1 Communication is the most important tool for Change Management Effective communication is required at each stage of the change process. Six stages of the change process model When organisations contemplate change in response to Perceiving the need for events in their business environment, open change communication is highly recommended. Secrets in an organisation tend to create an atmosphere of tension, anger and resentment. It is human nature that there will be information leaked by staff hearing the talk about change, to friends (the grapevine network) in other sections. In the absence of valid information about what is to occur, staff will tend to fill the gap with erroneous negative data, which does far more damage than sharing (even bad news) with staff. Diagnosing the situation Involving relevant staff at this stage can give managers very accurate information with which to solve the and generating ideas problem. Often staff working in a problem area have developed appropriate strategies to overcome the problem, or assist in doing so. They have not solved it already perhaps due to perceived lack of support or motivation, or because it is a larger concern belonging to higher levels of authority. Others can offer their first-hand knowledge of the issue and assist in very successful problem solving exercises. At this stage, planning for the change should not only include operational concerns, but identification of all stakeholders and design of a thorough communication and information program for them, taking into account the organisational culture and the likely impact of the change. Employees who are well informed about how the planned changes will affect them, their work groups and the organisation as a whole, tend to accept the changes more readily. Presenting a proposal and adopting the change Planning to overcome resistance This is essentially a management activity that may or may not involve general staff. Employees would more easily accept the change if representatives of those who contributed to the change planning process attended the meeting in which the proposal is presented and accepted. This is essentially a management activity. If information-guarding methods (negotiation, manipulation or coercion) are planned, there will be a 2 Implementing the change Monitoring and evaluating the results small number of managers working on this. If the information-sharing methods (education, participation and facilitation) are planned, involving representatives from work teams in devising a strategy to overcome staff resistance would make it more successful. Since staff members are the instruments of change, it is helpful to address their concerns first. When faced with change, staff usually ask these questions: Is this change really necessary? Will the change be successful? What’s going to happen to me and my job? How will I have to change? Am I capable of successfully making a change? In this stage, employees and change agents look at the change implementation and evaluate it. They communicate about all stages of the process, what problems occurred, whether the solutions were satisfactory, how it could be done better now or next time, and so on. Recommendations are made about the process. Evaluation is rarely a single event. The information gathered at this stage is so valuable that it is often immediately used to fine-tune the change. Other issues that might be raised are discussed at further scheduled management meetings. The communication is vital, and the value is in management being informed about the process from those whose experience is firsthand. Using information-guarding methods It is up to the change agent or management to decide how much information and support can be communicated to employees in an attempt to address their major concerns. If not enough of these concerns are addressed, employees will resist the change. Using information-sharing methods A planned program to deliver information, instructions and support via two-way communication (constructing a shared meaning) in amounts employees can cope with, should precede the change and continue throughout the change process. The aim is to satisfy staff information and support needs about the change, and to instruct staff in required tasks, and to encourage feedback to management about problems and solutions. Employees need regular feedback about the process and progress of the change, and as much as possible, they require a degree of psychological safety. Psychological safety comes from an assurance that they will not be retrenched tomorrow, but will be allowed to make a few mistakes while learning new tasks, and will be given adequate training in their new roles. Feedback can come in the form of regular accessible communication with their team leader, supplemented by a website, a newsletter or a brief celebratory event when team 3 reaches a change milestone. A confidential line of communication to higher levels for those who feel they cannot discuss a certain topic with their direct supervisor or team leader should also be available. Three Basic Communication questions to be answered in any change process 1. What do you communicate? 2. When do you communicate? 3. How do you communicate? Example: What to communicate The Adko restructure: Case Study Julie is a personnel officer at ADKO and she has been asked to brief senior management about the best process for communicating a change that senior management have planned. Everyone will stay at the same premises. However the four departments, now under the control of 4 senior managers, will merge into 3 departments when one of the senior managers retires. Managers feel this will improve efficiencies, save money and there will be a slight reduction in staff numbers. Julie recommended the following strategy to manage the change: 1. The CEO would send a very brief email to all staff announcing the fact a change is planned. This email will not give details of the change. It will announce that all staff affected will be invited to attend meetings to explain the change. 2. The middle manager who is taking over the largest number of staff from the two departments would conduct face to face meetings explaining why the change is taking place, when it will take place, how it will change reporting relationships and who will be affected. 3. Staff will be encouraged to come to this manager to ask questions and the Personnel Manager will attend all meetings to answer any problems or queries staff may have related to job security, hours of work, overtime, etc. 4. Senior managers from the remaining departments would conduct meetings with their staff to explain any changes that will impact on their departments and staffing structure. 5. Additional meetings would be necessary during the transition period to check that everyone knows what is happening. The manager may act as a negotiator during this period if staff are unhappy with aspects. Training may be necessary in new work teams and some implementation of new working structures. 6. At the end of the restructure, there needs to be more communication to check progress 7. Once the structure is in place, some evaluation of the communication program needs to be conducted. Perhaps an interview with a number of selected staff. When to communicate 4 The communication strategy was planned for three specific phases: Beginning stage At the beginning, the communication was limited to a short announcement that was an advertisement for the change. People can become anxious with too much information and no chance to ask questions so the first announcement was brief. A face-to-face information session gave the manager a chance to explain why the change was taking place, what forces there were that caused the change to be implemented and advertise the benefits of the change. Staff were given an opportunity to ask initial questions about how the change would affect them. Intermediate Stage Communication is needed throughout this stage as people find new questions that they want answered. They gain new understandings of the change as it progresses and may need counselling if there is a loss of job function. There may be negotiation of responsibilities, training required and implementation of new work teams. At the end or consolidation stage In this phase, there are further meetings to supply staff with further information and to build the working teams that have been formed. Finally some evaluation of the process is completed with informal interviews of staff. How to communicate In the ADKO case, the channels used to communicate the change were email, face to face meetings and individual meetings. Communication of a change can be carried out in a number of ways: Person-to-person Newsletter Videos Email Advantages and Disadvantages Takes a long time and does not provide the same benefits as presenting the message to a group of people Can be a good communication tool but there is always the danger that some people will be too busy to read it Are formal but can bridge distance considerations by providing some personalisation and a consistent message to a large group of people. People cannot ask the presenter questions. Is quick and easy and may reach most of the organisation in a computerised environment. However the written word can be 5 Letters Face-to-face group meetings Public addresses to a large group misinterpreted and it can be easy to ignore and delete. Can be personalised but like email are open to misinterpretation Are a reliable method to convey information. You have the benefit of a group hearing the same message and less likelihood of misinterpretation. There is the opportunity of clarifying the message through questioning. Have the benefit of large numbers of people hearing the same message. There may be limited opportunity to discuss the issue and ask questions. This works best if there is an opportunity for the group to have their individual concerns addressed through some other channel. Strategy Analysis: ADKO Case Study. 3. Analyse ADKO’s strategy in terms of what you have learned about communicating change. 4. Discuss the elements of the change plan a. the choice of strategy b. communication methods c. likely impact on the stakeholders 5. Make suggestions for improvement and give your reasons. Overcoming resistance to change Standard methods used by managers to overcome resistance to change Approach Education and Communication Participation and involvement Commonly used in situations Where there is lack of information or inaccurate information and analysis Where the initiators do not have all the information they need to design the change, and where others have considerable power to resist Advantages Drawbacks Once persuaded Can be very timepeople will often help consuming if lots of with the people are involved implementation of the change People who Can be very time participate will be consuming if committed to participants design an implementing inappropriate change change, and any relevant information they have will be integrated into the 6 change plan Where people are No other approach Can be time resisting because of works as well with consuming and adjustment problems adjustment problems expensive and still fail Negotiation and Where someone or Sometimes it is a Can be too expensive agreement some group will relatively easy way to in may cases if it clearly lose out in the avoid major alerts others to change, and where resistance negotiate for that group has compliance considerable power to resist Manipulation and co- Where other tactics It can be relatively Can lead to future optation will not work or are quick and problems if people too expensive inexpensive solution feel manipulated to resistance problems Explicit and implicit Where speed is It is speedy and can Can be risky if it coercion essential and the overcome any kind of leaves people mad at change initiators resistance the initiators possess considerable power Facilitation and support Source: John P. Kotter and Leonard A Schlesinger, “Choosing Strategies for Change,” Harvard Business Review, March-April 1979, p.111 New methods for Overcoming Change People are now more aware of the complexity of the change management process. They are now aware that people go through different stages in accepting any change and the leader has a different communication role in each stage. New methods of overcoming resistance are concerned with: A more holistic view of employees A higher level of honest and ethical communication with staff An acknowledgement of the constant uncertainty in our business environment The need to work with, support and empower employees Developing independence, initiative, analysis in staff Use of higher order team and communication skills among staff in order to meet the challenges of staying in business. 7 FAMILY SCENARIO Imagine that you are married with four children aged 18, 16, 14 and 12. You have received a wonderful job offer that entails moving abroad for three years. You partner is very supportive but your four children range from one being strongly supportive to one being strongly against. What would be the advantages and disadvantages of using each of the following strategies? Parents provides information to children and clearly Education and communicate the required change to those involved. communication Participation and involvement Children who will be affected by a change are allowed to participate in planning and implementing it. Participation increases the understanding of the change, allows employees to offer their own ideas in making it successful, and frequently improves the final outcome. This method has a success rate of over 70%. Parents offers encouragement and help to individuals Facilitation and support coping with fear and anxiety associated with the change. Parents provide all relevant facts which drive the Negotiation and agreement change so that negotiation for an agreement can take place. In this case, the groups have a considerable power to resist. Manipulation and co-optation Parents offers selective information and consciously structures events. Individuals are co-opted by giving them a desirable role in the design or implementation of a change. This is not a form of participation because the change agents do not want the advice of the coopted, merely their endorsement. This is a risky process because if people feel forced to change, they resent it. Explicit and implicit coercion Here parents force children to accept a change by explicitly or implicitly threatening them and so on, or by actually removing them from the family. This is a risky process because people strongly resent forced change. SMALL GROUP EXERCISE You are a manager of 200 people in large government run organisation. There is a tradition of people taking a large amount of sick leave. You have been instructed that in line with a new policy http://snipurl.com/sickie workers in future are to ring a nurse if they are taking a sick day. 8 TIPS FOR OVERCOMING RESISTANCE TO CHANGE Work in a small group on a list of your own tips to overcome resistance to change. (5 minutes) Responding to Change Just as employees resist change, many managers find that change is difficult to accept, much less to drive. Managers’ response to change is related to: Their perception of what the change will bring to them Their leadership style Their personality Their skill and confidence level Their organisational culture Perception If managers think change will bring desired events or resources, they are likely to actively seek change or accept change. Leadership style Leadership is often categorised into 4 styles: Dictatorial – negative leaders who punish and have total control Authoritarian – exercises strong control Democratic – encourages participation in decision making Laissez-faire – allows workers to do their job without interference. For change management, a Democratic style of leader is the most suitable because it encourages the active participation and support of workers. Managers who have both high people concern and high task concern are good at leading change. Personality An optimistic manager with a positive outlook will respond to change very differently to a pessimistic manager with an active belief in the conspiracy theory. Successful change managers have good conflict management skills and a personality that keeps a balanced perspective under pressure remains approachable, likable, and worthy of respect encourages and motivates employees to communicate well and produce good teamwork 9 Personality can be affected by the manager’s skill and confidence level ─ confident enough to relate openly to staff. Organisational culture can have a large influence on a manager’s response to change, dictating through group norms what an employee’s behaviour should be. Organisational culture can override the influence of other individual characteristics such as personality or a manager’s behaviour. ‘Groupthink’ is a term used to describe an organisational culture that may encourage the top executives to echo the views of the boss rather than to give honest feedback based on their knowledge, experience and skills.