What is Change Management and Why Does Your Company Need It?

Aug 20, 2020

What is Change Management and Why Does Your Company Need It?

Implementing and retaining new business solutions can be difficult for any company that has established their own way of working. However, no matter how successful your company may be, the time will always come when outdated methods are in need of revision or replacement.

This is also true for adopting new technology solutions, which will not only change the systems that your team members interact with on a daily basis, but also fundamentally change the processes tied to their purposes.

Change management is designed to help organizations properly alter their processes and adopt new solutions so that they can have a consistent, successful approach to their work. By better understanding the phases of change management and the steps that your organization should take during these times of adjustment, you can make the most of new opportunities and new software.

The Benefits of Change Management

The process of switching to a new solution and ensuring that it is being used effectively across an organization can be a haphazard process without proper oversight. Change management is critical during these times for a smooth and effective solution adoption.

Some of these critical change management benefits include:

  • Consistent productivity rates and less impact on project timelines during solution transition
  • Companywide buy-in and understanding of solution benefits and proper usage
  • More effective support from managers for teams experiencing the transition.
  • Higher company morale and better company solidarity
  • Decreased stress and less confusion caused by transition processes
  • Higher retention rates of valued employees

By ensuring that your business’ transition into a new, better solution goes well, the solution can be used to the full extent of its capabilities.

The 3 Phases of Change Management

  • Preparing for Change: Change management applied to moving an organization through solution transition begins with assessing your company’s readiness for change and formulating a strategy. Consider what your biggest challenges will be, who will be most likely to adopt the new technology easily and who will resist, as well as whether the new solution should be introduced to the entire organization at once or rolled out in phases.
  • Managing Change: According to Prosci, there are five major elements to managing the change management processes during its implementation. These are creating a communication plan for how change will be communicated to the company, outlining a sponsor roadmap for the person or group at the head of change, using a coaching plan for managers helping with change, enacting a training plan so that employees can effectively use the new solution, and sticking to a resistance management plan to handle team members who do not want to adopt the new technology.
  • Reinforcing Change: In the time after change has been implemented across the organization, the team in charge of the change management process will need to use compliance audits to ensure team members are still using the technology they have adopted. These audits will help not only determine if the solution is being used correctly, but inform managers if their team members need additional training for their work needs. In either case, reinforcing change until it is second nature across all applicable teams is critical for a successful change.

These steps will keep your company focused on the transition process and give your new solution the support and use it needs to make a positive difference.

Support Your Team for Future Success

A supported team means a successful organization. Learn more in our helpful ebook, “Forecasting & Optimizing Capacity: Why the Future of Your Business Depends On It.”

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