Strategy & Leadership

Change management

September 17, 2014

Global

September 17, 2014

Global
Kim Wylie

Change management lead

Kim is an expert in organisational change and business transformation. Her career has been spent working with large and small organisations across the world in a variety of industries, advising them on the design and execution of successful change programs. Kim is a regular public speaker, leads the Google for Work Change Management team and has a postgraduate certificate in the Psychology of Change and Organisational Development.

Kim Wylie, change management lead at Google for Work, gives six tips on driving business transformation.

“Change is the only constant in life”, said the Greek philosopher Heraclitus. This will be a familiar sentiment for business leaders who have to guide their organisation through the ever-growing pace of change.

For organisations to stay competitive in this fast-paced environment, they must be able adapt the way they work to changing conditions. Companies that are highly effective at change management are three-and-a-half times more likely to financially outperform their industry peers.[1]

But according to a McKinsey study,[2] 70% of transformation projects fail to meet their objectives. One of the reasons for this is that leaders systematically underestimate the time and effort it takes to drive organisational change.

I have spent time with hundreds of organisations globally, both large and small, as they embark on business and culture transformation journeys via the deployment of new technology. Here I’d like to share my tips for success.

Leaders must “walk the talk”

The single most critical factor for organisational change to be successful is how well senior executives visibly live and breathe the new ways of working. Leaders must actively encourage the entire organisation to do the same through engaging and compelling communications and leading by example. Messages from senior leaders must clearly articulate the reasons for the change, the risks of not changing, and how the new ways of working align with and support the organisation’s vision and strategy.

Uncover “what’s in it for them”

The key to inspiring employees to work differently is to clearly show them what’s in it for them. One way of doing this is to run innovation labs, where people from cross-functional business units come together to brainstorm how new technology and tools could be used to enhance ways of working. In my experience, these labs help to drive process improvement and foster collaboration within and beyond functional silos.

Engage employees in the project

People often resist change because they feel like it is being “done” to them. To help reduce the chance of this, get as many people involved in the project as is feasibly possible. When people are able to participate in the project, it will increase their sense of ownership and therefore their desire for that project to be a success. One way to do this is by creating a network of champions from all levels throughout the organisation. Inspire champions to get involved in the project by ensuring they get recognition from senior leaders.

Make it fun

When projects are fun, people are more likely to make an effort to participate in them and pay attention to the messaging. We each deal with “information overload” on a daily basis, so having a fun project brand and using innovative ways to communicate with employees can be extremely impactful. I’ve seen a lot of success where organisations have held competitions for employees where they are invited to submit ideas for the project name or communication posters. You’re likely to be surprised by the amount of creativity that you will uncover and the engagement you get from employees by doing this. Celebrating the “go-live” of the project with a party or an event is also a good way of bringing employees together and having them celebrate the beginning of new ways of working and respectfully saying goodbye to the past.

Respect the past

Typically, people aren’t afraid of change itself, rather they are afraid of what they might lose when they leave the old world behind. Many people within an organisation will have built their personal brand around being an expert in the old systems and way of working. This feeling of loss is likely to result in those people resisting the change. It is essential that the past is always respected, so that people do not become disengaged. Make sure that training programmes are in place to give people the skills and ability they need to become experts in the new environment.

Reward and recognise desired behaviours

It is very important to put reward and recognition systems in place to encourage the right behaviours and inspire the organisation to work in new ways. If one of the goals of the project is to improve collaboration and have more open and transparent communications throughout the organisation, those who begin to work in these new ways must be recognised and rewarded. It would be extremely detrimental to the project if people (including leaders) are seen to be rewarded when they are obviously not working in the new ways.

Building change competence into your organisation's culture is essential, and although it takes some time and effort, it will pay dividends and help you keep pace in this ever-changing environment.

This blog is part of a series managed by The Economist Intelligence Unit for HSBC Commercial Banking. Visit HSBC Global Connections for more insight on international business. 

The views and opinions expressed in this article are those of the authors and do not necessarily reflect the views of The Economist Intelligence Unit Limited (EIU) or any other member of The Economist Group. The Economist Group (including the EIU) cannot accept any responsibility or liability for reliance by any person on this article or any of the information, opinions or conclusions set out in the article.

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