Organisational Restructuring: HR Guide to Change Management

Remember the last time you were uncertain about how you were doing at work? Was it perhaps more frustrating than when you knew for a fact you weren’t doing well and on the way out?

A study by Nature Communications shows that our dislike towards uncertainty is greater than an unpleasant stimuli to the extent where people would rather know for certain that they were going to get an electric shock than to be uncertain whether or not it would happen.

As the US-China trade war heats up making the global economy more unstable than ever, it is likely that many businesses will grow more affected. Seeing as the case on Huawei unfolds over major headlines, effects of the tensions between the States and China are becoming more and more apparent.

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With the current global economic environment looming over businesses, it is likely that we’ll be seeing businesses restructuring in the near coming future, decentralising certain functions to adjust to the market demands.

Weighed down by the global economy, businesses will be relying heavily on their HR branch to deliver the changes required to keep the company afloat, moving out of certain markets and focusing on others as part of the greater business strategy. This means HR professionals will not only be tasked with change management but also stabilising their internal assets during times of uncertainty.

The Crucial Role of HR in Change Management

In the case of organisational restructuring in change management, it is inevitable for there to be loss which may come in the form of layoffs and this will include well performing employees who are affected as a result.

As an HR professional, not only do you want to protect the company’s brand, but also on a human level to make sure that these people who have fought for the company are well taken cared of even as they depart the company.

Change management can be a challenge for many HR professionals especially in the case of organisational restructuring where resources may be moved to other markets to serve strategic needs. Since there are so many parties at stake at a time of instability, HR professionals tasked to deal with sensitive material can very easily lead to legal disputes with a displeased parties. To help you better manage your business restructure, here’s three tips to change management, designed to minimise the friction between all parties.

3 Tips to Successful Change Management

1. Communicate the restructuring process

Is the news worth sharing if its bad? Well according to what we know earlier, yes! As mentioned, for us as people, the thought of possibly having to deal with something bad is maybe worse than knowing for certain that something will take place.

Applying that to change management, we see why it would be wiser for HR professionals to clearly communicate to various stakeholders the change management process so everyone can have a clear idea of what to expect.

2. Tying up loose ends

With organisation restructuring, HR may expect to have a pile up of administrative tasks including payroll. A key to managing an organisation restructure is to have a proper handling of these administrative tasks, making sure your change management process properly adheres to the legal regulations and procedures as to avoid future disputes to the running business.

3. Managing employee productivity

Cliché as it may be, but a great way to show people you care is to actually care. Not only are layoffs a blow to the company’s reputation, but it can be an even more devastating event for the employees being laid off. As an HR professional dedicated to helping employees you may consider using professional outplacement services.

Outplacement is a solution designed to help rehabilitate people back into the workforce. Providing both practical and mental support for employees, helping them transition into their next career. By providing outplacement services to employees, not only do you help people who are being laid off, you also give those who are staying a peace of mind.

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Plan ahead

Change can be a daunting matter for many, and when so many different parties are involved it can be even more stressful. To help yourself better handle the change management process make sure to plan ahead!

Keep a clear head and communicate

One of the most common challenge HR professionals face during company restructure is miscommunication which can cause more anxiety in the people involved than necessary. Communication is key to successfully managing people and change at a time of chaos.

Think about the bigger picture

While it may be in our instinct to react impulsively, restructuring and layoffs is a touchy matter, so be careful to think about the implications of your actions and how it may affect the business down the line.

Don’t think you have to handle everything by yourself. What many organisations do keep a hold over their business strategy and vision is to outsource some of the more tedious tasks like payroll and recruitment to professionals. Servicing companies across Asia for over 20 years, Links HR Outsourcing is specialised in providing HR solutions, making people a priority and helping businesses focus on things that matter.

At Links we also provide specialised outplacement services, making change management easier for HR professionals. Visit our website for more information or emails us at to get in touch with one of our local representatives today.

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