7 tips to a successful business turnaround for the new year
Business turnaround is tough.
Any leader who has been involved in business turnarounds will always tell it’s one of the hardest things they have ever done. It isn’t just figuring out what’s broken and finding the right strategy to address it; the most challenging part of a turnaround is to be able to successfully get your employees to buy in to your changes and then, to galvanise them to run with that change.
If you’re planning a turnaround for 2023, here are 7 points I gathered from the ‘How to Change Your Workplace’ episode from the podcast Work Life with Adam Grant.
1. Paint a vivid picture on why change is needed
Facts and figures of change can evoke strong “Why should I care?” feelings. Use stories and clear language instead. For people to be more open and receptive to change, they need to be moved emotionally.
2. Conduct a good diagnosis
Knowing is half the battle. Interview your stakeholders to understand what’s really going on at ground level. These stakeholders can be your employees, clients, partners, and suppliers. Ask these 3 questions:
What’s working?
What’s not working?
Suggestions to fix it?
The answers will guide your solutions.
3. Build on what’s already working
Look for the bright spots where your people are already working on a version of the change you want to see. For instance, instead of just looking at why sales are low, look at some sales individuals who are performing better than others. Find out what they’re doing right so you can try and spread those skills and methods across to other sales staff.
4. The plan doesn’t need to be perfect; it just needs to be good enough to get going
In other words, don’t spend too much time and resources on building the perfect boat - you will miss the tide completely. Sail your imperfect boat out now and patch the leaks along the way.
5. Who you put in the position of power is important
Be clear on your leadership expectations and non-negotiables. Who you place in the position of influence will determine the success or failure of the company.
6. Establish a sense of continuity
Research has revealed that people are more willing to embrace change and try something new as long as they don’t have to give up things that they love. Appeal to the values they already hold and work the change from there.
7. Shrink the change
Making it easy for people to achieve small wins helps boost motivation and momentum. Before you know it, your team will start stacking small wins that build up to completing the big change.
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