Cascading Change Through Staff Engagement: A Recommendation Plan

Quintin R. Smith

6/10/2015 2

Before We Get Started…• https://www.youtube.com/watch?v=0jvCTFIvjG4

6/10/2015 3

My Perspective & Resources

• Emerging leader within Carolinas HealthCare System• Experiences in my job and in the LOT Program

– The Employee Side of Change

• My peers• Academia

– Kotter’s 8-Step Change Model– Case studies and research performed by consulting firms and

universities

6/10/2015 4

Why is Change Necessary?

• Seize leadership, improve response time, or simply regain its “mojo”

• “Carolinas HealthCare system will be recognized nationally as a leader in the transformation of healthcare delivery and chosen for the quality and value of services we provide.” – CHS Vision Statement

• “It is not the strongest of the species that survives, nor the most intelligent, but the one most adaptable to change.” – Charles Darwin

6/10/2015 5

Why is Change so Difficult?

• Harvard Business Review estimates that 60-70% of organizational change initiatives have failed since the 1970s.

• Common cultural barriers to organizational change include:1. Cultural Complacency, resistance or skepticism

2. Lack of Communication

3. Passive or absent leadership support

6/10/2015 6

The People Side of Change

• Organizational change typically consists of three primary focal points:– Processes– Technology– People

6/10/2015 7

The Four C’s of Employee Engagement

• During times of change there are four key ingredients to successful employee engagement:1. Control (involvement and empowerment)

2. Career (understanding one’s path)

3. Capability (training and development)

4. Connection (with leaders and co-workers)

6/10/2015 8

Quintin’s Model for Effective Change

• Create and Communicate a Vision• Sense of Urgency• Proactive Approach to Change Impacts• Powerful Coalition• Communicate, Communicate, Communicate• Comprehensive and Strategic Training• Continuous Improvement

People-Focused

6/10/2015 9

Create and Communicate a Vision

• Would you go on vacation without knowing your destination?

• Senior management must formulate and convey a strategic vision for the change project that creates a long-term “destination” for the organization. – e.g. “The adoption of new practices and technology by the

Professional Billing Office will create an efficient and integrated billing process and a more accommodating interface for our patients.”

6/10/2015 10

Sense of Urgency

• Change must matter to those making the change. • Begin with management and then progress to all

employees • Discuss potential threats and opportunities for the

organization and how making the change is necessary.• Have honest discussions with employees and give

convincing reasons for making the change

6/10/2015 11

Proactive Approach to Change Impacts

• Spend less time putting out fires by preventing them. • Create “Change Impact” teams composed of leaders

from different departments that analyze each and every effect that the change will have on ALL stakeholders

6/10/2015 12

Powerful Coalition

• Change agents that people already know and trust will facilitate the change and advocate for new practices and technology.

• Management must fully support and empower the change agents in order to foster change

6/10/2015 13

Communicate, Communicate, Communicate

• Employees are more likely to accept new practices and technology when leaders are transparent about the changes. Avoid “blindsiding.”

• Regular communications that are catered to specific audiences that inform them of benefits of the change will drive the adoption.– e.g. Monthly Newsletter

• Enable and encourage regular employee feedback so that employees may voice their concerns and ask questions.

6/10/2015 14

Comprehensive and Strategic Training

• Articulate desired outcomes and formulate guiding principles that are based on the vision of the change project.– e.g. “Providing timely and effective feedback to staff is critical to

the PBO’s transition to Epic.”

• Senior leaders must be actively supportive and engaged in the training process.

• Conduct a “gap assessment” in which future state is compared with current state abilities

• Consider a “system playground”

6/10/2015 15

Continuous Improvement

• Create short-term “wins” for the change. Provide recognition to teams and employees and build on the momentum.

• After every win, analyze what went right and what needs improving

6/10/2015 16

The Case of Westfield Insurance

Increasing Employee Engagement During Times of Organizational Change

6/10/2015 17

Background

• Large Ohio-based property and casualty insurance company that underwent a massive multi-year transformation.

• The change involved the deployment of a new claims-management system and the restructuring of major business processes.

• Westfield accomplished a rare feat: boosting employee satisfaction and engagement during a time of significant change.

6/10/2015 18

Need for Transformation

• Westfield relied on the same outdated legacy claims system for over a decade.

• Three goals were identified for the change: 1. Creating an enhanced customer-focused experience

2. Boosting the company’s analytical capabilities

3. Improving process efficiency in claims

6/10/2015 19

Comprehensive Strategy, Targeted Tactics

• Senior leadership created a new Organizational Change Management (OCM) team that was composed of leaders from different departments as well as OCM professionals from Ernst & Young LLP.

• A change impact analysis was performed • The OCM team addressed change strategy and the

cultural impact before tackling major technical details

6/10/2015 20

Comprehensive Strategy, Targeted Tactics

• “The people side of change can easily get lost in the technical and operational complexity we were facing. Yet it’s people who ultimately determine success by embracing or resisting change.” – Rob Bowers, OCM Team Leader

• A “change champion” network was created and implemented that was responsible for garnering support for the change and gathering feedback.

6/10/2015 21

High-Profile Executive Sponsorship

• Senior leaders participated in Q&A sessions with impacted departments

• The OCM team provided communication packets via email which were tailored to the needs of each audience

6/10/2015 22

A Foundation for Success

• 77% of employees indicated that Westfield organization is “changing at a pace that ensures success in the industry.” (Up from 61% the previous year)

• There was a 10% increase in the number of employees who believe “senior leaders provide a clear sense of direction” and “senior leaders are interested in the well-being of employees.”

6/10/2015 23

Questions or Comments?