In the ever-evolving corporate landscape, leadership changes are inevitable. Whether it’s due to retirement, resignation, or strategic shifts within the organisation, transitions at the top level can have a significant impact on the entire company.
During these periods of change, maintaining a culture of psychological safety becomes paramount. Psychological safety refers to a workplace environment where employees feel safe to speak up, share ideas, take risks, and express concerns without fear of negative consequences. How does it impact?
Navigating Uncertainty
Top-level leadership changes often bring a sense of uncertainty and anxiety among employees. They might wonder how the new leadership will affect their roles, job security, and the overall direction of the company. People scramble to unhook their work-worth from one person to another, and secure their position for the future, and as such they are keen to put their ‘best selves’ forward.
But to navigate uncertainty successfully and collectively we actually need to be more open to discussing concerns and more accepting of collaboration. As an organisation – give people safe environments to discuss and process change and explore different future scenarios without feeling that they have to prove themselves to anyone.
Fostering Innovation and Creativity
Psychological safety is a catalyst for innovation and creativity. In a psychologically safe workplace, employees feel comfortable sharing their ideas, even if they may seem unconventional or risky. This kind of open dialogue can lead to fresh perspectives on challenges that the company may be facing during the leadership transition.
However in transition, we may be reluctant to raise our heads above the parapet until we know how our personal situation may be affected.
As an organisation – encourage teams to keep asking and exploring those questions and reinforce the connection to the purpose of the organisation, which should be bigger and more enduring than any one leader
Lowering Resistance to Change
Change is not always welcomed with open arms. Resistance to top-level leadership changes can arise due to various reasons, such as fear of the unknown, attachment to the previous leader, or concerns about the new direction.
As we move through the change curve, we may end up in different places to our colleagues – which can cause flares of conflict. And in todays complex world, there is always several sides to a story.
As an organisation, you can encourage psychological safety by encouraging employees to voice their reservations and express their emotions. Encourage intellectual debate, rather than personal – allowing team mates to see arguments from different perspectives. Once things are out in the open, leaders can address these concerns more effectively. Encouraging those open conversations can help employees adapt to the changes more smoothly.
Enhancing Employee Well-being
Leadership changes can be emotionally stressful for employees, especially if they are closely connected to the outgoing leader.
This can result in heightened stress, disconnection and decreased job satisfaction as part of the change curve. And ‘carrying on regardless’ can just push wellbeing issues further down the line.
It’s also emotionally stressful for the new leader – this is an excellent time to make use of an Executive Coach, providing space to consider different options rather than making knee-jerk decisions under the spotlight.
As an organisation, try to give space before jumping into ‘the Business as Usual reaction’ and introduce new leaders in a way that gives people a sense of character, and not just the business deliverables.
Building Trust and Loyalty
Trust is the foundation of any successful organisation. When employees feel psychologically safe, they are more likely to trust their leaders and the decisions they make during the transition. Transparent communication about the reasons behind the leadership change and the organisation’s future plans can help build trust.
But some leadership changes are as a result of broken trust and that takes time to repair. Honest and transparent communications are critical, but new leaders will also need to put more time and effort into restoring trusting relationships with colleagues.
Conclusion
Top-level leadership changes are significant events in any organisation. The success of these transitions depends not only on the competence of the new leadership but also on the level of psychological safety present within the company.
Expect a reaction, expect some ego-led behaviours to rear their head as people make sense of a new regime and counter these by nurturing a psychologically safe environment where people can be vulnerable, raise concerns and speak up. Doing so will help employees to navigate uncertainty, embrace change, and contribute to the organisation’s growth and innovation. As well as promoting employee well-being, trust, and loyalty, ultimately leading to a more resilient and successful organisation in the face of leadership changes.
