This document discusses the planned and unplanned approach of change, business strategies, and external factors impacting businesses in the context of leading and managing change. It also explores the implications of relevant theories on the human resource department, with a focus on British Airways' approach to change management.
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LEADING AND MANAGING CHANGE
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INTRODUCTION...........................................................................................................................1 TASK...............................................................................................................................................1 I) Planned and unplanned approach of change...........................................................................1 2) Consider a business strategy and external factors impacting businesses................................4 3) Implications of relevant theory on human resource department.............................................7 CONCLUSION................................................................................................................................9 REFERENCES..............................................................................................................................10
INTRODUCTION Change management is all about adopting something new, creative and innovative for attaining organizational objectives in defined time frame. According to Lichtenstein (2000) it is statedthat“reformationinenterpriseisatransformativechangewiththeuseof complicated adaptive frameworks of change”.As a result, company can easily enhance their sales performance with the use of modern technologies or any other effective strategies that is used by firm to attain organizational objectives. British Airways is one of the most leading and successful aviation industries whose main motive is to offer best services to their desired clients. Their main objective is to grab several opportunities emerging at marketplace due to fluctuation in various internal and external factors (Newton and Tarrant,2012) .Thus, entire assignment is focussing on two major change metaphors that is “calm water” and “white water”. Beside this company is trying to implementing redesigning process in proper manner with the use of appropriate model. Hence, entire procedure of accomplishing changes at workplace is going to be outlined in this project. TASK I) Planned and unplanned approach of change British Airways is a very popular across the international marketplace due to their outstanding policies and effective strategies adopted by company to run their business. Managers of an enterprise believe in using advanced technology as well as various new ideas to improve their organizational performance from marketplace. However, managers are trying to establish their goodwill at various foreign marketplaces by adopting number of beneficial approaches and models. Their main objective is to cope up with fluctuating factors such as; trends, emergence of competitors products, redesigning of legal policies and so on. Beside this number of factors are identified that which enforce an organization towards implementation of planned and unplanned change at marketplace(Smith,2011). Some of the major elements which shows that company needs to adopt various approaches of reformation are discussed as follows:- Changes in consumer choices:- According to this element one thing is determined that users are becoming more curious to experience something new or unique. In order to fulfil demands of several customers British Airways is focussing on change strategy either through planning process and sudden. 1
Fluctuation in legal norms:- Legitimate bodies are liable to enact some of the major laws and acts to prevent shareholders as well as whole company from wrongful conducts becausefraudulentactivitiesareincreasingdaybyday.Thus,forcontrolling misinterpretation at workplace company is enforcing useful laws by using appropriate model of change. Profit maximization: - As per this component it has been analysed that major reason behind establishment of corporate companies is to generate maximum revenue on their initial investment. Moreover, focussing on gaining maximum benefits by satisfying client’s needs or requirements. It is only possible if company get succeeded in working by considering necessary facts or figures such as; preferences of final users, fluctuation in micro or macro factors and so on. Figure1British Airways' profit doubles (Source:- Walsh, 2013) Consequently, above components shows that company is getting enforced towards planned or unplanned change due to fluctuation in other elements that are interlinked with each other(Apostolouand et. al.,2011). Apart from this, one more thing has been identified that every environmental factors are having a major impact on a company performance. Therefore, 2
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after understating the need of changes at workplace company is going to adopt an appropriate model of change in order to manage it properly by considering every essential facts or data. British Airways is a multinational organization in airline industry due to which they are going with white water metaphor in which changes are just happened without any indication. Along with this, sometime it is not clear for employees because of immediate action instead of doing any planning or designing process. For example; at the time of sudden financial crisis and dropping of market Rate, Company is taking immediate actions towards changes for controlling the complicated situations. Thus, this process is seen as totally unplanned activity that is just happened without any planning or designing. These kinds of initiatives are falls under white water metaphor in which changes are unpredictable and not controlled by company managers. It means, employees need to be prepared for these kinds of situations while working in a large business enterprise for coping up with numerous problems or success obstacles(Ang,2012). On contrary to this, another thing is determined that changes are unpredictable in nature due to which employees need to prepare for reformation process in order to encountered in proper way. Although, changes are inevitable part of a business which are not accepted by various staff members such as; managers, employees and business owners. They extends limit of comfort zone of every people working in an organisation. Therefore, company is adopting various approaches for implementing changes in suitable manner for controlling chances of mistakes and errors. At this time, managers should try to make employees comfortable towards that and brief them about positive aspects and benefits of new change. It is the major responsibility of superiors to tell them about advantages and disadvantages of new modification. Basically British Airways are involving in planned and unplanned approaches of changes for attaining maximum benefits by gaining attention of customers in a minimum time frame. Along with this, company is focussing on various strategies of generating profit by implementing various suitable activities at workplace. However, approaches are used for conducting all the business operations in effective way with the help of several elements (Sonenshein,2010). Mainly, employees are not accepting sudden changes or any unplanned things because it is hard to manage things due to high level of complexity at marketplace. Throughout the study it has been understood that changes are unplanned which are occurred at anytime anywhere in order to overcome various problems or success obstacles. 3
2) Consider a business strategy and external factors impacting businesses Multinational organizations are facing numerous of problems and success barriers due to changes in various rules and regulations designed by governing bodies. In fact, companies are involving in numerous of business activities for maximizing their profit level as well as succeeded in establishing their positive image at global marketplace. Although various changes are occurring at market due to various factors which is described below:- Emerging of various advanced technology. Emergence of competitors for gaining more profit. Availability of various opportunities to improve the performance of an organization. By analysing numerous of situations enforced company to shift towards calm water to white water in order to cope up with complicated situations(Clegg,KornbergerandPitsis, 2015). For example; British airways is engaged in offering travelling services to their desired clients but if there is any sudden change in weather then it may delay the duration of flights. As a result in these type of situation company is adopting white water policy for acting in a unpredictable and sudden situations because in this approach company can easily cope up with complicated time period. However, this situations are enforcing companies to adopt white water strategy. Apart from this, several external factors are having major impact on organizational policies because entire association is follows the rules and regulations designed by governing bodies to reduce the chances of fraudulent activities. Hence, internal and external factors greatly influence on business operations. It means operations and manufacturing process of British airways are getting influenced by many external and internal changes.There are some external factors, which influence a firm in global market, when selected firm is launching a firm across boundaries then managers needs to get aware about political situations. For instance; if government will let them expand the business in other country, because of its policies, that are established in international market, which approves its export and import duties(LinskyandLawrence,2011). Another external factor is environment, though British Airways is a airline company due to which it is indispensable to look at the environment position like weather forecasting, atmosphere, competitors strategies etc. whereas society is also important, because it may be possible that society cannot afford the luxury services or may have some issues in purchasing, or may have some other requirements. Technology has an impactful impression, because it is giving a comfortable life to people, by 4
assisting day to day changes quickly, that is requirement of time, life is completely dependent on this. One of the most external factor is economic condition of a country, because present financial conditions of a company depends on per capita income of pubic, that gives a rise in monitory position of country in global market. Hence, it has been understood that business operations are getting affected by external elements and because of which they get enforced towards adoption of calm water to white water. These two approaches are totally distinctive from others in various terms that is discussed below:- White water: - In this strategy changes are occurred in a sudden way without any indication and employees get shocked. In fact, somehow feel uncomfortable in these situations(Zhang,2013). Calm water: -Calm water is a strategy in which changes are acquiring in slow manner and employees get various opportunities to use it. Along with this, it will take maximum time period. Thesetwostrategiesaretotallyoppositeofeachotherandapplyonvarious circumstances of an organization. For example; due to weather problem delaying in flights is affecting entire association as they are liable to facilitate their consumers in these kinds of problems. Whereas, if there is any policy reformation then company can take proper time period by following each or every procedures for implementing changed rules and regulations at workplace. By thoroughgoing this example one thing is determined shifting from calm water to white water is occurred in any sudden cases which is uncontrollable by organizations. Along with this, this situation might occur due to fluctuation in external factors which is described as follows:- Political elements:- Sometime advisory bodies are enforced to reform their current laws and regulations due to identification of some wrongful conducts. As a result it affects the overall policies of corporate world(Janesand et. al., 2013). Therefore, in order to deal with complicated circumstances company is get shifted from white water metaphor and adopt sudden changes by considering relevant data and information. For example; changesintaxationrateautomaticallyenforceanorganizationtoplanthingsas immediate requirement. 5
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Figure2Passengers rate (Source:- Wesley , 2018) Economy: - According to this element company might go through major financial crises or any downfall as it may hamper the profit level of business entity. Thus, for controlling it, managers of company getting engaged in making new plans or strategies to overcome financial downfalls. Along with this use their immediate reserves and other sources of funding to run their business entity. However, fluctuating currency rate, inflation, gross domestic products and so on are playing major role in affecting business strategy. Technological:-Companiesareusingtraditionaltechniqueofhandlingbusiness operations and spending lots of time period to accomplish their organizational activities in a effective manner. After emergence of modern technologies company is get enforced to use advanced or digital equipments to offer best services to their clients(Gupta, 2011). For example; decision of using online booking services is most appropriate tool for attracting consumers as well as accomplish business activities in a minimum time frame. Legal:- In this theory it has been understood that company is following legitimate norms for controlling their wrongful activities which may influence their profit level. Along with this, needs to follow proper procedures of legal bodies to avoid any fraudulent acts( 6
Kotter’s 8 step Model of Change,2018). For example; if there is any alteration in current registering process then company needs to do it in a fast manner for safeguarding their association from wrongful effects. Environment:- Resources are acquired through environment only which helps an enterprise in performing their business operations in suitable manner. For example; employees are liable to manage organizational activities so that they can easily attain their set personal and professional goals or objectives. Social: -Consumers choice and preferences are affecting profit level of an organization because final users are responsible for company success(Murray,2011). Thus, if there is any changes in societal need or demand due to emergence of foreign companies or any new trends then company needs to make immediate action to resolving this problem. It means manufacturing department of an organization is engaged in redesigning current products of an association for gaining attention of customers. Moreover, trying to make positive relations with users in order to acquire competitive advantage which shows the shifting of calm water to shift water. Throughout the study one thing is determined that external factors are playing every eminent role in affecting company policies as well as enforce managers to implement various immediate changes at workplace in order to improve current situations of an association. 3) Implications of relevant theory on human resource department John Kotter introduced “Kotter's 8 Step Change Model” which improves stability of organisation and ensures chances of success. It affects HR department of British airways ensures whether change can bring profits to company or not. They have to make strategies which include recent modifications to increase effectiveness of company and this leads to company success. Below are the stages which are described in detail: Create a sense of urgency:This is most crucial stage. In this managers needs to brief employees about need and urgency of change and by convincing them, they can gain their support in implementing those changes(Anderson,2016). This can be achieved by talking to them about possible solutions of potential threat.HR managers can address employees about the importance and urgency of changes and implement those changes in business plans as soon as possible. 7
Create a guiding coalition:With the help of key people like leaders and managers of organisation can lead changes which has to be implemented in company. Convincing employee on behalf of changes is a tough task (Linsky and Lawrence, 2011). It requires effective leading and convincing capability to satisfy them.This task can be performed by managers of HR department and implement necessary plans among team members. They can take help form heads of different department to lead the change and ensure the execution of change. Create a vision for change:HR manager and top level management are mainly responsible for setting a vision for a company. Managers of HR can identify necessary changes for company and can link it with the vision of company.By formulating clear vision, company can achieve its set goals and objectives within specified time limit. With this, company can implement more concrete changes and gain support in implementing them. Superiors can take ideas and opinions from employees, this will help them to adapt change faster and accept vision of company(Doherty,Horneand Wootton,2014). Communicating the vision:It is crucial to make employees aware about new vision. HR managers make aware their employees about the vision of company and also address them about adapting to different changes that can occur in future.This can be done by communicating to them at every chance manager's get and take their opinions in return. They should ensure that vision is properly communicated and adopted by whole organisation. Remove obstacles:It is necessary for organisation to remove possible hurdles which are coming in between completion of company's vision and implementing change. By implementing proper actions and solution, company can remove their obstacle involved in the process of change.Managerscanrewardemployeeswhoendorseandsupportchange.Itisthe responsibilityofHRtoidentifyhurdlesandobstacleswhichcancomeinbetween accomplishment of target and try to prepare better solutions and plans to overcome that( Dhillon,2013). Implications of human resource department: - Human resource department is considered as backbone of any organisation. They perform various activities to regulate smooth functioning of company. HR manager handles every activities and operations which are going on and formulate strategies to maximise productivity and profitability. Their main function is recruitment and selection which ensures hiring of best quality of candidates which can help organisation to achieve desired success (Gupta, 2011). 8
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Managers should ensure implementation of positive change in their company to ensure more profits. They should keep their strategies, procedure, technologies and equipments up to date to ensure success and retain their position in market (Janes and et al, 2013,). Company should be aware about what is going on in external environment and should try to make strategies to handle frequent changes occurring to the company. These changes are known as white water metaphor. Sometime, there are some changes which occur at some time interval, which can be easily handled by managers as well as employees. They don't have to develop frequent strategies to cope up with that. But in case of unpredictable and frequent changes, they have can use above theory to handle those situation and remove possible hurdles which are coming in between of achieving success(Braveman,2016). CONCLUSION As per the above discussion, it can be concluded that company needs to implement changes within their organisation to achieve desired success and to retain their market position. British airways apply planned as well as unplanned approaches while formulating their strategies which help them to adapt new changes and that is the reason they have such a strong hold in airline industry. At the same time, it has been determined sometime it become difficult for managers to convince employees to adapt new modifications as this extends their comfort zone. Moreover, due to this supervisors are liable to satisfy them by telling truth about advantages of changes. Managers can even give training to employees who are unable to adopt changes and find difficulty to implement that in their routine work. Motivated employees work harder to achieve business goals and objectives and thus company can gain desired success. Managers can implement Kotter's change model in their strategies to formulate effective strategies which help company to adapt changes and remove possible hurdles in between them. Hence, main objective of report is to show the reason behind shifting calm water approach to white water. 9
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Walsh,2013.[Online].Availablethrough<https://centreforaviation.com/insights/analysis/iag- back-in-profit-british-airways-profit-doubles-iberia-losses-narrow--vueling-shows-its-worth- 155353>. Wesley , 2018.[Online]. Available throughhttps://www.creditloan.com/credit-cards/chase-best- sign-up-bonus/. 11
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