Why you need Change Management to Manage a Competitive Supply Chain

Bill Seliger, CPIM, CSCP, PMP

Director of Supply Chain & Program Management

APICS Lead Instructor, CSCP

Bill Seliger, CPIM, CSCP, PMP

Bill is a Director of Supply Chain at a $10.5B Fortune 500 Company. He has successfully led numerous multi-year, multi-site Change initiatives, impacting hundreds of users. He has developed teams of Change Agents that efficiently and effectively deliver large-scale change. He is a student of Change Management and has embedded Change Management processes in the initiatives he leads.

Change Management is New Association for Change Management Professionals

(ACMPGlobal.org) created in 2009

Just this month (September 2014) ACMP released “The Standard for Change Management”

APICS materials light on Change Management - CSCP 2014 Learning System has 1 slide of hundreds devoted to Change Management.

What is Change Management? The business process that coordinates and monitors all

changes to the business processes and applications operated by the business as well as to their internal equipment, resources, operating systems, and procedures. The change management discipline is carried out in a way that minimizes the risk of problems that will affect the operating environment and service delivery to the users.

- APICS Dictionary, 14th ed.

Change Management (PMI) A comprehensive, cyclic, and structured approach for

transitioning individuals, groups, and organizations from a current state to a future state with intended business benefits. It helps organizations to integrate and align people, processes, structures, culture, and strategy.

- PMI, Managing Change in Organizations, A Practice Guide, 2014

Change Management (ACMP) ACMP defines change management as a deliberate set of

activities that facilitate and support the success of individual and organizational change and the realization of its intended business results.

- Association of Change Management Professionals, ACMPGlobal.org

What does Change look like?

Why should you care about CM? Studies over the past decade indicate a success rate of

about 30-35% for organizational change initiatives.

ERP Failures – too numerous to mention, billions of dollars wasted.

In 2011 UK pulled plug on a 10-year, US$18.7B IT program for National Health Service (biggest civilian IT project ever attempted).

Specific Methodologies New practice so there is not yet a ‘standard’

It is moving from ‘Art’ to ‘Science’ and can be managed

Check with your IT and HR teams for a Corporate standard

As a Supply Chain Manager you MUST embed Change Management into your initiatives if you are to be successful!

American Express Scope the Change

Create a vision

Drive commitment

Accelerate the transition

Sustain the momentum

Jack Welch/GE Clear expression of the reason for change

Establish the vision for the new state

Provide strong leadership

Mobilize the workforce

Measure success and analyze outcomes

Maintain consistency

LaMarsh Global Identify the Change

Prepare the Change

Plan the Change

Implement the Change

Sustain the Change

Common elements to consider Communicate vision/scope

Identify & prepare leaders

‘Chunk’ change into small bites

Sense resistance & address it

Maintain/Sustain

Scope – 2B - Future State - Vision

Plan - Lead

Sustain - Maintain

When undertaking Organizational Change be aware…

Organizations have a ‘culture’

Organizations have a ‘change history’

Organizational change starts (and ends) at the individual – each individual will make their own decision to change or not change!

Should be embedded in all of your initiatives

Change success breeds Change success!

Final thoughts on Change Change can be managed successfully

Many approaches are available

It is often misunderstood

It is critical to SCM

Questions?

Feel free to reach out to me:

Bill.seliger@gmail.com

www.linkedin.com/in/billseliger

www.billseliger.blogspot.com