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Friday, March 23, 2007

Reasons Why Change Fails

It isn't inadequate processes, strategy or technology that lead so many organizational change programs to run into the sand.

The main reasons for failed change are all about people.

Management-Issues reports that a study from Deloitte Consulting suggests that change programs need to tackle issues in an integrated and focused way and, in particular, look at the people issues facing the business before, during and after the program.

The research has come as a conference of 165 HR directors organized by PricewaterhouseCoopers has separately predicted that a growing focus on people issues means there will be a chief of human resources on the board of most organizations by 2015.

According to the research, there are eight key people-related areas companies need to be addressing:

  1. People risk and impact management
  2. Leadership alignment and stakeholder engagement
  3. Communications
  4. Culture
  5. Organizational design and governance
  6. Talent requirements and HR programs
  7. Workforce transition
  8. Learning and capability transfer
BOTTOMLINE: "Companies don't transform themselves just for fun, but to stay competitive, innovative, and operationally effective."

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