We all know that constant change is the new norm; and being a ‘norm’ doesn’t make it any less challenging. What is compounding that challenge is the lack of change management skill inherent in most organisations. Major change was previously something managed, or at least facilitated, by external consultants maybe once every 3-5 years. Today, its once every 3-5 months and that makes it standard. Whilst the rate of change is real, the degree of change is not always as it seems. Don’t let hype media define change in your organisation.
The Rate of Change
Whilst the focus of rapid change has been on making organisations more agile, the real focus needs to be on making people more adaptable, more open-minded to change as a state of norm.
There are three parts to making an organisation adaptable – people, process and technology.
With Cloud and software-as-a-service providing flexibility on a month by month basis, technology flexibility and extensibility is the easiest to change.
With process, much of it is now encoded into software, and readily configurable for multiple needs. Where the core software may only provide the basics, many software platforms now have a secondary market of plugins to provide more specific functioning. So whilst the takes a little more effort, it is far easier than it was a decade ago. However, process also has a people side. No software package alone can provide a product or service to market.
The ‘people’ component has both a technical and cultural element. The technical component is the IP around how an organisations unique offering is created and delivered to the market. It can be captured, and replicated through training or programming into software. So it is the cultural element that is the most difficult to change – however it is not impossible.
The key to cultural change is to understanding: change triggers, accountability and mindsets.
- Change triggers – such as economic changes, cost-saving efforts, and market changes occur every few months. For some, digital disruption has been a major change, but for others it has had little impact. Also change impacts different parts of the business in different ways and to different degrees. Keeping ahead of the change wave, and understanding the different types of change, and where and when that impact will be felt is a key component of any business strategy.
- Accountability – change is not an excuse to abdicate responsibility for outcomes. Every leader needs to be aware of how change will impact their part of the business, and get ahead of the curve to ensue the change results in positive outcomes, or at least minimal negative impact.
- Mindsets – are made up of the individual attitudes to learning and failure; as an integral part of a change-growth culture. For many, business change is ‘managed’ through training on new capabilities. However, training on a new software or process is NOT change management. New mindsets require understanding of existing mindsets and the core values that underpin the attitudes of individuals, not just organisations. Putting up ‘values’ posters around the office doesn’t dig down to the heart-based values of a person. Those personal values can only be uncovered through facilitated self-analysis, to reveal values of the ought self, that may mask the values of the real self. An organisational ‘culture’ implanted into the minds of employees, that fails to resonate with the employees own values, will fail to underpin the behaviour and outcomes expected by the organisation.
Getting to the depth of organisational culture, one that motivates innovation and drives high performance, requires an understanding of emotional intelligence. It depends upon individual self-awareness, and requires empathy by leaders to understand how their change messages will be received by the diversity of individuals that make up the organisation.
Degree of Change
It is also the best way to ensure that leaders are prepared for opportunistic change – to get ahead and stay ahead of market demands and counter competitive threats. Today, leaders don’t make enough time to release the mind to just think. This time helps break away from the hype of changes, such as so-called digitalisation. It helps to clarify how the market is going to change in response to triggers, and use that information to determine what parts of the value chain may be rendered less economically profitable because of that change. There is too much focus on the word ‘digitalisation’ – it tends to lead to over-investment in areas of the business that may either be insignificantly impacted by digital, or may even become obsolete.
Having a fundamentals-based framework for assessing change helps to prevent these misperceptions and oversights.
Mindfulness helps to clarify strategic thinking, and avoid getting entrenched in over-generalised hype. It removes the emotions of anxiety and stress, and reconnect with the basic human values that drive not only purchasing, but humanity.
There will always be collateral damage through change. But by abstracting the driving triggers of change, we can limit this damage and divert our energy into the productive side of opportunity that the change may bring about.
The structure of economies is changing – the magnitude of demand and supply drivers is changing. Attempting to build a strategy, and operate a business of a scarcity economic model is not longer a model for sustainable business.
Summary
In the past, the rate of change allowed organisations to develop strategies well ahead of time. Developing strategies takes time for reflection, and planning to facilitated changes to technology and process. However, when change is no longer a strategy, but an integral part of ‘business as usual’, it needs greater clarity of the mind, a mindsight that constantly evaluates the business environment for trigger signals, and reflect on the likely impact.
With constant change, reflection needs to become an integral part of the daily or weekly activities of every leader. These ‘mindfulness moments’ help the brain assimilate new information into existing perceptions and models, and is the best way to identify and release the mind from old outdated models, and to envision how change can be effected in a way that is the least disruptive, and most beneficial to the future of the organisation. This mindset needs to be a part of the organisational culture – one that values learning and failure as an essential part of innovation-driven growth.
In summary, if you really want your organisation to embrace change as a constant part of growth, then you need to ensure that all three elements – triggers, accountability and mindset are full developed and fully integrated as part of every strategic objective and every business process.
Author: Gail La Grouw. Insight Mastery Program Director, and Strategic Performance Consultant for Coded Vision Ltd.