How Change Management Improves Organizational Results

To learn how change management improves organizational results, keep reading…

In this article, we explore:

  • What change management is
  • Why it generates big returns
  • What business areas can see improvements

Let’s start at the beginning – what organizational change does.

How Change Management Improves Organizational Results

Organizational change is the orchestrated, systematic improvement of an organization, a business process, or an area within that business.

Change management is the discipline that manages, oversees, and guides those changes.

Any organizational change – when managed well – boosts organizational results in a number of areas.

Naturally, which areas are improved depends on the nature of the change project. Therefore, bear in mind that each change project will have different targets and different results.

Below we will look at some examples of top results that can be achieved with effective change management:

An Improved Workplace

One of the most common positive impacts of a change program is an improved workplace.

Every change program has a different goal or goals. 

Not all of these specifically aim to enhance the work environment – in most cases, organizational changes have different purposes.

However, change projects achieve their goals by making changes to the workplace.

This means an enhanced work environment is almost a guaranteed byproduct. 

Results can include:

  • Closer alignment between employees and their work
  • Improved internal communication and collaboration 
  • More attractive, fulfilling work
  • Business aims that better meet employees’ needs

Among many other things.

Every organizational change impacts multiple areas. 

Therefore, workplaces improvements are one of the most common “side effects” of effective change.

More Efficient Business Processes

Boosting business efficiency is a common reason for initiating change.

This can be achieved through any number of means, such as:

  • Innovative systems and workflows
  • Upgraded infrastructure
  • New technology and tools
  • Restructuring

The benefits of successful change include:

  • Faster, more efficient processes
  • Decreased overhead and costs
  • Boosted productivity, output, and results

Again, the nature of the results depend greatly on the nature of the change program.

Let’s take, as an example, a program aimed at increasing sales productivity…

A successful change project could result in:

  • Reducing the length of average sales cycles
  • Increasing customer response rates, conversion rates, and profitability
  • Improved worker productivity and decreased turnover

To name just a few examples.

More Skilled, Productive Workers

Employee competency and productivity is a top concern, especially in today’s digital era.

When the majority of businesses require complex digital toolboxes, training is a must.

One common goal of today’s digital change programs is improving worker productivity.

Effective change programs – such as digital adoption programs – generate great bottom-line results when it comes to productivity.

Results of digital adoption programs, for instance, can include:

  • Increasing efficiency of training programs and decreasing training time
  • Boosting workers’ time-to-competency
  • Decreasing disengagement rates, while improving retention, productivity, and output

Benefits like these translate into better bottom-line benefits for the department in question.

A Better Customer Experience

Any customer-facing organizational changes can naturally improve the customer experience.

Such changes can vary … here are a few examples:

  • New or improved products and services
  • Improvements to customer service or technical support
  • Rebranding

To name a few.

All of these changes are aimed at improving the customer experience, which can mean:

  • Stronger, longer relationships – that is, greater engagement, retention, and satisfaction
  • A better brand image and reputation
  • Reduced cost of customer acquisition 
  • Higher lifetime values and profitability

These are a few reasons why so many of today’s businesses prioritize the customer experience…

Creating a great experience for the end user directly impacts bottom-line profits.

Modernized IT, Tools, and Processes

Many of today’s organizational changes are aimed at modernization.

Such change programs can include:

  • Digital adoption – Digital adoption refers to the adoption, deployment, and total implementation of new software or technology
  • Digital transformation – Digital transformation includes more than just technology … it includes the transformation of a company, its culture, and its technology towards an organization that is digital and contemporary
  • IT modernization – The development and modernization of IT software, hardware, infrastructure, skills, and processes

The benefits of such programs, of course, can be very wide-ranging.

A few can include:

  • Increased efficiency and effectiveness of business processes
  • Enhanced competitiveness
  • Greater top- and bottom-line profits

Today’s organizations rely heavily on IT.

And, fortunately or not, technology is continually evolving.

This means that continual change is necessary, which presents great opportunities for innovative companies.

What’s the Bottom Line?

Organizational change generates great results, when managed well.

As mentioned, every program has a different aim. 

However, change programs also impact multiple areas simultaneously.

As a result, a well-managed change project can generate results such as:

  • A more attractive, more fulfilling work environment
  • More efficient workflows and systems
  • Enhanced employee productivity, competency, and skills
  • Lower costs
  • Higher returns on targeted business functions

Achieving these benefits, of course, is not guaranteed.

Effective change management, however, greatly improves the chances of success – and it can dramatically increase ROI across the board.

Chris is the Lead Author & Editor of Change Blog. Chris established the Change blog to create a source for news and discussion about some of the issues, challenges, news, and ideas relating to Change Management.