Issue link: https://industrialmanagement.epubxp.com/i/249982
change creates uncertainty and could cost money, time and create disruption. In most complex real-life environments, the number of identifiable changes that must be implemented to achieve a full set of desirable effects could reach double-digit numbers. We should give extra consideration to solutions that achieve the desired result with a minimum amount of change. In the PCB case, the list of DEs could be stated as: 1. PCB profitability is increasing. 2. Revenue flow from new products is increasing. 3. Revenue flow from mature products is increasing. 4. We are winning major customers from our competitors. 5. New products are arriving on schedule to the market. Clearly, the choice of wording will influence the exact nature of the changes required. For example, if we change the wording on DE 5 to "new products are arriving 'early' to the market," then that would require more aggressive changes. After lengthy discussions, the CEO and key managers decided on a set of changes that included, but was not limited to: Revising the budgetary process to incorporate flexible budgeting concepts; immediately hiring additional design engineers and sales people; and managing new product development projects using updated critical chain project management principles and software. Layer 5: Yes, but the solution has negative side effects. Let's revisit our physician analogy described in layer 2. Once the doctor has diagnosed the underlying cause of our illness, medication is prescribed to treat the underlying cause and eliminate the symptoms. However, medication can have undesirable side effects. In organizations, significant change invariably is accompanied by negative side effects. So once we have navigated through the fourth layer of resistance and developed a solution, we must consider what negative side effects the specific changes might create. Resistance in this layer is typified by statements such as, "This looks like a great solution, but do you realize that implementing this change will cause the following problem(s): … ?" This is a critical point because if any key players believe that the proposed solution will cause damage that affects them, there is little chance they will buy in to that solution. Initiators usually spend a considerable amount of time and energy to resolve issues at this stage. The key here is that we proactively address potential problems before they occur. For each potential negative effect, the team must decide whether: We should implement one or more additional changes to prevent the negative from occurring; we should modify the original change(s) that caused the negative effects; we can live with the negative side effect; or the negative side effect is so bad and unavoidable that we must scrap the proposal and develop a new solution. In the PCB case, one negative side effect was that the newly hired design engineers would not be up to speed on the appropriate technology and would not be able to complete assigned tasks in a timely manner. As a result, PCB initiated a mentoring program to help alleviate this problem. Layer 6: Disagreement that the solution can be implemented successfully. Once everyone accepts the final solution, our focus turns to implementation issues. At this stage we likely will encounter arguments like, "This is a fine solution, but we are going to have trouble implementing it because …" The basic problem here is a belief that the solution is not practical because significant obstacles will block implementation. And the larger and more complex the proposed solution, the more obstacles will exist. A recommended approach is to treat the implementation as a project and develop the appropriate network diagram of key activities or milestones. We should give extra consideration to solutions that achieve the desired result with a minimum amount of change. Then determine the obstacles to achieving each milestone and develop a plan to overcome each obstacle. Like the approach described in the previous section, this proactive method is designed to identify potential obstacles and establish plans to resolve them before they occur. At PCB, one proposed change would manage new product development projects using critical chain project management principles and software. An obstacle to implementation was that no one in the organization was trained fully on the principles and software. The solution was to send someone to receive the necessary training. Layer 7: Unspoken/unresolved reservations. When leaders yell "Charge!" and "Follow me!" they expect everyone to obey. Unresolved reservations could cause people to balk, and the entire change initiative will be in danger. So the initiator must be sure that no issues remain unresolved and everyone is fully on board. One way to help ensure full cooperation and follow through is to make sure the implementation plan derived in layer 6 is detailed sufficiently so that items such as schedules, responsibilities, resources and budgets are specified clearly – and each individual involved fully agrees with the plan. Any obvious gaps in the plan should be filled in and any remaining reservations resolved before proceeding. Conclusion Overcoming resistance to change should be viewed as a process that requires the various layers of resistance to be resolved in a logical sequence. In complex change initiatives, it is likely that most or all of the described layers of resistance will be encountered. If these layers of resistance are not dealt with systematically and completely, the entire initiative will be at risk. v january/february 2014 21