8 Crucial Steps in the Change Management Process

Today, the pace of technology-driven change in virtually every industry is at an all-time high. The traditional 5-year or even 3-year plan is inadequate to keep up with the competition and the latest trends. Companies that previously enjoyed the luxury of slow technical change now face compressed product development times, new and quicker competitors, and more demanding customers. Staying up to speed with the latest innovations in your industry requires almost constant change.

Top executives are aware of the need to adapt to a technologically advanced change management process. A survey by Gartner concluded that 80% of CEOs have a business transformation project of some type underway. Likewise, most change management plans take twice as long as estimated and cost twice as much. This doesn’t even include the projects that get planned but never get off the ground.

Let’s look at product lifecycle management (PLM) platforms because they are a good example of how technological changes impact product management strategies in engineering, manufacturing, and sustainability. Everyone can think of a prior PLM selection and deployment activity that did not work out well. Failure often comes when introducing solutions like PLM platforms to unsuspecting users, and chaos ensues. By involving those who will be affected by the overall change management process, you can achieve a successful PLM platform adaptation by your users and get kudos instead of a black eye. A good example is the impact of the digital thread and the key role that modern PLM platforms play in managing them.

Most people do not want to change if they don’t understand the value or strategy behind it. When new software platforms are deployed along with new processes, new tasks, and possibly organizational changes, most people are not happy. In the case of PLM, unsuspecting users will quietly resist and stick with what they understand and are familiar with unless incentivized otherwise. Especially if they lack the understanding of how the new solution benefits them and the enterprise.

Effective tool and process change management is essential for successful business transformation, especially when implementing a new PLM strategy. Here are 8 key steps to navigate your change management journey effectively:

8 crucial steps in the change management process:

1. Develop a detailed strategy and cultural change management plan: A clear strategy assures all stakeholders understand the goals, timeline, and expectations. This helps minimize resistance and confusion. To implement, involve stakeholders early in defining objectives and mapping out cultural shifts that may be needed for success.
2. Remove executive roadblocks by having a committed sponsor: A committed executive sponsor ensures alignment across the organization and removes obstacles that can stall progress. Identify an influential leader to champion the change, make resources available, and communicate the vision consistently.
3. Provide feedback to users during the entire process: Continuous feedback helps users feel heard and tracks improvements. Create regular opportunities—like surveys, focus groups, or one-on-one conversations—to gather user input and adjust the implementation accordingly.
4. Personalize the experience by answering questions: Personalized communication reduces uncertainty and builds trust. Provide channels throughout the change management process where users can ask questions directly and ensure knowledgeable team members are available to offer timely, specific responses.
5. Build a community of PLM users that support each other: A strong community helps share best practices and collectively solve problems, accelerating adoption. Establish a forum or regular meeting where users can connect, share experiences, and collaborate on solutions.
6. Demonstrate progress phase by phase:  Demonstrating incremental progress helps maintain momentum and trust in the process. Break the project into clear phases and celebrate milestones, sharing success stories and visible benefits with the organization.
7. Expect that plans will have to change as users identify issues during early tests: Flexibility ensures that unexpected challenges are addressed without undermining the project. Set up early pilot tests, gather user feedback, and be willing to revise the plan based on real-world findings to improve the implementation.
8. Make sure that the solution is used, and if not, why not: Adoption of a new change management plan is the ultimate measure of success. Track usage metrics and directly ask users about barriers they’re experiencing. Use their insights to refine training, simplify processes, or provide additional support to ensure the solution delivers value.

Statistics from McKinsey & Co. show that 70% of business transformation efforts fail. The primary reasons for this failure are a lack of management support and employee buy-in. This has certainly been the case for many PLM rollout activities. The same survey showed that when people are involved early in the change process, it is 30% more likely to stick.

The Kubler-Ross change curve below shows the various stages of adapting to change including new tools and processes. If PLM users can be involved early in the discussion of the strategy and the solution selection process, they will be able to quickly move through the first stages of accepting change and are more likely to be ready when the changes arrive. A good cultural change management plan will allow this to happen at the beginning, middle, and end of the PLM selection project. This plan can also guide users as they become familiar with the new software and will help them prepare for the next phase of change.

Too often, PLM migrations to a new modern platform are not implemented as a strategic alignment with the evolving business objectives but as a tool swap. Furthermore, the impending PLM platform replacement is not communicated to the masses because there might be a general mutiny. Getting users involved in the strategy, the value, and the selection process is an excellent way to ensure that users and other business organizations will effectively collaborate. Don’t paint a rosy picture, but be honest about why the change is needed and what will change, and provide a good overview of the many benefits to the users and the business. A simple overview communicated early to all users and stakeholders should provide answers to the following questions:

• Why do we need to make this change?
• What are the benefits that we will receive?
• What is the plan for selecting a PLM platform?

Telling people what will not change can also help users feel better about the project. Some PLM changes will impact many people, but when done in a phased approach, it can be less disruptive. Make sure to tell everyone what the process will be and what will change with each phase of PLM platform deployment. Most people will be able to deal with the uncertainty if they know what to expect. (I also recommend providing free pizza when possible.)

Many of the challenges that PLM users are faced with after the platform is deployed could have been dealt with and solved long before the solution was chosen. Take the time up-front to listen and let those most affected by these changes know that you have their best interests in mind. Get their feedback and involve them in the PLM selection process so they may transform from a complainer to a champion. If your PLM platform allows customizations, agreeing to a custom request from your users early in the selection process will go a long way in fostering goodwill. The tool and process change management plan should include an outline of what will be done to support PLM users during the selection process and after the software is installed. This is where many selection projects fail. Don’t just install the software and step away. Include a support section in your plan that includes internal hotlines, mentors, demos targeting questions, internal user groups, frequent update training, and other support resources for all users.

PLM platforms are powerful and can support the changes organizations must make to allow their business to keep up with the competition. Make sure that you do not let the tool drive the solution. Determining what you need to support your business in the future should include asking users what they would like to do better. The best solutions will have a mix of processes that are key to the business and processes that are the easiest for users to embrace.

The many changes introduced by a PLM platform deployment are successful when users and management are in sync and understand the strategy and the benefits of PLM.

But don’t take my word for it; look at our PLM selection guide to help you successfully choose your new PLM platform AND deploy it to happy and excited users.