Change Management

Running Head: Change Management 0
Change Management

Change Management 1
Introduction
Woolworths Limited is one of the biggest supermarket chains developed in 1924 in
the international community. In recent years, the retail market in Australia deals with many
fluctuations by participating in new competitors. The retail industry is now more vibrant
because of the intense competition among Aldi, Coles, Wesfarmers, and Woolworths. The
Woolworths is now intended to reduce prices to decrease percentage compared with other
company products. However, it is stated that Woolworths required conducting operations and
implementing the change to maintain its position in the retail industry and the development
strategy in the future. According to Woolworths limited, they recognized as a strong and
dominating retail brand with over 59 million revenue and more than 20,000 employees. They
represented many other big brands such as BWS, Big W, and many more (Sullivan &
Gouldson, 2017). In the following, an effort has been made to discuss the appropriate
diagnosis models and intervention based on diagnosis.
Woolworths change in the retail market
It has been stated that change management as per the Emerald group, operating and
developing business in this era, the community has also suffered the influence of the
environment around it. These impacts often cause competitive pressure and a matter of
concern to the growth and success of the organization. It is understood that as all processes
and methods in reform objective is to maintain a competitive advantage for the organization.
They have to implement new technologies, link with other organizations, utilize staff working
culture, strategic nature, and restructuring the department of business. It is associated with the
internal and external framework of a company to drive the change within the Woolworths.
The organization is comprised of several factors with the potential to influence the operations
conducted in the organization. Woolworths is also impacted by the trend and it affects the
change and innovation in the industry trends and demands of the customer (Thompson &
McLarney, 2017).
Diagnosis Models
Mckinsey 7s model
The diagnosis models, which have identified as Mckinsey 7s model, which will be
implemented for technological intervention as there are 7 elements, which is characterized

Change Management 2
into hard and soft elements (Sikdar & Payyazhi, 2014). Hard elements are described as
structure, system, strategy, and soft elements are described as staff, shared value, style, and
skills. It is stated that every organization should use this diagnostic model for change in the
development of the organization. It also helps in bringing success to the organization these 7
elements develop on a harmonious and reasonable manner. Woolworths will not fully
appreciate the abilities, capabilities and concentrate on few elements and less concentrate on
other elements (Shiri, Anvari & Soltani, 2015).
The hard elements determine the growth and success of the organization, which
exists, observes, and evaluates the level of understanding effectively and efficiently within
the organization. It is stated that the organizational structure depends on the coordination,
specialization, and cooperation among the business departments. The changes are discovered
as adjustment towards creativity, breaking up of the traditional method of thinking, human
resource weakness, and innovation for employees (Straatmann, Kohnke, Hattrup & Mueller,
2016). These issues are diagnosed, which is significant for organization development and
weakness needs to be resolved. Under the strategy element, Woolworth may seek information
about seeking data and information about consumer trends, environment operation,
competitiveness of the retail industry to define a prospect for new strategy and development.
The strategic change tends to human capability, leadership, and organizational structure,
which should change and from that vision change. The system element describes that
Woolworths consider HR and financial system to decide growth rate to replace a well-known
brand. In addition, Woolworths can easily monitor, control, evaluate, and implementation
process of change, and determine staff and personnel on the right path (Dezdar & Haghighi,
2014).
The elements in the McKinsey 7S diagnostic model are-
 Structure- In the structure element, the sequential forms of data is interrelated and
forms the basis of the organization.
 System- In the system element, it concentrates upon defining and determining the
operations conducted in the organization.
 Style- In the style element, it characterizes the leadership models adopted in the
organization as it influences the competitive advantage and overall performance of the
Woolworths (Hornstein, 2015).