Understanding and Leading Change in H&M and Marks and Spencer

This report compares the drivers of change in H&M and Marks and Spencer, including leadership and behaviours. It includes a PESTLE/SWOT analysis, recommendations, and force field analysis.

Understanding and Leading
Change

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
Overview of the H&M.................................................................................................................3
Overview of Marks and Spencer.................................................................................................3
A PESTLE/SWOT analysis.........................................................................................................3
A comparison of the drivers of change affected each organisation, including leadership and
behaviours....................................................................................................................................6
A critical evaluation of the long-term implications of drivers of change within each
organisation..................................................................................................................................7
Conclusions and justified recommendations...............................................................................8
Part 2................................................................................................................................................8
1. Introduction to the Marks and Spencer....................................................................................8
2. Force field analysis and their influence in decision-making...................................................8
3. Different leadership approaches and models of change management to deal with change...10
REFERENCES..............................................................................................................................13

INTRODUCTION
To run an organization, they are required to adopt the different strategies sand methods so
that they can be able to grow and develop effectively. The H&M and Marks and Spencer both
are leading retail organization and deals in the clothing apparel. The report is illustrating the
different concepts of the both organization and comparing them to analyse the change including
the organizational behaviour (Min, Johnson, and et.al., 2019). It includes the internal and
external drivers of change and also include the recommendations which will help the companies
to aid the effective planning and can grow their business in definite order.
MAIN BODY
Overview of the H&M
The company H&M stands for Hennes and Mauritz which is a leading multinational
organization located at the Stockholm, Sweden. The company was founded in 1947 by Erling
Persson and today it is spread over 74 countries with 4000+ stores worldwide. The company
deals in clothing for men, women, teenagers and children’s as well. The company believes in
maintaining the sustainability goals and objectives and also help to grow and develop effectively.
The operational management of the company is quite impressive and provides all the services to
the consumers effectively and enable the growth of the organization.
Overview of Marks and Spencer
It has been known that Marks and Spencer is one of the leading retail clothing organization
located at London, United Kingdom. It is a major British multinational company mainly deals in
the apparel of all kinds of gender along with some food and beverages. The company provides
the luxury items in their organization and promote their goods and services with different sources
which makes the consumer to feel satisfied and convenient (Arnold, 2019). The M&S was
established by the two people who were in partnership leadership named as Michael Marks and
Thomas Spencer. The organization pricing strategy makes them to win the market successfully.
A PESTLE/SWOT analysis
The internal and external analysis can help an organization to understand their negative
and positive strengths so that they can improve and overcome the changes in appropriate manner.
In the context of the both company H&M and M&S determining the internal and external

changes which impacts them both in definite order. For evaluating the organization surroundings
using a model o\f pestle for the external and swot analysis for the internal environment.
Pestle analysis
Pestle stands for political, economic, social, technology, legal and environment. These factors
widely can impact the organization in the effective manner which will make the company to
grow if understanding of these factors has been done accurately (Li, Jiang, and et.al., 2021). In
another terms, this analysis helps the company to understand the complete depth of factors and
can implement these objective in definite manner which will result them into successful
approach.
Political: The political factor refers as the government regulation and laws which impacts the
organization from any direction particularly. The company M&S and H&M both are equally
impacted by the government regulations and can obtain the benefits and disadvantages
accordingly. The H&M company follows all the rules and regulation of the government and able
to grow because of the franchising. On other hand, the company M&S also impacted by the
political factor as once the UK government has allowed the company to import the foreign n
trade in free for a specific time period which makes the organization to grow effectively
(Adriansyah, Setiawan, and et.al., 2020).
Economic: The economic sector includes the money and economy of the place which impacts
the organization directly. It has been known that the recent pandemic has impacted the entire
world and organization globally and makes the company to obtain higher loses and decreases the
GDP of the particular country. H&M also got affected in these circumstances and faced many
economic issues. On other hand the company M&S has a benefit from the economic structure as
in the covid19 times the company has decided to provide the clothing apparel in lower costs
which will drive the growth of the company accurately and the level of the company cannot be
able to move at unstable position (Igliński, 2019).
Social: Looking at the social factor it also impacts each organisation in definite order. As it has
been known that social factor includes the media, health and services and population growth
which is the main objective for the retail clothing company. According to the people and
consumer the M&S mostly focus on the consumer needs and requirements and put their efforts in
fulfilling the demands but another side the H&M organization do not focus on the consumer

requirements and put the pricing strategy and even products in sale which can be very beneficial
for them in specific order.
Technology: The technology is nowadays increasing in rapid manner globally. The organization
H&M also able to utilize the technology in their supply chain management from which they can
be able to obtain the definite amount and efficiency in the company. The Marks and Spencer also
obtaining the benefits from the technology feature as they utilize this factor in making the proper
research and development and collects the information in accurate manner which helps the
company to provide the expectation of the consumers.
Legal: The legal factor includes the legislation and laws which an organization can get affected
and required to be followed essentially. The organization named H&M has been founded that the
employee of the company does not treat the ethnicity in the organizational and implements the
racial discrimination which is against the laws. Due to this act the company has to obtain the
loses in the company (Bradbury, and Galloway, 2021). On another side, the Marks and Spencer
it has follows all the laws and legislation and not harming any unethical activities and making the
stable growth of the company.
Environment: The last external factor includes the environmental process where the H&M
company follows the sustainability on their organization which help them to grow and develop
their business effectively. The company believes in not harming the nature and can provide the
clean and healthy surrounding to the people. The M&S organization who also provides the
different food products, beverages and home products and put their efforts in carbon emissions
and supports the deforestation of the land.
Swot analysis
The swot analysis in the tool and method which helps the company to evaluate their
internal surrounding and can enhance them if found any guilty and issue (Bessière, Charnley, and
et.al., 2019). The internal factor impacts the company widely and can able to obtain the higher
growth by knowing the strengths and weakness of the organization. In the context of Marks and
spencer and H&M performing their internal analysis which will determine the internal
surroundings.
Strength
The company named H&M has a strength of
providing their products and goods in higher
Weakness
The H&M has the weakness that they do not
focus on the customer satisfaction and provides

prices which makes them to display as luxury
items and makes people to get influenced
easily. On another side, the M&S organization
focus on the customer desires and satisfaction
and puts the prices of the products accordingly
and affordable.
the goods and products in the wider and high
pricing manner where most of the people do
not able to purchase the goods. The company
M&S is not having an effective supply chain
management which makes them to obtain some
loses which is required to be solve quickly.
Opportunity
The H&M is a multinational company and
provides their services and good globally in
diverse culture which is a great opportunity for
them to grow successfully and widely (Jia,
Gao, Zhou, and et.al., 2020). The M&S
organization have the opportunity where deal
in multiple variety of products not the clothing
apparel but also include the home products and
food and beverages which makes them to grow
more effectively.
Threat
The Marks and Spencer company has a threat
from being substituted by the another
competitive organization as the clothing retail
industry is developing in daily life rapidly. But
the H&M organization have a threat by their
pricing expensive strategy where people are
not able to purchase the higher range products
which is a huge threat and risk for the
company.
A comparison of the drivers of change affected each organisation, including leadership and
behaviours
As, it has been mentioned above that there are internal and external driver’s ad factor
which affects the organization in any direction and can provide the advantages and disadvantages
accordingly. There are different drivers of change which affects the organization in every
manner. The company H&M leadership style is very effective which makes the employee to
work effectively and able to feel motivated accordingly (Purwadita, Sudiro, and et.al., 2018).
The company employee requires the motivation and courage for providing the best hard working
efforts which can make the company to grow effectively. Along with this, providing the training
sessions in organization makes the company employee to enhance their knowledge and skills and
provides the effective communication between each other which make the organizational culture
positive and motivated. The company follows or implements the transformational leadership in

their organization and able to provide the effectiveness. A good leader can be able to provide the
effectiveness in the company which H&M organization have.
On another side, the organization Marks and Spencer also get affected by the change of
organization drivers as the company main aim and objective is to provide and fulfil the customer
expectations which can be done by the efforts of the magentas and research department which
helps in collecting the information widely and accurately (Damkjaer, 2020). The M&S
organization exhibits the transformational leadership in their organization which makes them to
obtain higher outcome. This leadership style makes the employee to feel a valued part of the
organisation as this leadership supply the appreciation the employee in different forms as it can
be bonus or incentive or holiday packages and insurances for the betterment of their career plan
and future existence. This method makes the drivers of the organization to adopt and provide the
effective working in the company and can obtain higher productivity.
A critical evaluation of the long-term implications of drivers of change within each organisation
Every organization or business occupation have its long term and short term goals which
help them to achieve the targets in definite manner. Regard to this context, the M&S
organization also has its long term implications as the company follows the transactional
leadership style in their company which makes them to obtain the higher outcome and
productivity. The company aim is to fulfil the demands and expectations of the company which
can be done by the drivers of change which includes the different factors as political,
environmental, economic and such more. The external factors and internal are the major drivers
of the company where the internal environment include the leadership and organizational culture
which is applying the reward and appreciation system to increase the profitability.
On another hand, the H&M company is utilizing the transformational strategy where the
internal driers have been concluded and making the company to grow effectively (Hansbrough,
and Schyns, 2018). The motivation is the best and positive ideology which makes the people to
put their efforts and can grow the organization in definite manner. The company wants to expand
their business globally and widely which is the main objective and obtain the higher outcome by
supplying the luxury products. They are also following the sustainability in the company which
make them to grow and influence each consumer.

Conclusions and justified recommendations
According to this report, it has been concluding that both companies need to evaluate and
enhance the change management which can provide the effective results in the company. It has
been recommended that the H&M company is required to focus on the consumer satisfaction and
needs to also provide the lower prices so that people can obtain the respective and affordable
products. Similarly, the M&S organization is required to obtain the better result my making and
focusing on the stakeholder and supply chain management which will result them effectively.
The report has mentioned all the areas of the organization which impacts their growth and
development and requires to enhance them as possible they can.
Part 2
1. Introduction to the Marks and Spencer
Marks and Spencer is a British multinational retailer company which is headquartered in
London, England. The company is highly specialized in clothing, home products as well as food
items. Marks and Spencer has 959 stores all across the United Kingdom. The establishment is
built over core values of quality, innovation services and trust factor. In complete and detailed
manner, the mission of the brand is to make ambition quality easy to get to to each and every
person who helps through the feature and range of the product (Ervural, Evren and Delen, 2018).
By mixing traditional concepts and underlying brand values with new missions and ideas, the
organization has been able to make the most out of its heritage as a classic British company
without losing sight of the modern requirements and expectations of their audience. However,
there are certain competitors of the firm such as Tesco, ASDA, ALDI, etc.
The original Mark and Spencer consumers are not able to significantly afford in order to
purchase better quality of goods and services as their company based its business over high
volume and low turnover in context of profit margin. By having this kind of strategy, the demand
has been matched; Michael Marks was able to gain the competitive advantage over his rivals.
They offered wide range of innovative products is a kind of traditional approach which helps to
get competitive advantages.
2. Force field analysis and their influence in decision-making
The force field analysis is a structured framework used to aid the business decisions, most
frequently in context of strategic planning, implementing along with change management. As per

the structure, company is able to ensure that the forces help in order to make decisions and forces
against the decision. If the Mark and Spencer want any specific decision to be made or the
change to happen, the forces against the changes must be weaker than the forces which are
capable of making the changes. The forces that can impact over the business decisions might
involves cost of the decision, continuous impacts over the productivity along with opportunities
as well as benefits that might be presented (Murray and Rudebeck, 2018). Every force given a
value which is 1 to 4 who shows that the larger the value, the higher their impact over the
business. This analysis helps in order to provide clear evaluation for a decision to be made, it
also helps to identify negative forces hat should be removed to make sure about the successful
implementation of the change, fair analysis that allows everybody to list their advantages and
disadvantages along with utilised as a group or individual. One barrier that Marks and Spencer
face when coming to change is that they normally fear the unfamiliar. If they are standing still,
they are going backward. In context of identifying barrier, leadership is a barrier for change as
well. If employees are unable to embrace new changes within their workforce, the
implementation of the organisation must be failure. Most of the employees majorly ones have
worked at the firm for a long period of time normally worried that change being implemented
with a cause that find it hard to work and may even lose their job. The thirds barrier is the lack of
communication between their managers along with the employees of the establishment. Each and
every person should be involved within the change system which ensures successful results.
In initial timings, the primary step of the Mark and Spencer is to describe their vision
which can be towards changes in the business or the planning for the business. Another is to find
forces that drive changes which can be either external or internal such as outdated technology,
need to enhance sales and lack of motivation are some of the internal drivers. In context of
external drivers’ hazardous working environment, troublesome technology and change in
purchaser are some drivers. The forces against changes involve fearing change or existing
company structures. External factors could be compulsion towards clients and government
legislation. Finally, the firm will apply force field analysis in order to decide whether to change
or not or use it to see if they can make the change more successful in nature.
In context of Schein’s company culture, it has been evaluated that the Edgar Schein had
developed a kind of company culture more visible within the firm. The Mark and Spencer also
indicate some of the steps to follow in order to bring cultural changes. Artefacts and symbols can

mark the surface of the firm as they can be visible elements within the establishment such as
design, logos, and structure (Di Nota and et.al., 2021). These should be visible to employees and
managers in the business. The basic and general underlying decisions are deeply hidden within
the enterprise structure and are concerned with the behaviour of the employees which makes sure
that the employees understands their task and can complete it.
3. Different leadership approaches and models of change management to deal with change
Change is one of the most unavoidable aspects of the business of Mark and Spencer along
with their life. Some employees find it hard or challenging to deal with change along with their
attitude towards change that can affect how they expand (Rungratsameetaweemana and et.al.,
2018). On the other hand, some leaders can embrace the deal and changes with the in positive
manner. Leaders of the M&S also have to deal with the change personally and help others in the
operations to stay optimistic in nature.
Situational leadership
This type of leadership is highly significant for M&S success as their leaders are able to
communicate their company messages, assign their work effectively and motivate their
employees. Leadership styles are completely dependent upon the managers’ personality as
situational leaders normally adjust their leading style changes as per the style of the employees.
The developmental level of employees depends upon the people motivated within their work if
they have enough skill (Zollo and et.al., 2018). A motivating work environment can also enhance
positivity in the firm. It is the main duty of the supervisors and leaders of M&S is to create
positive environment. In context of Kotter’s 8 step change model the stages are:
 Create urgency: For change to happen, it will help if the Mark and Spencer can agree
upon it. They should develop a sense of importance for the requirement of changes. In
order to do this, the managers have to convince their employees through their speech
about what is happening in the surroundings.
 Create a vision for the change: When the company think about change, the company
link all such concepts together and create a total vision that everybody can understand
(Wu and et.al., 2021). A clear vision can able to help everybody in the business that
understands the tasks of the firm.

 Communicate the vision: The Company must have to communicate their vision with
their employees in most effectual manner. They are the ones who should link all their
concepts together and create an overall vision that everybody can understand. The
message should be extremely strong in context of competition with others from the
business.
 Remove obstacles: If their steps are properly followed and they have appropriately
talked about their vision. Hopefully staff will start considering the vision and make it into
reality.
 Create short time celebration: Nothing can motivate their employees as much as
success. In order to taste the success in early times, the managers of M&S have to give
their maximum to the firm.
 Build over the change: It has been evaluated that most of the projects fail because the
managers thought their success at early stages while real changes takes certain time to be
completed and developed (Galli, 2018).
 Secure the changes within the business: The corporate culture within the M&S
determines what will be done; hence the values behind the vision can be seen on daily
basis.
 Creation of powerful alliance: the managers of M&S should convince their employees
that the changes are significant although this activity requires strong leadership and
support for the firm’s management.
Lewin’s change model
The change model had been developed by Kurt Lewin which consists of 3 stages such as
unfreezing, changing and refreezing. This is basically a simple or practical model in order to
understanding the change procedure.
 Unfreezing: The primary goal during this stage is to create awareness about the current
plan for the business is making the company worse in some ways. The manner of
thinking, old behaviour, procedures, company structure must all be carefully examined so
that they can show to their workforce that the change is significant so that they can show

employees that the change is necessary for the firm in order to beat the competition
(Faupel and Süß, 2019).
 Changing: Now the primary step is completed the employees can start to move. Kurt
recognized that change is a procedure where the company must transition from the
current state to a new state. At this point the change become the reality and also become a
hardest step.
 Refreezing: Lewin called this stage freezing but many employees decide to refer to this
as refreezing stage because as it is the new state after the change. The changes have been
done in context of company procedure, goals, offerings and structure.

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