The New Trend: Change Management

Did you know that about 70% of change trials and initiatives end in failure? A major reason for this serious failure rate is that change management is perceived as outsourcing.

For companies to succeed in change management, they must see CHANGE as an inseparable part of the business plan and align all employees around the same purpose.

For organisations trying to keep up with today volatile markets, adapting to change can be hard. Corporate change management, once seen as having little effect on organisation and results, is now recognised by leading companies as a management discipline that can deliver strong financial outcomes (www.towerwatsons.com).

Competition and rapid shifts in sectors force companies to restructure operations in different ways and dimensions. The more dynamic the sector, the faster change projects must be planned and delivered — which means employees taking on new roles and responsibilities to serve better.

How much has not changed. While the world turns, happy are those who can turn on their own axis! — Johann Wolfgang von Goethe

Change management is one of the core problems of organisations operating in a constantly changing environment. It is the conscious, planned and methodical process of achieving adaptation. Because it alters settled individual and organisational habits, change is painful and almost always meets resistance. Many factors shape that resistance; employee qualities and personalities, and organisational structure and management approach, play important roles. Success in organisational change is closely linked to preventing or reducing resistance. Before starting, preparation is needed: employees should be made ready for change, resistance areas identified, and measures taken. Even then, remaining resistance can be reduced with methods suited to the type and degree of resistance and to the people who resist.

Change means working more for employees.

Time is a serious source of resistance to change plans. Resistance often has psychological roots. As people leave the old, they either embrace or reject the new. For many employees — including middle managers — change is neither something to chase nor to welcome. Change is disruptive and upsets balances. Senior leaders therefore need empathy: they must recognise that change also brings heavier work and support people so they can stay focused.

Change management includes decisions, resource and time management, and substantial communication. It also covers many phases. If change is poorly managed, unexpected risks appear; when it is managed well, organisational effectiveness, productivity and performance can rise.