In our experience, technology-related organizational readiness (often referred to as organizational change management) is only successful with a fundamental understanding that it’s much more than just upgrading or implementing new software solutions, such as the ArcGIS Utility Network. For lasting change, the emphasis must be on people and processes. Success follows from a structured approach aimed to help transition people, teams, and the organization from the “old way” (current state) to the “new way” (future state).
Organizational Change Management is Essential to a Utility Network Implementation
As an example, SSP recently teamed with a large electric and gas utility that had been working on how best to transition to Esri’s new Utility Network data model and ArcGIS Enterprise geospatial platform. The utility was grappling with the substantial change in how the organization would model its electric and gas distribution and transmission networks, maintain and manage its asset data, and increase organizational efficiency involving the combination of people, processes, and information with operational technologies.
Their initial attempt at transitioning to the Utility Network was performed without an agreed future state which was a key misstep. Also lacking was consistent direction to the project team about the goals of the project – was it to simply duplicate existing functions and processes or drive best practices to a desired “future state where GIS would be a ’system of engagement’ for users across the utility, as well as the ’system of record’ for the new OMS/ADMS?”
Multiple factors combined to initially slow down and eventually halt their project. The lack of coordinated team activities, which resulted in siloed decision making, and adequate project staffing were contributing issues. The core project team including both IT/GIS and business units did not have the proper allocation of time or resources to work effectively, nor a clear line of sight connecting the project objectives with the operational goals of the utility.
Organizational Change Management is a Way of Thinking
After performing many Utility Network implementations at SSP, the bottom line is that organizational change management should not be treated as just a phase in the project. Instead, organizational change management must be woven into the fabric of the approach methodology and built into the project plan and team culture throughout every phase of the project. It’s key to be continuously aware of change promoters, adopters, influencers, and resistors as they transition from current to future state during the entire course of the implementation.
That said, one of the best and most effective strategies is to take the time to establish a project charter. The project charter should be the Utility Network project team’s concise statement of core goals, objectives, and intent. A charter serves as the “map” for everything that comes next.
The charter outlines the compelling business case for change and answers the question: “We are doing this project because of…. And we are doing it now because of …..” Everyone must be aligned and intimately familiar with the business case and the vision of the project. Unfortunately, this fundamental and foundational step is often missed. This miss can leave a serious void for the project team to attempt to fill and can negatively impact personal engagement.
Another important aspect is the creation of project governance. This will help ensure the project team has a structured approach in conducting its day-to-day activities associated with project planning and delivery. Project governance must align with the existing framework of the utility’s overall structure, while maintaining the necessary project management and organizational change management elements to ensure a successful project outcome through effective decision making.
The Absence of Organizational Change Management Increases the Risks
A Utility Network implementation project usually involves some shifting of roles or reallocation of work, as well as changes in workflow processes. Some users will find they have more to do resulting from the implementation of the Utility Network, while others will find their responsibilities decreased. Both of those situations can be unsettling to staff and could lead to resistance.
A potential pitfall occurs when leadership misdirects the project emphasis purely on the technology, such as infrastructure, data, features/functions, and other technological considerations, without considering the full scope of change – people, process, AND technology.
To overcome this blind spot, it’s imperative to consistently communicate the “Why” of the project with ongoing communication and education to build the foundation to help manage the anticipated “change”, and not leave it to “chance.”
Take the needed time to establish the project team, the resources, the process, and organizational commitment to ensure that staff can function as ‘change agents’ within the utility as opposed to those that block or resist pending changes resulting from the Utility Network implementation process.
Turning back to the example of the large electric and gas utility, the early warning sign was a lack of a Future State vision. All the key stakeholders involved in the initial implementation attempt, which limped along for nearly two years, never achieved consistent alignment as to the vision, goals, or the desired Future State vision which should have a defined future workflow process, a future system context, and a transformation plan for implementing and managing the Utility Network.
What is the Secret Sauce?
To emphasize the point made here, transitioning to the Utility Network is a good opportunity for an organization to create lasting business change across the key stakeholder groups. That is why applying organizational change management during a Utility Network implementation is so important. The change is much bigger than the technology alone.
In the work we’ve done with many electric and gas utilities, we see Utility Network organizational change management as more than simply upgrading Esri’s new data models and technology. We do not view organizational change management as a phase. Instead, organizational change management must be woven into the fabric of a project and built into the project plan and team culture throughout every distinct phase of the project.
We are continuously aware of change promoters, adopters, influencers, and resistors as they transition from the old way to the new way. The secret sauce is to establish effective methods for engaging, communicating, educating, and involving all stakeholders to ensure a successful project outcome.
What do you think?