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Successful Managers Are Change Agents

Change-management tools can pave the way for successful organizational transitions.

By Maya Norris, Managing Editor -- Chain Leader, 4/1/2008

Whether it's rolling out a new menu or buying a restaurant company, change can be uncomfortable, confusing and complicated. That's why many executives have turned to change management, a set of strategies designed to smooth transitions and help employees accept and embrace change. The 2007 Change Management Survey Report from the Society for Human Resource Management cited communication breakdown and employee resistance as the biggest obstacles to change. Here are some of the best ways to overcome those barriers.

1. Create a Roadmap

Before launching any organizational change, conduct an organizational audit and develop a comprehensive plan, making sure it aligns with the company's culture.

When Seattle-based Restaurants Unlimited Inc. announced in 2007 it would buy Portland, Ore.-based Pacific Coast Restaurants, RUI put together a transition team of key executives from marketing, operations, human resources and information systems as well as the CEO and COO. They developed a plan to merge the companies and identified roles for the key leaders.

“Identify the organizational structure that's needed to drive the transition, both the long-term structure of the organization and also what short-term support you need to get through the transition activity,” says Lisa J. Anderson, vice president of human resources at RUI.

2. Communication and Collaboration

Clearly communicate what changes will occur, why the change is important and how it fits in with the company's vision and mission.

Involve key stakeholders and encourage them to think outside the box. “Allow people to make mistakes,” Anderson says. “Have a good recovery plan so that you don't get stuck.”

3. Metrics and Reward Systems

Measure the success of the change-management process and reward employees who meet or exceed those metrics.

For example, RUI planned to eliminate several human resource and accounting positions at Pacific Coast Restaurants, but it needed those employees during the transition. So RUI gave them monetary rewards if they met certain metrics. When the employees left, RUI celebrated their tenure with dinners, flowers and gift certificates.

While most companies offer monetary rewards, don't underestimate the power of a compliment, says Ken Moore, president of Ballston Spa, N.Y.-based Ken Moore Associates, a management consultancy.

4. Develop Your People

To foster an atmosphere that embraces change, companies should have development programs that identify and train potential leaders, says Grant A. Schneider, vice president of human resources at Livingston, N.J.-based The Briad Group, a franchisee of 43 Wendy's and 70 T.G.I Friday's.

Moore says companies should pay for college courses so employees learn about the industry and the environment it operates in. He says that leads to curious employees who look for better ways of doing things.

 

Resources & Links

Society for Human Resource Management conducted the 2007 Change Management Survey and encourages companies to have their HR professionals take the lead in change initiatives. www.shrm.org

Wharton Center for Leadership & Change Management conducts research and offers seminars on leadership and change. leadership.wharton.upenn.edu/welcome/index.shtml

The Change Management Learning Center offers books, articles, research, training and classes on change management and related topics. www.change-management.com

Human Capital Institute, global think tank and professional association that conducts research and offers educational programs in talent strategy, measurement and retention. www.humancapitalinstitute.org

Change Management Blog, by Holger Nauheimer, a management consultant, director of the Change Facilitation Associates Network and creator of The Change Management Toolbook. www.change-management-blog.com

Change Management Monitor, a portal to books, Internet sites and other material relating to change management. www.change-management-monitor.com

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