Deciding what changes need to be made may be the easy part. Communicating the change, and obtaining leadership and employee buy-in may be the greater challenge. With all the change that businesses face, you might think that organizations would know how to handle change and do it well.
What Do Statistics Show?
HR Magazine says that, according to a report by IBM entitled The Future of Banking, this is not the case. The report indicated that, even though the industry expected radical (emphasis mine) change, managing it was quite a different story.
15% said they were very successful at managing change.
32% said they were successful.
33% said they had some success.
15% said they had little to no success.
Research by the Corporate Strategy Board of Arlington, VA, agrees that change is not handled well by organizations, citing a 50% failure rate.
The banking industry is far from being alone in the churn of change. The hospitality industry has also endured its share of change because travel is one of the first perks given up in hard times.
“Going green” has become a mantra for business and citizens, but even it has experienced change in the form of lower prices in areas of recyclables.
Given the changes of the past year in the economy, politics and environment, organizations would do well to understand how to better decide, communicate and implement needed changes.