Roi Of The Organizational Change Management

Undeniably, both 2020 and 2021 were challenging years for Change Management professionals across the world who had to deal with continued disruptions - more or less on a daily basis. Since we live in a rapidly changing global environment, the corporate world must adapt to the requirements and demands of employees, customers and stakeholders, public safety regulations, increasing competition, technological advances, and new cultural understandings. Although organizations need to manage change, it can sometimes be difficult for IT leaders to implement a traditional change management approach.

We are now entering the third month of 2022, and the question arises- 'where does 2022 take us?' To get them back on track, a great deal of commitment to change is needed - both from the top and across organizations. The business operations should fit a post-pandemic environment where uncertainty and volatility are likely to persist. Indeed, companies that are proactive in digital transformation initiatives since remote and hybrid work have become the new normal. Many organizations had to change their way of handling employees. As an employer, if you fail to provide them with modern tools and streamlined employee support they need to work within this new environment, there could be project failures and, possibly, a tech crash.

In the past, estimating the ROI of change management was more difficult, but now it is easier as organizations have realized the value of change management. However, some organizations need to recognize how change management contributes to the success of their projects and how this ultimately results in a return on investment.

In this blog, we will discuss significant ways to calculate the ROI of organizational change management. Before that, let’s start with the importance of organizational change management in this pandemic era to understand this better.

Organizational Change Management: A Necessity

It's no secret that an organization's growth and success are dependent on changes within that company. The most successful companies will change in different ways and at different levels. Organizations that fail to manage change appropriately can be detrimental to their business and cause stress and unnecessary work.

A company's change management processes help every level of the organization manage and succeed in the wake of big and small changes. The goal of change management is to ensure that your employees are aware of their new responsibilities and can carry them out effectively. Additionally, effective change management contributes to your business's ability to grow and adapt to market trends.

Read More: How Are You Implementing Change Management?

Defining ROI of Organizational Change Management  

Change management within an organization is not an instant fix; instead, it is a process that requires a team effort, leadership commitment, time, and appropriate resources. The adoption of change management must receive the attention and budget it needs to succeed. Based on three fundamental factors of human nature, researchers have developed a model that analyzes the ROI of change management. These factors are crucial to the success of any project.  

It includes:  

• The rapid adoption of new systems, processes, tools, and technologies in change management
  
• Implementation of change management
  
• Its efficiency in implementing the change by senior, mid-level managers and frontline employees.
  
  

Although ROI cannot be directly calculated, it should be given the appropriate attention. While effective change management isn't always easy to calculate, it is feasible. When you set the proper KPIs, manage change, and set goals, you can measure the return on your change project.

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Assessing the ROI of Effective Change Management  

We will look at two major change management programs that every organization comes across and determine their effectiveness.  

1. Impact of Digital Transformation
   
   There is no doubt that digital transformation has become increasingly important for every business competing in today's highly competitive global economy. Introducing new technologies and refining business processes through automation boosts productivity and profitability for many companies. It is not always easy to maintain momentum to achieve sustainable improvement and more excellent value. Digital transformation change management is critical to sustaining and expanding the initial improvements that accompany digital transformation. No matter what the size of an organization, it can succeed in digital transformation by investing the time and resources required to scale up to meet changing needs and goals while building value.
   
   Before the pandemic, technological advancements had drastically altered almost every aspect of modern life. Digitization has become a crucial focus for many organizations as they struggle to find their footing in the new normal. Companies worldwide will make a successful digital transformation journey a significant part of strategies for both recovery and growth, innovation, and competitive advantage. As the needs of employees and customers change, businesses are launching new apps, increasing their social media presence, and fundamentally changing their entire business model by leveraging technologies like artificial intelligence (AI), machine learning (ML), internet of things (IoT), Virtual Reality (VR) etc.
   
   Based on the World Economic Forum's Future of Jobs Report 2020, around 93.5% of corporations are looking to accelerate their digitization efforts after covid-19. This makes it clear that scaling digital processes is crucial to companies' ability to remain competitive and meet customer demands in this modern era.
   
   The following are five reasons digital transformation is crucial for any company looking to grow and maximize ROI.
   

• Boost collaboration and coordination between employees
  
• Better employee satisfaction and flexibility
  
• Improved operational efficiency
  
• Increased efficiency of project management
  
• Prioritizing security of the organization
  
  2. Adopting New Technology or Software
  
  New software or technology implementation can be stressful and challenging for all involved - employees, customers, IT personnel, managers, and even retailers. When you introduce new software, your employees may experience significant changes. A company can face change as one of its biggest challenges, but it will never grow without it.
  
  It is essential to follow a structured approach to software implementation in order to be successful. Change management aims to help people within an organization adapt to a change and function in the desired state using tools and techniques like strategic planning, project management, and organizational development. When it comes to implementing new tools or software related to HR or IT, resistance is likely present. These tools and software often result in more efficient and streamlined processes in the long run. However, if employees don't understand why the change is being implemented, it can cause friction. On the other hand, employees may also encounter difficulty with the newly introduced software or tools. They will be often confused and need instant assistance from a support agent who can help them.
  
  That's why companies rely on AI-powered service desks like Rezolve.ai integrated with collaborative platforms like Microsoft Teams and Slack that can provide the right support to employees. 
  

How organizational change can improve ROI in a modern service desk industry?  

A Modern Service Desk leverage technologies such as conversational AI and machine learning (ML) to provide solutions to employees’ issues in a seamless and effective manner. Here are some of the benefits of this organizational change management.  

1. An improved and personalized employee support system results in a more productive workforce
   
2. Instant answers to employees' queries
   
3. Automated processes and workflows
   
4. Eliminate low-value processes to cut support costs
   
5. A positive employee experience impacts results in better business ROI
   

Let’s dive deep into each.  

1. An improved employee support system results in a more productive workforce
   A critical need of employees in 2022 is the need for enhanced, personalized support. In the past few years, employees have found themselves frustrated and clueless when it comes to reaching out to the right service desk agent for clarification and receiving a personalized response whenever they face trouble at the workplace – such as password errors, software installations, laptop crashes etc.
   
   Today, employees don't want a support agent to provide generic and fragmented support; they prefer support tailored to their needs. With quick support, employees can focus on the task at hand rather than wait around for assistance. This will enhance employee productivity to the next level.
   
   
2. Instant Answers to employees queries
   While working remotely, it is natural that employees encounter technical and non-technical issues like laptop configuration, password resets, and inability to access employee benefits policies etc., which need instant resolutions. Employees invest a lot of time finding the correct information to resolve these difficulties.McKinsey reported that employees spend around two hours daily searching for information. This negatively impacts employee productivity. Thus, it is imperative for organizations to invest in an AI-powered service desk that can automate frequent and multiple within 15 seconds and provide instant answers to employees within 15 seconds. As a result, employees feel more connected and dedicated to their work.
   
   
3. Automated processes and workflows
   Each day, your organization performs different tasks. If you rely on manual processes, your employees will be spending significant time and energy on tasks that can be automated. With a modern employee service desk, employees are empowered by automating arduous and time-consuming processes like employee recruitment, onboarding, instant software installations, approving leave applications, etc. It also automates several repetitive, multiple-step workflows such as obtaining documents and verifying identities.
   
   
4. Eliminate low-value processes to cut support costs
   A modern service desk utilizes automation software and process templates to automate repetitive and time-consuming tasks, saving agent’s valuable time. Consequently, organizations do not have to spend a great deal of money on low-value tasks.
   
   
5. A positive employee experience impacts results in better business ROI
   Undoubtedly, when your employees are satisfied and feel connected to your organization, they will work harder to accomplish the common organizational goals. As a result, your employees and your organization become more productive. 
   

Conclusion

Managing organizational change requires a strong management team, effective communication strategies, and a desire to achieve business objectives. Change can occur through technological advancement, new processes, or large-scale changes within an organization. No matter what industry you are in or the size of your business, change management is a worthwhile investment. It doesn't matter what type of change you're looking to oversee - you can leverage automation solutions to help you. Automated service desks like Rezolve.ai can help standardize processes, reduce employee workload by handling repetitive tasks, effectively manage organizational change and bring considerable benefits to your organization.

Learn how Rezolve.ai can help employees keep up with the changes and enhance ROI  

For Employees  

• Employees have immediate access to information about new tools
  
• Answers in the form of engaging multimedia content, such as pictures, videos, audio, and GIFs
  
• Available directly from MS Teams
  
• Twitter-age knowledge management for instant answers
  
• When support is needed, generate invisible tickets inside Microsoft Teams
  
  

For Organization:  

• An in-depth analysis of employee questions
  
• Can be expanded in real-time to automate more answers
  
• Provides the ability to create and assign micro training sessions to improve learning.
  
• Support tickets can be raised within MS Teams if necessary.