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The psychology behind system migrations and how to manage change

Mon, 8th Jul 2024

Over the past decade, businesses of all sizes have been undergoing massive digital change. An increasingly competitive business landscape, rising complexity, and the digital revolution are reshaping the way today's businesses are run. Behind almost every fast-growing mid-market organisation lies a complex technology architecture. Put in place to boost overall performance through value creation, cost savings, growth opportunities, and workforce productivity, digital transformation marks an important step in any businesses growth journey.

This shift to a digital workplace means that every employee is regularly tasked with learning and navigating new systems, workflows and ways of doing their job. For many, this can be an exciting transition. But for many others, it can be downright frustrating.

Not just the practical aspects of implementing new technology but also the psychological hurdles employees face. Change resistance can stem from a fear of the unknown, perceived threats to job security, or simply discomfort with new processes. Understanding these human factors and putting in place measures to overcome them is one of the most challenging aspects of any digital transformation. The process itself is called change management.  And understanding the psychology behind it is the first step to navigating it successfully.

Fear of the great unknown
It might come from uncertainty about their role, job security, or the impact of new technology on their daily tasks, but this fear is real. Clear and transparent communication can help to alleviate this anxiety and build trust. It's not enough to share a walkthrough and provide login credentials. Leaders must explain why employees should do things differently, what the transformation means for their daily work, and paint a picture of what it all means for the organisation moving forward​. Neglecting this will likely mean mindsets and behaviours won't change, and the transformation efforts will suffer.

Perceived threats to job security 
Conversations about how new systems can improve productivity and reduce costs for businesses are often coupled with stories of how these systems will take jobs away from workers. The debate isn't a new one. In 1930, British economist John Maynard Keynes warned that we were "being afflicted with a new disease", he called it "technological unemployment,". Labour-saving advances, he posited, were "outrunning the pace at which we can find new uses for labour". He observed this phenomenon as machinery revolutionised factories and farms, and the adoption of mechanical switching in telephone networks began to eliminate the role of local phone operators, a job widely held by young American women at the time. 

But it's not really how things played out then, nor is it today.

Back in 1930, fears of mass unemployment were mitigated by new job creation and workforce adaptation. The mechanisation of agriculture shifted many to the automobile industry, which generated millions of jobs in manufacturing, sales, and maintenance. The advent of electricity created roles in manufacturing and maintaining electrical infrastructure. As mechanical switches reduced telephone operator roles, the business sector's growth demanded office workers like secretaries and clerks, offering new roles and skills.
With digital transformation it is likely that employees will find themselves collaborating with new technologies rather than being replaced by their automation capabilities. While it is indeed a radical shift, it does create opportunities for upskilling and new, more meaningful roles. 

To address these concerns business leaders should emphasise how any new system will support and enhance work, not replace it. This means providing reassurance and demonstrating the value of human skills in conjunction with new technology.​

Discomfort with new processes 
New tech means new workflows and processes. It's natural for some employees to feel overwhelmed by the learning curve, particularly when adding this on top of their daily tasks. Leaders should support employees with a combination of comprehensive training programs that matches different learning styles, continuous support through help desks and systems specialists or peer mentoring can significantly reduce discomfort and build confidence​.

Building a culture of change 
When an organisation is going through a digital transformation, creating a culture that embraces change will significantly add support. Build a culture where staff share a mindset of continuous learning and adaptability. Where everyone is encouraged to experiment and view failures as learning opportunities. This creates an environment where employees feel safe to explore new ways of working, and people who adapt well to change are recognised and rewarded.

Employee involvement and ownership
If new systems and ways of working comes solely from the top down, with no employees involved in the change process from the beginning, you are missing out on some valuable input.

Employees will have insights and firsthand knowledge about the intricacies of their daily tasks that leaders might overlook. Excluding them from the process could lead increased resistance to change and poorer implementation, since the systems might not be as user-friendly or effective without their input.

On the flipside, when employees feel their input is valued and they have a stake in the outcome, they are more likely to support the change. This can be achieved through regular feedback sessions, involving employees in pilot programs, and giving them roles in the planning and implementation stages​Taking a more inclusive approach will also foster a collaborative environment, build trust and engagement, and ensure a smoother transition to new systems.

Effective leadership
The final point is perhaps the most obvious, but it must be said, business leaders should act as role models. Practicing what they preach by embracing new systems, demonstrating a positive attitude towards the change and being approachable and open to feedback – these efforts will inspire and motivate employees to follow suit.

Digital transformation and change management entail some risk, and perhaps some trial and error, but the rewards are great.

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