How to get from a to b

It's a cliché to say that people always fear change. But it doesn't have to be that way. The best parts of our lives often follow periods of transition.

There's little doubt that the UK economy is entering a time of great upheaval. With raw material, energy and fuel costs set to keep rising, business looks set for a rough ride and food and drink processors are no exception.

Last month, Axis Management Consulting predicted an "unprecedented level of consolidation" among manufacturers in the industry in the next few years. Its 'Food Sector Consolidation Index 2008' study attributed this emerging trend to attempts to survive pressure on margins from retailers and soaring bills.

Given these issues, the ability to successfully manage change and the inevitable waves of recruitment and redundancies involved, will be increasingly crucial.

Knowing how people react to change is a good start and various sociological models can help. Elizabeth Kübler-Ross's book On Death and Dying, for example, outlines how people adjust to bereavement and her model has been adapted to how people deal with change in business. The principles are similar because change typically involves feelings of loss. "Often the biggest response is denial, with anger and frustration added to the mix," says Simon Jackson, executive director of Brewing and Distilling and a board member of food and drink sector skills council Improve.

Scepticism about the outcomes of change is another response. Paul Maloney, senior officer for the GMB union, has dealt with the fallout from mergers, buy-outs, downsizing and rationalisation many times. "Employees are sceptical of change," he says. "They worry about job security and often suspect something is afoot to give them security in the medium-, but not the long-term."

Panic can set in about long-term job prospects, especially if people are tied to debts, he says. The resulting anxiety can affect staff performance or lead to people avoiding the workplace by calling in sick.

"The less in control we feel, the more we try to seize control, often by trying to stop change from happening," says Margaret de Lattre, client director at Ashridge Business School. "At its worst, resistance becomes sabotage."

This can then set off a vicious circle as bosses try to clamp down on such behaviour. "People think companies are going to use disciplinary procedures to get rid of them," says Maloney. Inaccurate and damaging rumours can start flying about.

Unfortunately, where acquisitions are concerned, reactions are not helped by an assumed arrogance on the part of the firm that's taking over, prompting a tussle for one-upmanship. "They quite commonly think they are the superior being and therefore tend to impose more of their will on the other firm," says David Earps, director of food industry consultancy Pride in Food. "One of the driving trends is to try to come out best."

The trick is to nip negative reactions in the bud. Again, recognised models can provide pointers. These include ADKAR, developed by US research firm Prosci. ADKAR focuses on promoting: Awareness of why change is needed; Desire to support and participate in it; Knowledge of how to change; Ability to implement new skills and behaviours; and Reinforcement to sustain changes.

Openness and honesty is critical. Senior management may only drip-feed information. Equally, middle management may bluff their teams because they are reluctant to admit ignorance about what is happening. But experts agree this is counterproductive.

"The biggest tool in the process is saying: 'I don't know, but as soon as I do I will tell you'," says de Lattre. "The worst thing a management team can do is keep stuff to themselves. Organisations that go through transition most smoothly are the ones that tell it like it is."

Aimie Chapple, executive director for talent and organisation practice at consultancy Accenture, says: "Managers get scared of communicating the reality, fearing what will happen if they tell people they will lose their jobs. But if you don't tell them, people are intuitive and pick up on what's going on."

Continuous, repetitious feedback is important, she adds. "[Management consultant] John Cotter says you need to communicate by a factor of 10 before people get the impression they have been heard."

Preserving a clear vision helps to keep communication consistent, says Chapple. "You need to clearly connect all things with the outcome. That cuts through the challenges and emotions and helps to create a successful change programme."

Constant engagement and interaction with staff are vital, says Improve's Jackson. "The most common mistake is lack of communication and involvement. Management must take time to explain the rationale for the change, the implications and how the business intends to see the change through. Firms should get their employees involved in the process and the solutions."

De Lattre says allowing employees to actively shape how a firm adjusts to change lessens feelings of being alienated and out of control. Mere lipservice to the idea of engagement is not enough - the process must be genuine. "People who have been asked to give their opinion and are not listened to are the most dangerous people," says de Lattre. "They have just enough knowledge of what's going on to turn it against the organisation."

Staff at all levels can be involved in shaping the future look and strategy of the business. "Change needs to be handled in as small a unit as possible, from departments to teams to small groups to individuals," says de Lattre. Even junior teams can be involved in things such as structuring daily schedules, while more senior staff can tackle more complex issues, she says. "Delegating authority is more important at this time than at any other, yet ironically it's when managers most want to keep control."

It's also important to remember that change is only successful if it can be sustained, she adds. "One of biggest causes of change failure is lack of sustainability. People don't carry on doing things like they are meant to. Management attention often stops when you 'go live', but unless you get engagement it may take years to get sustainability." FM

Diary of an apprentice - learning on the job

When we last spoke to Elizabeth Bown, md of Jolly's Fish & Farm Produce, based on the Orkney Islands, she had just begun an adult apprenticeship programme concentrating on management skills.

Having finished a communications module, she has started two more components, 'looking at food safety awareness in manufacturing' and 'contributing to continuous food safety in manufacturing'.

That doesn't mean the emphasis has moved off her communications training, says Bown, who likes the way modules interconnect. One of the things she's looking at now, for example, is developing more formal daily food safety audits. "These tie in with the communications module, because as I'm looking for things, I then have to tell the staff about them."

Everything she's learning continues to have an immediate, practical application, she says, with her allocated trainer tackling her on things as she's doing her job. "He's around as I'm speaking to people and picks up on things as we're going along - he'll say things like, 'he didn't understand that, did he; how could you have done that better?'"

The order of modules - mutually agreed between Bown and the trainer - has helped, she says. "These things build on each other."

Regarding her food safety training, she is being guided through how to design forms to check food safety issues are dealt with and recorded and how to implement appropriate procedures. This includes initiating official monthly hygiene and conformance records.

Jolly's is working towards its Safe And Local Supplier Approval (SALSA) accreditation and the additional coaching is coming in handy in this area, says Bown. "These things have been in my mind anyway, but it's given me the structure and guidance to approach them in a logical order."

There's not much paperwork involved in her apprenticeship programme, which is a blessing, says Bown, as she's very busy. "I often end up filling in the coursework forms sitting outside waiting for my children to come out of piano lessons, but form filling is a small part of it."