Thriving in Industry 4.0: Why change management is the cornerstone of workforce transformation

In manufacturing and logistics, adopting the latest technology and automation tools is a top priority, especially when it comes to leading transformations. But the latest tech advancements can only do so much. The key to a successful transformation lies in people development that reaches across 3 levels:

• Employees who carry out day-to-day operations on the ground
• Leaders who guide and support them every step of the way
• L&D professionals who equip leaders with change management skills

At the Industry of Things Europe conference, Lepaya hosted an interactive workshop for business, tech and HR managers. Attendees explored new strategies for driving digital and AI transformations while examining several key questions:

• How do you effectively guide teams for digital transformation at scale?
• What tactics can be used to effectively announce change?
• What strategies can help handle resistance to change?

In this article, we’ll explore the main insights on why training for change management is deeply important for manufacturing organizations focused on Industry 4.0.

“Projects fail because of people. Change management is the key reason for failure. For me, change management is all about skills. Technical skills are needed to use new technology, but it’s mainly about communication, storytelling, problem-solving, creative thinking, and of course, leadership.”

Stefan Lülf, Lepaya’s Director for global Manufacturing and Pharma

Transform a company by transforming its people

For digital transformations that work, start by adopting a new approach to talent development that directly aligns with business needs. Focus on skills that machines can’t replicate, like creativity and leadership. For an impact that’s felt at every level, make sure these efforts are scalable, cost-efficient and capable of reaching across an entire organization.

While engaging in a talent development program, HR leaders at manufacturing and logistics companies should also take time to help their people understand why upskilling and change are important. Automation, AI and other technologies are rapidly altering operations, cutting costs and enhancing efficiency across the board. There’s a lot to be excited about, but many workers are experiencing change fatigue. Keeping them energized and ready for the future requires strategy and planning.

Attendees at the event also mentioned several factors that can make or break a transformation. For an initiative that delivers, they suggested the following:

• Take time to celebrate wins and learn from failures. Make sure hard work is recognized and encourage people to find insights by examining what went wrong and why at different points throughout the transformation.

• Appoint a change management ambassador. This person will act as an advocate and role model for employees, helping them understand the change and how to make it happen. 

• Manage expectations and communicate across the entire organization. Reaching goals is easier when expectations are realistic and people at every level of a company know what’s happening and what’s expected. 

• Get everyone aligned on goals. Unite people around goals and milestones to create focus. Strive to maintain this energy throughout the project to keep everyone pushing forward.

• Avoid letting priorities and focus shift. Stay on track and avoid confusion by sticking to your priorities and keeping a steady focus.  

• Express how the change benefits everyone. That includes the organization as a whole, as well as its teams and individual contributors.

The importance of change management training for leaders

For leaders, change management certification is a must. They need to know how to announce change, manage resistance, utilize communication strategies and create an environment rooted in trust and transparency. It’s also important to ensure leaders truly understand the reason for change and how it aligns with organizational goals. When they have this information, they’ll feel valued and invested in making things work.

When leaders are given proper training, they’ll also be ready to create an effective change management plan that demonstrates why the transformation is necessary. A solid plan will include strategies for communicating with employees in a way that keeps them up to speed and helps understand why the change is worth the effort. When employees know what’s happening and why, they’re also more likely to give their support.

Without a plan, companies risk upheaval, stress and inefficiencies. Quality change management training will include several must-have skills:

• How to actively and intentionally lead through change
• How to create a strong vision for change that engages others
• How to communicate with care and strategy

When leaders master these abilities, they’ll be ready to get their people on board and guide their organization forward. The benefits take many forms, including improved ROI, retention and employee satisfaction.

L&D professionals play a vital role in change management training 

With change management training, leaders will be ready to achieve a transformation with impact. But L&D professionals play an invaluable role in the process by developing leaders and teams who are ready for transformation. They know that upskilling employees in new tech can increase competitiveness, but skills required in times of change – including leadership, resilience and agility – really deliver.

Why? Because even the strongest teams require someone to take charge and guide them forward. Equipping managers with these abilities will make them feel capable and ready. They’ll also be able to handle uncertainty and help others view change as an opportunity instead of a threat.

To succeed, L&D professionals need to close the gap separating them from business leaders. 

Learning and people professionals need a seat at the table when a transformation is planned. After all, they have knowledge and experience to contribute, and will play a major role in supporting employees on the ground by providing a change management training course to their leaders.

Change management depends on people, not just technology

Digital transformations in manufacturing hinge on more than just adopting new technologies. They require change management training for employees and strategies that prioritize development. When leaders have a firm grasp on what they need to do, and how to guide their teams even when the road is rocky, they’ll have the confidence needed to thrive. Their people will also be ready to combine technical abilities with a human touch, allowing them to communicate effectively, to rely on a sense of internal resilience and use their creativity to solve problems.