On track for successful change management

August 31, 2023

By: James Clasper

To amplify or mitigate the reputational impact of a leadership change, companies should track what their stakeholders think and feel – in real time. Here’s why.

Change is the only constant in life – and that includes the boardroom. From management shake-ups to leadership switcheroos, change is as inevitable to corporate life as casual Fridays and cringy away days.

Many corporate transformations fail, however. Why? There are usually many reasons, from poor communication to a lack of employee buy-in.

All too often, companies realize the problem all too late – because they don’t know what their key stakeholders think.

Which is why any company looking to make, say, a leadership change should be tracking the perceptions of its stakeholders in real time.

Here are no fewer than 10 benefits you get out of it.

🚨 Real-time tracking is an early-warning system

Companies can spot problems or challenges as they arise.
- Stakeholders may express concerns, frustrations, or uncertainties, which can be addressed before they escalate into major issues

😒 It identifies pockets of resistance

Leadership changes are often resisted by stakeholders who are uncomfortable or unhappy with the proposals.
- Monitoring perceptions can identify any resistance – enabling companies to address concerns, communicate effectively, and gain buy-in from stakeholders.

🎯 It improves corporate communications

Understanding how stakeholders feel helps companies tailor their communication strategy.
- Knowing what stakeholders value, their concerns, and their preferred communication channels, companies can provide information in a way that resonates with them and fosters positive engagement.

🤝 It enhances trust and credibility

Monitoring – and responding to – stakeholder perceptions demonstrates a commitment to being accountable and responsive to their needs.
- This can help maintain or enhance trust and credibility with stakeholders during times of change.

♟️It improves the strategy

Feedback from stakeholders during a leadership change can reveal how well the change-management strategy is working.
- Companies can adjust their strategy in real time and increase the likelihood of a successful outcome.

✊ It boosts employee engagement

Employees are essential stakeholders during leadership changes.
- Monitoring their perceptions and addressing their concerns can lead to higher levels of employee engagement, productivity, and morale, reducing the negative impact of the transition.

📈 It enhances decision-making

Stakeholder perceptions can offer unique insights into the potential implications of leadership changes.
- These can be factored into the decision-making process – leading to more informed and well-rounded choices.

🧐 It improves media relations

Leadership changes usually lead to greater media scrutiny – and sometimes to negative coverage or public perception.
- By proactively monitoring and managing stakeholder perceptions, companies can reduce potential reputation risks and negative publicity.

🥊 It shows what’s working – and what isn’t

Monitoring stakeholder perceptions allows companies to accurately gauge the success of their leadership change.
- Positive feedback can reinforce successful strategies, while negative feedback can highlight areas that need improvement.

🔮 It improves any future changes

Insights gained from monitoring stakeholder perceptions are invaluable for future strategic planning.
- Learning from previous changes can help companies to improve and refine their approach to future transitions.

The bottom line?

Real-time tracking of stakeholder perceptions is crucial to change management. It helps companies undergoing a leadership change adapt better, communicate effectively, and ensure a smooth transition while fostering positive relationships with stakeholders.