The effect of OCM on a Project’s ROI

OCM is commonly known as Organizational Change Management, or sometimes simply Change Management. This is the human element of incorporating change through an organized motion of proactively predicting the human factors (behavioral, emotional and physical aspects) for executing a desired change. Once these predictions are made, we strategically address them in a way that most successfully achieves the desired outcome. It’s the healthy method of changing mindsets and behaviors while moving people from one position to another.

Different circumstances lead to change in an organization. Anything from a new product or process, to a restructuring or technology change. A successful organizational change needs to transpire through a process, or journey – with distinct stages. You need to be cautious as to not allow the change to feel transactional. There is no standardized approach in OCM, but there are processes that organizations can follow to direct the best motion for their own ingenuity.

A good way to start this motion would be to engage users as soon as possible in the making of decisions and seeing the value of the change. Allow the user to be engaged in the Analysis & Design and have strategic communication throughout the motion. Create enthusiasm and anticipation through the process to maximize the execution and captivate the user. Listen attentively and respond swiftly to user communication. Build awareness and the desire for a successful end result. And know that a successful end result is the effect of an engaged user.

An unsuccessful project will experience lack of commitment and follow through from senior executives, unsound project management skills and lack of training which results in confusion among the users. A successful project with a very good OCM reflects involvement from senior executives to frontline users, clear outline of responsibilities, and project understanding and acceptance throughout the organization.

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Now let’s discuss the Business Impact of an OCM, or more specifically – the ROI. When a company is considering a ‘change project’, you need to put focus on the OCM and its impact on securing a High Project ROI. A High Project ROI success denominator is its OCM. Let me explain in a little more detail…

For a project to get approved, it needs to have a captivating Business Case which looks at the cost of the project weighed against the benefits of the project. If the benefits exceed the cost – the ROI is positive, which will result in a project approval.

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Another way to describe a ‘project benefit’ would be a ‘project purpose’. There are a wide scope of project purposes, from the increase of sales to the cost reduction of a specific department. A projects success would yield a dollar amount to the project purpose/project benefit.

OCM enables companies to deliver results on various aspects of change, and also builds competencies and capacity at the same time. The organization gets put into a position of strength. New projects affect the way users do their work and that is why OCM is so important. It is the approach of taking the wheel on the successful adoption of the organizational change. And that success is dependent on the invested user.

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