People are often cited as the most important asset in any workplace, but unless leaders are putting this into practice by prioritising organisational culture, then this assertion becomes somewhat meaningless.
Especially in times of change, such as the Government-mandated restructure local councils are undergoing in 2025, ensuring quality focus on the ‘people’ aspects of any organisation (such as communications and employee engagement) is as essential as the correct implementation of new technologies and processes.
Indeed, this is a sentiment shared by the New Local Government Network who cite: “There is strong evidence that councils need to focus on culture change as much as structural reform if they are to deliver meaningful impact now and in the future.”
But how do councils achieve this, and why is it more important now than ever?
Earlier in 2025, leaders across 21 regions currently operating under two-tier council structures were asked to collaborate on Local Government Reorganisation proposals which would see them merge into new unitary (or one-tier) organisations.
According to the English Devolution White Paper, the Government’s long-term vision is for ‘simpler structures’ with more strategic decisions to ‘unlock growth and deliver better services for communities’. However, alongside the ‘upfront costs and additional pressures’ likely to be created according to the Local Government Association, these changes also represent the need for extensive implementation of new processes, solutions and technological tools.
Change is unsettling for anyone, and when it occurs in a work setting this can lead to a shift in culture, which negatively impacts morale and productivity. As well as communicating effectively about the digital transformation process which will be required to create the new unitary authorities, and how new tech solutions can be used effectively to support automation of tasks, increased efficiencies, and driving innovation, involving staff at the earliest opportunity can also give rise to a wider range of ideas – from the people who will be utilising the new systems every day.
Consulting with staff helps technology leaders and partners understand the existing issues with legacy systems, which can then be prioritised when building new tools and adopting forward-thinking processes.
Continuation of this two-way communication and engagement throughout implementation and beyond contributes greatly to the overall culture of the organisation, in turn realising greater efficiencies than that which could be achieved through technological advancement alone.
Within organisations which focus on managing the human dimensions of digital transformation alongside the necessary structural changes, the chance of successful project outcomes increases exponentially. And this sort of people-focused approach is even more essential where employees have undergone transitions before – a likely scenario for many within the ever-changing local government sector. Expert Marché Pleshette’s research showed 88% of staff think the change they’re experiencing will be negative for them, often due to previous experiences.
Conversely, by designing high-performance cultures and maintaining workforce resilience during periods of uncertainty and upheaval, leaders can positively impact people-related metrics. An overwhelming 98% of global CEOs told researchers Heidrick and Struggles a positive culture had improved retention rates within their organisation.
The link between company culture and change efforts succeeding or failing has been highlighted by many experts, with Forbes stating culture is ‘bedrock’ upon which organisational change is built.
Against a backdrop of local government reform, it may feel change is being foisted upon councils – and the teams within them – but an aspect they have total control over is how they prioritise culture and employee engagement. The technology they choose to implement and how processes and tools align are of course crucial decisions, but without being underpinned by a strong focus on how the people within the organisation are impacted, then it’s much more difficult to ensure a positive outcome long-term.
With so much pressure on councils, both from the Government leaders pushing for structural change and from the public to whom they are fundamentally accountable, using this opportunity to prioritise organisational culture will help put them in the best possible position going forward. If people are councils’ best assets, then let’s start giving them the focus they deserve, alongside consideration of changes to technology and processes – because, in the end, it is each authority’s organisational culture that will ultimately ‘make or break’ reform attempts.