Change Management

A critical enabler to public sector transformation

The Middle East public sector has witnessed remarkable change in the last decade. Government institutions across the region have evolved and transformed, improving service delivery with a focus on addressing the needs of their citizens. Additionally, governments across GCC have revamped their strategic national visions, tasked with a clear outcome to deliver. These national transformations have resulted in significant holistic changes, impacting all stakeholders involved, including government institutions themselves.

Common themes of change fueled by national transformations throughout the region

Several countries have reconsidered the role of government, encouraging some to restructure, merge, and create new institutions that would carry out mandates in line with their respective national vision. This undoubtedly requires existing government institutions to completely rethink the design of their operating model, organisation structure, technology and data, and processes. Furthermore, many government institutions have recognised the importance of adopting a performance-based culture, and thus workforce productivity has become a new imperative for the public sector.

Such attempts at government restructuring require significant change management efforts to ensure the organisation and its employees transition in the least disruptive manner, meeting the intended objectives.

Human Development Report 2020: Human Development Index Value for Selected Countries

To put matters into perspective, the Human Development Report issued by the United Nations Development Programme highlights improvements in rankings for KSA, UAE, Qatar and Bahrain. All these countries have improved their Human Development Index (HDI) over the last 3 years, which came as a result of each country’s initiatives and programs targeting human development.


  • UAE

Current Global Ranking

2017 HDI value

2018 HDI value

2019 HDI value



  • KSA

Current Global Ranking

2017 HDI value

2018 HDI value

2019 HDI value



  • Qatar

Current Global Ranking

2017 HDI value

2018 HDI value

2019 HDI value



  • Bahrain

Current Global Ranking

2017 HDI value

2018 HDI value

2019 HDI value



  • Oman

Current Global Ranking

2017 HDI value

2018 HDI value

2019 HDI value



  • Kuwait

Current Global Ranking

2017 HDI value

2018 HDI value

2019 HDI value


Developing a nation’s human capital must be supported by change management efforts to ensure the needs of citizens are met such as quality of life, healthcare, and education. Implementing such initiatives require considerable communication and stakeholder engagement.

Digital transformation: Government institutions have started to evolve their digital capabilities, enabling them to fulfil their role in achieving their respective national strategies. For example, KSA has embedded digital transformation as one of the objectives of its National Transformation Program, with an aim to further develop its e-government services. Enabling digital transformation requires change programmes to encourage buy-in, ownership and commitment of stakeholders.

*Note - the Human Development Index is a summary measure for assessing long-term progress of 189 countries in three basic dimensions of human development: a long and healthy life, access to knowledge and a decent standard of living.
Source: United National Development Programme - Human Development Index (HDI)

The role of change management in enabling transformation

As the need to ramp up project management capabilities that support national transformations took centre stage for many government institutions, the need for change management capabilities began to surface as well. This became evident as some government institutions faced challenges in carrying out programs and initiatives that fed into the broader national vision, despite being enabled by sophisticated project management practices and digital tools. In such cases, the root cause is often a lack of sufficient focus on change management activities rather than ineffective project management.

The role of change management is to collaborate with project management activities by addressing the human dynamic element in managing programs and initiatives, and dealing with “people” barriers to ensure sustainable results.

Key considerations for change management in the context of institutional transformations

While government institutions are becoming increasingly pressured to evolve in ways that enable them to emerge as key contributors achieving the national strategy, such transformations will often fail in the absence of a well-orchestrated change management plan or activities.

Several considerations must be made by government institutions undergoing transformation and wide-scale change, such as:

Transformation Vision
Create a shared vision and alignment across the organisation to support successful transformation and benefits’ realisation
Leadership Alignment
Keep leaders informed and aligned with the transformation to ensure their support cascades to other key stakeholders
Stakeholder Engagement
Identify key stakeholders for the transformation and how to engage them throughout the process
Change Impact & Readiness
Assess the organisation’s readiness from a people, structure, and process perspective to undergo a successful organisation transformation
Change Agents’ Network
Mobilise and train a network of change leaders and agents that will actively support change management and communication interventions across the organisation
Communication
Deliver communications to help employees and leadership understand the expected benefits and scale of the transformation
Training
Ensure that staff are provided with the necessary training that enables them to adapt to the changes resulting from the transformation
Adoption and Sustainability
Make the change stick to deliver benefits’ realisation over a sustained period throughout the transformation journey
  Benefits:
  • Focuses the organisation on the overall vision and the intended benefits of the transformation
  • Enables effective sponsorship and communications
  • Enables cross-functional collaboration
  Suggested activities:
  • Collaborate among leaders to align on the change vision, based on the objectives and requirements of the transformation
  • Involve all relevant stakeholders when identifying the detailed scope, objectives and milestones of the transformation
  Benefits:
  • Aligns leaders on the vision and expected results
  • Manifests leaders as supporters and advocates of the transformation
  • Sets the tone for the transformation, which serves as a barometer for others to follow
  Suggested activities:
  • Build leadership’s capabilities to drive the transformation
  • Facilitate a session with senior executives to attain a common understanding of the business case for the transformation
  • Create a leadership action plan to ensure leaders are engaged and aligned throughout the transformation
  • Provide periodic updates to leadership
  Benefits:
  • Identifies beneficiaries of the transformation
  • Identifies stakeholder groups which would require extensive engagement
  • Engages stakeholders and builds buy-in and commitment
  Suggested activities:
  • Identify key stakeholder groups and individuals and determine their level of influence and impact
  • Review employee engagement survey results to gain a deeper understanding of stakeholders’ issues
  • Identify potential change leaders as well as resistors to change
  • Develop a stakeholder engagement plan that supports the transformation
  Benefits:
  • Identifies how the transformation will impact each stakeholder in more specific terms (change to processes, new systems, new roles and responsibilities, etc.)
  • Identifies risks to be mitigated
  • Identifies obstacles / pockets of resistance and considers ways to address them
  • Provides a view on the readiness of the organisation and its people to undergo the transformation
  Suggested activities:
  • Understand structural, process and technology changes to the organisation
  • Conduct interviews, surveys and focus groups to evaluate the readiness of various stakeholders to undergo the transformation
  Benefits:
  • Creates change ambassadors who are well-acquainted with employees
  • Provides access to employees at all levels and improves the flow of communication
  • Allows for direct gauging of employee sentiment and reactions
  • Allows for quick identification of resistance to change and consequent escalation
  Suggested activities:
  • Select change agents and provide training on change management fundamentals and change leadership
  • Equip change agents with the necessary content to familiarise them with the transformation
  • Conduct regular meetings to review progress on the execution of the change management plan
  Benefits:
  • Reinforces employees’ understanding of and support to the change, and motivates them to adapt and learn
  • Reduces the degree of resistance to change
  Suggested activities:
  • Build a communication strategy that supports the transformation
  • Design a detailed communication plan for the transformation
  • Craft key messages and develop communication material and supporting content
  • Develop a mechanism to measure communication effectiveness
  • Deliver communications through multiple channels
  Benefits:
  • Reinforces employees’ understanding of the changes resulting from the transformation and why upskilling is required
  • Equips employees with the necessary skills that allow them to adapt to the outcomes of the transformation
  • Facilitates employee buy-in and support
  Suggested activities:
  • Identify the target audience that need to be upskilled
  • Liaise with relevant functions to ensure that training is being delivered and its impact is being measured
  Benefits:
  • Ensures that knowledge is transferred to the relevant employees
  • Reinforces the change and supports the realisation of benefits of the transformation over a sustained period
  • Supports in sustaining the change
  Suggested activities:
  • Develop a knowledge transfer approach and action plan that targets key stakeholders impacted by the transformation
  • Link performance management system to rewards and recognition
  • Measure adoption effectiveness through surveys and performance reviews

Conclusion

The theme of change that is impacting the public sector in the Middle East region has a far-reaching impact across a variety of stakeholders and is triggering transformations across many government institutions. While project management is a crucial factor in driving such institutional transformations, change management is the critical enabler that focuses on ensuring buy-in from and commitment of stakeholders to support the transformation.

Integrating change management and project management practices together can lead to achieving successful and sustainable transformations for the future, a key lever to enable a smooth journey for all parties involved.

 

Contact us

Moutassem Atassi

Moutassem Atassi

Partner People & Organisation - KSA, PwC Middle East

Tel: +966 50 681 5936

Raif AlAzem

Raif AlAzem

Director, People & Organisation, PwC Middle East

Amro Hakki

Amro Hakki

Manager, People & Organisation, PwC Middle East

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