In today’s budget-conscious environment, the call to “control costs” often leads to the refrain, “Now is not the time to spend.” While this sounds prudent, it’s not always the full picture. Pausing or delaying organizational change to save money can come with hidden costs that outweigh short-term savings.
To make informed decisions, we must weigh the cost of staying stuck against the cost of moving forward. Think of it like parking a car: you pay to stay in one place, but are you getting value for it?
Here are four key questions to guide your decision-making:
1. Is the change a business imperative or a nice-to-have?
Nice-to-have changes, like adding a backyard pool during a pay cut, can often be paused with minimal impact. Delaying these may slightly increase future costs, but the savings now are likely worth it. However, business-imperative changes—like upgrading critical infrastructure or streamlining bloated processes—are non-negotiable for long-term success. Pausing these risks lost revenue, inefficiencies, or missed market opportunities.
2. Is the change incremental or transformational?
Incremental changes, such as small process tweaks, may incur costs like delayed results or reduced quality if paused. These can often be delayed or creatively addressed within existing budgets. Transformational changes, however, like modernizing outdated software systems, have profound short- and long-term impacts. Delaying these can lead to slower value delivery, higher workloads, and missed competitive advantages. The best time to invest was yesterday; the next best time is now.
3. Are we gaining value while “paying to park”?
When you pay for parking, you’re renting space to focus on something more important. Similarly, pausing a change should free up resources for other priorities. If you’re just paying to maintain the status quo—like renewing licenses for outdated tools without funding their replacement—you’re incurring costs without progress. If parking fees (delays) exceed the cost of change, it’s time to rethink your strategy.
4. Can we afford to wait, no matter the cost?
Some changes are on tight, high-risk timelines. Delaying these—whether by a month, quarter, or year—can lead to significant consequences: missed revenue, strained organizational capacity, or reliance on inefficient “human glue” systems. Consider the risks of quality issues, penalties, or lost market share. Time is not free; a two-year delay in a critical project can cost millions in unrealized profits.
A Results-Focused, Balanced Approach to Change
Cutting costs is essential, but focusing only on the cost of action ignores the cost of inaction. Every decision to pause or proceed must account for the full spectrum of costs—financial, operational, and strategic. Use these questions to evaluate trade-offs with clear data and context.
Shift from Parked to Drive
If you’re ready to shift your change from parked to drive, let’s connect to discuss how Engine-for-Change can help you quickly prioritize the right changes, get them on the road and drive toward results.
