NOVEMBER 2008

Managing Change
The challenges of change

Today’s current economic crisis is creating tsunamis of change and mountains of problems for companies and their employees. The downside is that there doesn’t seem to be an immediate end in sight to the existing chaos and upheaval of stability.

“The role of learning and development has to change and evolve quickly in a proactive way that anticipates the challenges companies expect to encounter in both the near and long term. The operative word is ‘proactive’.”

A credit crisis is rippling through the economy, which is more than likely to generate a negative effect on many companies in a variety of ways. Reports are currently surfacing that reduced credit availability is already beginning to impact existing corporate plans and current suppliers. Without available credit some companies are forced to struggle to find critical parts and components, as their suppliers are no longer financially able to meet their contractual obligations and fulfill orders. Numerous companies are finding themselves scrambling to find more stable suppliers to meet these demands.

The reduction in consumer buying is also beginning to directly impact many companies. The list goes on and on and we’re not even factoring in the changes that companies will face, such as the impacts from newly proposed tax increases that the new administration will usher in after January 20th, or the unknown variables and impacts that other proposed plans and programs may generate afterward, all of which may adversely affect business one way or another in the future.

The role of learning and development has to change and evolve quickly in a proactive way that anticipates the challenges companies expect to encounter in both the near and long term. The operative word is “proactive.”

 All too often when economic times are adverse and at their lowest point, training tends to become minimized. It is typically viewed as being an “expendable and nonessential expense.” The reality of today’s times is that training within economic turmoil and chaos generates more value and is more important than ever before. However, to be most effective within this type of environment, it needs to be focused on mission-critical skills that instruct employees how to manage change and effectively handle the stresses associated with it. Effective change management is rising to the forefront as a mission-critical skill inside almost every company.

Additionally, training must be engineered to positively impact the various areas of sales, customer retention, critical thinking, strategic thinking, innovation, productivity, empowerment and other areas that create and sustain a company’s competitive advantage. These initiated programs must be targeted and precise.

The focus of training needs to be on how to anticipate and solve pressing problems. It must prepare employees to effectively manage the problems and issues that are literally raining down upon their company. Consequently, all implemented training must be geared to directly transfer skills to the workplace as well as instilling accountability through increased performance at the individual level.

The survival of any company requires a well-trained employee base that is taught to be proficient in essential mission-critical skills that ensure the survival and sustainability of the business. Employees must learn to be flexible and adaptable in their skills and capabilities, so that they are able to meet the challenges of change head-on. Any failure in this endeavor can have unintended consequences.

Many of the challenges that must be overcome in today’s environment and business climate have not been previously experienced in our lifetime. No company is immune from at least one or more of their negative effects. Some companies that were once considered solid foundations and mainstays of our economy are already gone. Many more are struggling. It is time for corporate and development leaders to step up to the plate in order to fill the gap; rolling up their sleeves in order to help employees fight for their survival.

The biggest asset any business has is its workforce. Now is the time to harness this asset to create, design and implement unique solutions that are able to overcome challenges as well as to convert many of them into opportunities. The first step in harnessing this power comes from training employees in specific mission-critical skills that are able not only to empower them, but also to focus their attention and drive on the challenges of change.