change management at organization level

Vinayak Tathe

Vinayak Tathe

Change Management
  • At an organizational level it is crucial to adopt Change Management. For this purpose, you need to identify its challenges and best practices.
  • The process involves acquiring knowledge about the key concepts and principles of change management and exploring the frameworks, methods, and tools for managing change.

What is Organizational Change Management?

  • Organizational change is the movement of an organization from one state to another. It may require a change in the company's structure, strategy, policy, procedure, technology, or culture.
  • Effective change management helps organizations to navigate transitions and achieve desired outcomes.

Why is Change Management Important?

  • The emphasis on Change Management is due to certain positive features.
  • Maximizing benefits for the organization: Change management ensures that the change gets implemented effectively and efficiently to maximize the benefits of change for the organization.
  • Improving employee engagement and morale: Change management includes communicating with employees and involving them in the change process. It helps in improving their engagement and morale.
  • Reduction of risks and costs: Change management helps to identify and mitigate risks associated with the change, which can reduce the costs of change and increase the chances of success.

Two Sides of Change Management

  • Operational side: The operational side includes strategy, structure, process, system, and technology.
  • Human side: The human side includes culture, communication, skills, and leadership modeling.

Steps of Change Management

  • You have to take Four Big Steps to bring in any Change Management:
  • Analyze current situation: First of all, you need to identify the reason for change. Then, assess its readiness and the impact that would take place. Identify gaps if any and gather feedback from concerned individuals.
  • Plan & launch programs: Start with defining the change strategy. Set up the infrastructure for change. Next is to create awareness for the same and garner support. Develop plans and skillsets and communicate them. Launch a pilot project initially.
  • Monitor progress: You need to monitor the change process to overcome any resistance to it and assess the behavioural changes on individuals. Measure effectiveness of the change and provide required support.
  • Evaluate effectiveness: In the 4th step, you have to review the results of the change. Share success stories to popularize the change process. In this stage, follow-up support is required. Finally, based on the outcome, arrange for appropriate rewards and recognition.

Key Attributes of Change Management

  • Know that change is the result of dissatisfaction or improvement required within present strategies. Under such circumstances, it is essential to develop a vision for a more productive/efficient alternative.
  • Since resistance to change would be inevitable, Change Management requires strategic planning to implement change.

Assessing the Need for Change

  • This involves determining the required changes and identification of the areas for improvement. You need to take into account factors like organizational culture, resources, potential resistance, etc.
  • The tools required for the purpose would be SWOT analysis, surveys, focus groups, benchmarking, etc.

Communication and Stakeholder Engagement

  • This is one important aspect where you need to identify and analyse stakeholders to understand their interests, needs, and concerns. The steps include:
  • Developing a structured communication plan to distribute information and engage stakeholders throughout the change process.
  • Providing opportunities for stakeholders to provide feedback and ask questions.
  • Identifying the changes in training required to facilitate buy-in and support from stakeholders.
  • Developing strategies to address conflicts and concerns that arise during the change process.
  • Acknowledge and celebrate the contributions of stakeholders throughout the change. This includes recognizing and rewarding stakeholders for their efforts and contributions to the change initiative.

Examples of Businesses that Failed To Adapt To Change

  • Kodak: Photographic film market disrupted by digital photography.
  • Yahoo: Focused on media and undervalued the importance of search.
  • Blockbuster: Movie rentals disrupted online video streaming.
  • Borders: Sales of physical books disrupted by sales through Amazon and e-reading devices.
  • BlackBerry: Ignored touch screen-based technology and lost market share in mobile market.

Why Do People Fear Change?

  • There would inevitably be some resistance to change at the organizational level. Following are the major reasons why people resist change:
  • "Will my department be downsized?"
  • "Will I be neglected?"
  • "Will my job become redundant?"
  • "What is going to happen?"
  • “Will it impact my job?”
  • “Will it threaten my job?”
  • “Do I need to do additional work?”
  • “Will it increase my work stress?”

Change Management Best Practices

  • How can you implement changes in your organization in a smooth, hassle-free manner? Just follow these points:
  • Define clear goals
  • Be honest and transparent
  • Train and reassure your teams
  • Encourage conversations and communicate regularly
  • Listen to your employees
  • Bring your leaders on board
  • Choose the right communication tool
  • Empower your employees
  • Encourage knowledge sharing
  • Document and make information easily accessible

The Guiding principles of change management include:

  • Following the organizational culture
  • Starting at the top
  • Involvement of every layer
  • Modeling the new behaviors
  • Engagement through constant communication
  • Leveraging informal solutions

Key Takeaways

  • Change management is a structured approach to transitioning individuals, teams, and organizations from a current state to a desired future state.
  • Change management is important in achieving successful organizational changes because it helps to manage the transitional process, minimizes resistance, and ensures the change is sustainable.
  • The change management process includes assessment of the change, implementation of change, monitoring and evaluation of change, and communication and stakeholder engagement.
  • Effective change management requires careful planning, clear communication, active engagement of stakeholders, and continuous evaluation and adjustment.