Understanding and Leading Change in Arcadia Group Ltd.

Understanding and Leading
Change

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Organisational examples where there has been an impact of change on an organisation’s
strategy and operations...........................................................................................................3
M1 Drivers for change in an organisation and the types of organisational change they have
affected...................................................................................................................................5
TASK 2............................................................................................................................................6
P2 Ways in which internal and external drivers of change affect leadership, team and
individual behaviours ............................................................................................................6
P3 Measures that can be taken to minimise negative impacts of change on organisational
behaviour................................................................................................................................7
M2 Theories and models to evaluate organisational response to change...............................8
D1 Conclusions and recommendations with valid justifications for planning effectively.....8
TASK 3............................................................................................................................................9
P4 Different barriers for change and how they influence leadership decision-making.........9
M3 Force field analysis to analyse the driving and resisting forces and how they influence
decision-making...................................................................................................................10
D2 Evaluation of use of force field analysis in the context of meeting organisational
objectives..............................................................................................................................10
TASK 4..........................................................................................................................................11
P5 Leadership approaches to deal with change....................................................................11
M4 Which leadership approaches can deliver organisational change effectively................12
D3 Effectiveness of leadership approaches and models of change management. ..............12
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Change is a procedure in which the management changes its functional methods,
applications, organisational framework or tactics to decrease the employee actions and the cost
of business while simultaneously increasing the effectiveness of the change effort. Factors such
as globalization of markets are dynamically evolving technical forces of businesses to respond in
respect to survive. This project report is made in context of Arcadia Group Ltd. which is a
British multinational retailing company which was established in the year 2002 and is
headquartered in London, UK. It maintain fashion retail shops and outlets. The management
provide wider term of clothing and supportive goods for men and women as worldwide. The
report gives detailed discussion on the internal and external drivers that lead to change and the
impact of such change on the company. Barriers of change are also discussed which influence
leadership decision-making and the approaches of dealing with such changes (Albrecht and et.
al., 2015).
TASK 1
P1 Organisational examples where there has been an impact of change on an organisation’s
strategy and operations.
The managerial tactics is the sum of activities of the business that incline to take to
accomplish it's longer term of the targets. It is a dynamical long-term plan that maps the route
towards the understanding of the managerial targets and objectives. A correct organisational
strategy if adopted gives monetary and competitive advantage to the company. To gain high
profitability Arcadia Group Ltd. needs to implement changes in the changing environment so as
to provide its customers with products that are in demand. To understand the impact of change
on an organisation’s strategy and operations following comparison is done between Arcadia
Group Ltd. and it's competitor ASOS PLC which is UK's largest online fashion retailer :
Basis Arcadia Group Ltd. ASOS PLC
Political
changes
Impact : After Brexit, the political
situations in UK have affected the retail
market. The slowing economy has lead
Impact : The online retail business in UK
depends greatly on European market. After
Brexit, the company is experiencing steady

to reduced consumer spending, products
sourced from EU have become more
expensive, risk of significant currency
fluctuations has impacted company's
performance for which following
strategic changes are made :
Strategic changes : Brexit has lead to
increase in prices in every sector. The
company in order to remain successive
can change it's strategy from premium
pricing in which it charged high premium
prices from customers to economic
pricing so as to make it's products
available to a large customer base by
reducing it's prices. More customers
buying at lower prices will maintain the
company's overall profitability.
Operational change : The company can
sell its products on online portal by
building an application to minimize the
affect of political barriers and deal with
the issue of expensive labour after
Brexit.
slowdown in terms of sales and revenue.
To reduce the impact of Brexit, ASOS plc
has brought following strategic changes to
improve the company's performance :
Strategic changes : The company has
changed its strategy by expanding it's target
market to 16-34 year old men and women
by combining on-trend fashion and
advanced distribution with low prices and
also introducing its own branded products
across full line of clothing types (Yahaya
and Ebrahim, 2016).
Operational change : The company has
become more demand driven and provide
greater services through introduction of
easy payment methods for online
transactions.
Social
changes
Impact : Social factors such as family,
community, socio-economic status,
religion etc. that affect and define
lifestyle influences Arcadia Group Ltd.
in business decisions of what stock to
keep in the stores to attract the kind of
customers it want to focus. The slowing
economy after Brexit has decreased the
Impact : The online retail market of ASOS
plc gets affected by the change in
consumer preferences as the fashion
between the age group of 16-34 year old
changes very frequently which affects the
stock management of the company because
it has to be changed every time the fashion