Change is Changing
While nearly half of the workforce is comprised of millennials, over 90% of them expect to leave their jobs within three years.
The way we see change management has changed. The idea that someone can manage change can feel outdated, considering the reality and pace of business today. While the intent of business executives is still the same, the context in which companies operate is changing. With that, we should also change the way we think about corporate cultural change.
Corporate change is occurring in three important ways: from point-in-time to all-the-time, from analog to digital, and from fixed to flexible. The scope of these shifts is large, and requires a change in how we think. The first shift is from point-in-time to all-the-time. Companies do not have a defined start and end time when it comes to change. It is continuous and always moving. Therefore, being able to lead through change is a required skill for successful leaders. Leaders must rethink how they lead, how they engage teams, and how they inspire individuals. The ability to change successfully is becoming a source of competitive advantage.
Technology is always advancing, and as such, it is reshaping the challenges and possibilities that change offers. With the onset of artificial intelligence, the nature of jobs is changing, shifting work that people once did to machines. The future of work therefore needs to be thought of differently. While many jobs will go away, new ones will be created, and smart management is critical during this time. Companies must create an environment where they are able to retrain their workers with new skills and must do so constantly. There is a great need for people with advanced technical skills, and the supply of such people is much less. Thus, people need to be given advanced training in required technical skills in order to stay relevant. While research suggests only 10% of people trust artificial intelligence to perform complex and high-risk tasks, an increasing number of business decisions are still being made my machine. There needs to be a new way to build trust between people and machines. In response, some companies are able to collect and respond to data on operations, employees, and customers. Using sentiment analysis, they are trying to understand how their employees feel about their jobs in real time. Similarly, customer management is transforming, and many executives have increased their investment in real-time customer analytics so that they can make more effective decisions.
Finally, the demographic of the workforce is changing, and with it comes new expectations. While nearly half of the workforce is comprised of millennials, over 90% of them expect to leave their jobs within three years. Also, the “gig economy” is helping the labor market create working relationships that are more non-traditional, independent, and short term. As about a third of all workers have some type of gig work arrangement, organizations are needed to expand their boundaries. An organization is now defined by their external groups, where people need flexible working arrangements, and focusing on contractors and advisors is necessary.
Despite all of this change, the thing that has remained constant is human nature and the desire for stability and predictability. A company culture and mission are what remain stable, and many organizations are shifting from valuing shareholders to focusing on a broader purpose. If people find meaning and significance in their work, they are more likely to stay at that company. This is compounded if they feel more engaged at work too. The new normal is no longer defined by risk and fear, but it is defined by possibility and opportunity, and in order to be successful, we need to embrace it.
How NMS Can Help
Change management led by experienced NMS consultants provides a uniform approach to enabling the changes mandated by a company’s initiative, mitigating risk, and drastically increasing the success rate of changes. Executives need to analyze and understand the hurdles that make transformation efforts fail, and NMS can guide the way. Businesses are facing economic unpredictability, disruptive technology, and organizational issues. Traditional methods of establishing a competitive advantage are not sufficient enough. It is more critical than ever that businesses address new realities, evolve with the changing conditions, and deliver effective change to gain a competitive advantage. Without clearly defined milestones and sufficient commitment by management, change initiatives are bound to fail. A focus on an organization’s people, leadership, execution, and governance is paramount to success. Change management must be executed with transparency with a focus on value for your people. To satisfy these requirements, your organization can leverage the same technologies that are triggering the transformation. The scalability and reach of digital tools provide your business with opportunities to create innovative and powerful change. We partner with you to customize the right set of solutions for your change initiatives, ensuring that the internal capabilities needed to manage change now and in the future are established.
Arthur Mansourian has a 12-year track record as both a management consultant and investment banker, advising clients on valuation, capital markets, structured financing, mergers, acquisitions and divestitures and general corporate strategy. Mr. Mansourian served as Vice President while at NMS Capital Advisors, when the company achieved cumulative sales growth of over 5,100% with annual compounded sales growth in excess of 120% from 2012 to 2017. With over $5 billion in completed transactions, the investment bank consistently ranked among the Top 10 investment banks by the Los Angeles Business Journal. Mr. Mansourian holds an MBA from USC’s Marshall School of Business and a Bachelor’s Degree from UCLA, and the CIPP/US certificate from IAPP.