Nudge Theory is a novel Change Management model that underscores the importance of understanding the way people think, act, and decide. The model assists in encouraging human imagination and decision making, and transforming negative influences in people. The approach helps understand and change human behavior, by analyzing, improving, designing, and offering free choices for people, so that their decisions are more likely to produce helpful outcomes for the others and society in general.

Nudge Theory is quite effective in curtailing resistance and conflict resulting from using autocratic ways to change human behavior. The model promotes indirect encouragement and enablement--by designing choices which encourage positive helpful decisions--and avoids direct enforcement. Nudge Theory helps transform existing, negative behaviors and influences on people.

This presentation presents a detailed overview of the Nudge Theory and deliberates on the 6 key challenges (or questions) that senior leaders need to think about and answer for implementing effective behavioral transformation initiatives:

1. What should be the focus of the Nudge unit?
2. Should the Nudge unit be placed at the headquarters level or business unit level?
3. Which resources be made part of the Nudge unit?
4. What are the critical success factors for establishing such a unit?
5. How to communicate the results and early wins?
6. What should be done to tackle skepticism and resistance to change?

The slide deck also includes some slide templates for you to use in your own business presentations.

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