How To Manage Change When Outsourcing: 7 Keys
Change is inevitable.
There’s no getting around it.
That’s why it’s such a hot management topic these days.
Change is also pervasive. It affects everything—even outsourcing projects.
In fact, it can make or break your outsourcing project.
Managing change provides numerous benefits. It helps:
- Both partners work together more effectively
- Generate support for your project.
- Ensure complex changes are made efficiently
- Both organizations adapt to a new way of working
Managing change is the engine of an outsourcing project. It drives organizational transformation and employee motivation. That’s why it’s so critical to outsourcing success.
But managing change is a challenge. With outsourcing, it involves two organizations with different goals, personalities, and management styles.
So how do you manage change effectively when two organizations are involved? Here are 7 ways that can help you do it.
Streamline the adaption process
Change creates fear and anxiety. These in turn create resistance. To manage change effectively, you need to overcome resisgtance:
First, you must unearth the causes of resistance. Once you’ve done that, streamline the adaption process based on those causes.
Streaming simplifies and speeds transformation. That in turn places less stress on the organizations involved.
Have patience and don’t skip key steps
Organizational transformation is a process. Experts say there are 8 steps to managing change. Each takes time to execute. So have patience. And don’t skip any steps. That just makes your job that much harder later on.
Strive for continuous improvement
Outsourcing projects are sometimes complicated. To manage this complexity, you must be disciplined, make data-driven decisions, and strive for continuous improvements. Using a methodology, like Lean, helps.
Build a sense of teamwork at every level
Outsourcing projects work best when both organizations see themselves as partners. So work on creating the bonds of teamwork at every level and with all stakeholders—including senior management if they’re involved.
Forge two-way communications
Creating an open, two-way dialogue between partners is critical. In fact, your project won’t succeed without it. So talk with your service provider constantly. Let them know what’s happening.
In addition, explain why the project is taking place and support honest feedback when given. Feedback drives continuous improvements while open communications builds board-based support for your project.
Create a customer-focused work environment
To be successful at outsourcing, you must have a service delivery team that’s customer-focused, determined and motivated—one that’s committed to continuously improving performance.
To create a dynamic environment, you must leverage effective performance management, recognition and reward, and learning, mentoring, and career development.
Involve change management experts early
A good time to weave in change management activities into a project is at the beginning. Bringing in experts to guide you through the process early on helps. It helps them understand your business objectives and your challenges.
Early involvement helps them create a plan tailored specifically to your needs—a plan that includes both comprehensive strategy and targeted tactics, and that can help your people adapt to a new environment.
There’s no getting away from change. It’s inevitable. How you manage it can make or break your outsourcing projects.
So confront change head one. Including change management activities in any plans you make to outsource services, like tech support or help desk activities, ensures success.
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