Leading and Managing Change

Leading and Managing
Change

Table of Contents
INTRODUCTION...........................................................................................................................4
TASK 1............................................................................................................................................4
P1 Comparison of firms where changes has impacted on organisational strategy and operation
.....................................................................................................................................................4
TASK 2............................................................................................................................................5
P2. Evaluation of ways in which internal and external drivers of change affect leadership, team
and individual behaviours............................................................................................................5
P3. Measures which can be taken for minimising negative affect of changes upon
organisational behaviour..............................................................................................................7
TASK 3............................................................................................................................................8
P4 Description of barriers to change and its influence upon the leadership decision making....8
TASK 4............................................................................................................................................9
P5 Different leadership styles which may contribute to deal with change..................................9
CONCLUSION................................................................................................................................2
REFERENCE..................................................................................................................................3

INTRODUCTION
Changes are said to as determination of practising area that is used by organisation and
others in order to execute and deal with modification within organisation. Changes are needed
within organisation that helps to accept the challenges and improve organisational performance.
In business environment there are many factors which is used to accept the dynamic environment
by understanding and leading change (Aguirre and Alpern, 2014). This report is based on case
study of Sports Direct rescues Jack Wills and Fashion chain which has fallen in to administration
by providing 1800 jobs at 169 stores in UK. Both are adopting changes in their organisation in
order to perform well and increase organisational performance. Different topics are going to
explain in this report some example are as how organisational operation and strategies are
affected, internal and external changing drivers that influences leadership and steps which helps
to minimise the negative effect. And last, explanation about different leadership approaches
which help an organisation to deal with problems effectively.
TASK 1
P1 Comparison of firms where changes have impacted on organisational strategy and operation
Overview of the organisational case study
Sports Direct rescues jack Wills: Mike Ashely who was the owner of Sports Direct has
brought a fashion firm that is Jack Wills. This has 100 stores in UK wherein approximately 1700
staffs are working and it became a part of new division with Sports Direct. Such person said that
it wants to expand in to buying and building fashion sports brand despite of own financial
travails. He has made many strategies by modifying or changing existing policies which helped
to make successful fashion industry. Firstly, it has decided to talk with head of elevation that
made a name for carving out a unique place in customer's mind.
Fashion Chain: The main target of such organisation is women between the age of 18 -
45 are struggling despite having struck a deal in April which cut rents and its stores. The selected
administrators of such organisation said that they will continue to trade after assessing all options
which helped to make right business decision. Different processes are adopted by management in
order to improve their business which enhanced the operations and strategies effectively (Chow,
2014).

In today's time changes are taking a major role in business operation and function which helps to
grow market share and make profits effectively. Organisation are accepting changes which are
impacting on strategy and operations that is given below:
Changes Sports Direct rescues Jack Wills Fashion Chain
Operation Mike Ashley has decided to
increase their operation to expand
their business in fashion and sports
brand by making changes which
helps to run a business successfully.
This organisation focusing on
operation that will continue to trade
while assessing the all options. This
helps to improve the operation as sale
of business organisation has
increased.
Strategic Strategies are formulated by
administrators in order to modify
the existing process and include in
new one which helps to improve the
business performance and make
higher profits by becoming
successful.
Such organisation has made changes
in their strategies by assessing all
option which helped to achieve
outcome for all stakeholders by
negotiating rent cut of up to 75% from
its landlords.
Structural This organisation has adopting flat
structure which helps to generate
positive changes (Fragouli and
Ibidapo, 2015).
This organisation had adopted matrix
organisational structure which help to
deal with problems or changes and
make higher production.
TASK 2
P2. Evaluation of ways in which internal and external drivers of change affect leadership, team
and individual behaviours
Business organisation are based on changes which helps to improve the organisational
productivity by affecting leadership, team and individual behaviour. For instance, in case of
Sport Direct and Jack Wills has planned to expand its business by investing in fashion and brand
a part from own financial travels. In this, leaders focus on organisational objective and motivate
their team as well as individual person which helps to attain the organisational goals. Moreover,

before entering in to new business or accepting changes, internal and external business
environment are analysed by such organisation that is described:
External drivers
Political: In this factor political stability, tax rate and government regulations are
evaluated by Sports Direct before bringing any changes in their organisation. In UK, political
system and tax rate are stable which helped to enter in to new market and run business
effectively (Fyke and Buzzanell, 2013). This affects leadership, team and individual as changing
in political system become challenge for individual, team and leaders as they need to follow new
rules and regulation while running their business. This can reduce the production and profit level
of Sports Direct organisation. Moreover, team member work collectively by following the
government regulations.
Economical: This factor impacted on Sports Direct positively such as in UK inflation
rate has decreased which helped to increase the business sale in fashion industry as people are
started to spend in fashion and brands. Increase in interest rate affects team and leadership as
they has to pay advance amount which can reduce the profit level of organisation. This also
affects individual as they improve their knowledge and experience in learning area.
Social: Sports Direct affected positively through this factor as fashions are changing day
by day where such organisation has taken the place in expanding business and making higher
profits in fashion industry. This factor impacts on team as they work collectively by
understanding changing demand of people and provide products accordingly moreover, leaders
learn from their mistakes and take accountability of their activities and action.
Technological: Different technology is adopted by Sports Direct in order to promote its
brand and products such as social media, online websites, mobile application which effected
positively and increased business performance (Goldscheider, Bernhardt and Lappegård, 2015).
technology is the important for business organisation which helps to make easy the business
performance and increase the productivity and profitability. This affects team and leadership
such as leaders provide training and support to individuals and team which helps to improve the
production efficaciously and increase profits. Individual can improve their skills and values by
accepting new technology in business environment.
Internal drivers
Strength Weakness

 Sports Directs has superb performance
in new market by building expertise.
 This has operated business in more than
20 countries which as 757 stores in UK
and across this.
 In this approximately 26,500
employees are working who are
providing products and services.
 It has good track record in merger and
acquisition.
 Streamline its operations by building a
reliable supply chain.
 Highly skilled workforce through
successful training and learning
programme.
 Days inventory is higher as compare to
its competitors.
 It has been criticised for its poor
working condition and work practices.
 Not able to tackle the challenges
present by entering in to new segment.
 Needs more investment in new
technology to expand business.
 Sports Direct has high attrition rate and
spend more on training (Hersted and
Gergen, 2013).
Opportunities Threats
 High level of customer satisfaction
which increases productivity.
 Strong planning and strategy which
helps to develop the business
effectively.
 Business expansion in to new market
under market development strategy.
 Very good number of stores in UK
which states growth and development.
 High satisfaction to customers.
 New environmental policies that gain
market share in new product category.
 Stable free cash flow
 Decreasing transportation cost
 Changing customer buying behaviour.
 No regular supply of innovative
products
 Rising pay level and increasing
inflation rate
 Many competitor in fashion industry.
 Not proper supply of products
 Lack of skilled workers.

P3. Measures which can be taken for minimising negative affect of changes upon organisational
behaviour
In business environment there are many measures which is taken by Sports Direct
organisation in order to minimising negative affect of changes on organisational behaviour. For
instance, such organisation is dealing with different problems when it is going to introduce new
business or planning for change. To make continuous changes effectively such organisation is
using system theory and Burke-Litwen model that are as explained:
System theory - This theory is used in interdisciplinary study of systems. This system
helps to work systematically by conglomerating of interrelated and interdependent parts which
can be natural and man made. By using this theory Sports Direct can perform well as it accept
the changes to increase its business activities as well as performance. In this theory,
administrator of respective company focus on structure, purpose and nature which leads to
expanding in organisational business and make profits (Dawson and Andriopoulos, 2014).
Burke-Litwen model - This model is used to drive for change and give them rank as per
importance. This model is used by Sports Direct by involving different element that are as
explained:
External environment: This contains markets, competition, legislations and economy
that impacts on individual behaviour, team and organisation. Sports Direct is focusing on new
market, legislation and competitors while entering in to new market that helps to run a business
effectively by influenced changes. To run a business effectively it is important for organisation
to focus on external element which has impacted on business operation and follow the regulation
that can help to improve business.
Mission and Strategy: This states reason for existing in business environment that is
foundation of Sports Direct organisation adopting in order to built good business environment.
The mission of Sports Direct is to become largest organisation by providing quality of products
and services which attracts customers and capture high market share. Moreover, management
make strategy to develop the product and market by offering quality products and digital services
(Iles, 2017).
Leadership: In context to Sports Direct and Jack Wills consider attitudes and behaviour
of colleagues and employees which helps to implement the changes effectively and helps to
perform the business by accepting changes. In this organisation, leaders supports employees to

work in changing environment and face the challenges which helps to increase the production as
well as profits.
Organisation culture: Sports Direct adopts a organisation culture that is “the way we do
things around here” which helps to accept the changes and create a good value of organisation.
By adopting this culture with team and leaders who understand changes and accept it properly in
order to make profits (De Vose, 2014).
Structure: Sports Direct is following flat organisational structure which has impacted on
relationships, responsibilities and ways of working effectively and accept the changes properly.
In this structure leaders, team and individual communicate effectively and make clear judgement
to implement the plans and take right action.
Work unit climate: In this element Sports Direct consider employees perception of their
colleagues and working environment which helps to accept the changes and satisfy the jobs.
Under this respective company has evolved changes and make profits. Moreover, management
are understanding the changing climate and make plans accordingly which helps to improve the
business performance (Mackey et. al., 2015).
Task requirements and individual skills: Sports Direct make changes at higher level as
it has decided to expand business in fashion brand. There is require skills and abilities in
employees to complete the task and make right decision which impacted positively. This affects
individual, team and leadership as individual have skills to understand about product and satisfy
the customers to buy products, leaders support employees and team which helps to expand the
business and create good working environment.
Individual needs and value: In this element chosen organisation focus on individual and
team needs which helps to accept the challenges to accept changes perfectly. In context to Sports
Direct management and employees both are working collectively in order to accept the changes
and make right decision. The management of Sports Direct understand the needs of individual,
team and leaders and complete them effectively by improving sales of business organisation.
Employee motivation: The management and leaders of Sports direct organisation
motivates its employees by bringing changes and provide them training which helps to perform
the business effectively (Hersted and Gergen, 2013). This impacts on individual, team and
leadership as they motivate people which helps to improve the production and profits.

Motivation is way which attracts people and increase their performance by getting work done
complete in effective time period and increase profitability.
TASK 3
P4 Description of barriers to change and its influence upon the leadership decision making
Whenever an organization plan to implement change then different types of barriers may
have to be faced by the company. As Sports Direct is planning to introduce itself in the fashion
industry so the organization may also have to face different barriers which may influence its
launching in the market (Iles, 2017). For the purpose of dealing with all of them it is very
important for the management to formulate effective strategies. All these barriers may influence
leadership decision making. Description of all of them is as follows:
 Improper communication - It is one of the main barriers to change because if managers
are not able to communicate detailed information about the change with the staff
members then it may affect the change. Due to this leadership decision making will be
influenced as in this situation the leaders will not be able to formulate effective decisions
to deal with challenges taking place at workplace. If leaders are not able to communicate
each and every element which is decided by them to implement change then it may
influence the engagement level of employees which will affect the new strategies
(Mackey and et. al., 2015).
 Adverse behave of staff - If employees do not want to work according to change then it
may result in negative behavior of them. Due to this it will be very difficult for the
managers in Sports Direct to execute all the strategies formulated for betterment of
business. It will also influence leadership decision making because leaders may have to
change their decisions according to the factors which may inspire the workforce to adopt
the new change.
 Limited understanding of change – This is also a barrier which arises in organization
while accepting the changes. Employees who are working in Sports Direct can face the
challenges if they are having limited understanding of change and not maintain the
business activities properly.
 Lack of management support for change – Organization also face this barrier because
management do not support their employees when they goes to accept the changes in

their organization. Due to this employees feel uncomfortable and they do not work
properly resulting low production and profits.
TASK 4
P5 Different leadership styles which may contribute to deal with change
For all the organisations it is very important to make sure that the leaders within the
organisation are using appropriate leadership styles as it can help to dal with change and respond
to it effectively. There are various types of leaderships which could be used by management of
Sports Direct for the purpose of introducing itself in fashion industry. Description of some of
them is as follows:
Transformational leadership: It is a new approach to leadership that focus on how
leader can create valuable and positive change in their followers. This is effective leadership
which helps to accept the changes effectively. Sports Direct uses this leadership which has some
advantages and disadvantages that are as defined:
Advantages: Transformational leaders tend to retain employees more often than other
forms of leadership. They are able to retain more customers as well. That is because of the
charisma leadership style require, it is a leadership style which engages the full person. It can
create and manage change and new corporate vision can be quickly formulated (Tang, Lu and
Hallinger, 2014).
Disadvantages: It can develop negative outcomes of the performance of its employees,
there must be continual communication and it require constant and consistent feedback and need
their followers to agree with team, risks taken through transformational leadership can be
disruptive (van der Voet, Kuipers and Groeneveld, 2015).
Transnational leadership: It focuses on results, conforms to the existing structure of an
organisation and measures success according to that organisation system of rewards and
penalties. This involves motivating and directing followers primarily through appealing to their
own self-interest.
Advantages: It helps employee to remain motivate for longer period of time. and it
shows various ways to achieve goals and predetermined goals of the firm with clear picture of
the structure, it is like having blue print of the organisation structure to achieve goals. And this
also increase productivity and reduces cost.

Disadvantages: Sometimes it does not have clear structure, it also has unbent able
policies and rules. It does not encourage creativity and accountability of employees and
insensitivity (Ghavifekr and et. al., 2017).
Situational leadership: It is theory refers to those leaders who adopt different leadership
styles according to this situation and the development level of their members. It is an effective
way of leadership because it adapts to the team need and sets a beneficial balance for the whole
organisation. The best-known situational leadership model in the field of psychology and hr. is
one established by Paul heresy and ken Blanchard.
Advantages: it recognizes the need for flexibility, there have different experience and
perspective that create diversity. It creates a comfortable environment for workers, it takes
different development phases into account
Disadvantage: It focuses more on immediate needs than long term and can be ineffective
in task orientated environment. It can be challenging to define maturity and it does not provide
enough information for some leaders van der (Voet, Kuipers and Groeneveld, 2015).
From all the above described leadership styles the leaders in Sports Direct can implement
situational leadership as it can help the managers to modify their behaviour according to the
situations taking place due to sudden change in organisational design. It will be beneficial to deal
with all the barriers which are influencing the implementation of change and leadership decision
making. This leadership theory will also help the organisation to successfully implement all the
strategies formulated for the development of business.
CONCLUSION
From the above project report it has been concluded that understanding and leading change
is the process of analysing that the decisions which are formed for future are able to meet the
expectation of internal stakeholders. While analysing the forces which may promote or pertain
change at workplace different tools and techniques such as PEST and SWOT analysis could be
used. There are various barriers which are affecting change and leadership decision making.
These are improper communication with employees, negative behaviour of them etc. There are
various types of leadership approaches such as transformational, transnational and situational
leadership. One of them could be used by companies according to their requirements and
situation faced by them.

REFERENCE
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(Dawson and Andriopoulos, 2014)(De Vose, 2014)(Ghavifekr and et. al., 2017)
(Hersted and Gergen, 2013)(Iles, 2017)(Mackey et. al., 2015)(van der Voet, Kuipers and
Groeneveld, 2015)