Change Management in Coca-Cola: Analysis and Impact

Change Management
DIPLOMA OF BUSINESS
MANAGEMENT – 985452
1

Change Management
Table of Contents
Introduction.......................................................................................................................3
Change Management...................................................................................................................3
Company Background..................................................................................................................3
Environment Analysis........................................................................................................4
Effect of Change Drivers on Coca-Cola................................................................................5
Effect of Drivers of Change on Leadership, Team and Individual Behaviours.......................6
Negative.......................................................................................................................................6
Neutral.........................................................................................................................................7
Positive........................................................................................................................................8
Minimising Negative Impacts on Change...........................................................................8
Force Field Analysis......................................................................................................................9
Creating an urgency.....................................................................................................................9
Employee Engagement.................................................................................................................9
Communication..........................................................................................................................10
Pros and Cons of Leadership Styles...................................................................................10
Directive Leadership...................................................................................................................10
Transformational Leadership......................................................................................................11
Servant Leadership.....................................................................................................................11
Authoritative Leadership............................................................................................................11
Participative Leadership.............................................................................................................11
Conclusion.......................................................................................................................12
References.......................................................................................................................13
2

Change Management
3

Change Management
Introduction
Change Management
Change management is a planned approach that allows business organizations to identify
their areas of inefficiencies and bring improvements in those areas to increase their overall
effectiveness and efficiency (Hayes, 2018). The contemporary business world is
characterized by high competition levels amongst business organizations and rapidly
changing market trends that force business organizations to implement workplace changes.
The failure of a business organizations to cope up with the changing market trends can throw
it out of the market competition and in extreme cases, it can even make it impossible for an
organisation to come back into the market. As a result, organisational change has become an
inevitable part of business (Cameron & Green, 2015).
Almost all major and minor organizations, throughout the globe, have undergone or are
undergoing some kind of a change that is targeted at removing the inefficiencies from a
company. There can be several factors that can force a business to undergo a change. In this
report, we will discuss the case of Coca-Cola, which is one of the top multinational
companies in the world. The report contains an analysis of all the internal and external factors
that are creating an urgency for the company to implement a change. Further, the report also
discusses the impact that a change could have on the stakeholders and how it can be
managed. Lastly, the report will discuss the pros and cons of different leadership styles to
change management.
Company Background
Coca-Cola is an American multinational company that was founded in 1886 by John Stith
Pemberton in Atlanta. The company is one of the most successful global companies in the
world and provides its customers with non-alcoholic beverages and syrups (The Guardian,
2010). The company sells its products in over 200 countries and a 2010 figure quoted that it
sells around 1.6 billion drinks every day. Even after achieving such high figures, the
company has still been struggling in the market because of a number of reasons. A discussion
on the environment factors that are creating an urgency for the company to change are
discussed below.
4