Elon Musk, DOGE, and Organisational Change: What Workplace Leaders Can Learn
Elon Musk’s approach to overhauling US government operations has sparked global media attention. Driven by spending cuts and efficiency, from an occupational health and organisational change perspective, this presents a compelling case study in large-scale transformation.
What Musk’s Overhaul of the US Government Can Teach Us About Organisational Change
Whether you work in healthcare, financial services, or retail, you’ve likely encountered organisational change firsthand. Consider the UK National Health Service, where external consultants who do not necessarily have frontline healthcare expertise can initiate large-scale organisational restructures, sometimes streamlining services in ways that provoke resistance.
Musk’s radical changes share similarities with reforms across organisations:
External consultants driving the change bring expertise and perspective but may not have deep operational experience within the sector.
Technology integration can be challenging at scale. The human/ tech interface is at the crux of this challenge.
Efficiency vs. workforce stability creates tension.
Job losses and restructuring impact employees and morale.
Stakeholder pushback—whether from employees or the public—complicates implementation.
Organisational memory is short, making continuity difficult and sometimes even leading to a cyclical rehashing of the previous status quo.
The Unavoidable Truth About Organisational Change
Regardless of industry, organisational change is:
Driven by necessity – Financial pressures, competition, and technological advancements demand adaptation.
A workplace hazard – It increases pressure, uncertainty, and can contribute to work-related stress and burnout if this is not addressed.
A process that must be risk-assessed – Evaluating the risks during the change process as well as once the change has completed is essential to enable effective controls to be put in place.
A stakeholder-driven journey – Employees, investors, and service users shape the success of change.
How Organisations Can Navigate Change Effectively
Align stakeholder incentives – Employees, shareholders, and customers must see the value in change. Incentives for change can be different and nuanced but can still be aligned.
Invest in workforce support – Change is a stressor. Pre-empting the pressure that comes with change means preparing the workforce and supporting them through the journey.
Retain organisational memory – Document and discuss lessons learned to prevent repeated mistakes.
Lara’s take
Musk’s approach may be controversial, but it underscores a universal truth: Change is inevitable. Successful change requires strategic alignment, risk mitigation, and stakeholder engagement. Whether in government, healthcare, or corporate settings, leaders who understand these dynamics will drive change more effectively. Disruption is part and parcel of change, but can be managed. This said, it is always too easy to focusing on the operational aspects of change. This can lead us to neglecting the human impact of change and the psychological transition that stakeholders experience alongside and long after change has taken place on the ground.
