A Common Corporate Dilemma: Why Change Management Fails and Strategies to Succeed
Inefficient Management from Superiors versus Proactive Leadership from Subordinates
In the corporate world, change management often appears more challenging than it should be. The story usually goes that leaders are valiantly attempting to implement changes within their organizations, only to face significant obstacles from middle managers. However, research paints a different picture.
A Hidden Reality Behind Change Failures
Typically, we blame middle managers when change efforts falter, but it’s the leaders who often need to reevaluate their objectives. When the desired outcomes from the change initiative are unclear, managers invest their time in the wrong tasks, resulting in the change initiative’s failure.
What Leaders Miss Out On
Research indicates that leaders tend to make the following mistakes:
- Lack of Clarity: Managers are not always crystal clear about what is expected of them.
- Unrealistic Timeframes and Costs: There’s often no clarity on timelines or cost estimates for the change initiative.
- Inconsistency: Leaders may fail to consistently communicate their expectations.
These issues create a vicious cycle. When leaders are inconsistent, there’s a lack of clarity on the desired outcome, making it impossible for managers to set realistic timelines.
Being Clear on the Outcome
To succeed, the target should be clearly defined with three key features:
- Outcome-based: Instead of focusing on activities, focus on the desired outcome.
- Financial Target: Establish a financial target for the change initiative.
- Realistic Timeline: Discuss with team members to establish a feasible timeline.
By defining outcomes instead of activities, managers can identify the initiatives that need to be taken at various levels to achieve the desired outcome.
The Trap Leaders Fall Into
Leaders often fall into the trap of focusing on the "how" rather than the "why" or "what." To avoid this trap, leaders should focus on the reason and objective of the strategy, rather than the specific actions for implementation. Unless managers and the team understand the "why" and "what" of the initiative, investing time in the "how" would be a waste of time.
Many senior leaders prioritize the "how" over the "why" or "what," leaving them little time to clarify and sell the change initiative effectively.
Being Realistic About Timelines and Costs
Leaders must be mindful about setting reasonable timelines and costs for their change initiatives. Setting unrealistic expectations can lead to short-term gains at the expense of long-term improvements. Additionally, it’s important to invest sufficient resources to keep costs under control.
Consistency is Key
Leaders must also be consistent in their communication about the change initiative. Changing or contradictory messages can lead to confusion and resistance within the team.
In conclusion, leaders need to be clear about the desired outcome, realistic about timeframes and costs, and consistent in their communication for successful change management.
Reference: Elsbeth Johnson, SnB 2020/12
- To ensure the success of a change initiative, leaders must first clearly define the desired outcome, with features such as outcome-based focus, a financial target, and a realistic timeline.
- Consistency in communication from leaders is essential to avoid confusion and resistance within the team, thereby fostering successful change management.
