Change Management PDF

BM1902 CHANGE MANAGEMENT Transition Atkin and Brooks (2015) stated that transition is a process that involves change in the mode by which services are delivered. The following are the different types of organizational transition: Moving to outsourci...

BM1902 CHANGE MANAGEMENT Transition Atkin and Brooks (2015) stated that transition is a process that involves change in the mode by which services are delivered. The following are the different types of organizational transition: Moving to outsourcing. It involves transferring the delivery of service from within the organization to an external service provider. Changing the outsourcing model. It involves transferring the delivery of service from an incumbent service provider to another. Reverting to insourcing. It involves bringing services in-house after a period of outsourcing. Insourcing for the first time. It involves developing in-house services for a relatively new company. In order to control organizational changes effectively, a project-based approach to transition is generally advisable since tasks, resources, time, and cost are subject to uncertainty and exposure to risks. Disruption from an uncontrolled transition could impact negatively on operations, and so steps have to be taken to ensure that transition is properly controlled as follows: 1. Goal. It involves determining the expected impact of transition on the business, primary processes and activities supported, services affected, end-user requirements, and criteria for measuring success. 2. Governance. It involves identifying the possible need for an overseeing body and clearly defining personnel roles, responsibilities and accountabilities, internal approvals, impact on organizational structure, and financial controls. It also includes the external permissions and notices required in the transition of the business. 3. Stakeholders assessment. It involves evaluating the effects of transition to stakeholder interests, engagement, and communication. 4. Risk assessment. It involves identifying hazards and opportunities which may be encountered during the transition. Also, it involves formulating a response to hazardous events. 5. Strategy formulation. It involves developing the most applicable approach, policy, and procedures for implementation, where outsourcing and insourcing are involved. It also involves existing arrangements with regard to agreements, contracts, and employment of personnel affected in the transition. 6. Time table. It includes critical tasks, milestones, and controls to be applied in meeting the set deadlines for the organizational transition. It also involves cost and budget allocation for particular courses of action required during the transition. 7. Resources valuation. It includes personnel, equipment, materials, temporary facilities and controls to be applied during the transition phase. 8. Contingency. It involves a plan designed to control an unexpected event or circumstance during the transition phase of the organization. 13 Handout 1 *Property of STI  [email protected] Page 1 of 4  BM1902 Managing Change According to Atkin and Brooks (2015), facility management helps organizations manage change. Potential for failure, or a less than satisfactory outcome, looms large and demands attention to be directed to those factors that might threaten the success of implementing organizational changes. The following are the different types of changes: Routine change. It includes daily adjustments on operations as a response to the challenges of a rapidly changing world. This type of change involves simple movement in workplaces and minor alterations in the organization such as space subdivision or remodeling. Disruptive change. It involves complex alterations to the operations of an organization. This type of change requires translating initiatives into projects, which involve the steps in organizational transition. Organizational change. It includes an evaluation of the current and future state of the organization. This type of change predicts the future nature of work and business in order to position relevant changes in space or provision of the facility. The following are the factors that often lead to organizational change: o Refocus. This involves reducing diversification of organizational activities. For instance, a real-estate company selling high-priced and low-priced houses may realize the need to focus on high-priced houses alone, in order to maximize their profitability. o Downsize. This refers to concentrating on the core business functions of the organization. For instance, a car manufacturer may decide to focus its attention on producing cars alone and outsource minor functions like customer service. o De-layer. This involves removing redundant levels or functions of management. For instance, an organization may decide to remove the overlapping functions of its employees to cut down on salary expenses. o Re-engineer. This includes redesigning business processes. For instance, instead of preparing a meal after a customer places an order, a fast-food chain may decide to prepare the food beforehand in order to improve their efficiency. Performance Management: The Post-Implementation Review Organizations must conduct a post-implementation review within the first few months of their operations (Atkins & Brooks, 2015). The purpose of this review is to determine how everything measures up to requirements agreed during design briefing and design development, especially those relating to the safe and correct operation of the facility. It can be a substantial undertaking in some cases, because of the scale of the facility involved and the need for a thorough debriefing of the design and construction team. Where facility management briefing has been undertaken as part of design briefing, the organization should find it relatively easy to determine if functional requirements have been fulfilled and whether or not the facility is operating as planned. More likely than not, there will be some issues that have to be resolved, and these might include, for example, making good defects and optimizing the performance of building services engineering installations. Feedback from stakeholders, especially end-users, will have to be organized so that sufficient information and data are to hand in order to inform the review process. The post-implementation review should be informed by any post-occupancy evaluation based on the 13 Handout 1 *Property of STI  [email protected] Page 2 of 4  BM1902 recent experiences of end-users rather than repeating the exercise, unless significant issues and actions have arisen. Post-Occupancy Evaluation (POE) Atkin and Brooks (2015) stated that a post-occupancy evaluation (POE) involves garnering the opinions of end-users who are expected to provide an objective basis for evaluating the extent to which the facility is serving its intended purpose. The normal method of undertaking such an evaluation is to conduct a survey of end-users using a questionnaire and might also involve interviews as a follow-up activity. Questionnaires are the most common tool for eliciting opinions. There are two (2) golden rules: the more time spent on designing the questionnaire, the greater will be its usefulness; and no questionnaire should ever be distributed unless it has been piloted and found to be fit for purpose. The POE complements the post-implementation review of the organization and assists in the following: Obtaining structured feedback to help in fine-tuning the facility in general and optimizing the performance of building services and engineering installations; Resolving persistent or recurrent problems in a facility that might otherwise go unchallenged; and Providing information and data for facility planners and designers to support them in the planning and/or design of future facilities. The Service Review Atkin and Brooks (2015) summarized the following organizational components which must be constantly reviewed by facility managers or professionals: End-user review. Organizations must constantly solicit feedback regarding the performance of the in-house team and/or service providers. In addition, they must establish a balance between formal and informal feedback. In the case of formal means of feedback, end-users should be provided with a summary of their responses. Whereas, end-users should be encouraged to extend more honest responses using informal means of feedback. Validated responses should also be made available to service providers and must be used in performance review meetings. Operational review. Organizations must regularly review the delivery of their services. They may capitalize on the automated means of capturing information. For instance, in the case of maintaining building security, the physical presence of visitors at a given location can be easily logged using some form of machine. A similar arrangement can be applied in cleaning particular areas and spaces of the facility, where the completion of the task can be recorded, often electronically. In order to ensure utmost compliance, the facility managers must compare actual versus planned performance for each unit of measurement, identify if the set criteria are being met or exceeded, determine overall performance, and highlight areas where improvement must be applied. Financial review. Organizations must maintain an up-to-date account of financial position covering service contracts and the financial exposure it faces in the event that a contract is terminated. In addition, the financial officers must report a monthly budget commitment and expenditures to allow organizational transparency. Moreover, organizations must allocate a contingency budget for unexpected events which may render them to spend more. Human resources review. Organizations must review reports on health, safety, and security of the facility. In particular, the report should include details of all accidents and incidents logged in 13 Handout 1 *Property of STI  [email protected] Page 3 of 4  BM1902 during the period when it occurred, and a diagnosis of their cause and immediate actions taken to prevent recurrence. The performance review meeting should consider the lessons to be learned from actual events or reports of any incident that might have had the potential to compromise health, safety, and security. Regulatory compliance review. Organizations must ensure that the facility and their employees fulfill legislation and regulations, set to a particular location where the company conducts its business. If a breach of legal obligations or duties has occurred, details should be reported, and the matter should be examined at the next performance review meeting. A full account of any breach or non-compliance should be provided together with the actions taken, or required to be taken, to remedy the breach. Reference Atkin, B. & Brooks, A. (2015). Total facilities management (4th ed.). United Kingdom: John Wiley & Sons, Ltd. 13 Handout 1 *Property of STI  [email protected] Page 4 of 4