Small business owners face a variety of threats to the survival of their business, including technology and shifts in customer tastes. Change management can help a small business survive in a sea of competition.
What is change management?
To thrive and grow, a business must change and evolve. That’s what change management is all about.
We all know we need to change, but most of us delay the changes or don’t do it at all. Why is that?
Barry Moltz, Business Expert and author of Change Masters sits down with Shawn Hessinger, the Executive Editor for Small Biz Trends and explains why and what method you can use to meet this challenge.
Call Barry Moltz the Small Business Expert at www.barrymoltz.com if you need more information after watching this latest episode of Small Biz at 3:15 PM.
Shawn: Based on your book Change Masters’ subtitle: How to Make the Changes You Already Know You Need To Make. What I’m wondering is, do small businesses know that they need to make these changes, which is why it takes them so long to make the changes?
barry: I wrote this book because many people asked them to come to their companies and help them with change.
So we got together, we sat down, and in very detailed conversations we say, This is what’s going on; here are the problems; here are the changes we are going to make. An entire roll-out program is made on the basis of this.
And then almost nothing happens, says Barry.
These people get a lot of money to make a plan and do nothing. So the question is why?
Barry explains that the reason for this has to do with biology: your brain is a machine that makes patterns, he explains.
If you’re surviving, it would rather keep doing what you’ve already done to keep you alive, or prosperous, or whatever it is. I’m trying to help you make the change you know you need to make and here’s the method to do it.
Shawn: We know that changes are important in our business and personal lives. What do you think are the main reasons why change is so problematic?
barry: As I said before, the brain is a pattern making machine. As you get older, you get lazy. We prefer to go to work in exactly the same way every day because our brains go on autopilot and we have to learn something new. It’s much harder.
Small business owners also use the phrase, “It’s better the devil I know than the devil I don’t know.”
Barry goes on to say that making a change involves a certain kind of unfamiliarity, or a certain amount of chaos, and in my experience people only change when they’re in incredible pain. Only by wanting to relieve that incredible amount of pain will they make any kind of change.
How do you get past ineffective change management?
Shawn: You talk about how you need to change the culture and the way your company works, especially if you have employees or others you need to explain, “Hey, we’re going to change the way we do things.” Can you tell us something about that and what is involved in that process?
barry: The first thing to keep in mind is not to make too many changes at once, because for many employees and small businesses, the owner makes “the change of the week.”
“This week we’ll do it this way and next week we’ll do it a different way” so they don’t get serious about any changes and say, “Ah, you know, Joe will make another change next week. Why should I working on things like this.”
So if you can implement changes effectively yourself, you can help others in the organization implement those changes.
Now it’s clear that one of the biggest changes to be made this year, because people are so understaffed, is that owners really need to start caring about their employees, says Barry.
And not just pretending to care about their employees, but actually get to work and find out how our company fits into their lives and really understand the challenge they are going through.
And beyond that, make a change and you should pay them well. We must remember that the 5% increase does not lower it anymore when inflation is 8%.
The change management process
Shawn: Can you give us a fictional example from your years of experience of what the change would be in the first place and what steps you would take to make it?
barry: What’s really great about the Change Masters book is that there’s a change worksheet in the back for you to fill out, and it gives you 20 step-by-step steps to go through it.
And one of the changes that many companies have to make is that their prospect pipeline isn’t big enough. I talked about this in my previous book Bounce.
Barry adds that they get stuck in what I call the double helix trap where they go out and sell stuff – they don’t run the business. But once they start running the business they stop going out and selling and marketing so their prospect pipeline is quite low. So that’s one of the problems.
He says the first question to ask yourself is: What change do I want to make? You have to put that into words.
And the second is, what are you currently doing instead of doing that? For example, if I want to have more prospects in my pipeline, what I’m probably doing right now is probably nothing, I’m just waiting for referrals to get prospects.
Question #3 is really important: why do you want to make that change? Because if you don’t have good internal motivation, or it’s not based on overcoming some kind of pain, then you probably aren’t going to do it.
Barry explains that the biggest reason people want more prospects in their pipeline is because their sales are too low and they can’t generate enough money to support themselves or the people in their company.
And then the fourth question is, well, if you don’t do this, what’s going to happen? What’s going to happen in this example might be that I don’t have enough money to pay my staff.
And then it moves on to what inspired you to make the change? What makes you uncomfortable about the change? All that sort of thing.
So it takes very, very small steps; what is one of the first things you need to do to make this change. Many of us don’t make changes because they’re too big – the jumps are just too big over the chasm.
In this case, I want to have more prospects for my pipeline. You don’t say, “Okay, I’m going out to contact these people.” The first very small step you take is, okay, who are my target customers, what pain am I solving for them and do they have money to solve that pain, and where are they hanging out?
That’s the very first small step instead of saying, “Let me get on the phone and make some calls.” That’s too big a jump for so many people.
Learn more about managing changes
Be sure to watch the rest of the video, where Barry Moltz further discusses the process of making the changes you already know you need. If you plan to include it in your small business after reviewing, let us know in the comments for Make changes to your business.
Listen on SoundCloud:
Follow us on Google News for the latest news.More in: Little Biz in 15
This post Make changes to your business was original published at “https://smallbiztrends.com/2022/06/making-changes-to-your-business.html”