- Organizations may lack the ability to know when change is needed.
- Organizations may lack the mechanisms to make change happen.
Lack
of Capacity to Identify a Need for Change
“Without an acknowledged need to change, individuals
and organizations tend to remain the same” (Cameron, 6). A lack of diversity in
the organization may contribute to the inability to acknowledge a need for
change. Often, when people work together for a long time, they begin to see the
world in a similar way and mutually reinforce norms and expectations (Cameron).
In my experience, nonprofits tend to promote from within, oftentimes failing to
provide leadership training as staff move up the ranks. As a result, new
managers lack the training to think strategically (Tregoe). People get
comfortable with the way the organization functions and fail to re-evaluate the
organization’s implicitly held beliefs (Cameron; Tregoe).
Lack of a performance measurement system can also
impede an organization’s ability to recognize a need for change. Without a
system to measure and monitor financials and operational measures, an
organization may be blind to internal and external threats and opportunities
that necessitate change (Kaplan). The organization has no mechanism to know
change is needed for it to grow, survive, or stay relevant.
Lack
of Mechanisms for Change
An organization may know it should change, but may not
have processes or mechanisms to make change. This may occur because the
organizational culture does not promote a “readiness for change” (Cameron).
Employees may not have opportunities to share suggestions or may feel
change-making falls outside their job description. If a change process does
exist, ideas may be implemented and then fizzle out, signaling a problem with
the planning-for-change process. Perhaps the “change” did not address the root
issue, or people did not buy-in to the change. Change requires “a new way of
thinking, not just an incremental adjustment to current behavior” (Cameron).
Without the proper mechanisms in place, the process of change collapses and
change does not occur.
Tips
for Making Change Possible
Strategic planning can be an opportunity to make
change possible. For instance organizations can begin to acknowledge the need
for change as they discuss strengths, weaknesses, threats, and opportunities
(Cameron). Additionally, organizations can measure performance against
benchmarks (i.e. similar organizations) “to create dissatisfaction” with the
status quo and encourage change (Cameron). Designing a performance management system
to monitor financial and operational performance can also advance an
organization’s readiness for change (Cameron).
Making change possible may also require diversifying
the organization. Bringing in new people often brings new ideas, fresh perspectives,
and diverse experiences (Cameron). Organizations may hire new staff, hold focus
groups to involve all stakeholders, invite new visitors, attend learning
events, or visit other sites to diversify (Tregoe). Organizations can also
develop their workforce to promote a shift towards a culture of change. “Every
person can learn the skills of transformational leadership” (Cameron, 3). Organizations
who promote from within must provide professional development opportunities to train
staff to think strategically (Tregoe). All staff must be given opportunities to
think about change, share their ideas, experiment, and give feedback (Tregoe). Successes
should be celebrated and failures considered a learning experience to promote a
culture of change among all levels of staff. Communication is necessary to ingrain
new ideas into organizational change so information does not leave when the
individual does.
Sources:
Cameron, Kim. “Transformational Leadership.” Developing Management Skills. New York:
Harper Collins, 1991.
Kaplan, Robert S., and David P.
Norton. "The balanced scorecard: measures that drive performance." Harvard business review 83.7 (2005): 172.
Tregoe, Benjamin B. “The Challenges
of Strategic Management.” Top Management
Strategy: What It Is and How to Make it Work. 1983.