ReportWire

Tag: Change Management

  • Your Workers Probably Think You Stink at Managing Change. Here’s How to Fix That

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    “Intelligence is the ability to adapt to change,” according to renowned physicist Stephen Hawking. By that measure, the average manager is duller than a dusty rock orbiting a distant moon, according to new research that shows how bad organizations are managing change. Data from Virginia-based management consulting firm Eagle Hill Consulting found that a huge majority of employees across the country, across generations, feel this way about their employer. The news may prompt you to change how you communicate with your workers when big changes are afoot.

    In fact, in Eagle Hill’s survey of over 1,400 full-time and part-time U.S, workers, some three in every four workers feel this way—a statistic so large it can’t be an anomaly, nor easily dismissed as sour grapes complaints from disgruntled staff whose companies have undergone changes. 

    There’s some stark variations in the data though, with different generations having very different feelings about organization-wide changes, marking what Eagle Hill’s press release calls “generational divides, including differences in enthusiasm, stress, motivations, and perceived benefits of change that dramatically shape how employees experience transformation.”

    Gen-Z, the data show, is the “most optimistic workforce cohort” when it comes to change, with 70 percent saying “process changes made their organization better.” Only 45 percent of Baby Boomers feel the same, compared to just 36 percent of Gen-X workers (the weary “forgotten” generation that’s busy trying to juggle work-life balance and being the first generation caring both for their kids and aging parents at the same time.) Eagle’s data shows just how disheartened Gen-X is, with just three percent saying that “return-to-office changes improved their organizations” representing the “largest generational gap in the survey.”

    When it comes to feeling supported during change, the older generations also seem to feel worse: with just 18 percent of Baby Boomers saying their organization makes change easy to “embrace,” and only 20 percent of Gen-X agreeing. 

    Change, like launching work habit-upending tech like AI, mergers or dramatic business pivots, can be emotionally challenging, of course, and workers turn to their colleagues and workplace friends for support under transformational situations. More than one in four Gen-Z workers say workplace friends are their “most influential change supporters,” but just 23 percent of Millennials agree, and only 11 to 12 percent of older workers feel this way (again supporting the notion older workers are tired out, as well as underlining a trend that says the “workplace bestie” is a fading phenomenon.)

    The press release quotes Melissa Jezior, Eagle Hill’s president and chief executive officer explaining that the “findings point to a fundamental shift: a one-size-fits-all approach to change management is no longer sufficient.” If company management wants to make changes and see them “stick,” with renewed business habits and even cultural changes, leaders must tackle it as a “multi-generational experience, anchored in a shared purpose and tied to the different motivations, needs, and expectations that each generation brings to work.”

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    Kit Eaton

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  • 5 Tips for Leading a Successful AI Transformation

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    I heard someone recently say you can’t mandate a mentality. That’s what I think about when I consider the intense push by company leaders to drive AI adoption among their employees. While I personally love AI and it’s been a force multiplier, I also recognize that not everyone is like me.

    All said, if the goal is to drive adoption, In their fervor to win the AI race, I think many organizations have skipped several critical steps crucial for a successful effort.

    The Missing Foundation: Change Management

    That first step is change management — the structured approach to transitioning individuals, teams, and organizations from their current state to a desired future state. We talk all the time about change management in business parlance, but in our zeal to beat others out the door, these fundamental principles seem to be set aside.

    That’s a mistake.

    Research from McKinsey shows that 70 percent of change programs fail to achieve their goals, largely due to employee resistance and lack of management support. Adopting AI, like any other major initiative, is a change management process. Mandates are rarely universally accepted, and this top-down approach is often met with significant resistance.

    I’ve written about effective change management and how to communicate change, but if we want to boil down the basics: tell people the who, what, when, why, and how with deep emphasis on “what’s in it for me,” “why are we doing this,” and “why will this help us.”

    The Current Reality

    That’s not what many organizations are doing. Organizational leaders are shifting to AI with the rationale of “because I said so.” For many, that’s not sufficient as I often say, absent a narrative, people will create one. Leaders need to provide the why, the rationale, and give people the larger vision so they know how to engage with AI.

    Transformation without adequate motivation is stagnation but transformation with shared vision becomes sustainable momentum.

    5 Essential Questions for a Better Approach 

    So how do we go about it? The answer lies in thoughtfully addressing five fundamental questions before rolling out any AI initiative.

    1. What: Define the Problem You’re Solving

    The first question is: what are we solving for? If you don’t know what you’re solving for, how can you ask staff to embrace AI tools if you don’t even know what it’s leading to? First, figure out what you want to solve. That’s the “what.”

    2.  Who: Identify Your Audience
    After you figure out what you’re solving for, you need to determine to whom it applies. AI is not a panacea, and there probably should be specific departments with legitimate use cases identified. For the problem you’ve defined, determine the audience who will be most impacted and who needs to be involved.

    3. Why: Provide the Motivation
    The next aspect is the “why.” People need inspiration, people need motivation, people need to understand why you’re asking them to do what you’re asking them to do.Treat people like adults and give them the reason(s). You can’t just say “because I told you so.” That’s empty, it’s unhelpful, and less than inspiring.

    4.  When: Establish Clear Timelines
    Then there is the “when.” When are we trying to get it done? What’s the timeline for this? Because we know what the problem is and what we’re solving for, there should be a date for when we solve it or accomplish a milestone. If you can’t say when, then it remains open-ended forever, and that’s also less than inspiring.

    5. How: Map Out the Execution
    And finally, there is the “how.” This is probably the most underrated of the who, what, when, why, and how construct, but how are we going to do it? There should be clear instructions for how we’re going to achieve the goal. That means thinking about timelines, tools, milestones, rules, responsibilities, owners, contributors, and mapping that all out. People need to know what tools they are using and what those tools will help them achieve. And they may need to be trained on the tools.

    What I see far too often is a tool morass, a chaotic proliferation of AI platforms and applications with no clear guidance on which tool serves which purpose, no integration between systems, and no coherent strategy. Employees become overwhelmed by the sheer number of options and paralyzed by uncertainty about which tool to use for their specific needs. This confusion breeds frustration and resistance, ultimately undermining the entire adoption effort.

    Define the tools, the timeline, the anticipated outcomes, and the measures of success. This means investigating tools thoroughly, understanding how they interplay with existing systems, setting clear strategy and guardrails, and choosing company-right tools rather than a scattershot ‘AI everything’ approach.

    Management, Not Mandate

    You can’t mandate a mentality. You can’t force and reasonably expect people to embrace AI simply because leadership declares it’s important. What you can do is create the conditions for meaningful adoption by treating your people like adults, giving them context, purpose, clear guidance, and a compelling reason to change.

    The organizations that will win the AI race aren’t the ones that move fastest out the gate with mandates and pressure. They’re the ones that take the time to bring their people along on the journey, building genuine buy-in and capability at every level. That’s not just good change management, it’s smart leadership.​​​​​​​​​​​​​​​​

    The opinions expressed here by Inc.com columnists are their own, not those of Inc.com.

    The final deadline for the 2026 Inc. Regionals Awards is Friday, December 12, at 11:59 p.m. PT. Apply now.

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    Bernard Coleman

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  • Why ‘Change Management’ Almost Always Fails (and How to Do It Right)

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    “If ever there is a misnomer, it’s change management. It rarely causes change—and it’s almost always mismanaged.”

    That’s how Phil Gilbert, former head of design at IBM, opens his new book Irresistible Change: A Blueprint for Earning Buy-In and Breakout Success.

    Gilbert argues that most change efforts fail because they rely on the wrong mental model: a mix of top-down mandates and one-size-fits-all training. Real transformation comes from willing adoption, he says.

    “Our CEO never required even one of our 400,000 people to change,” Gilbert recalls. “Instead, we designed a program introducing change that people chose to adopt, in the same way they would adopt any great product or service. In a word, we made change irresistible.”

    Here are three strategies from Irresistible Change that leaders can use to make culture change stick.

    1. Brand it like a Louis Vuitton

    Most change efforts are framed around the mechanics, like an “AI First” initiative. Gilbert says that’s a mistake.

    “When you call a transformation a specific method or technology, you not only tend to focus too much on that one thing, but you also inherit all the baggage people already associate with it,” he explains. “When you brand it properly, you get to define what it means for your culture—and you gain permission to influence parts of the organization far beyond the technology itself.”

    At IBM, the transformation program was given the intentionally neutral name “Hallmark,” and into that vessel the values underpinning the transformation were poured. Hallmark became a cultural movement about how IBMers worked together to serve clients better—a premium brand, the gold standard for how teams worked.

    Leaders can borrow this play: brand your transformation. Make it stand for something deeper than a technology or process. Clarify what values it expresses, not just what techniques it uses. This is as relevant for today’s AI efforts as it was for IBM’s design transformation.

    2. True stories, not evangelism

    Most leaders evangelize change: big vision decks, mass emails, and quarterly town halls—all promising a beautiful but abstract future. Gilbert says this misses the point.

    “Communication isn’t about selling a vision—it’s about building belief,” he explains. “Your teams don’t need promises. They need proof.”

    This is no different from how the world is changing. Madison Avenue visions of the future aren’t nearly as powerful these days as personal endorsements from social media influencers. The result was what Gilbert calls “pull”: people wanted in because they heard directly from their trusted peers.

    From the earliest days, Gilbert’s team interviewed people who’d opted into the program, then packaged their stories into short videos and posts shared across internal channels. The people doing the work described—in their own voices—how their work and lives were changing, and why it mattered to their clients.

    For leaders elsewhere, the lesson is clear. Instead of evangelizing possibilities, build demand through first-hand accounts of success.

    3. People + practices + places = outcomes

    More than any single tool, culture affects outcomes. Gilbert reveals how he came to understand what culture is made of, and how he developed his formula for scaling culture change.

    “Culture is a three-legged stool of people, their practices and the places they live and work,” he says. “If you want new outcomes, you’re going to have to adjust all three.”

    New skills are often required during change, but they’re often introduced to people incorrectly. “This isn’t about counting how many people have been trained, it’s about measuring true behavior change,” Gilbert says. This can only happen by driving sustained adoption of new tools inside real-world teams, not the “quick win” approach of temporary “tiger teams” or innovation centers sitting outside the core business.

    Practices include not only the tools and methods of teams, but also the systems they operate within. Many, like HR, budgeting, or performance dashboards, are built to reinforce the status quo. If you introduce new skills and tools but don’t update upline metrics or promotion criteria to reward their use, adoption will likely stall.

    Places include both physical and remote environments, and their design can either reinforce old norms or signal new ones. For example, Gilbert’s team created a new language for IBM’s physical workspaces that challenged traditional silos and forced human interaction.

    For leaders elsewhere, the lesson is simple: if you want new outcomes, there must be changes well beyond inserting a new tool. Organizations, like any system, are built to reinforce the status quo. To achieve real change, you have to loosen that grip. Align people, practices, and places so they all pull in the same direction.

    The bottom line

    Gilbert’s message is clear: lasting transformation doesn’t come from mandating compliance. It comes from making change irresistible. That means treating change like a premium product: one that people choose to adopt. Irresistible Change offers leaders a practical playbook for doing just that.

    The opinions expressed here by Inc.com columnists are their own, not those of Inc.com.

    The early-rate deadline for the 2026 Inc. Regionals Awards is Friday, November 14, at 11:59 p.m. PT. Apply now.

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    Marcel Schwantes

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  • 3 Critical Steps Companies Like LEGO Take to Manage Change

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    As I’ve written, you can’t just force sustainability. It is, after all, a big change.

    But it’s possible to make your business more sustainable with the right approach. Companies like Lego, Patagonia, and Unilever, have managed to successfully integrate sustainability into their businesses, and by studying their strategies, it’s possible to identify three key elements to a successful sustainability implementation.

    You’ll need a clear purpose that inspires action, incentives that reinforce values, and governance that ensures consistency over time. 

    Align With Your Purpose

    Policies and commitments gain meaning when they are paired with purpose. Purpose gives direction and meaning to collective work. And so driving real change in an organization means creating a shared mindset rooted in the company’s values, mission, and purpose.

    Bringing purpose into change management demands coherence between what the company communicates and what it actually does.

    Strategic choices, innovation processes, and relationships with stakeholders should align with the impact the organization seeks to generate. This alignment strengthens credibility, guides decision making and helps every team understand how their efforts contribute to broader impact. 

    Patagonia illustrates how purpose can shape practice. In 2022, the company transferred its ownership to two entities created to channel all profits toward environmental conservation. It also offers the Environmental Internship program, allowing employees to work with environmental organizations while maintaining their salary. These initiatives show how purpose can guide decisions, motivate participation, and nurture a culture grounded in impact. 

    Align Incentives With Purpose 

    Incentives reveal what truly matters to an organization. A shared purpose and belief is the foundation of change. But belief doesn’t define behavior. What gets measured and rewarded defines behavior.

    Integrating environmental and social criteria into performance and compensation systems helps create a culture where sustainability is managed with rigor and consistency. When sustainable results are part of performance evaluation, teams understand that their choices have tangible consequences.

    This approach encourages shared accountability, promotes collaboration, and strengthens the link between collective goals and individual contributions. It also ensures sustainability remains central to business priorities rather than confined to specialized departments. 

    LEGO advanced in this direction by introducing a carbon indicator tied to annual bonuses for salaried employees. This integration embeds emissions reduction into personal objectives and sends a clear signal: improving environmental performance contributes directly to the company’s success. Such measures turn sustainability into a visible, measurable, and motivating commitment. 

    Maintain Accountability With Governance 

    While incentives and purpose drive behavioral change, governance provides the third key ingredient: structure.

    Governance means defining responsibilities, setting oversight mechanisms, and integrating sustainability in decision-making beyond leadership cycles. Incorporating sustainability into governance strengthens alignment between business goals and the actions needed to achieve them. 

    A solid framework enhances coordination, facilitates progress tracking, and promotes accountability. It also positions sustainability as a strategic dimension of the business, integrated into long-term planning, risk management, and talent development. 

    Unilever exemplifies this approach. The company embeds sustainability into decision-making through dedicated committees and regular performance reviews. It also relies on an independent advisory council that brings external perspectives and ensures transparency. This model allows environmental and social objectives to be managed with the same rigor as financial results. 

    The opinions expressed here by Inc.com columnists are their own, not those of Inc.com.

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    Antonio Vizcaya

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  • A blueprint for leaders: How Allegis Group unlocks, sparks and drives AI innovation – Microsoft in Business Blogs

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    At Allegis Group, empowerment is a mindset. As a global leader in workforce and business solutions, the organization has a common purpose: to create significant opportunities for people and companies to grow and thrive.  

    That purpose drives how Allegis Group operates both externally and internally. When generative AI began reshaping the business world, the organization didn’t wait on the sidelines. Instead, it leaned in and asked: 

     “How can AI help us work better and faster?” 

    What began as a spark of curiosity quickly ignited a movement, reaching HR, operations, IT and delivery teams to reimagine how work gets done. 

    Turning excitement into confidence  

    Here’s what made progress real: 

    • Education-first rollout. Teams got hands-on through demos, pilots and safe environments that made AI approachable. From rewriting Outlook emails with Microsoft 365 Copilot to extracting insights with Azure AI, employees were encouraged to ask, “what if?” and see what was possible. 
    • Leadership-driven transformation. Senior leaders didn’t just endorse AI, they championed it. With backing from the CIO and enterprise architects, AI became a clear priority, giving teams confidence to experiment and adopt new workflows. 
    • Culture of exploration. Curiosity was celebrated. Managers invited AI ideas into team discussions, and employees shared creative use cases that built momentum across departments. 

    “We weren’t focused just on leveraging the technology,” explains Pervez Nadeem, Chief Enterprise Architect at Allegis Group. “Our goal was to reshape processes, remove inefficiencies and free people from the routine tasks that can slow them down.” 

    Real change, real results 

    • Faster time-off requests. PTO calculations that previously took an average of 31 hours now close in just 13 hours with 100% accuracy, thanks to an AI-powered solution built on Azure AI.
    •  Smarter translation at scale. With the Azure AI-based Allegis Language Translation Assistant translations now happen in minutes, saving an estimated $1.5 million year-to-date and ensuring consistency across regions.
    • Everyday productivity. Administrative tasks are now streamlined with Copilot in Microsoft 365 apps and Teams, empowering employees to redirect their time and energy toward the work that matters most.
    • Better candidate experiences. As demand for digital skills accelerates, Allegis Group uses AI to match candidates with personalized job recommendations, speed up onboarding and improve communication, helping customers in every industry connect with top talent faster. 

    “AI is helping us move problems out of the backlog and tackle them faster,” says Anshuman Jain, Enterprise Architect for AI, Allegis Group. 

    Kelly Quick, Compliance Controller at one of Allegis Group’s companies adds: “AI also makes our work more efficient, giving us time back for critical thinking, deeper data analysis and better interactions with colleagues”. 

    The new mindset: AI as a co-pilot 

    For Allegis Group, this is just the beginning. With strategic support from Microsoft and implementation guidance from TEKsystems Global Services (TGS), Allegis Group’s internal systems integrator and a trusted Microsoft partner, the organization is building on its foundation with: 

    • Multi-agent solutions for complex workflows 
    • AI-powered training and onboarding experiences 
    • Intelligent search and knowledge assistance at scale 
    • Enterprise-wide innovation, where every new solution becomes a stepping stone for the next 

    At its core, Allegis Group’s AI journey shows that when people and technology work hand in hand, the results ripple outward. Customers benefit from faster placements, higher retention and cost savings. Candidates gain more personalized opportunities, smoother onboarding and stronger support throughout their careers.  

    Allegis Group_Assets_Quote 1

    By putting AI to work across its business, Allegis Group is reimagining how work gets done internally and reshaping the future of professional services.  

    Read the full case study to see the transformation in action.

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    Microsoft in Business Team

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  • 3 Key Trends that Can Signal Change | Entrepreneur

    3 Key Trends that Can Signal Change | Entrepreneur

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    Opinions expressed by Entrepreneur contributors are their own.

    Entrepreneurs and small and medium-sized business (SMB) owners are typically lauded for their abilities to operate agile companies that flex and grow with changing market conditions, resulting in sustained business success. Whether during times of prosperity or adversity, they are often the trailblazers who forge a path into unknown territory and develop innovative products, services and solutions to swiftly address opportunities or issues, which help pave the way for longevity in the marketplace.

    Savvy leaders understand that operating based on the status quo is not an option but rather adhere to the mantra that change is vital to their existence and success. Due to their size, SMBs have a significant advantage with regard to embracing change because leaders often recognize positive/negative trends within their client base sooner, which typically become indicative of the global marketplace in general. This knowledge enables them to act quickly by making informed business decisions/adjustments to meet the current state of business.

    As entrepreneurs and SMB leaders continue to remain relevant, they should be aware of three key events that can signal a change to business operations — shifts in the economy, deviations in the competitive landscape and fluctuations in the labor market.

    Related: How Agility and Resiliency Help Small and Medium-Sized Businesses Succeed

    1. Economic conditions

    Tracking economic conditions is central to business operations because inflation, interest rates, tax rates, supply/demand, consumer confidence and more dictate numerous aspects of business operations – from product pricing and employee wages to advertising/marketing and company growth – impacting a company’s bottom line.

    When leaders keep economic conditions top of mind, they are better equipped to make informed decisions about increasing profits and reducing losses. For example, during good economic times, expanding product/service offerings, increasing pricing and bumping advertising/marketing budgets can help boost revenues. During a poor economy, a greater focus on controlling expenses, streamlining processes and seizing missed opportunities can help companies weather the storm.

    In both scenarios, people-focused business leaders realize that economic conditions significantly impact employees from a professional and personal perspective, so taking care of their people — a company’s most valuable asset — is paramount, including financial assistance/perks, clear communication, mental health/wellness programs and unwavering support. When employees are treated as valued members of a team, engagement and performance increase resulting in a positive effect on the bottom line.

    2. Competitive landscape

    While business leaders should always be aware of the competitive landscape and make decisions accordingly, there are certain situations that may justify changes to business operations that can be a differentiating factor in the marketplace. Companies can explore opportunities to invest in new programs, such as introducing a new product/service, developing brand ambassadors, forming strategic alliances, boosting industry-related technology and increasing customer service initiatives.

    If there are budget constraints, there are still ways for SMBs to make changes to help them stand out in the crowd, such as positioning themselves as thought leaders for editorial opportunities, speaking engagements at tradeshows and panel discussions facilitated by trade associations. Companies can also become more active on social media platforms to increase their influence in the marketplace. Volunteering in local communities is another way to not only give back, but also increase brand awareness and a company’s reputation.

    Significant changes in the competitive landscape can impact employees who may want to jump ship for perceived better opportunities. SMBS must create and nurture a company culture that encourages employee retention through training and development programs, mentoring programs and defined career paths. They should point out ways that SMBs not only feel like family, but also how they offer greater access to executive leadership and faster advancement opportunities with more responsibilities.

    Related: The Tech Landscape Has Changed and It’s Time Tech Leadership Change With It.

    3. Labor market

    Even before the ramifications created by the Great Resignation and/or the Great Reshuffle, SMBs were no strangers to the challenges of the labor market. Historically, they have competed with larger companies for top talent, but the still-tight labor market continues to add another degree of difficulty to attracting and retaining employees. According to the most recent report by the U.S. Bureau of Labor Statistics, the number of quits was just under 4 million in March.

    Although SMB leaders are conditioned to the challenges, it should inspire many companies to change their recruitment strategies to attract top talent. For example, implementing employee referral programs; using social media to reach qualified candidates; improving the process to treat applicants with respect; and offering internships that lead to permanent employees are ways to fill open positions.

    Of course, one of the best ways to address the labor market is to have a great culture that employees want to be a part of, resulting in increased employee retention and a pipeline of job seekers. When employees are taken care of from an individual and professional standpoint with programs that address health/wellness; financial perks; reskilling/upskilling; career paths within the company; and flexible/hybrid scheduling, it brings out the best in them and leads to a loyal, long-term workforce.

    As entrepreneurs and SMB leaders position their companies for the second half of 2023, they should evaluate their business operations to identify areas where change can be leveraged to address fluctuating market conditions for optimal results, further demonstrating their agility and resilience in the economy.

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    Steve Arizpe

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