Spinning off a New Entity

The Client:

Our client, a leading Ministry in the Singapore Government desired to spin off one of its divisions into a Statutory Board. The board was soon to be ‘Corporatized’ into a private entity with P & L accountability.

The Challenge:

Encouraging employees to join the new corporate entity and minimise resistance to change.

The CEO was given the task to enhance profitability and expand geographically.

The Solution:

Our premise:

Selling the vision of the new corporate entity and better managing the change process will reduce resistance and make it attractive for ministry employees to join.

What we did:

Tier 1: Assessing Change Readiness

  • Designed and administered a change readiness survey to ascertain employees’ fears & concerns, and gauge their readiness to embrace the change.
  • ‘Change Readiness Survey’ revealed the reasons for resistance, both at a ‘Rational’ and ‘Emotional’ level.

Tier 2: Dreaming the future

  • Worked with the top management team to envision the new entity.
  • Used Appreciative Inquiry methodology to crystallise the desired picture of success and change road map. This involved:
    • articulating the ‘need’ for change.
    • identifying the drivers and barriers.
    • defining supporting organisational levers (‘Structure’, ‘Process’, ‘People’,'Systems’ and ‘Culture’).
  • Shared the results of the change readiness survey, including reasons for resistance at the ‘rational’ and ‘emotional’ levels.
  • Discussed ways to handle the resistance and support employees through the change journey.

Tier 3: Rallying support

  • Facilitated employee dialogue sessions with the top management to:
    • communicate change strategy road map ahead, and
    • allay employee fears and apprehensions.
  • Developed clear action plans to foster employee commitment and make the change journey a reality.

The Result:

A majority of the ministry employees joined the new corporate entity. They also conveyed confidence in top management’s intention and ability to execute the change.