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Asian Journal of Management and Commerce 2021; 2(1): 83-86
E-ISSN: 2708-4523
P-ISSN: 2708-4515
AJMC 2021; 2(1): 83-86
© 2021 AJMC
www.allcommercejournal.com
Received: 15-12-2020
Accepted: 12-01-2021
Dr. Prem Lal Joshi
Senior Fellow, ICSSR Western
Regional Centre, Mumbai,
Maharashtra, India
Correspondence
Dr. Prem Lal Joshi
Senior Fellow, ICSSR Western
Regional Centre, Mumbai,
Maharashtra, India
Change management and management of mind-set
Dr. Prem Lal Joshi
Abstract
The purpose of this paper is to discuss the issues of changing the mind-sets of employees and
institutions when organizations go for change management for various reasons. The mind-set factor is
often either ignored or given least priority by management during strategic planning. Mind-set
management relies more on continuous learning, the capacity to bear risks and reap benefits from
opportunities. The article suggests a model using 4es (educate, empower, enable and engage) by
management to shift the employees from fixed to growth –oriented mind-set. In case, management is
not able to succeed in changing their mind-set, then at least, try to change their approach for improving
their productivity. The article also gives a few well known cases of change management in the past.
Keywords: Change management, mind-set, positive, negative, educate, empower, enable, engage
1. Introduction
Due to emerging technologies, changes in government regulations, customer’s preferences
and market competition, the businesses are changing at a faster face for their survival and
growth. In fact, the change management has become the most critical success factors for any
business today. It is said that if an organization has to survive in competition, it has to
embrace change sooner or later, otherwise, its’ competitors may leave the organization
behind. However, along with a change management, shifting of human mind-set is essential
for the successful implementation of the change. This is considered a hard side of any
change management. Therefore, this paper provides a few glaring examples of change
management cases and it discusses issues of changing the mind-sets of employees and
institutions. It provides some interesting insights into the topic, when organizations go for
change management for various reasons.
Change management involves a systematic strategic planning for transformation of an
organizational goals, technologies, processes, nature of business, personnel switches and
core values. Literature shows that most common examples when change management is
necessary to successfully implement changes within organizations, may include: adopting
and implementing emerging technologies, change in leadership, change in culture of the
organization, mergers & acquisitions etc. Additionally, the types of change management may
include: strategic transformation change, structural change, people -centric organizational
change and remedial change (Sharma, 2020).
1.1 Cases of Change Management
The following are a few well known cases of change management which took place in
the past:
During early 80s, British Airways was known for its inefficient operations and valuable
resources were wasted. The new chairman of the airlines decided to completely
restructure the whole business and man power were reduced considerably.
During early 2010, Domino’s Pizza implemented its strategy for business
transformation. This transformation resulted in improving the business by increasing
sales turnover considerably, it used emerging technology, savvy marketing, creative
ordering methods.
Nokia realized that it had lost good opportunity to lead the smart phone revolution.
During 2008, the new CEO implemented change management by disposing of its mobile
device division to Microsoft and Nokia focus shifted to network and mapping
technologies.
During 80, bitter rivals Pepsi started an aggressively targeting Coca-Cola. Coca Cola
ntroduced New Coke but it could not succeed and then replaced it with older formula of
Asian Journal of Management and Commerce www.allcommercejournal.com
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the product. The brand became popular
among consumers.
In 2007, Netflix implemented change management by
adopting digital transformation. This change involved
allowing people to watch their favourite TV shows and
movies directly on their computers with the use of an
app. To develop this app, Netflix made huge investment
in acquiring computing infrastructure and software.
This change strategy increased profits of the company
significantly.
Many other companies’ management acting proactively in
anticipation of changing trends, implemented change
management, for example, Shell-2004, Santander-2008,
United Arab Emirates’ du Telecom-2013, Tata Motors etc.
In these cases, employee’s mind-set issues were also given
some consideration. However, in other cases, it might had
been overlooked e.g. Tarsus Distribution, Wistia etc. In a
survey by Schaffer and Thompson (1992) reported that 63%
of electronics companies failed their change transformation.
Among various reasons, lack of employee’s involvement in
the change programme and their resistance to change were
also important reasons for such failure.
2. Mind-sets
During the process of change management, one important
aspects which is often either ignored or is given
least attention by organizations is the shifting mind-
set of employees and organization. For example, in a case
study, Turner (2017) reports no definitive assistance was
extended to the employees, a lack of communication for
individual concerns, and employees felt unvalued during
change management in case of a university. Therefore, it is
argued by industry stalwarts that change of mind-set is
generally a key factor for an effective implementation for
any change management. This factor acts as a blockage to
successful transformation of businesses because of not
creating conducive environment and poor internal
communication by management. The mind-set of both
individual and the institution at the same time need to be
changed. Management would need to find out the main
causes of behaviour that helps or hinders in shifting the
mind-set.
The mind-set is a set of attitudes supporting the strategy of
transformation and after words its working
environment. They may include improvement, learning
cycle, respect, collaboration, and concentrating
on delivering value as well as to adapt the change. This
mind-set helps in building high performing teams during a
change management, to shift such mind-set needs a lots of
education and training both from the top management and
by employing outside consultants because there is always
resistance to change in employees’ mind. Reyker (2021)
states that:
“Today, the best change management focuses directly on
transforming the personal mind-set”.
Similarly, Geraghty (2021) posits that:
“The success of a change management in an organization is
down to how amenable people are to the transformation and
make them enthusiastic about its success”.
We need to understand that employees and institutions
mind-set (attitude) were developed as a consequent
of past management practices and the prevailing
culture of the organization. They developed fixed mind set
over a period of time. During change management, the fixed
mind-set needs to be transformed into a growth–oriented
mind-set. In this regard, Gottfredson and Reina (2020) state
that:
“a growth mind-set is a belief that people, including
oneself, can change their talents, abilities, and
intelligence”.
Furthermore, in several companies’ cases, the lever for
change – leadership behaviours are often overlooked.
Harmon (2020) states that in a change management process,
it all starts and ends with leaders.
Changes in organizations are considered scary for most
people. Management needs to build momentum by getting
everyone’s consensus before the actual switch-over during
this transformation process. Management should
build communication steps in the change management
plan for transformation. Process training, implementation
guidelines, feedback from employees and continued
monitoring are all necessary parts of the change
management plan. Then employees may know what is
expected of them after the switch over.
2.1 4es Model
Before, any transformation is enacted, the employees should
be convinced that the change is for the employee’s growth
and benefits as well as to meet the competitive forces. In
short, management may educate, empower, engage and
enable (4es) (figure 1) the employees in the change
management process. Therefore, behavioural change is
needed to achieve the desired goals of any change
management.
Asian Journal of Management and Commerce www.allcommercejournal.com
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Fig 1: Management of mind-sets: use of 4es
Educate: The rationale behind the change has to be
convincingly explained to the affected employees. It
may be argued that transparent communication and
effective change management leads to greater profits.
The most difficult part of change is overcoming
people’s natural resistance to switching things up.
Communication can mean the difference between
success and failure. Educating employees means
helping them to learn and understand why change is
necessary and how it may benefit to them and the
organization.
Empower: Allow employees to take ownership and
responsibility for delivering change. Consider them
partners in the change management process. This may
develop positive mind-sets with them and will see that
the change is effectively implemented.
Enable: Equip employees with skills and structures to
act and build their confidence to provide solutions. It
also means creating conducive environment to gain
support. Therefore, management needs to remove
barriers to action.
Engage: Maintain two-way dialogue to get support
from the employees. It also means to talk to both
logical and emotional sides of brain. The organization
needs to find ways to get real feedback directly from
the teams and employees so that constantly improve the
process. A great way to do this is through
regular internal feedback by using opinion/suggestion
surveys. That way, employees can know that
management is taking into consideration theirs views,
ideas and voices which will improve employee’s
engagement in the process.
Furthermore, it needs to be understood that the shift in
mind-set should ensure smart, hard-working, and well
intentioned employees should continue to behave and work
as before. The simple reason is that organizations may not
change, it’s the employee change. Additionally, employees
who are involved in the change management from the very
beginning, stay engaged with the organization even after the
change management. Therefore, participation of employees
may also be considered important in order to shift their
mind-sets and remove uncertainty of job insecurity.
2.2 Positive and Negative Mind-sets
Many times, an organization’s change focus may also be to
change business metrics and at the best, the employee’s
mind-set. They may ignore what created a need for change
in the first place. Management may want to change mind-set
of its employees to improve performance, however, only a
few may succeed in such cases, such methods may lead to
resistance from employees. Any new metrics to be
introduced only after participation of the employees in
setting those metrics, a process of seeking their commitment
by management. Figure 2 below depicts the positive and
negative mind-sets of employees during change
management:
Fig 2: Management of mind-set
Asian Journal of Management and Commerce www.allcommercejournal.com
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Positive mind-set: Positivity is more about one’s
overall perspective on life and the tendency to focus on
all that is good in life.
A positive mind-set is the tendency to focus on the
bright side, expect positive results, and approach
challenges with a positive outlook. Ackerman (2020)
states that a positive mind-set may include optimism,
acceptance, resilience, gratitude, consciousness and
integrity towards the changes.
Negative mind-set: When employees feel threatened of
their job security and losing powers as a consequence
of this change, they develop a negative mind-set. It is
posited that negative thoughts are your worst enemy.
Negative mind-set may include pessimistic, denial,
resistance, opposing, destructive criticism, spreading
rumours. For example, during 1986, when in Indian
state of Maharashtra, the government took a decision to
apply Zero-Based Budgeting (ZBB) in the state
budgeting exercise, employees and their unions showed
negative mind-set assuming that a ZBB approach
means head cutting. They started opposing to the
adoption of ZBB in the state.
Kidd (2021) argues that in the process of change
management, the organization needs to build a resilient
company culture as changes take place at the individual
level. This may overcome the denial and resistance of the
employees in order to lead a successful implementation.
Therefore, to eliminate or reduce the negative thoughts
among employees, continuous persuasion, in house
workshops and transparent communication are very
essential for the success of change management.
3. Conclusions
In a change management, top management should also focus
on management of mind-set of both individual
and institution. The employee’s attitudes, values, beliefs and
perspective need to be changed for the success of
any change management. Mind-set management relies more
on continuous learning, the ability to bear risks and reap
benefits from opportunities. Time and patience are required
for the success of management and shifting of mind-set.
Breeden and Clapper (2020) state that mind-sets are not
easily quantifiable and they are often ignored in strategic
planning.
Therefore, create situations in which a person will discover
the new mind-sets for themselves. Respect their autonomy.
Additionally, avoid blame on them and focus on growth.
Remember that employees want to see themselves in a
positive light and they may resist if they are painted in a
negative light. Ignore their past behaviour but increase
pressure to shift their future behaviour. Keller and Kaleen
(2012) suggest that spending enough time with employees
during change management is a powerful method to assist
management to uncover and deal with those mind-sets and it
may boost employee’s engagement and business
performance. Last but not the least, if an organization is
unable to change employee’s mind-sets, then at least try to
change their approach for improving their productivity,
leading to organization performance.
4. References
1. Ackerman CE. What is positive mind-set:89 ways to
achieve a positive mental attitude 2020. Retrieved on
14 April 2021 from:
https://positivepsychology.com/positive
mindset/#:~:text=Being%20happy%20even%20when%
20you,how%20bad%20your%20current%20circumstan
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2. Breeden A, Klapper B. Successfully shifting mind-sets
to accelerate performance 2020. Retrieved on 12 April
2021 from:
https://www.heidrick.com/Knowledge.Center/Publicati
on/Successfully_shifting_mind_sets_to_accelerate_perf
ormance.
3. Harmon S. Change management is a mind-set 2020.
Retrieved on 11 April 2021 from:
https://www.forbes.com/sites/harmoncullinan/2020/02/
20/change-management-is-a-
mindset/?sh=771f62441f65.
4. Geraghty J. () Change management: how to shift the
behaviours and mind-sets of your people 2021.
Retrieved on 14 April 2021 from:
https://www.hrzone.com/lead/change/change-
management-how-to-shift-the-behaviours-and-
mindsets-of-your-people.
5. Gottfredson R, Reina C. To be a great leader, you need
the right mind-set. Harvard Business Review 2020.
Retrieved on 12 April 2021 from:
https://hbr.org/2020/01/to-be-a-great-leader-you-need-
the-right-mindset.
6. Keller S, Kaleen L. Change your employees’ minds,
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Retrieved on 17 April 2021 from:
https://hbr.org/2012/03/change-your-employees-minds-
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7. Kidd L. Change management: How to rally people
around change? 2021. Retrieved on 14 April 2021
from: https://www.humanresourcestoday.com/change-
management/examples/?open-article-
id=15643462&article-title=change-management--how-
to-rally-people-around-change&blog-
domain=trainual.com&blog-title=trainual.
8. Reyero D. Mind-set management: reinventing change
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https://davidreyero.com/en/mythemes/people-
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9. Schaffer R, Thompson H. Successful change programs
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10. Sharma. 4 types of organizational change, explained
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https://whatfix.com/blog/types-of-organizational-
change
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