The Source
Fall 2002



Change Agents Nurture Innovation

Relentless change is the only constant in business, where resistance to new ideas and techniques is a ticket to extinction. Dinosaurs that readily come to mind include typewriters, record turntables, and home movie projectors — all products in widespread use a generation ago that are now only quaint relics.

But business change involves more than abandoning outmoded products. Transformed organizational models, production techniques, distribution systems, and capital structures continue to evolve, challenging the most nimble managers to anticipate the next new thing and be ready for it.

Businesses that thrive in this turbulent environment are the ones that have not only mastered techniques of managing change but also have built a culture that nurtures innovation. Leading these efforts are individuals with a set of special trail-blazing skills — change agents.

Effective change agents usually spring up within the organization. In a sense, they are often self-appointed, singled out by their willingness to take the lead in pointing out problems and suggesting remedies.

But to be effective, even these self-starters need to have the official sanction of top management. And in organizations with entrenched layers of hierarchy — frequently the companies most in need of new ideas — change agents frequently do not emerge without encouragement, because of risks involved in challenging the status quo.

In these cases, transformation begins with awareness at top levels that something needs to be done differently. Executive leadership needs to target areas ripe for change and identify individuals to implement the new approach.

As members of management look within the ranks of employees for individuals to help them transform operations, they should seek specific personal skills as well as technical skills in the functional area undergoing the transformation effort.

Change agents need the ability to:
  • Think independently
  • Listen to criticism
  • Learn from others
  • Set priorities
  • Tolerate ambiguity
  • Accept complexity
  • Risk failure
  • Manage stress
  • Build cooperation


Even simple changes can create stress when they come as a surprise or when individuals feel uncertain about what is expected of them. So communication is the change agent’s primary tool. Sometimes intensive, repetitive efforts are needed to inform and persuade everyone involved. Experts suggest the following guidelines for change agents as they get started:

  • Begin with an easy change — some minor switch in routine unlikely to meet resistance. For example, you might eliminate an unnecessary report form or begin color coding selected goods to simplify handling.

  • Build acceptance. Even when a change is unlikely to spark controversy, establishing a predictable procedure at the outset helps set he stage for smoother transitions when more difficult adjustments are required later on.

  • Identify all parties who will be affected by the change and anticipate ways to minimize difficulties they will face because of the new way of doing things.

  • Introduce the change at a time carefully selected to be least disruptive.




Perisho Tombor Loomis & Ramirez
901 Campisi Way, Suite 250
Campbell, CA 95008
408-558-0500
info@ptlr.com

The articles in this newsletter are general in nature and are not a substitute for accounting, legal, or other professional services. We assume no liability for the reader's reliance on this information. Before implementing any of the ideas contained in this publication, consult a professional advisor to determine whether they apply to your unique circumstances.
© 2002