Is Transformation the Right Answer?
Transformation is a big industry. As organisations create new 3 year strategic plans, their launch is accompanied by the announcement of at least one new transformation programme.In preparation for writing the analysis from the 4th annual Change Capability Survey, I read 17 different CEO survey reports. These highlighted that the c-suite are investing in high volumes of large-scale change. For example, 88% of large enterprises are now pursuing two or more concurrent organisational transformations (KPMG 2025 study ‘Transforming the enterprise of the future’)
I am now seeing a new trend, very much in its infancy, from only a few clients, who are starting to ask “is the disruption of transformation worth it, or does this do more harm than good?”
Transformation Comes at a High Cost
Continuous improvement has become a talking point. Avoiding transformation and replacing seismic change with continuous enhancements/improvements is a growing discussion that my clever clients want to have.
And we are not alone. A couple of partners from Bain & Co are making the same point in an article to be published in the Harvard Business Review in January, they highlight that transformation comes at considerable cost.
Transformation is a process of profound and radical change that orients an organisation in a new direction and takes it to an entirely different level of effectiveness. The effort needed to create this radical change risks the success of the business today for the promise of an amazing new future.
Increasingly I am seeing people pay less attention to their immediate priorities, because they have meetings and workshops to attend to develop their future ways of working. They rush through their ‘day job’ to try to create enough space to support these change initiatives, and at the same time, they are trying to work out how to do their job because of all the changes that are happening.
Too often, it feels frantic, it feels chaotic and people finish work tired and confused, knowing they have been very busy but questioning what they have actually achieved. This negatively impacts their motivation for more of the same.
Is Continuous Improvement Better than Large-Scale Transformation?
An alternative approach is to continuously enhance and build upon what already exists, to improve speed, accuracy and quality.
Transformation makes sense if there has been a true disruption that needs to be addressed. It doesn’t make sense if your organisation is operating sub-optimally because the way it does things has drifted from what needs to happen. Small course corrections would make more sense that completely changing direction.
Perhaps it is time to view transformation with a more questioning attitude. Instead of assuming transformation is the only option, perhaps we should consider if a coordinated series of smaller improvements would achieve our objectives earlier and with less negative impact on morale.
Instead of the disruption that comes from transformation, apply an agile approach to change, applying small, clearly defined and understood improvements.
Continuous Improvement is Agile Change
Recognising that these small, clearly defined improvements can be achieved via an agile change approach simplifies how we make this happen, because we can use already proven agile change techniques
Benefits-Led Change
There will always be more ideas for improvements than we have time or resources for, so prioritisation is essential. The essential criteria to prioritise these ideas is business value, so we must assess every potential improvement for its contribute to growth and efficiency – which are the essential drivers for business success.
Only improvements that deliver the most value is undertaken.
Thin Slicing
The technique most frequently requested is “thin slicing” which involves breaking any change into smaller, more specific changes.
My specialism is coupling thin slicing with positive psychology so we ensure that each “slices of change is delivered as an enhancement to the previous change. By creating a culture of continually improving what we already have we are celebrating what we have achieved so far, instead of implying that we are fixing things because we are failing.
Iterative Approach
Iterative means repeatable, so instead of aiming for perfection, and delaying adoption of a change until every element has been thoroughly researched, we get in the habit of implementing a small change, assessing its impact, learning from this experience to improve the next iteration where another aspect of the change will be developed and implemented.
These small adjustments ensures your organisation never falls far behind what your customers need or want, reducing the need for a transformational change in direction.
Horizon Scanning
Continuous improvement requires a constant stream of innovation ideas. This comes from asking questions about what is possible, comparing current ways of working with how competitors are operating and taking notice of what customers are asking for.
Establishing a routine for assessing these factors frequently and ensuring everyone can contribute their ideas so you have as diverse a range of perspectives as possible is vital, as it is this breadth of ideas that produce new insights.
Agile Change Delivers Faster Benefits
An agile approach ensures improvements are delivered frequently, with each improvement and innovation building on the others, so there is a continuous stream of fresh ideas. Ensuring each achievement is celebrated creates a permanent state of positivity and motivation.
From the perspective of neuroscience for change at work, an agile approach is a very brain-smart approach. Celebrating achievement stimulates dopamine which is a feel good chemical in the brain, which makes us seek out more of the same, as we crave the feelings of enjoyment and pleasure.
Conclusion
Of course I find this interesting. I wrote all about it in the first edition of the Agile Change Management Handbook in 2014 and updated my practical approach with another 43 techniques in the 2nd edition in 2021.
There is definitely a resurgence in interest in an agile change approach driven by a recognition that agile change is just another phrase for continuous improvement.
Only last week I received 2 requests for presentations that highlight this:
- Consumer healthcare company asked me for a workshop for their leaders on continuous reinvention.
- Insurance company is asking me to train them in iterative planning techniques and prioritisation techniques at their leadership development day
We know major transformations attract big budgets and lots of senior leader attention but there are lots of benefits to frequent, small scale change. Next time you are in a planning meeting for yet another big change initiative, consider a more agile approach as your first step.