Moving from talk to action: Implementing austerity-driven change

Figures & data

Table 1. Empirical results against theoretical expectations.

Success condition	Expectations based on theory	Empirical results in Alexandrium
1. Ensure the need	Verify the need and persuade employees about urgency and vision of the future Communication is crucial (demystify decision-making, explain process, diffuse rumours)	Shared sense of urgency, but no consensus about future organization Difference between understanding and internalizing need for change
2. Provide a plan	Road map to guide implementation No time for preparations during austerity	Detailed plans were available; employees did not support the course of action
3. Build internal support	Committed employees are crucial, but employee participation during austerity is unlikely Other strategies need to be found to overcome resistance and build support	No empirical evidence of attempts to involve employees, beside communication strategy Instead a top-down approach was used to produce immediate results (rather than winning the hearts and minds of employees)
4. Ensure top management commitment	Top management support is crucial for change Congruence between politicians and managers Continuity in leadership	High commitment of top management (both political and managerial) Remained in office during implementation
5. Build external support	Develop support from external parties, such as unions, employees’ council, interest groups Relationships often deteriorate during austerity	Very bad relationship with the employees’ council (lack of trust, lawsuit) Focus was on keeping things moving
6. Provide resources	Gains are preceded by investments No budget available during austerity	Specific reserve was available for frictions Dedicated change team, but people in the work floor were overstretched
7. Institutionalize change	Modifications of behaviour of employees is timely No time available during austerity	Widespread cultural change did not happen Stimulating strategies have been used (reform of structures, procedures; innovations etc.)
8. Pursue comprehensive change	Change of all subsystems is needed to realize transformational change Results have to be achieved quickly during austerity	All organizational parts have or will be changed Mixed evidence regarding the perceived value of the comprehensive, revolutionary approach