Leading Ways #27 Our theme this month:  Fostering a change culture

On now to Leading Ways ……

Over half of all organizational change initiatives do not meet their objectives.  In a recent survey of hundreds of senior executives over 70% confirmed that their companies had experienced unanticipated problems in the change process. 

Because of this statistic I felt that change management warranted further discussion.

Successful organizational change remains a challenge despite the fact that executives know that maintaining long-term success requires flexibility and the ability to continually adjust to changing business environments.

Given all of the effort that is put into most change initiatives, why has the success rate remained so low?

One of the primary reasons why many change efforts fail is because leaders do not consider change from a recipient's perspective. 

In any change effort, leaders need to address concerns that people have when they are asked to change.  Unless you take the time to meet individual concerns, you probably will not be able to generate and maintain the momentum necessary for the change to be successful, and lasting.

However before we get to addressing change concerns let’s reflect on the causes of change.

Triggers of change arise from both external and internal forces.  Externally they may relate to changing quality expectations, new technologies or customer satisfaction.  Internally, there may be financial constraints, mergers and acquisitions, outsourcing or just increasing costs.

Change initiatives for a business or a department start by management asking and answering:

• ·         Where are we now?
• ·         Where do we want to go?
• ·         Why do we need to go there?
• ·         What are the steps to get there?
• ·         How will the organization look/feel when is delivering on its new vision?
• ·         How will we know it is different?  I try to benchmark the before/after performance of the work group.  Success breeds success and when people can see the results they are producing the pace of change typically accelerates.

At this point there needs to be a clear rationale for the change, otherwise it will just be seen as ‘change for change sake.’

Following extensive involvement from all likely to be impacted by the change and once it is determined that change is needed to accomplish the new vision or desired state, the real work in communication commences.

Who best to lead the change initiative?  None other than the CEO or business owner. 

He/she is signalling the importance of the change to the organization, and the urgency with which it needs to be accomplished.  They are for all intents and purposes the change agent, or “torch-carrier.”

So now we have people likely to be impacted by the change having participated in Why we need to change? and What are the steps to get there?

Also it is my suggestion that you answer the question as to who will win or lose from the change, so that any issues or opportunities can be addressed early on.

All logical steps, but at that point still without any consideration for the current culture of the organization.  Attitudes and behaviours usually are well entrenched and in order to have a lasting impact on change, the culture should be modified or replaced.

In the main this can be accomplished through:

 1.       Education and Training – an opportunity to demonstrate how this new training will make each of your people more marketable both within the company and in the marketplace. Perhaps by using the word ‘learning’ instead of ‘training,’ people will more  clearly see their personal benefit.  The word 'learning' is significant: it suggests that people are driving their own development, rather than having training dumped on them.

 2.   Structural changes – this may include organizational design and job roles,

3.  Continual formal and informal communication through a variety of channels,and In some cases financial incentives associated with the change.  For example productivity bonuses, or project milestone bonuses.

 Most people want change to be successful and smooth when it happens.  People really don’t like failure.  Successful change means that new processes, methods, or management techniques become the status quo and that old, perhaps less-productive behaviours are eliminated.

Well, you have been following a good process so far, but are still a long way from addressing the individual concerns of your people, so that the change will last.  Typically a series of one-on-one meetings will follow the formal and informal communication.

Personal concerns are the usual starting point and it is your opportunity to establish trust by showing you care.  At the outset ensure the person understands as to whether they will win/lose through the change.  If they are about to lose what will you and the company do to mitigate their loss?

A second concern relates to implementation and a worry that they may not have the necessary skills in perhaps a new or modified role.  Education and learning can be reiterated, and then I suggest you spend time talking about the details of the implementation.  This can be followed up by highlighting the implementation support they will receive.  This will further allay their fears.

Successful and lasting changes involve the three Cs: Clarity, Consensus, and Commitment.  The challenge therefore is to implement change while still maintaining clarity, consensus, and commitment. .This challenge is best met by having the business owner, department head or CEO as the torch-carrier for change initiatives. 

Clarity starts at the top and continues through active and open communication through multiple channels.

Consensus starts with the discussion surrounding the need to change and the options, and ensuring input at every step of the way.

Commitment -  occurs through ensuring that change initiatives remain a priority.  If change does not remain a priority then your people will view the change as unimportant.

Commitment also involves perseverance and overcoming the sometimes daily obstacles through an aggressive strategy for resolving issues.  This involves obstacle reporting, identifying whether they are people or process issues, discussion and prompt resolution.

Remember however that process issues are easily resolved, whereas the people issues need to be handed gently.  Meetings should be one-on-one and wherever possible resolved quickly, and in the resolution process leaving all egos intact.

 Finally, change is typically modified during the implementation, and change becomes continuous.  Situations evolve.  This is your opportunity to solicit on-going input to challenge the status quo, and be involved in making things better. 

After all, a brief definition of organizational development is:  an ongoing, planned effort to improve how the organization operates, serves its stakeholders and approaches and fulfils its vision and mission.”

Communication, team building, leading by example, checking and adjusting, and flexibility are your keys to successful change initiatives.

However, after communication the greatest stimulus for lasting change will come from frequent public recognition where people do great work; and in celebrating both your successes and failures.

Have a successful week !!

 Kind regards,

 Denis