This is the year I believe many distributors will move forward on bigger business initiatives – whether that be a new or revamped ERP system or a more strategic approach to their markets.
Certainly, we have seen many distributors invest during the downturn to come out ahead. But despite some uncertainty, conditions continue to improve, boosting confidence to continue investing in new ideas. With that comes change management, which is one of the biggest challenges in any organization.
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I tapped into the MDM Archives to find some of the best advice on managing change in distribution organizations. Here are five change resolutions to adapt for the new year:
1. Empower your employees. “If you want somebody to fundamentally do something different, you can’t force them to do it,” says Steve Deist of Indian River Consulting Group. (From 5 Lessons for Better Change Management)
2. Make the result of change the reward. When changes make it more difficult to do someone’s job, it can dissuade buy-in. But employees will buy-in if it’s clear the result of change will be more time to spend selling for example in the case of a sales force or making it easier to communicate changes to customers and prospects. (From 5 Lessons for Better Change Management)
3. Avoid the traditional top-down model when dealing with large change. As John Kotter – a bestselling author on several change management books – once wrote, it’s critical to engage employees at all levels. Even in small companies, he says, it’s easy for front-line employees to be ignored, and in the end, you need cheerleaders on every level to make change go as smoothly as possible. (From Commentary: One Way to Mute the Turmoil That Can Come with Change)
4. In that vein, research what matters: Ask employees what they need to do their jobs better. Whether you have a change in mind, or you are trying to decide what your next steps will be in improving your business, asking those who are on the ground is the best way to understand what will take. Take the experience of one distributor, who found that salespeople weren’t using the tools they had because they weren’t given the information they needed. (From: Uncovering Sales Opportunities)
5. Make transparency a priority. In an article I wrote detailing the massive changes MRO distributor Lawson Products is undertaking, Lawson’s executives said that one of their priorities is communication with all employees. Executives hold quarterly Q&A sessions with sales agents, for example, that can last more than two hours. Given the sweeping changes the distributor has made to its sales force, this ongoing communication is critical. (From The Transformation of Lawson Products)
What other advice would you give to distributors looking to make change in 2012? Comment below.
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