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Strategy

The Secret Ingredient in Business Transformation: Behaviour Change

Volatility. A word that’s been plaguing the world of business for too long to remember. Today, change and transformation isn’t just something that every business needs to consider. It’s vital for survival. But despite change programmes becoming a constant, brutally 70%[1] fail. So why is this?

This blog post explores the critical role behaviour change plays in successfully driving meaningful and lasting change in business transformation.

Business change is often viewed as structural or operational. But for these changes to be successfully implemented, it takes people to drive them. And critically, for people to change too. Because businesses don’t change, people do.

But as humans, we struggle with change. We’re hardwired to resist it. Part of our brain, the amygdala, interprets change as a threat and releases hormones to induce fear, fight or flight. Put simply, our instinct is to protect ourselves from change.

Businesses don't change, people do.
So how can businesses overcome this innate resistance?

Focusing on behaviour and mindset change is key. There are many different theories and models that can be applied, but the successful ones all focus on one thing – putting human need at the heart.

The McKinsey Influence Model[2] is a useful framework to apply. It focuses on four key building blocks that will enable a shift in behaviour and mindset: fostering understanding and conviction, reinforcing changes through formal mechanisms, developing talent and skills, and role modelling.

The McKinsey Influence Model

Quadrant one highlights the critical role leaders play in role modelling the change they want to see, and therefore the need for leadership to be aligned, bought in and walk the talk.

Quadrant two showcases the importance of story. When it comes to communication, if the message is routed in why the change is happening it forms an inspiring vision that employees can believe in. When we hear a good story our brain activity increases fivefold[3] – as neuroscientists say, ‘Neurons that fire together, wire together!’ Essentially, stories make us remember and make us care.

Quadrant three reminds us that our brains are neuroplastic, which means we can learn new things. This is where training and development plays a key role in enabling change. Businesses must empower employees with the opportunities to upskill in emerging areas of focus, and develop leadership styles to suit the ever-changing workplace.

Quadrant four calls attention to the value of having the right structures and process to enable change. This could include systems and tech, but also recognition and reward. Reinforcing the right things is critical for shaping the behaviours and culture the business wants to see.

Make change work for you

In conclusion, businesses need to focus on not just what they want to change, but how they will enable their people to do it. This is the key to unlocking the full potential of transformation initiatives and paving the way for a more resilient and adaptive future.

If you’d like to talk more about your business transformation, let’s chat.

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