Managing Change in China – Applying the General Electric Change Process Model
In recent decades, China has undergone an unprecedented level of change and transformation, both economically and socially. Managing the change and transformation in an ever-evolving China is now an important focus for all stakeholders, including government and private sector organisations, the academic sector, and business leaders. The challenge is to not only identify and manage the considerable change dynamics, but to ensure that emerging change initiatives are implemented fairly, cost effectively and in a timely manner. To this end, the General Electric Change Process (CGE) Model – first introduced by General Electric in 1997 – has become an increasingly important way for Chinese organisations to manage large-scale change initiatives and ensure a successful outcome.
The CGE Model is a structured approach to organisational and cultural change; it incorporates five components – vision, people, process, environment, and outcomes – and is designed to ensure that the needs of all stakeholders are addressed. In the CGE Model, the following concepts are central: clarity regarding the change vision and mission; the ability to motivate and engage employees in the change process; recognition of and support for the unique circumstances that each situation demands; and the establishment of sound change processes geared to achieve the desired outcomes.
The CGE Model is especially applicable to the Chinese context, in which government and industry often co-exist and must successfully collaborate to effect desired change. In China, the ability to implement innovative change initiatives is often hampered by entrenched systems and processes which impinge upon decision-making and the ability to mobilise resources for change. Furthermore, Chinese organizations tend to be less open to outside influence, and may be more prone to resisting change. In addition, the country’s size and complexity can make it difficult to coordinate and deploy resources in a timely manner. The CGE Model provides the framework for managing these issues, by clearly outlining the steps that need to be taken to align existing processes and resources with the desired change objectives. It also helps a organisation to ensure that employees are motivated and engaged throughout the change process, and identifies strategies to ensure that these changes produce tangible outcomes.
The success of the CGE Model in managing change in China will depend on the degree to which organisations embrace the concepts and principles that it espouses. In particular, it is necessary to recognise the importance of proactively seeking feedback from employees and stakeholders on a regular basis. This feedback can then be used to shape and drive the change process, and to ensure that it is delivered in a timely and efficient manner. Similarly, organisations should ensure that they allocate appropriate resources to the change process, to ensure that it is frequently monitored and adjusted if required.
Finally, to ensure the successful implementation of the CGE change process model in China, organisations must have a clear understanding of the objectives they hope to achieve and the resources available to achieve them. It is also paramount that organisations are willing to address and incorporate cultural and regional differences when implementing change initiatives, to ensure that they are both accepted and successful. By following the CGE Model and adhering to these principles, China’s organisations can apply a structured approach to implementing change, and realise tangible and sustainable benefits.