Thriving Through Transformation: HR’s Roles in Change ...

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PROPRIETARY RESEARCH FROM HCI TALENT PULSE Thriving Through Transformation: HR’s Roles in Change Management

Transcript of Thriving Through Transformation: HR’s Roles in Change ...

PROPRIETARY RESEARCH FROM HCITALENT PULSE

Thriving Through Transformation: HR’s Roles in Change Management

TALENT PULSE | THRIVING THROUGH TRANSFORMATION: HR’S ROLES IN CHANGE MANAGEMENT | 2

We founded HCI on three core beliefs:

Aligning human capital strategy with business strategy is the greatest accelerator of organizational success.

Organizations that align human capital strategy with business strategy outperform others.

Human Resources and talent management professionals with the right strategic skill sets and mindsets are uniquely positioned to enable organizations to do this.

The key to this success lies in HR professionals’ ability to become strategic partners in their business by planning, recruiting, engaging, and developing their people. Since 2004, we have built our research-based learning resources on your behalf to achieve that mission. Our certifications, conferences, and on-demand content build strategic capabilities that drive personal and organizational transformation. Learn more at hci.org.

Talent Pulse from the Human Capital Institute (HCI) explores the latest trends and challenges in strategic human capital management. Through quarterly research reports, Talent Pulse provides practitioners and decision makers with insights and tools to work better today and prepare for the future of work.

INSIDE THIS REPORT

PROPRIETARY RESEARCH FROM HCITALENT PULSE

Summary 3 Types of Changes 5 Change Management Methodology 10The ABCs of Change Management 13

The Architect 15The Broadcaster 17The Coach 19

Prescribe and Apply 21 OrangeBox: Change Management Readiness Evaluation 24OrangeBox: Change Communication Checklist 25OrangeBox: Coaching Questions for Change Resistance 26

About the Research 27 Survey Respondent Demographics 27 Endnotes 28 Learn More in the HCI Library 30

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SUMMARY Change is constant. Even before the period of immense change brought upon by the COVID-19 pandemic, HR professionals understood this fact. HCI last studied change management in our Talent Pulse series in 2016. Then, 77% of HR survey respondents agreed that their organizations are in a constant state of change with priorities and strategies continually shifting. Today, in this 2021 study, the same percentage (77%) of survey respondents agree.

Unfortunately, despite endless change, less than half of respondents (39%) agree that major change initiatives are well received by their people. And while respondents use the words adaptable, agile, and quick to describe their organizations’ response to unplanned changed, descriptors like reactive, slow, and unprepared are also commonly used (Figure 1).

Because change is constant and most major changes are not well-received, HCI believes that successful change efforts must focus on the people rather than process. The desired state is when agility is built into the culture through its people. Accountability and ownership for change then is diffused throughout the organization, ensuring that it is not simply a leadership level responsibility or one that resides solely in HR. Most importantly, employees (in HR or outside of it) are equipped with the skills to thrive in change.

What two words or phrases would you choose to describe your organization’s response to unplanned and unanticipated change? (The larger words are cited more frequently.)

FIGURE 1

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In this Talent Pulse research, we explored the roles and skills for change management, the different types of planned and unplanned change, and change methodologies. We surveyed 366 HR professionals to understand how organizations that boast better human capital and business outcomes approach change management differently. These high-performing organizations (HPOs)1 are two times more likely to report that major change initiatives are well received by their people.

We learned:

In the past two years, organizations went though an average of ten major change initiatives. Of these, on average, HR was formally involved in six of them.

Resistance, lack of resources, and poor change management skills are the biggest challenges that the HR function faces when leading or supporting change initiatives at their organizations.

HPOs are more likely to have a HR function that is highly involved in organization-wide change.

HPOs are more likely to use change strategies and models and develop change management capabilities in their workforce.

Individuals can design change, communicate change, and/or coach others through change. HR professionals have an important, strategic role in building these capabilities inside and outside of HR.

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“Post COVID-19, employees seem to be suffering from

change fatigue. There have been too many changes in a short period of time. Now

need to plan additional changes carefully so they

are not seen as just another request for a change.”

—Survey Respondent

TYPES OF CHANGES

While larger organizations were more likely to deal with mergers and acquisitions and technology changes,2 all sizes of organizations are dealing with many changes at once (Figure 2). Of the 13 total change initiatives in our survey, 9.7 was the average number experienced.

The most common major change initiatives had HR involvement; 6.2 was the average number of change initiatives with formal HR involvement. More than half of HR respondents said they were involved with:

Organizational response to COVID-19 virus

HR process implementation

Programs for workplace culture and employee engagement

New business model and strategies

Specific department or team technology change

Business process implementation

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83%

59%

58%

29%

24%

88%

82%

37%

16%

44%

86%

81%

73%

48%

25%

16%

35%

27%

89%

83%

52%

56%

49%

38%

34%

34%

20%

90%

58%

In the past two years (2019 to 2021), indicate your level of involvement in the following change management initiatives at your current organization.

FIGURE 2

Organizational response to COVID-19 virus

Business process implementation

HR process implementation

New business model and strategies

Programs for workplace culture and employee engagement

New product development/innovation

Organization-wide technology change

New reporting structures

Specific department or team technology change

Environmental/regulatory/ legal changes

Changes in locations, regions, or properties where work is performed

Workforce reduction/downsizing

Mergers and acquisitions

74%

35%

46%

26%

50%

28% 74%

■ This happened, and I was formally involved■ This happened, but I was not formally involved

70%

85%

100%

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Overall, survey respondents were optimistic that their organizational changes over the past two years were successful. The majority reported that the change met or exceeded expectations (Figure 3). There is room for improvement as respondents rated organization-wide technology changes and mergers and acquisitions as the least successful. However, High-performing Organizations (HPOs) are more likely to be confident and optimistic about their organizations’ successes (Figure 4).

35%

19%

17%

40%

45%

41%

38%

4%

34%

58%

48%

38%

14%

11%

25%

44%

53%

38%

42%

36%

37%

15%

26%

12%

48%

39%

57%

37%

31%

Of the change management initiatives at your organization over the past two years, how would you rate its current success?

FIGURE 3

5%

14%

12%

22%

31%

40% 48%

■ Short of expectations ■ Equals expectations■ Exceeds expectations

18%

55%

73%Organizational response to COVID-19 virus

Business process implementation

HR process implementation

New business model and strategies

Programs for workplace culture and employee engagement

New product development/innovation

Organization-wide technology change

New reporting structures

Specific department or team technology change

Environmental/regulatory/ legal changes

Changes in locations, regions, or properties where work is performed

Workforce reduction/downsizing

Mergers and acquisitions

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FIGURE 4 Exceeding expectations and High-performing Organization status. (Statistically significant differences and n > 100 only.)

89%63%

63%40%

62%

53%

32%

25%

55%

51%

54%

35%

29%

26%

Organizational response to COVID-19 virus

Programs for workplace culture and employee engagement

New business model and strategies

HR process implementation

Specific department or team technology change

Organization-wide technology change

Business process implementation

High-performing Organizations All Other Organizations

There are many reasons why change management initiatives may not meet their expected outcomes. Resistance, lack of resources, and poor change management skills are the biggest challenges that the HR function faces when leading or supporting change initiatives at their organizations (Figure 5). We did not find any differences among HPOs and all other organizations based on the types of challenges they were addressing. However, respondents from HPOs were two times more likely to agree that significant change initiatives are well-received (Figure 6).

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Percentage of respondents who agree with the statement, “At my organization, major change initiatives are well received by our people.”3

FIGURE 6

63%

27%

39%have well-

received changes.

High-Performing OrganizationsAll Other Organizations

What are the biggest challenges the HR function faces when leading or supporting change initiatives at your organization? (Select no more than three top challenges.)

FIGURE 5

32%

16%

29%

15%

26%

11%

25%

8%

25%

4%

37%

25%

Resistance to change from employees

Lack of resources or budget to support change initiatives

Insufficient change management skills and capabilities

Poor cross-functional collaboration

Poor communication and internal marketing

Lack of support and buy-in from senior leaders

Other issues are given priority over the solution/initiative

Insufficient training and support for employees

Insufficient technologies to manage and support

Inability to sustain adoption over time

Poorly designed solutions/initiative

Lack of support and buy-in from external stakeholders

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“Change management is often seen as just training and

communication; it becomes more about checking the box than about shifting mindsets

and behaviors.”

—Survey Respondent

CHANGE MANAGEMENT METHODOLOGY

To achieve their successes in change management, High-performing Organizations (HPOs) do several things differently. First, they are proactive about change. Seventy-two percent of respondents from HPOs agree that they have change strategies in place to help them prepare for the unexpected, compared to 40% of respondents from all other organizations (Figure 7). Also, HPOs have a model, framework, or plan to help them through planned and unplanned changes (Figure 8). While larger organizations are also more likely to have a change management model or method,4 HPOs understand that a structured way to deal with an unexpected change or planned changes works better for them. We asked respondents what model they used, and the majority cited the Prosci ADKAR Model (46%), Kotter’s 8-Step Change Model (29%), or a proprietary one (17%).

FIGURE 7Percentage of respondents who agree with the statement, “We have change strategies in place that help us prepare for the unexpected.”5

72%

40%

49%have change

strategies.

High-Performing OrganizationsAll Other Organizations

43%

34%

37%use a change

model.

High-Performing OrganizationsAll Other Organizations

FIGURE 8Percentage who responded yes to the statement, “Does your organization use a change management model or method to guide your efforts?”6

The second thing that HPOs do differently is they have an HR function that is highly-involved in change management. Senior leaders, the HR function, and a guiding committee are the key players in the change management initiatives (Figure 9). However, at HPOs, HR is likely to be highly-involved (Figure 10). We asked our survey respondents how they were involved in their organizations’ change management capabilities. While responses differed by seniority,7 overall, HR acts as the leader, communicator, and trainer (Figure 11).

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Percentage who agree that the HR function is highly involved in change efforts.8

FIGURE 10

63%41%

47%highly involved

HR function.

High-Performing OrganizationsAll Other Organizations

Thinking of your organization’s change management efforts over the past 24 months, in what individuals or functions has your organization built its change management capabilities?

FIGURE 9

Senior leaders

HR function

Guiding committee or team

Internal partners or change champions

Change management Center of Excellence

Public relations/internal communications department

People managers/middle managers

External consultants or advisors

Employees throughout the organization that are developed on

change management competencies

1%

1%

■ Highly involved in change efforts■ Somewhat involved in change efforts■ Not involved but should be■ Not involved

25% 8%66%

10%47% 42%

44% 34% 13% 9%

35% 39% 18% 8%

31% 13%26% 30%

31% 45% 17% 7%

31% 55% 13% 1%

23% 38% 14% 25%

19% 9%37% 35%

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FIGURE 12Percentage who agree that employees throughout their organization are developed on change management competencies.9

76%

47%

56%develop change competencies.

High-Performing OrganizationsAll Other Organizations

61%

29%

39%attend training.

High-Performing OrganizationsAll Other Organizations

FIGURE 13Percentage who responded yes to the statement, “Do people in your organization attend change management training or gain certification?” 10

In the past two years, what words describe your involvement in your organization’s change management initiatives? (Select all that apply.)

FIGURE 11

48%

25%

40%

21%

38%

20%

36%

13%

34%

49%

30%

Leader, change agent, or champion

Communicator

Trainer or educator

Consultant or advisor

Coach

Catalyst or facilitator

Project or program manager

Designer, architect, or planner

Change sponsor

Follower

Limited or no involvement

Last, HPOs develop change management capabilities in their workforce (Figure 12), and are more likely to do this by training (Figure 13).

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THE ABCS OF CHANGE MANAGEMENT

High-performing organizations develop change management capabilities in their workforce. So, what skills should they be building?

HCI believes in driving change through people, not people through change. People catalyze and execute change. Change management should not happen to people but with people. This approach helps people see that they can make change happen rather than have change happen to them. High-performing organizations understand this, and they are more likely to agree with the statement, “We drive change through people rather than people through change” (Figure 14).

Percentage of respondents who agree with the statement, “We drive change through people rather than people through change.” 11

FIGURE 14

75%

42%

53%drive change

through people.

High-Performing OrganizationsAll Other Organizations

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HCI’s Framework for the ABCs of Change ManagementFIGURE 15

HR’s Roles in Change

Management

ARCHITECTDesign change

BROADCASTERCommunicate change

COACHEncourage change

If organizations rely on their people to drive change initiatives, what specifically do their employees need to do? Based on our survey research into what is essential for change management, as well as secondary research, HCI developed the ABC Framework of Change Management (Figure 15). HR (and, more broadly, any employee) can have three distinct roles in dealing with planned changes or responding to unplanned change. The Architect designs change, the Broadcaster communicates change, and the Coach encourages change adoption. An individual can play more than one role, but all three are required for successful change management.

HR’s responsibility is to develop these roles inside and outside of their function. This way, change management capabilities are built into the workforce, and organizations can successfully plan change and respond to unanticipated change.

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Percentage of respondents who agree with the statement, “Our HR function effectively designs change initiatives.” 12

FIGURE 16

67%

40%

46%HR designs

change.

High-Performing OrganizationsAll Other Organizations

“Change management is often seen as just training and

communication; it becomes more about checking the box than about shifting mindsets

and behaviors.”

—Survey Respondent

The Architect

The Architect is the first role in change management, and they should use the principles of human-centered design to construct and experiment with the change. They secure vital resources and stakeholders. The Architect plans for success by assessing readiness, removing obstacles, and considering sustainability.

HPOs are more likely to agree that their HR function effectively designs change initiatives (Figure 16). For those who indicated what skills, behaviors, and practices were very important to change management, we then asked to rate how well their organization embraces each of those “very important” practices. We then compared responses among HPOs and all other organizations (Figure 17).

Of all the Architect skills and behaviors, HPOs are best at getting senior leader buy-in, experimenting locally with a change, using technology to sense and respond to emerging needs, and giving decision-making authority to the right people. Organizations may need to improve their ability to assess change readiness, allocate sufficient resources, and find successful change areas outside of top-down directives.

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FIGURE 17 Of the statements you rated as “Very Important” for change management, how well does your current organization embrace each practice? (HPO status differences; displaying percentages for “Very Well” on a three-point scale.) 13

64%58%

57%27%

51%

41%

31%

23%

22%

14%

46%

33%

37%

23%

44%

32%

19%

14%

18%

11%

16%

8%

Get senior-level buy-in for the initiative

Experiment locally with a change initiative rather than starting

with a large-scale roll out

Use technologies to sense and respond to emerging needs

Give decision-making authority to the right levels or person(s)

Use nudges (or prompts) to prime behavior change in people

Discover, define, ideate, and deliver initiatives in an iterative process (i.e., Design Thinking)

Design initiatives by focusing foremost on the user

Follow-up on the change initiative after it’s rolled out

Assess people’s change readiness

Allocate sufficient resources for change initiatives

Find areas of successful change in bottom-up or middle-out influences

High-performing Organizations All Other Organizations

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The Broadcaster

Planned and unplanned changes must be well-communicated. The Broadcaster, the second role in change management, communicates the change with stories and data. They help people emotionally connect to the intention behind the work and start a dialogue between all parties to break down barriers. Broadcasters identify the right information to communicate and the most effective way to frame it. As the trusted source of information, they build and execute a strategic communication plan.

HPOs are more likely to agree that their HR function effectively communicates change initiatives (Figure 18). Of all the Broadcaster skills and behaviors, HPOs are best at honestly discussing change barriers, using data to share progress, and implementing collaboration tools (Figure 19). Note that less than half of respondents from HPOs report their organization embraces these practices, skills, and behaviors very well. Even at HPOs, there is room for improvement.

Percentage of respondents who agree with the statement, “Our HR function effectively communicates change initiatives.” 14

FIGURE 18

72%

52%

58%HR communicates

change.

High-Performing OrganizationsAll Other Organizations

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FIGURE 19 Of the statements you rated as “Very Important” for change management, how well does your current organization embrace each practice? (HPO status differences; displaying percentages for “Very Well” on a three-point scale.)

49%19%

47%26%

44%

41%

21%

16%

44%

32%

37%

43%

31%

21%

19%

15%

19%

22%

Have honest discussions about the barriers to change

Use data to communicate progress

Use collaboration tools during the change

Be transparent with details at all stages of the initiative

Tell stories that communicate the purpose and goals of the change

Mobilize change ambassadors/influencers

Evaluate the impact of the change and share learnings with others

Evoke an emotional connection to the cause

Administer frequent pulse surveys to gather feedback

High-performing Organizations All Other Organizations

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The Coach

The third role in change management is the Coach. The Coach addresses individuals’ resistance to change and holds people accountable for their part while rewarding successes along the way. People inside of HR or within the business who have the Coach role identify and address individuals’ reactions to change, maximize employees’ capabilities to implement the change, and keep employees engaged throughout the transition.

HPOs are more likely to agree that their HR function effectively coaches employees through change (Figure 20). Of all the Coach skills and behaviors, HPOs are best at offering training, coaching, and resources to those affected by the change (Figure 21). Areas of improvement include building resilience and addressing resistance in their employees. Organizations can train managers and peers in coaching skills or deploy professional coach practitioners for groups or one-on-one sessions to tackle these areas.

“Effective change management must take into account both

the individual experience (an emotional transition) and the

organizational need (a system/process change).”

—Survey Respondent

Percentage of respondents who agree with the statement, “Our HR function effectively coaches employees through change.” 15

FIGURE 20

73%

44%

54%HR coaches

through change.

High-Performing OrganizationsAll Other Organizations

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FIGURE 21 Of the statements you rated as “Very Important” for change management, how well does your current organization embrace each practice? (HPO status differences; displaying percentages for “Very Well” on a three-point scale.)

43%27%

42%18%

38%

33%

17%

15%

37%

26%

36%

16%

8%

17%

Offer training, coaching, or resources to those affected

Encourage employees to tackle organizational problems

outside of their role

Hold ceremonies to reward milestones along the

change process

Foster a growth mindset in those affected (less fear of failure, more

continuous learning)

Hold everyone accountable for the change

Build resilience in employees to weather the effects of constant,

unwanted change

Help others address their resistance towards change

High-performing Organizations All Other Organizations

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PRESCRIBE AND APPLY

Survey respondents shared what they learned about change management because of their organization’s response to the COVID-19 pandemic and its aftermath. Their lessons learned and recommendations are categorized and displayed below.

“We should be proactive towards change management and not reactive. I’ve learned as an HR leader to be more of a forward thinker and always be prepared for change and have a plan in place.”

“I have learned that it is critical to have a framework you follow through with for any change management initiative.”

“We just invested in a formal organizational design and change manager role, as it seems many other small to mid-sized organizations are doing.”

“Our organization needs to upskill managers to lead change.”

“It’s important not just to have a lot of hard work happen, but to also be clear in terms of responsibilities and ownership of the activity.”

“There should be a designated person for implementation, and change champions who are well informed make all the difference.”

“We need multiple channels to communicate with our employees in real-time during emergencies.”

“Webinars, emails, and town halls aren’t enough anymore. Social media has to be explored as an avenue to reach out to our employees where they are and not where we want them to be.”

“Communication is key, and being open about what you don’t know is important. Giving team members a place to ask questions and get answers is part of what leads to success.”

Build structures and frameworks proactively

Invest in change management capabilities

and resources

Be clear on who owns decisions and

responsibilities

Over-communicate

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“Change management doesn’t happen when sitting in meetings, and you must include all employees.”

“Total employee input means a discussion about all employee roles, awareness of changes or effects in each employees’ perception, tolerance for ambiguity, and complete employee support and training, when necessary.”

“People are resilient and ready for changes both planned and unplanned. Employees have loved the openness and transparency of our leaders throughout this time and efforts to make the employee experience more human-centric, caring, and FOR employees, not TO employees.”

“We need to equip managers with change management competencies, as well as provide support in terms of resources.”

“If you want a change to happen quickly, people need tools, information, and training to do their best work.”

“Lack of trust is magnified during the pandemic.”

“Compassionate leadership during this time was the differentiator.”

“We can endorse an anti-fragile behavior: the capacity to recover quickly from difficulties, learn from experiences, and increase in our capability to rebound, recover, and thrive.”

“Multi-disciplinary teams will produce the best outcomes. Flexibility, tolerance, empathy, patience are more important than ever.”

“Organizational culture and geographic culture have to be addressed during each phase of change management. We have a global company and have not always considered the change in tactics needed by region.”

“You can’t have one size fits all for all departments/functions/sites. One set of values should dictate overall strategy, and groups should be able to flex depending on location/function/customer interface.”

“Different personalities respond to such situations/pandemics differently. Some get stuck, and others find ways to progress. Each has to be dealt with differently.”

Offer training and support

Rely on ‘soft skills’

Address individual and cultural differences for

change

Include and empower your people

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“What we think is impossible is possible once we have the will to do it.”

“Leaders did not believe our staff could be as agile and flexible as they were. Our staff embraced the push and became much more proficient with technology in a very short amount of time.”

“When forced and needed, we can adapt to change.”

“Change becomes easier to accept when there’s no other choice but to do so.”

“We have grit, and we pulled together as a leadership team like never before. We steered the organization through the tough time and was an anchor to our employees.”

“A leader must present him/herself to be in control, and understand that he or she doesn’t have all of the answers but knows where to go and get them in the organization.”

“If management is unified and supports the change, then the employees are more willing to accept the change.”

“There is a chasm of disconnect between higher levels of management and the middle management employees and down when it comes to implementation of initiatives.”

“Senior management needs to sit on the team that manages/advises for change. Having another management level between the senior management and those who have to implement it is very disruptive. It causes significant time delays and revisions as those writing the policy don’t get the full picture.”

Reduce options for increased change

adoption

Display leadership

Be open minded and adjust existing mindsets

Understand breakdowns in execution and implementation

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DIGITAL TOOLKIT BY HCIORANGEBOX Change Management Readiness

EvaluationRate your level of agreement with the following organizational abilities. Then calculate your average score for each of the three roles within change management. Organizations with average ratings of four or greater have high readiness for change management.

Strongly disagree

(1)

Somewhat disagree

(2)Neither

(3)

Somewhat agree

(4)

Strongly agree

(5)

THE ARCHITECT

Get senior-level buy-in for the initiative

Experiment locally with a change initiative rather than starting with a large-scale roll out

Use technologies to sense and respond to emerging needs

Give decision-making authority to the right levels or person(s)

Use nudges to prime behavior change in people

Discover, define, ideate, and deliver initiatives in an iterative process

Design initiatives by focusing foremost on the user

Follow-up on the change initiative after it’s rolled out

Assess people’s change readiness

Allocate sufficient resources for change initiatives

Find areas of successful change in bottom-up or middle-out influences

THE BROADCASTER

Have honest discussions about the barriers to change

Use data to communicate progress

Be transparent with details at all stages of the initiative

Use collaboration tools during the change

Tell stories that communicate the purpose and goals of the change

Mobilize change ambassadors/influencers

Evaluate the impact the change and share learnings with others

Evoke an emotional connection to the cause

Administer frequent pulse surveys to gather feedback

THE COACH

Offer training, coaching, or resources to those affected

Encourage employees to tackle organizational problems outside of their role

Hold ceremonies to reward milestones along the change process

Foster a growth mindset in those affected (less fear of failure, more continuous learning)

Hold everyone accountable for the change

Build resilience in employees to weather the effects of constant, unwanted change

Help others address their resistance towards change

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DIGITAL TOOLKIT BY HCIORANGEBOX Change Communication Checklist

☐ Create a plan that outlines all communications and the details.

☐ For each communication, clearly define the creator, approver, and sender.

☐ Include in the communication plan messages about the vision, reasons for the change, impacts of the change on employees, details about the change, and change progress.

☐ Repeat key messages multiple times, though multiple channels of communication.

☐ Use stories and data to communicate about the change.

☐ Address the impact and “what’s in it for me?” for each audience group.

☐ Develop communications to help create an emotional connection to the change.

☐ Communicate information proactively, before the audience begins asking questions.

☐ Make individual messages targeted and audience-specific.

☐ Use the most relevant and credible sender to deliver each communication.

☐ Explore all options for reaching each audience group.

☐ Use creative methods and channels of communication; ensure that email is not the default communication method. Examples of communication channels:

☐ One-on-one conversations

☐ Group meetings

☐ Presentations

☐ Lunch and learns/training/events/workshops

☐ Video conferences

☐ Email

☐ Visual displays/posters/video screens

☐ Open house events

☐ Intranet web page/online portal

☐ Social media

☐ Special social events

☐ Tangible items

☐ Use face-to-face communications to the fullest extent possible.

☐ Encourage and facilitate two-way communication.

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DIGITAL TOOLKIT BY HCIORANGEBOX Coaching Questions for Change

ResistanceIn coaching conversations, ask these questions to understand your client’s or team member’s current state, goals, and plans. Using the answers to these questions, you can work together to create an action plan.

Awareness of the Current State

What is one word that describes how this situation is for you?

What is going well for you?

What isn’t going well?

Specifically, what are the biggest challenges you face?

What stops you from accepting this new change?

What do you want to be different from what you are experiencing now?

What do you need from me? From your team? From the broader organization?

Action Planning and Goal Setting for the Future

How do you want to feel about this change?

What do you have the power to do right now?

When and where are you going to start doing it?

On a scale from 1-10, how confident are you about your ability to make these changes?

Who can help you with this?

How will you measure progress?

How will you hold yourself accountable for making progress?

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From January 18th to February 9th, 2021, a survey link was distributed via to opt-in members of HCI’s Survey Panel and electronic mailings. Duplicate entries and careless or partial survey responses out of the dataset for a final total sample of 366 respondents. The results of this questionnaire and secondary sources form the basis of this research. Eighty-one percent of respondents are in North America. Only categories describing at least 5% of the survey sample are displayed below.

ABOUT THE RESEARCH

Survey Respondent Demographics

What is your functional area?Human Resources 44%Learning and Development 9%Talent Management or Organizational Development 9%Independent Consultant 5%Other 5%Recruiting, Sourcing, Talent Acquisition 5%

What is your current level of responsibility?I manage my work and contribute to teams and projects. 32%I manage my work and lead a team of people. 19%I lead and am responsible for other people managers below me. 8%I am responsible for a business unit or function. 25%I am responsible for an entire organization. 16%

What is your industry?Professional, Scientific, and Technical Services 16%Health Care and Social Assistance 14%Manufacturing 13%Other Services (except Public Administration) 12%Finance and Insurance 10%Educational Services 7%Public Administration 7%Information 5%

How many employees are in your organization?Small Under 100 22%

> 100 and ≤ 500 23%Medium > 500 and ≤ 1,000 10%

> 1,000 and ≤ 5,000 18%Large > 5,000 and ≤ 10,000 9%

> 10,000 and ≤ 50,000 14%> 100,000 4%

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Endnotes 1. HCI researchers developed an index of seven human capital outcomes (investments in training, internal mobility, employee engagement, diversity and inclusion, quality of hire, retention, and leadership bench strength) and eight critical business dimensions (large-scale strategic change, customer satisfaction, regulatory compliance, talent attraction, innovation, profitability, shareholder value, and productivity) for evaluating the relative strength and weakness of respondents’ organizations. These inventories are composed of items with five-point rating scales. We aggregate scores from these items to create a composite score that reflects each organization’s overall strength in terms of its performance. Those scoring 56 or greater on this inventory are considered high-performing organizations (HPO) and consist of 32% of the total. HPO status has no relationship with the number of employees within an organization nor the respondents’ seniority.

2. Had mergers and acquisitions: small = 38%, medium = 51%, large = 73%, x2 = 22.895, v = .281, p < .01; Organizational-wide technology: small = 78%, medium = 86%, large= 89%, x2 = 6.401, v = .138, p < .05; HR process implementation: small = 82%, medium = 94%, large = 93%, x2 = 10.407, v = .176, p < .01; Environmental/regulatory/legal changes: small = 74%, medium = 83%, large = 90%, x2 = 9.114, v = .175, p < .01; Changes in locations, regions, or properties where work is performed: small = 62%, medium = 81%, large = 82%, x2 = 15.170, v = .217, p < .01; New reporting structures: small = 76%, medium = 93%, large = 83%, x2 = 11.362, v = .186, p < .05; Programs for workplace culture and employee engagement: small = 79%, medium = 86%, large = 95%, x2 = 11.390, v = .184, p < .01.

3. x2 = 35.897, v = .367, p < .01

4. Small = 27%, medium = 33%, large = 59%, x2 = 20.209, v = .281, p < .01

5. x2 = 27.019, v = .321, p < .01

6. x2 = 3.989, v = .132, p < .05

7. Seniority level response to the following: Limited or no involvement: rs = -.115, p < .05; Change sponsor: rs =.208, p < .01; Leader, change agent, or champion: rs = .249, p < .01; Communicator: rs = .176, p < .01; Coach: rs = .113, p < .05; Designer, architect, or planner: rs = .190, p < .01; Catalyst or facilitator: rs = .219, p < .01; Follower: rs = -.109, p < .05

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8. x2 = 13.271, v = .227, p < .05

9. x2 = 23.356, v = .319, p < .01

10. x2 = 21.240, v = .303, p < .01

11. x2 = 32.226, v = .351, p < .01

12. x2 = 36.143, v = .372, p < .01

13. Get senior-level buy-in for the initiative is the only non-statistically significant difference x2 = 2.079, v = .093, p = .354

14. x2 = 17.304, v = .257, p < .01

15. x2 = 23.900, v = .301, p < .01

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Learn More in the HCI Library

Webcasts and Podcasts

Coping with COVID-19 and Beyond—Leading through the A.R.C. of Change

Thriving through Transformation: HR’s Roles in Change Management

HCI Faculty Office Hours: Helping HR Lead Change

Research and Tools

2021 Talent Pulse Priorities

COVID-19 Debrief Meeting Guide

The Revolution is Now: New-Skill Your Workforce to Catalyze Change

Virtual Conferences

Certifications

CERTIFICATION PROGRAM

Change Management for HR

Build an Inclusive Culture

2021 VIRTUAL CONFERENCE

Redesign Your Employee Experience

2021 VIRTUAL CONFERENCE

Copyright © 2021 Human Capital Institute. All rights reserved.

Author: Jenna Filipkowski, Ph.D. ([email protected])

Publication date: March 5, 2021

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