Human Factors

There are 3 types of human factors that create variations in ROI, ie speed of adoption, ultimate utilization and proficiency. These involve universal questions, ie how fast, how many and how effectively?

i) speed of adoption (expected and actual speed of adoption . how quickly do people adopt the new processes, behaviours, etc?)

This refers to the time taken for staff to first utilize the change, eg new process, systems, technology, etc.

The expected speed of adoption will be based upon the assumptions made about the implementation phase. Some assumptions may be explicit, eg the new system will be introduced to a set percentage of staff in the first month, etc. Other assumptions may be more implicit.

The actual speed of adoption is directly tied to how well the change is handled. If people realize the need for change and are willing to participate, the speed of adoption will be closer to what is expected. On the other hand, if staff have unanswered questions and reservations about the change, they are more likely to resist and slow the adoption

ii) ultimate utilization (expected and actual ultimate utilization . how many impacted staff made the change and how many did not?)

This is the participation rate, ie how many staff are engaged and participating in the change. Remember: staff can opt in or out of the change process. Most change process frameworks imply 100% utilisation. On the other hand, looking at a range of utilizations might be more realistic. Furthermore, the actual utilization is determined by how many staff opt out of the change. For example, how many staff still use the old method rather than the new way of doing things. Reasons for opting out can vary, ie do not understand the rationale for change, do not believe in the change, have not had adequate training to handle the change, etc. Sometimes staff will make a change but without measures to reinforce the new behaviours, they will revert back to the old way of doing things.

iii) proficiency (expected and actual proficiency . how effective were staff at following the new processes, behaviours, etc?)

This refers to how effective staff are when they are implementing the change, such as new processes, systems, structures, roles, etc. It is an ongoing process. Examples include improved rate of sales as a result of the new system, operational time saved when using a new system, amount of waste reduced by streamlining, etc.

Expected proficiency is a measurable that reflects fast adopting andsuccess in a new way of doing business. Actual proficiency refers to the cumulative improvement of each staff member who is performing the job differently. This is linked with ascertaining how much improvement the staff are observing.

This proficiency can conflict with utilisation, ie a 100 percent utilisation can be forced on staff and this can reduce proficiency in the staff who are not ready for the change.

These 3 factors can be used to conduct sensitivity analysis to generate numeric figures for the impact of the people side of ROI

 

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