How change management lowers digital transformation risk

08/17/2021

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Change management is a general term used to define various ways an organization prepares for and executes change

 

Change management is crucial for any organization to achieve its objectives because change can be difficult to introduce to employees. Most times, people see change as uncomfortable and inconvenient, so they tend to resist it. But, unfortunately, this can end up defeating the entire purpose of the changes the organization plans on implementing.

 

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What does change management involve?

Change management is a broad term and involves an umbrella of activities that include but are not limited to the following:

  • Communication

Change management starts with a good communication strategy for your company. It would help if you communicated with your employees and stakeholders to affect the various changes smoothly. They need to know why you are introducing these changes, how these changes are likely to affect them, and the numerous ways in which the changes will be introduced and integrated into the organization's operations. Communication strategies can be challenging to develop, but this spreadsheet can help you build a reliable communication system that will support your change management goals and promote positive organizational growth.

  • Planning

It would help if you had a detailed plan on integrating these plans into your company's operation. Come up with timelines for these new changes and the different activities involved in the process of transitioning. For example, with digital transformation, you should have set dates for procuring new equipment, announcing the changes, training the staff in using these new technologies, and getting feedback on how employees, stakeholders, and even clients feel about the changes.

  • Implement and reinforce

During the implementation stage, it is crucial to communicate with employees, stakeholders, and clients at every step of the process. For example, the change management team can regularly send out emails, notices and even organize meetings to discuss the execution plan with members to get used to the new changes quickly. You can also introduce a rewards system so that employees are more motivated to accept these recent changes. 

Continue interacting with employees because there is a tendency to abandon changes if they are not continuously followed up. You can arrange regularly scheduled meetings to discuss the benefits and impacts of these changes on all relevant stakeholders. Employees, clients, and other stakeholders should also have a chance to share the challenges they face to establish solutions. 

 

Facilitate Positive Organizational Changes With This Communication Spreadsheet!

Effective change management begins with proper communication. This spreadsheet will allow you to streamline the communication within your business and effectively manage change! 

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How change management lowers transformation risk

With any new technology, there are always risks involved. These could include adoption risk, budgeting risks, and consumer related risks, among others. Luckily, with detailed and focused change management, these risks can be mitigated. Here are the top 6 ways that occurs:  

 

  • Ensures you genuinely understand the impact a change has on your users

Change management involves continuously assessing the impact of the introduced changes. The change management team has to compare the trends before and after the change was introduced, for example, a digital transformation such as placing and confirming orders online instead of having to call. Through changes in sales and revenue, you can gauge the impact of these changes.

Changes do not only affect employees. They may have an impact on your interaction with clients and customer satisfaction. Through change management processes like creating channels of communication with customers, you can get feedback on how these changes are either benefitting or frustrating them. 

  • Change management puts into perspective the cost of a change and risks

Changes are always risky, especially for enterprises, because many costs are involved when introducing technologies to improve the customer and employee experience. Without a proper management plan, you cannot assess the costs and risks involved with a transition you plan on implementing. 

A good change management team will paint a picture of the benefits vs. the costs in financial terms. Then, if the risks or costs outweigh the benefits, you can communicate to stakeholders to find another alternative or a plan to mitigate the costs.

 

  • Change management garners support from all relevant stakeholders

One of the crucial stages in change management is communication. Communication is necessary, but change comes with uncertainty. It is rarely met with enthusiasm by employees. Consequently, to build enthusiasm and garner support for new technological developments, you must communicate with all stakeholders before and during the implementation. Let them know why the recent changes are necessary and how they stand to benefit from these changes. Welcome feedback and set up channels of communication, so you feel heard.

 

  • It creates consistency and efficiency in the approach

Having a change management plan and team changes the structure it needs to be successful. With digital transformation, such as the introduction of new software, you need a road map on how this will be quickly and smoothly eased into the daily operations of employees and clients. 

Change management will involve planning training sessions on how to use this software. You can meet with your employees weekly to see the progress they've made and if it is increasing efficiency. When a plan is in place and employees are not left to their own devices, new software is easily adapted because they know they are being monitored, and accountability is required.

 

  • Change management highlights the roles of all personnel

When new changes are being implemented, it is vital to highlight the roles of different employees to adopt these changes quickly and efficiently. The change management team ensures that through prior communication and engagement with employees and stakeholders, the roles and expectations from each employee are clear. 

This ensures that everyone does their part in achieving the company's overall goals with digital transformation. Highlighting the roles of employees also makes accountability easier. Management can quickly identify those who are most efficient and those who are not.

 

  • It aligns organizational practice with organizational values

Through change management, you can communicate to all stakeholders your vision and objectives with the intended change. The change management team is responsible for informing employees of the organization's expectations from the digital transformation and how it contributes to the overall success and growth of the business. 

 

By doing this, the organization can maintain its reputation, values, and practices.

Change management is imperative for the success of any business. If you are planning any changes, technological or otherwise, change management will ensure that you meet your goals through planning, communication, and continuous follow-ups. Because change is usually met with resistance, one way of reducing the risks associated with it is through establishing a team solely responsible for handling these changes.

 

 

ExeQut can assist you in managing change within your organization

As a part of each ExeQut digital transformation project, we also handle change management within your organization. It all starts with a discussion on your organizational needs and the best steps for you to enhance efficiency and cost savings during our free assessment

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