How to effectively change organisational behaviour

Introduction to Organisational Behaviours

The integration of ERP systems or undergoing digital transformation represents a significant shift in how organisations operate. However, the success of these technological adoptions is heavily dependent upon the behavioural readiness of the organisation.

Transforming organisational behaviours beforehand not only facilitates a more receptive environment for change but also optimises the return on investment in technology.

This article delves into why changing organisational behaviour is pivotal before implementing ERP or digital transformations and outlines strategies for leaders to ensure their teams are primed for success.

By addressing the behavioural foundations, organisations can ensure a smoother transition to new technologies, enhance employee engagement, and ultimately, achieve a higher return on their digital investments.

Why Change Organisational Behaviours

Enhancing Adaptability and Resilience

The first cornerstone of behavioural change lies in enhancing an organisation’s adaptability and resilience. Digital transformation introduces a new paradigm that often challenges traditional ways of working. It necessitates a workforce that is not only ready but eager to embrace change.

By fostering a culture of adaptability, organisations equip their employees with the mindset and skills needed to navigate new technologies, processes, and business models.

Fostering Collaboration and Breaking Down Silos

The seamless integration of ERP systems and the execution of digital transformation strategies often require cross-departmental collaboration. Actively fostering an organisational behaviour that breaks down silos and encourages open communication sets the stage for a more integrated and unified approach to transformation.

This collaboration not only enriches the innovation process but also ensures that digital solutions are implemented in a way that comprehensively addresses the needs of the entire organisation.

Elevating Digital Literacy Across the Board

A holistic understanding of digital technologies and their impact on the business is crucial for all members of an organisation. Elevating digital literacy across the board ensures that every employee, not just the IT department, grasps the strategic value of the ERP or digital transformation.

This shared digital fluency fosters informed decision-making, aligns individual efforts with organisational goals, and catalyses a cohesive approach to navigating digital challenges and opportunities.

Framework for Behavioural Transformation

Strategic Communication

  • Clearly communicate individual roles and expectations in the context of organisational goals.
  • Employees should understand how their contributions align with the company’s growth strategy, fostering a sense of purpose and ownership.
  • Implore managers to have one-to-one meetings with employs to collaborate in creating a clear communication plan.

IBM’s Transformational shift from a hardware-focused company to a leader in cognitive solutions under CEO Ginni Rometty exemplified strategic communication. By articulating a clear vision for embracing cloud computing and artificial intelligence, IBM successfully aligned its workforce with strategic objectives, emphasising the critical role of each employee in the company’s success.

Leadership Modelling

  • Encourage leaders to actively support and promote innovation within their teams.
  • Create an environment where employees feel safe to experiment and bring forward new ideas.
  • Leaders should recognise and value the innovation process, even when not every attempt leads to success.

Howard Schultz’s leadership at Starbucks highlighted the impact of leadership modelling on organisational culture. Schultz’s direct involvement in employee training and his commitment to employee benefits showcased the behaviours that contributed to Starbucks transformation, enhancing employee satisfaction and customer experience.

Engagement and Inclusivity

  • Form inclusivity committees with representatives from different departments.
  • These committees can focus on creating an inclusive workplace culture, addressing concerns, and organising events that celebrate diversity.
  • This fosters a sense of belonging and highlights the organisation’s commitment to inclusivity.
  • Involving employees in the decision-making process empowers these individuals, making them feel valued and integral to the transformative journey.

Google’s Work Culture: Google’s culture of open communication, collaboration, and inclusivity has been instrumental in its innovation-driven success. Initiatives like “Googlegeist” empower employees by giving them a voice in decision-making processes, fostering a sense of ownership and engagement.

Recognition and Growth

  • Celebrate significant milestones and achievements, both individual and organisational.
  • This could involve quarterly celebrations, newsletters, or dedicated meetings to highlight success stories and reinforce a positive culture.
  • Allocate a budget for recognition initiatives, allowing the organisation to invest in meaningful rewards and incentives.
  • This could include monetary rewards, gift cards, or other perks that align with employee preferences

Salesforce’s culture, centred around the “Salesforce MVP” program, celebrates exceptional contributions, fostering a sense of community and innovation. This recognition culture has been crucial in increasing employee engagement and driving the company’s growth in the CRM market.

In Summary

The integration of ERP systems and the pursuit of digital transformation are significantly influenced by organisational behaviour.

By prioritising behavioural readiness, organisations can not only navigate technological transitions more smoothly but also cultivate an environment of innovation and engagement.

This white paper provides a framework and practical recommendations for leaders to prepare their organisations for digital transformation, ultimately leading to sustained growth and competitiveness in the digital era.