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1.1 Explain the importance of effective leadership when implementing change

Unit 12: Implement Change

Unit reference number: T/506/1929 QCF level: 3

Credit value: 5

Guided learning hours: 28

Unit type: Competence

This unit is designed to give you the skills and understanding needed to deal with change with confidence as understanding change management is a vital management tool. Change in organisations is continuous and many companies feel the need to continually ‘reinvent’ their business model. 1.1 Explain the importance of effective leadership when implementing change

Unit summary

This unit focuses on the principles of change management and the implementation of change that could be major restructuring such as an acquisition or a divestment, downsizing or offshoring or a smaller scale internal reorganisation. In this unit you will gain an understanding of the principles of change management, which is essential as businesses go through, on average, three major changes every two years. You will become equipped to plan for change, which is vital, as if organisational change is not handled well it can lead to increasing numbers of staff experiencing stress and conflict at work. You will be able to manage the implementation of a change plan, providing support to those who need it, and using feedback from stakeholders you will be able to evaluate the effectiveness of the implementation of change plans and report back on your findings.

Learning outcomes and assessment criteria

To pass this unit, the learner needs to demonstrate that they can meet all the learning outcomes for the unit. The assessment criteria outline the requirements the learner is expected to meet to achieve the unit.

Unit 12: Implement Change

Learning outcomes                                      Assessment criteria

1     Understand the principles of change management

1.1 Explain the importance of effective leadership when implementing change

1.2 Explain the role of internal and external stakeholders in the management of change

1.3 Evaluate the suitability of change management models for different contexts

1.4 Explain how to assess the business risks associated with change

1.5 Assess the need for contingency planning when implementing change

1.6 Assess the need for crisis management when implementing change

1.7 Explain the different types of barriers to change and how to deal with these

1.8 Explain how to evaluate change management projects

2       Be able to plan the implementation of change

2.1 Explain the need for change

2.2 Explain the potential consequences of not implementing change

2.3 Explain the roles and responsibilities of a change management project team

2.4 Develop a plan that includes specific, measurable, achievable, realistic and time-bound (SMART) objectives and resources

2.5 Brief team members on their roles and responsibilities and the objectives of the change

2.6 Gain acceptance to the need for change from team members and other stakeholders

 

Learning outcomes                                      Assessment criteria

3     Be able to manage the implementation of a change plan

3.1     Explain organisational escalation processes for reporting problems

3.2     Analyse the advantages and disadvantages of monitoring techniques

3.3     Implement the plan within the agreed timescale

3.4     Provide support to team members and other stakeholders according to identified needs

3.5     Monitor the progress of the implementation against the plan

3.6     Manage problems in accordance with contingency plans

4     Be able to evaluate the effectiveness of the implementation of change plans

4.1     Assess the suitability of techniques used to analyse the effectiveness of change

4.2     Collate valid feedback and information from stakeholders

4.3     Analyse feedback and information against agreed criteria

4.4     Identify areas for future improvement

4.5     Communicate the lessons learned with those who may benefit

Unit amplification

AC1.1:   Explain the importance of effective leadership when implementing change
  • Change: step change; incremental change
  • Importance of effective leadership: provides a positive and professional environment to ensure success; establishes direction and drives processes forward; engages and empowers employees to reduce absenteeism; ensures timely completion of tasks to budget and meeting quality required
  • Internal stakeholders: individual staff; teams, project managers; managers; directors
  • External stakeholders: customer groups; media, politicians, pressure groups, partners; suppliers; other interested parties
    • Commitment/support required by both internal and external stakeholders:
      • High; active and visible support is crucial to successful implementation of the change
      • Medium: stakeholders support is in important
      • Low: implementation can be successful without the support of the stakeholder
    • Roles of stakeholders: Responsible, Accountable, Consulted, Informed (RACI)
      • Change management: coordination of a structured period of transition from situation A to situation B in order to achieve long lasting change within an organisation
      • Different contexts: planned change; unplanned change
      • Change Management Models:
        • Lewin’s 3 Stage Change Model: looks at the human aspects and factors for and against change; sees change as a process not an event; establishing stability can be difficult if next change is imminent
        • Kotter’s 8 Steps to change: holistic approach to planned change; focus is on buy in employees as the focus for success; clear steps; can lead to employee frustration if needs not taken into consideration; top- down model; fits well with classical hierarchies
        • Kubler-Ross 5 Stage Model: captures individuals reaction to change; model assumes worse reaction to change; difficult to identify the transition between changes; difficult to apply to a group
        • ADKAR Model: more modern model; encapsulates the business and individual dimensions of change; provides a clear management checklist; misses out on role of leadership to provide direction
        • Bridge’s Transitional Model: clarifies the physiological effect of change; not an independent change management model, used alongside other models
    • Risk assessment: to reduce risk and/or identify contingency option associated with selected risks:
      • Description of risk; probability (high, medium, low); action required to stop risk occurring; identifying person(s) responsible for actions; development of actions to inform contingency plan
      • Business risks:
        • Active and passive resistance to change from employees: reluctance to accept new procedures; memories of failed change initiatives; lack of faith in process; personal preference; lack of knowledge; fear of losing jobs
        • Ineffective leadership: lack of experience in managing change; lack of appropriate training; lack of focus
        • Disruption to the operation of the business: severity of the disruption; timescales; financial impacts
        • Enforcing change: change forced through rather than seen as needed; lack of understanding as to why the change is needed
    • Assessing risks: is speed of adoption appropriate; is the business meeting change objectives; will completion of change project be timely; is the business being disrupted; will change project be on budget; will returns from change be lower than anticipated
    • Contingency planning: proactive planning for both predictable events and events outside the range of normal operations of a business that might adversely affect its ability to operate: plans that can be brought forward and quickly put into action; plans that identify the critical activities, resources, and procedures needed to carry out operations during prolonged interruptions to normal operations
    • Contingency planning is used to:
      • identify potential risks and their impacts
      • categorize and prioritise risks
      • assess and document possible remedies
      • identify how to detect and assess damage that activates a plan
      • plan the recovery and restoration of temporary operations and recovery from damage
      • plan the reconstitution of systems and normal operations
      • reduce the need to manage by crisis
    • Crisis management: the skills and techniques required to assess, understand and cope with a crisis situation
    • Need for crisis management: provides a systematic method to manage and lessen the impact of a crisis; organises the resources to develop a plan before the onset of a crisis; plans for the seamless continuation of business; identifies vulnerabilities; gives the ability to anticipate, identify and respond to a crisis such as:
      • lack of trust from customers leading to withdrawal of business
      • failure to meet stakeholders expectations
      • significant failure of processes
      • discontented employees
      • workforce demotivation
      • withdrawal of labour
  • Barriers to change: structural inertia; culture of an organisation resisting the power structure; managers threatened by process of change; Technical, Political, Cultural (TPC) resistance from employees; lack of understanding about why change is needed; failure of previous change initiatives; poor change management
  • Dealing with barriers to change:
    • informing and educating through:
AC1.2:     Explain the role of internal and external stakeholders in the management of change
AC1.3:     Evaluate the suitability of change management models for different contexts
AC1.4:     Explain how to assess the business risks associated with change
AC1.5:     Assess the need for contingency planning when implementing change
AC1.6:     Assess the need for crisis management when implementing change
AC1.7:     Explain the different types of barriers to change and how to deal with these

−     large scale meetings such as conferences and lectures

−     small scale meetings such as interactive workshops and training courses

  • encouraging mangers to think strategically and look ahead at opportunities and threats
  • providing clear vision and leadership
  • using Opinion Leaders to influence and inspire
  • creating a change climate that engages people to become involved and to contribute to change
  • establishing clear processes to generate ideas and suggestions
  • Comparing plans with outcomes; focus groups; interviews; surveys; informal feedback; reviews; observation to find if project:
    • met objectives: reduction of expenses; better efficiency; increase in revenue; greater market share; reduction of waste; increased productivity; regulations met
    • stayed on or ahead of schedule: delays minimised; milestones met
    • stayed on budget: no budget overruns
    • became accepted by staff: staff involved; new ways of working adopted
    • had overall effectiveness: calculation of the overall return on change; through KPIs; was productivity raised; was the quality of work maintained; was the project worthwhile; could the investment made have been better utilised
AC1.8:     Explain how to evaluate change management projects

Information for tutors

Books
Suggested resources

Beech, N., MacIntosh, R., – Managing Change: Enquiry and Action (Cambridge University Press, 2012) ISBN 9780521184854

Kotter, J.P., - Leading Change (Harvard Business Review Press, 2012) ISBN 9781422186435

Websites

www.cipd.co.uk – the CIPD website provides factsheets to cover topics such as change management. Membership is required for full access to resources

www.managers.org.uk – the Chartered Management Institute is a professional body that provides professional support and advice. Membership is required for full access

Assessment

This unit is internally assessed. To pass this unit the evidence that the learner presents for assessment must demonstrate that they have met the required standard specified in the learning outcomes and assessment criteria and the requirements of the Assessment Strategy.

To ensure that the assessment tasks and activities enable learners to produce valid, sufficient, authentic and appropriate evidence that meets the assessment criteria, centres should apply the Unit Assessment guidance and the requirements of the Assessment Strategy below.

Wherever possible, centres should adopt a holistic approach to assessing the units in the qualification. This gives the assessment process greater rigour and minimises repetition, time and the burden of assessment on all parties involved in the process.

Unit assessment requirements

This unit must be assessed in the workplace in accordance with the Skills CFA Assessment Strategy for Business Administration, Customer Service and Management and Leadership, in Annexe A. Simulation is not allowed for this unit. All evidence of occupational competence should be generated through performance under workplace conditions; this includes evidence of achievement for knowledge- based learning outcomes and associated assessment criteria.

Unit assessment guidance

This guidance supports assessors in making decisions about how best to assess each unit and the evidence needed to meet the assessment requirements of the unit. Centres can adapt the guidance for learners and the particular assessment context, as appropriate.

To achieve this unit, learners must show their understanding of and evidence of implementing change.

 

The main sources of evidence to meet learning outcome 2, learning outcome 3 and learning outcome 4 are a review of learners’ work products, and witness statements supported by professional discussion.

For learning outcome 2 learners’ work products could include their notes that identify the need for change, the potential consequences of not implementing change (AC2.1 and AC2.3) plus research into project teams for change management and their findings (AC2.3). A plan for change with SMART objectives could be used (AC 2.4). A witness statement could be used to support the learner’s briefing of team members or a work product such as an email or a memo sent to the team (AC2.5). These work products should be used as the basis for a professional discussion with the learner to meet the requirements of learning outcome 2 as well to evidence the learner’s competence. For example, within the professional discussion the learner could explain the process they used to gain acceptance to the need for change from team members and other stakeholders (AC2.6).

For learning outcome 3 a combination of a review of work products and witness testimony could be used e.g. correspondence or notes of discussion or a witness statement to evidence the implementation of the plan within the agreed timescale and the support provided to team members and other stakeholders (AC3.3 and AC3.4). Witness testimony could also be used as supporting evidence that the learner has managed problems in accordance with contingency plans (AC3.6).

These should be used as the basis for a professional discussion with the learner to meet the requirements of learning outcome 3 as well to evidence the learner’s competence. For example, within the professional discussion the learner could explain the process used by the business to escalate problems (AC3.1).

For learning outcome 4 learner work products could include their feedback and information from stakeholders on change plans (AC4.2) plus research into areas for future improvement (AC4.4). A plan for change with SMART objectives could be used (AC 2.4). A witness statement could be used to support the learner’s communication with team members and/or stakeholders, or a work product such as an email or a memo sent by the learner (AC4.5). These work products should be used as the basis for a professional discussion with the learner to meet the requirements of LO4 as well to evidence the learner’s competence. For example, within the professional discussion the learner could explain the process they used to research the suitability of techniques used to analyse the effectiveness of change and the information gathered on change plans (AC4.1 and AC 4.3).

Evidence to confirm the achievement of learning outcome 1 could be integrated into the professional discussion or reflective account for learning outcome 2, learning outcome 3 and learning outcome 4, providing the opportunity for the learner to link and apply their knowledge to the workplace activities. For example, the relationship between planning, managing and evaluating change.

Learner responses or statements to meet the requirements for AC1.1 to AC1.8 must be at a sufficient depth and breadth to meet the level of demand expected from explanation, evaluation and assessment. For example, the learner’s response about the role of stakeholders (1.2) and the risks associated with change (AC1.4) should go beyond just statements but should include reasoning around why understanding the stakeholder role and carrying out a risk assessment would be important to the business.

Evidence of Recognition of Prior Learning (RPL) can also be used within the unit to confirm competence. Wherever possible, the learning outcomes in this unit should be assessed holistically across the qualification

Unit 12: Implement Change


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