January 9, 2013
by Roger Kastner

A Consultant Manager with Slalom Consulting, Roger works with clients and other consultants in the delivery of Organizational Effectiveness and Project Leadership services and helps practitioners achieve greater success than previously possible.
Recently, a coworker asked me, “How do you explain the value of change management to senior leadership? You know, explain why change management is important?” As if it were a game of Name that Tune I responded, “I can justify change management in three letters: R-O-I.”
The response was similar to when I talk to a Labrador Retriever: the head cocks to one side, the ears perk up, and the eyes light up with anticipation.
So I provided a little more explanation. “Project management is all about setting, managing, and delivering on expectations of scope, schedule, and budget, and all that work constitutes the investment, or ‘I,’ in the Return on Investment calculation. The return, however, is based on the adoption of the solution created by the project. Therefore, change management is all about optimizing the ‘R’ in the ROI calculation.”
The Labrador expression turned into one of comprehension, and my colleague responded with, “Got it. That’s perfect, thanks!” She then created a PowerPoint slide with just the three letters “R-O-I” as the basis for her upcoming formal request for funding a change management effort.
Just like any investment an organization makes, the justification for the change should be rooted in quantifiable, measurable benefits to the organization. Read more of this post
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