The Current State Of Change Management In The UK

The current state of change management in the UK is currently reactive to issues that show up on the board's radar rather than driven by any strategic intent or innovation.

This, and the following observations, are based on current analysis of recent surveys and supported by my own research and experiences.

I appreciate that many readers of this article are non-UK, however I sense that many of the issues we face here in the UK may be shared to some extent in other countries and cultures.

Currently the UK top three drivers for change are:

(1) Increased efficiency
(2) Cost reduction
(3) Corporate restructure

Essentially this is all about stripping out cost rather than innovation to create added customer value.

"Short-termism"

All the evidence shows that change management programmes in the UK are frequently badly thought out, managing change in the workplace is poorly executed and many do not succeed in achieving their stated objectives. The responsibility for this lies predominantly with the directors and senior management.

The main reason for this is the culture of "short-termism" where monthly and quarterly targets drive companies.

The direct effect of this is that the focus in change management is nearly always on getting the quickest return by fixing the most obvious and glaring problems.

This focus on quick fixes often reflects a lack of investment in the organisation in the first place. So change management in the UK is seen as a sort of "magical box of tricks" that will somehow get them through the aspect of change they don't like handling - the people issues - so that they can get to the aspect they do like handling - which is the money.

This also reflects the all too frequent lack of clarity of what the change management initiative is intended to deliver, and a "business case" for change based on knee-jerk reactions.

Whereas the reality is that managing change in the workplace is really all about being able to deal with complexity and "messiness" - with many stakeholders simultaneously - and dealing with a multiplicity of different views of the issues facing the company and how to deal with them!

Change management is imposed from the top-down

Given that these are change management programmes that will have a direct and probably negative impact on employees - with possible job losses, and that the remaining staff will be expected to do more and work harder - they are understandably viewed with suspicion and concern across the organisation.

In too many organisations, change management in the UK is imposed from the top-down, there is little if any consideration given to the need and business benefit of winning hearts and minds.

So the majority on the receiving end of these edicts spend most of their time doing just enough to "be seen to be wanting" to comply but in reality resisting the change and despising and resenting those "on high" who impose this stuff on them.

So when implementing change management and managing change in the workplace directors and senior managers sacrifice the needs and feelings of their employees in the interests of keeping their shareholders happy.

This is reflected in the research that shows that two of the top five biggest mistakes that occur in change management in UK companies are to do with staff issues, and this is closely followed by weaknesses identified amongst senior managers.

Negative assessment of the role of senior management

This short sightedness is ultimately counterproductive because if change management programmes are badly handled - as so many are - then the chance of failure is greater. Furthermore, they can cause more damage to the morale of the company, and thus have a negative effect on future competitiveness.

Research shows a negative assessment of the role senior management play in helping to achieve the end goals of change management initiatives. More than 50% feel that senior management fail specifically in inspiring the workforce, managing change in the workplace and providing effective leadership.

The evidence suggests that senior executives lack basic understanding of the aims of business transformation initiatives and specifically their roles as sponsors; and also are lacking in many of the core skills expected of leaders and that are vital for the implementation of change management.

Yet despite this, there is a widely shared belief that good executive sponsorship is key in helping a change management programme to deliver competitive advantage to a business.

The tide has turned against the major management consultancies

Despite the fact the "change industry" is a multi-billion pound business for UK consultancies, the tide has finally turned against the major blue-chip management consultancies, in terms of perception of "value for money".

The majority of businesses planning a major change management programme prefer to use their own internal resource, or drafting in experts to either fill knowledge gaps or manage the entire process if required.

Summary conclusion

In summary, research findings indicate that all too often, UK companies embark upon change management on a reactive and "knee-jerk" basis to protect them, rather than with desire to innovate and improve.

The tragic result of all this is that too many UK change management initiatives suffer from a lack of vision, bad management skills and are generally under resourced, which leads to a poor reception from workers and ultimately a large number of failed programmes.

This is the current state of change management in the UK. What is it like where you are?

For more on this: " Managing change in the workplace "

Equip yourself to avoid the 70% failure rate of all change initiatives with the "Practitioners' Masterclass - Leading your people through change, putting it all together and managing the whole messy business."

Motivation in the Workplace - People Are Motivated When They Are Inspired

To understand motivation in the workplace from a change management perspective, we need to be aware of the context in which this takes place.

In the current economic climate, the key drivers for change in corporate life are all to do with increased efficiency, cost reduction and corporate restructuring.

Balancing organisational and individual interests

There is a potential fundamental problem here in that these drivers as expressed by directors in terms of organisational performance are not necessarily aligned to the personal needs and drivers of the workforce.

So we can see from the outset that successful change management is the result of a balancing of enterprise performance requirements with individual fulfillment needs.

The literature of motivation research from Maslow onwards has highlighted the complexity and multi-faceted nature of human needs.

The process theories of motivation clearly showed that people need to have the WIFM [what's in it for me] question answered. They need to see the steps and they need to believe that they can do it and that they want to. They also need to believe in the equity or fairness of what you as leader tell them.

Rationality vs the emotional dimension

So, on the one hand we are rational beings focused on meeting what may be regarded as our survival needs - very loosely expressed in terms of pay and rations - and are prepared to enter into a Faustian pact with our employers on the basis of an initially perceived mutuality of interest.

But, on the other hand, the emotional dimension rapidly emerges as that initial perception of mutuality of interest rapidly dwindles as - especially in the current climate - we are expected to improve our performance, to produce more for no more [maybe less] money and often with fewer resources.

In my experience the commonest leadership style in many corporates [and especially in change management initiatives in the UK] is essentially transactional in nature, that is, based on "getting the job done", short-term and hard data focused, and supports the structures and systems that maximise efficiency and guarantee short-term profits. This approach clearly works but it is short-term in focus.

The direct effect of this is that the transactional focus on motivation in the workplace in change management contexts is nearly always on getting the quickest return, and in change management terms by fixing the most obvious and glaring problems.

An alternative to the typical transactional leadership prevalent in many corporates today is transformational leadership - a concept first brought to prominence by James MacGregor Burns in his book Leadership [1978] - and one that is deeply resonant with the practise of inspirational motivation in the workplace. Transformational leadership is all about values and meaning, and a purpose that transcends short-term goals and focuses on higher order needs.

The transformational leadership concept is supported by post Maslovian motivation research notably Herzberg, ERG theory and subsequent research and theories which highlight that for all our rationality we are primarily emotional creatures driven [in broad terms] by growth needs for achievement, recognition, personal development and personal growth.

Motivation in the workplace is all to do with energy

Another perspective taken from the field of quantum physics has shown that the universe is a single gigantic field of energy, and that this energy field is an undivided whole in a constant state of dynamic flux.

From this has emerged the understanding that everything is interconnected as part of that whole and every manifestation of "slowed down energy" that appears in the physical world as a "tangible something" remains at a sub atomic level simply as energy. Thus we as human beings can be regarded as energy beings. We are quite literally energy beings functioning in an environment that is an energy field. So motivation in the workplace - or anywhere else for that matter - is ultimately all to do with energy.

If the object of motivation is the activation of goal-oriented behaviour then it follows that people are motivated when they are inspired. For people to be inspired means - literally means to have life and energy breathed into them. So, in practical terms, motivation in the workplace means energising, enthusing or inspiring people.

Motivation in the workplace and specifically in change management contexts is all about creating and transmitting energy, and emotions are particularly dynamic expressions of energy.

Inspiring motivation in the workplace at a tactical level

At the day-to-day tactical change management level this all boils down to finding out what matters to your people individually, as Dick Axelrod, the co-founder of US based Axelrod Group Inc [a consulting firm that pioneered the use of employee involvement to effect largescale organisational change] says:

"Despite the best of intentions, leaders are still employing change management processes that produce disengagement. Creating an engaged organisation requires leaders to choose a strategy that, by its very nature engages people."

He offers this summary analysis:

3 tips to inspiring motivation in the workplace

(1) Find out what is important to the other person.
(2) Support others in achieving their goals.
(3) Share what you care about.

Managing Change in the Workplace - 4 Key Steps to Incremental Change

In managing change in the workplace it is extremely important to draw the distinction between "incremental change" and "step change".

Whilst the broad principles of leading and managing change are universal it is very important to establish very early on whether or not what you are proposing can be regarded as "incremental change" and realistically can be accomplished within the constraints of "Business As Usual", or whether it is a "step change" and needs to be handled as a specific initiative - with the appropriate level of senior sponsorship and practical support of a structured programme management based process.

In this article, I am going to address managing change in the workplace as incremental change, that is, change within the context of business as usual.

Given that the single biggest reason for the astonishingly high 70% failure rate of ALL business change initiatives has been the over-emphasis on process rather than people coupled with the failure to take full account of the impact of change on those people who are most impacted by it. So clearly the approach that I am recommending has to address this with processes that work for people.

Here are the 4 key steps to managing incremental change in the workplace:

(1) Clarity in all areas

Before going anywhere with a proposed change you need to have pristine clarity with regard to:

- The business need for the change
- The specifics of the change
- The benefits of the change
- Most importantly the impacts of the change

I recommend that you consider carefully each of the following questions:

- How's it going to be different when I've made the change?
- Why am I doing this - how's it going to benefit me?
- How will I know it's benefited me?
- Who's it going to affect and how will they react?
- What can I do to get them "on side"?
- What risks and issues do I have to face?
- What steps do I have to take to make the changes and get the benefit?
- How am I going to manage all this so that it happens and I succeed?

(2) Consistent leadership

Change management guru John Kotter suggests that for change to be successful, 75% of a company's management needs to "buy into" the change. So convincing people that the change is necessary is extremely important.

This will require strong leadership and visible support from key people within your organization. Managing change isn't enough - you have to lead it.

So managing change in the workplace also requires leadership that is visible and leadership that is consistent in all aspects of the way in which you lead the change as well as how you manage the situation, handle the communication, and ensure the realisation of the benefits of the change.

The single biggest aspect of your leadership will be how you address the emotional rather than the rational aspects of the change.

Many thought leaders in the world of change management and change leadership are now speaking vociferously about the importance of the emotional dimension of leadership and the need to address the human dimension of change.

Leadership thought leader and management guru William Bridges [who focuses on the emotional and psychological impact and the transition aspects of change] offers these 3 simple questions:

What is changing? - Put together a short clear statement of under 60 seconds duration that summarises why the change is necessary and your intentions - what organisational benefit you hope to realise.

What will actually be different because of the change? - Tell them exactly and precisely where and how things will be different after the change.

Who's going to lose what? - Don't "gloss over" or attempt to minimise or trivialise what they will lose and have to let go of. Be direct, honest and empathic in your truthful recognition of what the impact of your change will mean for them.

You will gain more respect and minimise mistrust by being truthful. This prepares the ground for the practical hands on management support that you will be providing to translate your "change concept" into a tangible organisational benefit.

(3) Constant communication

You can never "over communicate" in leading and managing a change situation and especially with regard to what is happening or not happening and why.

This is also a communication process that listens actively and demonstrates to people that you have thought through the impacts of the change on them, and that you are prepared to work with them through the transition, and that you will help make it work for them.

In terms of the emotional resonance aspect of your communications, remember Martin Luther King who did not stand up in front of the Lincoln Memorial and say: "I have a great strategy" and illustrate it with 10 good reasons why it was a good strategy. He said those immortal words: "I have a dream," and then he proceeded to show the people what his dream was - he illustrated his picture of the future and did so in a way that had high emotional impact.

5 guiding principles of a good change management communication process

- Clarity of message - to ensure relevance and recognition
- Resonance of message - the emotional tone and delivery of the message
- Accurate targeting - to reach the right people with the right message
- Timing schedule - to achieve timely targeting of messages
- Feedback process - to ensure genuine two way communication

(4) Capability and resources

This is about ensuring that your people have the full resources and capabilities they need to support them thro the change. This all boils down to: translating vision and strategy into actionable steps.

As leader of the change, you now face the equally if not more difficult challenge of getting the staff to deliver your new change idea and achieve the organisational benefits that you anticipate.

The trouble is that people are very different in the ways they process information, interpret life, and in the ways they are motivated. Many (probably most) of them are not able to make the leap from hearing and understanding your vision and strategy to translating that into purposeful productive action.

This does not mean that they don't understand it, or agree with it, but it does simply mean that the leap is too great for most people to make - without practical assistance.

So this means that delivering an incremental change requires hands-on detailed management [micro management on occasions] in the specifics of how to do it, especially during the early stages.