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No. 6: MINIMIZE RESISTANCE TO CHANGE
ROCK THE BOAT, CAPTAIN!
Editor’s Note: Following is part six of our eight part series called “Better Next Year,”
by Fred Ode, CEO, chairman and founder of Foundation Software.
Construction business
owners, like a ship’s
captain, must be prepared
to steer their companies
through the stormy
waters and uncharted territory called
change. To sit still amid changes happening
within your market, your
industry and your competition is to
risk sinking.
Take it from the hundreds—or
perhaps thousands—of books on
the subject: Change in business is a
given. Hard as it may be to accept and
implement, the fact is that change
happens. And since effective change
always starts at the top, the role of
leaders, among other things, is to be
agents of change.
Contractors operating within
a rapidly-changing construction
environment, therefore, have no
choice but to implement change. Not
only do they need to research and
pursue the changes that will best
help their company grow and prosper,
but they need to manage and model
those changes as well.
Change Starts at the Helm
Having worked with hundreds of construction
business owners over the
last twenty-seven years, I can safely
say that significant organizational
change does not happen within a contracting
business unless the owner is
willing and able to make it happen.
Leaders who can effectively step
outside their own comfort level and
focus on the larger issues facing their
company are more likely to follow
through on change initiatives. What’s
more, those change initiatives are
more likely to succeed and help the
company grow when owners commit
to change.
Unfortunately, many business
owners struggle with change. They
avoid it not because they are lazy or
uninvolved, but because they are too
busy or too fearful to move from “the
way we’ve always done it” to a new
program or process with unknown
results. Meanwhile, as they stay at
status quo, afraid of the changes that
might hurt their business, their business
lags behind because of inefficiency and missed opportunities.
In order to produce effective
changes, contractors often must
learn to change themselves. They
can’t be afraid to make change decisions,
they can’t be afraid to evaluate
change and, if need be, they can’t
be afraid to alter those decisions. In
order to guarantee that change is
working, company owners need to
constantly and obsessively evaluate
their initiatives.
Leading Change by Example
Once a decision has been made to
implement change, employees are the
most important aspect of its success
and the greatest obstacle.
Depending on age, skill levels
and even upbringing, employees’
response to change can range from
outright fear and panic to enthusiastic
support. But the truth is, most
people resist change to some extent.
Research shows that involving
employees in the decision-making
process and communicating the
reasons for the change will help staff
members adapt more easily. In addition,
when people understand what’s
expected of them and feel that they
have management’s full support
throughout the change process, they
are less likely to dig their heels in and
refuse to budge. Finally, recognizing
employees for their effort and cooperation
is another way to help staff
members transition smoothly.
So what happens when, despite all
the best efforts of management to
initiate change, employees refuse to
accept new processes or procedures?
Sometimes, contractors have no
choice but to let go of the “dead wood”
that is dragging the company down.
Unpleasant as it may be, contractors
need to recognize that employees who
are incapable or unwilling to change
could have a huge negative impact on
the company’s health and prosperity.
Although we all generally accept
the reality that “change happens,”
the idea of pursuing and implementing
change remains an ominous challenge.
But for construction business
owners who wish to be “better next
year,” change must be high on their
list of personal and management-level
priorities. When it comes to change,
rocking the boat can lead to smoother
sailing.
Fred Ode is the CEO/chairman of
Foundation Software, developer of construction
job cost accounting software
called FOUNDATION for Windows. For
further information on FOUNDATION
for Windows, visit www.foundationsoft.com. Fred Ode can be reached directly
by phone at 800.246.0800 or e-mail
fred@foundationsoft.com. |
