“Change is nothing new and a simple fact of life. Some people actively thrive on new challenges and constant change, while others prefer the comfort of the status quo and strongly resist any change. It is all down to the personality of the individual and there is little management can do about resistance to change” (Mullins 2010: 753).
In this fourth blog, I will discuss the interesting and seemingly controversial statement of Mullins quoted above by introducing the issue of change in business, exploring people’s attitudes to change, the managers’ roles in managing changes, and analysing change management theories with real-life examples of FMCG leaders as recommendations for all of us.
Change in business
Firstly, I totally agree that change is a fact in life of all times. As early as 500 BCE, Heraclitus – a great Greek philosopher- claimed, “no man ever steps in the same river twice, for it’s not the same river and he’s not the same man” (Tuddenham 2014), indicating that both the environment and individuals change constantly. Organisations as a special type of ‘individuals’ are also changing their strategies, structures, boundaries, system and people mainly because of changes in macro-environment and industries (Cameron and Green 2012).
People’s attitudes to change
Mullins (2010) states that due to different personalities, while some people are willing to change proactively, others strongly resist changes. Additionally, Cameron and Green (2012) also find out people with different MBTI (Myers-Briggs Type Indicator) react differently to change. Meanwhile, Cunningham (2005) argues that people only resist changes when they see potential losses, which is a matter of perception.
While Palmer (2004) thinks that resistance leads to unsuccessful change efforts and needs to be anticipated, Stickland (1998) points out constructive side of resistance when it signalises unnecessary or wrong changes, making organisations think of alternatives.
Management and resistance to change
Because of potential benefits of resistance, I believe leaders should manage people’s resistance in a way that is beneficial to the change process. Considering resistance is down to personality, Mullins (2010) believes that management can hardly do anything about employees’ resistance to change. However, I myself think resistance comes from not only personality but also perception, and perceptions can be influenced and managed. In other words, managers can cope with employees’ resistance by making them think that change is necessary and worthy. To do this, some useful change management models will be introduced bellows.
Change management models
One famous model is Lewin’s three-stage process, suggesting firstly managers need to unfreeze the current state by making employees recognise the need for change, then actually implement the planned change, and finally refreeze or stabilise the desired state after change (Yukl 2013).

The model successfully provides basic steps to make change happen in organisations, but is criticised for being too mechanistic when applying to organisations that change continuously and open-endedly (Burnes 2004).
Viewing change as an ongoing process, Kotter created a cycle for leading change including eight steps as bellow:

One interesting step is generating short-term wins because it keeps employees motivated along the way (Kotter International 2015). Nevertheless, Kotter’s model is criticised for being rigid when assuming the eight steps must be conducted in the exact sequence (Appelbaum et al 2012)
Managing change in the FMCG Industry
The FMCG industry is not an exception to change because FMCG companies have to address the ever-growing demand of consumers to succeed. Specifically, 11 potential changes in demand, supply and indirect forces affecting their business until 2020 are listed by McKinsey as follow:

There are leaders who have actually succeeded in changing their FMCG organisations to address the above trends, providing great examples and recommendations for other leaders. Recognising the rising concerns of consumers about wellness and environment, Paul Polman launched Unilever Sustainable Living Plan in 2010 after 1 year planning with highlights of decoupling the carbon, water and waste footprints of its products by 2020 (Finch 2010). He stated:
“Consumers want more. They see food shortages, malnutrition and climate change, and governments are not addressing those problems. Companies that do this will get a competitive advantage. Those that do not will put themselves at risk.” (Finch 2010)
To deal with resistance to change, Polman makes sure Unilever engages with its stakeholders in decision-making, building our partnership and delivering the goals. The company also releases annual report of this plan to inform and celebrate with stakeholders the short-term wins (Unilever 2016), and as I mentioned in the previous blog, they have been making really good progress.
In addition, Peter Brabeck – Chairman of the world’s biggest food company Nestle – have some interesting viewpoints on change that you may want to note down and bear in mind. He embraces the slow, steady changes and believes that big changes must be thoroughly considered, because:
“Big, dramatic change is fine for a crisis… But not every company in the world is in crisis all the time… Why should we manufacture dramatic change? Just for change’s sake? To follow some sort of fad without logical thinking behind it? …You cannot underestimate the traumatic impact of abrupt change, the distraction it causes in running the business, the fear it provokes in people, the demands it makes on management’s time.” (Brabreck 2001:114)
In conclusion, change is a simple fact of life, of the business world, and of the FMCG industry in particular. People may resist change due to their personalities or perceptions of change, but I believe it can be managed. Instead of passively reacting to change that happened, managers can choose to proactively change their organisations, using Lewin’s three-stage model and Kotter’s eight –step model to assist in planning, dealing with resistance, and deliver desired outcomes. Most importantly, managers should always stay rational about change and never promote change just for the sake of it.
References
Appelbaum, S., Habashy, S., Malo, J. and Shafiq, H. (2012) ‘Back to the future: revisiting Kotter’s 1996 change model’, Journal of Management Development, 31(8), 764-782
Brabeck, P 2001, ‘The business against case revolution. An interview with Nestlé’s Peter Brabeck. Interview by Sue Wetlaufer’, Harvard Business Review, 79(2), 112-119.
Burnes, B. (2004) ‘Kurt Lewin and the Planned Approach to Change: A Re-appraisal’ Journal of Management Studies, 41(6), 977-1002.
Burns, B., (2014) Managing Change. 6th edn. Harlow: Pearson Education
Cameron, E., Green, M. (2012), Making Sense of Change Management : A Complete Guide to the Models Tools and Techniques of Organizational Change. Kogan Page
Cunningham, I. ‘Influencing People’s Attitudes to Change’, Professional Manager, 14 (3), 37.
Dent, E. and Goldberg, S. (1999) ‘Challenging resistance to change’. Journal of Applied Behavioral Science, 35(1), 25-41.
Finch, J. (2010) Unilever unveils ambitious long term sustainability programme [online] available from <https://www.theguardian.com/business/2010/nov/15/unilever-sustainable-living-plan [23 June 2016]
Kotter International (2015) 8 steps to accelerate change in 2015 [online] available from <http://www.kotterinternational.com/ebook/eBook-Final-Copyright-2015.pdf [23 June 2016]
Mullins, L., (2010) Management and Organisational Behaviour, 9th Edn. Harlow: Pearson
Palmer, B. (2004) Making change work: Practice tools for overcoming human resistance to change. ASQ Quality Press: Milwaukee, WI.
Stickland, F. (1998) The dynamics of change: Insights into organisational transition from the natural world. Routledge: London.
Tuddenham, E. (2014) ‘Far away and long ago’. Journal of Thrombosis and Haemostasis. 12(1), 34-35.
Unilever (2016) Engaging with stakeholders [online] available from <https://www.unilever.com/sustainable-living/the-sustainable-living-plan/our-approach-to-reporting/engaging-with-stakeholders/ [23 June 2016]
Yukl, G., (2013) Leadership in Organisations. Harlow: Pearson Education