I’m pretty sure that you know of at least one company that used to be the rave of a certain market maybe 10 years ago, and now they barely exist.
To give an example, before the advent of Android phones and Apple, there was a brand of smartphones that at its peak in 2011 had 85 million subscribers worldwide. This dropped to 23 million in 2016. Today, they are defunct.
The question is what went wrong? The answer lies in a critical component of business sustainability: change. Or might I say the inability to successfully manage change.
Change is inevitable in life and business. Thus, companies constantly have to keep up with changes by adapting to new technologies, shifting market trends, and changes in consumer behavior.
Also, they must adjust their strategies and operations to remain competitive and relevant in their business niche.
In reality, change can be a daunting task. However, with the help of a skilled Business Analyst, managing change can be more efficient and effective.
In this article, we’ll look at change in the context of the business environment, the importance of change management, and the role of Business Analyst in change management.
Defining Change Management
While this opinion may not be voiced out enough, change — for both humans and organizations alike — is scary.
It conveys the idea of letting go of all or some part of ‘certainties” and embracing some “unknowns”, against the natural tendency towards familiarity and stability.
But then it really shouldn’t be that scary as it’s also a doorway to opportunities. Change in its simplest definition is a transition from one state to another.
Changes in a business environment are implemented when the existing practices are no longer profitable or beneficial.
These changes may include changes in economic policies, rapid technology change, changes in consumer behavior, or shifting market trends to mention a few.
As critical as change is to the success of a business, when managed poorly, can inevitably bring chaos and ruin to a business.
Herein lies the reason for the business cliché: change management.
Change management is the process of planning, implementing, and monitoring changes within an organization in a controlled and systematic way.
Change management includes a range of activities, such as identifying the need for change, defining the scope and objectives of change, developing a plan, implementing the plan, and monitoring progress.
Change management consists of five components:
- Vision: The desired future state of the business
- Skills: The skills currently available within the organization
- Incentives: The reasons for change.
- Resources: People and processes available to help guide the change.
- Plan: A comprehensive set of steps for implementing the change.
Once these five components are deployed, the business can measure the impact of the change and conduct valuable post-mortems.
From the foregoing, it is clear that the process of initiating and managing change within an organization is not to be handled lightly, but by seasoned professionals to harness the positive impacts of intended change.
The Role of the Business Analyst (BA) in Organizational Change Management
The International Institute of Business Analysis (IIBA) describes Business Analysts as persons within an organization who identify business needs and proffer solutions (change) of value to the stakeholders within the context of the organization.
These experts enable change in an organization by identifying the current state of the business (problems and opportunities), defining a future state for the business (in line with the changing business context), and delivering solutions or changes that maximize value to stakeholders.
Business Analysts work in an organization to optimize business processes, systems, and strategies by collaborating work with executives and stakeholders to understand their needs and objectives, gather and analyze data, and recommend solutions to improve business performances.
They also work alongside development teams to bring about necessary changes responsible for the growth of the organization.
When it comes to managing change, BAs play a critical role in ensuring that the transition from the current to the desired future state is successful.
Best Practices for Managing Change as a Business Analyst
Since change management can have a significant impact on the success of any change initiative, it must be approached in the Business Analyst way which encompasses structure and a strategic mindset-
Some best practices for managing change as a BA include:
1. Understand the Change
The BABOK guide states that “All purposeful change begins with an understanding of the current state”.
Therein lies the first step to strategic change management: understanding the change.
This means identifying the problem or opportunity that requires change, eliciting change requirements by analyzing data, conducting interviews, or consulting with stakeholders.
You need to have a clear understanding of what is changing, why it is changing, and how it will impact the business.
This involves working closely with stakeholders to gather requirements, identify pain points, and define the goals of the change initiative.
It is also important to identify potential resistance to change. This can be done by a thorough stakeholder assessment: which stakeholders are involved and/or impacted by the change, and what are their perceptions of the proposed change?
People tend to resist change when they feel it will negatively impact their work or their role within the organization.
As a BA, you need to identify these potential areas of resistance and address them proactively through proper stakeholder elicitation and collaboration techniques.
2. Create a Change Management Plan
Once you understand the change, it is time to create a change management plan.
This plan should include a detailed roadmap for the change initiative, including timelines, milestones, and communication plans.
It should also include a risk assessment and mitigation plan to identify potential roadblocks and how to address them.
It is important to involve stakeholders in the development of the change management plan.
This will help to ensure buy-in and support from all levels of the organization, identify potential roadblocks, and develop strategies for overcoming them.
3. Communicate Effectively
Effective communication is key to managing change successfully. Communication should be clear, concise, and targeted to the right audience.
It should also be ongoing throughout the change initiative, not just at the beginning.
When communicating about change, it is important to be transparent and honest.
People will be more likely to support the change if they feel they have been included in the process and have a clear understanding of the goals and objectives.
4. Deploy Readiness Assessment Initiatives
To support the proposed change, an enterprise and stakeholder readiness assessment is critical. This prepares the people and systems in the business to accept the change.
Training and support are essential components of managing change. Employees need to be trained on new processes, systems, or tools to ensure a smooth transition.
They also need ongoing support to address any issues that arise during the change initiative. This can include providing resources such as job aids, user guides, and FAQs to help employees navigate the change
5. Monitor the Change
Once the change has been implemented, it is important to monitor its effectiveness and make adjustments as necessary.
This may involve analyzing data, soliciting feedback, and making improvements to the plan.
It is also important that stakeholders are informed about the performance of the change initiative relative to anticipated outcomes and advised on the next steps and performance improvement actions, identify potential roadblocks, and address them proactively.
Measuring progress can be done through a variety of methods, such as surveys, feedback sessions, or data analysis.
The key is to establish clear metrics at the beginning of the change initiative and track progress against those metrics regularly.
Benefits of Effective Business Analysts in Organizational Change Management
With business not being business as usual, companies, organizations, and enterprises need to be agile and adaptable to stay ahead of the competition.
Change management ensures that changes are implemented efficiently and effectively, with minimal disruption.
Effectively managing change helps companies to:
1. Stay Competitive
In the business world, staying competitive is essential. Companies must continuously innovate and improve their processes, products, and services to remain relevant.
Managing changes effectively allows businesses to respond quickly to market trends, helping companies stay ahead of the competition.
2. Mitigate Risks
Change can be disruptive if not handled properly. Change management helps to mitigate the risks associated with change, such as decreased productivity, loss of customers, or increased cost, and ensures a smooth transition.
3. Get Increased Return on Investment (ROI)
Change initiatives require significant investments of time, resources, and money. Effective change management ensures that the changes implemented deliver the desired outcomes, improving the ROI of the investment.
4. Improve Employee Engagement
Employees are the backbone of any organization, and their engagement is crucial to the success of change initiatives.
Change management involves engaging with employees to understand their concerns, needs, and perspectives.
This approach can increase employee buy-in and engagement, improving the likelihood of success.
5. Enhance Customer Satisfaction
Changes in a business environment can also impact customer satisfaction. For example, changes in products or services can affect customers’ expectations or requirements.
Effective change management ensures minimal disruption to customers when changes are implemented, leading to increased satisfaction and loyalty.
6. Increase Organizational Efficiency
Managing business changes can also lead to increased efficiency. For example, streamlining processes or implementing new technology can improve productivity and reduce costs.
Effective change management ensures that changes are implemented smoothly and efficiently, minimizing disruption to the organization
Conclusion
While change can be a step in the right direction for businesses looking to stay above the waters of the VUCA business world, it needs to be managed strategically by the Business Analyst.
If most companies that have gone extinct like dinosaurs as a result of their inability to evolve had leveraged effective business analysis in their strategic objectives, they probably would still be around today.
