Understanding employee perspectives, the key to effective organizational change

As a seasoned management consultant, former CEO, and transformation executive who has succeeded with several major corporate transformations, I recently mentored a CEO looking to restructure the company to better align with customer needs and ensure financial growth. This wasn’t merely a tweak here and there but an overhaul that would influence every facet of the enterprise.

In our discussions, my primary concern wasn't the restructuring itself but the perception and feelings of the employees towards the impending changes. Time and again, I’ve realised that the manner of communication during a transition is often more pivotal than the content relayed from my experience. But, if there’s a lack of understanding and empathy when sharing news of change, there’s a greater risk that the transformation won't stick.

Supporting this notion, various studies emphasise the importance of empathetic communication in successful organisational transformations. The same I also noticed through research within the pharmaceutical industry when it comes to success with digital transformation in the pharmaceutical industry.  Interestingly, a survey we ran at the company where I was the Chief Transformation Officer disclosed that while most leaders acknowledged the importance of change initiatives, half hadn’t contemplated the emotional landscape of their teams. A startling revelation was that many relied solely on their intuition.

Understanding your team's mindset is paramount for executives aspiring to execute effective organisational reforms. Here are some actionable strategies:

Continually Understand Your Audience:

Start by creating detailed audience personas corresponding to diverse employee groups. Continually refine these personas through direct interviews and feedback to grasp evolving sentiments. For the CEO I partnered with, this strategy allowed us to craft specific messages for different employee emotions, further ensuring alignment and understanding.

Be Transparent:

While specific details might remain confidential, transparency is generally beneficial. Understand the concerns of your team, then address them candidly. The CEO's proactive response to employee concerns about talent attrition was a practical case, bolstering her credibility and trust.

Engage People Across the Hierarchy:

Inclusive transformations tend to be more effective. An illustrative example is a European bank that employed a "dialogue-based planning" approach during its revamp. Engaging individuals at every level, from executives to frontline employees, ensured everyone felt like an integral part of the change.

In summary:

While business landscapes may change, one constant remains the undeniable value of empathetic communication. For leaders, nurturing this trait ensures smoother transitions and fosters an environment where every team member feels acknowledged, involved, and motivated to champion the company's goals.