Transformation Capability: Beyond Individual Change Projects
Change is an inevitable part of any future-proof organization. Crucial is how the organization leads and handles the transformation and on what level its ability to change is. Some organizations involve the employees from the beginning of change, as soon as possible and some run the whole show behind closed doors, either due to legislation or culture.
Equally important is how the employees react to change and how those reactions are lead. Some may embrace the change with open arms, while others may resist it, fearing the unknown. Some might even be shaking due to strong emotions of uncertainty that are difficult to cope with. This requires skills from leaders to lead the emotional climate.
Most important is to remember that organizations are made of those people and their ability to change. If their ability to cope with continuous changes does not change, neither does the organization’s change capability grow. Riikka Tanner encapsulates the essence of change capability in the Trendit ja muutosvoimat report (Johdon agendalla 2025), emphasizing that “it is more than just succeeding in individual change projects. It is about systematically building a growth mindset within the organization.”
Understanding Change Capability
Change capability (muutoskyvykkyys) is the ability of an organization to adapt quickly and effectively to new circumstances. It involves not only managing change projects successfully but also fostering a culture that embraces continuous learning and improvement. This growth mindset is crucial for long-term success, as it enables organizations to stay competitive and resilient in an ever-changing environment. It also helps individuals to focus on opportunities and learning instead of fearing change.
Building a Growth Mindset
A growth mindset in the context of an organization means encouraging employees to view challenges as opportunities for growth rather than obstacles. Collective intelligence and everyone’s competences can be developed, learning will never stop. This mindset shift can lead to increased innovation, improved problem-solving skills, and a more collaborative work environment. For individuals it is essential for keeping future hope alive and helping them to move forward instead of freezing.
Practical Steps to Foster Change Capability
- Promote Open Communication: Create an environment where employees feel comfortable sharing their ideas and feedback – also the negative and constructive ones. Increase also awareness about the change (what will change, why, in what, and how, if possible). Open communication fosters trust and collaboration, which are essential for successful change initiatives. Undiscussed negative feelings among individuals may block progress and cause unnecessary turmoil to work environment.
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Encourage Continuous Learning: Provide opportunities for employees to learn new skills and expand their knowledge, even from the transformation itself. What could increase individuals’ desire to change? What opportunities can change bring to them? In transformation, individual or team coaching sessions are the most effective ways because of their reflective nature. In addition, competence development can be supported with peer sparrings, workshops, and independent studies of online resources.
- Recognize and Reward Adaptability: Acknowledge and reward employees who demonstrate adaptability and a willingness to embrace change. This can motivate others to adopt a similar mindset and get themselves moving again. Though, it is also important to remember and notice those who who are still in the beginning of their change curve, for instance with “change mate” activity.
- 4. Lead by Example: Leaders play a crucial role in shaping the organizational culture. By demonstrating a growth mindset and embracing change themselves, leaders can inspire their teams to do the same. Also talking about their own feelings in transformations makes the change more empathic and human. It also emphasizes that everyone has their own journey and pace on the change curve. As individuals adopt the ways of leaders, the culture adopts new behaviors.
Conclusion
In conclusion, building a robust change capability within an organization is essential for navigating the complexities of today's dynamic business environment. By fostering a growth mindset, promoting open communication, encouraging continuous learning, recognizing adaptability, and leading by example, organizations can create a culture that not only embraces change but thrives on it. This holistic approach ensures that change is not seen as a series of isolated projects but as an integral part of the organization's DNA, enabling sustained success and resilience in the face of future challenges.