Change to prevent Loss

Understanding Change – The Aversion To Loss

Change Facilitation

Understanding Change – The Aversion To Loss

Executive Coaching

“…’Cause people often talk about being scared of change, But for me I’m more afraid of things staying the same, ‘Cause the game is never won by standing in any one place for too long”

Nick Cave & The Bad Seeds – Jesus of The Moon

Whether it is in business, clubs, sports, the arts or any walk of life, there is a constant need to pay attention to the thousands of changes that are happening around us at any one time – & then adapt. It was Charles Darwin who said “In the long history of humankind those who learned to collaborate & improvise most effectively have prevailed.”

In the professional sporting arena, the capacity to change & improvise is revealed. A top team aiming to replicate last year’s performance by following the same formula for success is bound to fail. The circumstances & parameters will have changed & the competition will already have observed what created success & already be building a bigger & better strategy. In business the same rules apply, although actions may be less in the public eye, there is still an audience of focused onlookers accompanied by a live scoreboard.

The biggest challenge is to change our human inclination to protect the status quo, even if it doesn’t make much sense. It is well researched that people are not so much resistant to change, but to the perceived loss from change. Loss aversion, whether from status, power or privileges is a stronger human motivator than the opportunity to gain – even if the opportunities clearly outweigh the losses. In other words people are motivated more strongly by ‘pain’ than ‘gain’.

With this in mind, leaders must not only identify the need for change & promote the benefits of change, but also invest considerable time developing strategies to engage people on the journey of change & address the human condition of loss aversion that will exist in their minds. Awareness of this human condition will help the leader to succeed in making the essential changes that will move the organisation towards success.

More information & guidance can be found with Synergy Global to develop teams that are committed & creative.

If you are interested in expanding you, your team & your organisation’s effectiveness, please contact us at +61(0) 439-066-067. Synergy Global: Delivering Effectiveness Consulting, Change Facilitation & Executive Coaching services to the Private. Public & Not-for-Profit Sectors since 1996.