Phase two involves mapping success. “This phase focuses on defining the company’s success through measures and consequences of outcomes,” (Jensen & Kerr, 1995, p. 408). During this phase complex strategic plans are translated into a definition of success that is easy to understand and communicate. This definition of success is then linked to all change initiatives in the employee’s environment. “Linking all of in the initiatives in the employee’s environment had the greatest impact on behavioral change and drives results,” (Jensen & Kerr, 1995, p. 413). Pepsi integrated their compensation, training, and measuring to align with this definition of success and the result was the needed behavioral changes (Jensen & Kerr, 1995).
Phase three requires mapping performance. This phase focuses on managing and measuring the individual employee in relation to the definition of success of the company. The links between the employee and the company are further strengthened through the use of performance management tools. These tools help detail the individual’s specific role in the future state of the company and allow the individual to maintain larger control and responsibility over his or her work and its outcomes (Jensen & Kerr, 1995). Pepsi completed this phase with the use of individual change binders and the Pepsi dashboard (similar to a balance scorecard).
The use of Message Mapping and its phases not only helps to ease the overall change process but it can also help create a compelling vision and motivation for change. This process can be emulated by InterClean in order to ensure the success of the change process.
Human Capital Development
As InterClean approaches the new business strategy to adopt a solution based sales approach Senior Management will also need to modify and adopt new HR management strategies that monitor and track employees’ skills and progressive development or human capital development. Janet Durham and Carol Stanley have conducted a skills inventory to audit the skills the workforce currently holds but they will need to develop a system to monitor the progress of employees during the change process. One possible tool that can be used for performance measuring is an automated competency-based Learning Management System (LMS). LMS analyze existing information to identify skill gaps, not only for an individual, but also throughout the organization as a whole. As each department determines a set of competencies required for the position an individual’s skill set can be compared to the full set of competencies required by the department for the position. An individual who is missing any requirement can address the issue by receiving the needed training or development. Additional benefits of a LMS include the ability of the individual and supervisor to create a personal development plan that include one on one training, studying or project work. Many LMS can provide web-based admittance to several media, allowing employees to access training through the system or download e-learning lessons (Bentley, 2007). Many popular LMS products are scalable and repeatable tools that help organizations measure their learning effectiveness and linkage to strategic business plans. Additional benefits to organizations that apply competency-based learning management systems are that it allows members of the workforce to be portable between departments because the have known required skills or can more easily acquire the needed skills sets. Competency-based LMS also simplify the promotion or bonus process, as each employee within a department is directly comparable to another within the department (Campbell, 2006).
The implementation of a competency-based LMS does face some challenges. First, various competencies (knowledge, skills, and abilities) would need to be clearly defined for each job description and employees would need to be aligned with these positions. The second challenge of applying this human capital development program is that there may be employees who are found not to be in alignment with the goals of the department or organization which would necessitate extensive retraining, deployment to new departments, or terminations. Ultimately the benefits of applying an automated competency-based LMS is the ability to track and monitor the skill development of the workforce, support the goals of the individual with the department or organization, size the organization correctly, reduce costs and provide metrics to define the workforce. Using LMS as a performance measure to monitor the change progress could be an efficient tool for InterClean in their development of human capital.
Training and Development Alternatives
After completing an inventory of the knowledge, skills and abilities (KSA) possessed by the current employees at InterClean and EnviroTech, HR will need to develop a training program to fill the gap between the KSA’s possessed and needed. Training will also need to be in place for new personnel to be quickly brought up to speed and begin earning revenue for the company. Toyota was a company in need of training and development and the old ways of verbal abuse and berating, while seemingly tradition for some within the company, would not work in their American factories. Takashi Hata was responsible for training personnel in Toyota’s Georgetown, KY factory and “needed to train a full plant's worth of workers — all at once, and in a short time,” (Treece, 2007, p. 106). Hata asked upper management for the opportunity to standardize their training practices starting with written manuals that the company did not already provide. “As a result, the programs would ensure an efficient instruction process and standardized work methods. Employees also would be inculcated with Toyota's values,” (Treece, 2007, p. 106). Hata’s methods helped to prove that Toyota’s previous one-on-one training methods were inefficient. Hata’s methods helped to develop standardized procedures for the different job requirements in each of Toyota’s global factories. To help consistently train each employee quickly, videos were developed and distributed to the factories. These videos would show the standard practices that needed to be used in each aspect of the job. “Trainers use rote repetition to drill workers in specific manufacturing methods. For example, to ensure paint is applied evenly from a hand-held sprayer, instructors demonstrate how to squat so that the spray of paint remains parallel to the ground, not tilted up or down,” (Treece, 2007, p. 106). These methods have allowed Toyota to experience ample growth and obtain the same practices in their factories in any country. “Toyota needed modern training methods, rather than its traditional master-disciple approach, to make sure it could: Standardize work procedures at all Toyota plants; Train thousands of new workers a year with no loss of quality; Train workers regardless of their language or cultural and ethnic background (Treece, 2007, p. 106).
By identifying the best practices used by other companies that have experienced strategic organizational change and challenges to their staff and training, InterClean has a variety of possible solutions that they can emulate. They can use the Message Mapping process as a way of aligning the goals of the organization with the goals of employee; create Learning Management Systems (LMS) as a tool for measuring the progress of the organizational change and a training aid; and develop standardized training methods in order to quickly and consistently train new and existing employees.
Analysis of Alternative Solutions
The end-state goals of InterClean are the means by which the end-state vision is realized. The three end-state goals to be achieved by InterClean are: the development of a sales force that possesses the skills and competencies necessary to support the strategy change; the maintenance of employee morale and job satisfaction during the change process; and the alignment of employee goals with the goals of the organization. While all three goals are crucial, they vary how important they are in achieving the end-state vision. Since the end-state vision is focused on possessing a sales team that has the optimal levels of skills, the first goal is rated with the highest importance. The third goal of aligning structure and strategy is rated next in importance because this alignment is necessary in order for employees to accept and drive organizational change. The second end-state goal was rated with the least importance because, although employee morale and job satisfaction are crucial the success of strategic restructuring, they are indirect processes of achieving the end-state vision.
The first alternative solution (recommendation to use Message Mapping processes) was the determined to be the best solution in regard to the third goal (alignment of goals). One of the primary uses of the Message Mapping process is to align the goals of both the individual and the company which would make that solution directly satisfy that goal. The second alternative solution (recommendation of LMS) was given the highest rating in regard to the first goal (competent sales force) because this system determine gaps in competencies, acts as a training aid, and monitors the change and training progress. This rating was also shared by the third alternative solution which recommended the development of standardized training methods for quickness and consistency.
Analysis of the resulting scores led to the creation of the second-tier solution that recommends the use Message Mapping to motivate change and align goals and the use of LMS to monitor change process and as a training and development aid.
Risk Assessment and Mitigation Techniques
Every possible solution has certain risks associated with it. For the first alternative solution (use of Message Mapping and LMS) some of the potential risks are that the development and implantation of these processes can either require too much time or too much money. In the case of Pepsi, the mapping process was noted to have been more time consuming than originally anticipated so the probability of this risk is high. The resulting consequences could be the inability of InterClean to fulfill their end-state goals within the specified time frames being unprepared for their media announcement. These consequences are only medium in severity but they could have a highly negative effect on the company’s image and reliability. In terms of requiring too much funds to develop and implement, the mapping processes “delivered the required savings,” (Jensen & Kerr, 1995, p. 417) for Pepsi, which would make the probability of this occurring rather low. However, if the risk did occur, the consequences could be high in severity because the depletion of funds could result in the entire solution to be disposed of.
In order to minimize these risk, InterClean can develop, and strictly adhere to, detailed and specific time frames and budgets. Walker (2007) also suggests the possibility of outsourcing the human resource functions in order to save money and time. However, he notes that companies often keep the human resource functions internal.
The second solution poses the possible risk of resistance to organizational change and training due to the misalignment of goals between the employee and the organization. If the employee fails to see what role they play within the new future direction of the company and potential desirable opportunities, they will have no motivation to drive the change nor to learn the necessary competencies. This risk is only amplified without a proper communication system in place for employees to give and receive feedback giving it a high probability of occurrence. The consequence of this risk is the waste of valuable time and money without any worthwhile results. Considering time and money are of importance in this change process the consequence is highly severe. As a possible technique to minimizing this risk, InterClean could loosely follow the steps of Pepsi and devote a specific amount of time to aligning employee and organizational goals to ensure that they are moving toward the same objective (Jensen & Kerr, 1995).
Another highly probable risk associated with the second solution is that the impersonal and non-stimulating standardized training methods and the lack of a communication system could result in a failure to properly train employees to the required levels. This directly affects the end-state vision which makes it high in severity. The use of creative and compelling training methods and setting up weekly meetings for communication could help lower this risk.
This risk analysis makes the second alternative solution less desirable considering the probability and severity of the risks involved.
Optimal Solution
InterClean is undergoing radical changes in order to gain a competitive advantage in the sanitation industry. In order to ease the transition of these changes, their HR department must develop processes for staffing, training, and retainment. These processes, and the direction of new and current staff of InterClean, must be aligned with the new direction of the company in order for these changes to be successful. Research of the best practices used by other firms and the analysis of possible risk and mitigation techniques have resulted in the creation of an optimal solution for InterClean to achieve its objective. Interclean will successfully carry through their organizational change processes and develop a sales force possessing optimal skill and competency levels by using Message Mapping and Learning Management Systems.
As witnessed in the case study of the Pepsi Co., the use of Message Mapping allowed the firm to successfully “align the organization’s need to drive change in an increasingly aggressive marketplace, and the employees’ need to keep up with those changes,” (Jensen & Kerr, 1995, p. 407). It is the general manager’s role to successfully motivate change and “people must come to believe that change is necessary must commit to abandoning the status quo for an uncertain future,” (Dreher & Dougherty, 2001, p.16). Management must also create a vision of the future for employees and show them how they individually fit into this vision and how these changes will lead to desirable personal and organizational outcomes (Dreher & Dougherty, 2001). Success in motivating change and creating a vision for individuals results in the acceptance of restructuring process and the alignment of their goals with the company’s goals. This was the outcome experienced by Pepsi which successfully managed change.
The use of Learning Management Systems (LMS) by InterClean can help them to achieve their goal of having a sales force possessing optimal skill levels. LMS can be used in a variety of phases during the change process. “Purposes range from the identification of training needs, to providing feedback to help improve a work process, to making layoff decisions, to allocating bonus funds,” (Dreher & Dougherty, 2001, p. 61). One of the most useful benefits of LMS is the ability to track the training and change progress. Small obstacles in progress can be identified and remedied early on which saves valuable time and money. The ability of the individual and supervisor to create a personal development plan is another benefit to the implementation of LMS. This type of training and development not only impacts employee morale and performance, it also helps companies in succession planning and in attracting and retaining top talent (Dreher & Dougherty, 2001).
By using Message Mapping and LMS, Interclean can successfully manage and sustain the change process, align employees with new business strategy and goals, and possess the desired optimal sales force.
Implementation Plan
The execution of the proposed solution will require a strict adherence to the time line. The change process requiring more time then originally planned was a problem that Pepsi faced but cannot be faced by InterClean. InterClean must complete the change process before the media announcement that will occur in 180 days. The process detailed below mirrors the phases completed by Pepsi during their adoption of the Message Mapping process.
The time frame necessary to complete this solution is 180 days. The first step in executing this plan is the development and implementation of a communication system (intranet or set of meetings) with open communication channels in order to motivate change and align employee and organizational goals. This step is to be completed within one month and the communication system is the responsibility of the HR department while the CEO is responsible for communicating the motivation for change. The alignment of employees with the new organizational strategy is necessary before any other changes can be made.
The next step in the implementation plan is the development of a definition of what success means to the company then linking this definition to every one of the change initiatives. This step has a timeline of two weeks and although the final development is the HR department’s responsibility, employee input and ideas will be needed in the development and linking stage.
The creation of detailed sets of requirements for each position in the company being redesigned is the next step in the process. The development of these sets will be a combined effort of department heads in the company and the HR department and should be completed within one week.
Once the sets of requirements are completed, the HR department will analyze them, and the results of the staffing audit, in order to comprise a training program that covers the necessary skill requirements and the skill gaps identified in the audit. This training program must be in place before any new employees are hired. This step should take two weeks.
The next step of the implementation plan is the development and implementation of a Learning Management System. This system, along with the staffing audit, will identify the gaps that will be needed to be filled with new hires. This step is the responsibility of the HR department and should be completed within 2 weeks. This step must be completed prior to the training period so that progress during that period can be monitored by LMS.
After all these processes are set in place, the HR department will begin hiring new employees and training them along with current employees. This process should be the sole focus of the HR department during this period because they must have it completed within 2 months.
The last step in the implementation process is the evaluation of the competency levels of the new sales force. This will be completed through the use of a skill test that will be given to all employees. The sales team needs to have a strong knowledge of these competencies prior to the announcement of the change in strategy.
Evaluation of Results
The success of the solution proposed will be measured through quantitative and qualitative measures. The first end-state goal of having a staff that has the skill and competency level needed to support the new strategy will be measured quantitatively through the use of skill level tests. The target of this goal is 80% of the sales staff scoring of 80% or higher. These tests are a reliable and valid form of measurement and the results can also show InterClean the strengths and weaknesses in training methods.
The second end-state goal is the maintenance of employee morale and job satisfaction. This goal will be measured both quantitatively, by monitoring the voluntary turnover rate, and qualitatively, by the use of employee feedback surveys. Results of this goal are considered to be a success if 75% of employees report high job satisfaction in their surveys 30 days after the strategy change and merger and voluntary turnover during the 180 day change process does not increase more than 5%. Since the surveys are measuring the emotional state of the employee they can be considered reliable and valid measure for that purpose. They can also provide feedback on other change issues which can be helpful for management. Voluntary turnover rate, however, is not a reliable form of measurement of employee morale and job satisfaction. Although a definite relationship exists between these items, voluntary turnover is not the only factor in determining employee morale and job satisfaction.
The third end-state goal of aligning employee and organizational goals is measured qualitatively through the use of surveys. If 75% of employees report the acceptance of the strategic change and the alignment of their goals with the company’s goals within 30 days of implementation, then this goal will have been reached. This measure is valid form of measurement, however, its reliability can be somewhat imprecise due to the tendency of employees to respond with answers they feel are expected.
Conclusion
A review of InterClean’s current situation and the issues that the company is facing has allowed for the exploration and analysis of many possible opportunities and solutions that InterClean can use. After performing benchmarking research to develop solutions, rating them against the end-state goals, and analyzing risk and mitigation techniques, an optimal solution was developed for InterClean with a detailed implementation plan and measurements to evaluate the results. This proposal is comprehensive and has undergone extensive examination in order to provide InterClean with the best possible solution.
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Table 1
Issue and Opportunity Identification
Table 2
Stakeholder Perspectives
Table 3
Analysis of Alternative Solutions
Table 4
Risk Assessment and Mitigation Techniques
Table 5
Optimal Solution Implementation Plan
Table 6
Evaluation of Results