1LEAD AND MANAGE ORGANISATIONAL CHANGE Executive Summary The report intends to analyse the change occurred in the operations and human resources of Tassie Hardrock Enterprises. The paper describes the operational functions of the house and proposes change policies. With reference to organisational objectives, strategic analysis is done on the environment and suggested the best practices change management model. The cost-benefit analysis, communication and education strategy, risk assessment and change management plan are discussed.
2LEAD AND MANAGE ORGANISATIONAL CHANGE Table of Contents Assessment 1:.............................................................................................................................4 A. Environment analysis: Change Requirement Report........................................................4 Introduction........................................................................................................................4 Strategic changeneeds.......................................................................................................4 Policy review......................................................................................................................4 PEST analysis.....................................................................................................................5 SWOTanalysis...................................................................................................................6 Conclusion..........................................................................................................................7 B. Change management project plan.....................................................................................7 Cost-benefit analysis..........................................................................................................7 Risk management plan (analysis).......................................................................................7 Resource requirements.......................................................................................................8 Gantt chart..........................................................................................................................8 C. Education plan...................................................................................................................9 D. Barriers to risk management plan......................................................................................9 E. Change management process.............................................................................................9 F. Gap analysis & Evaluation form......................................................................................10 Assessment 2:...........................................................................................................................11 Stakeholder analysis.............................................................................................................11 Role play Script....................................................................................................................12 Assessment 3:...........................................................................................................................13
4LEAD AND MANAGE ORGANISATIONAL CHANGE Assessment 1: A. Environment analysis:Change Requirement Report Introduction The report focuses on identifying the internal and external environment for the changes to be implemented in the company operations and functioning of Tassie Hardrock Enterprises. The two significant changes to be implemented will be stated along with reviews and secondary changes happening. Strategic changeneeds The strategic change needs in Tassie is led by the failure of improvement operations in 2010. The need of change is identified based on the behaviour of employee regarding their positional security and fear to change. Even after reforming the policies of implementing change, the motive of the matured employees cannot be altered. Hence, the seriousness of engaging them in change management can be done by improvising ideas from them and implement rather than imposing. This will maintain their trust on the organisation. Policy review Briefing the policyImplication outcome ScopeThe policy aims to commit to continuous improvement and define every measures of project management undertaken. The reformation of the existing policies bring a certain change in perception of the employees to think in their own way for making organisation operations better. The two main changes to be implemented are: 1.Continuous improvement of operations:The motive of bringing change in the company is to improvise the
5LEAD AND MANAGE ORGANISATIONAL CHANGE performanceoftheemployeeswithhelpofproper training as well as new staffs. 2.Communicationchannelswithemployeestobe improved:Theimprovementinthecommunication channel can be done through technological development that will enhance the operational performance of the company as well. Understandingtheneedof changeinthechanged policies The employees if encounter any problem with the formed policies has to be made understood the needs. The business philosophy is brought under reformation. Changeintheleadership styleorfunctioning framework Due to change in the style of functioning, the employees might find it difficult to work smoothly in the beginning and hence, had to be guided. Employees learning the new policiesreflectpositiveimpactontheworking environment. ResponsibilitiesThe changed policies when proposed and communicated have to be documented and shared and revised as per suitability of the policies. PEST analysis The assessment of the Tassie Hardrock Enterprises is key to perceive its fusing conduct adjacent the strategies of the various capable house to make sensible philosophy. There are parts influencing the relationship from political sources, economic adequacy, social causes and technological point of view. PoliticalThe political fragments influencing the affiliation is seen in political powers of the general populace like government, intrigue get-togethers and the legitimate relationship of the business keeps up a total burden for
6LEAD AND MANAGE ORGANISATIONAL CHANGE making it go about as electronics industry.Political impacts in the general populace and electronics are essentiallyrelated. The restoration of the present models is beginning at now driving the house to bring change else, it must be closed down.This is the general reaction of political impacts in the market that triggers the test point to change. The legal issues are associated with the administrative measures in the states and the affiliation that reflects abidance of the electronics house with the laws.The adjustment in the structure of alliance is going to affect the real partitions according to the business laws and permitting conducts (trend). EconomicWith reference to economic impact, the strength and position of the company are seen with its unaltered arrangement of the alliance that has acknowledged them setback and preferred position to its enemies (trend). Theeconomicpoweroftheelectronicsbusinessdependsuponthe intensity of commercialisation and hypotheses on the positive choices in the range. SocialThe social portions influencing the affiliation are society glides that is best revealed by an electronics affiliation.The social models proposing the arrangement, talks, direct, and invigorates on the general populace are the sources dependent on which the electronics houses are set up to frame or circle (events). The regular effect is down and out some place around its corporate social commitment towards the nature. The expense of signs and press are to be redesigned dependent on the utility of standard assets.Digitalisation can helpsparingpapersutilizedforprintingmagazinesandreduced
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7LEAD AND MANAGE ORGANISATIONAL CHANGE mechanical waste affecting the earth (event). Technologica l Thetechnologicalclarificationisapparentbytheneedforexplicit improvementofthebusinessasadigitalisedelectronics.Different electronicshousesinthegeneralpopulacearebeginningatnow prosperous with the utilization of digitalisation that had been influencing Tassie in loosing readership this horrible way (trend). SWOTanalysis Strengths Quality of service and products Efficient customer service Weaknesses Employee integration Unworthy management processes Opportunities Internationalisation scope Attracting investors Threats New entrants in market Lack of employee integration Conclusion Hence, from the above discussions, it can be concluded that Tassie is having a huge scope in the market and can revive their communication and operations by bringing change to overall performance of the company. B. Change management project plan Cost-benefit analysis COMPANY NAMETassie Hardrock Enterprises PROPOSED PRODUCT/INITIATIVE/SERVIC E Communication channel improvement QUANTITATIVE ANALYSISYEAR 1YEAR 2TOTAL NON-RECURRING COSTS
8LEAD AND MANAGE ORGANISATIONAL CHANGE Hardware$121,000.00$125,000.00$246,000.00 Servers$50,000.00$52,000.00$102,000.00 Desktop$60,000.00$32,000.00$92,000.00 Telecommunication equipment$12,000.00$10,000.00$22,000.00 Software (packaged or custom)$2,650.00$7,842.00$10,492.00 Furniture and fixtures$56,000.00$4,578.00$60,578.00 Project organizational/support costs$54,800.00$55,541.00$110,341.00 Planning (upon approval)$20,000.00$20,000.00$40,000.00 Procurement$12,500.00$15,415.00$27,915.00 Labour$548,000.00$514,150.00$1,062,150.00 Infrastructure$25,111.00$64,000.00$89,111.00 Development$68,000.00$75,000.00$143,000.00 Business Process owners (users)$32,510.00$45,282.00$77,792.00 Management$25,000.00$28,000.00$53,000.00 Training of employees (pre- implementation)$30,000.00$38,900.00$68,900.00 Transition costs (parallel systems)$15,000.00$19,000.00$34,000.00 Post implementation reviews$32,478.00$51,251.00$83,729.00 TOTAL NON-RECURRING COSTS$1,165,049.00$1,157,959.00$2,323,008.00 RECURRING COSTS Hardware/Software$5,213.00$2,468.00$7,681.00 Software maintenance and upgrades$15,654.00$25,461.00$41,115.00 Computer supplies$13,482.00$27,854.00$41,336.00 Desktops (incremental to the project)$21,515.00$35,612.00$57,127.00 Help Desk support$12,000.00$13,000.00$25,000.00 IT staff costs (incl. benefits)$4,502.00$24,120.00$28,622.00 User training$54,831.00$65,665.00$120,496.00 Other$-$-$- Telecommunications$6,592.00$5,412.00$12,004.00 Office leases$15,000.00$15,200.00$30,200.00 TOTAL RECURRING COSTS$148,789.00$214,792.00$363,581.00 TOTAL COSTS$1,313,838.00$1,372,751.00$2,686,589.00 QUANTITATIVE BENEFITSYEAR 1YEAR 2TOTAL REVENUES Sales$652,189.00$785,429.00$1,437,618.00
9LEAD AND MANAGE ORGANISATIONAL CHANGE Shareholders$964,521.00$894,521.00$1,859,042.00 TOTAL REVENUES$1,616,710.00$1,679,950.00$3,296,660.00 COST SAVINGS Decreased cost of services provided$54,892.00$45,752.00$100,644.00 Savings from Business process improvements$44,542.00$25,694.00$70,236.00 Productivity gains$54,844.00$25,616.00$80,460.00 Savings from structural changes$45,870.00$12,256.00$58,126.00 Savings from optimized information (or flow)$55,000.00$23,000.00$78,000.00 Decreased information publishing cost$12,400.00$14,520.00$26,920.00 Reduced staffing cost (incl. overtime)$4,576.00$5,497.00$10,073.00 Reduced staff turnover costs$36,590.00$15,269.00$51,859.00 TOTAL COST SAVINGS$308,714.00$167,604.00$476,318.00 TOTAL BENEFITS$1,925,424.00$1,847,554.00$3,772,978.00 QUANTITATIVE ANALYSISYEAR 1YEAR 2TOTAL BENEFITS COST SAVINGS$308,714.00$167,604.00$476,318.00 COST AVOIDANCE$-$-$- REVENUE$1,616,710.00$1,679,950.00$3,296,660.00 OTHER$-$-$- TOTAL BENEFITS$1,925,424.00$1,847,554.00$3,772,978.00 COSTS NON-RECURRING$1,165,049.00$1,157,959.00$2,323,008.00 RECURRING$148,789.00$214,792.00$363,581.00 TOTAL COSTS$1,313,838.00$1,372,751.00$2,686,589.00 NET BENEFIT OR COST$611,586.00$474,803.00$1,086,389.00
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10LEAD AND MANAGE ORGANISATIONAL CHANGE Risk management plan (analysis) RiskPotential Areas Of Impact, I.E., Assets, Department s, Business Entities Financial Impact Risk SeverityRisk Likelih ood Risk LevelMitigations / Warnings / Remedies Party Respons ible SuppliersProductionModerateACCEPTABL E IMPRO BABLE LOWSequential transactional relationship Operatio ns TechnologyOperations/ IT ModerateTOLERABLEPOSSIB LE MEDIUMSecured IT help and training IT CompetitorsBusinessHugeUNDESIRAB LE PROBA BLE HIGHDeveloping better services and products Marketin g Employee redundancy OperationsMassiveINTOLERAB LE PROBA BLE EXTREM E Favourable HR policies HR Resource requirements The resources required for the change management implementation are human capital that would consist teams of trainers and influencers. Physical and financial resources are the equal needs for developing and executing a change process. The physical resources will be referring to sitting arrangements, computers and other related appliances that will be requires tocommunicatethechangestrategiestoemployees.Financialresourcesrefertothe investments for globalising the strategies in benefit of the company and generate revenue. Gantt chart Main activities/ stagesMonth February Month March Month April Month May Month June Month July Strategy identification Data collection (responses) Framing layout
11LEAD AND MANAGE ORGANISATIONAL CHANGE Creating agenda Formation of change Plan Selection of the Appropriate Techniques Consulting with teams Analysis & Interpretation Concluding implementation Formation of reporting Final review C. Education plan PROJECT NAMEReforming continuous improvement plan PROJECT MGR. ORGANIZATIO NTassie Hardrock Enterprises EVENT / ACTION / STRATEGY EST. DATE OF EFFECT TARGETED STAKEHOLDERS REASON FOR COMMUNICATION METHOD OF COMMUNICATION Announcement of Change05.07.2020 Employees, Supplier s, Customers Making the subjects aware of new changes within the firm, services and cost policies Meetings, newsletters, NEWS papers, e-mails, social electronics Change Implementation Training 06.08.2020EmployeesUnderstanding rules and policiesMeetings Activity 105.08.2020CustomersPromotion of new services Digital electronics, print electronics, TV announcements Activity 206.08.2020SuppliersReallocating raw materials and costsLetters, meetings
12LEAD AND MANAGE ORGANISATIONAL CHANGE Activity 314.08.2020Government Legalising the change with due permission Appointments with administrative officials and file appeal D. Barriers to risk management plan The major barrier to the risk management is opposition from the employees with regards to their previous experience regarding the change. Hence, the preliminary obstacle followedbythenewreformationwillbeconfrontingobstaclesregardingemployee operations function. E. Change management process
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13LEAD AND MANAGE ORGANISATIONAL CHANGE F. Gap analysis & Evaluation form Strategicobjective (GAP) Current standDeficiencyAction plan Employee involvementand trust Companyhas developednew strategies Employeesare currentlynot effectivedueto earlier mishaps Improvising organisational effectiveness throughworkplan PROCESS SCHEDULE: Change Management Plan Activit y IdActivity DescriptionParty Responsible Expected Start Date Expected End Date CM1:Calling up for the meetings to discuss effectiveness of change in staffing system at head office and printing and distribution teams Head administratio n 05.06.201 9 05.07.201 9 CM2:Allocating team slots to work on individual expertise for existing operations employees Operations department 06.07.201 9 13.07.201 9 CM3:Creating the new human resource policies and procedures to be implemented in the new framework Senior HR/ CEO 14.08.202 0 31.08.202 0 CM4:Communicating the changes in HR policies and remuneration slots to existing employees and ask for feedback Senior HR/ CEO/ Board of Directors 01.09.202 0 10.09.202 0 CM5:Collecting employee feedback and analyses Senior HR/ CEO/ Board of Directors 11.09.202 0 16.09.202 0 CM6:Meetings: To declare the issues arose and creating a gateway to resolve them CEO/HR20.09.202 0 21.09.202 0 CM7:Reforming the updated policies and sticking to itHR/CEO27.09.202 0 29.09.202 0 CM8:Official employment contracts signing and getting enforced under the new system HR, T&D manager 01.10.202 0 1-4 months
14LEAD AND MANAGE ORGANISATIONAL CHANGE policies Communication gapCompanyhas developednew strategies Reluctantandrigid behaviourof employeesdueto inefficiencyof management Policiesbeing implementedfor introducing innovation Assessment 2: The role-play is to be played by the between operations manager and stakeholders. Stakeholder analysis PRO JEC T NA ME PROJ ECT MANA GER DAT E 0.0. 0 NA ME OR GR OUP ROL E PREDIS POSITI ON ANTIC IPATE D INVOL VEME NT ANTIC IPATE D ISSUE S MOTI VATI ON/ DRIV ERS EXPEC TATIO NSOF EXCHA NGE MILE STON ES ACTI VITI ES RESP ONSIB LE PART Y STA TUS Cust omer s Incre ases the comp any reven ue by incre asing sales NeutralModerat e Nothin gas such Quality of produc ts deliver ed Accessib ilityat maximu m level Ideas regard ing produc t develo pment Surve y revie w Produc t develop ment team Lac kof prod uct vari atio n Emp loye es Incre ases the orga nisati on prod uctivi ty Ambival ent HighFailure of merger strateg y Produc tivity Work policy develop ment Imple mentat ion Execu tethe strate gies Employ eesof operati ons depart ment Lac kof trust Supp liers and Supp lies raw Supporti ve HighExpans ionto interna Revenu e Increase sales Suppor t implem Suppl yand distrib Commu nicatio n team Lac kof supp
15LEAD AND MANAGE ORGANISATIONAL CHANGE distr ibuto rs mate rials and distri butes final prod uct tional growth entatio n ute efficie ntly along with promo tion ort Inve stors Help sin capit al devel opme ntof the comp any Supporti ve HighInvesti ng based unorga nised plans Profit and recogni tion Increase revenue Suppor t implem entatio n Invest in intern alisati onof the comp any Admini strative and busines s develop ment manag er Lac kof inno vati on Role play Script Situation:Discussing change management processes and strategies in the company for developing operational efficiency, innovation and making employees trust and enjoy the change era. Role played:Project manager, investors group, employee groups and absolute internal customer to represent the views of market demand. Manager:Good morning everyone. We have come up with a new plan that is felt to have a thorough discussion so that we can extract concrete reviews and work on it to make perfect move. All the groups:Good morning. Manager:The company planned to expand its stores in the suburbs of Melbourne. However, we certainly ended up in failure and as a result, 25% of our employees that time were affected. I am sure, one of them present here will surely come up with strength plans. Employee:The incident was disastrous enough to alter my corporate career. However, with gradual development of the company, the organisation has helped me to grow. It was needed for the management to focus on planning rather than just jumping into the change. Manager:I wholeheartedly support your statement and empathise with
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16LEAD AND MANAGE ORGANISATIONAL CHANGE the struggle you and your colleagues have gone through. This time we are planning to imply the action again for sake of expanding the sales. However, this time we are going through proper preparation to avoid any kind of error or hampering the career of our stakeholders. Internal customer:We were planning to introduce briefing strategies. What are they? A question to add on is how should we be tackling the opposition or restrictions we are going to face internally? Manager:The internal complications are of primary priority and we are focusing on implementing communicational activities that will engage employees in activities and open session for discussing ideas. Moreover, from the perspective of supportive investors here,ourresearchanddevelopmentteamwillbe communicating with you regarding the scope we have found in the new markets so that you can set up your investment plans accordingly. Do you feel there is any other point we are missing out? Investors:What is the USP you have found in the new markets? Just brief Manager:Less competition and labour intensive market. As far as our performanceisconcerned,ifwearerulinghere,our wholehearted effort will make us the only monopoly in that market. Investors:That sounds good. Employees:So are you approaching to a wider culture diversification working system? Manager:Certainlyyes.Moreover,wearegettingthescopeof developingourcorporatesocialresponsibilities.Iwillbe mailing you all the details regarding the meeting minutes, policy implementations and consent forms. Please come up with any query you have and we are trying our best to make this project successful. With a note of thanks to all our dear supporters, I would like to end the meeting here. Thanks a lot. All the group:Thank you. [employees] We look forward to be a part of a better workplace functions.
17LEAD AND MANAGE ORGANISATIONAL CHANGE Assessment 3: Question 1: According to Kurt Lewin’s model of change, the three major stages of change process are unfreezing, change and refreezing. The unfreezing stage refers to the situation before a change is implemented where the changing need and factors are analysed. The change stage is the implementation stage including implantation of the changes identified and strategies accordingly. The last stage is the refreeze that means tracking back to normal state of the organisational functioning after the company accepts and goes smoothly with the change implemented. The process of change management involves many fine interlude stages as per the Kotter’s model of change that also include these three prime stages of developing change. Question 2: The communication strategy consists of five stages of cycle including encoding, message, medium, decoding and feedback. The complimentary factors amongst this cycle stages are noises and body language. During embedding the change, the communication strategy included the five stages of the communication cycle including encoding the policies to the employees. The medium of messaging can be verbal talk and e-mailing the written statements. The employees are encoding the message that are the policies and giving feedback to it. In between there are concerns like intervention of higher level authorities and added values that act as noises in the cycle. Question 3: The impact of change in organisational behaviour can be measured on different terms. The major impact alters the culture of the organisation that helps the company to develop their working journey with implementing new strategies. The company tends to use better way of executing the functions that involve better reward systems for the employees. The
18LEAD AND MANAGE ORGANISATIONAL CHANGE decisionmakingandinterpretingtodifferentbusinessenvironmentfactorsarealso influenced by the change. Moreover, the employees develop themselves to accept and respond tofurtherchangeinthecompanyand managingthemefficiently.Employee behaviour is largely impacted by the culture and motivation. Question 4: The external environment that impact change strategies can include the behaviour and functions of suppliers and customers. The external stakeholder behaviours impact the overall functioning of the organisation. Increased competition or entry of new threat in the market is another factor adding to the impactful change in an organisation. The competitive rivalry as analysed by Porter’s five force factors can individually impact the change strategies of an organisation. The behaviour of the political as well as legal framework may not get along with change in the companies due to unfulfilling terms as well as innovative notion of the companies being introduced. Question 5: Amongstthedifferentsignificantstageschangemanagementprojectplan components, the two most important components are analysing the need of change and feedback mechanism. Though every aspect is important in a change process management but the evaluation of the change to be initiated is important. This is considered as the foundation of the process management. Later to the implementation of the process, feedback mechanism that will collect the opinion from the employees is important to analyse for necessary amendments and re-evaluation of the policies implemented. This will assess the varying needs and diversity of the organisation also leading to think innovatively. Question 6: The four significant barriers to change and management to them are:
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19LEAD AND MANAGE ORGANISATIONAL CHANGE Lack of involvement of employees- Developing communication strategies and activities can make the employees speak and discuss about the need. Involving in activities can help the employees become more engaged and that is to be developed through innovation to cut the monotony of work frame. Badplanningofcultureshift-Thoroughresearchandefficientdevelopmentof implementation strategy can reduce the risk of wrong planning and its impact on the change process management. Complexity of organisation- There can be complicated organisational operations that act a barrier to change implementation and therefore, needs to follow organised plans and change flexibility strategies. Ineffective communication- The ineffectiveness of communication channels and intentions can be developed by implementing flexible communication channels and activities that involve continuous communication needs.
20LEAD AND MANAGE ORGANISATIONAL CHANGE Reference Calkin, D.E., Thompson, M.P. and Finney, M.A., 2015. Negative consequences of positive feedbacks in US wildfire management.Forest Ecosystems,2(1), p.9. Corfield, A. and Paton, R., 2016. Investigating knowledge management: can KM really change organisational culture?.Journal of Knowledge Management,20(1), pp.88-103. Doppelt, B., 2017.Leading change toward sustainability: A change-management guide for business, government and civil society. Routledge. García-Avilés, J.A., Carvajal-Prieto, M., De Lara-González, A. and Arias-Robles, F., 2018. Developinganindexofmediainnovationinanationalmarket:Thecaseof Spain.Journalism studies,19(1), pp.25-42.