Three-phase unbalanced conditions in distribution networks are conventionally caused by load imbalance, asymmetrical fault conditions of transformers and impedances of three phases. The uneven integration of single-phase distributed generation (DG) worsens the imbalance situation. These unbalanced conditions result in financial losses, inefficient utilisation of assets and security risks to the network infrastructure. In this study, a phase-changing soft open point (PC-SOP) is proposed as a new way of connecting soft open points (SOPs) to balance the power flows among three phases by controlling active power and reactive power. Then an operational strategy based on PC-SOPs is presented for three-phase four-wire unbalanced systems. By optimising the regulation of SOPs, optimal energy storage systems dispatch and DG curtailment, the proposed strategy can reduce power losses and three-phase imbalance. Second-order cone programming (SOCP) relaxation is utilised to convert the original non-convex and non-linear model into an SOCP model which can be solved efficiently by commercial solvers. Case studies are conducted on a modified IEEE 34-node three-phase four-wire system and the IEEE 123node test feeder to verify the effectiveness, efficiency and scalability of the proposed PC-SOP concept and its operational strategy.MAX maximum active and maximum reactive powers of DER at node i at time t * conjugate transpose