Leadership and Change Management Solution Assignment

Leadership and Change
Management

Table of Contents
INTRODUCTION...........................................................................................................................3
Main Body.......................................................................................................................................3
1. Information of the industry and choosen organisation............................................................3
2. Literature review of the best leadership and change Management practices..........................5
3. Best practices in leadership and change management that need to be considered by
organisation.................................................................................................................................7
Conclusion.......................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
This report states that leadership is an ability or the art of an individual to influence the
others members of an organisation and the ability to make sound decision and inspire other to
perform. Change management are based with the roots of an organisation as change is always
essential for the organisation. This report is about the food industry and their impact in the
country. MacDonald's is the worlds largest fast food restaurant chain having multiple branches
all over the world. This report contains the detail history of MacDonald's and the change
management practices and the role of leaders in the change management. It also explains the
different views of authors in the change management.
Main Body
1. Information of the industry and chosen organisation.
Background information of the Food industry
The food and drink industry is one of the UK's largest sector which contributes $28.2 billion to
the annual economy and about 4,00,000 people employed there. This industry is the key part of
the nation. MacDonald's is the company deals in the food industry chain which is one of the
largest fast food chain in the world. Growth in the food industry is very fast as statistics shows
the annual growth in this industry is very high as food industry sector in UK from 2014 – 2018
shows the tremendous growth. McDonald's is the fast food industry this industry has the
objective to serve the food that can be prepared in short time or served quickly. This industry
does the extensive advertising through television, radio etc. Globally people ingest only those
items that are offered in the McDonald's menu. This industry has a drawback that consumers
don't know that the food they are getting at cheap price are not good for their health as they are
served within a few minutes will contribute to gain excessive weight. As this industry not only
effects human but to the animals and environment too. Food industry is intricate, Collection of
diverse trades that supplies most of the food which is consumed by the world population and it is
highly diverse and if the industry based on food is following all the food industry acts than they
also serve the quality of food their focus is not to generate money but also serve them quality
food and do the business ethically. As no business can goes on long run if they are not operating
their business in ethical manner.
The food industry comes in a complex category as it is expanded diversely through
businesses at global level and the most of the food is supplied due to consumption of world's
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population. The food industry includes agriculture, manufacturing, food processing. UK's
catering industry are providing growing opportunities in food sector and UK has the biggest
manufacturing sector of food and drink as it can be the engine for growing economy and also the
sector grew by 27% making it the fourth fastest growing UK manufacturing sector. The role of
the manufacturing food industry have main objective such as customer satisfaction, providing
information about product and safety. The effectiveness of this industry is judged by customer
who wants to buy for quality (Benn, Edwards and Williams, 2018). The UK food system has a
complex network of farmers and industries which are linked to them and this system are also
linked with the makers of farm equipment and chemicals and also the firm who provide services
for this business(Al-Ali and et.al., 2017). The system is also linked with the marketing industries
which link the farms to the consumers such as retailers, wholesalers etc. The food industry
includes various activities such as processing, conversion, preparation, preservation and
packaging of food stuffs.
MacDonald's brief summary
MacDonald is the largest fast food restaurants chain in the worldwide founded in 15 may
1940 in San Bernardino, California. It is being operated by Richard and Maurice McDonald they
started this restaurant as a hamburger stand and after that it was converted into a franchise.
MacDonald's has its original headquarter in Oak Brook, Illinois, but they moved their
headquarter to Chicago in early 2018. It is one of the largest restaurant chain in the world by
revenue having 37,855 outlets as of 2018. MacDonald is best known for its cheese burgers,
hamburgers and french fries. They also serve breakfast items like soft drinks, Milk shakes, wraps
and desserts. By considering the customer taste company added in their menu salads, fish,
smoothies and different soft drinks. On may 4, 1961, McDonald's first time filed for the US
trademark for the McDonald's by giving the description “Drive – in Restaurant Services” which
renewed continuously. Kroc and McDonald brothers has fought for the control of the business as
been elaborated in the Kroc autobiography.
At present McDonald's chain restaurant has been found in 120 countries and territories all
over the world and presently they are serving 68 millions customers each day. McDonald's is
having 37,855 total restaurants worldwide and having more than 21,000 people employed as of
the end of 2018, currently they have 2,770 company owned location and 35,085 franchised
location. McDonald has increased shareholders dividend for 25 consecutive years and make this
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one of the S&P 500 dividend Aristocrats. It has ranked 131st in top 500 fortune of the largest US
Corporations by revenue. It has been reported that the earnings of the McDonald's is US$5.2
billion with an annual revenue of US$ 22.8/ billion, that is a decrease of 7.3%from the last fiscal
year.
McDonald's are offered their product as either “dine-in” or “take out”. One can wants to
eat in restaurant they can it also delivered the meals in McDonald's branded brown paper bag.
They also introduce the healthier option and eliminates the high – fructose corn syrup from
hamburger buns. They also remove the artificial preservatives from chicken nuggets and in 2018
it announced in USA that they are no longer using the artificial preservatives, flavours and
colours from their entire range of products. Mc Cafe is the cafe which is accompanied with the
McDonald's restaurant as it is the concept introduced by the McDonald's Australia and then they
were accompanied by every restaurant of McDonald's worldwide. Even they have the range of
burger in which the customer can create their own taste from choosing of bun to other
ingredients. Now they are also offering the services of free WI Fi that one can work while
enjoying the food. They also provide the training to their staff so they can give their best services
to the customers and satisfied them.
2. Literature review of the best leadership and change Management practices
As per the view of..................Force field analysis change model was developed by Kurt
lewin's in 1951 and it is mostly used to inform decision making specially in planning and
implementing change management programmes in organisation. Kurt lewin was best known for
the founder of social Psychology he has proved in his theory that individual not only have to deal
in inner urges like expectations, desires, motives etc. but at the same time they also have the
social pressure from the external environment so he indicated that it is not possible that an
individual can change overnight it take time to become the flexible if any change is come. It is
one of the powerful method in gaining the overview of different factors and accessing the source
and strength. Kurt Lewin has identified three basic stages: the unfreezing stage, the change step
and the refreezing stage. This is the first stage if the change is being initiated in the organisation
company has to go through the initial step of unfreezing. As many people can not resist the
change so to create an awareness and check the current level of acceptability. Communication is
very important in this phase so the employees can become more informed and aware about the
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change, the reason behind this to let them know how it is important and benefit to the employees.
The idea beside this is to understand the change and know about the change so the people will
feel more about the change and urgent so they become motivated to accept the change. The
second step is changing now the people are unfrozen so now they are ready to learn the change
this stage is also called as transitioning or moving as it leads in the implementation of change, as
the change become real. In this situation most people struggle to learn. During the process of
change people learn new skills, behaviour, process, and ways of thinking. As they are prepared
for this step so it is easier to complete. Due to this reason education, communication, support and
time is critical as they are about to learn and familiar with this change. But change is the process
which must be planned very carefully and smartly executed and this change should be in the
mind of employees about the reason of change and how it will benefits to them. The third stage
is Refreezing this is the final stage where reinforcing, stabilizing and solidify the state after
change. Lewin find this step very important it is to ensure the people that they do no revert back
to their old ways of thinking or do the work prior to the implementation of change. It needs to the
organisation that they cemented the employees into the organisation culture and maintain the
acceptable way which they learn or do the things in this way. Positive reward will make them
encourage and the acknowledgement of the individual efforts should be there and the efforts are
often reinforced the new state. Many people argues that this step is outdated in contemporary
business but still many organisations are following.
This model is an important contribution in the theory of change management as it tries to
ensure that the business will respond in the environment in which it operates. Some key points of
Lewin's Force Field Analysis are change results in dissatisfaction among the team with present
strategies. As change is not happened by itself, it for a better alternative vision is necessary to
develop. It is the duty of management to make the strategies to implement change. As it is
inevitable but not impossible to overcome. Driving forces are of two types that is internal forces
and External forces. internal forces are the changes arise within the business or organisation. It is
general thing that business can “do better”. Everyone desires to increase profitability and
measures to perform better. Need to reorganise the increase efficiency and competitiveness.
There is a need for greater flexibility in organisational structure. External Forces are Increase
demand for high quality customer service. Economic condition were always uncertain. High
competition. Higher cost of inputs. Technological change. Globalisation etc. The another factor
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in which the theory is based are Restraining Forces in this despite the positive potential
outcomes, change is always resisted. It act according shear strength of the slope material. Degree
of resistance is normal if the change is stressful or disruptive. Some common reasons why
change is resisted are Parochial self interest, Habit, Misunderstanding of the need and any
purpose to change, Low tolerance of change, Fear of the unknown etc.
As per the view of (Cameron and Green 2015.) at the time of change management the
best leadership practice is communication with the team as leaders are the face and voice of
change. They do communicate to the team to share the information and keep the team updated
and offer encouragement. When the organisation is having the messages for multiple changes in
that they just listen to their leader or immediate boss, in this change management process leaders
should be transparent and consistent and listen to the their team and their concerns. At the same
time (Doppelt 2017) stated at the time of change management the best leadership practice is
motivation. Leaders can motivate the employees by giving them the rewards, bonuses and extra
allowances and make them motivate towards the work and make them realise that the change
will help them in enhancing their skills. As per the view of (Hayes, 2018) stated that at the time
of change management suggest that leaders can become the role model and make the decision.
As the change happens in the organisation leaders must be the one who takes the initiatives and
go first and shows the behaviour and attitude that is expected from everyone. Employees will
follow the leader to see the consistency between the words and action. Leaders must be self-
aware and deliberate. Leaders must be having the ability to say yes or no to project that is to be
taken in control or not. Leaders must have to support the change by setting priorities.
3. Best practices in leadership and change management that need to be considered by
organisation
Change management is considered as one of the most difficult task, if firms wants to make
changes in its operations then it is essential to change the behaviour of its employees first.
Workers are assets of company, it is very important for enterprise to gain trust of their staff
members so that they put their hard efforts and accept alteration in organisation. Lewin change
management model is considered as most effective theory that describes views of workers and
suggest leader to manage changes in the company significantly(Pugh, 2016). Unfreezing,
transition and freezing are three main phases of implementing changes effectively.
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McDonald’s is facing issue of declining sales, in this condition it is very important for the
firm to make modification in its existing working patterns and offer new innovative products to
consumers for that firm is planning to implement technical changes in company so that quality of
its items can be improved. First phase is unfreezing; this kind of alterations may enhance
resistance of workers. Leaders have to make the workers ready to accept fluctuations and work
better by coming out of their comfort zone. Leaders have to first develop relationship with staff
members and have to enhance communication with employees. High involvement of employees
may help leaders of McDonald's in minimizing resistance and getting innovative ideas through
which changes can be implemented effectively and can give expected results.
Next phase is change or implementation stage, leaders of McDonald's are required to
make plan properly and encourage workers so that people support management and accept such
technical changes in business. As most of the people have no knowledge about latest
technologies hence leaders have to give them training and have to prepare contingency plan so
that consequences can be avoided (Betancourt and et.al., 2017). Most of the people have fear of
losing their job after implementation of changes but here leaders have to encourage workers and
have to develop their confidence so that all they work better. Last stage is freezing, in this phase
company comes to the stable stage as people have accepted changes and started working on new
techniques. But to retain its skilled employees in business for longer duration leaders of
McDonalds have to provide rewards and recognition and have to involve them in decision
making process. This will help in making them positive towards the brand.
As sales is decreasing and company is planning to make changes in technologies so that it
can raise quality of its products and can offer high quality products to its consumers. But such
kind of technical changes has created negative situation in the firm, in order to resolve such
situation Leaders, have to propose incentives to its workers so that they feel happy and accept
such modifications (The 10 Best Organizational Change Management Strategies, 2019). Open
and clear communication is another great strategy that can aid McDonald’s for managing
changes significantly. Effective coordination among all team members aid in minimising
confusions and understanding the benefit of change for the business unit.
Training, participation and empowerment are most significant change management
strategies that develop trust and confidence of people and help leader in minimising resistance of
workers.
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Leadership plays significant role in business unit, if leaders guide people well then
employees will feel happy and will perform better in organisation. Commitment and
empowerment are most essential strategies that can be considered by leader of McDonald. They
have to empower users and have to take their suggestions time to time. This is the best way
through which firm can enhance performance ability of its workers (Bush, Bell and Middlewood,
2019). This would be better in minimising sales decline issue and implementing technical
changes in the organisation successfully. Building relationships another great tactic that assist the
leaders and mangers in retaining skilled people in business for longer duration and making them
positive towards the brand. By this way they will support the decision of higher authorities and
will contribute well in raising sales of McDonald's to great extent (Leadership strategies that
influence, engage and encourage excellent performance, 2016). Encouragement is another best
leadership strategy that needs to be implemented by business unit, as employees want appraisals
and appreciation, if leaders are providing them such recognition then it would make them loyal
and they will be positive towards the band (Renz, 2016). In such condition employees will try to
work hard so that they can get monitory and the monitory rewards. This will help McDonald in
minimising issue of sales and will support in generating profit in organisation. Such kind of
strategies will be beneficial in managing change management in firm significantly.
Conclusion
From the above report it has been summarise about the background of food industry and
the impact of this industry in the country and also explains the relevant information about the
MacDonald's. This report explains the best leadership practices followed by the leader at the time
of change management and explains the Kurt Lewin's Force field analysis change model and
how it will be helpful to the leaders. This report highlights the best practices of leadership and
change management that is to be consider by the leaders in any change management is being take
place.
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REFERENCES
Books and Journal
Al-Ali, A. A., and et.al., 2017. Change management through leadership: the mediating role of
organizational culture. International Journal of Organizational Analysis, 25(4). pp.723-
739. (http://iranarze.ir/wp-content/uploads/2018/03/E6389-IranArze.pdf)
Benn, S., Edwards, M. and Williams, T., 2018. Organizational change for corporate
sustainability. Routledge.
Betancourt, J. R., and et.al., 2017. Organizational change management for health equity:
perspectives from the Disparities Leadership Program. Health Affairs, 36(6). pp.1095-
1101.
Bush, T., Bell, L. and Middlewood, D. eds., 2019. Principles of Educational Leadership &
Management. SAGE Publications Limited.
(http://www.wsha.org/wp-content/uploads/HealthEquityAndDisparities.pdf)
Cameron, E. and Green, M., 2015. Making sense of change management: A complete guide to the
models, tools and techniques of organizational change. Kogan Page Publishers.
(http://www.bms.lk/download/GDM_Tutorials/e-books/Making_Sense_of_Change_Ma
nagement.pdf)
Doppelt, B., 2017. Leading change toward sustainability: A change-management guide for
business, government and civil society. Routledge.
(https://www.routledge.com/Leading-Change-toward-Sustainability-A-Change-
Management-Guide-for-Business/Doppelt/p/book/9781351278966)
Hayes, J., 2018. The theory and practice of change management. Palgrave.
(https://natashaportolio.files.wordpress.com/2017/10/john-hayes-the-theory-and-
practice-of-change-management-palgrave-2014.pdf)
Pugh, L., 2016. Change management in information services. Routledge.
Renz, D.O., 2016. The Jossey-Bass handbook of nonprofit leadership and management. John
Wiley & Sons.
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Schell, W.J., 2019. Leadership and change management. InTraffic Safety Culture: Definition,
Foundation, and Application(pp. 191-218). Emerald Publishing Limited.
Uhl, A. and Gollenia, L.A. eds., 2016. A handbook of business transformation management
methodology. Routledge.
Van Rossum, L., and et.al., 2016. Lean healthcare from a change management perspective: The
role of leadership and workforce flexibility in an operating theatre. Journal of health
organization and management, 30(3). pp.475-493.
(https://www.ncbi.nlm.nih.gov/pubmed/27119398)
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