First-Order Change: The Power of Methodical Movement

First-Order Change: The Power of Methodical Movement

Jesse Segers, Ginkgo Consulting

Many organizations find themselves stuck in their change processes. This often happens not due to a lack of ambition but because of a fundamental misunderstanding of the different types of changes required. There is a crucial distinction between first-order changes, also known as optimizations, and second-order changes, or transformations. Understanding this difference is essential for leaders who want to effectively guide their organizations.

What is First-Order Change?

First-order change, or optimization, focuses on improving existing processes, products, or services. These changes are often technical and structural in nature. Their goal is to achieve the same results more efficiently, quickly, and cost-effectively without fundamentally altering the organization's core structure.

A classic example of first-order change comes from the semi-public sector. Consider a municipal transportation service that decides to optimize its bus route planning with new software. The software ensures that routes are scheduled more efficiently, allowing buses to run on time while consuming less fuel. While this improves service for citizens and reduces costs, the core function of the service—transporting people from point A to point B—remains unchanged. This is an optimization of existing processes, a typical first-order change.

First-order changes occur within the existing paradigm and preserve the organization's fundamental structure. These changes tend to be linear, predictable, and often manageable through methodical frameworks such as Agile, Lean, and Prosci ADKAR.

The notion that these methods are no longer valuable is incorrect—as if the era of incremental improvement has ended and only radical transformation remains relevant. This overlooks the value these methodologies provide. While a first-order change does not require a fundamental break with the past, it still demands careful guidance, clear structures, and thoughtful implementation. And in this regard, methods like Agile, Lean, and Prosci ADKAR remain particularly effective.

The Rhythm of Continuous Improvement by Project Managers and Specialists

First-order changes are particularly well-suited to delegation. An experienced project manager or specialist can effectively oversee such changes as long as the parameters are clearly defined. This is the domain of optimization: refining what already exists, reducing waste, and increasing efficiency. However, the risk arises when these changes are not well managed. This often occurs because these changes are seen as technical solutions to specific problems but fail to account for the human side of the organization.

Returning to the municipal transportation service example: if, during implementation, drivers are not sufficiently trained to work with the new software, this can lead to confusion and scheduling errors, ultimately resulting in passenger complaints about irregular service. These problems could have been avoided with better preparation and communication that considered the impact on staff.

Lean provides a structured approach by eliminating waste, improving value streams, and implementing standardization. Agile offers a framework (such as sprints, retrospectives, and backlog management) to implement change gradually and adaptively. Prosci ADKAR focuses on the human side of predictable, systematic change by guiding people step-by-step through awareness, desire, knowledge, ability, and reinforcement.

What all these methods have in common is that they offer a rational approach, operating within a given system with a strong belief in controllability. They seek improvement without questioning the system itself. The structures, identity, and underlying values of the organization largely remain intact. This is why these methods are so well-suited for first-order changes: they help refine existing ways of working without destabilizing the organization at its core.

The Ongoing Necessity of First-Order Change

In an era where "disruption" has become a buzzword, there is a risk of rejecting incremental, methodical, and planned change. However, organizations must continuously implement steady, structured improvements. Underestimating the importance of first-order change means missing the essence of how organizations evolve in a healthy manner. Therefore, it is valuable to embrace first-order change and choose the right methods to facilitate it.

Summary

First-order changes focus on improving existing processes and structures. They stay within the boundaries of what is already known and have a limited impact on the organization as a whole.

Characteristics of first-order change:

• Incremental: Small adjustments aimed at efficiency and effectiveness, often quickly implementable with relatively low risk.
• Preserves the system: The organization's fundamental values, mission, and strategy remain unchanged.
• Examples: Optimizing workflows, automating repetitive tasks, or introducing new tools.
• Methods: Agile, Lean, Prosci ADKAR.
• Who is involved: Project managers, specialists, etc.

In the next blog, we will explore second-order change—transformations that not only alter how we work but also challenge success criteria and the identity of the organization itself. Here, the dynamic shifts from method to meaning-making, bringing new challenges with it.