Change

Organisations need to adapt to changing environments to remain effective. It is most effective when its strategy is consistent with its environment and its strategy, structure, people, rewards and processes align with each other.

Effective change programs need to align all policies to communicate a clear, consistent message to employees. How employees respond (accept or resist) to change affects its success.

Leaders can control processes that affect employee behaviour. That is influence performance and culture, by acting via design policies that affect behaviour.

Effective design:

• Achieves an adequate degree of coordination and integration of people active in relation to the organisation’s overall purpose
• Influences and motivates members commitment to the organisation goals
• Achieves innovation and flexibility – the capacity to respond quickly to the need to change

Mergers, acquisitions and downsizing are types of common redesigns, which involve large-scale change, and often do not achieve their desired outcomes.

Maintaining the trust and empowerment of survivors is essential to minimise costs and realise the expected gains of downsizing.