Change Management: Identifying and Planning Change in the Organization

Running Head: CHANGE MANAGEMENT
CHANGE MANAGEMENT
Name of the Student
Name of the University
Author Note

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Response to Question 1: Forces for change
PESTLE of Saudi Arabia:
Political Factors: The country is headed by the supreme power of the King. King is
considered the governmental Head and the Chief of the state. Saudi Arabia does not have
specific political parties. The country experiences rare elections. The monarchy offers
stability in the country due to the absence of diverse views and power distribution.
Therefore, the political state of the country will support the growth and development
of the safety services of SANS.
Economic Factors: The country, Saudi Arabia, has the leading economy amongst the Middle
Eastern countries. Saudi Arabia is continuously growing due to the authoritative decision of
supporting large-scale public companies, effective financial and banking system. In the year
2017, the GDP of Saudi Arabia is 68,382.71 Crores USD. The GDP rate has reflected a
steady decline from 2015, as the economy is majorly dependent on oil. The country
experienced a recession in the year 2017. The expected growth of the country was expected at
1.9 percent due to the growing economy from non-oil businesses. The forecast for the year
2019 for IMF depicted the declining rate, from 2.4 percent to 1.9 percent resulted from
subdued prices of oil at the end of 2018. The economy is recovering after 2017 because of the
increasing oil production and improving spending power of consumers.
Therefore, the declining rate of GDP and economy, the organization will be effected
to ensure the maintenance of equipment used for the navigation system. The economic factors
can also affect the investment in advanced technology. However, the improving conditions
like, improvement in consumer spending power can be used as an opportunity by the
company to expand its operational capabilities.
Socio-cultural environment: The socio-cultural environment of Saudi Arabia is majorly
influenced by Islamic and Arab culture. The society of Saudi Arabia was very conservative

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and traditional. The attitude and decisions of the consumers are based on Islamic heritage.
The culture of Saudi Arabia is changing due to the practice of producing commodities and
communication revolution.
Therefore, the socio-cultural scenario will positively affect the company as with the
change in cultural beliefs and practices, the customer groups are expanding for the air
transport industry, which in return will help SANS.
Technological environment: Saudi Arabia is considered to be the biggest market of ICT
(Information and Communications Technology) in the Middle East. The country's investment
in technology is expected to reach 135 Billion Dollars by the year 2030. Saudi Arabia is
slowly shifting the dependence of the country’s economy from oil extracting operations to the
Silicon Valley. In five years, the investors of Saudi Arabia have invested more than 6.2
billion dollars.
Therefore, the country approach is developing the technology sector can be used as an
opportunity for improving the service offerings of SANS by investing in updated security and
navigation systems.
Legal Environment: The legal system of Saudi Arabia is not entirely stable. The source of
legislations and laws is Islamic law, and the Quran is considered to be the constitution of the
country. The law and regulation demonstrating responsibilities and rights of the government
are structured by the royal decree.
Therefore, the uncertainty of the legal system and laws of the country due to the
dependency on derived beliefs and lack of judicial precedent.
Environmental factors: The economy of the country is largely dependent on the oil industry,
which leads to the intense utilization of fossil fuel leading to environmental issues. The
increasing population of Saudi Arabia is leading to growth in industrial activities and
overconsumption of resources. The oil industry of Saudi Arabia releases carbon dioxide at a