Each answer is more powerful and effective when supervisors combine the basic answer with company-specific information and data as it relates to the change—essentially customizing the answer for their organization. According to McKinsey and Co., approximately 60 percent of companies in the S&P 500 have launched large-scale cost reduction and reorganization initiatives within the past five years and 70 percent of reorgs lead to increased value for the companies. Once you recognize you have chronic issues related to one or more of the above, you realize something must be done or the company will suffer. Managing and supporting front-line employees through change is essential for the success of your project. There are dozens of reasons why an organization decides it’s in their best interest to shift things around a bit. If financial success of the organization depends on change, then you can expect the change to happen with or without you. Plan for it. Try building your own org chart for reorganization planning. If management has played their cards right, things should be better after the reorg than before. According to The Manager’s Resource Handbook, “The ultimate goal and purpose of any business reorganization is to either plan, accommodate or react to change. Organizations do not always share financial information or talk about poor performance issues with employees. This was also inspired by our recent fully booked breakfast workshops on the subject! The company reorg impacts every level of the company. How are they deciding? When an employer is considering making an employee(s) redundant or restructuring job positions, it is important that an employer shows good faith to its employees. They instinctively know they’ll have to learn new technologies, new processes and often, new management. What if they have tried before and failed? What is the most important thing we need to discuss today? Typically, those changes will reside in our market, the economy or our competition.”. With radical changes to the business, some employees may work in other departments or even move to other companies. Done right, reorgs can breathe new life into a stale business model, giving it the jolt it needs to gain a competitive advantage, increase share of wallet, improve brand reputation and/or become more profitable. It’s why Andy Grove, legendary founder of Intel and author of High Output Management, said this about one on ones: Over the last few years I’ve … Employees are generally uptight, management is stressed, resources are strained and everything seems up in the air. Benefits might include better tools, improved work processes, more secure jobs, and new opportunities for you to advance your career. These external marketplace changes can result in: External business drivers take time to set in. For businesses, the risk of not changing could mean: For employees, the risk of not changing could mean: Employees usually find out what is happening after the fact. When external marketplace changes become apparent inside the organization, managers suddenly realize the risks of not changing. One on one meetings are a cornerstone to any effective manager <-> team member relationship from small startups to giant companies. The history of your company may include some previous change projects that failed. When planning stay interviews, consider these basic tips: 1. Three Questions to Ask Yourself: How to … 10 Questions Employees Will Have About Any Change, A Senior Change Advisor's Approach to Managing Resistance to Change. BY Cameron Edmond 15 Aug 2013. The good news is: The actual impact of the change on you is directly related to how you react to the change. In fact, as employees learn about the progress, they will be motivated and inspired. 2. Alert the staff member that benefits will be discussed during this … Research shows that information needs are seven times higher during periods of... 3. You may feel like change is happening suddenly and that it is directed right at you. Better yet, how the organization views you and your future role in the company may depend on your response to change and the choices you make. As new milestones are recorded, however, celebrate them with the employees so they can see the pain was worth the effort. In reality, most changes begin outside the company many months or even years before internal changes take place. Restructuring is a strategy through which business leaders change the direction of their organization in order to remain competitive. The success of your reorg is predicated on the buy-in from your employees. When it’s time to announce the changes, take great care in talking to your staff and answer questions. Between your manager, your manager’s boss, and your HR resource, one of them should be able to provide more detail about the purpose of the restructuring. Lack of Awareness is often the number one cause of change resistance among employees, yet it is the easiest resistance point to fix. Understand their pains, communicate well and often, answer their questions and reward their efforts. When your organization is undergoing a change, this usually means that new processes, systems or skills are required. They need time to process it before they can fully get on board. In some cases, choices you make may have negative outcomes. Have direct managers schedule one-on-one meetings with their reports so they can answer these questions and address any concerns. Why me? 4. Candidates who were subject to a financial restructuring will easily be able to tell you that. We have partnerships with some of the companies featured in this article. What if I am forced to do more for the same pay? In the services offered, … Employees care about the health and viability of the company to which they dedicate 40+ hours of their week. The questions and answers below provide a basic foundation for a face-to-face question-and-answer session between a supervisor and their employees. 1. It’s the question that will pop into your employees’ minds first and... 2. The employer must genuinely consider any options put forward by the employees during consultation prior to making a decision to dismiss. Many organizations make the mistake of calculating engagement by either using the average score of all questions or the result of just one question. In their best interest to shift things around a bit, most changes begin outside company! Even move to other companies growth of the company may include some previous change projects failed... Help you identify ways to challenge the thinking behind the proposal being made and business ) change., Apr 28, 2015, 10:39am EDT strategy in place to risk. 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