Change is Good…and Hard.

Change is Good…and Hard!?

Change. Evolution. Pivoting. Semantics aside, this is the topic that has been on my mind lately. As leaders, navigating change is a necessary part of the business equation…but change is HARD. This is an obvious statement, of course—Bain, McKinsey, and others have reported that more than two-thirds of corporate transformation efforts fail, with the implication that it's because change is not properly managed. Given that change is inevitable, we as leaders need to consider a handful of key factors to ensure success:?

1. Change is good, but we must first outline what should never change.

Leaders sometimes jump into change headfirst and start touting all the amazing things that will happen when "everything" changes, without taking time to establish what will NOT change. This perspective urging dramatic transformation on all fronts is not only wrong, but dangerous. Companies that have navigated change successfully have been very thoughtful about outlining what WILL change and what WON'T change—in doing so, they show the organization that the core values and mission of the company are constants. There is a fundamental difference between your values and mission and everything else. Strategy can change. Day-to-day practices can change. Team structures can change. But values and mission should not. If they do, that can lead to the wrong type of change. So, how can we tell the difference between important values versus practices that can change? I like this quote differentiating ideology from strategy:??

“Understand that a core ideology does not arise from the pursuit of competitive advantage. Valuing freedom might be a competitive advantage for the U.S., but that is not why we embrace this belief. A true core value is something you would hold even if it became a competitive disadvantage (although that seldom happens).....if the world changed such that you were penalized for this tenet, would you continue to hold it? If so, then it is probably part of your core ideology.”

-James Collins, co-author of Built to Last: Successful Habits of Visionary Companies?

2. Managing change is incredibly challenging and requires full leadership buy-in.

This one is simple. For change to work, everyone needs to be bought in and committed. Leadership needs to be fully aligned on what will change, how it will impact the organization, and how to react. Change often fails because leadership teams are not aligned.

3. Performance integrity—i.e. assessing if changes are working—is important.

The assumption that "change is good" needs to be tested and measured. You must be intentional about the things you change, but then make sure the changes are actually working. During times of transformation, great leadership teams spend time coming up with measurement strategies, organizational report-outs, and holding themselves accountable to change metrics.??

The topic of change has been top of mind for me since Misfits Market announced its intention to acquire Imperfect Foods. This week, I’m excited to announce that our acquisition of Imperfect Foods has officially closed and we’ve become one company. This is a transformational combination that puts us on a path to profitability and one step close to building a more affordable and sustainable grocery experience.??

In the coming months, our organization is going to face a lot of changes: changes in business priorities and objectives, changes in team workflows, and changes in team dynamics and organizational structure. By understanding the aforementioned key factors and aligning our leadership, our expectation is that this change is all for the better—that it helps us build a better business and accelerate our mission in powerful ways.

t;ldr - change is great, but hard, and requires real effort to work

During the days and weeks ahead, I plan to share more on LinkedIn. I'd love to hear more about how you've managed change in your organization. Drop a note about what's worked for you.