items to consider in the BASIC 8 method.
Turn the narrative into a sense of purpose
During the begin phase the issues and forces pushing towards change are identified. Now it is time to turn those insights and facts into a purpose that people can gather around and make decisions about.
Identify valid sources of information
One of the difficulties for any leader is to source valid information. In times of change, with the increased variables and uncertainties, it is important to seek out reliable information for decisions, including feedback from people as well as hard data.
Appraise the likely access to resources
Change processes need resources. These could be in the form of budgets, systems, personnel or time. Organisations entering into change are likely to be stretched for resources. Not only are resources involved in ongoing operations but the increasing malfunction and stress that often go with the need for change are likely to be placing extra demands on resources. Assessing resource options will be important for the planning to come in the shape phase.
Build the business case for change
If the leaders of an organisation are to commit to a change process they need a clearly defined business case. This business case must spell out the cost/benefits of attempting to maintain the status quo compared to the most plausible change paths.
Build a map of change advocates
Building a coalition of change advocates is an important foundation for any change to happen. Carefully identify who the change advocates are, especially decision makers and influencers throughout the organisation, and start to bring them together to commit to the change and prepare to shape it.
Make the change agenda the top priority for all senior leaders
No change can succeed without the persistent commitment of an organisation's senior leaders. It is important from this point on to make sure that all senior leaders prioritise the change and are accountable for it.
Risks to a smooth transition associated with this phase
Here are some of the risks to be considered.
Organisational culture and political practices
Organisational culture and internal politics can easily diminish the organisation's responsiveness to the need for change. The former comes from entrenched assumptions and beliefs about how things are done. The latter from personal interests based on past success in the status quo, which may be threatened by disruption and change. Challenging assumptions about the best path forward is important.
Budget contraints place resource pressure on change initiatives
As mentioned above, resources are needed for change but the driver for change often place pressure on resources. It is important to find temporary ways to liberate resources until the change in place.
Stressful conditions may feed resistance or rash thinking about change
When change is driven by reaction to strong pressures against the status quo then increased stress and insecurity are likely. These can lead people to short sighted, survival strategies that become obstacles to recognising pathways to a future, flourishing organisation that can do more than merely survive.
The current level of people management skills
In times of stability, teams with established competence in ongoing tasks can do well, even when their supervisors have limited people skills. In times of change, when uncertainty increases and new things are expected of people, the people skills of supervisors and other leaders are crucial. Their ability to generate confidence, motivation and clear expectations, as well as to coach and develop people in their teams, is put to the test. As soon as possible the organisation needs to invest in building up supervisor skills.
Confused communication and rumours
In the align phase, as key influencers and decision makers are brought together to direct the change, there is very little in terms of clear and factual information. This is fertile ground for confusion and rumour which intensifies pre-existing levels of stress. It is important to make things clear as soon as this can be done reliable. The goal is to reduce confusion and build commitment.
Neglect of ongoing business
As people and resources are drawn together to address the change agenda this proportionately reduces effort on ongoing business. It is important to make sure customers and existing commitments are looked after, now and in the following change processes.
This phase is where the vision is turned into practical plans. The idea of how the change will be managed gets turned into a design for how it will work in the organisation. Leaders and teams work out the practical steps, develop project plans and calculate what it will take to make the change real.
When and how this phase is active
This phase first occurs with the change initiators as they unite to develop their goals and plans for the change. It requires an agreed vision about the form of the change, drawing on the data and insights required to generate a reliable target.
In this phase project plans are agreed and commitments made to resource the change process. The shaping phase is the core planning stage.
As the change rolls out this phase is repeated in functional areas and business units. Local leaders have to bring key people together to work out the impact of the change requirements in their local area. They plan how they will implement the change, meeting the expectations of the organisation's leadership while maintaining ongoing business operations. This balance requires the mobilisation of individual contributors throughout the organisation, building on the acceptance and commitment changed during the align phase and ushering them into the implementation phase.
Opportunities this phase creates for facilitating change
The core of the shape phase is planning. Effective planning can address these opportunities.
Build a clear and tangible vision
The work of the previous phases has to be translated into a clear, tangible vision for the organisation and what it will be like. The provisional vision developed in the begin phase and used during consultation has to be transformed into the final vision that will drive th change process. The plans developed during the shape phase are about the steps to take to make this vision real.
Develop effective plans for change
This phase is about coordinating the support and commitment for change generated during the previous phases. This requires clear plans supported by coordination, monitoring and decision making systems.
Consult with stakeholders
Up to this point, sensitivity may have required discretion and confidentiality. Now that the implementation plans are being developed, wider consultation is needed to test the validity of information they are based on and the viability of the plans and how they will be received.
Work out what individual contributors will have to do
Plans often look at big picture issues, budgets and outcomes. However, the change will affect what individual contributors will have to do. Between the change leadership and local supervisors it is important to identify what individual contributors will be doing in future and the steps they have to take to get there.
Conduct a gap analysis
As the details emerge about what people will be doing during and after the change it is important to conduct a skills gap analysis. Identifying gaps and the steps required to develop the necessary skills and capabilities will form the basis on the training and development components of the change plan.
Implement delegations for managers and supervisors
Change relies on the local efforts of teams and their leaders. It is important that clear decision making delegations and parameters are set up so local managers and supervisors can make on the spot decisions to keep the change moving and responsive to local issues. Part of this will be ensuring local leaders have access to reliable information and clear details about what can or cannot be included in the change process.
Initiate local tactical planning
When changes are large scale across the organisation it is important to make sure local, tactical plans are developed for local adoption of the changes. Executive or centralised planning cannot deal with the local level details. Managers and supervisors have to work with their teams to plan out the practical steps they will take in their units and business areas.
Risks to a smooth transition associated with this phase
The planning work of the shape phase is a time to address predictable risks, some of which are listed here.
Union and staff concerns
Some types of change are not experienced as very threatening whereas other changes can feel very threatening to people. In the shaping phase it is important to engage staff and union representatives to identify their concerns and to map out ways to address them.
Sources of resistance
The plans must address the cultural and political risks identified in previous phases but they must go further. Resistance will continually emerge during the change process. This must be incorporated into the plan and a feedback and quality assurance factor. Resistance must not be ignored or feared. It can be one of the most useful resources to help the change generate a reliable result.
Technical and market disruption
Markets periodically go through readjustments and technology changes at a rapid rate. It is important to ensure the change is geared to handle these risks and doesn't lock the organisation into investments or practices that may be on the cusp of disruption.
Regulatory and sovereign risk
During the previous phases the issues of regulation and sovereign risk are likely to have emerged. At this point it is important to rigorously check the current and emerging requirements and trends regarding the legal and policy factors affecting the change.
Personal impacts
Change can have personal impacts that externalise some of the cost of the change into the personal lives of people. A relocation of work venue can, in practical terms, cause a wage reduction if it increases the cost of travel and child care arrangements. Other factors, such as career pathways or job satisfaction factors can generate personal costs that will reduce the likelihood of support and uptake of the change.
This phase is marked by the efforts to actually implement the change. People move beyond planning and commitment to build the resources, processes and practices that make the change real. More than any other, this is the phase people most recognise as change.
When and how this phase is active
The implementation of change actions and project activity are core to this phase. Yet even here the fluid nature of phases can still occur. In a heavily project oriented change, such as the build of a new business system, project team members will enter this phase long before other people in the organisation. This is true even when people are widely consulted as consultation, meetings and surveys are not necessarily indicative of change for people in organisational life.
Most people enter this phase at the point they have to start changing what they do in ordinary business operations. This marks the shift for them from talking about potential change to going through actual change. At this point in the change process the organisation is most at risk of generating hurt or disagreement. This is because the emergence of relevance makes it real for people. Leaders and project teams can sometimes feel shocked or betrayed when they experienc pushback from people who only now realise the significance of what is being expected of them.
The key to managing this phase as it emerges throughout the organisation lies both in the quality of work done in the previous phases and in the dexterity of engagement in change management and communication during this phase. Since many organisations don't recognise the earlier phases as part of the change process they can enter this phase unprepared and face unnecessary risks and conflict.
Opportunities this phase creates for facilitating change
This is the most energetic and potentially chaotic phase of change as emerging issues arise. Some of the opportunities to address here are:
Maintain tracking and monitoring systems
At all levels of the organisation the implementation and progress of the change has to be tracked and monitored to ensure the plan is implemented effectively. This includes frequent leadership meetings, consultation and feedback processes and tracking project plans and milestones. The system has to enable responsiveness to emerging issues.
Use milestones and quick wins to motivate people
This is especially important for long term changes. The point of quick wins is to demonstrate progress with the change and the benefits of early achievements. Engaging people around these milestones can keep the change momentum going and build confidence in what the organisation is doing.
Demonstrate responsiveness to complaints and resistance
Complaints and resistance highlight where the change is struggling. This is valuable information that you don't want to go underground. Demonstrate listening and responsiveness to criticism, showing that people are respected. Provide valid explanations of decisions and adapt plans to accommodate practical feedback from people.
Make the change the top priority and deliverable
From the senior leadership through to each supervisor and team, the change must be at the top of their agenda and given priority over other responsiblities. It must occur in communication, team meetings, reporting, resourcing and problem-sovling. People are to be convinced that the change is important because future operational activity will flow from it.
Mobilise and develop managers' project and people management skills
An important element of change is that people who were confident, competent and self-reliant during former operational duties can now face uncertainty and inadequacy in the face of new conditions or role requirements. Managers and supervisors have to step up and provide greater direction and coaching to help people adapt to the project activities and tasks required during the change. They also have to continue this into the following consolidation phase as they help people develop their capability in the new working conditions.
Accept then implement solutions from the people on the job
The role of individual contributors is very important as they are the people across the organisation who see the fine details of how the change is progressing and the impact of new requirements. It is important that people across the organisation propose solutions whenever they see issues arise from the change process. These solutions are to be taken seriously as individual contributors have access to a different type of experience and information than senior leaders can access.
Maintain frequent multi-directional communication
Communication is always an important part of change but never more so than during the implementation phase. Communication must be multi-directional, use a variety of lean and fat methods and encourage listening as well as talking, especially by leaders. Supervisors are always at the core of communication activity so it is critical to have systems in place to keep them informed and to collate what they are learning from their teams about the change, its progress and risks.
Risks to a smooth transition associated with this phase
As this phase carries the most potential for volatility, risks have to be given serious consideration. Some common ones are:
Delays and unscheduled events
Change generates uncertainty which undermines confidence and autonomy. Change management is about increasing certainty so people can adapt to the change. When schedules or unexpected issues emerge it is important to clarify with people what is happening and how it will fit into the overall plan.
Alienation of critics
Critics are a source of valuable information as noted above. A natural tendency is for change advocates to dismiss critics as opponents to the change. This is often because some critics are but this does not make their input any less valuable. They are focused on weak points in the change and so their information will help strengthen it. Most critics are not opponents but are simply people who are concerned about the organisation, their customers or the quality of their own worklives. They are not opponents but people who reasonably expect to have their concerns addressed. Alienating them as some kind of enemy will reduce support for the change and reduce the available capacity in the organisation to make it work.
Overlooking design flaws
Some criticism or feedback will be about the technical design of the change. This is important to address because designs that look good at a high, conceptual level may run into many operational issues. As the implementation proceeds people will become more aware of these flaws. Many of them can be resolved by local leaders but some of them may cut to the core of the change design. Failure to recognise design flaws and correct them will weaken the long term outcomes of the change. When it comes to change programs that have defined project elements, it can be tempting for project managers to push through with the project plan to meet time and cost targets. Senior leaders must monitor what is happening and take responsibility for the operational consequences that will impact on the organisation long after the project elements have disbanded.
Self-interest and malicious compliance
In large, complex changes, especially those that create executive risk, pre-existing rivalries or ethical paucity can be aggravated, leading to deceitful and destructive behaviours. Executives may avoid the 'poison chalice' issues to focus on issues that make it easier for them to look good. Others may under-deliver on resource commitments or provide sub-standard resources to hold the best back for their own needs, resulting in increased likelihood that the change process or the responsibilities of their colleagues might fail. It is important that there are confidential forums to resolve issues and that their is CEO (or the most senior relevant executive) participation to ensure the finest performance by executives.
Damage to external stakeholder confidence
During change processes it is easy to become internally focused. Communication and feedback needs to include customers, suppliers and distributors who deal with your organisation. There is little point trying to improve the organisation if you damage your brand or key relationships in the process. Depending on the nature of the change this concern can also extend to neighbouring organisations and the general community.
This phase starts to emerge as the project or implementation activities begin to subside. This essential but often overlooked phase is about ensuring that the change is reliable and delivers the results it was intended to generate.
When and how this phase is active
This phase commences as the change implementation ends and the new arrangements commence. Depending on the change strategy, people may arrive at this phase concurrently (e.g. during a restructure) or at widely different times (e.g. during a cascading innovation process).
This phase can be easily overlooked as part of the change management process but it is critical for locking in the change and ensuring its benefits are realised. This is the time for ensuring new procedures are locked in and that people continue to develop their capacity to flourish in the new situation.
Common risks during this phase are persistent cultural behaviours, doubling up of old processes with new ones and deliberate or inadvertant undermining of the new arrangements due to lack of conviction or confidence. Supervisors, whose role is crucial throughout the change process, become the primary change agents during this phase as they performance mangement people to succeed in the new conditions.
Opportunities this phase creates for facilitating change
Normalise the change
The change process will have dealt with the most immediate and directly related policies and procedures. It is important in the period after the implementation to identify variance between the change and established policies and procedures. Put in place monitoring and appraisal systems to pick up redundant practices and update them.
Refine the change
The change that is implemented is hypothetical during the implementation. Once implemented it is real and generates feedback and data about its performance. Some of this will address adjustment issues raised in the normalise the change item above. Others will be about mismatches between the design of the change and unanticipated factors that emerge now the changes are operational. Have quality assurance and improvement systems in place to use the data from the changed operations to make improvements before unexpected weaknesses become embedded in the organisation.
Practice and adapt
Practice using the new arrangements to develop your competence and confidence using them. Recognise that you will have to adapt and that some of your past practices and assumptions will not fit the new situation.
Focus on problem solving
Managers and teams focus on problem solving with peers and their teams to resolve emerging issues as the changes settle in. Consult with other parts of the organisation to learn how they have resolved similar issues.
Report issues and solutions
Whenever issues emerge with the new arrangements, report up the issues and local solutions used to manage them. Consult with peers to discover how they are resolving similar issues.
Monitor and collate lessons
Monitor progress across the organisations, especially what people are learning about the new situation. Collate learning outcomes, along with soloutions to common issues and experiences of the benefits, and distribute them across the organisation.
Apologise for errors and hurt
Every change creates legacies for the next change. It is unlikely that everything went perfectly during the current change. When executives and senior leaders acknowledge the imperfections and respond in a practical way to the issues they cause, it can restore confidence in the organisation's treatment of its members and capacity to do change well.
Celebrate!
Acknowledge the achievements of people who made the change possible. Bring them together and celebrate their achievements. This might be replicated in many teams and locations across the organisation.
Risks to a smooth transition associated with this phase
Short term fixes
During the implementation phase pressures to meet deadlines and budgets can lead to issues and problems being left unresolved or fixed with temporary solutions. In the consolidation phase it is important to identify where short term fixes were applied and develop durable solutions instead.
Poor uptake
Some types of change, such as a cultural or service change, can be subjected to poor uptake since they rely on the discretion of people as they do their jobs. It is important that the consolidation phase focuses on supervisor efforts to establish clear expectations and to help people adopt the new practices.
Duplication of systems
When people lack confidence in the new system they are tempted to maintain elements of the old system or their own routines. This creates duplication that will undermine the cost or efficiency benefits the new system is meant to generate. Ongoing work by supervisors is required to build confidence in the system and ensure it is used effectively.