Project Management & Change Management
Most businesses change most of the time. The market, the business environment, laws and many other
external sources of change impose changes. Other changes are initiated by businesses themselves;
building competitive advantage, furthering strategic objectives etc. Often these changes are made
by running projects. Change management is simply the process, tools and techniques used to manage
the people aspects of a change. In the context of projects, change management is about meeting
the project's objectives, on time, within budget and realizing the return on investment (ROI)
they set out to achieve. People often ask what is change management in the context of projects
and what does it do for projects.
Prosci , a research organization in the USA, performs worldwide surveys on change management.
It has neatly summarized the relationship between change management, project management and how
these interact with leadership to produce the successful execution of projects.
Their 'change triangle' is shown as :
Leadership / Sponsorship
Leaders and sponsorship are responsible for making deciding to make the change, providing
direction and demonstrating commitment to the change. The role of sponsor is determined by
the actual change that is being implemented. Leaders establish strategy and direction.
It follows therefore that the changes they initiate must be clearly aligned with the strategy
of the organization. From a project perspective, leadership plays a key role in project
governance and participating in change management, as an active and visible sponsor.
Project Management
Project management is a structured approach using processes and tools to implement business
solutions. One of the key components of effective project management is having the change
defined - you must know what is changing (processes, systems, job roles, organizational structure,
etc.) in order to manage that change effectively. Project management trades off
resources available with time, budget and scope of a change. Successful changes typically
apply project management to their initiatives.
Change Management
Research shows that business results are achieved when employees are involved and participate
in the change. As mentioned above, change management is the set of processes, tools and
practices used to manage the people side of a change. Change management is concerned with
implementing the change to meet the business objectives of the project. Change management
requires two groups to change - individuals (people experiencing and transitioning through change)
and an organization (groups that are managed through the change process).
Change management is the tools and processes of helping employees transition from the
current state to the future state (as defined by the change) in a way that minimizes the
negative aspects of change (productivity loss, negative customer impact and employee turnover)
while simultaneously maximizing the speed of adoption, utilization of the change and
building proficiency throughout the organization. Communication, sponsorship, coaching and
training are the tools used to help employees make their individual transition.