By: Together Abroad 30-11-2017
Organisational change is a common and, sometimes, necessary step for companies that wish to stay competitive in today’s business environment; factors such as globalisation and advancing technology mean that businesses need to make adaptive changes or risk falling behind. However, as companies continually try to implement organisational changes, they also need to take on the challenge to gain employee support and promote a positive attitude.
Almost every organisation has said ‘communication is key’ when winning over employees during organisational changes; sharing a clear goal for what management wants out of an organisation, and laying out the necessary steps that need to be taken goes a long way when trying to get the best attitude out of employees. One ideal example of this was when Google restructured their entire organisation in 2015 by splitting up departments into smaller parts, each becoming an individual company with its own CEO, owned by an umbrella company called ‘Alphabet’. Not only did this change help to better manage the organisation as a whole, it also provided a clearer goal and direction for each individual company. More importantly, the company took the time and informed its employees well in advance of their plans, which gained huge support as employees saw it as an opportunity to focus on their own goals within the company, without having to burden themselves with Google’s mission as a whole.
With more drastic changes, such as downsizing or taking on mergers, comes the fear of relocation, demotion or even layoffs. Numerous researchers have claimed that transparency during such times helps to show strong leadership that helps to build trust and keeps employees motivated. In 2012, the newly appointed CEO of Sanofi Canada, Mark DesJardine, was given the tough responsibility of preparing to move hundreds of employees into a new corporate headquarters. When communicating the necessary changes to employees, he learned the importance of transparent communication and how employees needed to be kept actively engaged during the ongoing process. This meant forming employee groups called ‘change ambassadors’ who represented different parts of the company, and they were consulted during each step of change allowing for positive employee engagement and useful feedback. In other words, keeping employees proactive during a change can help to strengthen communication, and to reassure employees that their concerns and feedback will be addressed throughout the process.
Another factor to take into consideration is how the possible termination of employees can affect the morale of remaining ones. Companies sometimes suffer a devastating blow to employee morale when fellow workers are laid off; it can leave employees anxious about the security of their own jobs, afraid of future downsizing, and discouraged to remain at a company. In 2009, Time Warner took their own measures to avoid such a reaction when they laid off a number of employees in their corporate sector after downsizing. Rather than giving their employees a typical severance, they also offered job listings in other areas of the company to allow preferential reemployment to those who lost their jobs. This type of gesture can have a significant impact on morale by showing that management cares enough for employees to ensure they have a safe future for their careers. Companies that show loyalty to employees are also more likely to keep them in the long run.
No matter what type of drastic changes are necessary to keep a company functioning, there is no denying the value of a positive employee attitude. A good attitude increases morale and motivation among employees, and it allows them to easily adapt to their new positions and responsibilities when the opportunity exists. This can be achieved through clear communication, transparency and positive engagement. Of course, the most effective method varies for each organisation, but good judgment and strong leadership can go a long way to achieving the desired outcome during an organisational change.
Edward Mah
Sources
http://iveybusinessjournal.com/publication/leading-employees-through-major-organizational-change/
https://www.tinypulse.com/blog/3-examples-of-organizational-change-and-why-they-got-it-right
https://hbr.org/2009/10/laying-off-and-leaving-happy
http://www.emeraldgrouppublishing.com/learning/management_thinking/articles/pdf/attitudes.pdf
https://www.theguardian.com/technology/2015/aug/11/google-alphabet-why-change-restructuring-what-it-means