Planned change is a good thing. Planned change keeps the business relevant. Relevant to both customer and employee perception. Planned change communicates management is pursuing improvements to the organization. Effective and actionable change management reflects the quality of leadership, culture, and strategy.
Reactive change generally means existing conditions changed and management was unprepared. New conditions forced management to react. The result is customers see potential challenges to their orders. Employees see reactive change as a threat to their well-being.
Complacency has consequences. Those consequences sometimes keep organizations from being or remaining a preferred supplier. Complacency also impacts organizations in terms of product quality, service, and value.
Fear Factor
Fear is a basic human emotion. The level of fear is determined by the amount of risk. High risk, and the fear factor multiples for management and employees. Low risk and fear is manageable.
Employees generally fear change. And for good reason. First, they fear change because it might threaten their job and livelihood. Secondly, change often translates into dysfunction and chaos in the work environment when poorly planned.
Customers fear change because it might impact on their orders and supply chain. The customer may be forced to source their needs from other suppliers. Customer buyers have learned in this environment to source other suppliers and anticipate risk.
Good or Bad, Change Influences Customer Perception
Any change influences customer perception. Trust is the operational word. When customer scrutiny is negative, we invite competitors to the party. When the customer cannot depend on the supplier for their orders, they seek the security of predictable supply.
What is your organizations customer perception? The following are several key contributors to customer perception.
- Is your organization viewed as proactive, reactive, or inactive?
- Is quality and service predictable?
- Is innovation effective?
- Does the team communicate effectively and deliver value?
- What is the customer retention rate?
Good or Bad, Change Invites Employee Scrutiny
What history does your organization have regarding operational change? Is it coordinated and well planned, or reactive and dysfunctional? Employee perception establishes the quality of the culture.
- Is management viewed as proactive, reactive, or inactive?
- Does the organization support a healthy culture?
- Is quality, service, and value a key performance indicator?
- Is the organization objective or task driven?
- What is the employee retention rate?
Communication
Quality communication is a tremendous contributor to perception. Companies communicating a well-constructed message about change and improvements builds trust.
Positive trust is built on predictability. Quality communication signals management is challenging their organization to improve. When customers and employees understand the why and how, they generally take a positive view. And when conditions go off course, they trust management is working to repair the dysfunction.
Summary Recommendations
There are few secrets in most organizations. Employees are quick to recognize transparency, or the lack thereof. Customers are quick to see dysfunction in quality, service, and value. The following are four suggestions for management.
- Assess and prioritize the organization for barriers to customer satisfaction.
- Assess and prioritize the organization for barriers to employee culture.
- Strategize and develop a proactive plan for improvement.
- Communicate to employees and customers the why, how, and when of planned change.
About Us
Tacticware Business Systems is a provider of management systems, cultural systems, and strategic planning systems. Tacticware empowers organizations to reach new heights through assessment , training, communication, measurement, and actionable change. Each system supports critical thinking and processes to develop high-capacity organizations.
Article Author
Paul R. Fournier is President of Tacticware Business Systems. Paul provides customized business management systems to clients.
Book Author
Read our 5 Star rated book, Anonymous Cultures, Strategies in Culture Management and Leadership. Available from Amazon in paperback, hardback, Audible, and Kindle. Also available from Barnes and Noble, Apple Books, and other fine bookstores.
Contact Paul Fournier
- Web: https://tacticware.com
- LinkedIn: https://www.linkedin.com/in/paulrfournier1/
- Email: pfournier@tacticware.com
- Telephone: 913.499.1094