However, according to the Harvard Business Review, 70% of organisational change initiatives do not achieve the desired outcomes. Key factors identified in this failure rate are employee resistance, lack of management support, and poor communication.
This doesn’t surprise me, given that when I ask leaders what the most challenging aspect of their job is, the most common answer is "the people".
When a company goes through big changes, like restructuring, adopting new technologies, or shifting its strategy, employees often feel stressed and uncertain. Big changes often lead to drops in morale, productivity and overall happiness at work. While the changes may be objectively good for staff in the long run, it can still feel like the rug has been pulled out from under them.
To guide a team through these challenging times, leaders must offer robust support. Personally, I love Dr David Rock’s Scarf model. It helps leaders understand and address the key needs of their employees during times of change. The model is simple yet effective and resonates with my understanding of human behaviour and my own experiences of change.
What is the Scarf model?
The Scarf model focuses on five important areas that affect how people feel and behave in social situations: status, certainty, autonomy, relatedness and fairness. By paying attention to these areas, leaders can reduce the stress and unease that come with change and help their team adapt more smoothly.
Status: Show appreciation for contributions
Status is about how important people feel in their role. When changes happen, employees can worry that their jobs are at risk or that their work isn’t valued. Leaders can combat these feelings by showing appreciation for their team’s efforts.
Simple ways to do this include publicly recognising achievements in meetings or company newsletters or offering opportunities for skill development and career growth. Including employees in decision-making processes also helps them feel important and valued.
At Kākāpō, the second agenda item at every team meeting is "wins and successes". This reminds me to let my team know how much I appreciate them. As a leader, I make sure my "radar" is tuned to opportunities for recognition and positive feedback.
Certainty: Communicate clearly and often
Certainty for employees means having a clear understanding of what’s going on. Uncertainty during change can cause a lot of anxiety. Leaders should aim to provide as much information as possible about what’s changing and how it will affect everyone. We know that, in the absence of regular information, people tend to fill that void with rumours and speculation.
Regular updates about progress, timelines, and next steps are essential. Explain the reasons behind the change and what you hope to achieve. Providing resources like FAQs, helplines, and town hall-style meetings where employees can ask questions can also help reduce anxiety and build confidence. Essentially, communicate more frequently than you would normally.
Autonomy: Give employees control
Autonomy is the feeling of having control over your own work. Nobody likes feeling vulnerable to every whim of their manager or the CEO. Employees can feel like they’ve lost control during change, so it’s important to give them some say in how they adapt.
If you can, offer flexible working arrangements and let employees decide how they’ll meet new expectations. Encourage them to take initiative and suggest solutions to challenges. Set up ways for employees to give feedback and share their ideas, showing them that their experience and their opinions matter in the change process.
Relatedness: Keep the team spirit alive
Relatedness is about feeling connected to others. Change can disrupt the sense of community at work, so leaders need to work on keeping relationships strong and making sure everyone feels part of the team.
Organise team-building activities and events that promote collaboration. Pair employees with mentors who can provide support and guidance. Create accessible in-person or virtual spaces where employees can share their experiences and support each other. Celebrate the wins!
Fairness: Be transparent and equitable
Fairness is about making sure processes are just and equitable. When people perceive unfairness during change, it can lead to resentment and disengagement. Leaders need to ensure that all processes related to the change are transparent and fair.
Treat everyone equally and apply changes consistently across the organisation. Clearly explain the criteria for decisions that impact employees, such as promotions, layoffs, or changes in responsibilities. Make the decision-making process transparent and provide ways for employees to raise concerns and appeal decisions. This obviously links back to the idea of having some control over what happens during change.
Putting the Scarf model into practice
Imagine your workplace undergoing a major digital transformation, where traditional processes are being replaced with cutting-edge technologies. Leaders can turn to the SCARF model to support their team. Recognising employees who embrace new digital skills boosts their sense of status within the organisation, and their confidence. Providing clear timelines and milestones offers certainty amidst the changes. Empowering teams to choose their own tools fosters autonomy in their work. Facilitating cross-departmental projects and social events maintains a strong sense of relatedness among colleagues. Finally, ensuring fair access to training and resources reinforces fairness, making the transition smoother for everyone involved.
Conclusion
I thought this was a very appropriate topic for an article given the chill of winter has definitely descended on the South! Using the Scarf model, leaders can knit together a supportive environment that addresses the key needs of their staff in times of change, rather than leaving them out in the cold. This approach mitigates some of the challenges that come with change and strengthens employee engagement, resilience, and satisfaction. Effective leadership during change goes beyond just managing the process — it’s about genuinely caring for the people who make it all happen.
- Sarah Cross is director of Kākāpō Consulting.