Navigating change: Why understanding and harnessing change impacts is crucial to success.

Whether it's implementing new technologies, redefining processes, or introducing new policies, change is constant. We all know that. However, the success of a change depends as much on our ability to understand what it means and how it affects people, as how technically sound, or operationally required that change might be.

I went looking for a quote about change to get this blog started. Something that spoke to how important it is, and the cost of doing nothing. Now, if you’re expecting something from Socrates, or Mother Theresa, I’m sorry to disappoint you with one from Bill Clinton. To be clear, I was looking for a quote that resonated—not a character assessment of who said it. That quote?

“The price of doing the same old thing is far higher than the price of change”.

Why did that quote resonate? Because the price of not understanding the difference between ‘the same old thing’ and ‘the change’ can ultimately cost you the success of the change you’ve bothered investing in. It can be the difference between people using that multi-million-dollar ERP system you’re implementing, and creating off-system workarounds that ignore its benefits.

This blog is an opportunity to look at the importance of understanding change impacts and how to harness them to drive successful change management programs.

What are change impacts?

A technical definition of a change impact is as follows: A change impact refers to the effects a proposed change will have on various aspects of an organisation, including its people, processes, and technology.

Simply, change impacts are the difference between “…the same old thing” (the current state), and the shiny new thing you’re reaching for (the future state).

This definition may seem trivial but so often large-scale change initiatives do not properly understand the current state, meaning that truly understanding the impacts of the future state is practically impossible.

The significance of change impacts

1. Anticipating challenges and resistance

Change, by its very nature, disrupts the status quo. Change that’s poorly understood and managed, ultimately leads to uncertainty, resistance, and lack-lustre adoption.

Understanding change impacts is fundamental to any change program, as it allows you to anticipate potential challenges and points of resistance that are likely to arise among those affected by the change.

By identifying which aspects of the organisation will be most affected—whether its people, process, technology, or all three—change professionals can work to understand the impacts in a way that allows us to proactively address concerns and engage stakeholders in the change process.

Working with those that are affected to understand what it means to them not only minimises resistance but also fosters a culture of collaboration and empowerment, where people feel valued and included in the decision-making process.

2. Informing effective resource allocation

Successful change programs often require significant resources, due to their large scope and the time involved in delivering transformational changes.

Without a clear understanding of change impacts, organisations risk misjudging the number of resources needed, and/or what they need to be aligned to, leading to disruptions, and delayed or reduced change adoption.

By starting with a clear idea of how the current state works, change professionals can work with initiatives in the early stages of a program to assess the high-level impacts of a planned change. This high-level assessment allows organisations to plan and prioritise resources where they are needed the most, and acts as the basis for detailed change impact assessments as the initiative progresses.

This approach ensures that changes are understood early, which can not only inform resourcing, but also ensure design decisions are based on an understanding of how things work today.

3. Minimising disruption

When not managed properly, change will disrupt normal business operations, leading to productivity losses, dissatisfaction (of your people and your customers) and failure to realise returns on your investment.

Understanding change impacts allows organisations to develop strategies to minimise disruption and support business continuity during the transition period. This can include identifying the need for phased rollouts, providing tailored learning and support to people with unique change impacts or needs, or temporarily adjusting ways of working to accommodate the change.

By proactively addressing potential disruptions, organisations can ensure a smoother transition, minimising the impact of a change on day-to-day operations.

4. Enhancing communication and engagement activities

Effective communication and engagement activities are essential for successful change management. However, generic one-size-fits-all communication and engagement strategies often fall short in addressing the diverse needs and concerns of stakeholders.

By understanding your audiences and their change impacts, change programs can provide clear, timely, and relevant information about the impacts, via channels people know, trust and use. This ultimately means organisations can build trust, manage expectations, and increase support for their initiatives through a well thought out and scheduled change program.

A bonus of involving employees in the change process includes fostering a sense of ownership and accountability, leading to higher levels of engagement and commitment to its goals.

5. Maximising return on investment

Ultimately, the success of any change program is measured by its ability to deliver the benefits called out in the business case.

However, realising these benefits requires a deep understanding of the impacts of change and a systematic approach to managing them. By comprehensively assessing change impacts, organisations can identify potential risks and opportunities, develop realistic goals, and track progress towards achieving them.

This allows organisations to make informed decisions, adjust course as needed, and maximise the likelihood of realising the desired outcomes. From increased efficiency and productivity to enhanced customer satisfaction and competitive advantage, understanding change impacts is the key to unlocking the full potential of change initiatives and driving sustainable organisational success.

Conclusion

If the price of doing the same old thing is far higher than the price of change, the price of not understanding the impacts of that change is arguably higher. Why? Because you’ve invested your organisation’s time and effort into changing, while failing to understand and effectively convey what it means to your people, meaning you’re effectively left with the worst of both worlds.

Ultimately, the success of a change management program hinges on more than just the change itself—it depends on how well organisations understand and manage the impacts of change for their people.

Understanding change impacts is not just important—it's essential for driving successful change management programs and positioning organisations for long-term success.

Raphael May