Nothing Special   »   [go: up one dir, main page]

4 Types of Change Management For Organizations

Download as docx, pdf, or txt
Download as docx, pdf, or txt
You are on page 1of 10

4 Types of Change Management for Organizations

Change is often required to advance an organization’s growth and success.


However, implementing change can be a challenge. After identifying strategic changes,
business leaders need to get their employees on board, and this process isn’t always easy
—most people are hard-wired to resist change.1

This is where an effective change management strategy and highlighting the importance
of change management can come into play.

What are the different types of change management? Below, we’ll dive into various change
management strategies and review some popular models used to implement them
effectively. We’ll also discuss how to pursue a career path in change management.

4 Types of Change in Organizations


To start, let’s discuss the four main types of organizational change management.

1. Strategic Change Management


Sometimes, a company’s strategy needs to be revamped to achieve certain goals. In turn,
it may use strategic change management to switch up its:

 Policies
 Processes
 Mission
 Vision

These strategic changes can help companies hone their competitive edge, take advantage
of new opportunities, and prepare for upcoming threats. For example, a business may
use a strategic change management process to expand into a new market.

Persuading employees to embrace this type of change process requires leadership to


communicate their new strategy’s long-term value – a concept that is often explored
when discussing change management.

2. Structural Change Management


Structural changes optimize how an organization runs internally. Some examples include
fine-tuning the management hierarchy, redefining certain job descriptions, revamping
key administrative procedures, or right-sizing staff.

Structural changes are often spurred by the following types of circumstances:

 Mergers and acquisitions


 Market changes
 Opportunities for expansion
 Regulatory updates
Structural change can impact employees' daily work. For example, a merger may result in
layoffs if the merging companies have redundant job positions. In turn, employees often
require more communication and reassurance throughout the implementation process
of this change management strategy.

3. Cultural Change Management


Culture can influence a company's long-term success considerably. Companies with
strong company cultures boast up to 72% higher employee engagement. 2 Additionally,
highly engaged employees are more productive and less likely to leave their jobs for
other employment opportunities.

Businesses can enact cultural change management to foster a stronger culture. During
this process, leaders may encourage their employees to embrace new mindsets and
behaviors. For example, a company may host diversity, equity, and inclusion (DEI)
workshops to cultivate a more inclusive culture.

Since cultural change management involves changing the hearts and minds of
employees, it can take longer to achieve. To that end, managing change should be done
slowly and gradually with continuous reinforcement.

4. Technological Change Management


Technology continues to develop at a rapid pace. Companies that fail to keep up with key
innovations may end up falling behind. Thus, understanding how to implement
technological change management is crucial.

Employees can be reluctant to embrace new technologies—they may not want to go


through the hassle of overcoming the learning curve involved. For this reason, an
effective technological change must start by explaining why the new technology is
beneficial for both the company and the employees who will be using it.

Leadership should also provide adequate training and support during the transition and
showcase empathy and patience throughout the process.

Understanding Different Approaches to Organizational Change


No matter what type of organizational change management method a company is trying
to implement, it can do so using several approaches.

Here are some common approaches to change management, along with their
motivations and challenges:

 Incremental change takes place slowly. It uses small steps to gradually reach a larger
goal. By making minor adjustments over time, employees may have an easier time
acclimating to change. In turn, they may be less likely to resist normal change. This
approach is also less disruptive to day-to-day operations, enabling a company to maintain
its stability throughout the change management process.
 Developmental change involves continuously optimizing an organization to set it up for
sustained success. This method of managing change doesn’t have a clearly defined
endpoint. Instead, it often involves proactively investing in innovative systems and
employees’ professional development on an ongoing basis. Enacting developmental
change is easier to do when the company culture values innovation, creativity, and
continuous learning.
 Transitional change aims to take a company from one state to another within a set
period of time. The steps involved in getting from the first state to the next are clearly
defined. Leadership knows that the transitional change is complete once the company
reaches the new state. This type of change can induce uncertainty and resistance among
employees, so addressing their concerns is of utmost importance.
 Transformational change aims to alter one or more foundational components of a
company. It’s typically employed in response to destabilizing external events. It may
include overhauling a company’s culture or shifting to a remote workforce. Once the
transformational change takes place, the company will likely look and feel very different to
its employees. While necessary in certain scenarios, the radical nature of this change can
make it the most challenging for employees to accept.

6 Popular Change Management Models


After selecting the appropriate approach, companies can employ effective change by
using effective change management models as a part of change management planning.
Some of these models include:

1. Lewin’s Change Management Model divides change into three steps: unfreeze, change,
and refreeze. It asserts that similar to an ice cube, companies must unfreeze to remold
themselves before they refreeze and cement new changes.

In this model, the “unfreeze” stage occurs when leadership analyzes their situation
and communicates their desired change to employees. The “change” stage sets in
once the company starts implementing change. The “refreeze” stage involves
checking in regularly to ensure the change is maintained long-term.

2. Kotter’s Change Management Theory was put together by Harvard change management
expert, John Kotter. It emphasizes the importance of human psychology in change
management. Kotter recommends companies follow these eight steps when enacting
change:
1. Instill a sense of urgency
2. Designate a “change team” of qualified people
3. Define a strategic vision for your change initiative
4. Communicate with affected parties and clarify their roles
5. Pinpoint potential obstacles to change
6. Break down your overarching goal into actionable steps
7. Maintain your momentum until the final goal is reached
8. Ensure the new changes are sustained
3. The ADKAR Change Management Model was formulated by the founder of Prosci, Jeff
Hiatt. It lays out five goals to pursue during the change management process. These goals
are as follows:
1. Awareness – Make everyone at the company aware of the need for change.
2. Desire – Explain your motivations behind the change to get others to support it.
3. Knowledge – Clearly define each person’s role in the change implementation.
4. Ability – Ensure that each employee is adequately trained to fulfill their role.
5. Reinforcement – Support employees throughout the process to ensure the change
sticks.
4. The McKinsey 7-S Model was created by McKinsey & Company consultants. It encourages
change leaders to consider these seven components as they pursue change:
1. Change strategy
2. Company structure
3. Business processes and systems
4. Company culture and values
5. Style of work
6. Affected staff
7. Employee’s skill sets
5. Bridges Transition Model was put together by change consultant William Bridges. It
recognizes the emotional transition employees must go through to reach a place of
acceptance of organizational change. This transition includes three stages:
1. Ending, losing, and letting go – At first, many employees may feel fear,
uncertainty, and discomfort towards unplanned change.
2. Neutrality – After some initial implementation, employees may start to warm to
the change while still harboring mild resistance to letting go of the old ways.
3. New beginning – With effective change management practices, employees can
start to embrace the change and get comfortable with the new processes, policies,
systems, or structures.
6. The Kübler-Ross Change Management Framework was created by Swiss-American
psychiatrist Elisabeth Kübler-Ross. It was originally made to describe the stages of grief
involved in losing a loved one. However, it can be applied to a wide variety of changes,
including organizational change.

This framework includes the following stages:

1. Denial
2. Anger
3. Bargaining
4. Depression
5. Acceptance

The Psychological Aspects of Change Management


While the right models can guide change management, their efficacy ultimately comes
down to employee and stakeholder buy-in. For this reason, organizational psychologists
play a vital role in facilitating change management.

Using their expertise in human behavior, organizational psychologists can help guide
leadership as they:

 Identify obstacles that may hinder change


 Address employees’ resistance to change
 Build trust throughout the change implementation process
 Alleviate employees’ uncertainty
 Cultivate enthusiasm for new goals, policies, processes, and systems
 Communicate about change effectively
 Resolve conflicts that arise along the way

Implementing These Change Management Strategies in the Workplace


Interested in change management? If so, you can put these change strategies and models
to the test as an organizational psychologist.

To prepare for this dynamic career path, consider studying organizational psychology
at Alliant International University. We offer two robust programs in this area of study:

 Master’s in Organizational Psychology – This one-year, 33-unit master’s program is


offered online and on-campus. If you prefer to attend class in person, we have campuses
in San Diego, Los Angeles, and Fresno.
 Ph.D. in industrial and organizational psychology – If you’re in a position to pursue a
Ph.D., this program can help you garner a valuable skill set in change management. During
this program, you’ll learn how to navigate organizational diagnosis and intervention and
conduct applied research.

Want to learn more about our organizational psychology offerings? Talk to our admission
officers for opportunities at Alliant International University today.

Sources:

1. Susan McQuillan. “Why Do Humans Resist Change?” Psychology Today. October 21,
2019. https://www.psychologytoday.com/us/blog/cravings/201910/why-do-humans-r….
Accessed October 24, 2023.
2. Paula Morgan. “Understanding The Importance Of Corporate Culture After The Great
Resignation.” Forbes. August 19,
2022. https://www.forbes.com/sites/paulamorgan/2022/08/19/understanding-the-i….
Accessed October 24, 2023.

Author David Stewart


Dean, California School of Professional Psychology
California School of Professional Psychology

David G. Stewart, Ph.D., ABPP, is a board-certified clinical child and adolescent


psychologist and Dean of the California
What is Ignatian leadership?

Defining the qualities of an Ignatian leader is an all but impossible task,


says Sarah Broscombe, and so it should be, because Ignatian
leadership cannot be reduced to, ‘a tidy theory with accompanying tools
and practices. It is a disposition of mind, heart and will.’ There are,
however, certain traits that can usefully act as ‘compass bearings’ for
those who want to understand what leadership means in the Ignatian
tradition.

What is your gut reaction when you hear the word ‘leadership’? For some, it evokes a tug of
responsibility. Others switch off immediately – ‘I’m not a leader of anything’ – or feel cynical:
‘Here we go again, corporate speak!’ For others still there is a personal connection: ‘Ah yes, I
remember that inspiring person who I would have followed into a burning building’.

What makes Ignatian leadership special has something to do with the burning building
reaction. And so it should. Ignatius of Loyola had something of the counter-intuitive
attractiveness of Jesus about him, and so should leaders within his sphere of influence. If
there is a growing interest in the concept of leadership in general, and Ignatian leadership in
particular, it is because our contemporary world (political, environmental and social) has been
a smorgasbord of good, bad and absent leadership over the last few decades. Manifold crises
face us, all of which cry out for brave, authentic leaders. This is urgent.

Leadership is so much more than being the boss. This is especially true for the Ignatian form
of it, where leadership is not simply a subset of positional power, and the hierarchy is
structured as a two-way, not a one-way street (each provincial steps back ‘down’ after six
years in office). It taps straight into vocation – every Jesuit leads, well or badly. And the
domain of Ignatian leadership does not stretch only as far as directors of Jesuit workplaces.
As the Jesuits in Britain’s recent ‘31 days of Ignatius’ so strikingly illustrated, everyone shaped
by an Ignatian education is formed to lead, whether they are in charge or not. If you are
Ignatian, you are called to be aware of how you are leading in your life, and the impact of that
on others.

I often hear Ignatian leaders characterised as empathetic, open to change, collaborative and
purposeful. But these are true of the best secular models, too. On a personal level, all
excellent leaders need self-understanding, integrity, authenticity and courage. Interpersonally,
they must deploy good communication, motivation, inspiration and empathy. Organisationally,
they need to be strategic, visionary, purposeful and mission-driven. But Ignatian leadership
isn’t simply generic good leadership seasoned with Jesuit jargon. The distinctiveness is more
fundamental than that.

What distinguishes an Ignatian leader, then? Simple formulations will fall badly short, because
‘Ignatian Leadership’ is not a coherent theory, or a body of scholarship. It’s a lived experience
that immerses itself in the world, a disposition deeply rooted in the Spiritual Exercises and
Jesuit history. I have heard Jesuits say ‘You pick it up by osmosis’, or ‘Just live it’. And I agree
that it is irreducible to a neat formula. But for those new to Jesuit environments, or attracted
by what they have encountered and wanting to understand more deeply, some starting point
is needed.

A recent 18-month Ignatian Leadership Programme offered by the Conference of European


Provincials was faced with some of these questions. We as a training team were mixed lay
and Jesuit, and the participants came from 22 countries spanning a pretty broad conception of
‘Europe’ (from Moscow to Lebanon, Portugal to Kyrgyzstan). This provided a rich melting pot
of expectations and experiences. For me, it also helped to crystallise thoughts that have been
gradually forming for the last decade or so. At this stage, I want to suggest five qualities
typical of Ignatian leaders – typical either because they are linked to features distinctive
to Ignatian spirituality, or because Ignatian teaching can nuance or enrich what we already
know about leadership from other sources or our first-hand experience. These five are offered
to provoke thought, definitely not in an attempt at comprehensiveness. But without any of
them, I’d struggle to see leadership as Ignatian.

Humility
Ignatian humility is not about anxiously balancing your flaws and strengths, or comparing
yourself to others, or self-abnegation (keeping your head down and your mouth shut). It is
seeing your real self, truly and in proportion, in a world that is different because of Jesus’s
work; ‘If the gospel is true, then Christ has revealed potentials in the human condition for
bringing good out of evil… Moreover, only out of this sin and degradation can the full
greatness of the redeemer be displayed’.[1] Humility dares to look because it knows it is
loved. It also dares to be humbled without believing the core of the self to be diminished by
humiliation. False humility attacks a person’s sense of dignity and worth. True humility frees
us from the pressure of trying to earn worth. When Ignatius describes the third degree of
humility in the Spiritual Exercises, he speaks of choosing poverty with Christ poor, and insults
rather than honours.[2] We choose differently not because we are addicted to self-sacrifice or
self-abasement, and not because we are allergic to power, but because we love Jesus too
much and want the journey with him too much to prefer ease, strength and success.

A leader operating with this humility, this sense of themselves as an utterly loved sinner, will
have different relationships. They will see themselves in proportion with their team, their
organisation and the purpose that it serves. Ignatian leaders will view power differently; they
will handle it carefully but not avoid it (Pope Francis exemplifies this beautifully[3]).

Humility supports authenticity, because it removes the pressure to be larger than life. It can
help us carry the responsibility of leadership more lightly than leaders of the heroic,
charismatic and maverick stamp. Ignatian leaders are not threatened by others’ brilliance,
because they do not draw their legitimacy from being best at everything. They can surround
themselves with teams of people who exceed their own skill. When this happens, humility is
mutually reinforcing among those they lead.

Freedom
The second distinctive characteristic emerges from Ignatius's subtle teaching about freedom
from inordinate attachments, a teaching which involves both a letting go and a letting come.
There is an ‘indifference’ (what Joe Munitiz SJ describes as ‘be[ing] prepared to wish to
relinquish something out of love of God’[4] – ‘prepared to wish to’ seems to me a very helpful
formulation) balanced by an ‘interior freedom’ – a disposition that is open, unencumbered and
therefore able to welcome whatever comes. This sounds attractive, but it is not easy. Many
leaders have disordered attachments to aspects of their work or mission that are in
themselves good. For example, have you encountered well-intentioned leaders whose drive
towards a wonderful and worthy vision rides roughshod over warnings, or drives their team to
exhaustion? Ignatian leaders need to grow in discernment of their own attachments, their own
‘unfreedoms’, and operate with a dynamism that is less train-like and more akin to flying. Their
job is not to hurtle their organisation along a predetermined track to a clear destination, but
instead something more like following a flight path, constantly tuned in to radar, making micro-
adjustments, ready for and unthreatened by change.

I would see the curiosity of the early Jesuits as a fruit of this freedom. ‘Living with one foot
raised’ is not just availability for mission – it shows a free mindset also. Ignatius and the early
Jesuits are widely cited as masters of adaptation (perhaps partly to meet our own needs for
role models of change management). Sometimes this adaptation was simply because they
had got it crashingly wrong the first time. But certainly Xavier’s approach and attitude in India
shifted in Japan.[5] Matteo Ricci’s distinctive approach to inculturation in China also evolved
through his experience there. [6]

Consolation
The third distinctively Ignatian quality I want to highlight is consolation. Secular leadership
models ask leaders to inspire and motivate their teams. It would be inappropriate to request
joy of them. One prevailing narrative is that we live in a ‘VUCA’ world – volatile, uncertain,
complex and ambiguous – and the leader needs authenticity, agility and resilience. All true.
But the Christian narrative is one of resurrection. Moreover, in the Spiritual Exercises, Ignatius
gives us ways to recognise the grace of consolation. In our life with God, in the joy of the
Fourth Week of the Exercises, we earnestly seek and pray for this gift. Ignatian leaders
imagine, even expect, that joy might somehow be present, to the point of becoming a decisive
influence. They seek the kingdom of heaven in this VUCA world because the resurrection
means that sin doesn’t win. Pope Francis chose this emphasis in his address to the 36th
General Congregation of the Society of Jesus (GC36) last year:

In the Exercises, Ignatius asks his companions to contemplate ‘the task


of consolation’ as something specific to the Resurrected Christ... Let us
never be robbed of that joy, neither through discouragement when faced
with the great measure of evil in the world and misunderstandings
among those who intend to do good, nor by letting it be replaced with
vain joys… Joy is not a decorative ‘add-on’ but a clear indicator of grace:
it indicates that love is active, operative, present.
Ignatian leaders must hold hope, strategise with hope, and attend to ‘the task of consolation’.

Sense of direction
Vision and a clear sense of direction are vital for leading well. Many businesses struggle to
articulate why they exist, because they usually look through the lens of what they do.[7] But a
leader formed in the Ignatian tradition comes straight out of the ‘why’, stated in the ‘Principle
and Foundation’ of the Exercises: ‘The human person is created to praise, reverence and
serve God our Lord, and by so doing, save his or her soul’. This, and the ubiquitous letters
AMDG (Ad Maiorem Dei Gloriam – ‘for the greater glory of God’), are attention-shifters, not
straplines. Why are you leading? Because God is magnificent, and so focusing everything we
do towards God’s greater glory is sensible. Because the human person exists to praise,
reverence and serve God, and so can live joyfully, trustingly, because they know they are
being saved. Ignatian leaders have their priorities right, and return to them frequently. Their
gaze is on God, and the Principle and Foundation helps to keep it there.

Discernment
Discernment – noticing ‘the movements felt in the heart and weighed by the mind’[8] – is at
the heart of the Ignatian way of proceeding. I would see this as the crowning Ignatian quality;
the one that integrates them all.

Leaders generally want to be wise; they don’t all seek wisdom in the same places. Some
strive to become a ‘thought leader’. Others hone their intelligence and critical skills. Others
constantly research and keep abreast of cutting-edge leadership theory. Ignatian leaders seek
to be discerning. James Hanvey’s article on Pope Francis’ leadership puts it like this:

discernment is a graced seeking – almost an aesthetic sense – for the


movements of God’s salvific action present in all our relational
dynamics: formal and informal, personal or institutional, wherever our
passive, receptive and active agency is in play. Freedom is our
obedience to the ‘gravitational force’ and pattern of God’s grace at
work… It is an operational wisdom that comes from knowing to whom
we belong, where our heart really lies. It asks us to be attentive to the
movement of the Spirit, both in the world and in ourselves, especially to
be alert to whatever makes us deaf or distorts.[9]
An Ignatian approach to good decision-making in leadership involves more than calculating
the benefits and losses entailed by different ways forward (itself one of the things that Ignatian
jargon sometimes calls discernment). It involves a commitment to listen carefully to the
different motivations at work in the organisation, to the point that some decisions are
ultimately based not on projected outcomes, but rather on a sense that a certain way forward
coheres with our sense of who we are under God, while the alternative does not.

Ignatian leaders pray, reflect and discern in their personal lives in a way that naturally
influences the culture of their workplace. A discerning organisation will listen to its own
experience differently. Quality of listening will rise; a kind of Godly tuning in of the radio
together. Relationships between teams will enrich decision-making processes.

Discernment in common is a priority for the global Society of Jesus coming out of GC36, so
the next few years are going to be a rich ground of experimentation in growing discerning
environments in Ignatian workplaces as well as Jesuit communities.

These five manifest not in a defined common leadership style, but rather, in some unusual
and shared aspirations. The personal, interpersonal and organisational skills needed by every
good leader are nuanced and enriched by these Ignatian qualities. Consolation, freedom, a
clear sense of direction, humility and discernment even make some of the skills easier to
sustain. They act as compass bearings. And if the work is ultimately God 's, the leader’s
sense of responsibility can make a deep, freeing and joyous shift.
All of this raises interesting questions for the future, too. As a layperson, I am intrigued by the
ways in which leadership is different for a Jesuit and a layperson leading a Jesuit work. The
latter are not called to be proto-Jesuits: the responsibilities are different, and I suspect the
charism is distinct, too. Questions like these face those who design future Ignatian leadership
courses, and call for a deep and fruitful collaboration between Jesuits and laypeople leading
in real and difficult situations. The challenge will be not to reduce Ignatian leadership to a tidy
theory with accompanying tools and practices. It is a disposition of mind, heart and will. And I
believe it’s a distinctive way of incarnating the gospel in service of the world’s need for true
leadership.

Sarah Broscombe is a freelance trainer, coach and retreat guide. She lives in Yorkshire, and
works throughout the UK and overseas. Her connection with the Jesuits began in 2002, when
she worked at the Jesuit Volunteer Community, and then diversified into community
development in Guyana and spirituality work with Loyola Hall and St Beuno’s. She is currently
coordinating a team developing a new Ignatian Leadership Programme aiming to launch in
July 2018.

[1] Philip Endean, ‘On Poverty with Christ Poor’, The Way 47/1–2 (Jan/April 2008), 47–
66. http://www.theway.org.uk/back/4712Endean.pdf

[2] Paragraph 167 of the Spiritual Exercises. Philip Endean SJ’s article on the third degree of
humility (ibid.) is most helpful here.

[3] James Hanvey SJ’s article on Pope Francis noted this humility in action from the first day
of his papacy. (See James Hanvey, ‘Because you give me hope’, Thinking Faith, 30 April
2013: https://www.thinkingfaith.org/articles/20130430_1.htm)

[4] Joseph Munitiz SJ (trans), St Ignatius of Loyola: Personal Writings (Penguin, 1996),
glossary.

[5] St. Francis Xavier, ‘Letter from Japan, to the Society of Jesus in Europe’
(1552) http://sourcebooks.fordham.edu/halsall/mod/1552xavier4.asp

[6] Nicolas Standaert, ‘Matteo Ricci: Shaped by the Chinese’, Thinking Faith, 21 May
2010: https://www.thinkingfaith.org/articles/20100521_1.htm

[7] Simon Sinek’s ‘Starting with WHY’ TED talk is one of the most successful (and arguably
influential) of all time, with about 34 million
views https://www.ted.com/talks/simon_sinek_how_great_leaders_inspire_action

[8] Joseph Munitiz SJ, op. cit.

[9] James Hanvey SJ, op. cit.

You might also like