Table of Contents INTRODUCTION...........................................................................................................................1 Case Scenario.........................................................................................................................1 Difficulties in implementation of 'wholesale cultural change' at Barnacles...........................2 Planned approach to implement change at Barnacles............................................................5 How leadership style and business strategy could enable to design future successful change initiatives................................................................................................................................6 CONCLUSION................................................................................................................................7 REFERENCES................................................................................................................................8
INTRODUCTION Change can be considered as an inseparable part of an enterprise. This is done with a view to deal with the different types of scenarios that arise within the specific business sector or the overall corporate marketplace (Van der Voet, Kuipers and Groeneveld, 2015). With the passage of time, technology has significantly advanced and owing to this, business strategies adopted by organisations have also evolved. In order to feasibly adapt itself to such situations as well as to gain an edge over rival firms, leaders in the company come up with significant changes in context of the operations and functioning. The following assignment is carried on The Barnacle Bay Country House Hotel that is banked upon the Scottish coast in rural settings. This entity is certain miles away from market town owing to which grabs the attention of a large base of population. This report comprises of the overview of case together with the obstacles encountered by management while executing wholesale cultural change. Further, a planned approach is devised to formulate changes within the hotel. Also, effective leadership style and strategy have been included to incorporate changes within the entity. Case Scenario The Barnacle Bay Country House Hotel which is well renowned as 'Barnacles' is a luxury hospitality enterprise. This operates in a manner which strives to render lavish lifestyle for people such that maximum satisfaction can be attained from them. This hotel has 100 en-suite bedrooms, restaurant,golf course and an outdoor swimming pool. This entity was running profitably in the past times when a number of high profile celebrity stars and royal families visited the bar to gain experience of the lavish landscape and ambiance of this hotel. However, it has been witnessed that the old charm of Barnacles has faded with the course of time. Yet the enterprise is able to derive profits by stressing on retaining the old and loyal customer base. Over last some years, the strategy of this entity has been to tackle the competition with retention of consumers by providing a high profile living standard to them. Such guests have also been loyal towards the hotel and thus, visit it on a frequent basis from time-to-time. The hotel's traditional Sunday lunch menu is tempting and delicious enough to gain the attention of local people. Barnacles is functioning quite satisfactorily over time. A significant threat that has emerged for this hotel over the course of time is Peacock Hall, a large stately home which has 1
been transformed into a four-star hotel. Peacock Hall is at a small distance from Barnacles and is now ready to function within the market with widespread publicity. This organisation is intending to capture the hospitality (hotel) industry by launching attractive facilities such as bridal suite, leisure club, boutique, health spa, hi-tech conferencing. This poses threat to the existence of Barnacles. Thus, the management team of Barnacle BayCountry House Hotel is considering to introduce wholesale cultural changes within the organisational premises to resolve the queries and/or complaints placed by people over years. Difficulties in implementation of 'wholesale cultural change' at Barnacles In the modern era, leaders as well as managers realise the need and importance of bringing about rapid changes across the organisational premises. Taking into consideration the threat caused due to Peacock Hall, Barnacle Bay is planning to introduce some essential changes across the premises with a view to reduce the impact of increased competition. The top management of this hotel recognises the importance of bringing about changes at regular time intervals to sustain in market for a longer time . To facilitate this, owner of Barnacles has acquired a loan. These funds would assist the organisation in wholesale refurbishment of hotel. This refers to the practice of restoring old items in a manner that they may seem to be newly purchased or prepared. By way of wholesale refurbishment, Barnacles will now have new décor, carpets, furnishings and a newly developed indoor swimming pool with sauna as well as a fitness centre. The process of wholesale cultural change implies the wholesome restructuring of the existing culture of organisation (Komives, 2016). This would require the deployment of current workforce as well as processes in a manner that they foster the execution of change within the organisational premises. These changes are aimed at changing the face of Barnacles such that the entity possesses the potential to outshine the rival firms. Peacock Hall is found to be consisting of extraordinarily lavish facilities and thus it is essential for Barnacle Bay to review its existing processes and activities in order to ensure that the services offered by this hotel match the standards of Peacock Hall. This will help Barnacles to make sure that people stay connected with the organisation for a long period of time and display loyalty towards the hotel after experiencing the services offered by the hotel once. Wholesale cultural change comprises of a number of elements such as practices, beliefs, customs, traditions, people, hygiene, interior, norms, mission and vision of enterprise (Painter and Clark, 2015). In this regard, to effectively tackle the hyper competition prevailing within the 2
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hospitalityindustry,Barnacleshastoundertakecertainkeyalterations.Consideringthe innovative and luxurious facilities offered by Peacock Hall, Barnacle Bay has to carry out certain modifications to instil a feeling of loyalty and trust among customers. While formulating such changes within the enterprise, the organisation stands a chance to face some difficulties or barriers which are described below:- Lack of planning:Thefirst and the foremost challenge that then management of an organisation undertaking change may face is the lack of a suitable and relevant plan to implement the change. In this regard, if proper and adequate planning is not done by Barnacle Bay to execute thewholesale cultural change, then it will imply the ineffective execution of proposed change (Lawrence, 2015). In this relation, the failure to make a budget for introducing the changes within the hotel premises would result in ineffective management of fundsand thereby may also lead to wastage of funds in certain cases. Each activity associated with implementation of change must be priorly planned in order to ensure its execution in a systematic manner. Further, the management of Barnacle Bay Country House Hotel must make sure that they anticipate the needs and requirements of people so as to provide services in accordance with them. In this way, proper planning will assist the organisation in gaining a strategic and competitive edge in marketplace. Barriers of communication:In the present scenario, Barnacle Bay comprise of 75 employees of which 55 employees belong to immediate locality while the rest of them are from overseas. As a consequence, the national and cultural background of employees are diverse. This implies that there is a high probability of cultural and linguistic barriers that may prevail amidst the workforce operating within the organisational premises (Jones and Harris, 2014). But since the hotel is running since a long period of time, the employees have got used to such situations and have adapted to this scenario. In this regard, the hotel needs to deploy the existing staff in an efficient as well as hire some new employees that will give their contribution towards bringing about the wholesale cultural change. Now, when new persons will be hired, there are two options available to Barnacles. The management of hotel would either recruit personnel from overseas or local markets. In case the employees are hired from nearby locations, then the 20 employees who belong to overseas will face issues such as linguistics and cultural barriers. However, if the contrary happens, then it will create obstacles for those belonging to nearby localities. Conflicts 3
may emerge amidst the employees and/or management owing to the prevalence of diverse set of cultures, beliefs and languages within the entity. Besides this, there is also a probability that some employees facilitate change whereas the rest resist it. This may lead to complexity of operations and further enhance the risk of conflicts amidst the workforce. Furthermore, the different stakeholders of Barnacle Bay may have contrastingviewsinresponsetoformulationofwholesaleculturalchange.Thus,the management of this hotel is required to devise and execute an effective communication strategy. Furthermore, where the hotel is bringing such large scale cultural changes, these must be communicated to the customers as well (Gupta, 2011). This provides assistance in influencing them to stay at the hotel to experience its refurbished features. When essential information is to flow within the organisational premises, it is imperative that an optimum strategy is devised with a view to facilitate the changes in a desirable manner. When the administration of an entity is taking any key decision, if effective communication does not take place, it may lead to lack of loyalty and trust among employees. Employees resistance:The workforce hasbecome flexible in response to the existing scenario which comprises of hotel's organisational structure, existing staff and policies associated with customer handling. Employees have now gained comfort in the manner in which Barnacle Bay is operating at present. During the course of application of wholesale cultural change in the entity, some employees may resist the adoption of wholesale refurbishment plan. This gives rise to the need of training sessions within the hotel premises to develop the current staff as well as to equip the new staff with the the requirements emerging owing to the competition caused by Peacock Hall. At present, the number of customers that take a stay at the hotel are less, thus employees have idle time for refreshment and/or entertainment. When a change is introduced within all the units and departments of hotel, new customers will be attracted towards the facilities rendered by the entity and this will further imply increased workload upon personnel (Fullan, 2014). So, it is essential that the management of Barnacles communicate the need of bringing such a transformational change. Further, it is significant that the vision of hotel is linked to the change and this relation is communicated to employees to gain acceptance and support from workforce. 4
Planned approach to implement change at Barnacles While executing a change, it is essential that a planned and priorly set approach is undertaken so as to ensure that the chances of failure of deriving desirable outcomes is minimised. In this regard, owing to the immense competition from Peacock hall, Barnacle Bay is intending to execute certain specific changes with a view to gain a strategic and competitive edge in market (Hillson and Murray-Webster, 2017). The top management has planned to formulate wholesale refurbishment of premises. This is being done with the motive of grabbing the attention of new customers towards the services offered by hotel and tap advantage of the low cost strategy used by organisation. To facilitate this, Barnacle Bay is using a change management model so that the change can be successfully executed in the hotel premises. LEWIN'S CHANGE MANAGEMENT MODEL Lewin's change management model is used with a view to systematically execute wholesale refurbishment of Barnacle Bay Country House Hotel. This will provide assistance to the enterprise to attract new customers, thereby maximising their profits in long run. The three stages that are presented by the Lewin's change management model are briefly described below:- (a)Unfreeze:The first stage of this model ensures that company initiates the preparation of its employees for the proposed change (Fragouli and Ibidapo, 2015). In this relation, Barnacles has already acquired sufficient funding from bank to refurbish the hotel. For this, the management of this entity has already begun looking into core areas associated with change by comparing its existing service package with the facilities being provided by its rival, Peacock hall. This has assisted the managers to identify the ways through which Barnacles can gain an edge over rivals within hospitality industry. (b)Change:This stage is concerned with embracing the new changes takes place within an organisation. Barnacles is making use of optimum leadership strategies so as to acquaint the workforce with change. This will make it easier for the employees to ascertain the changes that take place within the hotel premises as an outcome of wholesale cultural change. Apart from this, the leaders of Barnacles need to realise that it takes time to implement a change in an effective manner. To facilitate this, a well structured plan is priorlymade to feasibly introduce this change in entity (Doppelt, 2017). Besides this, reassurance is another crucial factor for a change to be accepted. This stage helps an organisation gear the employees for the large scale impact of 5
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change. Further, communicating the mission and vision of change would steer Barnacle Bay's success. Thus, time and communication are the most essential elements at this stage. (c)Refreeze:In the previous stage,wholesale refurbishment has been executed within Barnacles. The next stage, refreeze,is about bringing stability within the entity after the implementation of change.This is why this stage is referred to as “refreeze”. Here, the management of Barnacle Bay ensure that things get back to normal as in past. This requires support from current staff as well as the new employees. This will ensure that changes are executed in a manner that the desirable outcomes are achieved. When stability is attained in the hotel in response to wholesale cultural change, the workforce (old as well as new) becomes comfortable with respect to the new operational strategy and structure. Some of the other significant signs of 'refreeze' are clear job description to employees and development of a systematic organisational chart whereby individuals have proper knowledge about their roles (Alavi and Gill, 2017). Further, this also provides assistance to the entity to equip the employees with knowledge regarding their reporting manager. In addition to this, a feasible change implementation ensures that Barnacle Bay will now capture an enhanced share in market. Further, this will allow the hotel to stay ahead of its competitors present within hospitality industry, specifically, Peacock Hall. How leadership style and business strategy could enable to design future successful change initiatives It is essential for organisations and individuals to appropriately use several effective strategies in relation to introduce a change within a company. Barnacle Bay, in order to appropriately introduce wholesale cultural refurbishment, must adopt several strategies which help the company in successfully ensure positive change within the organisation. Such change would help the firm in ensuring effective and essential growth in customers. Furthermore, such appropriate and necessary change would allow the firm in gathering more customers which would ensure the firm with consistent growth and productivity(Lloyd, Boer and Voelpel, 2017). As for Rita, she must adopt a strategy which would help her in implementing the wholesale cultural refurbishment within the organisation. For the same, she could use 3C's of Change Leadership which are as follows:Communicate:The first and foremost aspect of change leadership which must be followed by Rita is communication. Change must be communicated well within the 6
company and to employees to ensure proper and effective implementation of change. Furthermore, Rita must appropriately explain purpose of change to her subordinates and must state as to why this change would contribute to the value as well the vision led down for the company. The agenda of such communication must be regarding developing a positive perception of change in minds of employees.Collaborate:Another aspectwhich must befollowed by Rita iscollaborating its employees towards the implementation of change. It is an essential strategy which focuses on gaining effective support from the staff. Their efforts are required to be integrated towards refurbishment which would help Rita in ensuring better and effective management of the same along with strengthening the commitment of her employees towards the change. Commit:Ritamustalignemployees'behaviouralcharacteristicstowardschange acceptance. It is a very complex task to appropriately implement change and ensure effectiveness in operations. However, Rita must appropriately negotiate the change with her employees and commit herself and her team towards successful implementation of the cultural refurbishment in Barnacles. As for leadership style, it is very important that appropriate leadership style is utilised by Rita to ensure effective implementation of change. For this, the most prominent style which would be appropriate for Rita and Barnacle Bay is Transformational Leadership(Leadership Skills,2019). This would ensure effective setting up of vision and appropriate integration of efforts of individuals towards its implementation. CONCLUSION It could be well concluded from the information above, that leading and managing change is a crucial and necessary concept to be followed by companies in order to ensure effective execution and implementation of change within the company. It is necessary to determine problems and challenges in implementation of change to identify areas which are necessary to be worked upon to implement change successfully. Lewin's Change model could be used to develop a planned approach in execution of change within the company. Lastly, 3C's of Change Leadership and Transformational Leadership Style could be used for successful change implementation. 7
REFERENCES Books and Journals Alavi, S. B. and Gill, C., 2017. Leading change authentically: How authentic leaders influence follower responses to complex change.Journal of Leadership & Organizational Studies. 24(2). pp.157-171. Doppelt, B., 2017.Leading change toward sustainability: A change-management guide for business, government and civil society. Routledge. Fragouli, E. and Ibidapo, B., 2015. Leading in crisis: Leading organizational change & business development.International Journal of Information, Business and Management.7(3). p.71. Fullan, M., 2014.Leading in a culture of change personal action guide and workbook. John Wiley & Sons. Gupta, P., 2011. Leading innovation change-The Kotter way.International Journal of Innovation Science.3(3). pp.141-150. Hillson,D.andMurray-Webster,R.,2017.Understandingandmanagingriskattitude. Routledge. Jones, M. and Harris, A., 2014. Principals leading successful organisational change: Building social capital through disciplined professional collaboration.Journal of Organizational Change Management.27(3). pp.473-485. Komives, S. R., 2016.Leadership for a better world: Understanding the social change model of leadership development. John Wiley & Sons. Lawrence, P., 2015. Leading change–Insights into how leaders actually approach the challenge of complexity.Journal of Change Management.15(3). pp.231-252. Lloyd, K. J., Boer, D. and Voelpel, S. C., 2017. From listening to leading: Toward an understanding of supervisor listening within the framework of leader-member exchange theory.International Journal of Business Communication,54(4), pp.431-451. Painter, S. and Clark, C. M., 2015. Leading change: Faculty development through structured collaboration.International Journal of Doctoral Studies.10. pp.187-198. Van der Voet, J., Kuipers, B. and Groeneveld, S., 2015. Held back and pushed forward: leading change in a complex public sector environment.Journal of Organizational Change Management.28(2). pp.290-300. Online LeadershipSkills.2019.[Online].Available Through:<https://www.skillsyouneed.com/leadership-skills.html>. 8