Press Release: The State of Organizational Change is Changing – And Not For the Better

The State of Organizational Change is Changing – And Not For the Better

— 2023 Change Report from Notion Consulting notes that middle management –
the group keenly responsible for ensuring success – is feeling it most —

NEW YORK (July 13, 2023) – Notion Consulting, a leadership and transformation consultancy, today announced the results of their annual study, The Change Report 2023: A Study of Attitudes, Perceptions, and Impact of Workplace Change. One thing is clear: organizational change remains a constant presence in 2023 and, year-over-year, the ability to make these changes successfully is declining.

Two significant performance indicators shifted nearly 10% in the wrong direction from 2022 to 2023: the failure to achieve business performance goals during change (40% in 2022 vs. 44% in 2023); and failure to engage and retain employees (from 60% to 65%).

In addition, emotional commitment to change declined by nearly one third year over year – with senior leaders and middle management leading the retreat.

“The changes we see reflected in our 2023 data are concerning – but not surprising,” explains Christine Andrukonis, founder and senior partner at Notion Consulting. “For the last 20 or 30 years, advances in technology have shaken the ground under most businesses. And then the pandemic hits, and the best laid plans get tossed into a blender. The data proves what we see with clients every day: People are tired.”

For its report, Notion surveyed 550 members of the U.S. workforce, ranging from C-suite executives to front-line employees, about their experience with change in 2023. The study also found that:

Employees are increasingly skeptical about change. Emotional commitment to change is waning across all industries, all types of workplaces, and all age brackets. People who may have believed their companies were changing for the better back in 2020, 2021, and 2022 are beginning to question whether all this workplace change is actually taking them anywhere.
The middle is feeling the squeeze. Due to pressures coming from above and below, leaders of people who sit in the “magic middle” of their organizations are feeling the crunch. Given the critical role this group can play to make or break the success of organizational change, the pressure they feel poses a huge risk to organizations and their talent.
Employees seek a deeper connection. Although leaders are feeling the pressure and the sense of urgency, their employees say that if the leaders can slow down up front, they will go faster later. They want to understand the change, have an opportunity to provide feedback, and contribute to their organizations’ success moving forward.
Managing change matters. Organizations that employees rate highly for the things they do during change (such as frequent, open communication) are also rated highly for the business outcomes of the change itself. The converse is also true.

According to Andrukonis, to drive successful transformation, “leaders must understand that change is first, foremost, and always about people – not shiny new technology, processes, or products. Leaders who understand this will reap the benefits – because the cycle of change shows no signs of slowing down. In fact, with advances in areas such as artificial intelligence, a tsunami is about to wash over American business.”

Notion Consulting’s previous studies, The Change Report 2022 and Change 2020: How Successful Leaders Drive Change Now, seek to create a community of practice and dialogue about leadership and change. Notion frequently surveys its network of HR leaders about how they are helping employees navigate the evolving workplace and continues to lead roundtable discussions to address leadership issues during times of uncertainty.

About Notion Consulting

Notion Consulting is a leadership and transformation consultancy that helps organizations harness the full power of their people to drive change, advance their mission, and unleash their competitive edge. The company works with high-profile organizations such as American Express, Chanel, Datto, FedEx, The Estée Lauder Companies, Goldman Sachs, Hess, Johnson & Johnson, JP Morgan Chase, L’Oreal, The NFL, Pfizer, and Shiseido to help C-suite executives lead change: activate their teams to shift strategy and structure, establish new business models and capabilities, enhance processes and technology, and strengthen talent and culture. Established in 2015, Notion has equipped more than 150,000 leaders and employees to drive change and positively impact the future of their companies and teams. Visit notionconsulting.com for more information and follow them on Twitter and LinkedIn.