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Why Change is Often Necessary in Business

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Change Is Vital for a Successful Business:

Change is a good thing. It can take your company from struggling to keep your head above water to comfortably in the black. It’s tempting to want to keep the status quo. Especially if things are doing well. Change is risky, why take the risk if profits are high? You don’t know what lies ahead. Are you making the right choices? Change is essential to business. But why?

Technology:

Technology is always developing. Keeping up with new technology increases your productivity and saves you money. If your only form of communication with customers is the phone you will lose business. If they get a busy signal when they call, they will head to the competition. Not investing in a quality website and email will hold you back. Examine the cost-benefit analysis of new technology. Determine which changes are the most beneficial for your company.

Customer demands:

Your customers do not remain stagnant. They change with the times and they expect you to do the same. If the competition is offering a better solution that’s where your customers will go. Keeping on top of customer demands and long-term trends is important. It allows you to provide a solution before problems escalate.

Employee growth:

A new marketing plan or technology is a great opportunity for your staff to shine. Empowering them to spearhead these changes helps them grow their career. Your employees are your best asset. Invest in them and provide them with growth opportunities. They don’t want static careers. You don’t want an idle business.

Photo of tooth wheel mechanism with MOTIVATION concept related words imprinted on a metal surface

Economic changes:

Everything may be going well but an economic downturn forces you to re-evaluate your company. As sales go down your business may struggle. Are there cost-saving measures that you can enact? What do you need to do to stay afloat? You may find it necessary to examine each aspect of your business from the ground up. This is not a negative thing. Sometimes, you can come back stronger than ever from a slump.

Organizational change:

This one can be tough. Trying to stay afloat by merging or changing leadership can have mixed results. A large organizational change can mean higher turnover and decreased morale. There are many reasons a company must revise the staff.

  • Crisis: Ideally, you would have the foresight to enact necessary change before the crisis. Or prevent the crisis altogether. However, that is not always possible. The challenge at this point is attempting to keep morale high. You will have to scrap inefficient processes. Some employees may find themselves redundant. Layoffs may occur to stay in business.
  • Culture: One bad employee can create a toxic culture. Keeping them on staff only tells employees and customers that this is acceptable in your company. This lowers morale and loses business. But, you can change your company culture.
  • Start at the top: when you are making organizational changes start at the top. Leadership must be the first to adopt the changes. If leadership is hesitant then staff will be as well.
  • Communication: If you spring new developments on your staff that will decrease morale. Your team needs to understand why these changes are taking place. Otherwise, they will be resistant, and morale will go down. Your team is smart to help them understand the importance of the new modifications. You can also emphasize what it will mean to them. This is where excellent leadership comes in.
  • Be flexible: Not everything will go as planned. You need to be flexible and willing to scrap an idea if it’s not working. Do this early by assessing the progress and success of new organizational changes.

Change does not have to be a bad word in business. It can be a great thing for your company. Change does not always mean the company is in trouble. It’s possible to enact proper changes before external factors force you too. It allows you to ride out the storm or beat the competition. The key is not to get comfortable or attached to aspects of your business. You never know when you will be forced to give them up or lose the company. With the right planning, a shift can be a good thing.

Making changes in your business? Let the experts at Unique team building help you. Our team understands that change is essential to maintain a thriving business. Our team strives to create relevant team building programs to help you succeed. Contact us today.

Andy Richards

Andy Richards

Andy is fascinated by the world and all that happens around us- from how large businesses work, through to how we can improve ourselves as individuals. He draws on experience working in eco-tourism and a degree in management, as well as from his passions for travel, photography and all things interesting. With a young mind, he likes to keep his finger on the pulse, always on the lookout for ways to help improve the world we live in, the places we work, and the lives we live.

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