First, this thesis includes an account of the entire process of deploying a change management project, as experienced at Datentechnik.
This study also gives a detailed "road map" and the hours required for each part of the transformation.
The second outcome of this thesis is a description of what to do after finishing a change management project. This includes methods to assure continuous improvement and ongoing learning in this new organizational environment. In other words, this is a brief description of how to switch over from rule-breaking and sporadic improvement to moderate but continual improvement.
Third, this description also includes the difficulties and lessons learned in the course of the project, giving an answer to the question, "What would you do if you could start all over again?".
Fourth, this thesis includes a detailed review of literature on change management and organizational transformation. In other words, it includes a comparison of several approaches to change management and various management methods such as TQM, ISO 9001 and so on.
Table of Contents
2 Introduction
2.1 Motivation and Background
2.2 Objectives
2.3 Results of this thesis
3 Creating your business future
3.1 General conspectus:
3.1.1 Organizational development concepts
3.1.1.1 Localized exploitation
Excursion KAIZEN:
Excursion ISO 9000:
3.1.1.2 Horizontal (internal) integration
TQM – total quality management
SCM - supply chain management:
3.1.1.3 Business process redesign
BPR according to Michael Hammer
CPR
Process innovation
3.1.1.4 Business network redesign
3.1.1.5 Business scope redefinition
3.1.2 The "transformation funnel"
3.2 Visioning phase
The transition team
3.2.1 Values
3.2.2 Purpose statement
3.2.3 Sense of urgency
3.2.4 Guiding coalition
3.2.5 Value proposition
3.2.6 Vision
3.2.7 Mission
3.2.8 Strategy and goals
3.2.9 Timeline and supplementary aspects
3.3 Process redesign
3.3.1 Organizational structure
3.3.2 Building blocks for process reengineering
3.3.2.1 Terms and definitions
3.3.2.2 A process redesign roadmap
3.3.3 Process redesign teams
3.3.4 Timeline and supplementary process redesign aspects
3.4 Implementation
3.4.1 Building blocks for implementation
3.4.1.1 Process implementation
3.4.1.2 Organizational implementation
Demands on goals
3.4.1.3 IM and IT implementation
3.4.2 Timeline and supplementary implementation aspects
3.5 Beyond change management
3.5.1 Continuous improvement
3.5.2 Measurement
The Balanced Scorecard
3.5.3 Supplementary aspects
3.5.3.1 Pitfalls to avoid
4 Conclusion
Objectives and Core Themes
The primary objective of this thesis is to present experiences in transforming a medium-sized enterprise through change management. It aims to illuminate one possible path for such an organization, propose ways to eliminate shortcomings in change management projects, and provide practical examples. The thesis focuses on delivering a detailed road map and best practices rather than developing a new theory.
- Change Management processes and organizational transformation.
- The "transformation funnel" as a structural roadmap for business change.
- Integration of TQM, ISO 9001, and Activity-Based Costing (ABC).
- Development of vision, mission, and strategic goals for medium-sized enterprises.
- Leadership, team building, and effective communication strategies.
Excerpt from the Book
3.1.2 The "transformation funnel"
Five different transformation levels were briefly described above. In its change management approach, Datentechnik decided to go the whole way from Level Five to Level Three in order to make a significant and fundamental performance change. A number of different but analogous approaches and examples from large companies are described in the literature. Depending on the author and on his or her experience, five to ten stages, or phases, are identified.
Within the eight-stage process of creating major change, three main phases can be distinguished:
- Phase 1: Defrost the status quo
- Phase 2: Introduce new practices
- Phase 3: Ground the change
These three phases will be used to enable a comparison of the five different approaches and illustrate the common idea behind them.. It is rather conspicuous that all of them share a more or less lengthy phase of defrosting. During Phase One, no changes occur in any process. However, in my opinion and based on the experience during the project at Datentechnik, this is a crucial phase. Five out of eight reasons for failure in organizational transformations are related to the status quo. If you neglect any defrosting activities, you will rarely establish a sufficiently solid base on which to proceed. Another pair of authors identify four of eight pitfalls as related to Phase One.
Summary of Chapters
2 Introduction: This chapter outlines the motivation for the change management project at Datentechnik and defines the primary objectives and intended results of the thesis.
3 Creating your business future: This core section details the transformation process using the "transformation funnel," moving through visioning, process redesign, implementation, and beyond, while incorporating various management frameworks.
4 Conclusion: The final chapter summarizes key messages, emphasizing the necessity of both managing and leading change, and reaffirms that medium-sized enterprises can successfully execute such projects.
Keywords
Change Management, Organizational Transformation, Datentechnik, Process Redesign, Business Excellence, Total Quality Management, Supply Chain Management, Transformation Funnel, Leadership, Communication, Activity-Based Costing, Balanced Scorecard, Continuous Improvement, Team Building, Medium-sized Enterprise
Frequently Asked Questions
What is the core focus of this thesis?
The work focuses on the practical application of change management within a medium-sized enterprise, specifically drawing on the experiences at Datentechnik to illustrate a successful transformation process.
What are the primary themes discussed?
The central themes include organizational development, business process redesign, the importance of leadership and communication, and the implementation of strategic management tools like TQM and ABC.
What is the main goal of this research?
The goal is to provide a practical "road map" for other medium-sized organizations planning a change management project, highlighting lessons learned and ways to avoid common pitfalls.
Which scientific methodology is utilized?
The methodology is descriptive and experiential, comparing existing change management literature and theories with the real-world application of these concepts at Datentechnik.
What topics are covered in the main section?
The main part covers the "transformation funnel" (from visioning to implementation), process redesign, organizational structure, performance measurement systems, and sustainable practices after the project ends.
Which keywords characterize this work?
Key terms include Change Management, Transformation Funnel, Process Redesign, Leadership, Continuous Improvement, and Organizational Development.
What is the significance of the "transformation funnel" described in the book?
The funnel is a conceptual framework that helps organizations narrow down decisions from broad values and vision into specific business processes, ensuring alignment throughout the transition.
Why does the author emphasize "defrosting the status quo"?
The author argues that neglecting the "defrosting" phase (Phase 1) is a primary reason for failure in organizational change, as a solid base is necessary for subsequent successful transformations.
How does Datentechnik approach performance measurement?
The company supplements traditional financial reporting with Activity-Based Costing (ABC) and performance indicators that are closely linked to their critical success factors and strategic goals.
- Quote paper
- Ing. Mag.(FH), MSc Wolfgang Pölz (Author), 2002, Change Management – A way to create your business future, Munich, GRIN Verlag, https://www.grin.com/document/89904
