Change is a regular part of doing business. Organizations adopt new technologies, adjust strategies, restructure teams and respond to changing customer and workforce expectations. Yet identifying what needs to change is only part of the challenge. Business leaders must also help employees understand and adapt to a new way of working.

Change management provides a structured approach to this transition. For aspiring managers and business students, understanding how to manage change can help build leadership skills that apply across industries and organizational settings.

Even a strong business strategy can fall short if the people responsible for carrying it out are not prepared to change. Effective organizational change management considers the human side of a transition alongside operational goals.

Dr. Raquel City-Carroll, Instructor with the Colangelo College of Business, explains, “Organizations may have a well-designed strategy, excellent technology, or a strong business case for change, but if employees do not understand the reason for the change or how it will affect them, the initiative can quickly encounter resistance.”

Clear communication can help employees understand what is changing, why it is necessary and what it means for their roles. Involving employees can also give leaders insight into potential problems while helping employees feel that their perspectives are valued.

Organizational changes vary in scale and purpose. Dr. City-Carroll identifies several common types that business leaders may encounter:

• Technological change: Implementing new technologies, including artificial intelligence and automation
• Strategic change: Adjusting organizational priorities, goals or business models
• Cultural change: Shifting shared workplace values, behaviors or expectations
• Workforce change: Restructuring teams, roles or staffing models
• Process change: Changing how work is completed to address organizational needs
• Corporate social responsibility (CSR) change: Adjusting business practices or priorities related to an organization’s responsibilities to society

Leadership strategies may differ depending on the organization, industry, culture and type of change. However, Dr. City-Carroll emphasizes that the fundamentals typically remain consistent: “Communication, Trust, Employee Involvement, Consistency, Transparency and Accountability.”

The change management process can vary among organizations and models, but leaders can approach change as an ongoing process rather than a single event. A general process may include:

1. Identify the need for change. Determine the problem or opportunity and consider what could happen if the organization maintains the status quo.
2. Establish a vision. Define what the organization hopes to accomplish and what successful change could look like.
3. Assess readiness. Evaluate whether employees and the organization have the skills, resources and support needed to make the transition.
4. Plan and communicate. Identify affected stakeholders, resource requirements and how information will be shared.
5. Prepare employees and implement. Provide appropriate training, coaching, feedback and opportunities for participation.

6. Evaluate and reinforce. Determine whether the change is producing the intended results and reinforce practices needed to sustain it.

   Organizations may underestimate the preparation stage. According to Dr. City-Carroll, “Organizations often spend a tremendous amount of time identifying changes to be made and developing solutions, and not enough time preparing the organization and people to implement the changes.”

Successful change management starts with recognizing that employees are active participants in organizational change. Key principles include communication, trust, transparency, involvement, consistency and accountability.

Leaders also need to demonstrate the behaviors they expect from others. Employees may be less likely to adopt a change when leadership communicates one expectation but behaves differently.

“Employees tend [to] focus on what leaders do, not just what they say,” City-Carroll says. “If the change is not modeled by or supported by leadership (at all levels) the change will be difficult to sustain.”

There is no single strategy for managing every organizational change. Leaders may combine several approaches based on the situation, including:

• Explaining the purpose and expected outcomes of the change
• Creating regular opportunities for employee questions and feedback
• Identifying potential resistance before implementation
• Providing training and coaching
• Establishing clear responsibilities and expectations
• Monitoring progress and adjusting the strategy when necessary
• Recognizing and reinforcing behaviors that support the transition

These strategies can help leaders move beyond simply announcing a change toward actively helping employees adopt it.

Change management examples can be found across nearly every business function. 

• A company introducing an AI platform, for example, may need to train employees on the technology, explain how responsibilities could change and address concerns about new workflows.
• A business that wants to restructure its departments may need a different approach, including clarifying reporting relationships and helping teams establish new ways of collaborating. 
• An organization pursuing cultural change may need leaders to consistently model desired behaviors and reinforce them through policies, communication and decision-making.

These examples illustrate why leaders should consider both the technical requirements of a change and the employees responsible for putting it into practice.

Resistance, uncertainty, inconsistent communication and limited resources can complicate organizational change. Yet resistance itself can provide useful information.

“Resistance to the change should not automatically be viewed as something negative,” City-Carroll explains. “Sometimes employees resist because they see a legitimate problem that leadership has overlooked.”

Instead of immediately dismissing resistance, managers can listen for underlying concerns and determine whether employee feedback reveals a weakness in the plan. This requires leaders to remain adaptable as the change progresses.

Managers can play an important role in translating organizational goals into employees’ day-to-day experiences. Emotional intelligence can be particularly useful when employees are dealing with frustration, anxiety or uncertainty.

Leaders also benefit from communication, coaching, conflict management, adaptability and problem-solving skills. They do not necessarily need to have an immediate answer to every question. Instead, they can communicate what they know, acknowledge what remains uncertain and continue providing direction.

Aspiring leaders can begin preparing to manage change before they hold formal management positions. Classroom projects, internships, student organizations, volunteer activities and part-time jobs can provide opportunities to practice communication, collaboration, decision-making and problem-solving.

Continued learning is also important as businesses respond to developments in AI, technology, globalization, workforce expectations and economic conditions. Future managers may need to continually learn while helping their teams do the same.

Above all, change management should remain focused on both organizational objectives and the people responsible for achieving them.

Developing the ability to communicate, solve problems and lead through change can help prepare aspiring business professionals for management responsibilities. Explore GCU’s business degree programs to build your knowledge of business, leadership and management while learning from experienced faculty.