Monday, July 8, 2013

The Network Secrets of Great Change Agents


Change is hard, especially in a large organization. Numerous studies have shown that employees tend instinctively to oppose change initiatives because they disrupt established power structures and ways of getting things done. However, some leaders do succeed—often spectacularly—at transforming their workplaces. What makes them able to exert this sort of influence when the vast majority can’t? So many organizations are contemplating turnarounds, restructurings, and strategic shifts these days that it’s essential to understand what successful change agents do differently. We set out to gain that insight by focusing on organizations in which size, complexity, and tradition make it exceptionally difficult to achieve reform.
There is perhaps no better example than the UK’s National Health Service. Established in 1946, the NHS is an enormous, government-run institution that employs more than a million people in hundreds of units and divisions with deeply rooted, bureaucratic, hierarchical systems. Yet, like other organizations, the NHS has many times attempted to improve the quality, reliability, effectiveness, and value of its services. A recent effort spawned hundreds of initiatives. For each one, a clinical manager—that is, a manager with a background in health care, such as a doctor or a nurse—was responsible for implementation in his or her workplace.
In tracking 68 of these initiatives for one year after their inception, we discovered some striking predictors of change agents’ success. The short story is that their personal networks—their relationships with colleagues—were critical. More specifically, we found that:
1. Change agents who were central in the organization’s informal network had a clear advantage, regardless of their position in the formal hierarchy.
2. People who bridged disconnected groups and individuals were more effective at implementing dramatic reforms, while those with cohesive networks were better at instituting minor changes.
3. Being close to “fence-sitters,” who were ambivalent about a change, was always beneficial. But close relationships with resisters were a double-edged sword: Such ties helped change agents push through minor initiatives but hindered major change attempts.
We’ve seen evidence of these phenomena at work in a variety of organizations and industries, from law firms and consultancies to manufacturers and software companies. These three network “secrets” can be useful for any manager, in any position, trying to effect change in his or her organization.
You Can’t Do It Without the Network
Formal authority is, of course, an important source of influence. Previous research has shown how difficult it is for people at the bottom of a typical organization chart—complete with multiple functional groups, hierarchical levels, and prescribed reporting lines—to drive change. But most scholars and practitioners now also recognize the importance of the informal influence that can come from organizational networks. The exhibit “Two Types of Workplace Relationships” shows both types of relationships among the employees in a unit of a large company. In any group, formal structure and informal networks coexist, each influencing how people get their jobs done. But when it comes to change agents, our study shows that network centrality is critical to success, whether you’re a middle manager or a high-ranking boss.

No comments:

Post a Comment