To reform our institutions, to transition from a cashed based society to a cashless one, takes time. This is because the stability of the society is of paramount importance. changes are an everyday occurrence and project management is not oblivious to it. Project managers should be ready to carry out request that will rock the smooth transition of ongoing projects.
In 2022, the central bank of Nigeria decided to redesign the 3 highest denomination of their currency; as part of their monetary and financial sector policy. The affected coinage was the N200, N500 and N1000 notes.
The country had just attained an all-time 17 years peak inflation rate of 21.47% and had reduced the purchasing ability of the lower denomination.
The last time a currency redesign was done was in 2007 which was 15 years earlier. While this was a commendable act, it slowly plunged the country into a series of unrest scattered around various part of the country
How did such a beautiful exercise with good intentions create an unexpected problem causing an unexpected reaction from unexpected citizens making it difficult to trust the once celebrated financial institution?
In Project management, Change management is imparative. It is the management of a change in resources, process, and people involved in a project. From the standpoint of project management, the currency redesign was a change request which required a detailed change management process.
What could the apex bank have done differently to ensure a smooth transition?
change management frameworks emphasizes the importance of centering your employees in this case the citizens and government officials, in how you plan and implement a change. Think about their feelings and treat effective communication with them as a top priority.
Before the commencement of any change request, the project manager is supposed to answer some fundamental questions. These are called the 7Rs of change management;
Who raised the change?
What is the reason for the change?
What return is required from the change?
What are the risks involved in the change?
What resources are required to deliver the change
Who is responsible for the “build, test, and implement” portion of the change
What is the relationship between this change and other changes?
Answering these question will provide a guide to what needs to be done differently. Risk identification is also a critical factor that should be done with all stakeholders
In the space of 15 years, Nigeria has experienced a population explosion of about 65 million people and the strategy which was used previously would definitely be inadequate. The timing of the project was barely 2 months from a critical election. Some persons saw the change as a way to sabotage the chances of their preferred political candidate. Nigeria was ranked as the 150 least corrupt nation out of 180 countries, according to the 2022 Corruption Perceptions Index reported by Transparency International. Without an iota of doubt politicians were going to fight dirty to ensure availability of money stored for vote buying during the general election. Was this risk identified? Were there steps taken to avert this risk?
A vital ingredient in building awareness during change management is communication. Disseminating timely information to every stakeholder is critical to the success of a change request process.
Sharing a vision of how all stakeholders will benefit from the transition is one of the best things to be done when communicating changes. People need to understand that the change will be of immense advantage to everyone.
Identifying the various channels for communication and the frequency of the message is as important as the detail being communicated. People can’t concentrate on any other aspects of the change when it is initially announced since they will be thinking about how it will affect them directly. The main messages you wish to express will be heard by your audience as you intended if the senders repeat them. Send out communications more frequently than you might imagine.
Effective communication ensures awareness, understanding, acceptance and commitment. The redesigning of the naira had gaps in the communication between the policy makers and the citizen hence introducing elements of rejection to the policy.
As a project manager, there are several change management frameworks that can be adopted as a guide while implementing a change request. In terms of selecting a method, there is no right or wrong answer. Smooth transitions and beneficial change can be facilitated by any technique. The organization’s requirements and stakeholder preferences will determine the optimal approach.
Change is required to restore organizations to their natural state as emotional ecosystems. Change is a necessity.
