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September 2004
Resource Allocation Management
(RAM):
Pre-requisite for Effective
Change
By: Dutch Holland
Let’s get technical about a
fundamental requirement for effective organizational change.
There is a perquisite for effective change
Main Entry: pre·req·ui·site
Function: noun
: something that is necessary to an end or to the
carrying out of a function
Resource Allocation Management
(RAM) is necessary for effective organization change. RAM
happens first and continuously … or there will be no effective
change.
RAM is all about continuous,
dynamic allocation:
Main Entry: al·lo·cate
Function: transitive verb
1 : to apportion for a specific purpose or to
particular persons or things
2 : to set apart or
earmark
The allocation process apportions /
divides an enterprise’s limited resources into two categories …
resources required to run the business and those required to
change the business.
As we have said before, every
company must run the business to pay the bills at the end of the
month and change the business to pay the bills this time next
year. It takes resources to do both.
Allocation is a dynamic process
that stays continually active to ensure needed resources are
available for both run and change the business.
Main Entry: re·source
1 a : a source of supply or support : an
available means
2 : something to
which one has recourse in difficulty
The top four enterprise resources
to be RAMed (dynamically allocated) are:
-
Enterprise time … the sum total of employee hours and
concentration allocated to running and changing the business
-
Collective competence … the absolute amount of available
talent made available to both running and changing the
business
-
Dollars … the money available to power both run and change the
business
-
Executive energy and presence … the leadership and backing of
top executives made available for both run and change the
business, expressed as
Bottom line? Effective change
cannot happen unless executive leadership RAMs dynamically and
continuously … i.e., distributes key resources in sufficient
magnitude and intensity to both run the business and change the
business successfully.
Want more information? See
Change Is the Rule: Practical actions for Change On Target, On
Time, and On Budget by Dutch Holland, PhD on Amazon.com.
 Dutch Holland,
CEO of HDI, has worked as a management consultant for 30 years,
helping organizations and leaders manage and implement change
successfully. And if you enjoyed this short article, you'll
love his book, Red Zone Management: Changing the Rules
for Pivotal Times (Dearborn Trade, Chicago, Fall 2001).
Check your local bookstores or read a review at amazon.com
or barnesandnoble.com!
Contact Dutch at 713.877.8130.
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