Change capability is one of the strategic capabilities which underpin successful execution.
The pace of change is accelerated, enterprise agility –the ability to adapt to the change is becoming a key factor in driving business success and gaining long-term competitive advantage. But how do you build an organizational change management capability? What are the major challenges on the way?
Communication Management: Explain what change management is and how you measure a successful change approach. Communication should involve operating focus, strategy for creating greater shareholder value and developing long-term mission, vision and value statements. Poor communication is evident that many organizations still operate in silos being called as “protective silo management”: What matters to the silo managers is how well their individual business or function performed. Employees made decisions based on what is good for their own areas of responsibilities rather than for the organization as a whole. Make the documents employee friendly to be understood at every level. If completed successfully, the vision and how it’s communicated will set a new standard of expectation throughout the organization. Together, they strengthen employee engagement and create a shared commitment of execution and delivery. The business' ability to clearly articulate the commercial drivers for the specific change is challenging.
Decision Management: Learn how to make a decision and deliver on it. Make decision based on the change assessment: 1) Defining exactly what/where/when changes are desired, necessary, & achievable; 2) Ascertaining who are the best leaders within the organization to help carry out and manage the changes and those who might pose as impediments to change; 3) Is the organizational culture open to change? Do you have to adapt/change the culture? 4) How to set metrics for change achievement. It’s worth noting, decisions have to be made at all levels within an organization. Therefore, teaching and learning on how to decide and execute the most important decisions, should become part of the company’s culture for existing and new employees and not just board members. Look internally at your decision-making process culture, is it holding you back from achieving your goals due to the inability to make decisions quickly and routinely. The ability of the business to set the challenge (the what) and allow all colleagues to engage and contribute to the solution (the how) - achieving 'buy in' and ‘change up’ is indeed challenging.
Performance Management: Seek employee accountability for results, not activity. Establish a "sense of urgency" required to drive change in the organization, make leaders and managers responsible and accountable for wrong decision making and missed goals, stop the blame culture and finger pointing towards others or external factors for poor performance. The lack of accountability keeps companies from reaching their potential. It saps confidence and encourages a passive, excuse-based culture where employees feel they are not in control of outcomes. There’s a need for organizations to change their culture where people are accountable for performance. Company leadership should be emphasizing to all its employees that the accountability equals delivering results aligned to strategic goals, as opposed to good intentions and lots of activities. In addition, managing expectations of the impact of the change are far more daunting than persuading for the acceptance of change. Most change initiatives meet their premature demise due to lack of expectations management. Immediately after accepting to embrace change, over- expectations and a burning desire for instant gratification sets in. If not properly understood and managed, people lose patience, their interest fades, and they disassociate themselves quickly, so it’s important to defining and tracking business benefits delivery and associated change in behavior and mindset, and the business’s ability of setting metrics for the progress along the way are essential to keep the change momentum unabated and uplifting.