Understanding and Leading Change in Morrison and Sainsbury
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This assignment discusses the overview of Morrison and Sainsbury, types of change, drivers of change, and their impact on each company. It also analyzes the long-term implications of change and provides recommendations for effective change planning.
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HNBS 317 Understanding and Leading Change 1
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INTRODUCTION Change is action of moving organizations from where it is now and to where it wishes to be while operating within specific industry. It considers as one of the most essential success elements for any venture or company in today’s ever changing world. The current assignment will be based on two companies such as Morrison’s and Sainsbury, which falls under category of leading supermarket brands in the whole world. This study will divided into two parts, part one will define overview of each firm and form of change. It will explain Pest analysis in context of determining external & internal drivers of change. Furthermore, this report will describe comparison base on change drivers’ impact upon each company, including behaviour and leadership.Thisassignmentwilljustifylongtermimplicationofdriversofchangeand recommendation for planning effectively for modification within each firm. Moreover, it will clarify different approaches of leadership to deal with change and barriers in context of same. PART 1 Companies overview and type of change About Morrison’s- It is well known supermarket brand in the UK; it sells quality products and services to target customers. Organization vision is to become a market leader in construction of sustainable future (Keane, Miller and Muth, 2020). The core values of Morrison are excellence, integrity, passion and collaboration. The mission of chosen supermarket is to deliver quality products and services to consumers. It has 494 stores which its management and leaders can operate successfully. About Sainsbury- It is also a well establish and popular supermarket in the United Kingdom just like above one. Its vision is to be one of the most trusted retailers in world, where consumers love to shop and workers like to work in productive manner. Mission of Sainsbury is to be buyer first preference for food, for which it work much harder than ever. Firm grow to become the biggest food retailer with more than 600 supermarkets and over 800 convenience outlets. Morrison and Sainsbury went through different types of change such as organizational and technology change. Pest analysis use to determine external and internal drivers of change Internal and externalMorrisonSainsbury 2
drivers of change Political factorChangeintraderegulation andpolicyisoneofthe politicalfactorsthatput negativeimpactoncurrent trade operationof Morrison andalsoaffectbrand expansion tactic (Andersson, 2018). In increase pressure on companyincontextof changingcurrenttrade strategy and plans. Incontextofthisbrand, change in tax rate is one of thepoliticalelementsthat alsoaffectinnegative manner, in form of increasing amount of tax which impact profitabilityandfinancial plansof companyandalso impact production and supply managementstrategies(da Silva Rei, 2020). Economic factorHighunemploymentrateis included in this category of external driver of change that putpositiveimpacton employmentstrategyand recruitmentoperationof Morrison in positive manner in term of giving opportunity tohireskilledpeoplewho couldperformworkeven better. High income rate is economic factorthataffectpositively upon production strategy and marketingoperationof Sainsbury.Itincreases profitabilityandsalesof supermarketbecausewhen consumersareabletopay exchange of products it can be beneficial for business. Social factorMarket trends are one of the externaldriversofchange thatcanalwaysaffectin negative manner upon current marketing and manufacturing operationsandstrategiesof supermarket.Asitincrease stress level and work pressure Lifestylechangecould consider as external driver of change that impact Sainsbury productionoperationand tacticrelatetofinance operation in term of investing moneytoidentifyreason behind above change among 3
upon manager to reconsider everythingrelateto consumerslikeneeds, preferences etc. consumers. Technology factorTechnologyadvancementis one of the drivers of change thatcanimpactinpositive mannerbyboosting performancelevelof marketingteaminformof developingaffectivecontent andinfluencepeopleby reachingatthelatestad channel. Developmentofdigital marketingplatformsimpact marketing tactic of Sainsbury in term of developing plan to reachatgloballeveland affect production operation in formofincreasingdemand for quality products. Affects of drivers of change upon each company including behaviours and leadership There are different drivers of change available in the world of business that can put positive and negative impact on each company including its operations management practices, leadership styles of leaders and behaviours of staff towards change. For example, structure change is a form of driver that can impact current management practices of Morrison’s manager and leadership styles of leader in negatively (Satta and et.al., 2019). Because of this driver company needs to restructure its business expansion plan in new form which is quite tough to do as it consume a lot of time and efforts as well. Furthermore, due to this factor leader needs to guide its workers about how to work and act into workplace to overcome negative aspects of factor. It also impact behaviour of staff in form of lack of effective communication and collaboration. Most people could not be able to work with new structure as it restricts them to conduct collaborative practices with other applicants. Development of digital marketing channels and platforms is external driver of change from which Sainsbury goes through as it impact leadership, behaviour and overall company sales in positive manner. For instance, marketing with this element can perform effectively and quickly by developing influencing promotions content that help to reach at international level 4
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and gain attention of global buyers towards its products and services. It impact positively upon behaviour of staff in term of increasing his or her performance level by using advanced technologies through which they can easily reach at international buyers and gain their attention as well. Furthermore, it also affects leadership in form of providing responsibility to train and guide workers about how to work with the latest technologies and machines can use to product or service promotion, which in return increase sales level and profits margin of chosen brand even better. Critical analysis base on long term implications of drivers of change within each firm External and internal are the two forms of drivers of change that either put negative or positive impact on Morrison and Sainsbury, when its management and authority decided to accept and implement at workplace. It can critical evaluate that long term implication of driver of change such as structure modification is the best thing that Morrison could do as it help to increase productivity of staff from switching flat to hierarchal structure and boost performance level in excellent manner, which no other brand can match, while operate in retail industry. Whereas, it put negative impact in term of increasing high employee turnover because some workers can resist to change which not suitable for further growth and current performance of chosen supermarket. In order to overcome this impact company can take right action and consider approaches. Furthermore, just like Morrison, Sainsbury can also implement specific driver of change and that is development of digital technology for long term period at workplace. It can critical analysed that usage and implication of advanced technology relate to marketing can increase sales and productivity of supermarket more than its rivals. It brings a lot of benefits in term of gaining competitive advantages and increasing profitability even better. On the other side, it impact negatively in form of increasing cost for implementing and using digital marketing technologies. It put negative impact on financial performance of chosen brand and its sales level. When company need to use digital marketing tools they can train workers by providing training and development opportunities which can be time consuming activity. Furthermore, it needs more investment to build effective workforce or hire new employees who can perform work at workplace in productive manner. 5
Overallchangecanbeimplementedincompaniesbyfollowingguidelinesand suggestions of Lewin change management model. It comprise three stages that are mention below- Unfreezing- According to this stage, leader can implement change at workplace before identify workers needs and then assure them about its benefits and effectiveness for everyone. Changing- Inthisstage,leaderattemptimplementorganizationstructureplanaschangeby communicating and including workers in overall act. Refreezing- After implementing change leader can assure people that it gives a lot of benefits to business and staff as well. They can assure workers more about thing that structure change is permanent. Conclusion and suggestions Fromabovediscussion,ithasbeenconcludedthatbyMorrisonanditsworkers performed effectively by switching to new organizational structure. Furthermore, it has been identified that technology change has increase Sainsbury profits margin. Recommendation- Leader within companies can effectively plan for change and apply it in workplace by measuring and eliminating negative impact of drivers of change. For example, they should conduct situational analysis act and then collaborate with staff to take their opinion in context of further planning. Manager must also take part in overall procedure by developing training plans for staff which enable them to plan change successfully and make able to minimize negative impact of change by working productively. 6
Part 2 1.Introduction of case study organisations Morrison Morrison’s supermarket plc is the 4th largest supermarket chain within the United Kingdom who are having a huge reputation in retail industry. This companies headquarter is present in Bradford England. this company was founded by the William Morrison in year 1899, initial day off Morrison it began as an egg and butter stall in a local market called Rawson, till the year 2004, Morrison was totally focused on North of England but with the takeover of Safeway in the year the company reputation increase within the market and they were able to establish their presence in South of England (Galli., 2018). There are around 110000 Total employees are working for this company and having 11,000,000 customers each week. this company has implemented organisational change that helped them 2 take competitive advantages within the market. Companies like Sainsbury, Tesco, Asda and Marks and Spencer are top competitors for the Morrison and giving them huge competition. This company was facing problems related to their organisational structure so they implemented the change to make communication flow more effective so they can increase the flow of communication that improve the efficiency of the employees and make them more productive and creative in their work. Sainsbury Sainsbury plcis the second largest supermarket chain within the United Kingdom and they are competitor of the Morrison. This company is having around 60% of share market within the UK and it was founded in year 1969 by the John James Sainsbury. This company was started as a shop in lane London an year 1922 this company become the largest retailer but after the year 7
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1995 Tesco overtake the Sainsbury and become the leader of the United Kingdom retail industry. Till the end of year 2018 there were 116400 Employees were working for them and this company also has implemented the change related to tanglin technology that provide them huge competitive advantages within the market where they are operating their business. Technological changes had them to take competitive advantages and they were able to show their presence withinthemarkettheiroperatingtheirbusiness(CameronandGreen.,2019.).They implemented the latest systems that improve their productivity and increase the efficiency of their work. the leadership quality make this company successful to implement the change.This company also having international location that shows that how effectively they are operating their business and they’re having huge reputation not only in the United Kingdom but they also famous in the other countries as well. 2.Force field analysis to determine driving and restricting forces and its impact on decision- making. Force field analysis Force field analysis is the model that is used for implementing the change successfully and it has contribution to the theory of change management. This analyses provides an overview of the change problems that need to be tickled by the business is like Morrison’s, splitting factors into the forces for against the change. Leaders and managers of the Morrison can also use this force field analyses to take competitive advantages by implementing the change successfully within their workplace.. According to this model, there are some driving forces that create change situation within the organisation an forces restraining it (Volker, and Prostean., 2016.). Where there is equilibrium Between the two sets of forces there will be no change. it is necessary for the company to have a driving force that can only bring the change and it must be exceed the resistance force. Internal forces for this change within the Morrison A general sense that every business have hope to do better this is also an internal force that Create need Of change or implementation of change within the workplace so companies can do better within the market. Desire to increase the companies profitability an other performance measures, these are also a change forces that internally work and create need To implement the change. 8
Organisational structure is also bring the change an it is an internal force that demand for the greater flexibility in the organisational structure for the better flow of communication. And this change already implemented by the Morrison. External forces of change Increase the demand of customers to take high quality, and level of services from the Morrison, that forced the company to bring change in their product and develop in effective and qualitative way that can attract the customers (Bordeleau,. and Felden., 2019). Competition within the market is also a external force that creates Desire of the change within the company so they can overcome from the competitive pressure and take competitive advantages within the market where they are operating their business. Restricting forces Despite the positive potential outcomes change is nearly always restricted, agree of resistance is normal since changes implemented. Similarly there are many force restricting change and Restraining forces. that create the problems to implementing the change and this can also include the habits, misunderstanding of the need for the purpose of change, different situation, economic implications etc. Recommendation On the basis of a force field analysis change implementation on the proper time can we beneficial for the company and they would meet their organisational objectives. It is necessary for the leaders and managers of the company to implement the change on the time when it is required, they just need to be careful about both forced restricting changes and restricting forces. this can be avoided by using the proper steps of change and communicating with the all stakeholders within the company. it will help them to take competitive advantages and they can show their presence within the market where they are operating their business and take most of their shares within the retail industry and Morrison can show their presence within the market. 3.Leadership approaches and change management model to dealing the change. There are many leadership approaches and models that can be useful for the both organisation Morrison and Sainsbury to implement the change successfully within their workplace (Hoekstra, SteinbuchandVerbong.,2017).leadershipapproachescanprovideaknowledgeAnd understanding of implementing the change and they will able to lead implies effectively an create 9
support from them. on the other side change management model like Lewis Model can be useful for both organisation to implement the change with the proper step and help them to take competitive advantages. Leadership approaches situational leadership style Situational leadership style one of the most effective for the change management, it can be useful for the both Morrison and Sainsbury leaders implement the change successfully, this approach is consist of various leadership styles that leaders have to take knowledge and understand how it works. by using this leadership style leaders can effectively manage the various situation by using the various leadership’s and help company to welcome from the restrictions. . this is most effectiveduringthechangemanagementandhelpcompanytoimplementthechange successfully. Democratic leadership Democratic leadership is another best approach in the change management process. it allow low level employees to work with the leaders and managers and they also get opportunity 2 take higher responsibilities for the short period of time. this helps to create a good understanding between leaders and employees and they get the support from the workers. leaders and managers of the Morrison’s and Sainsbury can use the Democratic leadership style to motivate their employees and encourage them to give their support in the implementation of change through the communication. Lewin's change management model Unfreezing It is the first stage of these models that and was the organisation to accept the change that is necessary to improve there productivity Anne position within the market. this involves the breakdown the existing status quo Before they can build up a new way of operating (Nojavan, Salehi and Omidvar., 2018). In this stage it is necessary for the leaders to communicate with the all stakeholders of the company so they can be aware of change and get better support from them. spreading awareness create trust an it is necessary for leaders to make everyone understand that why change is needed. Change 10
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This is stage Where change become the real and every employees and workers fight with the new task come up with the new problems. it is necessary for the leaders and managers to give support to employees by providing them training and development so they can understand a new task and they can also set the short goals that can be achievable for the employees and it will help them to motivate. Refreeze When the change are taking shape and people have embraced The new way of working, the organisation is read ready to refreeze. The outward signs of re freezing are stable organisation chart call my job descriptions. it is necessary to make sure that change are used all the time and they are incorporated into the business everyday. Conclusion Expert the report has been compared to organisations Morrison and Sainsbury on the basis of change management and explain how it impact on their operations and strategies. this report has been evaluated the influence that drivers of change have on the organisational behaviour through the past analysis and SWOT analysis. it also has been evaluated the measures that can be taken to minimise the negative impact of change and also cover the various of change influence the leadership decision-making. this report has been provided the recommendation related to the leadership approaches that can help to leaders and managers of the both companies to overcome from the change and implement it successfully so they can take competitive advantages. 11
REFERENCES Book and Journals Keane, A., Miller, J. and Muth, K., 2020. Review Essays on Recent Scholarship: Keane on Morrison and Love; Miller on Bradbury and his Times; Muth on Redescribing Feminist Aesthetics. Andersson,F.N.,2018.Internationaltradeandcarbonemissions:TheroleofChinese institutional and policy reforms.Journal of environmental management.205. pp.29-39. da Silva Rei, S.C., 2020. Determinants of FDI: Corruption, Political Instability and Corporate Tax Rate. Satta, G and et.al., 2019. Port labour, competitiveness and drivers of change in the Mediterranean Sea: a conceptual framework.Production Planning & Control.30(13). pp.1102-1117. Galli, B .J., 2018. Change management models: A comparative analysis and concerns.IEEE Engineering Management Review.46(3). pp.124-132. Cameron, E. and Green, M., 2019.Making sense of change management: A complete guide to the models, tools and techniques of organizational change. Kogan Page Publishers. Volker, S. and Prostean, G., 2016. Research of automotive change management and combined risk-management models.Procedia-Social and Behavioral Sciences.221.pp.395-404. Bordeleau, F.È. and Felden, C., 2019. Digitally Transforming Organisations: A Review of Change Models of Industry 4.0. Hoekstra, A., Steinbuch, M. and Verbong, G., 2017. Creating agent-based energy transition managementmodelsthatcanuncoverprofitablepathwaystoclimatechange mitigation.Complexity.2017. Nojavan, M., Salehi, E. and Omidvar, B., 2018. Conceptual change of disaster management models: A thematic analysis.Jàmbá: Journal of Disaster Risk Studies. 10(1). pp.1-11. 12