A Business Case For Change Management

04 Mar 2016

Want your change project to succeed? Better get the budget to fund the proper change managent work to be done.

Let's share what works and what doesn't to get sponsors to open the purse strings.

Implementing a new project or a large change in process in any company is challenging on many fronts. There are budgets and timelines to be met and hurdles to be crossed, however the largest challenge often comes from “the human factor”. Big or small, change of any kind can rock the boat and send people into a tailspin. Any project is doomed for failure if it does not have the buy-in of the employees.

Obtaining employee buy-in is never easy, so what is the best way to get employee on borad with your big project? Invest in change management. This will increase the likelihood of achieving the return on investment of your project.

There are a lot of facts and statistics on why one should invest in change management as part of a large project.  I've listed just a few below.

When looking at all these different perspectives, one thing becomes blatantly clear - not investing increases your chance of failure.  The trick is to convince the boss to increase the budget by 12% to 15% for the "soft" activities on a project.

Your chances of getting funding will increase if you to treat it like an actual investment (because that's what it is!!). And all investments are measured by the return they provide. Here's how ROI is calculated:

 

 

The challenge is articulating hard benefits and conveying all the reasons why change management is a good investment to busy executives. Sometimes it seems virtually impossible.

The best way to get their attention?

Treat your project like any other investment. And demonstrate the ROI of adding change management to your budget.

 

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