How to survive a software change

As the saying “Never let a crisis go to waste” implies, every situation can be an opportunity to do things you could not have done before. This goes well beyond full-blown crises. Any change in your organization can be either a nuisance or a possibility for growth and progress. Take adopting new software, for example – is it something to get through or an opportunity for overall improvement? We strongly believe in the latter. 

Today, we’ll take a glimpse into Organizational Change Management (OCM) – the process of planning, implementing, and overseeing changes within an organization, like implementing new software. Having a structured approach ensures a smooth transition and helps the team as well as angel members adapt to changes. Let’s start with one of the most important questions you’ll face during the changeover.

To replicate or not to replicate? 

Whenever choosing to adopt a new software, organizations have three ways to approach the adoption process. They can: 

• replicate their existing processes, or
• improve existing processes, or
• go all in, abandon the old, and rebuild processes from scratch (the radical approach). 

Replicating processes minimizes disruption – the members are already familiar with the system, which leads to faster implementation and lower risk. However, this approach perpetuates existing inefficiencies and prevents the organization from fully leveraging the new software’s capabilities. 

On the other hand, software adoption is an opportunity to optimize processes and unlock the full potential of the new system. This approach, though more complex and time-consuming, can lead to long-term benefits such as increased efficiency and better alignment with strategic goals. However, it may frustrate the team as well as the members and requires significantly more attention and resources.

There are pros and cons to each approach, but here at Dealum we strongly recommend taking the opportunity to revise and improve the ways your angel organization operates. 

Full replication isn’t always an option 

Copying processes over from another software is not always possible, though. There are two main reasons why exact replication might not be an option: 

• Software limitations, for example, the old system might support certain custom workflows or data structures that the new system cannot replicate in the same way.
• Fundamental differences in underlying system architecture, for example, a process designed for a legacy, on-premise system may not translate directly to a cloud-based platform due to differences in data management or integrations.

This can cause friction for the implementation team as they realize that some compromises are inevitable, leaving your group with clunky, hacked ways of working. In the end, you have none of the benefits while still creating enough disturbance to cause resistance. 

Why do employees resist change? 

Resistance to change is natural. People resist organizational changes, including new software, even if you try to leave the process as similar as possible – because it’s still a change. 

Resisting change happens for several reasons:

• Fear of the unknown – the team may worry about how the new system will affect their roles, job security, or workload. The fear of not knowing what to expect can be harder than the change itself. 
• Disruption of routine – familiar routines and processes bring comfort, and new software requires members to learn new skills or change long-established habits or routines. This can be frustrating and add additional load to their busy workdays. 
• Lack of communication and involvement – if the members feel excluded from the process or feel like the change is imposed on them, they’re more likely to oppose it.
• Previous negative experiences – team and members who have experienced poorly managed changes in the past may be sceptical of new initiatives and for a good reason. 
• Workload increase – the implementation process often comes with a temporary increase in workload. No one wants to do extra work without clear long-term benefits. 

How to know if it’s worth the disruption? 

If your organization is looking to upgrade tools or processes, you should first assess whether the benefits outweigh the inevitable disruption. Here are 3 questions to ask: 

1. Is the change justified? Conduct a thorough cost-benefit analysis, where you compare the expected costs – e.g. financial investment, time for implementation, and temporary productivity loss – against the long-term gains like increased efficiency, cost savings, and improved outcomes.
2. Does the change align with your strategic goals? If the upgrade supports critical business objectives – like enhancing founder or investor experience, staying competitive, or expanding the group – the disruption may be well worth it. 
3. Is your organization ready for that change? Look at your current culture, adaptability, and leadership strength. If your team is resistant or unprepared, the disruption could outweigh the benefits. 

7 tips to manage change and mitigate risks when changing software 

Here's how we recommend approaching the organizational change that comes with upgrading your toolset, plus some tips and tricks to make the process smoother, more efficient, and enjoyable.

1. Plan clearly and strategically – outline a detailed plan for implementing the software, including goals, timelines, and key milestones. Make sure everyone knows their roles and responsibilities. 
2. Engage your team and members early – involve key stakeholders from the start. Their input helps tailor the change process and increases their support for the initiative.
3. Communicate openly and often – keep everyone informed about the change. Inform team and members about the upcoming change early and often, explaining the reasons behind the software switch and how it will impact their roles. 
4. Roll out in phases – test the new software with a small group first, gather feedback, and make adjustments before full implementation.
5. Provide ongoing training and support – use various formats to accommodate different learning styles and ensure everyone feels confident using the new software.
6. Monitor progress and adapt – regularly check in on the transition, gather feedback, and make necessary adjustments. Address any resistance quickly to keep things on track.
7. Celebrate successes – recognize and celebrate milestones. Highlight early wins to boost morale and reinforce the positive impact of the new software.

The bottom line 

Adopting new software in an organization can be a challenge AND an opportunity for growth. It all depends on your mindset. Resistance to change is inevitable, but with detailed planning, a positive approach, proactive communication and early involvement, you can make sure the transition is a success. And that the change is embraced rather than resisted.

To manage change effectively, develop a clear strategy, roll out the software in phases, and continuously monitor progress. And don’t forget to celebrate milestones and successes along the way. Improvement and growth is a journey, not a destination.