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McKinsey Change Model

McKinsey Change Model

Concept

The McKinsey Change Model is a framework that suggests that in order to effectively change behaviors within an organization, four conditions must be met. These are: 

Understanding and commitment: In order for individuals to adopt new behaviors, they need to understand the reason for the expected change and be committed to it. This may involve providing clear communication about the benefits of the change and addressing any concerns or resistance that individuals might have.

Skills: Individuals must have the necessary skills to adopt the new behavior. This might involve training or other forms of support to help them develop the necessary competencies.

Role modeling: Individuals are more likely to adopt new behaviors if they see leaders and others they respect role modeling the behavior. This means that it is important for leaders to set a good example and consistently demonstrate the desired behavior.

Management systems: The organization should have management systems in place to monitor the behavior, provide rewards for compliance, and consequences for non-compliance. This might include performance management systems, incentives, and disciplinary measures.

Overall, the McKinsey Change Model suggests that in order to effectively change behaviors within an organization, it is important to focus on understanding and commitment, skills development, role modeling, and management systems. By addressing all of these areas, organizations can increase the chances of successfully implementing desired changes.

McKinsey Change Model
Image from McKinsey.com

Application

As an example, imagine an organization where previously, local offices had the authority to purchase all their office supplies from a local vendor. Now the organization wants to consolidate all that spend with one vendor, and has put a contract in place with an office supply vendor that has nationwide coverage. Going forward, all offices need to purchase their office supplies through this single vendor. What does the organization need to do to ensure that employees adhere to the requirement and change their behavior?

Understanding and commitment: It is important for the organization to clearly communicate the reasons for the change and the benefits that it will bring. This might include highlighting the cost savings, streamlining the procurement process, and improving the quality of the products. It is also important to address any concerns or resistance that employees might have and ensure that they are committed to the change.

Skills: Employees will need to have the necessary skills to purchase office supplies from the new vendor. This might include training on how to use the vendor’s website or ordering system, as well as information about the products and services that are available.

Role modeling: It is important for leaders and other employees who are respected by their colleagues to model the desired behavior by consistently purchasing office supplies from the new vendor. This will help to demonstrate the importance of the change and encourage others to do the same.

Management systems: The organization should have management systems in place to monitor employee compliance with the new purchasing requirement and provide rewards for those who follow the rules. This might include performance evaluations, incentives, and consequences for non-compliance.

Overall, to ensure that employees adhere to the requirement to purchase office supplies from a single vendor, the organization will need to address all four elements of the McKinsey Change Model and provide the necessary support and guidance to help employees adopt the new behavior.

Further reading:

  • The McKinsey Way by Ethan M. Rasiel. This book provides an in-depth look at the consulting firm McKinsey & Company and the approach it takes to solving business problems. It includes a chapter on change management and discusses the McKinsey Change Model in detail.
  • Change Management: The People Side of Change by Jeffrey M. Hiatt. This book provides a comprehensive overview of change management, including the role of leadership, communication, and employee engagement in driving successful change. It also discusses the McKinsey Change Model and how it can be applied in practice.
  • Leading Change by John P. Kotter .This book provides a step-by-step guide to leading successful organizational change and discusses the importance of creating a sense of urgency, building a coalition, and communicating effectively. It also mentions the McKinsey Change Model as one approach to change management.
  • McKinsey & Company’s website. McKinsey & Company is a global consulting firm that has developed its own approach to change management, including the McKinsey Change Model. The company’s website includes a number of articles and resources on change management, including a series of articles on the McKinsey Change Model and how it can be applied in practice.
  • The Change Management Handbook: A Roadmap to Corporate Transformation by Lance A. Berger and Martin J. Sikora. This book provides a comprehensive overview of change management and includes a discussion of the McKinsey Change Model as one approach to driving successful organizational change. It also includes a number of case studies and examples to illustrate key concepts.

Contributor:

Will Bachman