Words like change and transformation are used liberally in many organisations that wish to see a different approach taken to the way work gets done. Often, projects are created in order to give this work a greater priority, and yet, for most organisations only three things are truly required to transform how work gets done. But before we get to those, let’s understand why change is important.
The continuous evolution of organisational work practices is crucial for several reasons.
Firstly, technological advancement demands adaptation. According to McKinsey’s research in 2023, approximately 50% of current work activities could be automated by 2030, forcing organisations to reimagine collaboration and work structures.
Companies that fail to evolve their working methods – and the way that its people work together – risk losing competitive advantage and struggling to attract top talent. Research by Deloitte shows that organisations with adaptable work practices are 4.5 times more likely to retain high-performing employees.
Secondly, employee expectations are also shifting dramatically, not just for the generation entering the workforce now, but also those seeing out their careers. Recent research from OC Tanner found that the #1 requirement of every age group is a safe, respectful place to work.
This has been ignored for far too long, however, employees are now actively seeking out information about organisational cultures, before deciding to apply for jobs or not. They are also far more likely to call out toxic culture when they see it, as they are not prepared to tolerate inhumane behaviour any more. This further undermines not only results, but reputation too.
Furthermore, Gallup’s workplace research reveals that 54% of employees prioritise work-life balance over salary, and 73% expect their employers to provide a culture that supports this balance. Research from the Journal of Applied Psychology shows that organisations with evolving work practices report 37% lower burnout rates and 42% higher employee engagement levels. This is particularly relevant as mental health becomes a central workplace concern.
Finally, market competitiveness depends on organisational adaptability. Boston Consulting Group’s analysis indicates that companies that regularly update their work practices achieve 15% higher revenue growth compared to industry averages. This adaptability includes embracing new collaboration tools, implementing feedback systems, and creating more inclusive decision-making processes.
In essence, organisational evolution isn’t just about keeping up with trends – it’s about providing an environment that stimulates growth in an increasingly complex business environment. Organisations that seek growth or consistency of results, should concentrate their efforts on these three things:
1. Proactively define your culture
You get the culture that you choose to build, yet many companies choose not to be proactive at all. They hire who they believe are the ‘right’ people, talk them through the processes and the technology and magically expect the culture to be vibrant. Give employees agency over the definition of culture and ask them to actively define how values will be lived. This will send a message – internally and externally – that the company doesn’t just talk about ‘people being their number one priority’ it can demonstrate it too.
2. Make relationship building a priority
This is not about making friends, it’s about building respect, empathy and understanding differences across the team. Run small group (and therefore, safe) exercises, where staff can share a little bit about themselves, their work preferences and how they like to receive feedback. Talk about generational differences with honesty and candour to build bridges. Don’t go overboard with ice breaking activities (no ‘speed-dating’ approaches!), just provide employees with the chance to get to know each other personally. This will make point number three much easier to do.
3. Set expectations clearly and hold people to them
Not just about targets or deadlines, but also about behaviours too. When managers excel at the people side of their job, then the organisation is much more likely to create an environment where people are driven by intrinsic motivation, that is, they want to succeed for the team and themselves. Without clear expectations, it’s all too easy to allow one person to let the team down, either through poor performance or poor behaviour. When people become more self-aware and are able to leverage their strengths, whilst working on their opportunities for improvement it sets a new bar for performance that employees will strive to meet.
Of course, organisations often fall into the trap of employing tactics that don’t work – designing a new operating model, restructuring the company, changing management layers, setting new targets or changing the office layout! None of these are proven to work long term. Only through a commitment to culture, relationship building and being able to hold each other accountable for the work that you do, will transformation ever be realised.