In an article published in the Harvard Business Review, Cyril Bouquet, a professor at IMD Lausanne University, explains the resistance to change through the opposition to Uber from traditional taxi firms. In highly competitive yet regulated environments, new entrants are emerging; facing strong resistance among traditional stakeholders. This is known as disruptive innovation, and according to The Economist, is helping to increase the pace of change through technology.
It is possible to find the same type of resistance during the implementation of a new management solution. But don’t worry, the AX-Men are here!
Break away from a rigid economic model and become more agile
The ability of a company to change its business model enables it to last over time. Of the 100 largest global companies existing in 1900, only Ford Motors continued its activity in the same area. A dozen others still exist, but at the cost of a major transformation. Initially specialising in import-export, Shell has gradually oriented itself within the chemical industry. The ability to adapt is a quality prized by companies, provided they have the means to fight against resistance to change.
The transition to the digital era arises from new forms of organisation and more flexible and responsive management. The “NATU” group of companies – Netflix, Airbnb, Tesla, Uber – symbolise digital disruption. These companies have managed to create new models in rigid sectors through digital transformation and the use of technology.
Facilitate the digital transformation through innovative management
To ensure the digital transformation of employees, managers must be early adopters. To ensure a smooth transition and allow everyone to enjoy the full benefits of a new management solution, managers must be able to explain the strategic reasons for employees.
According to recognised expert, Fred Cavazza, how management deal with resistance to change is a critical first step in the digital transformation of businesses. Next step is identifying skills gap and relevant training and then to empower employees through business management solutions that allows them to control and navigate strategic challenges.
As the comic strip in the picture shows, by implementing future proof, easy to use and personalised technology with the business this reduces negative disruption to how employees work and allows them to be more amenable to change. The new Microsoft Dynamics AX (Dynamics 365 for Operations) encourages collaboration, facilitates mobility and agility and because it is deployed in the cloud via Microsoft Azure there are no major upgrades, just less disruptive enhancements in waves, similar to Dynamics CRM and in future Project Madeira.