Virtually all companies will, at some point, undergo transitions or changes in their structure. Therefore, the organizational change management it must be seen as a tool that helps in this process.
Whether in the integration of new employees, in the growth of a department, in the change of procedures or even in the merger with another company, these changes can have a significant impact on the business trajectory. However, reformulations are not always comfortable, in this sense, a good management helps to smooth the challenges.
In order to manage organizational change effectively, it is important to understand how to apply it in the correct processes. Therefore, in this article you will find:
- What is organizational change management ?;
- How does change management work ?;
- In what processes can this management be applied ?;
- What are the main benefits of change management?
What is organizational change management?
Organizational change management refers to actions in which a company or business changes an important component of its organization. It can be a change related to any area of the company, and that requires adaptations on the part of employees.
Thus, organizational change management is the method of leveraging changes to bring about a successful resolution for the company.
Many factors make organizational change necessary. Some of the most common reasons faced by organizations include:
- New leadership in charge of the company or within its departments;
- Changes in the organizational team structure;
- Implementation of new technologies;
- The adoption of new business models
In general, these are practices and strategies applied in order to carry out the suggested transitions in the best possible way, avoiding traumas and promoting a healthy adaptation for employees.
How does change management work?
Although there are different definitions of an ideal step-by-step approach to apply organizational change management, it is basically based on three main phases:
In other words, change management must function as a process that studies and applies different steps to carry out the proposed complete transition. The methodology must always include tangible practices, both for the company and for the employees.
It is very important that all steps provide the information and conditions necessary to generate the adaptation and minimize any obstacles during the transition. This is critical to reducing change from being rejected by contributors.
Any changes must be very well organized before they happen. It may seem like an obvious step, but many companies fail to get it right in managing organizational changes, precisely because they do not prepare the company and employees for future adaptations.
The first point to consider is whether the proposed change is really necessary. Asking the reasons for this achievement is essential in order not to get your hands on it and end up making changes that, in practice, will not help the company.
It is also important to announce to those involved about the transformations that will occur in the company. After all, no one likes to be taken by surprise in professional matters. In this regard, also consider the time required for the preparation step. Once again, the idea is not to rush things and skip processes.
When applying a change in the company, have defined exactly what this change intends to achieve, what will be the impacts of this transformation and how the employees received the news of this news.
After articulating the necessary changes, good management of organizational changes must contemplate the best way to implement these changes. As already mentioned, the issue of time here is also important, since it is necessary to carry out this implementation without haste.
In this step, The internal communication also plays a key role in ensuring adaptation to new processes, as well as the communication strategy to be used. Remember, this strategy should include a timeline of how the change will be implemented in the company, as well as key messages that are part of the planning.
Another essential point for the implementation of the change is the employee training. This training can be structured or informal, but it must essentially include the skills and information necessary for all employees to continue to act efficiently as the change is implemented.
Providing a support structure is essential to help employees adjust to what's new and build the technical skills necessary to achieve the desired results from the changes.
It is also worth remembering that, in some cases, some changes can result in layoffs or the restructuring of teams. And in these cases, it is also important to consider providing support for employees, such as psychological counseling services, for example.
To help employees adjust to changes in the way a role is performed, the best way is to adopt a direct communication policy, especially by allowing questions to be asked as they arise can be defined.
Throughout the organizational change management process, a framework must be in place to measure the business impact of the changes and ensure that there are opportunities for continuous reinforcement to build proficiencies.
It is also worth evaluating the change management plan to determine its effectiveness and to document all progress made.
It is always possible to optimize even more results by analyzing how the change helped achieve the company's goals, how the change management process was successful and what could have been done better.
In what processes can this management be applied?
Although it is a broad term, an organizational change can be applied to any essential transformation process of the company. As already mentioned, it is first necessary to define organizational change and understand why it is needed.
Some changes are more radical, such as a major change in the direction of a company, for example. Other changes are less dramatic, focusing on a small aspect of day-to-day business practices.
It can be useful to think of organizational change as a spectrum. On the one hand, you will find adaptive change, which speaks to these modest iterations. On the other hand, there is a transformational change, in which a vast transformation is sought.
Adaptive changes are small incremental changes, that organizations adopt to meet the needs that evolve over time. Typically, these changes are minor modifications and adjustments implemented to execute and optimize business strategies.
Transformational changes, on the other hand, have a larger scale and scope than adaptive changes. Often, these transformations can involve a simultaneous change in the company's mission and strategy, as well as in fields such as the structure of teams or the business itself, in the performance of essential people or processes.
Because of their larger scale, these changes often take a substantial amount of time and energy to take effect. While this is not always the case, transformational changes are often sought in response to external forces, such as the emergence of a new strong competitor or problems that affect a company's supply chain.
In general, among the examples of change management a company will always be dealing with adaptive or transformational changes. For this reason, it is necessary to understand that the change process must be adapted to the unique challenges and demands of each situation.
In any case, make sure that the change management procedure is aligned with the business objectives, which is essential for the implementation and sustainability of organizational change. Note what challenges may arise during the implementation of the change, and be flexible enough to adjust what is necessary.
What are the main benefits of change management?
Good organizational change management is necessary for companies to continue to have success and growth, despite the changes. Change management drives the successful adoption and use of changes within the enterprise, and allows employees to understand and commit to the news that is being implemented.
Without effective organizational change management, an enterprise's transitions can be difficult and costly in terms of time and resources. In addition, the lack of efficient management can result in low efficiency of employees, as well as a decrease in productivity and even an increase in turnover in the company.
Ultimately, the lack of change management can lead the organization to failure. Organizational change management alone reduces costs or increases sales. But she is responsible for improving all stages and relationships that lead to that.
Finally, it is worth noting that the management of organizational changes does not end after the transition has been successfully executed. During and after the process, it is necessary to continuously evaluate the results, measure the data, train employees in new methodologies and business practices and readjust the goals as necessary, in order to achieve even more positive results.
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