{"id":1466,"date":"2009-09-03T14:49:51","date_gmt":"2009-09-03T21:49:51","guid":{"rendered":"https:\/\/staging.opexlearning.com\/resources\/?p=1466"},"modified":"2014-10-08T14:47:54","modified_gmt":"2014-10-08T19:47:54","slug":"turnaround-and-change-management-do-not-waste-a-good-crisis","status":"publish","type":"post","link":"https:\/\/staging.opexlearning.com\/resources\/turnaround-and-change-management-do-not-waste-a-good-crisis\/1466\/","title":{"rendered":"Change Management Model and Turnarounds &#8211; Use a Crisis to Increase Urgency"},"content":{"rendered":"<div class=\"a296a24fa2fc69ef5487857f02f111e8\" data-index=\"9\" style=\"float: none; margin:10px 0 10px 0; text-align:center;\">\n<script async src=\"\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js\"><\/script>\r\n<!-- Single Post readerboard -->\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:inline-block;width:728px;height:90px\"\r\n     data-ad-client=\"ca-pub-8207522353004717\"\r\n     data-ad-slot=\"1144967431\"><\/ins>\r\n<script>\r\n(adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script>\n<\/div>\n<p>I&#8217;ve been part of several turnarounds and have led a few in my short career. One thing that I&#8217;ve learned is this: one cannot underestimate the people-side of a turnaround.\u00a0 In fact, it&#8217;s very likely that your <a title=\"why transformation efforts fail\" href=\"https:\/\/staging.opexlearning.com\/resources\/why-transformation-efforts-fail\/1510\/\">turnaround will fail<\/a>, <a title=\"resistance to change will lead your transformation effort to fail\" href=\"https:\/\/staging.opexlearning.com\/resources\/resistance-to-change\/9133\/\">if your people aren&#8217;t with you<\/a>.<\/p>\n<p>In this article, I&#8217;ll share a simple, pragmatic model that has proved effective for me in the past and, in proceeding blog posts, I&#8217;ll show several examples of how you can implement this model in your various turnaround efforts &#8212; from very small to very large.<\/p>\n<h2><span style=\"color: #800000;\"><strong>A Crisis<\/strong><\/span><\/h2>\n<p>Most turnaround efforts begin with a recognition that the business is in trouble.\u00a0 This recognition typically comes through the review of a troubled balance sheet, or struggling EBITDA numbers or losing several key customer accounts simultaneously.\u00a0 These are decent indicators, but they are clearly lagging indicators.\u00a0 Most likely, the morale of the organization &#8212; if one has the awareness and the sense to feel &#8212; is a more accurate leading indicator for the health of a company.\u00a0 Indeed in some cases, morale precedes financial trouble.<\/p>\n<h2><span style=\"color: #800000;\"><strong>Creating Urgency<\/strong><\/span><\/h2>\n<p>Once awareness of a crisis is realized, then productively channeling, communicating, and creating a sense of urgency for the entire organization is the next and ongoing step.\u00a0 What the organization &#8212; what each person in the organization &#8212; will need to know, feel, and remember is found below:<\/p>\n<ol>\n<li><strong>How is the company doing<\/strong>: to be shared with complete, emotional honesty, and NOT intellectualized or sugar-coated in any way.\u00a0 In a crisis, the organization cares more about emotional connection, not about intellectual or detached positions from the leadership team.\u00a0 We&#8217;re all in this together should be the banner call.<\/li>\n<li><strong>This is what we&#8217;re going to do about it &#8212; short-term and long-term<\/strong>: An appeal and a return to company values can be very powerful here.\u00a0 Remind the troops of what made the company great, the values that underpin the behavior of everybody, and how those values will be a guiding light in how to navigate through the crisis.\u00a0 Then, be very specific about the steps to be taken and milestones we expect to reach and when we expect to reach them.\u00a0 Doing this will give confidence to the organization and will empower them to ask themselves <em>&#8220;How can I help?&#8221;<\/em> or <em>&#8220;What can I do?&#8221;<\/em><\/li>\n<li><strong>Here&#8217;s what you can do &#8211; specifically<\/strong>: Your employees will want to know exactly how they can help navigate the organization through the crisis.\u00a0 They are yearning to do something meaningful and important &#8212; help them find a way to contribute in a meaningful way.<\/li>\n<\/ol>\n<p>Your employees are adults and they can take bad news with dignity.\u00a0 Be honest.\u00a0 Don&#8217;t sugar-coat.\u00a0 Emotional connection is the key here; people will see right through any statement or behavior that isn&#8217;t authentic or sincere.<\/p>\n<h2><span style=\"color: #800000;\"><strong>The Plan and Change Management<br \/>\n<\/strong><\/span><\/h2>\n<p>Your plan should be very specific, addressing the key themes and parts of your company crisis.\u00a0 That plan will most likely require change &#8212; it has to: if you keep doing the things you were doing before the crisis, then you&#8217;ll just extend the crisis even longer.\u00a0 You must do things differently &#8212; which requires change management.<\/p>\n<blockquote><p>If you keep doing the things you were doing before the crisis, then you&#8217;ll just extend the crisis even longer<\/p><\/blockquote>\n<p>A simple model that I&#8217;ve used in past turnaround efforts &#8212; both big and small &#8212; is the model below:<\/p>\n<p style=\"text-align: center;\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-4456 \" title=\"change management model for turnarounds\" src=\"https:\/\/staging.opexlearning.com\/resources\/wp-content\/uploads\/2009\/09\/shmula-change-management.jpg\" alt=\"change management model\" width=\"797\" height=\"574\" srcset=\"https:\/\/staging.opexlearning.com\/resources\/wp-content\/uploads\/2009\/09\/shmula-change-management.jpg 1184w, https:\/\/staging.opexlearning.com\/resources\/wp-content\/uploads\/2009\/09\/shmula-change-management-600x432.jpg 600w, https:\/\/staging.opexlearning.com\/resources\/wp-content\/uploads\/2009\/09\/shmula-change-management-300x216.jpg 300w, https:\/\/staging.opexlearning.com\/resources\/wp-content\/uploads\/2009\/09\/shmula-change-management-1024x737.jpg 1024w\" sizes=\"(max-width: 797px) 100vw, 797px\" \/><\/p>\n<p style=\"text-align: center;\">\n<p>The model follows basic human development patterns of Unaware, Aware, Understand, Believe, and Act.<\/p>\n<p>In any change effort, you will probably have, in general, people that might be considered Saboteur, Fence-Sitter, and Fully-Committed.\u00a0 This model also explains the specific behaviors that define what it means to be Unaware, Aware, Understand, Believe, and Act.<\/p>\n<p>In proceeding blog posts, I&#8217;ll explicate on each role in this change model and how to build a strategy from it.<\/p>\n<!--CusAds0-->\n<div style=\"font-size: 0px; height: 0px; line-height: 0px; margin: 0; padding: 0; clear: both;\"><\/div>","protected":false},"excerpt":{"rendered":"<p>I&#8217;ve been part of several turnarounds and have led a few in my short career. One thing that I&#8217;ve learned is this: one cannot underestimate the people-side of a turnaround.\u00a0 In fact, it&#8217;s very likely that your turnaround will fail, if your people aren&#8217;t with you. In this article, I&#8217;ll share a simple, pragmatic model [&hellip;]<\/p>\n","protected":false},"author":12327,"featured_media":4456,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[225],"tags":[638],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v23.0 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Change Management Model - Use a Crisis<\/title>\n<meta name=\"description\" content=\"how to develope a good business turnaround, change management model, and help your people navigate through uncertainty\" \/>\n<meta name=\"robots\" content=\"noindex, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Change Management Model - Use a Crisis\" \/>\n<meta property=\"og:description\" content=\"how to develope a good business turnaround, change management model, and help your people navigate through uncertainty\" \/>\n<meta property=\"og:url\" content=\"https:\/\/staging.opexlearning.com\/resources\/turnaround-and-change-management-do-not-waste-a-good-crisis\/1466\/\" \/>\n<meta property=\"og:site_name\" content=\"OpEx Learning\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/get.shmula\" \/>\n<meta property=\"article:published_time\" content=\"2009-09-03T21:49:51+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2014-10-08T19:47:54+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/staging.opexlearning.com\/resources\/wp-content\/uploads\/2009\/09\/shmula-change-management.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1184\" \/>\n\t<meta property=\"og:image:height\" content=\"853\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Uday Kawar\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@shmula\" \/>\n<meta name=\"twitter:site\" content=\"@shmula\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Uday Kawar\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/staging.opexlearning.com\/resources\/turnaround-and-change-management-do-not-waste-a-good-crisis\/1466\/\",\"url\":\"https:\/\/staging.opexlearning.com\/resources\/turnaround-and-change-management-do-not-waste-a-good-crisis\/1466\/\",\"name\":\"Change Management Model - 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