Things to consider when restructuring your business

Expanding or restructuring your business could mean that you find yourself having to manage some difficult changes. We've put together some of the key points to consider when you’re planning and implementing a restructure from a people aspect.

Restructuring your business inevitably results in having to implement changes within your organisation, which will in turn test the skills of your leaders and managers.

As a leader, you have a responsibility to stay positive, upbeat and focused on the future. You will need to utilise all those coaching and interpersonal skills you’ve learnt along the way to allay any concerns people may have whilst maintaining a grip on the day to day business. In addition, having a management team who possess good people skills and display positive behaviour is crucial to managing change effectively.

John Telfer, Managing Director of Inspiring says “In my experience of working with businesses undergoing change, the thing they often have in common is the problem of Accidental Managers. They are the people that get promoted to management positions because they have the technical skills to do their job brilliantly, but they don’t have the people skills to manage a team effectively.”

Here are some other key points to consider when you’re planning and implementing a restructure from a people aspect:

1. Why is a re-structure being planned? Being clear on the purpose of the exercise is vital as this will be the starting point for of all other planning and implementation activities.

2. Enable clear communications to all those involved and use the purpose to describe what the end result will look like and how associated benefits will help the organisation.

3. Essential to success when re-structuring is to identify any areas of resistance. People get attached to structures just like all other familiar aspects of their organisation – some people may be reluctant to give these up unless the reasons make sense.

4. Inviting people to ask questions and get involved are important elements which if ignored may result in bad compromises and ineffective arrangements as the restructuring unfolds.

5. Ask line managers to keep an eye on their team to spot early signs as to how people are reacting to the changes and whether this is having an impact on their performance.