Gartner's people3 Says Most IT Leaders Implementing Organization Changes Fail to Adequately Consider Their Company's Ability to Transform
Quarterly Report Provides a Framework for Understanding How to Implement Effective Organizational Change
BRIDGEWATER, N.J., December 6, 2004 — As the economy shows signs of recovery, IT leaders must lead their organization through a series of changes in order to switch from cost-reduction and containment mode to a revenue- and profitability-growth mode, according to a report published by people3, a Gartner, Inc. company.
Gartner research indicates that through 2005, 75 percent of organizations contemplating widespread change will fail to adequately consider their organizational ability and willingness to adapt.
"It's imperative for IT leaders to fully understand the nature and magnitude of the driving forces for change in order to formulate winning strategies and processes that effectively drive the organizational transformation," said Lily Mok, senior consultant at people3.
In the report "Leading IT Organization Change: Moving Beyond Change Management," people3 examines the framework of change in today's IT organizations, and discusses the strategies and processes by which IT leaders proactively and consciously create the right environment for the organization to embrace continuous change.
The key challenge for IT leaders when leading an organizational transformation initiative is to deal with the human elements of the change. Often times, IT organizations focus only on getting the work done during change and underestimate the impact this will have on their employees.
For an organizational change initiative to be successful, it is critical for the leaders to first have a clear understanding of employees' reactions to the modification, anticipate and gauge the form and degree of resistance and categorize them into a stage based on the change curve.
"IT leaders need to set a realistic pace for change with small steps instead of large ones to help employees gain increasing confidence both in leadership and their own capability as they experience a successful change, which in turn will positively influence their mindset toward future change," Ms. Mok said.
As IT leaders implement changes, they must build and strengthen the employees trust in their leaders. Designing and implementing systematic and ongoing employee resistance management and communications programs will be important to successful change leadership.
"Resistance to change primarily occurs at the emotional or mindset level, especially when information about what to expect is not readily available or distributed to people before the adjustments takes place," Ms. Mok said. "The greater the complexity of an organizational change, the greater the need for an integrated and/or holistic mindset of the entire organization."
Effective change leadership requires IT leaders to develop a formal process of constantly monitoring and measuring change progress and success. Companies need to measure the effectiveness of a change leadership strategy and programs through those individuals who are most impacted.
"IT leaders can choose various measurement tools from formal to informal to gather data that measures the success of IT change initiatives," Ms. Mok said. "The measurement tools and processes chosen should yield useful information to support the continued use of specific change strategies and tactics, or provide valuable feedback on how to modify them to make them more effective."
For information on purchasing the report "Leading IT Organization Change: Moving Beyond Change Management," please visit the people3 Web site at www.peoplecubed.com/web.3.c.aspx
About people3
people3, the world's leading authority on IT human capital, provides "people solutions" for IT organizations. Supported by seasoned human resources and IT professionals who understand the unique languages and issues of both the HR and IT communities, people3 helps its clients maximize the value of their people through strategic workshops and a research-based membership program. Additionally, people3 also delivers solutions through talent management software tools and an annual compensation study that focuses solely on IT organizations. people3, a Gartner company, is headquartered in Bridgewater, N.J. For more information on people3, please call (888) people3 or visit the Web site at www.people3.com
About Gartner:
Gartner, Inc. is the leading provider of
research and analysis on the global information technology industry. Gartner serves more
than 10,000 clients, including chief information officers and other senior IT executives
in corporations and government agencies, as well as technology companies and the
investment community. The Company focuses on delivering objective, in-depth analysis
and actionable advice to enable clients to make more informed business and technology
decisions. The Company's businesses consist of Gartner Intelligence, research and
events for IT professionals; Gartner Executive Programs, membership programs and peer
networking services; and Gartner Consulting, customized engagements with a specific
emphasis on outsourcing and IT management. Founded in 1979, Gartner is headquartered in
Stamford, Connecticut, and has 3,700 associates, including more than 1,000 research
analysts and consultants, in more than 75 locations worldwide. For more information,
visit www.gartner.com.
