American Electric Power

Organizational Change Management Strategy

Expense System Roll-Out

Background

Navigator led the development and roll-out of the organizational change management (OCM) strategy for American Electric Power’s (AEP) implementation of PeopleSoft (PS) Expense to 12,000+ employees.  The project included replacing an aging expense system, updating expense related processes, and introducing new or revised policies.

Approach

The OCM approach was initiated with an organizational readiness assessment designed to provide insight into the potential challenges and objections. The findings from the assessment were used to develop the change management and training strategies as well as targeted tactics for the various stakeholder groups.

The OCM lead leveraged several communication channels in new innovative ways to support the branded change management campaign. Communication channels included a branded intranet site, branded blog, and an ‘invitation only’ online community for the change liaisons. Additionally, the OCM lead developed and rolled-out a virtual Manager Information Session series enabling direct communication with 75% of the managers. The series provided managers information on upcoming changes and review a series of communication toolkits.  

Additionally, the OCM lead cultivated a network of 200+ change liaisons through and coordinated this decentralized group to champion the change effort.

Results

Key success factors in the OCM plan included a targeted approach to executive engagement and alignment, tools and coaching designed for managers, an internal branded campaign, MoneyMatters, and a branded online presence to support the system, process, and cultural changes. 

The OCM strategy and effective execution proved to be a significant component in the overall success of the project.  Readiness assessment results indicated that 39% of employees did not understand the impact previous technology changes had on them or the organization. Following the rollout only 9% indicated that they didn’t understand the impact to them or the organization, a direct result of applying effective change management to an enterprise-wide rollout.

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