Leadership and Change Management - Analysis of Organizational Change in EPLUS
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This report analyzes the organizational change in EPLUS, a civil engineering firm headquartered in Singapore. It identifies the problems faced by the company, discusses the links between leadership, culture, power, and politics, and suggests how change can be designed and implemented to solve these problems.
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Leadership and Change Management
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Table of Contents TASK 1......................................................................................................................................3 Introduction............................................................................................................................3 TASK 2......................................................................................................................................3 Investigation of case scenario to identify problems that are faced by the company which change process will have to address.......................................................................................3 Discussion of the links between leadership, culture, power and politics...............................5 TASK 3......................................................................................................................................6 How change is designed and implemented to solve problems...............................................6 Multinational nature of organizational change and different types of change.......................8 Change management theory...................................................................................................9 Reflect on leadership and cultural issues, internal politics and employee engagement and organizational development..................................................................................................10 TASK 4....................................................................................................................................10 Conclusion............................................................................................................................10 TASK 5....................................................................................................................................11 Recommendation..................................................................................................................11 REFERENCES.........................................................................................................................13
TASK 1 Introduction Performance management refers to an ongoing process of communication between the employee and the supervisor so as to facilitate the attainment of strategic objectives of the organization(Holten, Hancock and Bøllingtoft, 2019).The aim of the report is to investigate a situation of organizational change, analyzing ample number of causes, organizational as well as social consequences.The report is based on the case study of a civil engineering firm EPLUS that is headquartered in Singapore and has involved in many public project works such as long-term construction contracts i.e. Benjamin Shears Bridge and The Henederson Wave that the company has worked for by bidding successfully.Currently, the company is facing challenges that includes failure to bid certain projects, resource allocation to HR Management are absurd, poor performance management among different project managers and hence forth. Key issues that are identified in case scenario are poor performance management,impropertraining,ineffectivetrainingbudget,poorselectioncriteria, ineffective allocation of resources, slow as well as sloppy flow of communication, chaos in organizational culture and many more. The report covers analysis of problems that are faced by the company which change process needs to address, link among leadership, culture, power and politics with effects on thecompany.Italsocovershowchangeprogrammemightbedesignedalongwith implemented to solve problems that are identified. TASK 2 Investigation of case scenario to identify problems that are faced by the company which change process will have to address The main task of the performance management is to identify the issues in the organization relating to the disrupted performance and taking corrective measures to mitigate those issues so as to ensure smooth running of the organizational operations(Tian and Huber, 2019). In this case study, according to the lead member of the Tendering team, Alan Yee, the firm is focusing on the performance management but is placing little attention on the management of human resources that is causing lack of motivation to work in the human resources. Consequently,the companyis facing dissatisfactionfrom the companiesdue to their complaints regarding errors and inconsistencies of construction staff due to which its project
costs are increasing and returns are decreasing. Mentioned below are some problem faced by EPLUS which change process needs to address: Poor performance management– The project managers in EPLUS are appointed casually and their selection criteria is mainly based in who was free at that time. Due to the poor selection criteria, the project managers have randomly chosen the staff without judging their ability to handle the big construction project. This has resulted in hindered staff development due to their inability to excel in the prominent projects (Morin, 2018). The project managers are not able to decide the performance standards for different projects such as the upcoming project that the company is likely to bidding for i.e. to build a new highway connecting the city and the Changi Airport Terminal 5. Failure to bid projects: It is analysed that EPLUS is facing issue of failure in biding certain projects as every one in the company are struggling to support ideas and views of each other. The company has come close to missing important tender deadlines. It is due to pressurized time constraints among employees, poor coordination and cooperation among different project managers, lack of strategic important and focus, manual repetitive practices and varied workforce. No proper training– Initially the staff of the company was mainly comprised of qualified and skilful civil engineers but now the staff of company is consisted of casual employees who are not trained properly that could result in accidents that had not happened ever before as the company has a ‘Zero Accident’ record. So, the responsibility of the project manager is to ensure close supervision as the staff is hired on project basis so as to cut the project costs to earn more returns. It is a time- consuming process. Ineffective training budget– Training budget involves the allocation of direct and indirect costs to be allocated for training and development to the casual employees to design, develop and evaluate the employee training. In case of EPLUS, it has cut the training budget so as to reduce the labor costs and is providing training only to fulfill the minimum requirements to comply with law. Ineffective allocation of resources–In EPLUS, there is very small HR department and resource allocation to human resource management is almost absurd. For big projects, project managers are not allocated qualified resources that causes serious issuesforthecompanytoperformoperationspromptly.TheHumanresource
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management of EPLUS is not allocated with sufficient resources that is affecting the ability of company to secure new contracts(Gryazeva-Dobshinskaya and Dmitrieva, 2018). Due to insufficient allocation of resources like materials such as metals, cement, concrete etc.; and human resources like labor, equipment and other facilities for the big projects, the company has also missed the deadlines of completion of the projects. Slow as well as sloppy flow of communication– There should a smooth flow of communication among the project managers, HR, tending team and the staff so as to ensure successful completion of project. But EPLUS is facing the issue of slow communication and information flow due to which the construction staff feels that they are not getting the chance to provide feedback to the top management or project managers. Chaos in organizational culture– Earlier, the organizational culture of the EPLUS was very positive and healthy as everyone would support each other but now due to the ineffective performance management and failure in certain bids, project managers have undertaken the cost cutting measures due to which a culture of ‘them and us’ has developed that is reducing the chance to bid for the new highway construction project. Discussion of the links between leadership, culture, power and politics Leadership is closely related with the power, culture and politics where a leader uses the power in order to chaise the goals of the group. It helps in motivating the individuals to achieve the goals of the business organization.With application of French and Raven bases of power theory, leaders ofEPLUS with information power can bring about changes with the help of resource information. Information power is a potential influence as information is form of influence that results in cognition as well as acceptance by target people(Kempster and Jackson, 2021). Use of information power in EPLUScan impact positively on the establishment as it builds credibility addition to rational persuasion.Thus, power is the ability of the leader which is used to inspire the people to follow the instruction.In context to EPLUS, the leadership of the company is not good as it has poor management which create chaos to the individuals in performing their operations.In this aspect, use of transformational leadership theory is effective for leaders of EPLUS as to encourage members of team for realizing overall success. With this, leader with power raises morale of team and self- confidence so that the team can align itself for overall vision of enterprise or common purpose. Power and leadership in a company goes hand in hand as power is the potential of a
leader to influence others. A leader uses power for attaining team and business goals. With knowledge about operation of a power, it results in enhancing capacity for effective leader to ensure vitality of corporation. The organization culture is a belief that asset the organization in guiding their staff in performing the operation of business. Due to the lack of culture in EPLUS, an effective decision making is not done by a leader.When Handy’s cultural model is applied by leaders of EPLUS, the effective culture can be role culture as in this, each personnel of EPLUS is delegated roles, responsibilities and duties in accordance to educational qualification, interest and specialization for extracting best out of available resources. With the cultural model, human resources make decision about what bets they can perform as well as willingly accept challenges or situations(Abbas, Ekowati and Suhariadi, 2021). Culture and politics are linked with each other in EPLUS as people with negative politics at EPLUS crosses line of creating an uncomfortable as well as hostile work dynamic. It causes emotional distress along with negative performance outcomes. the organization uses the power and politics to control the employees of the organization in order to attain the business goals. TASK 3 How change is designed and implemented to solve problems The managers in an organization spend lot of time on solving the problems by exploitingtheopportunitiesforchangemanagement(Mattar,2020).Thishelpthe organization in gaining the competitive advantage. When an organization implement the change so it bring new strategies, practices for the employees and bring new equipment and software. In relation toEPLUS, by implementing the change the company is able to improve the collaboration within the business and enhance the productivity of the employees. When change is implemented so the company make itself capable to respond to changes more effectively. There are some steps to implement the change which are described as under: Identification of change:As regard withEPLUS, an organization identify the change that is required to be made for solving the problem and align with the overall objective of the organization. When the goal is identified then the assessment is made of the impact in order to evaluate how change will affect at all the levels of the business organization. All the guidelines are provided through the assessment on
implementing the change because it helps in showing the impact of change and need for support or training of the employees. Develop a plan:With reference toEPLUS, an organization is required to create plan andsetthedirectionsaccordinglyanddefinesmeasurethatmakethechange successful. A company is required to make a plan that will support the employees in implementing the change. They are provided training and also consider mentorship programs, cross training plan and open door policies where an employee is able to get assistance and resolve their quires. Communicatechangestoemployees:Inordertoconveythechangetothe employees effectivelyEPLUS develops communication strategy so that it can be able to convey its message by identifying the audience and determine the medium to deliver the information. Therefore, EPLUS depending on the change is required to considerthewaysthatthemanagementadoptstorespondtheresistanceand feedbacks of the employees. Thus due to the impact assessment EPLUS already knows the level that can be most affected by the change and also recommended to communicate with the employees. Provides reasons for change:EPLUS is needed to demonstrate the need for the change to the employees in order to gain their support to implement change. Thus, the company present the data to support the decision of implementing change. The data includes the information related to the customers, employee’s surveys, strategic business goals or budget plans(Dalmau and Tideman, 2018). Thus, the employees of EPLUS feel motivated when they understand the reason to implement the change and actively participate in it. Seekfeedbackfromemployees:Whenthechangeiscommunicatedtothe employeesEPLUS provides them opportunity to present their views and opinion to implement the change. It also makes schedule time to conduct the in person feedback session and also send out surveys. The change makes some people nervous therefore EPLUS provides opportunity to share their opinion and make them feel to be a part of the decision making process.The company also gaining the insight to improve the implementation insight and encourage employees to share their concern in order to clear misunderstanding. Launch the change:In relation toEPLUS,when the change is implemented by the companysoitcreatethetimelinetoachievetheintendedgoalsandmake arrangement for employees training, equipment acquisition and software installation.
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EPLUS considers the pilot program depending on the time to implement the change. It also test the change with the help of small group of employees to make it successful. Monitor the change:After implementing the change, an organization is required to monitortheprogressthroughouttheorganizationinordertoensurethatthe employees is following the implementation procedure appropriately.EPLUSdirectly observes the employees and delegate the task to the other supervisors. This help the organization fix up the mistake while implementing the change and also gauge any unexpected outcomes from the change. Evaluate the change:The company work with the employees in order to determine how the success will be measured of implementing change(Wollmann, Kühn and Kempf, 2020).EPLUScan measure the results when it has the quantifiable data but also have brainstorm when it does not have. An organization have to consider some points such as what is the goals of the change or what should success look like and so on. Thus, an organization evaluate the result by establishing the guidelines to measure the success. Multinational nature of organizational change and different types of change Organizationalchangeisthealterationofthestructuralrelationship,work environment and roles of the people in a business concern(Gelaidan, Al-Swid and Mabkhot, 2018). It suggests a new equilibrium of the situation and provides the new environment, technology, structure, arrangement, job design, and people. Organization grows, survive or decays that depends upon the changing behavior of the employees. In context toEPLUS, an organization can adopt any change in an organization for which different types are mentioned as below: Organizationwidechange:Thisischangewhichaffectthebusinessofthe organization at all levels. It is considered as the large scale transformation where change is implemented by the staff by taking careful planning. The change is executed without causing massive disruption to the operation of the business. Thus, when this type of change is made byEPLUS so it must have to keep clear goals and to be flexible to adapt with the changes. An organization find problems with implementing this change for which it has to adopt changes based on the different situations.With organizational wide change, managers and leaders of EPLUS requires large scale transformation which might
impact on whole company adversely. The organizational wide change in EPLUS can be adding new policy, restructuring leadership or launching new enterprise technology. Transformational change:EPLUScan adopt this type of change to run their day to day affairs and also mentioned the software that is used for the particular task. This transformational change includes those type of change which emphasize only specific department and the process. This change comes from the outside factors such as technological, political, social, economical and so on. An organization which adopt changes quickly can be able to explore the various market opportunities and new factors to get success but involves risk to some extent.Withtransformationalchange,leaders and managers ofEPLUS might completely reshape strategies, processes or systems of the company that can lead to shift in work culture. It may be a response to unexpected or extreme changes in external business environment(Iveroth and Hallencreutz, 2020). It has huge chances to produce fear, doubt or insecurity among staff of EPLUS which needs to be managed effectively. Personnel change:This is change that is occurred in the personnel of the business organization in various forms such as promotions, demotions, new hires, layoffs and more. This change can be made on smaller scale where the employees feel secure at their positions but the confidence level of the new hires and layoffs can shake and reduce their performance. InEPLUS, transformational change is effective as with this, leaders of the company can create significant change in work processes along with culture. Managers of EPLUS with transformationalchangecanalsoachievesuccessinimprovementinpersonnel performances. It can help EPLUS to speed up required transformation to attain success and make it potential to hallmark for future. Change management theory EPLUScan use Lewins change management model which is a comprehensive and helps the organization in understanding the requirement for the change that is to be delivered in the best possible manner. This model demonstrate the reaction of the people when the face changes in the organization. In relation toEPLUS, the model has been explained below: Unfreeze:This is a first stage where people of the organization shows willingness for improvement or to adopt change by developing an understanding for moving from the comfort zone to transformed. With reference toEPLUS, an organization can adopt the
personnel change in order to improve their productivity and skills. For this, it is required to make the people aware about the changes and improve their motivation level to accept the new ways of working for better result. Change:This is a second stage where change is implemented by the organization that involves the acceptance of the new ways of doing work(Barnett and Woods, 2021). In context toEPLUS, an organization can implement personnel change in actual with great planning, effective communication by encouraging the involvement of the individuals for the change. However, individuals may have fear of the consequences of adopting the change process. Refreeze:This is a last stage where the individuals move from the change state to the more stable state which is considered as the state of equilibrium. In relation to EPLUS, all the employees of the company accept the new ways of working or adopt changes by establishing new relationship. They learned new skills and knowledge and provide their supporting implementing changes. Reflect on leadership and cultural issues, internal politics and employee engagement and organizational development In relation toEPLUS, when an origination sshas good leadership so it can be able to implement the vision and values of the organization and ensure effective communication with the team members. A leader of EPLUS can be able to motivate the employees toward the goals of the business for better results. This help the organization in resolving the issues and assist in maintaining the healthy culture of the business concern. The organization strive to reduce the internal politics as it reduces the productivity of the employees and affect their concentration on the work(Azizi, 2022)). Politics lead to the negative environment and spoil the ambience at the workplace and change the attitude of the employees. Thus, EPLUS has delegate the responsibilities to the individual according to their specialization and educational qual. TASK 4 Conclusion As per the presented information, it is concluded that key problems faced by the organization that the change process needs to address are poor performance management, failure to bid projects, ineffective training budget, ineffective allocation of resources, slow as well as sloppy flow of communication, chaos in organizational culture and hence forth. The
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impact of leadership using power together with politics with the enterprise is essential for attaining competitive benefit. Change is designed as well as implemented in order to solve problems through sequential steps of identification of change requirement, development of a plan, communication of details of change to personnel, providing reasons for change, seeking feedback for change, launching, monitoring and evaluating the change. Multinational nature of organizational change includes organization wide change, transformational change and personnel change. Lewin’s change management theory allows managers and leaders to plan as well as implement required changes with stages that are unfreeze, change and refreeze. TASK 5 Recommendation After the deep analysis of the underlying problems that the tendering team and its leader are facing, it is recommended to the company’s COO Samuel Teo to develop an organizational change development plan so as to mitigate the problems associated with Project management and Human resource management. As the tending team of EPLUS is going to bid for the new highway project proposed by the government, this new construction project cannot be made successful with the current performance management of the company as the company is facing many challenges like lack of training to the casual employees, ineffective training budget and poor selection criteria etc. So, to overcome the identified problems, it is recommended to the company to improve the selection criteria of the staff so as to undertake big projects and by appointing only the qualified staff and not to cherry pick from among the casual staff. It must create an efficient application process containing the eligibility to be hired as a project manager with the skill assessments to narrow down the list of candidates. Apart from this, the project managers must prepare a proper training budget by allocating the cists to the implementation of effective safety management system, identification of hazards and risks involved in construction industries etc. It will facilitate in evaluating and developing the courses and materials. As part of the change management plan, the COO must task the project managers and HR managers to allocate the required material and resources to the construction team such as concrete, cement etc. as and when required. It will help the company in completing the projects with deadline. The effective training budget will help the company in reducing the labor costs and increasing the project returns that will yields the overall project profitability.
Due to the cost cutting measures of the project managers, ‘them and us’ culture is developed that must be improved by improving communication flow in the organization and by choosingthequalifiedengineersandelectriciansfortheproject.Itwilldevelopthe opportunity for the staff to excel in big areas and the positive in the development of positive organizational culture as well due to which the company will be able to bid for the bog projects and will be able to complete them successfully. In a nutshell, the Leadership of the company on part of project managers must be improvedbydecidingtheperformancestandardsaccordingtothedifferentprojects undertaken and nit the same standards for all projects. The employee engagement must be enhanced by following the above recommended selection criteria. A proper reward system must be initiated to promote the employees according to their ability. The CEO of EPLUS can introduce the above changes by following the Lewins Change management theory by unfreezing the current situation of ineffective performance management, implementing the required and above recommended changes and finally refreezing with the introduced changes and improvement in the performance management, leadership, culture, employee engagement and organizational development.
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