'Transforming' Transformations: An Emotional Blueprint for Change

Every organization is in the midst of some transformation or the other. Some are integrating AI/ digital furiously, some are embracing agility, others are launching restructuring efforts to become leaner (and meaner), while others are focused merging, acquiring, or divesting their portfolio. All such endeavors are launched as a part of the organization's strategies to make themselves faster, bigger, stronger, leaner, smaller, agile, productive, global, local, and what have you. Strategies that hatched and launched at the central HQ, sometimes by the leadership themselves, and sometimes with the help of their favorite consulting firm. The operationalization of the strategy is termed 'transformation'.

But 'transformation' is where the pain begins.

We all know that 70% of all transformations fail. At least that’s what the consultants tell us (https://www.mckinsey.com/capabilities/transformation/our-insights/why-do-most-transformations-fail-a-conversation-with-harry-robinson ). But wait- that is not the full story: Strategies are 90% head, 10% heart. Transformations, on the other hand, are 90% heart and 10% head. The most brilliant strategy with a bad ‘change management’ or a transformation plan has no chance to succeed. Yet, most organizations spend all their time and energy on elegant strategies, and yet hardly anytime on thinking through transformations. No wonder the initial launch of transformations soon turns into frustrations from all sides. Bosses feel frustrated with the ‘resistance to change;’ employees experience fear, pain, and fatigue.

Approaching ‘transformations’ like the way we do ‘strategy’ is a colossal mistake. Organizations often have strategy departments, or even C-Suite level strategy leaders. The real transformation does not happen in the intellectual realm, it happens in the emotional realm. Yet, time and again, organizations are often seduced by the intellectual excitement of a strategy, and do not factor in the emotional turmoil of making it come alive in the organization.

Consequently, therefore, a distinctly different approach is required—one that challenges conventional wisdom about leading transformations. Here are four foundational principles one could think of before embarking on transformations.

Principle No. 1: Transformations are not a ‘cascade’, they need to be ‘activated’: Organizational transformations cannot merely be pushed down through the hierarchy; they need intentional activation. Employees must feel they have 'authorship' in the transformation, understanding its implications, and how they will be supported. They should be encouraged to engage and shape the process.

One of the exercises that I use to help employees grapple with transformation is making them imagine that any transformation is like moving to a new home. Each home comes with some things one need to discard, and new things to look forward. This discussion leads the employees to understand the real scope/magnitude of change and how it affects them at an individual level. It also helps both the organization and the individual figure out what to do about the issues that need to be resolved.

Here is the template I use to help employees navigate the change:

Principle No. 2: Start with Pride, not Fear: Leaders often mistakenly instigate fear to drive transformation. However, this approach is more likely to paralyze than motivate. That maybe ok to create a business case, but to create an employee case, you start at a different place. Statements like, 'Embrace digital or die', only create anxiety in change and not an impetus for change. Employees automatically go into flight or fight mode, and rather than it creating a sense of urgency for change, it holds people back.

Instead, start the activation process by activating pride. “What are you proud of,” “what should we hold precious,” “who are we- really,” helps make people understand their core identity. Employees must fully experience ‘what is’ before embarking on ‘what maybe.’ This kind of discussion unleashes the positive energy and unfreezes employees. The next question could then be “who we want to be,” and “what should we do to change.” This is where one can make the business case for change and allow the employees to process it and join in the thinking of what needs to be changed. Often, organizations have already decided the blueprint of change, without recognizing what it means to the people. By having a broader conversation, clarifying the outcomes, and allowing for the employees to navigate to the future state on a platform of pride than fear may take time, but would be faster than meeting with resistance to change.

Principle No. 3: The Four ‘Ps’: Rarely do any transformation process go smoothly as per plan. This is but natural given that it is a very human process, with all the ups and downs associated with it. Employees may quit, or some may sue, the context may change- there may be several reasons why it may not go as per plan. Managing the unexpected is a part of the transformation journey. To do this, I would recommend the use of four ‘Ps’, recommended by my good friend, Prof. Hitendra Wadhwa at Mentora Institute When confronted with anything or any person that prevents you from moving forward, Professor Wadhwa recommends four strategies, “Push, Pull, Pause or Pivot.” But not stop! Adapt, adjust, and keep moving. I love this framework (and it is just one of the many Prof. Wadhwa uses in his teachings) because one it can be used in many ways. Just as individuals can use it to manage resistance, organizations too can use it when hitting a roadblock on transformations.

Principle No. 4: Do you have a TMO? Many organizations have a strategy officer, some even a strategy management office. But have you ever wondered why we don’t have a ‘transformation management office’? Given the fact that your chances of failure of a transformation effort is 70%, I wonder why organizations who spend so much money on strategy, don’t have a small TMO that just manages the dynamics of the transformation. An effective TMO helps operationalize the previous 3 principles, so that they ‘heart’ in the transformation process (remember this is 90% of the equation) is consciously managed.

In conclusion, organizations are a collective of human emotions. Harnessing these emotions positively can make change smoother and more effective. While the principles outlined here are not exhaustive (and you may offer more), nor are they appropriate for every transformation, they offer counterintuitive insights that could give transformations a chance to succeed.

Do you agree?