Managing Change and Innovation

 Chapter 8

If at one time companies sought stability in their processes, strategies, and administrative routines, today things are no longer quite like that. Globalization, digital transformation in companies and constant market innovations have made companies understand that organizational change is inevitable for those who want to evolve.

In fact, it became clear that not changing, not constantly adapting is the biggest risk for a company.

But the changes are not always well received by the employees, who, thus, may present some resistance to the transformations.

Intense and profound changes, which represent a 360º turn in a company, are called disruptive innovation. Therefore, they impact management and human resources. In addition to reflecting on the way the organization positions itself in the market.

This is a bolder and more impactful change. However, it usually happens when managers find no other way to make the business work. But, despite being drastic, organizational change of the revolutionary type brings with it a positive side: from there, the company will be totally different.

In general, revolutionary changes occur in companies that have been in the market for many years and need renewal. After applying this model, the general feeling will be that of a totally new company — new management models, employees, purposes, and markets of operation.

Something that can be seen as a bold move is product change. The company can take a risk and end up losing customers who are already satisfied and feel taken care of with the available product, or it can gain new customers attracted by the improvement of a product or the creation of a new one.

Still on this subject, we cannot fail to mention the changes in production processes impacted by technology and its updating, by the processes of creativity that always seek to innovate and make companies reinvent themselves, in addition to exploring the market and alternatives within the company itself.

Innovation as the company's core strategy guides investments, defines the focus of research and new developments from the point of view of the market. The intention of innovation is to create value for the business, while strategy orders and disciplines the conditions necessary to get there.

The pillars to achieve organizational innovation are people, processes and technologies. People must be intimately involved in the organizational innovation process. After all, it is only when they assimilate the importance of innovation and the benefits it can bring that it is possible to delve into new processes.

In addition, professionals need to be prepared to master the new technologies implemented. Therefore, they need to be properly trained to deal with and contribute to innovation.

With innovative processes, companies can better manage activities, maintaining transparent communication between areas. For all other pillars of organizational innovation to be developed, technology is an indispensable piece. People and processes without technology are not able to scale the company's activities, and it is impossible to make decisions with speed and based on data.

Through new technologies, it is possible to apply innovation to automate repetitive processes, provide agility for teams, make remote work possible, favor collaborative action, in addition to reducing costs.

With technology, processes and people working together, the company can guarantee better results in terms of organizational innovation, promoting the ideal environment for the constant development of innovative projects.

Organizational development is a strategy that aims, from the analysis of these internal and external factors, to improve beliefs, values, and organizational structures, so that the company can keep up with changes and market trends to ensure its operation.

In addition to assuming that every company is subject to changes generated by internal and external factors, she also argues that it is not enough to have just a good group of employees without the organization being within the trends of the labor market, or vice versa. .

For your business to work, it needs this set of factors, and this is where organizational development theory comes in. Its proposal is precisely to make companies that are extremely bureaucratic and that have mechanical processes to transform and develop organic systems, focusing on their employees to provide a more effective and collaborative management.

Often, companies hire employees who are not aligned with the organizational culture, which brings losses such as lack of motivation, internal conflicts, high turnover, and layoffs, which consequently impairs the delivery of results.

And it is only when all this is analyzed and put into practice that transformation can occur. Thus, we can summarize that for this process to be effective, organizational development is based on two important ideals: the organizational climate and organizational culture.

One of the biggest obstacles to operational change is people's resistance. There are those who feel fearful of changes, for fear of what is new to come, or simply those who feel comfortable doing what they are already used to and do not accept any change in their routine within the company.

Therefore, it is necessary to hear what the team has to say. Understand their fears and insecurities, present the pros and cons, invest in training, when necessary, in addition to allowing time for adaptation.